diff --git a/backend/routers/issues.py b/backend/routers/issues.py
index 2ad27ca3..18e78c07 100644
--- a/backend/routers/issues.py
+++ b/backend/routers/issues.py
@@ -29,6 +29,7 @@
     send_status_notification
 )
 from backend.spatial_utils import get_bounding_box, find_nearby_issues
+from backend.adaptive_weights import adaptive_weights
 from backend.cache import recent_issues_cache, nearby_issues_cache
 from backend.hf_api_service import verify_resolution_vqa
 from backend.dependencies import get_http_client
@@ -93,9 +94,11 @@ async def create_issue(
 
     if latitude is not None and longitude is not None:
         try:
-            # Find existing open issues within 50 meters
+            # Find existing open issues within dynamic radius (learned from patterns)
+            search_radius = adaptive_weights.get_duplicate_search_radius()
+
             # Optimization: Use bounding box to filter candidates in SQL
-            min_lat, max_lat, min_lon, max_lon = get_bounding_box(latitude, longitude, 50.0)
+            min_lat, max_lat, min_lon, max_lon = get_bounding_box(latitude, longitude, search_radius)
 
             # Performance Boost: Use column projection to avoid loading full model instances
             open_issues = await run_in_threadpool(
@@ -118,7 +121,7 @@ async def create_issue(
             )
 
             nearby_issues_with_distance = find_nearby_issues(
-                open_issues, latitude, longitude, radius_meters=50.0
+                open_issues, latitude, longitude, radius_meters=search_radius
             )
 
