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responsibilities during the transition from CARTS to the City, as the authorized direct recipient for <br />the San Marcos Urbanized Area. <br />The System services shall include fixed route bus service with complementary Americans <br />with Disabilities Act (ADA) paratransit service as specified in Attachment 3. <br />In consultation with CARTS, the City shall adhere to the existing Comprehensive <br />Public Transit Plan, the Finance and Implementation Strategy, the Title VI of the Civil Rights <br />Act of 1964 Program, the Disadvantaged Business Enterprise (DBE) Program and the <br />Complementary ADA Paratransit Plan for FY 2019 in accordance with all federal requirements <br />applicable to the City as a direct recipient of FTA Section 5307 funds and an FTA grantee or <br />sub -grantee of FTA Section 5310 and FTA Section 5339 funds. In addition, CARTS will <br />participate in an advisory capacity reviewing plans for development projects, which may <br />increase transit use, and meetings with Texas State University to coordinate ongoing operations <br />between the System and the Bobcat Shuttle. <br />4. Funding for Services <br />a. Payments by the City. For services provided under this Interlocal Agreement, <br />CARTS shall be paid the service cost per hour stipulated in Attachment 4, attached and <br />incorporated herein for all purposes. For any contract extensions, CARTS and the City may agree <br />to change the service cost per hour to be paid to CARTS for its services provided hereunder. Any <br />such changes shall be memorialized in writing. <br />b. Annual Budget. CARTS, in consultation with designated City staff, will participate <br />in the City's annual budget process relating to the System services contemplated under this <br />Agreement. CARTS will provide City staff with a Service Cost Per Hour, excluding capital, <br />proposal on or before June 15, 2020 for FY 2021 fiscal planning purposes. <br />c. Prompt Payment. In accordance with Chapter 2251, Texas Government Code except <br />as provided in Section 2251.002, payment to CARTS will be made within thirty (30) days of the <br />date the performance of the services under this Agreement are completed or the date City <br />receives a correct invoice for the goods or services, whichever is later. CARTS may charge <br />interest on an overdue payment at the "rate in effect" on September 1 of the fiscal year in which <br />the payment becomes overdue, in accordance with Texas Government Code, Section 2251.025(b). <br />d. Financial Records. The City shall maintain complete and accurate financial records <br />regarding the use of the funds to support urbanized area planning and operations in accordance <br />with FTA Circular 5010.1E, Grant Management Requirements, dated July 16, 2018. CARTS <br />shall similarly maintain such complete and accurate records as may be necessary for the City to <br />comply with its federal funding and audit requirements. <br />S. Routes and Schedules <br />The System will use the fixed routes and the fixed route schedules described on <br />Attachment 1, hereof. The complementary ADA paratransit service shall extend a minimum of <br />three-quarters (3/4) of a mile from the fixed route service. Any recommendation for major service <br />