Res 2007-064 - Laserfiche WebLink

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Section 1.04 In the event that Kula sells its business or ceases business in San Marcos, within five years from the date of this agreement, Kula agrees to repay all amounts received under this Agreement. PART 2. ECONOMIC INCENTIVES PROVIDED BY THE CITY Section 2.01 The City agrees to grant to Kula funds in the following manner: 1. The City will pay to Kula the sum of $4,471.00 per month through May 2007. 2. Effective in June and upon Kula's move into the building located in the City of San Marcos, the City will pay an incentive of 12,500 per month for a period of 12 months. 3. To the extent that this Agreement pertains to multiple budget years the Agreement is subject to funds appropriated by the City Council for economic development incentive grants for each year that this Agreement remains in effect. PART 3. DEFAULT Section 3.01. The City Manager may declare a default under this Agreement if Kula: 1. fails to lease and move into the Hunter Road premises by the deadline in Section 2.01 above (which may be extended if renovation is not completed on time); 2. refuses, fails or neglects to comply with any of the terms of this Agreement, including maintaining all of its business within San Marcos. 3. made any representation in this Agreement or In the application to the City for development incentives that is false or misleading in any material respect; Section 3.02. Should Kula's leased premises burn down or otherwise become inhabitable due to a natural disaster, or other Act of God, a default will not automatically occur; and, the terms of this Agreement may be met by Kula's occupation of a mutually agreeable building. Section 3.02. If the City Manager determines that Kula is in default of this Agreement the City Manager will notify Kula in writing, and if the default is not cured within 30 days from the date of the notice, then the City Manager may terminate this Agreement. If the City Manager determines that Kula is in default of this Agreement on the basis of Kula's no longer being located in San Marcos, the City Manager may terminate this Agreement without allowing Kula to cure the default. Section 3.03. The City may exercise its remedies for default in conjunction with one another or separately, and together with any other statutory or common law remedies available to the City. Any failure by the City to enforce this Agreement with respect to one or more defaults by Kula will not waive the City's ability to enforce the Agreement after that time. 2