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e RFP # 0042 e Contractor will be responsible for any and all additions and/or changes in equipment de- sign and layout necessary to comply fully with local Health and Fire Department regula- tions. Additional electrical service, plumbing or drain lines shall be approved by the City of La Porte, prior to planning installation. Actual installation shall be according to all applicable State laws, regulations and ordinances of City of La Porte. Contractor must also provide approved filters for any and all exhaust systems that may be utilized or installed. 4. INDEMNIFICATION AGREEMENT: City and Contractor shall enter into an "Indemni- fication Agreement" in form attached hereto as Exhibit "A", incorporated by reference herein, and made a part hereof for all purposes. 5. INSURANCE: Contractor shall maintain in effect at all times, insurance coverages as enumerated in "Indemnification Agreement" in form attached hereto as Exhibit "A", in- corporated by reference herein, and made a part hereof for all purposes. 6. CONTRACT BOND: A Business Service Bond covering every and all requirements of the contract, in the amount of $10,000 shall be furnished concurrent with the execution of the contract. In lieu of a bond, a negotiable Certificate of Deposit from a bank in Har- ris County, Texas, or a Letter of Credit from a bank in Harris County, Texas may be fur- nished. 7. TERM OF CONTRACT: The term of the contract will be for a period of four (4) years, with an option for the City to renew for a total of three (3) additional years. 8. AUTHORITY OF THE FACILITY MANAGER: The City of La Porte shall decide any and all questions which may arise as to the acceptability of services rendered and as to the manner of performance;.' all questions which arise as to the interpretation of the con- ditions and specifications, and all questions as to the acceptable fulfillment of the con- tract. The City shall also have the authority to allow certain groups to obtain temporary liquor or beer and wine licenses from the Texas Alcoholic Beverage Commission under special circumstances. 9. SUSPENSION OF THE CONTRACT: If at any time, in the opinion of the City of La Porte, the Concessionaire has failed to render services of proper quality, or has failed in any other respect to perform as specified and intended in and by the terms of the con- tract, notice thereof in writing will be served upon him; and should he neglect or refuse to provide means for a satisfactory compliance with the agreement, as directed by the City of La Porte, within the time specified in such notice, the City shall have the power to suspend the operation of the contract. Upon such suspension, the Concessionaire's control shall terminate and thereupon the City Council of the City of La Porte or its duly authorized representative may employ other parties to carry the contract to completion in such manner as the City Council may deem proper. Any excess cost arising therefrom will be charged against the contractor and his sureties, who will be liable therefore. In the event of such suspension and cancellation, all money due the contractor or retained under terms of the contract shall be forfeited to the Wave pool, but such forfeiture will not release the contractor or his sureties from liability for failure to fulfill the contract. The contractor and his sureties will be credited with the amount of money so forfeited to- ward any excess cost incurred, arising from the suspension of the contract and the com- pletion of it by the Wave pool as provided, and the contractor will be credited with any surplus remaining after all just claims for such completion have been paid. In determination of the question whether there has been any such noncompliance with the contract as to warrant the suspension of annulment thereof, the decision of the City with the approval of the City Council of the City of La Porte, shall be binding upon all parties to the contract. 10. LIMIT A TIONS ON OPERATION: The Concessionaire shall not interfere with the free distribution of food or drinks or any other items of any nature. Free samples may be given away during special events at the discretion of the City of La Porte.