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For the initial term of the Agreement, as defined in Section 3, the total amount to <br />be expended shall not exceed $114,461. This amount is based upon the yearly <br />amount detailed for each extension period divided by the 5 months comprised for <br />the shortened term detailed in Section 3 below. The amount for the initial term is <br />$104,055 and a 10% contingency of up to $10,406 for services as may be performed <br />by Contractor at the sole discretion of City. <br />C. For each extension period exercised per Section 3 of this Agreement, the total <br />yearly amount to be expended shall not exceed $274,706. This amount for each <br />term is comprised of the sum of the costs for District 1 at $249,733 and a 10% <br />contingency of up to $24,973 for services as may be performed by Contractor at the <br />sole discretion of City. <br />d. Payment by City shall be made within forty-five (45) days following receipt of <br />proper invoice evidencing work performed, subject to City accounting <br />procedures. Payment need not be made for work which fails to meet the <br />standards of performance set forth in the Recitals which may reasonably be <br />expected by City. <br />3. TERM <br />This Agreement shall commence on September 1, 2017 and terminate on January 31, <br />2018, unless terminated earlier in accordance with Section 15, below. The term of this <br />Agreement may be extended for up to three (3) one year extensions upon a writing executed by <br />the City Manager and the City Attorney. <br />4. INDEPENDENT CONTRACTOR <br />Contractor 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 />Contractor performs the services which are the subject matter of this Agreement; however, the <br />services to be provided by Contractor shall be provided in a manner consistent with all <br />applicable standards and regulations governing such services. Contractor shall pay all salaries <br />and wages, employer's social security taxes, unemployment insurance and similar taxes relating <br />to employees and shall be responsible for all applicable withholding taxes. <br />5. OWNERSHIP OF MATERIALS <br />This Agreement creates a non-exclusive and perpetual license for City to copy, use, <br />modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property <br />embodied in plans, specifications, studies, drawings, estimates, and other documents or works of <br />authorship fixed in any tangible medium of expression, including but not limited to, physical <br />drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared <br />or caused to be prepared by Contractor under this Agreement ("Documents & Data'). <br />Page 2 of 11 <br />