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<br />deficiencies by Unit. Failure by Unit to take action specified in the monitoring report may be <br />cause for termination of this Agreement, as provided herein. <br /> <br />5. CONFUCT OF INTEREST. I a) Unit covenants that neither it nor,any member of its <br />governing body presently has any interest or shall acquire any interest, direct or indirect, <br />which could conflict in any manner or degree with the performance of this Agreement. Unit <br />further covenants that in the performance of this Agreement no person having such interest <br />shall be employed or appointed by it. <br /> <br />I b) Unit's employees, officers, and/or agents shall neither solicit nor accept <br />gratuities, favors, or anything of monetary value from Qualified Businesses or potential <br />Qualified Businesses. <br /> <br />( c) Unit shall comply with all terms and provisions of Texas Local Government Code, <br />Texas Government Code, Chapter 171. <br /> <br />6. LEGAL AIJTHORrrY. I a) Unit represents and warrants that it possesses the legal <br />authority to enter into this Agreement and to perform the services it has obligated itself to <br />perform hereunder. <br /> <br />I b ) The person or persons signing and executing this Agreement on behalf of Unit, or <br />representing themselves as signing and executing this Agreement on behalf of such entity, do <br />hereby represent and warrant and guarantee that he, she or they have been duly authorized by <br />such entity to execute this Agreement on behalf of such entity and to validly and legally bind <br />such entity to all terms, performances, and provisions herein set forth. <br /> <br />( c) Department shall have the right to terminate this Agreement if there is a dispute <br />as to the legal authority of Unit or the person signing this Agreement to enter into this <br />Agreement or to render performances hereunder, and the conclusion of that dispute is that Unit <br />or such person signing did not have such authority. <br /> <br />7. CHANGES AND AMENDMENTS. (a) Except as specifically provided otherwise in <br />this Agreement, any alterations, additions, or deletions to the terms of this Agreement shall be <br />by amendment hereto in writing and executed by all parties to this Agreement. <br /> <br />(b) It is understood and agreed by the parties hereto that performances under this <br />Agreement must be rendered in accordance with the Act, the regulations promulgated under the <br />Act, and the assurances and certifications made to Department by Unit with regard to the <br />operation of the Texas Enterprise Zone Program. Based on these considerations, and in order to <br />ensure the legal and effective performances under this Agreement by both parties, it is agreed <br />by the parties hereto that the performances under this Agreement are amended by rules or <br />policy directives promulgated by Department which serve to establish, interpret, or clarify <br />performance requirements under this Agreement. Policy directives and rule amendments shall <br />not alter the terms of this Agreement so as to release Department of any obligation specified <br />herein. <br /> <br />I c) Any alterations, additions, or deletions to the terms of this Agreement which are <br />required by changes in Federal or state law or regulations are automatically incorporated into <br />this Agreement without written amendment hereto, and shall become effective on the date <br />designated by such law or regulations. Department hereby agrees to notify Unit in writing of <br />any such alterations, additions or deletions of which it has knowledge within sixty (60) days of <br />acquiring that knowledge. <br /> <br />Page 3 of 5 <br />