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<br /> SERVICE AGREEMENT
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<br /> II. SERVICE PROVIDED: Contractor agrees to provide the following
<br /> — service to the County:
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<br /> (a) Contractor will correctly mail, by First-Class mail, food
<br /> stamp coupons (hereafter called coupons) to clients desig-
<br /> nated by the County at the addresses furnished to the Con,
<br /> tractor by the State.
<br /> ,-' (b) Contractor will, within 24-hours of receipt of the same from
<br /> - ' the County, make any and all changes of the mailing lists to
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<br /> comply with the applicable changes submitted to ensure the
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<br /> correct mailing to clients at changed and corrected addresses.
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<br /> (c) The Contractor will complete and deliver a-monthly FNS-250
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<br /> report to the County for certification and forwarding to the
<br /> State Office. The Contractor will complete a daily Cashier's
<br /> Reconciliation Report (CDRR) and forward same to the County
<br /> along with a copy of the issuance register. The Contractor
<br /> , - shall also provide to the County such information needed by
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<br /> the County to complete reports as may be required.
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<br /> (d) In order to deter thefts, Contractor will stagger the dates
<br /> of mailing of coupons by date and zip code according to in-
<br /> structions from the County.
<br /> (e) Performance of service will be conducted in a manner to ensure •
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<br /> the confidentiality of information; data, instruments, docu-
<br /> ments, studies, and reports given to Contractor to use or pre-
<br /> pare for the County.
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<br /> III. Is/ABIL/TY: Inasmuch as the County is liable to the State of North
<br /> Carolina for any unauthorized coupon issuances or coupon thefts and for any
<br /> coupon shortages or losses for whatever cause, including, but not limited
<br /> :,:,•1; to, loss due to erroneous mailings, the Contractor agrees that it shall be
<br /> liable to the County in like manner and amount and shall hold the County
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<br /> harmless from claims of the State arising from any such cause; the Contractor
<br /> further agrees:
<br /> (a) That it will maintain in full force and effect during the term
<br /> of this contract, or any renewal or extension thereof, such in-
<br /> surance or bond, and in such amount, as the County/City may re-
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<br /> quire to indemnify the County/City against any theft of coupons
<br /> ',1'' • while they are in the actual or constructive possession of the
<br /> Contractor, its agents and employees, and against any loss or
<br /> shortage of coupons or other loss arising out of any actor
<br /> omission of the Contractor, its agents and employees.
<br /> :..7- (b) That if the County/City suffers any loss of any shortage or
<br /> reduction in coupons by reason of any act or omission of the
<br /> .1: Contractor, its agents or employees, the County/City, at its
<br /> 1,.• election, may recover the value of its losses by requiring
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<br /> that the Contractor pay the amount of such loss or by deduct-
<br /> ing the amount of such loss from service payments due the
<br /> . Contractor under this contract or both;- but in no event shall •
<br /> ''', • the amount recovered by the County/City hereunder exceed its
<br /> losses.
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