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b. Payment by City shall be made within forty-five (45) days following receipt of proper <br />invoice evidencing work performed, subject to City accounting procedures. City and <br />Contractor agree that all payments due and owing under this Agreement shall be made <br />through Automated Clearing House (ACH) transfers. Contractor agrees to execute the <br />City's standard ACH Vendor Payment Authorization and provide required <br />documentation. Upon verification of the data provided, the City will be authorized to <br />deposit payments directly into Contractor's account(s) with financial institutions. <br />Payment need not be made for work which fails to meet the standards of performance <br />set forth in the Recitals which may reasonably be expected by City. <br />c. In the event that Contractor arrives more than fifteen (15) minutes late for the scheduled <br />pick-up time at the scheduled location, the Contractor shall pay to the City liquidated <br />damages in the amount of $100 for each fifteen (15) minutes of unexcused delay, at the <br />sole discretion of the Director of Parks, Recreation, and Community Services, up to a <br />maximum of Five Hundred Dollars and 00/100 ($500). These liquidated damages, if <br />any, shall be offset against the charge for Contractor's services invoiced for the day <br />Contractor was late. The parties acknowledge this liquidated damage amount <br />represents a reasonable estimate of the City's damages in the event of a delay, <br />considering the difficulty of proving such damages and the potential disruption to the <br />City's event(s). <br />3. TERM <br />This Agreement shall commence on July 1, 2024 for a three (3) year term with the option <br />for the City to grant up to two (2) one-year renewals, exercisable by a writing by the City Manager <br />and the City Attorney, unless terminated earlier in accordance with Section 15, below. <br />4. INDEPENDENT CONTRACTOR <br />Contractor shall, during the entire term of this Agreement, be construed to be an <br />independent Contractor and not an employee 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 manner in 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 />Page 2 of 10 <br />#19793v7 <br />