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ARTICLE 3. CONTRACT TIME, TIME FOR COMPLETION AND LIQUIDATED <br /> DAMAGES <br /> 3.1 Time is of the essence in the performance of the Services under this Agreement. The <br /> Commencement Date shall be the date specified in the Notice to Proceed issued by the City <br /> Manager or his designee. Contractor shall perform the Services in accordance with the Contract <br /> Documents and shall achieve Final Completion of the Services no later than One Hundred Eighty <br /> (180) days from the Commencement Date specified in the Notice to Proceed issued by the City <br /> Manager or his designee. The Notice to Proceed will be issued after the Contractor has obtained <br /> the necessary Permits to complete the Project. Contractor shall be required to apply for the <br /> necessary Permits to complete the Project no later than Ten (10) days after execution of this <br /> Agreement. <br /> 3.2 Contractor shall submit all required documents, including but not limited to the Bonds <br /> and the Insurance Certificate, prior to issuance of Notice to Proceed by the City Manager or his <br /> designee. In the event Contractor fails to deliver to the City Manager or his designee the required <br /> documents within ten(10)days after execution of this Agreement, or fails to apply for the Permits <br /> within ten (10) days after execution of this Agreement, or fails to commence Services by the <br /> date specified in the Notice to Proceed issued by the City Manager or his designee, then <br /> Contractor shall be in default. In such event the City, in addition to all remedies provided for an <br /> event of Contractor's default hereunder, shall have the right to collect from Contractor all expenses <br /> incurred by the City in the re-procurement of the Services. <br /> 3.3 Time is of the essence throughout this Agreement. <br /> 3.4 Upon failure of Contractor to complete the Services within the deadline stated in the <br /> Contractor's "Project Timeline", attached hereto as Attachment "A", no later than One Hundred <br /> Eighty (180) days from the Commencement Date specified in the Notice to Proceed, plus any <br /> approved time extensions (if applicable), Contractor shall pay to the City the sum of Four <br /> Hundred Dollars ($400.00) for each calendar day date beyond this deadline for completion. <br /> These amounts are not penalties but are liquidated damages to the City for its inability to <br /> obtain beneficial occupancy and/or use of the Project. Liquidated damages are hereby fixed <br /> and agreed upon between the parties, recognizing the impossibility of precisely <br /> ascertaining the amount of damages that will be sustained by the City as a consequence of such <br /> delay, and both parties desiring to obviate any question of dispute concerning the amount of <br /> said damages and the cost and effect of the failure of Contractor to complete the Services on <br /> time. <br /> 3.5 The City is authorized to deduct liquidated damages from monies due to Contractor for <br /> Services under this Agreement or as much thereof as the City may, in its sole discretion, deem just <br /> and reasonable. <br /> 3.6 Contractor will promptly perform its duties under the Contract Documents and will <br /> give the Services as much priority as is necessary to cause the Services to be completed on a <br /> timely basis in accordance with the Contract Documents. Time is of the essence of this <br /> Agreement. All Services shall be performed strictly (not substantially) within the time <br /> C5800-1617-058—SAFEWARE. INC. Page 4 of 25 S ''D' <br />