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2. COMPENSATION <br />a. City agrees to pay, and Consultant agrees to accept Fifty Thousand Dollars <br />($50,000.00) as payment for its services as set forth in Exhibit A. Said compensation includes a <br />contingency of $5,520.00 only to be used after written request by Consultant to Executive <br />Director setting forth the circumstances substantiating the need to use the contingency arnount. <br />b. Payment by City shall be made within forty-five (45) days following receipt of proper <br />invoice evidencing work performed, subject to City accounting procedures. Payment need not <br />be made for work which fails to meet the standards of performance set forth in the Recitals <br />which may reasonably be expected by City. <br />3. TERM <br />This Agreement shall cornrnence on the date first written above and terminate on <br />December 31, 2017, or completion of the Project, whichever is earlier, unless terminated earlier <br />in accordance with Section 12, below. The term of this Agreement may be extended upon a <br />writing; executed by the City Manager and the City Attorney, <br />4. INDEPENDENT CONTRACTOR <br />Consultant shall, during the entire teen 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 and <br />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. Commercial General Liability Insurance. Consultant shall maintain commercial <br />general liability insurance which shall include, but not be limited to protection against claims <br />arising; from bodily and personal injury, including death resulting therefrom and damage to <br />property, resulting from any act or occurrence arising out of Consultant's operations in the <br />performance of this Agreement, including, without limitation, acts involving vehicles. The <br />amounts of insurance shall be not less than the following: single lit -nit coverage applying to <br />bodily and personal injury, including death resulting therefrom, and property damage, in the total <br />amount of $1,000,000 per occurrence, and $2,000,000 in the aggregate. Such insurance shall (a) <br />name the City, its officers, employees, agents, volunteers and representatives as additional <br />