HomeMy WebLinkAboutC-8577-16A - Cultural Arts Grants - FY 26-27 - Musical PerformancesGRANT AGREEMENT
BETWEEN THE CITY OF NEWPORT BEACH AND
EMERALD MAGIC EVENTS INC.
This Grant Agreement ("Agreement") is entered into this 10th day of March, 2026
("Effective Date"), by and between the City of Newport Beach, a California municipal
corporation and Charter City ("City"), and EMERALD MAGIC EVENTS INC., a California
nonprofit corporation located at 260 Newport Center Drive, Suite 100, Newport Beach,
California 92660 ("Grantee"). City and Grantee are at times individually referred to as
"Party" and collectively as "Parties" herein.
RECITALS
A. It is the policy of the City Council that the City's budget specifically allows the City
Council to direct revenue towards non-profit agencies, community groups,
community events, or enhancement projects with worthy projects or programs
which the City Council deems beneficial to the residents' quality of life.
B. Grantee requested a grant from the City for "Classical in the Park" musical
performance project ("Grant Proposal").
C. The City Council determined the Grant Proposal is for a worthy project that will
benefit the City's residents' quality of life.
D. The City Council approved a grant in the amount of Four Thousand Dollars and
00/100 ($4,000.00) ("Grant Funds") to Grantee pursuant to certain conditions
regarding expenditure, reporting, and accounting requirem Emerald Magic Events
Inc. ents.
NOW, THEREFORE, the Parties agree as follows:
1. GRANT
1.1. City awards to Grantee Grant Funds in the amount of Four Thousand Dollars
and 00/100 ($4,000.00) as requested by Grantee in the Grant Proposal attached hereto
as Exhibit A and incorporated herein by reference, or such other amount as authorized
by the City Council.
1.2. Grant Funds shall be disbursed by City to Grantee as follows (select one):
❑ At the time of execution of this Agreement.
® On or before May 14, 2026.
EMERALD MAGIC EVENTS INC. Page 1
2. TERM
The term of this Agreement shall commence on the Effective Date and shall
continue in full force and effect until January 11, 2027, unless terminated earlier as
provided herein.
3. RESTRICTIONS ON USE OF FUNDS AND OTHER REQUIREMENTS RELATED
TO THE RECEIPT OF GRANT FUNDS
3.1. The Grant Funds are subject to the following expenditure conditions ("Approved
Uses"):
3.1.1. The Grant Funds shall be expended solely for the purposes provided
in Exhibit A;
3.1.2. The Grant Funds shall not be used for any activity that would violate
City, state or federal statutory or decisional law such as regulations affecting non-profit or
tax exempt organizations exempt from taxation pursuant to Section 501(c)(3) of the
Internal Revenue Code; and
3.2. Grantee further warrants to City that the Grant Funds will be spent solely for
the Approved Uses and the Grant Funds shall be used by Grantee during this
Agreement's term otherwise the Grant Funds shall be returned to City, as provided in
Section 5 below.
3.3. Grantee shall conduct background checks for all of its volunteers and
employees who work with minor children in relation to any project described in Grantee's
Grant Proposal. To the extent applicable, Grantee shall provide the City certification that
it has complied with this requirement prior to the receipt of Grant Funds.
4. REPORTING AND ACCOUNTING REQUIREMENTS
4.1. At all times during the term of this Agreement, Grantee shall maintain true,
proper, and complete books, records, and accounts (collectively, "Books and Records")
in which shall be entered fully and accurately all transactions taken with respect to the
operations of Grantee, including but not limited to those under the Grant Proposal and
the expenditure of the Grant Funds. Grantee shall maintain the Books and Records in
accordance with Generally Accepted Accounting Principles. Grantee shall make available
to City such Books and Records, including all financial records of the Grantee, upon the
City's request.
4.2. If the Grantee has been audited by an independent auditor or has been the
subject of a compliance audit/examination by a grantee or regulatory agency during the
past three years, audit reports and management letters indicating compliance violations,
fraud, illegal acts, material weaknesses in internal control structure or reportable
conditions, in connection with such audits shall be delivered to the City thirty (30) days
prior to the effective date of this agreement. If no audits or events as described above
have occurred during this period, the Grantee shall provide City a written assertion that
no audits or similar examinations have occurred during the three (3) year period and an
EMERALD MAGIC EVENTS INC. Page 2
assertion that the Grantee is not aware of any events or conditions, described above, or
other information that might reasonably impact City's decision to fund the grant as
requested.
