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occasioned by any negligent act or omission by, or the willful misconduct of, Consultant, <br />or its officers, employees and agents in performing the Services. <br />ARTICLE 7 — CONFLICTS OF INTEREST <br />7.1 Consultant covenants and represents that it does not have any investment or interest in <br />any real property that may be the subject of this Agreement or any other source of <br />income, interest in real property or investment that would be affected in any manner or <br />degree by the performance of Consultant's Services. Consultant further covenants and <br />represents that in the performance of its duties hereunder, no person having any such <br />interest shall perform any Services under this Agreement. <br />7.2 Consultant agrees it is not a designated employee within the meaning of the Political <br />Reform Act because Consultant: <br />A. Does not make a governmental decision whether to: <br />(i) approve a rate, rule or regulation, or adopt or enforce a City law; <br />(ii) issue, deny, suspend or revoke any City permit, license, application, <br />certification, approval, order or similar authorization or entitlement; <br />(iii) authorize City to enter into, modify or renew a contract; <br />(iv) grant City approval to a contract that requires City approval and to which <br />City is a party, or to the specifications for such a contract; <br />(v) grant City approval to a plan, design, report, study or similar item; <br />(vi) adopt, or grant City approval of, policies, standards or guidelines for City <br />or for any subdivision thereof. <br />B. Does not serve in a staff capacity with City and in that capacity, participate in <br />making a governmental decision or otherwise perform the same or substantially <br />the same duties for City that would otherwise be performed by an individual <br />holding a position specified in City's Conflict of Interest Code under Government <br />Code section 87302. <br />7.3 In the event City determines that Consultant must disclose its financial interests, <br />Consultant shall complete and file a Fair Political Practices Commission Form 700, <br />Statement of Economic Interests, with the City Clerk's office pursuant to the written <br />instructions provided by the City Clerk. <br />ARTICLE 8 — GENERAL CONSIDERATIONS <br />8.1 hi the event any action is commenced to enforce or interpret any of the terms or <br />conditions of this Agreement the prevailing Party shall, in addition to any costs and other <br />relief, be entitled to the recovery of its reasonable attorneys' fees, including fees for the <br />use of in-house counsel by a Party. <br />4 <br />L\cmo\Agreements\Palacios_Law _Office-FY22-0242.doe-jm <br />