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<br />CONSUL TING SERVICES AGREEMENT BETWEEN <br />THE CITY OF SAN LEANDRO AND <br />DIVERSIFIED MANAGE NT GROUP, INC. <br /> <br />THIS AGREEMENT for consulting services is made by and between the City of San <br />Leandro ("City") and Diversified Management Group - DMG ("Consultant") (together <br />sometimes referred to as the "Parties") as of June 10, 2006 (the "Effective Date") in San <br />Leandro, California, <br /> <br />Section 1. SERVICES. Subject to the terms and conditions set forth in this Agreement, <br />Consultant shall provide to City the services described in the Scope of Work attached as Exhibit <br />A at the time and place and in the manner specified therein. In the event of a conflict in or <br />inconsistency between the terms of this Agreement and Exhibit A, the Agreement shall prevaiL <br /> <br />1.1 Term of Services. The term of this Agreement shall begin on the Effective Date <br />and shall end on 12/30/2006, and Consultant shall complete the work described in <br />Exhibit A by that date, unless the term of the Agreement is otherwise terminated <br />or extended, as provided for in Section 8. The time provided to Consultant to <br />complete the services required by this Agreement shall not affect the City's right <br />to terminate the Agreement, as provided for in Section 8. <br /> <br />1.2 Standard of Performance. Consultant shall perform all services required <br />pursuant to this Agreement in the manner and according to the standards observed <br />by a competent practitioner of the profession in which Consultant is engaged in <br />the geographical area in which Consultant practices its profession. Consultant <br />shall prepare all work products required by this Agreement in a professional <br />manner and shall conform to the standards of quality normally observed by a <br />person practicing in Consultant's profession. <br /> <br />1.3 Assi!!nment of Personnel. Consultant shall assign only competent personnel to <br />perform services pursuant to this Agreement. In the event that City, in its sole <br />discretion, at any time during the term of this Agreement, desires the <br />reassignment of any such persons, Consultant shall, immediately upon receiving <br />notice from City of such desire of City, reassign such person or persons. <br /> <br />1.4 Time. Consultant shall devote such time to the performance of services pursuant <br />to this Agreement as may be reasonably necessary to meet the standard of <br />performance provided in Section 1.1 above and to satisfy Consultant's obligations <br />hereunder. <br /> <br />Section 2. COMPENSATION. City hereby agrees to pay Consultant an amount not to <br />exceed $42,300, for all work set forth in Exhibit A and all reimbursable expenses incurred in <br />performing the work. In the event of a conflict between this Agreement and Consultant's <br />proposal regarding the amount of compensation, the Agreement shall prevaiL City shall pay <br />Consultant for services rendered pursuant to this Agreement at the time and in the manner set <br /> <br />Consulting Services Agreement between <br />City of San Leandro and DMG, Inc. <br /> <br />[June 8, 2006] <br />Page 1 of 17 <br />