4.3. City reserves the right to designate its own employee representative(s) or its
contracted representative(s) with a Certified Public Accounting firm who shall have the
right to audit Grantee's accounting procedures and internal controls of Grantee's financial
systems, and to examine any cost, revenue, payment, claim, other records or supporting
documentation resulting from any items set forth in this Agreement. This audit right
expressly extends to all financial records of the Grantee, whether or not they relate solely
to the Grant Proposal or Grant Funds. Any such audit(s) shall be undertaken by City or
its representative(s) at mutually agreed upon reasonable times and in conformance with
generally accepted auditing standards. Grantee agrees to fully cooperate with any such
audit(s).
4.4. This right to audit shall extend during the length of this Agreement and for a
period of three (3) years or longer, if required by law, following the date of any Grant
Funds tendered under this Agreement. Grantee agrees to retain all necessary
records/documentation for the entire length of this audit period.
4.5. Grantee shall, upon conclusion of the event, furnish the City with a Balance
Sheet and Income Statement describing the receipt and disbursement activities of
Grantee with respect to the Grant Funds. In its sole and absolute discretion, the City may
also require Grantee to submit: (i) quarterly check registers and descriptions of each
disbursement; (ii) budget -to -actual -results; and (iii) a statement of position describing the
assets and liabilities associated with the Grant event. All reports, including a post -event
evaluation, shall be due to the City no later than forty-five (45) days following the
conclusion of the event. In the event that an independent audit is conducted, Grantee
shall forward a copy of the audited report to the City for review, including any Management
Letter, Report on Internal Controls, or Reportable Conditions letter generated during the
course of the audit.
4.6. Grantee agrees to exercise prudent financial management processes including
proper oversight of all assets, budget preparation, and timely reporting including budget -
to -actual -comparisons.
4.7. All Approved Uses shall be performed by Grantee or under Grantee's
supervision. Grantee represents that it possesses the professional and technical skills
required to perform the services required by this Agreement, and that it will perform all
services with a standard of care and in a manner commensurate with the community
professional standards and with the ordinary degree of skill and care that would be used
by other reasonably competent practitioners of the same discipline under similar
circumstances.
4.8. If Grantee has supported Political Action Committees(s) (PACs) during the past
three (3) years, the Grantee shall hire an independent auditor to perform limited, agreed -
upon testwork procedures to provide City assurance that City sponsored event profits did
not subsidize the funding of Political Action Committees (PACs) and event proceeds were
adequately segregated from funds used to support PACs. Agreed upon procedures may
EMERALD MAGIC EVENTS INC. Page 3
include a review of a detail list of the past three (3) years of PAC contributions and
expenditures, including:
a. An identifying donor number, date and amount of each reported
contribution; and
b. A detail of expenditures sufficient enough to determine that the
expenditures were solely for PAC -related expenses; and
c. Any retained earnings or fund balance at the end of each fiscal year.
Substantive documentation for the contribution and expenditure should be available upon
request. City shall approve the agreed -upon testwork procedures prior to the
commencement of fieldwork.
5. USE OF GRANT FUNDS
5.1. The Grant Funds shall be used solely by Grantee for the Approved Uses and
for no other use. In the event that the Grant Funds are not used for the Approved Uses
or are not expended by or before January 11, 2027, Grantee shall notify the City in writing,
and shall be obligated to return the Grant Funds to City within thirty (30) days.
5.2. The City's grant contribution shall only be used for non-sectarian purposes.
Grantees shall not use the City's grant contribution, or any portion thereof, for any purpose
that violates local, state, or federal law, including, but not limited to, the Establishment
Clause.
