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14.3 Failure to Respond- Contractor's subsidy shall be reduced by a penalty of $2,500for each <br />failureby the Contractor, with the exception of operational necessity, to provide FRALS, to a <br />location within the Primary Service Area where a response has been requested by the <br />dispatch center. The imposition of a penalty does not release Contractor of any other <br />liability from its failure to respond.A request for an exemption of this penalty due to <br />operational necessity may be submitted to the EMS Director. The request shall be reviewed <br />by a panel of three, including the EMS Director and two fire chiefs selected by the Alameda <br />County Fire Chiefs Association who are not involved with the issue. <br />14.4 Failure to Provide Timely Reports - Contractor shall promptly deliver each required <br />report to the County. Contractor's subsidy shall be reduced by a penalty of $50 per day for <br />each day a report is late. <br />14.5 Failure to Meet Minimum In- Service Equipment /Supply Requirements- Contractor's <br />subsidymaybe reduced by a penalty of up to $1000per failed inspection for any FRALS that <br />fails to comply with EMS Policieswith respect to equipment and supplies. Penalties shall be <br />proportionate with the potential for impact on patient care. <br />14.6 Failure to Provide Arrival at Incident Time <br />a. Contractor's subsidy shall be reduced by a penalty of $50penalty each and every time a <br />FRALS Unit is dispatched and Contractor fails to document the Arrival at Incident time. <br />b. When the Arrival at Incident timefor a call is not obtained, the response to that call shall <br />be deemed to have exceeded Response Time. <br />c. If Contractor has failed to document an Arrival at Incident Time, an exemption from the <br />penalty may be granted if Contractor demonstrates, to the satisfaction of the EMS <br />Director, an accurate Arrival at Incident time. <br />14.7 Penalty Disputes <br />a. Contractor may appeal any penalty to the EMS Director in writing within fourteen (14) <br />calendar days of receipt of notification of the imposition of a penalty. <br />b. The EMS Director shall review all appeals and make the decision to eliminate, modify, or <br />maintain the penalty. The EMS Director's decision shall be final. <br />14.8 Payment of Penalties <br />a. County shall withhold penalties from the Contractor's quarterly FRALS Support funds <br />for any penalty under this Agreement based on the Contractor's monthly performance <br />reports. The parties shall make a good faith effort to resolve any disputes within a 30- <br />