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3. COMPENSATION A. To Ci : Vendor agrees to pay, and City agrees to accept as payment for its granting the right to install and maintain vending operations on City -owned property, six hundred dollars ($600.00) per month payable to the City on the 5a' day of each month. B. To Vendor: City agrees to pay, one hundred and twenty dollars ($120.00) for a change machine at the Police Department. 4. RESPONSIBILITY FOR VENDING MACHINES Vendor will provide vending machines on the Premises as mutually agreed upon between Vendor and the Executive Director of Parks, Recreation and Community Services Agency throughout the term of this Agreement. All vending machines shall at all times remain the property of Vendor. Vendor will repair and maintain the vending machines and agrees to keep them in good working order and condition at all times. Vendor shall have the exclusive right and obligation to repair, replace, or remove any and all vending machines. City shall not replace, relocate, move or remove any vending machines. Notwithstanding the foregoing, City agrees to use reasonable efforts to keep the vending machines in clean and sanitary condition, wholly free of all advertising at all times. In addition, City agrees to promptly notify Vendor of any need for repair or service, and to fully cooperate with Vendor in effecting such necessary repairs or service. City shall bear no responsibility whatsoever for any vandalism or theft occurring with regard to Vendor's equipment and vending machines. Further, Vendor shall be responsible for the costs of repair or replacement necessitated by vandalism, graffiti or theft. Should vandalism occur to the same vending machine for a second time, City may elect one to either relocate or remove said vending machine. Vendor and the Executive Director shall mutually agree on all locations to relocate vending machines if needed. 5. VEND RATES AND COMMISSION The current pricing is attached hereto as Exhibit A "Pricing". Vendor shall maintain all vending machines stocked with at least 50% healthy foods, such as such as baked chips, fiuit, pretzels, granola, nuts, bottled water, low fat milk products, sports drinks and natural fruit juice drinks in compliance with the City's policy regarding healthy snacks, healthy eating and active living (City of Santa Ana Resolution No. 2006-053 and Resolution No. 2011-003). 6. VENDING MACHINE PLACEMENT A detailed list reflecting the current location of all vending machines and equipment is set forth in the "Existing Sites" list, (attached hereto as Exhibit A — Page 2). Vendor shall provide vending machines at all listed locations. Additional vending machines may periodically be added to the list subject to prior written approval of the Executive Director. Should the proposed locations of the vending machines be found not to be in