6. INDEMNIFICATION
6.1. To the fullest extent permitted by law, Grantee shall indemnify, defend and hold
harmless City, its City Council, boards and commissions, officers, agents, volunteers, and
employees (collectively, the "Indemnified Parties") from and against any and all claims
(including, without limitation, claims for bodily injury, death or damage to property),
demands, obligations, damages, actions, causes of action, suits, losses, judgments,
fines, penalties, liabilities, costs and expenses (including, without limitation, attorney's
fees, disbursements and court costs) of every kind and nature whatsoever (individually,
a "Claim"; collectively, "Claims"), which may arise from or in any manner relate (directly
or indirectly) to this Agreement (including the negligent and/or willful acts, errors and/or
omissions of Grantee, its principals, officers, agents, employees, vendors, suppliers,
consultants, subcontractors, anyone employed directly or indirectly by any of them or for
whose acts they may be liable or any or all of them).
6.2. Notwithstanding the foregoing, nothing herein shall be construed to require
Grantee to indemnify the Indemnified Parties from any Claim arising from the sole
negligence or willful misconduct of the Indemnified Parties. Nothing in this indemnity shall
be construed as authorizing any award of attorney's fees in any action on or to enforce
the terms of this Agreement. This indemnity shall apply to all claims and liability
regardless of whether any insurance policies are applicable. The policy limits do not act
as a limitation upon the amount of indemnification to be provided by Grantee.
EMERALD MAGIC EVENTS INC. Page 4
7. GRANTEE INDEPENDENCE
In the performance of this Agreement, the Grantee, and the agents and employees of
Grantee, shall act in an independent capacity and are not officers, employees or agents
of the City. The manner and means of performing the Approved Uses are under the
control of Grantee, except to the extent they are limited by statute, rule or regulation and
the expressed terms of this Agreement. Nothing in this Agreement shall be deemed to
constitute approval for Grantee or any of Grantee's employees or agents, to be the agents
or employees of City. Grantee shall have the responsibility for and control over the means
of performing the Approved Uses, provided that Grantee is in compliance with the terms
of this Agreement. Anything in this Agreement that may appear to give City the right to
direct Grantee as to the details of the performance or to exercise a measure of control
over Grantee shall mean only that Grantee shall follow the desires of City with respect to
the results of the Approved Uses.
8. PROHIBITION AGAINST TRANSFERS
Grantee shall not assign, sublease, hypothecate or transfer this Agreement or any of the
services to be performed under this Agreement, directly or indirectly, by operation of law
or otherwise without prior written consent of City. Any attempt to do so without written
consent of City shall be null and void.
9. NOTICES
9.1. All notices, demands, requests or approvals to be given under this Agreement
shall be given in writing and conclusively shall be deemed served when delivered
personally or on the third business day after the deposit thereof in the United States mail,
postage prepaid, first class mail, addressed as hereinafter provided.
9.2. All notices, demands, requests or approvals from Grantee to City shall be
addressed to the City at:
Attn: Library Services Director
Library Services Department
City of Newport Beach
100 Civic Center Drive
Newport Beach, CA 92660
9.3. All notices, demands, requests or approvals from City to Grantee shall be
addressed to Grantee at:
Attn: Elena Otto
Emerald Magic Events Inc.
1024 Bayside Drive, Suite 538
Newport Beach, CA 92660
EMERALD MAGIC EVENTS INC. Page 5
10.TERMINATION
10.1. Termination for Cause. Grantee shall be in default if Grantee fails or refuses
to perform any duty required by the Agreement or performs in a manner inconsistent with
the terms, conditions and restrictions in this Agreement. In such event, City shall give
Grantee, thirty (30) days written notice to cure, if the default can be cured and City shall
be entitled to terminate this Agreement if Grantee has not cured the default within the
thirty (30) day cure period. City shall be entitled to immediately terminate this Agreement
if the default cannot be cured through corrective action. If terminated for cause, Grant
Funds shall be returned to the City pursuant to Section 5. This Agreement is made on an
annual basis, and as such is subject to non -renewal at its termination.
10.2. Termination without Cause. City may terminate this Agreement at any time
with or without cause upon seven (7) days written notice to Grantee, any remaining Grant
Funds in Grantee's possession at the time of termination shall be returned to City
pursuant to Section 5.
10.3. Specific Performance. Grantee agrees that the City has the legal right, and all
necessary conditions have been satisfied, to specifically enforce Grantee's obligations
pursuant to this Agreement.
11. STANDARD PROVISIONS
11.1. Recitals. City and Grantee acknowledge that the above Recitals are true and
correct and are hereby incorporated by reference into this Agreement.
