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$200,000.00 per year for five years for TXSTATE's satisfactory performance of its Services under this Agreement. TXSTATE will bill the City monthly as the work progresses in accordance with the rates included in Attachment A and the City will pay these amounts within 30 calendar days from its acceptance of invoices from TXSTATE, less disputed amounts, pending resolution thereof. In the event that TXSTATE determines that a rate increase is necessary, TXSTATE will notify the City no later than 60 days prior to the date rates are scheduled to increase in order to negotiate the proposed rates. In the event of a rate increase, the new rates will be included in this Agreement utilizing an Authorization of Change in Services Form ( "ACIS "). Reimbursable expenses will be based upon hourly rates of TXSTATE plus reimbursable expenses at direct cost. This proposal does not include services performed prior to the execution of this Agreement. At the City's request, TXSTATE will prepare and submit a Fund Allocation Form ( "Attachment B ") which will include a scope of service, the approved schedule of hourly rates and reimburseable expenses for each project that is assigned by the City. These Cost Estimates and fund allocation forms will be approved by the City prior to TXSTATE initiating any of the proposed work. B. Additional Services: The City may direct the TXSTATE to perform services outside of the scope of the Basic Services described above. TXSTATE will submit a written estimate of fees to the City and obtain the City's authorization before initiating any additional services. Each material change (deletion or addition) in the services to be provided by TXSTATE must be authorized by the City on the Authorization of Change in Services form attached to this Agreement as Attachment C. Compensation for additional services will be in addition to that specified for Basic Services.. The approval of the City's governing body is necessary for all additional services the compensation for which is $50,000.00 or greater. Section 4. Term The term of this Agreement will commence on June 7, 2011. This Agreement will renew automatically each year on this date for successive terms of one year each for five terms under the same terms and conditions unless terminated by either party in accordance with Section 5. H. Section 5. Miscellaneous Provisions A. Interlocal Cooperation: The City and TXSTATE agree to cooperate with each other in good faith at all times during the term of this Agreement in order to achieve the purposes and intent of this Agreement. Each party to this Agreement acknowledges and represents that this Agreement has been executed by its duly authorized representative. B. Subcontractine Services: TXSTATE may, with prior written approval from the City, subcontract portions of these services to qualified firms in the event that doing so is necessary due to time constraints or in the event that special expertise is required to satisfactorily fulfill the terms of this Agreement. C. Funding: The City and TXSTATE acknowledge that funding under this Agreement will be made from current revenues available to the City, and that the City's payment under this