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hardship will result to any participant. <br />B. In the event CONTRACTOR defaults by failing to fulfill all or any of its <br />obligations hereunder, CITY may declare a default and termination of this Agreement by <br />written notice to CONTRACTOR, which default and termination shall be effective on a date <br />stated in the notice which is to be not less than ten (10) days after certified mailing or personal <br />service of such notice, unless such default is cured before the effective date of termination <br />stated in such notice. If terminated for cause, CITY shall be relieved of further liability or <br />responsibility under this Agreement, or as a result of the termination thereof, including the <br />payment of money, except for payment for approved expenses incurred for services <br />satisfactorily and timely performed prior to the mailing or service of the notice of termination, <br />and except for reimbursement of (1) any payments made for services not subsequently <br />performed in a timely and satisfactory manner, and (2) costs incurred by CITY in obtaining <br />substitute performance. <br />XVI. <br />DISPUTES <br />Except as otherwise provided in this Agreement, any dispute concerning any <br />question arising under this Agreement shall be decided by CITY. In such a case CITY shall <br />reduce its decision to writing and mail or otherwise furnish a copy thereof to <br />CONTRACTOR. The decision of the City shall be final and conclusive unless within <br />thirty (30) calendar days from the mailing or delivery of such copy, CITY receives from <br />CONTRACTOR written request to appeal said decision. <br />Procedures governing the appeal shall be prescribed by CITY and /or the <br />State of California in accordance with the Act and all corresponding regulations and OMB <br />circulars. Pending final disposition of the appeal, CONTRACTOR shall act in accordance <br />with CITY's decision unless the dispute involves a change order. <br />XVII. <br />BREACH - SANCTIONS <br />If, through any cause, CONTRACTOR violates any of the terms and <br />conditions of this Agreement, and /or prior agreements whereby grant funds were received <br />by CONTRACTOR pursuant to this Agreement, or if CONTRACTOR reports inaccurately <br />or if any Audit Report makes disallowances, CONTRACTOR shall promptly remedy its <br />acts or omissions and /or repay CITY all amounts due CITY as a result of <br />CONTRACTOR's violation. For any such failures or violations, CITY shall also have the <br />right at its sole discretion to either: (1) discontinue program support until such time as <br />CONTRACTOR fulfills its obligations or remedies all violations of this agreement or prior <br />agreements; and /or (2) collect outstanding amounts as determined by CITY due CITY by <br />offsetting or debiting from current claims or invoices, if after thirty (30) days' written notice <br />CONTRACTOR has failed to repay same or a repayment schedule has not been made; <br />and /or (3) terminate this Agreement by giving written notice to CONTRACTOR of such <br />termination in accordance the notice provision in Paragraph XVIII herein below. <br />14 <br />TO <br />