Village Theatre 2/1/2019 - Laserfiche WebLink

B. Compensation 1. September 1, 2019 to December 31, 2020 During the first 16 months of the term of this Agreement (that is, from September 1, 2019 until December 31, 2020), City shall pay Theatre$12,500 per month for Theatre's performance of this Agreement. 2. Subsequent Years Beginning in calendar year 2021, compensation paid by the City will annually increase effective January 1st by a percentage equal to the percentage increase in the CPI Index for the month of December the preceding year. For example, the CPI index for December 2019 will be used for the calendar year 2021. The "CPI Index" is the CPI-U for the Greater Seattle Area(Seattle-Tacome-Bellevue),published by the Bureau of Labor Statistics,United States Department of Labor. C. Rental, Facility Fee and Concession Income Income from rental of the Center, facility fees and concessions shall be Theatre income. The Theatre may adjust rental and facility fee rates annually with the approval of the City, which will not be unreasonably withheld. D. Reports Each quarter, Theatre shall provide City with an operational summary of activities and attendance occurring during the quarter, a detailed budget performance summary, and an income statement that clearly reflects income and expenditures according to generally accepted accounting principles. Upon City's request, Theatre shall provide City with income, financial, and profit/loss statements as they are created or maintained by Theatre or its agents for its own management. VI. INDEPENDENT RELATIONSHIP A. This Agreement does not constitute or create an employer-employee relationship. Because Theatre is an independent entity, Theatre shall be responsible for all obligations relating to federal income tax, self-employment FICA taxes and contributions, and all other so-called employer taxes and contributions, including,but not limited to, industrial insurance (Workers' Compensation). Theatre agrees to pay any leasehold excise tax, if applicable, levied under Chapter 82.29A RCW together with any interest and penalties which may be assessed thereon. Theatre agrees to indemnify, defend and hold City harmless from any claims, valid or otherwise, made against City because of such obligations. B. Any employee of Theatre, while engaged in the performance of any work or service required by Theatre under this Agreement, is the employee of Theatre only and not of City, and any claim that may arise under the Workers' Compensation Act and any claim made by a third party as a consequence of any negligent act or omission on the part of EVERETT/VILLAGE THEATRE AGREEMENT Page 5 of 10