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2. DELIVERY OF WORK PRODUCT <br />Consultant shall deliver to City any work product which results from the services provided. Said <br />work product shall be submitted in the form agreed between the Project Manager and Consultant. Said <br />work product shall become the property of the City; however, Consultant may retain, for its files, copies <br />of any and all materials, including drawings, documents and specifications, produced by the Consultant in <br />the performance of this Agreement_ <br />3. COMPENSATION <br />a. City agrees to pay, and Consultant agrees to accept as total payment for its services, an hourly <br />rate of $50.00 per hour. The total sum to be expended under this Agreement shall not exceed Eighteen <br />Thousand dollars ($18,000.00), annually, during the term of this Agreement. <br />b. Payment by City shall be made within thirty (30) days following receipt of detailed invoice for <br />services performed, subject to City accounting procedures. Payment need not be made for work which <br />fails to meet the standards of performance set forth in the Recitals which may reasonably be expected by <br />City. <br />This Agreement shall commence on the date first set forth above and terminate on September 30, <br />2013, unless terminated earlier in accordance with Section 13, below. In order to provide continuous <br />services, those services provided by Consultant from October 1, 2012 until the commencement date, shall <br />be included within the Scope of Services of this Agreement. <br />5. INDEPENDENT CONTRACTOR <br />Consultant shall, during the entire term of this Agreement, be construed to be an independent <br />contractor and not an employee of the City. This Agreement is not intended nor shall it be construed to <br />create an employer-employee relationship, a joint venture relationship, or to allow the City to exercise <br />discretion or control over the professional manner in which Consultant performs the services which are <br />the subject matter of this Agreement; however, the services to be provided by Consultant shall be <br />provided in a manner consistent with all applicable standards and regulations governing such services. <br />Consultant shall pay all salaries and wages, employer's social security taxes, unemployment insurance and <br />similar taxes relating to employees and shall be responsible for all applicable withholding taxes. <br />Consultant is aware of and acknowledges the provisions of California Government Code sections <br />21220 et seq., providing that, subject to certain specified exceptions, any person retired under the <br />California Public Employees' Retirement System (PERS) may not be employed in any capacity by a <br />contracting agency such as the City unless he or she has first been reinstated from retirement pursuant to <br />the provisions of the Government Code. Any employment of Consultant by the City contrary to the <br />provisions of California Government Code sections 21220 et seq. may result in serious financial <br />consequences for both Consultant and City. Should Consultant's services be deemed to violate these <br />provisions, the parties agree that Consultant shall reimburse PERS for payments and charges finally <br />imposed pursuant to Cal. Gov. Code §21220 (b), relating to a retired member's obligations. In such <br />instance, the City shall reimburse PERS for payments and charges imposed pursuant to Cal. Gov_ Code <br />§21220 (c), relating to a public employer's obligations. <br />