11.2. Compliance With all Laws. Grantee shall at its own cost and expense comply
with all statutes, ordinances, regulations and requirements of all governmental entities,
including federal, state, county or municipal, whether now in force or hereinafter enacted.
11.3. Waiver. A waiver by either Party of any breach, of any term, covenant or
condition contained herein shall not be deemed to be a waiver of any subsequent breach
of the same or any other term, covenant or condition contained herein, whether of the
same or a different character.
11.4. Integrated Contract. This Agreement represents the full and complete
understanding of every kind or nature whatsoever between the parties hereto, and all
preliminary negotiations and agreements of whatsoever kind or nature are merged herein.
No verbal agreement or implied covenant shall be held to vary the provisions herein.
11.5. Conflicts or Inconsistencies. In the event there are any conflicts or
inconsistencies between this Agreement and the Grant Proposal or any other
attachments attached hereto, the terms of this Agreement shall govern.
11.6. Interpretation. The terms of this Agreement shall be construed in accordance
with the meaning of the language used and shall not be construed for or against either
party by reason of the authorship of the Agreement or any other rule of construction which
might otherwise apply.
EMERALD MAGIC EVENTS INC. Page 6
11.7. Amendments. This Agreement may be modified or amended only by a written
document executed by both Grantee and City and approved as to form by the City
Attorney.
11.8. Severability. If any term or portion of this Agreement is held to be invalid, illegal,
or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions
of this Agreement shall continue in full force and effect.
11.9. Controlling Law And Venue. The
this Agreement and all matters relating to
Agreement shall be adjudicated in a court
Orange, State of California.
laws of the State of California shall govern
it and any action brought relating to this
of competent jurisdiction in the County of
11.10. Equal Opportunity Employment. Grantee represents that it is an equal
opportunity employer and it shall not discriminate against any contractor, employee or
applicant for employment because of race, religion, color, national origin, handicap,
ancestry, sex or age or any other impermissible basis under law.
11.11. No Attorneys Fees. In the event of any dispute or legal action arising under
this Agreement, the prevailing party shall not be entitled to attorney's fees.
11.12. Counterparts. This Agreement may be executed in two (2) or more
counterparts, each of which shall be deemed an original and all of which together shall
constitute one and the same instrument.
[SIGNATURES ON NEXT PAGE]
EMERALD MAGIC EVENTS INC. Page 7
IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed
on the dates written below.
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
Date: '&01 a=G
By: 046�aA-
Aaron C. Harp 3R,J
City Attorney
ATTEST:
Date:
By: Zto—� —
Lena Shumway
City Clerk
CITY OF NEWPORT BEACH,
A California municipal corporation
Date: _/lV ZO'Lfo
IF1111111ii�
ffissa artson
Library Services Director
GRANTEE: EMERALD MAGIC EVENTS
INC., a California nonprofit corporation
Date:
Signed in Counterpart
By:
Robert Medina Gonzales
Chief Executive Officer
Date:
Signed in Counterpart
By:
Elena Otto
Chief Financial Officer and Secretary
[END OF SIGNATURES]
Attachment: Exhibit A - Grant Proposal
EMERALD MAGIC EVENTS INC. Page 8
IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed
on the dates written below.
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
Date: X104-W4
By: 0�94A+-
Aaron C. Harp
City Attorney
ATTEST:
Date:
Bv:
Lena Shumway
City Clerk
3-�O-ju (2/)
CITY OF NEWPORT BEACH,
A California municipal corporation
Date:
Bv:
Melissa Hartson
Library Services Director
GRANTEE: EMERALD MAGIC EVENTS
INC., a CAfi nonprofit corporation
Date: (i_ 5 12, 0-00,6-
In
be'r#-fdf�drhaZonzales
ief Executive Officer
Date:
By:
Elena Otto
Chief Financial Officer and Secretary
[END OF SIGNATURES]
Attachment: Exhibit A - Grant Proposal
EMERALD MAGIC EVENTS INC. Page 8
EXHIBIT A
GRANT PROPOSAL
EMERALD MAGIC EVENTS INC. Page A-1
Cultural Arts Grants Application Form
Reference #
Status
Login Usemame
Login Email
Popular Name of Organization
Legal Name (if different)
Federal Tax ID No.
