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<br />The City of San Marcos Facilities Service Contract <br /> <br />(C) Uninsured Costs. The City shall provide all funds necessary to pay the <br />costs of repairing, replacing and restoring the Facilities in accordance with this Section and all <br />insurance proceeds and recoveries from third parties resulting from damage to or the loss or <br />destruction of the Facilities shall be for the account of the City, provided, however, that such <br />costs not covered by insurance proceeds or third party payments shall be borne by the <br />Company to the extent the loss, damage or destruction was not caused by, Uncontrollable <br />Circumstances or City Breach and to the extent caused by the Company's Willful or Negligent <br />Act, Error or Omission. <br />(D) Repair of City and Private Property. The Company shall promptly repair <br />or replace all City Property and all private property damaged by the Company or any officer, <br />director, employee, representative, subcontractor or agent of the Company in connection with <br />the performance of, or the failure to perform, the Contract Services. The repair and <br />replacements, to the maximum extent reasonably practicable, shall restore the damaged <br />property to its character and condition existing immediately prior to the damage. <br />SECTION 9.8. CENTRIFUGE MAINTENANCE CONTRACT. The Company <br />shall assume the City's existing centrifuge maintenance contract between the City and <br />Westfalia. Mter expiration of the Westfalia contract, the Company will either renew the <br />Westfalia contract or enter into a maintenance contract with another centrifuge maintenance <br />provider unless otherwise agreed to in writing by the parties. The Company shall be <br />responsible for all remaining payments to be made pursuant to such contracts and such <br />payments shall be charged against the Corrective Maintenance Budget. <br /> <br />69 <br />