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7. LICENSE FEE: <br />A. Except as provided in subsection (B) below, the Licensee shall pay to the <br />City, upon the Effective Date of this Agreement, the "Outdoor Business Activity Permit <br />(Parklets and Sidewalk Cafes) —Annual Use of Space Fee," as adopted by Resolution 16063 of <br />the Council, and as amended from time to time, until this License Agreement is terminated. The <br />Annual Use of Space Fee shall be calculated based on the square footage of the Licensed Area <br />and for this License Agreement is initially set at $7,486.08. The Licensee is solely responsible <br />for confirming the accuracy of the square footage of the Licensed Area. <br />B. Waiver of Fee. If the Licensee applied for an Outdoor Business Activity <br />Permit under the Program by January 20, 2023, and signed their license agreement, indicating <br />full permit issuance, by October 31, 2024, the License Fee described in subsection (A) shall be <br />waived for the first year of this License Agreement. <br />8. REPAIR AND MAINTENANCE: <br />A. The Licensee, at its sole cost and expense, agrees to repair and maintain <br />the Licensed Area and all Improvements located thereon in good repair and condition (including <br />the making of all necessary replacements) and in a neat, safe and clean condition. The City shall <br />not be responsible for any damages or destruction of any Improvements to the Licensed Area. <br />B. The Licensee shall comply, at all times, with the terms and conditions of <br />this License Agreement and with the Operation and Maintenance standards identified in the <br />Guidelines, as may be amended from time to time, and any governmental laws, rules and <br />regulations applicable to the Licensed Area or the Improvements. <br />C. The Licensee's obligations under this License Agreement include, but are <br />not limited to, the making of all necessary repairs and replacements to all parts of the Licensed <br />Area and any Improvements thereon, whether structural or non-structural, ordinary or <br />extraordinary. The Parties agree that the City has no obligation to maintain, repair or replace any <br />part of the Licensed Area or Improvements thereon during the term of this License Agreement. <br />9. ACCEPTANCE; CONSTRUCTION OF IMPROVEMENTS: <br />A. The Licensee acknowledges that prior to entering into this License <br />Agreement it has investigated and inspected the Licensed Area to the full extent that the <br />Licensee has deemed necessary and appropriate. The Licensee acknowledges that the City has <br />made, and is making, no representations or warranties, express or implied, as to the condition of <br />the Licensed Area or as to the suitability of the Licensed Area for the Licensee's intended use. <br />THE LICENSEE ACCEPTS THE LICENSED AREA "AS -IS" AND "WHERE -IS", WITHOUT <br />REPRESENTATION OR WARRANTY OF ANY KIND OR NATURE, AND SUBJECT TO <br />ALL MATTERS, LIMITATIONS, CONDITIONS, AND RESTRICTIONS WHETHER OR <br />NOT OF PUBLIC RECORD. <br />B. The Licensee agrees that any and all work in the Licensed Area will be <br />performed in a good and workmanlike manner, pursuant to plans and specifications reasonably <br />REV: 10-16-24 JB <br />ATTY/AGR.2024.192/Limon (885 Middlefield Rd) (Page 4 of 33) <br />