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; . e e 4.2 The Contractor shall furnish all labor, materials and equipment necessary to operate the site and shall be responf?ible for all required maintenance thereof. Supervision by an experienced person, as licensed by the State of Texas to operate a Class IV landfill, shall be provided at all times when the site is open for use or operation. The Contractor shall maintain all roads, entrances and exits to the Landfill in a good state of repair suitable for use in all weather conditions. V COMPENSATION 5. 1 Subj ect to the Contractor's compliance with the terms and conditions of this Agreement, the City shall pay and the Contractor agrees to accept the follow sums of money for each cubic yard of Class IV Waste delivered by the City or its contractor in the specified type of vehicle: Compacted Waste - $2.65 per cubic yard $2.50 per cubic yard Non-Compacted Waste - 5.2 It is understood that the base price per cubic yard is $2.25 for compacted and non-compacted Class IV Waste, and the prices above represent the inclusion of the current state fee of $0.40 per cubic yard of compacted waste and $0.25 per cubic yard of non-compacted waste. Any increase in fees over the current state fee outlined above shall be passed on to the city as they become effective. 5.3 The Contractor shall invoice the City for a sum equal to the number of cubic yards of Class IV waste delivered in the preceding month times the applicable cubic yard price. The invoice shall be submitted within ten (10) days following the end of the month, and the City will pay the Contractor on or before the end of the month. VI TERM OF THE AGREEMENT 6.1 This Agreement shall be effective for a period of eighteen (18) months from and after October 1, 1993 until March 31, 1995, unless terminated earlier in accordance with the terms of this Agreement. Upon expiration of the eighteen-month term of this Agreement, this Agreement shall continue on a month- to-month basis with the same terms and conditions set forth herein, with the right of either party to terminate the Agreement upon ninety (90) days written notice to the other party. PAGE 3 OF 7