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2 CONTRACT NO.C06-63200- 71 <br /> SECTION 17 -TRAVEL AND SUBSISTENCE REIMBURSEMENT <br /> Travel and subsistence reimbursement shall be made in accordance with the guidelines followed by the GRANTEE in the <br /> course of normal operations. In the absence of local provisions, per diem rates and travel allowances shall be paid in <br /> accordance with rates set for state employees pursuant to RCW 43.03.050 and RCW 43.03.060 as now existing or <br /> hereafter amended. <br /> SECTION 18 - SPECIAL PROVISION <br /> The DEPARTMENT's failure to insist upon the strict performance of any provision of this CONTRACT or to exercise <br /> any right based upon a breach thereof or the acceptance of any performance during such breach shall not constitute a <br /> waiver of any right under this CONTRACT. <br /> SECTION 19 - HOLD HARMLESS <br /> The GRANTEE agrees to defend,hold harmless,and indemnify the State of Washington and the DEPARTMENT,their <br /> officers, agents, employees,and assigns against any and all damages of claims from damages resulting or allegedly <br /> resulting from the GRANTEE's performance of activities under the terms of this CONTRACT. <br /> SECTION 20 - DISPUTE RESOLUTION <br /> Except as otherwise provided in this CONTRACT,when a bona fide dispute arises between the parties and it cannot be <br /> resolved through discussion and negotiation, either party may request a dispute hearing. The parties shall select a dispute <br /> resolution team to resolve the dispute. The team shall consist of a representative appointed by the DEPARTMENT, a <br /> representative appointed by the GRANTEE, and a third party mutually agreed upon by both parties. The team shall <br /> attempt,by majority vote,to resolve the dispute. The parties agree that this dispute process shall precede any action in a <br /> judicial or quasi-judicial tribunal. <br /> SECTION 21 - GOVERNING LAW AND VENUE <br /> The CONTRACT shall be construed and enforced in accordance with, and the laws of the State of Washington hereof <br /> shall govern the validity and performance. Venue of any suit between the parties arising out of this CONTRACT shall be <br /> the Superior Court of Thurston County, Washington. <br /> SECTION 22 -APPLICABLE LAWS AND REGULATIONS <br /> The GRANTEE shall comply with all existing applicable laws, ordinances, codes,regulations and policies of local, state, <br /> and federal governments,as now or hereafter amended. <br /> SECTION 23 - SEVERABILITY <br /> In the event any term or condition of this CON 1RACT or application thereof to any person or circumstances is held <br /> invalid, such invalidity shall not affect other terms,conditions, or applications of this CONTRACT which can be given <br /> effect without the invalid term,condition, or application. To this end,the terms and conditions of this CONTRACT are <br /> declared severable. <br /> Page 6 of 10 252 <br />