KEH Energy Engineering

Engagement Terms and Conditions

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Effective July 21, 2016

KEH Energy Engineering is Ken Heselton. While many of the advantages of a large engineering shop are lacking, at KEH you get the owner (the top man) every time. KEH does not represent any equipment manufacturer or supplier so all decisions are based solely on engineering judgement and over 55 years of experience. Feel free to e-mail KEH at KHeselton@cs.com to request a firm proposal. You can also engage KEH at an hourly rate based on the following schedule, use fixed price services described on other pages of this web site, or pay KEH a percentage of the savings after they're realized.

Fee schedule and payments:

With the exception of serving as an expert witness engagement time for in office consultations is priced at $120 per hour in tenths of an hour increments; time on site is also $120 per hour with a four hour minimum. To be consistent with the market, time served as an expert witness is priced at $250 per hour in quarter hour increments with time outside the office as four hours minimum in any one day. Travel time is billed for periods less than one normal eight hour day. Materials furnished at cost plus 10% and applicable taxes. Mileage (automobile) charged at $.55 per mile. Expenses at cost.

Insignificant sums for expenses, mileage, and materials will normally be omitted from billing.

Engagement time includes telephone discussions (accumulated each month in tenths of an hour) and time expended traveling to and from sites during normal working hours. Discussions related to setting up meetings, site visits, preparation of amending agreements and the like are not included in engagement time.

KEH will submit a detailed invoice to the purchaser on or about the last day of the month for work performed up to, and including, that date. Payment is due twenty days after the date of the invoice.

Shared Savings:

KEH will work on a shared savings basis. There are certain stipulations for such projects in that the owner must implement the recommendations or pay KEH a proportional share of projected savings. The KEH share of savings are calculated by dividing 50% by the straight line cost recovery period in years (not less than one year). Payments are to be made from actual savings after the project is implemented. If you're interested in these terms please request a copy of them.

Insurance:

KEH will carry workmen's compensation and liability insurance coverage with a $1,000,000.00 aggregate limit and vehicle liability in amounts required by State law. Certificates will be furnished at the Purchaser's request.

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