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150 ARTICLE 3 151 TERM OF AGREEMENT 152 3.01 EFFECTIVE DATE AND COMMENCEMENT DATE 153 This Agreement shall become binding and enforceable as of the date (the "Effective 154 Date") that two-thirds (213) of SBWMA's Member Agencies have approved and signed 155 agreements with Contractor substantially similar to this one, as required by Section 156 3.04.13, and all other conditions set forth in Sections 3.04.A and 3.04.6 have been 157 satisfied or waived. 158 Contractor's obligation to Collect Solid Waste, Targeted Recyclable Materials, and 159 Organic Materials under the terms and conditions of this Agreement shall begin on 160 January 1, 2021 at 12:01 a.m. (the "Commencement Date") and shall continue for the 161 remainder of the Term. 162 Between the Effective Date and Commencement Date, Contractor shall perform all 163 activities necessary to prepare itself to start providing services required by this 164 Agreement on the Commencement Date. 165 3.02 TERM 166 Notwithstanding any other provision of this Agreement to the contrary, the 2009 167 Franchise Agreement, this amendment and restatement thereof, and any other 168 amendments mutually agreed by the Parties, shall together constitute a single 169 agreement between the Parties with a single unbroken term (the "Term"). 170 The original Term, set forth in the 2009 Franchise Agreement, began on January 1, 2011 171 with an initial duration of ten (10) years, ending on December 31, 2020. This amendment 172 and restatement extends the Term for an additional fifteen (15) years, for a total Term of 173 twenty-five (25) years. Upon the Effective Date, the Term shall be extended until 174 midnight on December 31, 2035, unless earlier terminated, or extended as provided in 175 Section 3.03. 176 Except as provided below in this Section 3.02, the Parties intend for the 2009 Franchise 177 Agreement to govern the rights and obligations of the Parties through December 31, 178 2020, and for this Agreement to govern the rights and obligations of the Parties from and 179 after January 1, 2021. Thus, to the extent this Agreement amends the 2009 Franchise 180 Agreement, the amendments shall not take effect until January 1, 2021, and shall not be 181 retroactive. 182 As an exception to the foregoing, upon the Effective Date, (i) the 2009 Franchise 183 Agreement shall be amended to extend the Term to 2035 as provided above, and (ii) the 184 2009 Franchise Agreement shall be amended to the extent necessary to give effect to 185 Section 11.02.F of this Agreement. 186 3.03 EXTENSION OF TERM 187 A. Voluntary Extension. At Agency's discretion, but subject to Contractor's consent, 188 this Agreement may be extended without amendment for a period of no less than 189 one (1) and no more than five (5) additional years for a total Term that does not REV: 03-16-18 MI Page 6 of 126 ATTY/AGR.2018.054/Recology of San Mateo