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e. In addition to above, failure or neglect to correct chronic problems will <br />be considered a Breach of Contract - $50.00 each instance. <br />Failure to abide by the City's regular collection hours - $250.00 each <br />instance. <br />g. Failure to collect recyclables, which are properly prepared and placed for <br />collection as part of the collection program - $25.00 each instance. <br />h. Missing entire blocks /neighborhoods. A missed block is defined as a <br />block where residents from at least three (3) households within two <br />intersections of that block or cul -de -sac report that their material was out <br />before 7:00 a.m., the material was not picked up and the addresses did <br />not appear on the records as unacceptable setouts - $250.00 each <br />instance. <br />District -wide collection not completed. The failure to complete a <br />majority (50% or more) of pickups within the city or collection district <br />on the scheduled collection day without following proper notification <br />procedure - $2,500.00 per instance. <br />The City shall impose a $250 charge per instance against the Contractor <br />payable to the City for prohibited mailings sent to residential dwelling <br />units. The Contractor is also responsible to give written notice to those <br />residents within thirty (30) days as to the error and reason for the <br />prohibited mailing. The Contractor shall bear full responsibility and <br />expenses incurred for notifying residents of the prohibited mailing. <br />k. The City shall impose a $2,500 charge per billing cycle should the <br />Contractor fail to notify the City, within 30 days of a reduction in tipping <br />fees as required by this agreement. In addition to this charge, the <br />Contractor shall also make a refund to the City in the next billing cycle <br />of any amount overcharged. <br />4. Legal Compliance. <br />a. This Contract is governed in all respects by the laws of the State of <br />Minnesota, and all obligations are enforceable in accordance therewith; <br />and the Contractor, where required, must obtain all licenses or permits to <br />transact a refuse collection business in the City of Little Canada, Ramsey <br />County, and the State of Minnesota. <br />b. The Contractor will acquaint itself with all pertinent City Ordinances <br />and shall comply with all health rules, regulations, and Ordinances of the <br />-15- <br />16 <br />