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CONTRACTOR AGREEMENT <br />THIS AGREEMENT, made and entered into this 5`h day of May, 2008 by and between <br />Econolite Traffic Engineering and Maintenance, Inc., a California corporation (hereinafter <br />"Contractor"), and the City of Santa Ana, a charter city and municipal corporation organized and <br />existing under the Constitution and laws of the State of California (hereinafter "City"). <br />RECITALS <br />A. The City desires to retain a Contractor having special skill and knowledge in the field <br />of street lighting systems and installation of underground cables and conduits. <br />B. Contractor represents that Contractor is able and willing to provide such services to the <br />City. <br />C. In undertaking the performance of this Agreement, Contractor represents that it is <br />knowledgeable in its field and that any services performed by Contractor under this <br />Agreement will be performed in compliance with such standards as may reasonably be <br />expected from a professional consulting firm in the field. <br />NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the <br />terms and conditions hereinafter set forth, the parties agree as follows: <br />1. SCOPE OF SERVICES <br />Contractor shall provide street light repair and replacement for the Floral Park <br />neighborhood, as set forth in City's Request for Proposal dated December 6, 2007, attached <br />hereto as Exhibit A, and incorporated, in full, by this reference. <br />2. COMPENSATION <br />a. City agrees to pay, and Contractor agrees to accept as total payment for its services, <br />the rates and charges identified in Contractor's Fee Proposal, attached hereto as Exhibit B. The <br />total sum to be budgeted under this Agreement shall not exceed $375,000.00, per fiscal year, for <br />a total compensation of $1,125,000.00 during the term of this Agreement. The total <br />compensation includes a contingency for replacement of conduit as necessary, and other <br />unforeseen circumstances. Said funds shall accumulate during the term of this Agreement if not <br />expended during the fiscal year allocated to this Agreement. <br />b. The Contractor will be paid monthly in arrears for work performed satisfactorily under <br />this contract. By the 10th of each month the Contractor shall submit a detailed progress report, <br />I <br />251-6 <br />