What can the City do if the Contractor defaults a second time?

If a Contractor defaults a second time, the City can terminate the Agreement for default. This action is typically taken to protect the interests of the City and ensure that contractual obligations are met. When a contractor fails to satisfy their responsibilities according to the terms of the agreement, especially more than once, it creates a risk for the City in terms of project completion, quality of work, and adherence to deadlines.

Terminating the agreement serves as a necessary measure to maintain standards and allows the City to seek out another contractor who can fulfill the requirements effectively. This action underscores the importance of accountability in contractual relationships, particularly in public contracts where the public's interest is at stake.

The other options would not be practical responses to a contractor's default. Automatically renewing the agreement would not address the underlying issues of performance, while providing a permanent contract or increasing fees does not logically align with an escalation in contractual non-compliance. Instead, termination for default directly addresses the situation and allows for corrective measures.