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3.4 Compliance with Laws. Metricom shall comply with all applicable Laws in the exercise and performance of its rights and obligations under this Use Agreement. The Right-of-Way Management Reimbursement provided for in§4.1 below shall be in lieu of all other City fees, with the exception of any City permits required for the initial installation of the Radios. City shall promptly respond to Metricom-s filings and shall otherwise cooperate with Metricom in facilitating the deployment of Ricochet@ in the Public Right of Way in a reasonable and timely manner. 3.5 Location and Installation of Radios. The proposed locations of Metricom's planned initial installation of Radios shall be determined, subject to the reasonable prior review and approval of the City, promptly after Metricom's review of available street light maps and prior to deployment of the Radios. Upon the completion of installation, Metricom promptly shall furnish to the City a pole list showing the exact location of the Radios in the Public Right of Way. 4 COMPENSATION; UTILITY CHARGES. Metricom Shall be solely responsible for the payment of all lawful Fees in connection with Metricom-s performance under this Use Agreement, in accordance with the terms set forth below. 4.1 Right-of-Way Management Reimbursement In order to reimburse City for any right-of-way management costs it may incur during the term of this Use Agreement following the initial deployment of the Radios in connection with Metricom's entry upon and deployment within the Public Right of Way, Metricom shall pay to the City, on an annual basis, an amount equal to one percent (1%) of Adjusted Gross Revenues (the "Right- of-Way Management Reimbursement?), which amount may be collected from subscribers of the Services with billing addresses in the City and remitted to City as provided herein. The parties agree that such Right-of-Way Management Reimbursement represents a fair estimate of the costs of continuing management of the Public Right of Way utilized by Metricom and that such Right of l Vay Management Reimbursement is not a franchise fee or payment for use of the Public Right of Way. The Right-of-Way Management Reimbursement shall be payable for the period commencing upon the date that Services are offered to commercially paying subscribers within the City using Radios installed pursuant to this Use Agreement and ending on the date of termination of this Use Agreement, and shall be due on or before the 45th day after the end of each calendar year Right-of- Way Permit and Facility Use Agreement City of Roseville ;; Metricom, Inc. Page 5of16