Mailing Address
City / Zipcode
Contact Name
Phone number
Email address
Website
Geographical Area Served
Have you received a City of Newport Beach
Cultural Arts Grant before?
If so, what year did you receive a grant?
Year organization was founded:
Number of paid staff:
Number of active volunteers:
Total amount requested: (from request line of
project budget):
Estimated number of people in Newport Beach
that the proposed project(s) will serve:
1. Briefly describe below your organization's
purpose, mission, and goals.
17702076
Complete
emeraldmagicevents@gmail.com
emeraldmagicevents@gmail.com
Emerald Magic Events
Emerald magic Events inc
99-2307904
1024 Bayside Dr Ste 538
NEWPORT BEACH 92660
Elena Otto
(949)691-6524
emeraldmagicevents@gmail.com
https://www.emeraldmagicevents.org
Orange County CA
Yes
2025
2024
2
7
5000
500
Our mission is to preserve and share the rich
cultural heritage of our civilization through the
beautiful art of classical music. Our mission
focuses on engaging and inspiring the younger
generation by organizing distinguished concerts,
events, and festivals that highlight this genre.
2. Identify and describe why there is a need in The Impact of Early Music Education on Child
the Newport Beach Community for your
proposed project/program. Include a quantitative
description of the need and on what you based
your findings (i.e. "Based on a study done by the
PTA, there are one hundred children in the 4th-
6th grades at Newport Elementary who have had
no training with musical instruments.") Describe
how you have determined that your organization
Development
Recent research from Oxford University
highlights the profound influence of early music
education on children's cognitive, emotional, and
aesthetic growth. Studies show that learning
instruments such as the violin and piano
enhances attention, memory, perception, and
is the best organization for the proposed project/ language skills.
program.
Music education also nurtures creativity, social
adaptability, and psychological well-being,
supporting overall development and mental
health. The use of technology and gamified
learning tools further strengthens children's
emotional connection to music, making the
learning process more engaging and impactful.
Classical in the Park — A series of two
Educational Events
"Classical in the Park" is a series of two outdoor
educational events celebrating the history and
heritage of classical music. Held in open spaces
across Orange County, such as parks and school
playgrounds, each event combines live
performances, storytelling, and multimedia
presentations.
Using a live -to -headphones format, professional
musicians and teachers from local music schools
will introduce children and families to the great
composers —Mozart, Bach, Beethoven, Vivaldi,
and others —through engaging stories and live
renditions of their masterpieces.
Young performers will have the chance to join
professionals on stage, while families can
discover opportunities to enroll their children in
local classical music programs.
3. Describe the specific project/program that will Classical in the Park - Event Details
be funded by a cultural grant. Include how the
proposed project/program will be implemented The Classical in the Park project will take place
and outline a schedule or project timeline, with at two locations in Newport Beach, California:
planned dates and locations. Identify individuals
and groups involved, particularly artists and 1 Bonita Greek Community Center
performers, and describe their roles and
responsibilities. Describe the background and
qualifications of your organization and key
personnel to be involved in the program.
Remember: the City funds only projects and
programs- not operating expenses. These
projects and programs must promote community
involvement and awareness of the arts in
Newport Beach.
Is this a new or existing project/program?
4. Define or describe the segment of the
population in Newport Beach that you intend to
serve by your project/program. Include such
things as age, location, numbers served, etc.
3010 La Vida, Newport Beach, CA
Date: August 15, 2026
2. Newport Beach Junior Lifeguard Building
901 E. Oceanfront, Newport Beach, CA
Date : September 20,2026
The project will feature highly professional
classical music teachers, including Lucy Lu
(Violin) — Founder of Violinbaby Music
(www.violinbaby.com) and Conductor of the
Orange County Youth Symphony String
Ensemble (www.philharmonicsociety.org/ocys).
Roger Wrigth -(piano) tiacher from Music School
at Foothill 323 e.Foothill Blvd ,Arcadia ,CA 91006
Children from the Orange County Youth
Symphony will also participate as performers,
showcasing their talent alongside professional
musicians
New program
The project is designed for school -aged children
between 6 and 15 years old, aiming to foster a
love for classical music and inspire them to learn
classical instruments. Parents and children from
Newport Beach will be invited to attend.
