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F. Subcontracting <br />The Zoo concessions currently operated by FOSAZ maybe subcontracted by FOSAZ <br />pursuant to a Request for Proposals meeting all City requirements. City retains right to <br />approve subcontractor. Any agreements between FOSAZ and subcontractors for Zoo <br />concessions shall be expressly subject to termination in the event of termination of this <br />Agreement. <br />G. Financial Contribution & Concession Revenue Sharine <br />i. On or before December 31 of each year, FOSAZ shall remit the sum of twenty <br />thousand dollars ($20,000) to the City to be used for veterinary expenses, These funds <br />shall be deposited into a City revenue account with the City General Fund. <br />ii. On or before December 31 of each year, FOSAZ shall remit the sum of forty <br />thousand dollars ($40,000) to the City to be used towards the salary of a full -time <br />educational position. These funds shall be deposited into a City revenue account with <br />the City General Fund. <br />iii. In addition to the funds provided in (i) and (ii) above (which shall not be deducted <br />from gross revenues when calculating net revenue), on the 15`x' day of each quarter of <br />the calendar year beginning on April 15, FOSAZ shall remit to the City ten percent <br />(t0 %) of all net concession revenues from the Gift Shop, Ride Concessions, Facility <br />Rental Areas (discussed in section 3.H, below), and any other approved FOSAZ <br />concessions received, (discussed in 3.13, above) in the preceding quarter. <br />iv. City shall deposit concession revenue into a City revenue account with the City <br />General Fund to be used by the City for Zoo capital and operating expenses <br />including, but not limited to, improvement projects, educational opportunities, staff <br />development, and /or purchase of animals, as determined by the Zoo Manager. <br />V. Quarterly, FOSAZ shall remit ten percent (10 %) of the net proceeds of all <br />membership sales to City. These funds shall be deposited by City into a revenue <br />account with the City General Fund to be used by the City exclusively for Zoo capital <br />and operating expenses including, but not limited to, improvement projects, <br />educational opportunities, staff development, and /or purchase of animals, as <br />reasonably determined by the Zoo Manager. <br />H. Facility Rental Areas <br />Subject to paragraphs (ii) through (vi) below, FOSAZ shall have the non - exclusive <br />right to restrict access and charge rent to any or all portions of the Zoo for private <br />events, which may include, but are not limited to, birthday parties, receptions, or <br />corporate events. <br />Page 5 of 11 <br />25D -7 <br />