Common use of Compensation to the City Clause in Contracts

Compensation to the City. The Contractor shall pay to the City a one-time fee of thirty-five thousand dollars ($35,000) upon Contract execution to cover City costs for procuring this Contract. The Contractor shall also pay to the City an Administrative Fee of ten and seven-tenths percent (10.7%) on or before the fifteenth (15th) day of each month during the term of this Contract, starting the month following the initiation of the fee. The Administrative Fee shall be based on the gross receipts received by the Contractor from all Customers under this Agreement, excluding Drop-box Container disposal fees. The Contractor’s obligations to pay the Administrative Fee shall survive the termination date of this Contract until the Contractor is no longer receiving payments from Customers for services provided under this Contract. The Contractor shall fully participate with any City billing audit to confirm the Contractor’s Customer receipts during any accounting period during the term of the Contract. The audit shall be confined to confirming Customer billing rates, Contractor receipts for services provided under this Contract and bad debt recovery. The City may change the Administrative Fee level in any year, provided that the change is synchronized with the annual Contractor rate modification. The City shall notify the Contactor of the new Administrative Fee for the following year by September 1st, and the Contractor shall itemize and include the appropriate adjustment in its Rate Adjustment Statement provided October 1st of each year. In the event that the Administrative Fee is adjusted, either up or down, the Contractor shall add or subtract the change in Administrative Fee plus an amount equivalent to the State excise tax (1.75% in 2023) on the change in Administrative Fee, as may be adjusted from time to time by the State. In addition, the Contractor shall be responsible for payment of all applicable permits, licenses, fees, and taxes as described in the Permits and Licenses Section.

Compensation to the City. The Contractor shall pay to the City a one-time fee of thirtytwenty-five thousand dollars ($35,00025,000) upon Contract execution to cover City costs for procuring this Contract. The Contractor shall also pay to the City an Administrative Fee of ten and seven-tenths percent (10.7%) on or before the fifteenth (15th) day of each month during the term of this Contract, starting the month following the initiation of the feeon August 15, 2019. The Administrative Fee shall be based on the gross receipts revenues received by the Contractor from all Customers under this Agreement, excluding Drop-box Container disposal fees. The initial Administrative Fee shall be assessed at (8.5%) of gross revenues received by the Contractor from those Customers since the last Administrative Fee payment period, consistent with the administrative fee calculations shown in Exhibit D. The Contractor’s obligations to pay the Administrative Fee shall survive the termination date of this Contract until the Contractor is no longer receiving payments from Customers for services provided under this Contract. The rates included in Exhibit B, as modified during the term of this Contract, include the Administrative Fee, and Customers shall not be separately charged an itemized Administrative Fee. Exhibit D contains an example of how the Administrative Fee is included in rates, and lists the Contractor’s service rate, the City’s share of the retail rate, the State excise tax associated with the Administrative Fee, and the combined retail rate. Any adjustments to the Administrative Fee rate shall be calculated in a manner consistent with the example shown in Exhibit D. The Contractor shall fully participate with any City billing audit to confirm the Contractor’s Customer receipts during any accounting period during the term of the Contract. The audit shall be confined to confirming Customer billing rates, Contractor receipts for services provided under this Contract and bad debt recovery. The City may change the Administrative Fee level in any year, provided that the change is synchronized with the annual Contractor rate modification. 1. The City shall notify the Contactor of the new Administrative Fee for the following year by September 1st, and the Contractor shall itemize and include the appropriate adjustment in its Rate Adjustment Statement provided October 1st of each year. In the event that the Administrative Fee is adjusted, either up or down, the Contractor shall add or subtract the change in Administrative Fee plus an amount equivalent to the State state excise tax (1.751.5% in 2023) on the change in Administrative Fee2018), as may be adjusted from time to time by the StateState of Washington. In addition, the Contractor shall be responsible for payment of all applicable permits, licenses, fees, fees and taxes as described in the Section 8.10, Permits and Licenses SectionLicenses.

Compensation to the City. The Contractor shall pay to the City a one-time fee of thirty-five ten thousand dollars ($35,00010,000) upon Contract execution to cover City costs for procuring this Contract. The Contractor shall also pay to the City an Administrative Fee of ten and seven-tenths percent (10.7%) on or before the fifteenth (15th) day of each month during the term of this Contract, starting the month following the initiation of the feeon August 15, 2020. The Administrative Fee shall be based on the gross receipts revenues received by the Contractor from all Customers under this Agreement, excluding Drop-box Container disposal fees. The initial Administrative Fee shall be assessed at (5%) of gross revenues received by the Contractor from those Customers since the last Administrative Fee payment period, consistent with the administrative fee calculations shown in Attachment D. The Contractor’s obligations to pay the Administrative Fee shall survive extend past the termination date of this Contract until the Contractor is no longer receiving payments from Customers for services provided under this Contract. The rates included in Attachment B, as modified during the term of this Contract, include the Administrative Fee, and Customers shall not be separately charged an itemized Administrative Fee. Attachment D contains an example of how the Administrative Fee is included in rates, and lists the Contractor’s service rate, the City’s share of the retail rate, the State excise tax associated with the Administrative Fee, and the combined retail rate. Any adjustments to the Administrative Fee rate shall be calculated in a manner consistent with the example shown in Attachment D. The Contractor shall fully participate with any City billing audit to confirm the Contractor’s Customer receipts during any accounting period during the term of the Contract. The audit shall be confined to confirming Customer billing rates, Contractor receipts for services provided under this Contract and bad debt recovery. The City may change the Administrative Fee level in any year, provided that the change is synchronized with the annual Contractor rate modification. 1. The City shall notify the Contactor of the new Administrative Fee for the following year by September 1st, and the Contractor shall itemize and include the appropriate adjustment in its Rate Adjustment Statement provided October 1st of each year. In the event that the Administrative Fee is adjusted, either up or down, the Contractor shall add or subtract the change in Administrative Fee plus an amount equivalent to the State state excise tax (1.751.5% in 2023) on the change in Administrative Fee2020), as may be adjusted from time to time by the StateState of Washington. In addition, the Contractor shall be responsible for payment of all applicable permits, licenses, fees, fees and taxes as described in the Section 8.10, Permits and Licenses SectionLicenses.