Common use of Accounting Fee Clause in Contracts

Accounting Fee. In addition to the Base Management Fee and the Incentive Management Fee, the Manager shall be paid a fee for centralized accounting services (the “Accounting Fee”) equal to the amount charged by Manager monthly for all Manager’s managed hotels based on the type of hotel managed per Accounting Period during the Term of this Agreement and for one (1) Accounting Period after the applicable termination of this Agreement with respect to the Hotel. The Accounting Fee shall be set annually and is intended to be a break-even fee for the accounting department. The Accounting Fee for 2008 is $1,500 per month. Such centralized accounting services consist of the processing of daily accounting transactions necessary for the preparation of the monthly financial statements, including general ledger, accounts payable, payroll (in conjunction with the payroll processing firm) and banking. In addition, the following expenses are included in the annual accounting fee a. express mail and regular postage for items sent specifically to or on behalf of the Hotel, which would include accounts payable checks, weekly invoices and accounting information to and from the Hotel, payroll checks, payroll reports and other documents necessary for the efficient operation of the Hotel; b. telephone and fax costs specifically for the Hotel; and c. costs of photocopying specifically for the Hotel. However, Owner is responsible for all payroll processing firm fees associated with processing the hotel’s payroll as well as any banking service charges for operating and maintaining the bank account or accounts for the hotel. Owner shall have use of Manager’s software system (currently Inquire but changing to M3 Link) at no charge for this Hotel.