Jim, I never (well, almost never) agree to an auto renew clause in our contracts; it leaves you with no wiggle room at all. I add a clause that states that any renewal must be agreed to in writing by both parties. That gives you room to negotiate based on current issues. We have water service in all of our branch banks and we don't pay an annual increase.
Most contracts include late payment fee clauses such as the one you've received. It has been my experience that most suppliers don't enforce that. They understand that you have options to go elsewhere and would rather keep your business.