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shall submit data covering CARTS' operation of the System during the preceding month, the <br />content and format of which will be mutually agreed upon by CARTS and the City. <br />12. A it <br />CARTS agrees to maintain accounts and records for all costs of operation of the System <br />separate from all rural operations, and CARTS agrees to provide the City with its annual audit of <br />its finances, which is prepared by a certified public accountant for the period of the Agreement <br />on or before April 1, 2018. <br />13. Waiver of Franchise Fees <br />The City, as part of its consideration for this Agreement, waives any franchise fees it is <br />authorized to impose upon CARTS for the operation of the System upon the public streets of the <br />City. <br />14. Insurance <br />CARTS agrees to maintain in full force and effect all forms of insurance required by <br />applicable local, state and federal regulatory authorities in at least the minimum amounts <br />prescribed by those authorities. CARTS shall furnish written certificates of such coverage to the <br />City annually. The limits of any such insurance shall not limit the obligation of CARTS under <br />Section 15 below. <br />15. Indemnity <br />CARTS agrees, to the extent permitted by applicable law, to hold harmless, <br />indemnify, and defend the City, its officers and employees from and against all claims for <br />property damage, injuries and death arising out of or connected with CARTS' performance <br />under this Agreement. <br />16. Governing Law and Venue <br />This Agreement shall be governed by the laws of the State of Texas, and mandatory <br />venue for any legal dispute under this Agreement is in the State court in Hays County, Texas <br />having jurisdiction over the dispute. <br />17. Notices <br />Notices and approvals under this agreement are to be delivered personally, mailed by <br />certified mail, or transmitted by confirmed facsimile to the recipient at the following addresses: <br />CARTS: City of San Marcos: <br />General Manager City Manager <br />2010 E. 6th Street 630 E. Hopkins <br />Austin, TX 78702 San Marcos, TX 78666 <br />5 <br />