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curbs, gutter, sidewalks, cross gutters, and curb ramps on Streets referenced above in Recital B (the <br />Publicly Owned Improvements). The Agency shall contribute to the rehabilitation of the Publicly <br />Owned Improvements in an amount not to exceed Three Hundred Fifty One Thousand One <br />Hundred Dollars ($351,100.00), with the breakdown of project costs as shown in Exhibit A <br />attached hereto and incorporated herein. <br />2. COMPENSATION AND METHOD OF PAYMENT <br />The Agency shall pay the City the actual cost incurred by the City for the Publicly Owned <br />Improvement rehabilitation work set forth in Section 1. The amount to be paid by the Agency <br />hereunder shall be paid in the same fiscal year as the year in which the debts are incurred by the <br />city. <br />3. LIABILITY AND INDEMNIFICATION <br />In contemplation of the provisions of Section 895.2 of the Government Code of the State of <br />California imposing certain tort liability jointly upon public entities solely by reason of such entities <br />being parties to an agreement as defined by Section 895 of said Code, the parties hereto, as between <br />themselves, pursuant to the authorization contained in Section 895.4 and 895.6 of said Code, will <br />each assume the full liability imposed upon it, or any of its officers, agents or employees by law for <br />injury caused by negligent or wrongful act or omission occurring in the performance of this <br />Agreement to the same extent that such liability would be imposed in the absence of Section 895.2 <br />of said Code. To achieve the above-stated purpose each party indemnifies and holds harmless the <br />other party for any loss, costs or expense that may be imposed upon such other party solely by <br />virtue of said Section 895.2. The provisions of Section 2778 of the California Civil Code are made <br />a part hereof as if fully set forth herein. <br />4. EFFECTIVE DATE OF AGREEMENT <br />This Agreement shall take effect from and after the date of adoption and approval by the <br />City and the Agency pursuant to official action of the governing bodies thereof and shall be <br />effective for a duration not to exceed the time necessary for the City to complete the work and for <br />the Agency to pay the City in full. This Agreement shall apply to all activities carried out by the <br />City as set forth in Section 1 hereto. <br />2 <br />23A-8