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V shall pay the service charges and the charges for the delivery of water, If any, in accordance with Paragraphs 23 and 2ij.. BMI shall present to the Water District by the l^th day of each calendar month a bill for all charges due for the immediately preceding calendar month. Payment of said bill shall be due from the Water District not later than the 10th day of the calendar month next succeeding the month of presentation of said bill. If any such bills are not paid when due, an interest charge of one per cent (1$) of the unpaid service charges shall be added on the 10th day of the following calendar month and of each succeeding cal-endar month until the service charges due, including such interest charge or charges, shall have been paid in full; there shall also be added to any bills which are due and unpaid any penalty or interest charges which may be due on any unpaid charges for the delivery of water* (b) Monthly1 service charges due from the Water District shall be established at the following times and in the following manner: (1) During the initial period of deliveries hereunder the monthly service charge shall be the stm of f I,5g0o00 . Said initial, period shall be the first year of deliveries hereunder, pro- ** vided that BMI and the Water District may jointly agree to such shorter" or longer Initial period as fx ? 4 17.