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to service the property. The Developer shall hire the Contractor, with the approval of the Cities <br />of Lino Lakes and Hugo, to install the improvements. <br />B. The Developer shall prepare all necessary documents to bid out the <br />project. The Developer shall hire contractors to install the water system to the property. The <br />contractors shall be of the choosing of the Developer. Neither Hugo nor Lino Lakes shall be <br />responsible for any actions of the Developer or the Developer's contractors regarding the <br />installation or construction of the water system. All work to be done in constructing and <br />installing the water system within Lino Lakes shall be done subject to the approval of the Lino <br />Lakes City Engineer in accordance with City standards and requirements. All work to be done in <br />constructing and installing the water system within Hugo shall be done subject to the approval of <br />the Hugo City Engineer. The interconnect and appurtenances shall be contructed in accordance <br />• with the direction of both cities. <br />C. The Developer shall hold harmless and defend Hugo and Lino Lakes from <br />any and all claims made by anyone for any defects or damages of any kind caused by the <br />installation and/or construction of the water system. <br />D. The Developer shall obtain any and all easements necessary to extend Lino <br />Lakes' water system to the property. This shall be done at no cost to Hugo or Lino Lakes. <br />E. Developer shall, contemporaneously with the execution of this Agreement, <br />deposit with Hugo an escrow of Two Thousand Dollars ($2,000.00) to cover the cost of legal <br />fees, administrative expenses, and other costs related to this Joint Powers Agreement and <br />development. <br />• <br />All fees and costs incurred by Hugo in connection with the development <br />shall be charged against said escrow account which shall remain in effect until the completion of <br />3 <br />