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Activities will be divided over three component areas: <br /> 1. COMPONENT 1: Expand SouthBendON.com <br /> 2. COMPONENT 2: Expand the Use of Media <br /> 3. COMPONENT 3: Supporting the Business Plan/Contingency <br /> These activities are more specifically set forth in Exhibit A, Scope of Services. <br /> Section 2. Consideration <br /> A. Fees. <br /> 1) the City agrees to pay BWG for professional services rendered under <br /> Section 1 of this Agreement, based on the total number of hours worked <br /> on behalf of the City and BWG's rates for professional services <br /> 2) BWG agrees that the total amount to be paid for its services, including <br /> labor and production expenses as described under Section 2 B of this <br /> Agreement, shall not exceed Five Hundred Eighty Thousand Five <br /> Hundred Dollars ($580,500.00) <br /> 3) BWG will submit a detailed invoice for services rendered at the end of <br /> each month under the Agreement <br /> 4) the City shall pay to BWG amounts shown on each such statement <br /> within thirty(30) days after receipt thereof. <br /> B. Reimbursement of Production Costs and Related Expenses. <br /> 1) the City shall reimburse BWG for all reasonable, necessary and <br /> approved expenses incurred or paid by BWG in connection with the <br /> performance of services under this Agreement; <br /> 2) BWG shall provide the City with a statement of actual expenses, <br /> receipts and other necessary documentation to substantiate such <br /> expenses as they are incurred; <br /> 3) BWG agrees to provide the City with a monthly summary of the status <br /> of the total operating budget, inclusive of labor and production <br /> expenses; and <br /> 4) the City shall pay to BWG amounts shown on each such statement <br /> within thirty (30) days after receipt thereof and, if convenient to the <br /> City, such payments to be made via direct deposit into BWG's <br /> business banking account. <br /> - 2 - <br />