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comprised for the shortened tern detailed in Section 3 below. The amount for the <br />initial term is $272,891 and a 10% contingency of up to $27,289 for services as <br />may be performed by Contractor at the sole discretion of City. <br />b. For each extension period exercised per Section 3 of this Agreement, the total <br />yearly amount to be expended shall not exceed $720,432. This amount for each <br />term is comprised of the sum of the costs for District 4 at $654,938 and a 10% <br />contingency of up to $65,494 for services as may be performed by Contractor at the <br />sole discretion of City. <br />C. Payment by City shall be made within forty-five (45) days following receipt of <br />proper invoice evidencing work performed, subject to City accounting procedures. <br />Payment need not be made for work which fails to meet the standards of <br />performance set forth in the Recitals which may reasonably be expected by City. <br />ki�llf�Tt'el <br />This Agreement shall corru ience on September 1, 2017 and terminate on January 31, 2018, <br />unless terminated earlier in accordance with Section 15, below, The term of this Agreement may <br />be extended for up to three (3) one year extensions upon a writing executed by the City Manager <br />and the City Attorney. <br />4. INDEPENDENT CONTRACTOR <br />Contractor shall, during the entire tern of this Agreement, be construed to be an <br />independent contractor and riot an erployee of the City. This Agreement is not intended nor shall <br />it be construed to create an employer -employee relationship, a joint venture relationship, or to <br />allow the City to exercise discretion or control over the professional mamrerin which Contractor <br />performs the services which are the subject matter of this Agreement; however, the services to be <br />provided by Contractor shall be provided in a manner consistent with all applicable standards and <br />regulations governing such services. Contractor shall pay all salaries and wages, employer's social <br />security taxes, unemployment insurance and similar taxes relating to employees and shall be <br />responsible for all applicable withholding taxes. <br />5. OWNERSHIP OF MATERIALS <br />This Agreement creates a non-exclusive and perpetual license for City to copy, use, <br />modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property <br />embodied in plans, specifications, studies, drawings, estimates, and other documents or works of <br />authorship fixed in any tangible medium of expression, including but not limited to, physical <br />drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or <br />caused to be prepared by Contractor under this Agreement ("Documents & Data"). Contractor <br />shall require all subcontractors to agree in writing that City is granted a non-exclusive and <br />perpetual license for any Documents & Data the subcontractor prepares under this Agreement. <br />Contractor represents and warrants that Contractor has the legal rightt to license any and all <br />Documents & Data. Contractor makes no such representation and warranty in regard to <br />Page 2 of 11 <br />