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b. The Contractor acknowledges that it is the City's position that liquor licenses <br /> and uninterrupted alcoholic beverage sales ability are vital to the operation of <br /> the courses.. The Contractor acknowledges that the loss of a liquor license(s) <br /> for an extended period of time, other than for reasons beyond its control,will be <br /> viewed as a serious negative operational performance issue that will require the <br /> Contractor and City to negotiate a resolution. <br /> H. CITY RESPONSIBILITIES <br /> 1. City's Responsibilities <br /> a. During the term of this Contract,the City's responsibilities shall include but not <br /> be limited to the following: <br /> 1) To monitor and evaluate the Contractor's performance for <br /> compliance with the terms of the Contract. <br /> 2) To establish fees,rules and regulations. <br /> 3) To provide forms to fulfill the requirements of the Contract. <br /> 4) Cooperate with the Contractor to enable it to accomplish the tasks <br /> set forth in this Contract. <br /> 5) To allow the Contractor to occupy the courses. <br /> 6) To inspect the Premises at least quarterly to determine if custodial <br /> functions are adequate. <br /> 7) To provide the staffing,materials and supplies necessary to <br /> maintain all areas of the courses not identified as the Contractor's <br /> responsibility. <br /> 8) Disburse payments for all fees, reimbursements and growth <br /> incentive payments due to the Contractor in a timely manner. <br /> I. COSTS AND EXPENDITURES <br /> 1. Direct Cost <br /> a. The normal and ordinary costs of operating and maintaining the courses <br /> ("Direct Costs") shall be paid by the Contractor from the Contractor's bank <br /> account. A Direct Cost shall be any cost which is directly related to the normal <br /> and ordinary staffing, operations or maintenance of the courses,repairs and <br /> restorations incurred by the contractor unless they constitute a capital expense <br /> as defined herein and additionally including, but not limited to,the following: <br /> 1) Employee salaries. <br /> 2) Employee commissions. <br /> 3) Employee benefits including uniforms, vacation, sick leave, health <br /> insurance, disability insurance and worker's compensation <br /> insurance. <br /> 4) Lease and rental of equipment including golf carts. <br /> 16 <br />