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- 2 - <br />c. Manager shall not engage in any activity which is or may become a <br />conflict of interest, prohibited contract, or which may create an <br />incompatibility of office as defined under California law. Prior to <br />performing any services under this Agreement and annually thereafter, <br />Manager must complete disclosure forms required by law. <br />4. TERM. <br />a. The term of this Agreement shall commence on the date of the second <br />signature below and will continue for three years from that date or until <br />terminated by either party in accordance with the provisions set forth in <br />Paragraph 8 or until terminated by the event of the death or permanent <br />disability of Manager. <br />b. Manager agrees to remain in the exclusive employment of City during the <br />term of this Agreement and not to be otherwise employed during the term <br />of this Agreement. The term “employed,” however, shall not be construed <br />to include occasional teaching, writing, speaking or consulting performed <br />on personal time off. <br />5. HOURS OF WORK. <br />Manager shall be an exempt employee under the Fair Labor Standards Act <br />(FLSA) and shall not receive overtime or extra compensation for work performed <br />outside of normal City business/office hours. Manager is appointed to manage <br />the City’s business with twenty-four hour and seven days a week responsibility <br />and is expected to devote necessary time outside normal office hours to the <br />business of the City. Thus, Manager’s schedule of work each day and week may <br />131