A. Unless otherwise provided by law, a contract for supplies or services may be entered into for any period of time deemed to be in the best interest of the city; provided, that the term of the contract and conditions of renewal or expansion, if any, are included in the solicitation and funds are available for the first fiscal period at the time of contracting. Payment and performance obligations for succeeding fiscal periods shall be subject to the availability and appropriation of funds.

B. When funds are not appropriated or otherwise made available to support continuation of performance in a subsequent fiscal period, the contract shall be canceled. The contractor may apply for reimbursement for the reasonable value of any nonrecurring costs incurred but not amortized in the price of the supplies or services delivered under the contract, which may be awarded in the reasonable discretion of the purchasing agent. The cost of the cancellation may be paid from any appropriations available for that purpose. [Ord. 06-18-2013A § 2].