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3. COMPENSATION <br />a. City agrees to pay, and Consultant agrees to accept as total payment for its services a <br />percentage fee of net collections obtained by Consultant per contract year as follows: <br />i. Agreement Year 1 - equal to 6.0 % of net collections obtained by Consultant. <br />ii. Agreement Year 2 - equal to 6.15 % of net collections obtained by Consultant. <br />iii. Agreement Year 3 - equal to 6.3% of net collections obtained by Consultant. <br />b. Consultant shall bill for Emergency Medical Services at the rates established by City <br />Council Resolution. <br />c. Payment by City shall be made within thirty (30) days following receipt of proper <br />invoice evidencing collections received by City, subject to City accounting procedures. Payment <br />need not be made for work which fails to meet the standards of performance set forth in the <br />Recitals which may reasonably be expected by City. <br />4. INDEPENDENT CONTRACTOR <br />Consultant 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 <br />shall it be construed to create an employer- employee relationship, a joint venture relationship, or <br />to allow the City to exercise discretion or control over the professional manner in which <br />Consultant performs the services which are the subject matter of this Agreement; however, the <br />services to be provided by Consultant shall be provided in a manner consistent with all <br />applicable standards and regulations governing such services. Consultant shall pay all salaries <br />and wages, employer's social security taxes, unemployment insurance and similar taxes relating to <br />employees and shall be responsible for all applicable withholding taxes. <br />5. INSURANCE <br />Prior to undertaking performance of work under this Agreement, Consultant shall <br />maintain and shall require its subcontractors, if any, to obtain and maintain insurance as <br />described below: <br />a. Due to the nature of services provided, Commercial General Liability insurance is not <br />required. <br />b. Worker's Compensation Insurance. In accordance with the provisions of Section 3300 <br />of the Labor Code, Consultant, if Consultant has any employees, is required to be insured against <br />liability for worker's compensation or to undertake self - insurance. Prior to commencing the <br />performance of the work under this Agreement, Consultant agrees to obtain and maintain any <br />employer's liability insurance with limits not less than s 1,000,000 per accident. <br />25F -6 <br />