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INTERLOCAL AGREEMENT BETWEEN SNOHOMISH <br />COUNTY AND THE CITY OF EVERETT FOR <br />HANNABROOK PARK IMPROVMENTS 4 of 9 <br />days from the date of the notice of overpayment. <br /> 5.4 Accounting. The City shall maintain a system of accounting and internal controls <br />that complies with generally accepted accounting principles and governmental accounting and <br />financial reporting standards and provisions concerning preservation and destruction of public <br />documents in accordance with applicable laws, including Chapter 40.14 RCW. <br /> 5.5 Recordkeeping. The City shall maintain adequate records to support billings. The <br />records shall be maintained by the City for a period of five (5) years after completion of this <br />Agreement. The County, or any of its duly authorized representatives, shall have access to books, <br />documents, or papers and records of the City relating to this Agreement for purposes of inspection, <br />audit, or the making of excerpts or transcripts. <br /> 5.6 Audit and Repayment. The City shall return Funds disbursed to it by the County <br />under this Agreement upon the occurrence of any of the following events: <br />5.6.1 If overpayments are made; or <br /> <br />5.6.2 If an audit of the Project by the State or the County determines that the <br />Funds have been expended for purposes not permitted by the REET 2 statute, the <br />State, the County, or this Agreement. <br /> <br />In the case of 5.6.1 or 5.6.2, the County shall make a written demand upon the City for repayment, <br />and the City shall be obligated to repay to the County the Funds demanded within sixty (60) <br />calendar days of the demand. The County’s right to demand repayment from the City may be <br />exercised as often as necessary to recoup from the City all Funds required to be returned to the <br />County. <br /> <br />The City is solely responsible for seeking repayment from any subcontractor in conformance with <br />its debt collection policy. <br /> <br />6. Independent Contractor. The City will perform all work associated with the Project as <br />an independent contractor and not as an agent, employee, or servant of the County. The City shall <br />be solely responsible for control, supervision, direction and discipline of its personnel, who shall <br />be employees and agents of the City and not the County. The County shall only have the right to <br />ensure performance. <br /> <br />7. Indemnification/Hold Harmless. <br /> <br />The City shall assume the risk of liability for damage, loss, costs and expense arising out <br />of the activities under this Agreement and all use of any improvements it may place on the <br />Property. The City shall hold harmless, indemnify and defend the County, its officers, elected and <br />appointed officials, employees and agents from and against all claims, losses, lawsuits, actions, <br />counsel fees, litigation costs, expenses, damages, judgments, or decrees by reason of damage to <br />any property or business and/or any death, injury or disability to or of any person or party, <br />including but not limited to any employee, arising out of or suffered, directly or indirectly, by