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. Irrigation Facilities through the end of the calendar year. Within 30 days of the receipt of such notice, the <br />Cities will deposit their pro-rata share of that amount with PHA. <br />(g) If any party fails to timely tender any monies due under this Agreement, an interest <br />penalty of 12% shall apply from the date such payment was due. <br />Section 2.2: Maintenance of the Landscaping. PHA shall be responsible for contracting for <br />the maintenance and upkeep of the Landscaping in all regards, including, but not limited to, fertilizing, <br />trimming, mulching, weeding, insect control, and pruning. PHA shall exercise reasonable care for <br />maintaining the Landscaping. <br />Section 2.3: Operation and Maintenance of the Irrigation Facilities. <br />(a) PHA shall be responsible contracting for the operation and maintenance of the Irrigation <br />Facilities in all regards. The contractor for the PHA shall operate and maintain the Irrigation Facilities in <br />good condition and shall promptly repair any leaks or breaks in the Irrigation Facilities. <br />(b) Ordinary repairs to the Irrigation Facilities (defined as any repair costing not more than <br />$5,000) will be paid from the Annual Budget. <br />(c) Extraordinary repairs to the Irrigation Facilities (defined as any repair costing in excess of <br />$5,000) will be invoiced directly to the Parties and will not be paid for from the Annual Budget. The Cities <br />shall pay PHA their pro-rata share of extraordinary repairs within 30 days of such invoice. PHA shall not <br />undertake any extraordinary repairs without first providing written notice to the Cities. <br />Section 2.4: Water Supoly. <br />(a) During the Term of this Agreement, Morgans Point shall provide water to PHA solely for <br />use in the portion of the Irrigation System within Morgans Point's corporate limits. Morgans Point will <br />supply this water without charge and at a pressure not less than 50 psi. <br />(b) During the Term of this Agreement, La Porte shall provide water to PHA solely for use in <br />the portion of the Irrigation System within La Porte's corporate limits. La Porte will supply this water <br />without charge and at a pressure not less than 50 psi. <br />ARTICLE III <br />HIKE AND BIKE TRAIL <br />Section 3.1: Hike and Bike Trail. The "Hike and Bike Trail" consists of the design and <br />installation of an all -asphalt, general purpose hike and bike trail as described in Exhibit A. <br />Section 3.2: Design of the Hike and Bike Trail. <br />(a) PHA has designed the Hike and Bike Trail after consultation with Morgans Point and has <br />incorporated Morgans Point's preferences with respect to the Hike and Bike Trail into the plans and <br />specifications set forth in Exhibit A. <br />(b) Prior to PHA's final approval of the Hike and Bike Trail design, PHA will present the plans <br />and specifications to Morgans Point for final review and comment. <br />(c) After Morgans Point reviews and comments on the final Hike and Bike Trail design, PHA <br />will approve the plans and specifications for the Hike and Bike Trail and prepare all appropriate <br />documents and notices to solicit competitive bids for the construction of the Hike and Bike Trail. <br />(d) PHA will bear all costs associated with the design and competitive bidding of the Hike <br />and Bike Trail. <br />2-10 <br />