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b. Payment by CITY shall be made within 45 (forty-five) days following receipt of proper invoice evidencing work performed, subject to CITY accounting procedures. Payment need not be made for work that fails to meet the standards of performance set forth in the Recitals which may reasonably be expected by CITY. 3. TERM This Agreement shall commence on November 1, 2022 and terminate on October 31, 2024, unless terminated earlier in accordance with Section 14, below. The term of this Agreement may be extended for a one-year renewal option upon a writing executed by the CITY Manager and CITY Attorney. 4. INDEPENDENT CONTRACTOR PALACIOS shall, during the entire term of this Agreement, be construed to be an independent contractor and not an employee of the CITY. This Agreement is not intended nor shall it be construed to create an employer -employee relationship, a joint venture relationship, or to allow the CITY to exercise discretion or control over the professional manner in which PALACIOS performs the services which are the subject matter of this Agreement; however, the services to be provided by PALACIOS shall be provided in a manner consistent with all applicable standards and regulations governing such services. PALACIOS shall pay all salaries and wages, employer's social security taxes, unemployment insurance and similar taxes relating to employees and shall be responsible for all applicable withholding taxes. 5. OWNERSHIP OF MATERIALS This Agreement creates a non-exclusive and perpetual license for CITY to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by PALACIOS under this Agreement ("Documents & Data"). PALACIOS shall require all subcontractors to agree in writing that CITY is granted a non-exclusive and perpetual license for any Documents & Data the subcontractor prepares under this Agreement. PALACIOS represents and warrants that PALACIOS has the legal right to license any and all Documents & Data. PALACIOS makes no such representation and warranty in regard to Documents & Data which were provided to PALACIOS by the CITY. CITY shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at CITY's sole risk. 6. INSURANCE Prior to undertaking performance of work under this Agreement, PALACIOS shall maintain and shall require its subcontractors, if any, to obtain and maintain insurance as described below: Page 2 of 9