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3. COMPENSATION a. City agrees to pay, and ICMA agrees to accept as total payment for its services, a flat fee of $68,000.00, plus reimbursable costs including travel, lodging, transportation and meals. The Consultant will submit invoices for work performed and for reimbursable costs. The first two payment installments will be for $22,667.00, and one additional payment installment will be for $22,666.00. All payments installments will be made out to the International City/County Management Association. The first installment will be paid immediately upon contract execution. The second installment will be paid within 30 days upon submission of the data assessment report, and the third installment will be paid within 30 days upon submission of the final project deliverable. ICMA will work with the City to reduce travel costs to the greatest extent possible while meeting the expectations of the City. The total sum to be expended under this Agreement shall not exceed $75,000.00 during the term of this Agreement. b. Payment by City shall be made within thirty (30) days following receipt of proper invoice evidencing work performed, subject to City accounting procedures. Payment need not be made for work which fails to meet the standards of performance set forth in the Recitals which may reasonably be expected by City. 4. TERM This Agreement shall commence on the date first written above and terminate on December 31, 2009, unless terminated earlier in accordance with Section 13, below. If services are not completed by the termination date, the term maybe extended by a writing executed by the City Manager and City Attorney. 5. INDEPENDENT CONTRACTOR ICMA shall, during the entire term of this Agreement, be construed to be an independent contractor and not an employee of the City. This Agreement is not intended nor shall it be construed to create an employer-employee relationship, a joint venture relationship, or to allow the City to exercise discretion or control over the professional manner in which ICMA performs the services which are the subject matter of this Agreement; however, the services to be provided by ICMA shall be provided in a manner consistent with all applicable standards and regulations governing such services. ICMA shall pay all salaries and wages, employer's social security taxes, unemployment insurance and similar taxes relating to employees and shall be responsible for all applicable withholding taxes. 6. INSURANCE Prior to undertaking performance of work under this Agreement, ICMA shall maintain and shall require its subcontractors, if any, to obtain and maintain insurance as described below: required. Due to the nature of services provided, commercial general liability insurance is not 25B-4