Agmt05 BFI Waste Systems - Laserfiche WebLink

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1 ARTICLE 3 2 FRANCHISE FEE AND OTHER FEES 3 4 3.01 Franchise Fee. 5 6 3.01.1 Franchise Fee Amount. In consideration of the exclusive franchise 7 provided in Section 2.01 of this Agreement, Contractor shall pay to Agency thirteen 8 percent (13%) (or such other amount as provided in Section 3.01.3) of Gross Revenues 9 derived by Contractor from services provided in Agency's Service Area under this 10 Agreement. This fee may be adjusted in accordance with Section 3.01.3 by Agency by 11 resolution. This Fee shall be a I'ass-Through Cost. 12 13 3.01.2 Time and Method of Payment. ()n or before the twentieth (20th) 14 day after the end of each calendar quarter during the Term of this Agreement, 15 Contractor shall remit to Agency the Franchise Fee Amount. If the Franchise Fee is not 16 paid on or before the twentieth (20th) day after any calendar quarter, Contractor shall 17 pay to Agency a late payment penalty in an amount equal to two percent (2 %) of the 18 amount owing for that quarter. Contractor shall pay an additional two percent (2%) 19 owing on any unpaid balance for each following thirty (30) day period the fee remains 20 unpaid. Late payment penalty amounts shall not be included in any Contractor 21 revenue requirement. The late payment penalty amounts are not intended as interest 22 on debt, but rather are intended as a predetermined penalty for failure to meet an 23 obligation under this Agreement. 24 25 Each quarterly remittance to Agency shall be accompanied by a statement 26 detailing Gross Revenues for the period covered from all operations conducted or 27 permitted pursuant to this Agreement. In addition, Contractor shall maintain copies of 28 all Billing and Collection records for three (3) years, following the date of billing, for 29 inspection and verification by Agency at any reasonable time upon request. 30 31 3.01.3 Adjustment to Franchise Fee. The Agency may adjust the amount 32 of the Franchise Fee annually. Such adjustment shall be reflected in the rates that 33 Contractor is allowed to charge and Collect from service recipients. 34 35 3.02 AB939 Fee. 36 37 3.02.1 AB939 Fee Amount. Agency has incurred expenses for preparing, 38 adopting, and implementing the Source Reduction and Recycling and Household 39 Hazardous Waste Elements (SRRE and HHWE, respectively) required by AB 939. 40 Agency has and will continue to incur expenses for implementing the programs in the 41 SRRE and HHWE, and other programs Agency deems necessary and for administering 42 this Agreement. These expenses may be determined and a fee developed to reimburse 43 Agency and/ or SBWMA. Such fees may be set by Agency resolution and the amount of 44 the fee communicated to Contractor by Agency and/ or SBWMA. If a fee is developed, Atty j Agrj2005.022 060205 -10-