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3.2.2 New accounts added after the first day of a month will be counted as llaviug received service for a <br />full mouth. Accounts discontinued during a given month will be counted as not having received service for <br />that month, as determined by the above described reports. <br /> <br />3.2.3 The Contractor may request iii writing that payments due or to become due to it be assigned to a bank <br />or other finaucing institutiou, provided tbat prior written approval is obtained through the City Manager, and <br />payment by the City is made only to one party. Any assignment not in conformance with this provision will <br />be null and void as to the City. A fee of $100.00 per contract, per request, will be charged to the Contractor <br />for administrative costs in processiug eacb assignment under this paragraph. Upon paymeut of such fee to <br />the City, contract payments will be modified to reflect the changed payee name and address. <br /> <br /> ARTICLE 4 <br />TERM OF CONTRACT <br /> <br />Section 4.1 Contract Term <br /> <br />This Contract will be effective July 1,2003, and will continue for a period of five years, uutil Jnne 30, 2008. <br /> <br />Section 4.2 Breach/Default <br /> <br />Failure by either party to this Contract to perform any of its provisions will constitute a breach of Contract, <br />iu which case, either party may reqnire corrective action withill ten days from date of receipt of written notice <br />citing the exact nature of such breach. Failure to take corrective action or failure to provide a satisfactory <br />written reply excusing such failure within tbe prescribed ten days will constitute a default of Contract. The <br />defaulting party will be given a 20 day period within which to show cause why the Coutract should uot be <br />terminated for default. City Council may take whatever action as its interest may appear, resulting fi'om such <br />notice. The City reserves the right to enforce the performance of the Contract in any manner prescribed by <br />law in the event of breach or default of the Coutract, aud may Contract with anotber party with or without <br />solicitation of proposals or further notification to the Contractor. At a minimum, the Contractor wiII be <br />required to pay any difference in the cost of securing the services covered by this Contract, or compensate <br />for any loss or damage to the City derived hereunder should it become necessary to contract with another <br />sonree because of this default, plus reasonable administrative costs and attorney's fees. lu tile event of <br />termination for default, the City, its agents or representatives, will not be liable for loss of any profits <br />anticipated to be made under this Contract. <br /> <br />Section 4.3 Termination By City <br /> <br />The City reserves tile right to terminate this Contract upon 30 days written notice for any reason deemed by <br />City Council to serve the public interest, or resulting from any governmental law, ordinance, regulations, or <br />court order. No termination for couvenience will be takeu with the intention of awarding the same or a <br />similar Contract to another source. In the event of such termination the City will pay the Contractor tbose <br />costs directly attributable to work done or supplies obtained in preparation for completiou or compliance with <br />this Contract prior to termination. Provided, however, that no costs will be paid which are recoverable in the <br />normal course of doing busiuess in which the Contractor is eugaged, or costs which can be mitigated through <br />the sale of supplies or inventories. In the event City pays for the cost of supplies or materials obtained for <br />use uuder this Contract, these supplies or materials will become the property of City and will be delivered <br />to the City at the place designated by the Director. The City will not be liable for loss of any profits <br />anticipated to be made under this Contract. <br /> <br />Page 6 <br /> <br /> <br />