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to the issue. Lessee agrees that (i) it will do or cause to be done all things necessary to preserve and keep the Lease in full force and
<br />effect (ii) it has complied with all bidding requirements where necessary and by due notification presented this Lease for approval
<br />and adoption as a valid obligation on its part, and (iii) it has sufficient appropriations or other funds available to pay all amounts due
<br />hereunder for the current fiscal period.
<br />15. DESIGNATION A5 "(QUALIFIED TAX-EXEMPT BL ATION," Lessee reb designates this Lease as a qualified tax-exempt
<br />obligation" for the purposes and within the meaning Section 265(b)(3) of Code. Lessee hereby represents that Lessee
<br />reasonably anticipates that Lessee and other entities tha ssee controls will not - ue tax-exempt obligations (including this Lease)
<br />that exceed the aggregate principal amount of $10,00 ,00 uring the calenda a in which this Lease is executed or delivered.
<br />16. USE; MAINTENANCE; REPAIRS. Lessee will use the Equipment in a careful and proper manner for the use contemplated by
<br />the manufacturer for the Equipment and shall comply with all applicable laws, ordinances, insurance policies and regulations relating
<br />to, and will pay all costs, claims damages, fees and charges arising out of its possession, use or maintenance. Lessee, at its expense,
<br />will keep the Equipment in good working order and repair and furnish all parts, mechanisms and devices required therefor, performing
<br />all maintenance and servicing necessary to maintain the value of the Equipment, reasonable wear and tear excepted. Lessee will not
<br />make any alteration, additions or imprdyements to the Equipment without Lessor's prior written consent unless such alterations,
<br />additions or improvements may be readily removed without damage to the Equipment.
<br />17. LOCATIONS; INSPECTION. The Equipment will not be removed from its permanent base will not be changed from the
<br />Equipment location, at the address on Exhibit "A" without Lessor's prior written consent which will not be unreasonably withheld.
<br />Lessor will be entitled to enter upon the Lessee's premises or elsewhere during reasonable business hours to inspect the Equipment
<br />or observe its use and operation.
<br />18. LIENS AND TAXES. Lessee shall keep the Equipment free and clear of all levies, liens and encumbrances except those created
<br />under this Lease. Lessee shall pay, when due, all charges, license fees and taxes (including sales, uses, advalorem, personal property,
<br />rental, documentary and all other taxes) imposed by any governmental body (whether local, state or federal) which may now or
<br />hereafter be imposed upon the ownership, leasing, rental, sale, purchase, possession or use of the Equipment, excluding however, all
<br />taxes on or measured by Lessor's income. If Lessee fails to pay said charges, and taxes when due, Lessor shall have the right, but
<br />shall not be obligated, to pay said charges and taxes. If Lessor pays any charges or taxes, Lessee shall reimburse Lessor therefor plus
<br />pay an administrative fee of $50.00 per year for any year that such fees shall be paid by Lessor.
<br />19. RISK OF LOSS; DAMAGE; DESTRUCTION. Lessee assumes all risk of loss of or damage to the Equipment from any cause
<br />whatsoever, and no such loss of or damage to the Equipment, nor defect therein, nor unfitness or obsolescence thereof shall relieve
<br />Lessee of the obligation to make Rental Payments or to perform any other obligation under this Lease. In the event that (i) any item
<br />of Equipment is lost, stolen, destroyed or damaged, or (ii) the Equipment or any part thereof is taken by power of eminent domain,
<br />Lessee will immediately notify Lessor. Lessee and Lessor shallcause the Net Proceeds of any insurance claim or condemnation award
<br />to by applied, at Lessor's option to either (a) replace the same with like equipment in good repair, or (b) on the next lease Payment
<br />date, pay Lessor: (i) all amounts then owed by Lessee to Lessor under this Lease, including the Rental Payment due on such date,
<br />and (ii) and amount equal to the Purchase Option Amount set forth on Exhibit B. Any balance of Net Proceeds remaining after
<br />completion of such payment of such Purchase Option Price or work shall be paid to Lessee. If the Net Proceeds are insufficient to
<br />pay the costs of repair, restoration, modification, or to pay such Purchase Option Price in full, Lessee shall, at Lessor's direction, either
<br />complete the work or pay the then applicable Purchase Option Price in full and in either case pay any cost in excess of the amount
<br />of Net Proceeds, but only from Legally Available Funds.
<br />20. INSURANCE. Lessee, will, at its expense, maintain at all time during the Lease Term, fire and extended coverage, public liability
<br />and property damage insurance with respect the Equipment in such amount, covering such risks, and with such insurers as shall be
<br />satisfactory to Lessor, or with lessor's prior written consent may self -insure against any or all such risks. In no event will the
<br />insurance limits be less than the amount of the then applicable Purchase Option Price with respect to such Equipment. Each insurance
<br />policy will name Lessee as an insured and Lessor or its assigns as an additional insured, and will contain a clause requiring the insurer
<br />to give Lessor at least thirty (30) days prior written notice of any alteration in the terms of such policy or the cancellation thereof.
<br />The proceeds of any such policies will be payable to Lessee and Lessor or its assigns as their interests may appear. Upon acceptance
<br />of the Equipment and upon each insurance renewal date, Lessee will deliver to Lessor a certificate evidencing such insurance. In the
<br />event that Lessee has been permitted to self -insure, Lessee will deliver to lessor a certificate evidencing such insurance. Lessee will
<br />furnish Lessor with a letter or certificate to such effect. In the event of any loss, damage, injury or accident involving the Equipment,
<br />Lessee will promptly provide Lessor with written notice thereof and make available to Lessor all information and documentation
<br />relating thereto.
<br />21. INDEMNIFICATION. Lessee shall indemnify Lessor against, and hold Lessor, its agents, employees, officers, and directors
<br />harmless from, any and all claims, actions, proceeding, expenses, damages or liabilities, including reasonable attorney's fees and court
<br />costs, arising in connection with: (i) the Equipment, including, but not limited to its selection, purchase, delivery, possession, use,
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