Revocable encroachment permit Kaiser Hospitals 1100 Veterans NOT recorded

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conditions, covenants, encumbrances and claims of title which may affect the Subject Premises, and it is understood that Permittee, at its own cost and expense, shall obtain such permission as may be necessary consistent with any other existing rights. No reference herein to "Public Rights - Of -Way" shall be deemed to be a representation or guarantee by City that its interest or other rights to control the use of such property is sufficient to permit its use for such purposes. It is not a warranty of title or interest in any Public Rights -Of -Way. It does not confer rights other than as expressly provided in the grant hereof, and Permittee shall be deemed to gain only those rights to use as are properly in City and as City may have the undisputed right and power to give. 3.4 This Permit only authorizes Permittee to use the portions of the Subject Premises specifically described in one or more encroachment permits if and when issued by the City. It does not require the City to approve any particular encroachment permit applications, nor does it provide Permittee with any interest in any particular location within the Subject Premises. This Permit shall not be deemed to approve any particular design or installation technique. Certain specific physical design aspects of the Facilities and detailed approvals of the installation of the Facilities will occur through the issuance of specific permits and approvals by the City. 3.5 This Permit shall be for the non-exclusive use of the Subject Premises. By executing this Permit, City does not agree to restrict the use of the Subject Premises in all or any part of the City by any person in the same business, a related business, or a competing business as Permittee. 3.6 Permittee is not authorized to use any City property located outside of the Public Rights -Of -Way nor any City -owned infrastructure located within the Public Rights -Of -Way without the prior express written permission of the City. ARTICLE IV REQUIRED CASH DEPOSITOR BOND 4.1 Security. Permittee will furnish and deliver to City, the following securities, each of which must be issued by a surety duly and regularly authorized to do general surety business in the State of California, or such other surety as may be acceptable to the City Engineer: (a) Performance Security. Permittee shall furnish and deliver a performance security (the "Durable Performance Security') in the amount of one hundred thousand dollars ($100,000), concurrently with the execution of this Permit, which security must be acceptable to the City Engineer and shall be in substantially the form attached hereto as Exhibit "C. The Durable Performance Security shall be conditioned upon the faithful performance of this Permit and any work performed thereunder and shall be released by City one year following the termination of this Permit. This one (1) year period is to guarantee that any work is of good quality and free from any defective or faulty materials or workmanship. City may draw on the Durable Performance Security in the event of a default by Permittee or in the event that Permittee fails to fulfill any of its obligations under this Permit. City may also draw on the Durable Performance Security to cover any reimbursements owed to City by Permittee. If City draws on the Durable Performance Security, it will notify Permittee of the amount drawn, and Permittee will promptly Page 4 of 24 REV: 09-17-18 PR ATTY/AGR.2018.220/Kaiser- Revocable Encroachment Permit