PROJECT BUDGET: Expenses - Personnel
Artistic
Funding from the City of Newport Beach
Funding from Other Sources
Administrative
Funding from the City of Newport Beach
Funding from Other Sources
Technical Production
The two events are expected to welcome around
500 attendees, with free tickets provided to all
children to encourage participation and
community engagement.
Newport Beach
3000
Newport Beach
1000
Funding from the City of Newport Beach Newport Beach
Funding from Other Sources 1500
PROJECT BUDGET: Expenses - Operating
Facility Expense/Space Rental
Funding from the City of Newport Beach Newport Beach
Funding from Other Sources 3000
Marketing
Funding from the City of Newport Beach
Newport Beach
Funding from Other Sources
5000
Production/Exhibition Expense
Funding from the City of Newport Beach
Newport Beach
Funding from Other Sources
1500
Touring/Presentation Expense
Funding from the City of Newport Beach
Newport Beach
Funding from Other Sources
2000
Education Materials
Funding from the City of Newport Beach Newport Beach
Funding from Other Sources 3000
Transportation
Funding from the City of Newport Beach Newport Beach
Funding from Other Sources 1000
Equipment
Funding from the City of Newport Beach Newport Beach
Funding from Other Sources 3000
Other (if greater than 10% annotate below)
Funding from the City of Newport Beach Newport Beach
Funding from Other Sources 2400
GRAND TOTAL: 26400
6. Describe the expected quantifiable outcomes We maintain 100% contact with all event
of your project/program and how you will
attendees. After each event, parents will receive
evaluate the results. Be very specific in
a questionnaire to provide feedback and share
addressing the ways that you will determine that
outcomes. The survey will help assess the
your project/program met the needs that you
project's impact by collecting detailed information
identified and accomplishes the goals you set out
on how many children began taking music
to achieve (i.e. you provide 50 hours of musical
lessons following their participation
instruction and instruments to the 100 children at
Newport Elementary school as measured by
music store rental receipts and logs of
instructors.)
List of Board Members and their affiliations
Recent list of individuals, corporations, and
foundations that provide organizational support
IRS Determination Letter (if you are a
501(c)(3)) indicating tax exempt status
Board_members_Otto.pdf (82 KB)
corporate_Founation_2025-2026_Y.pdf (52 KB)
IRS_Determined_501_c3.pdf (563 KB)
One brochure and/or one press clipping. 2026_Magazine_-EME.pdf (8.19 MB)
I. Income (cash only)
Contributed
FY 2024/25 Budget (current)
28275
FY 2025/26 Budget (projected)
55000
Earned
FY 2024/25 Budget (current)
3889
FY 2025/26 Budget (projected)
20000
Total Income
FY 2024/25 Budget (current)
32165
FY 2025/26 Budget (projected)
75000
Il. Expenses
Program
FY 2024/25 Budget (current)
19965
FY 2025/26 Budget (projected)
46000
General and Administrative
FY 2024/25 Budget (current)
7250
FY 2025/26 Budget (projected)
9000
Marketing and Development
FY 2024/25 Budget (current)
2469
FY 2025/26 Budget (projected)
15000
Total Expenses
FY 2024/25 Budget (current)
29675
FY 2025/26 Budget (projected)
70000
Item #49
III. Operating Surplus/Deficit (Income minus Expenses)
FY 2024/25 Budget (current)
2490
FY 2025/26 Budget (projected)
5000
IV. Fund Balance at Beginning of Year
FY 2024/25 Budget (current) 2490
FY 2025126 Budget (projected) 5000
V. Accumulated Surplus (Deficit) (Add lines III and IV)
FY 2024/25 Budget (current) 2490
FY 2025/26 Budget (projected) 5000
Item #50
VI. In-Knd Contributions (attach schedules if greater than 10% of total income)
FY 2024/25 Budget (current)
FY 2025/26 Budget (projected)
I verify the knowledge that the information
submitted in this application is true and correct to
the best of my knowledge.
Name
Title
Last Update
Start Time
Finish Time
N/A
N/A
Elena Otto
General Manager 01.07.2026
2026-01-07 21:52:40
2026-01-07 21:37:41
2026-01-07 21:52:40
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