Common use of Management of Funds Clause in Contracts

Management of Funds. 5.1 It is understood and agreed by and between the parties that a fiduciary duty is created in the Recipient with respect to expenditure of the revenue provided. 5.2 The Recipient shall maintain complete and accurate financial records of each receipt and expenditure of the hotel occupancy funds and, upon request of the Town Council or other person, shall make the records available for inspection and review during normal business hours, in accordance with the provisions of the Texas Public Information Act (Texas Government Code, Chapter 552). 5.3 Hotel occupancy funds may be spent by the Recipient for only those expenditures approved by the Town Council and shown on the attached Exhibit “A” to be directly related to the promotion of tourism and the hotel industry. 5.4 Recipient shall prepare and file with the Town Secretary a post event financial report, on a form prescribed by the Town, no later than 60 days after the event for which hotel occupancy tax funds were spent by the Recipient. This report shall identify a budget comparison of the hotel occupancy funds received by contract and the uses thereof as defined in the overall budget. It shall show the amount budgeted by category item and the actual expenditures of such. It shall compare the projected attendance and heads in beds from the application submitted prior to the event with the actual attendance and number of heads in beds generated by the event.