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VII. SYSTEM IMPLEMENTATION FUNDING <br /> A. The County will provide initial financing for the costs of acquisition, installation, and <br /> implementation of the System ("Implementation Costs"). <br /> B. As part of the initial financing of the Implementation Costs,the County will apply <br /> state grant funds received under the Help America Vote Act and required County <br /> matching funds as a setoff against the Implementation Costs. <br /> C. The Municipalities will provide the funds to reimburse the County for the System <br /> Equipment identified as the responsibility of the Municipalities in Appendix A. <br /> VIII. COST ALLOCATION/PAYMENT <br /> A. Cost Allocation-Implementation Costs <br /> 1. Each of the Municipalities will reimburse the County for the cost of the <br /> number of ballot counters, ballot boxes, and ballot marking devices required <br /> by that Municipality in accordance with the pricing in Appendix A. A list of <br /> the number of ballot counters, ballot boxes, and ballot marking <br /> devices for each of the Municipalities and the percentage of the total cost for <br /> ballot counters and ballot marking devices to be paid by each of the <br /> Municipalities is listed in Appendix C. The total number and each <br /> Municipality's percentage of ballot counters and ballot marking devices may <br /> be adjusted throughout the term of this Agreement including any extensions. <br /> 2. For those Municipalities that have elected to pay for the ballot counters, <br /> ballot boxes, and ballot marking devices over time,the total amount to be <br /> paid will include their proportionate share of any financing costs incurred by <br /> the County for the purchase, installation and implementation of the System <br /> Equipment, which financing costs will be shared among those Municipalities <br /> that have elected to pay over a period from two to five years. The County <br /> will charge each Municipality that chooses to finance the purchase of its <br /> System Equipment 2%per annum. <br /> B. Cost Allocation-Post-Implementation/Operating Services <br /> 1. There will be no charge to the Municipalities for ballot layout for all <br /> elections, ballot printing for State and county elections or for memory device <br /> programming. <br /> 9 <br />