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Development and Testing of an Urban Gunshot Site Location System entered into between City and Supplier in 1995 (the 'q'esting and Development Agreement"). The materials, equipment, improvements, and upgrades referred to above are set forth in the specifications, marked Exhibit "A," attached hereto and incorporated by this reference. The materials, software, equipment, improvements, modifications, and upgrades, and System Operations Manual shall hereafter be referred to as the "System" unless the context indicates otherwise. Supplier shall use its best efforts to cause the System to be operational, except for delay due to causes beyond Supplier's control, to the City's reasonable satisfaction, including all improvements, modifications, upgrades, and final System Operations Manual contemplated by the parties, within thirty (30) calendar days after receipt of the First Payment. 3. Payment. City shall pay Supplier, contingent upon the requirements set forth in paragraph 1 above, as full consideration for the faithful performance by Supplier of the herein mentioned obligations, the sum of Eighty- five Thousand Dollars ($85,000) (the "Contract Price") payable as follows: $50,000 payable within five (5) business days after the Approvals (the "First Payment"); and $35,000 payable within thirty (30) calendar days of the Approvals (the "Second Payment"), contingent upon Supplier's satisfactory completion (as further defined in Section 9, below) of all improvements (including eight (8) sensors located at strategic locations), modifications, and upgrades as well as the completion of and availability of a complete System Operations Manual included in the System. Agmt-078 3 shared~share~Redwood\Council FXS:rg 07/21/97 07~5/97R