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7./-/_F <br /> <br /> Single Source Medical provides durable medical equipment (DME) and other <br />supplies to the injured workers of City at competitively Iow rates. City shall have access <br />to the best pricing offered by Single Source Medical, and will automatically be eligible to <br />receive available discount rates. <br /> <br /> In the event that City elects not to participate in the goods and services offered <br />by either of CMI's affiliated entities, but rather to contract through unrelated vendors, <br /> <br />City will contact CMI's executive staff to make these arrangements. <br /> VII. PENALTIES AND CITATIONS <br /> <br /> The parties acknowledge that the California Workers' Compensation Reform Act <br />of 1989 requires first payment of Temporary Disability indemnity within 14 days of the <br />City's knowledge of the injury and generally imposes an automatic penalty of 10% of the <br />amount delayed for late indemnity payments which shall be payable directly to the <br />injured employee without application. Furthermore, the parties agree that unless CMl is <br />provided with notice of the claim within five (5) days of the City's knowledge of the <br />injury, the above-referenced automatic penalty of 10% shall be and remain the sole <br />responsibility of City. CMl will agree, however, to make a good faith effort with due <br />diligence to issue the first Temporary Disability Indemnity payment within the 14-day <br />requirement, even in the event that notice of claim is not received by CMl within five (5) <br />days of the City's knowledge of the injury. <br /> <br /> CMl will not be responsible for penalties assessed that are the responsibility of <br />the City, including: <br /> <br /> A. Failure by City to provide an Employee Claim Form within twenty-four (24) <br />hours upon request of the injured worker or his/her agent. Failure of employer to <br /> <br />F:A'FrY/AGRIAGR.048 6 <br />061902 <br /> <br /> <br />