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11 <br /> SECTION 2 <br /> Term of Agreement <br /> The term of the Contract will be for forty-two (42) months unless otherwise agreed by the parties; <br /> the period from October 1, 2005, through March 31, 2009 (hereafter referred to as initial term) <br /> assuming that funds are appropriated annually and the performance of the contractor is satisfactory. <br /> The level of performance expected is defined in this contract. <br /> This Contract may be extended and/or expanded following the initial term for a period of two (2) <br /> additional years assuming that the Urban Curbside Recycling Program is successful, that County <br /> approves continuing the program,and that funding is approved annually through the approval of the <br /> overall Department of Solid Waste Management budget. <br /> Terms of this Contract may change if the change is agreed to by Contractor and County. <br /> Contractor has no rights and will acquire no rights to notice or in the County Urban Recycling <br /> Program or in recyclables (as defined in this Contract) beyond those contained in this Contract. <br /> Termination of this Contract resulting from default by Contractor or non renewal at the expiration of <br /> its term or any extension terminates all rights of Contractor with respect to the collection of <br /> recyclables, notwithstanding any law purporting to create a right in Contractor to "displacement <br /> compensation"named as such or identified by any other name. <br /> SECTION 3 <br /> Performance Bond <br /> Contractor shall provide County with a Performance Bond in the amount of One Hundred percent <br /> (100%) of the first full year's projected contract price, or $609,444. This Performance Bond shall <br /> be in effect for the duration of the Contract period. The form and substance of the Performance <br /> Bond must be approved by County before the effective date of execution of this Contract. All <br /> Performance Bond revisions and renewals must also be approved by County prior to their effective <br /> date. <br /> SECTION 4 <br /> Costs of Service <br /> a) Urban Curbside Program <br /> The cost of service for Urban Curbside Recycling for July 1,2005 through March 31,2006 shall <br /> be $3.98 per Residence per month. The cost of service for Urban Curbside Recycling for April <br /> 1, 2006 through June 30, 2006 shall be $2.97 per Residence per month. Residence count shall <br /> be the number of units eligible for service in Carrboro, Chapel Hill, and Hillsborough plus any <br /> serviceable Non-Residences as described in Section 4, subsection c of this Contract. <br /> b) Expanding Collection to Include Additional Materials <br /> County may, with Contractor's approval, expand the list of Recyclable Materials to include <br /> Mixed Paper (OMP) and Corrugated Cardboard (OCC). The monthly cost per Residence of <br /> adding the additional materials will be as follows: $0.20/Residence to expand collection to <br /> 3 <br />