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Section 8 above at the City's Finance Offices, Attention: Signature Event Liaison, at 630 E. <br /> Hopkins St., or emailed to grantreporting@sanmarcostx.gov, except that following a notice to <br /> Nonprofit by City of an insufficiency in the report or a default under this Contract, funds shall <br /> not be released unless and until such time as the insufficiency or default is remedied, as <br /> determined by the City in its discretion. First payment shall be in the amount of$85,000. The <br /> second payment shall be in the amount of$15,000 which will be reduced such that they do <br /> not exceed 30% of the Nonprofit's reported qualifying expenditures and/or did not spend 15% <br /> of the grant for paid advertising as set out in Section 4. <br /> SECTION 10. Monitoring of Performance: The Nonprofit agrees to allow the City or <br /> their designee, to inspect, at City's request, and with advance notice to the Nonprofit, all <br /> pertinent records, files, information, or other written material maintained by the Nonprofit or its <br /> subcontractors and related to the subject matter of this Contract. Any failure by the Nonprofit <br /> to provide such records as requested by the City in a timely manner may be deemed by the <br /> City to be in breach of this Contract by the City. Notwithstanding the foregoing requirements <br /> of this Section, the City acknowledges that the Nonprofit may redact or withhold such <br /> information that is deemed confidential by law unless any such confidentiality laws permit <br /> disclosure to the City and such records are pertinent to the City's evaluation of the <br /> performance of the Nonprofit under this Contract. <br /> SECTION 11. Sub-Contracts: No part of this Contract may be subcontracted to any <br /> other person, corporation, entity, organization, or association without the prior written <br /> consent of the City to such sub-contractor and to the terms and conditions of any such sub- <br /> contract. <br /> SECTION 12. Political Activity: The Nonprofit agrees not to use any of the funds <br /> under this contract for any political activity, including any activity to further the election or <br /> defeat of any candidate for public office or any activity undertaken to influence the passage, <br /> defeat, or final content of legislation. <br /> SECTION 13. Compliance With Laws: The Nonprofit agrees to comply with all <br /> applicable laws, ordinances, codes, and regulations of the local, state, and federal governments <br /> including but not limited to those laws, ordinances, codes, and regulations pertaining to equal <br /> employment opportunity and those pertaining to discrimination against participants. <br /> SECTION 14. Breach of Contract: <br /> A. If the City Manager of the City determines that the activities as described in this <br /> agreement are not being carried out as approved by the City or that the Nonprofit is in breach <br /> of any of the terms of this Contract, the City Manager shall notify the Nonprofit in writing of <br /> the deficiency. The Nonprofit shall have ten working days from the date of the notice to <br /> correct or satisfy the deficiency. <br /> B. If the deficiency is not appropriately corrected or satisfied in the opinion of the <br /> City Manager within the prescribed time, notice may be given to Nonprofit that its funding will <br /> be terminated. <br /> C. A decision of the City Manager to terminate funding may be appealed to the <br /> 3 <br />