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2. Best Efforts. SAWPA shall use its best efforts and such <br />time as is necessary to properly, timely and in a cost-effective <br />manner, fulfill its duties under this Agreement and to carry out the <br />desires and intentions of COLTON and SAN BERNARDINO. SAWPA shall <br />require all of its employees, agents, contractors and <br />subcontractors to use their best efforts and such time as is <br />necessary to properly, timely and in a cost-effective manner fulfill <br />their duties and to carry out the desires and intentions of COLTON <br />and SAN BERNARDINO. <br />3. Acquisition, Financing and Lease Agreements. COLTON and <br />SAN BERNARDINO hereby authorize SAWPA to negotiate, under the <br />supervision of COLTON and SAN BERNARDINO, one or more agreements to <br />(a) purchase, lease and/or obtain options to purchase or lease Sites <br />1, 2 and 3, and (b) obtain financing for the Demonstration System, <br />to be constructed pursuant to other written agreements, for the use <br />and benefit of COLTON and SAN BERNARDINO. Such financing may <br />involve a lease/leaseback arrangement. COLTON and SAN BERNARDINO <br />shall have the right to consent to and approve of all agreements <br />prior to execution. Such agreements shall provide, among other <br />things: <br />a. That SAWPA shall not be financially obligated or in <br />any manner liable to pay any debt incurred in the financing of <br />the Demonstration System; <br />b. That no assets of SAWPA shall be pledged to repay any <br />debt incurred in the financing of the Demonstration System; <br />3 <br />