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4 <br /> (b) ESM will maintain records which may be necessary to document expenses authorized by <br /> him. ESM will also document tenant complaints and share their concerns with the County as may be <br /> appropriate. <br /> 6. Renting of premises. <br /> (a) As vacancies occur,and in the event the County has no need to fill the vacancy with a <br /> County function,ESM will use its best efforts to lease space in the property on such terms as are agreed by <br /> the County. <br /> ESM will collaborate with the County in negotiating leases,extensions,renewals, licenses or other <br /> agreements for the rental or use of space by non-public tenants and present same for approval by the Board <br /> of Commissioners. <br /> (b) Under no circumstances shall ESM permit any person or entity to occupy any space in <br /> the building without a written lease or agreement,and/or without paying any rent for it,unless the prior <br /> consent of the County has been obtained. ESM agrees to notify the County, in writing,immediately upon <br /> receiving knowledge that any space is occupied by any person or entity that is not paying rent or that does <br /> not have a lease or written agreement covering such space. <br /> (c) When authorized by the County,the ESM may enter into periodic leasing of parking <br /> spaces on a month to month basis,subject to availability,and at a rental rate agreeable to the County and <br /> the tenant. This income will be considered part of the gross income for the property and will be included <br /> in the property management fee for service. <br /> 7. Rent Collection. ESM will advise all tenants of the address for all rental payments to be made <br /> payable to. The County will advise ESM of the rental payments received monthly and to advise ESM of <br /> any late payments,special conditions or arrangements made with/for any tenants. <br /> 8. Management Fee. The County shall pay ESM a monthly management fee for all services <br /> provided under this agreement for a total which equals 6%of the gross monthly rental for the 501 West <br /> Franklin Street property as well as any parking revenue which may derived from tenants other than those in <br /> the property. In the event that a County department resides as a tenant in the facility,a base rent <br /> equivalent to the average of all rents in the facility will form the basis for the management fee. The <br /> County will submit to ESM an accounting of the gross monthly rents along with the management fee check <br /> monthly,on or about the 15th of each month. <br /> In addition to the management fee any extraordinary and authorized out of pocket expenses will <br /> be paid monthly and identified as "reimbursables". <br /> 9. Fidelity Bond. ESM shall maintain in effect a fidelity bond to secure the faithful performance of <br /> the obligations contained in this Agreement. <br /> 10. Insurance. <br /> (a) County agrees to carry and keep in effect property and liability insurance covering the <br /> property. Property coverage shall not include the contents in tenant space. <br /> (b) ESM agrees to make a timely written report to the County concerning any accidents and <br /> claims relating to the property or its operation which are insured against by the County. <br /> 11. Indemnification. <br /> (a) County's obligation. The County agrees to indemnify ESM to the extent permitted by <br /> law and insurance policies owned by the County from and against any liability, loss,damage,cost or <br /> expense by reason of any act or omission,except in the circumstances involving fraud or gross negligence. <br /> (b) ESM's obligation. ESM agrees to indemnify and hold the County harmless from and <br /> against any and all claims,damages,losses,and expenses arising out of or resulting from gross negligence <br /> or willful misconduct on the part of ESM or its agents in the performance of ESM's duties under this <br /> agreement. <br /> (c) Third party. Nothing contained in this paragraph shall be deemed to create any rights in <br /> any person or entity that is not a parry to this Agreement. <br />