55575.38285\45328566.1
ATTACHMENT A
55575.38285\45328566.1
Exhibit A-1
Local Brands
[to be deemed to be Exhibit A-1 under the Food and Beverage Contract] Contractor shall endeavor to make at least 7% of its total food & beverage purchases each Accounting Year from vendors/suppliers/producers located in the greater Coachella Valley area (collectively, “Local Vendors”). Such 7% goal shall be measured based on the “Cost of Goods Sold” line on Contractor’s financial statements, and shall include subcontractor payments.
If less than 7% of its cost of goods spend in any Accounting Year is made with Local Vendors, Contractor shall endeavor to make up the deficiency in the following Accounting Year. If such deficiency is not made up in the following Accounting Year, Contractor shall pay to the City the amount of the deficiency remaining after such following Accounting Year, provided that in no event shall Contractor be required to pay more than $25,000 in any Accounting Year under this Exhibit A-1