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5.2 The City shall promptly review any application for payment and notify CAI whether the <br /> Application is approved or disapproved,in whole or in part. City shall promptly pay CAI for all approved <br /> services and expenses. For purposes of Texas Government Code §2251.021(a)(2),the date performance <br /> of services is completed is the date when the City's representative approves the Application for Payment. <br /> 5.3 The City shall have the right to withhold from payments due CAI such sums as are <br /> necessary to protect City against any loss or damage which may result from negligence by CAI or failure <br /> of CAI to perform its obligations under this Agreement. CAI shall submit payroll information, receipts, <br /> invoices and any other evidence which City or its designated representatives shall deem necessary to <br /> support the amount requested. <br /> ARTICLE 6 <br /> CAI'S RECORDS <br /> Records of CAI activities, costs and reimbursable expenses pertaining to CAI's Services shall be <br /> available to the City or its authorized representative during business hours and shall be retained for three <br /> years after final payment under this Agreement, unless the City otherwise instructs CAI in writing. CAI's <br /> records shall be kept on the basis of generally accepted accounting principles. <br /> ARTICLE 7 <br /> INSURANCE <br /> 7.1 For provision of CAI's Services, CAI shall furnish to the City Certificates of Insurance as <br /> set forth below prior to the commencement of any work hereunder and shall maintain such coverage during <br /> the full term of this Agreement. <br /> Worker's Compensation Statutory Limits <br /> Employer's Liability $1,000,000 each occurrence <br /> $1,000,000 aggregate <br /> Comprehensive General Liability $1,000,000 each occurrence <br /> $1,000,000 aggregate <br /> Comprehensive Auto Liability $1,000,000 each person <br /> Bodily Injury $1,000,000 each occurrence <br /> Property Damage $1,000,000 each occurrence <br /> 7.2 CAI shall include the City, Texas State University, Hays County and San Marcos <br /> Consolidated Independent School District as additional insureds on the General Liability policy, and the <br /> Worker's Compensation policy shall include a waiver of subrogation in favor of such entities. <br /> 7.3 Required insurance shall not be cancelable without thirty(30)days' prior written notice to <br /> City. <br /> 7.4 Upon request CAI shall furnish complete sets of its insurance policies to the City for review. <br /> If additional insurance or changes to this article are required,they shall be explicitly laid out in an Exhibit <br /> 4 and appended hereto. <br />