             if nearby_issues_with_distance:
diff --git a/backend/tests/test_civic_intelligence_system.py b/backend/tests/test_civic_intelligence_system.py
new file mode 100644
index 00000000..fefba55c
--- /dev/null
+++ b/backend/tests/test_civic_intelligence_system.py
@@ -0,0 +1,163 @@
+import pytest
+import os
+import json
+import time
+from datetime import datetime, timedelta, timezone
+from sqlalchemy import create_engine
+from sqlalchemy.orm import sessionmaker
+from unittest.mock import patch, MagicMock
+
+from backend.models import Base, Issue, EscalationAudit, EscalationReason, Grievance, SeverityLevel, GrievanceStatus, Jurisdiction, JurisdictionLevel
+from backend.civic_intelligence import civic_intelligence_engine, SNAPSHOT_DIR
+from backend.adaptive_weights import AdaptiveWeights
+
+# Test DB Setup
+TEST_DB_URL = "sqlite:///./test_system.db"
+engine = create_engine(TEST_DB_URL, connect_args={"check_same_thread": False})
+TestingSessionLocal = sessionmaker(autocommit=False, autoflush=False, bind=engine)
+
+@pytest.fixture(scope="function")
+def test_db():
+    Base.metadata.create_all(bind=engine)
+    db = TestingSessionLocal()
+    try:
+        yield db
+    finally:
+        db.close()
+        Base.metadata.drop_all(bind=engine)
+        if os.path.exists("./test_system.db"):
+            os.remove("./test_system.db")
+
+@pytest.fixture
+def mock_snapshot_dir(tmp_path):
+    # Override SNAPSHOT_DIR
+    snapshot_dir = tmp_path / "snapshots"
+    os.makedirs(snapshot_dir, exist_ok=True)
+    with patch("backend.civic_intelligence.SNAPSHOT_DIR", str(snapshot_dir)):
+        yield str(snapshot_dir)
+
+@pytest.fixture
+def mock_weights_file(tmp_path):
+    # Create a temporary weights file
+    weights_file = tmp_path / "modelWeights.json"
+    initial_weights = {
+        "severity_keywords": {"critical": ["fire"]},
+        "category_multipliers": {"Fire": 1.0, "Pothole": 1.0},
+        "duplicate_search_radius": 50.0,
+        "category_keywords": {"Fire": ["fire"]},
+        "urgency_patterns": []
+    }
+    with open(weights_file, "w") as f:
+        json.dump(initial_weights, f)
+
+    # Patch DATA_FILE in adaptive_weights
+    with patch("backend.adaptive_weights.DATA_FILE", str(weights_file)):
+        # Reset singleton to ensure it loads from new file
+        AdaptiveWeights._instance = None
+        # Initialize
+        AdaptiveWeights()
+        yield str(weights_file)
+        # Cleanup
+        AdaptiveWeights._instance = None
+
+def test_system_daily_cycle(test_db, mock_snapshot_dir, mock_weights_file):
+    """
+    System test for Civic Intelligence Engine.
+    1. Populate DB with issues and audits.
+    2. Run the daily cycle.
+    3. Verify snapshot creation and content.
+    4. Verify weight updates in the JSON file.
+    """
+
+    # 1. Setup Data
+    now = datetime.now(timezone.utc)
+
+    # Create Issues (Cluster for Potholes to trigger radius increase if logic met)
+    # 6 Potholes very close to each other
+    for i in range(6):
+        issue = Issue(
+            description=f"Pothole {i}",
+            category="Pothole",
+            latitude=10.0001 + (i * 0.0001), # Very close
+            longitude=20.0001,
+            created_at=now,
+            status="open",
+            integrity_hash="hash",
+            reference_id=f"ref-{i}"
+        )
+        test_db.add(issue)
+
+    # Create manual upgrades for Fire category to trigger weight increase
+    # Need associated Grievances
+
+    # Create Jurisdiction first (required FK)
+    j = Jurisdiction(
+        level=JurisdictionLevel.LOCAL,
+        geographic_coverage={"city": "Test City"},
+        responsible_authority="Test Auth",
+        default_sla_hours=24
+    )
+    test_db.add(j)
+    test_db.flush()
+
+    for i in range(3):
+        g = Grievance(
+            issue_id=100+i, # Dummy ID
+            category="Fire",
+            severity=SeverityLevel.CRITICAL,
+            status=GrievanceStatus.IN_PROGRESS,
+            current_jurisdiction_id=j.id,
+            assigned_authority="Test Auth",
+            sla_deadline=now + timedelta(days=1),
+            unique_id=f"G-{i}"
+        )
+        test_db.add(g)
+        test_db.flush()
+
+        audit = EscalationAudit(
+            grievance_id=g.id,
+            previous_authority="System",
+            new_authority="Admin",
+            reason=EscalationReason.SEVERITY_UPGRADE,
+            timestamp=now,
+            notes="Manual Upgrade by Admin"
+        )
+        test_db.add(audit)
+
+    test_db.commit()
+
+    # 2. Run Engine
+    # We need to patch SessionLocal in civic_intelligence to use our test_db
+    with patch("backend.civic_intelligence.SessionLocal", return_value=test_db):
+        civic_intelligence_engine.run_daily_cycle()
+
+    # 3. Verify Snapshot
+    snapshots = os.listdir(mock_snapshot_dir)
+    assert len(snapshots) == 1, "Snapshot file should be created"
+    with open(os.path.join(mock_snapshot_dir, snapshots[0]), 'r') as f:
+        snapshot_data = json.load(f)
+
+    assert "civic_index" in snapshot_data
+    assert snapshot_data["civic_index"]["new_issues_count"] == 6
+
+    # Verify cluster detected
+    clusters = snapshot_data["trends"]["clusters"]
+    # DBSCAN clustering depends on scikit-learn availability.
+    # If scikit-learn is missing, it returns all issues as clusters (if fallback logic is used)
+    # or empty if strictly depending on sklearn.
+    # But current implementation in trend_analyzer calls spatial_utils.cluster_issues_dbscan
+    # which falls back to list of lists if sklearn missing.
+    # So we should see clusters.
+    assert len(clusters) > 0
+
+    # 4. Verify Weight Updates
+    # Check Fire category weight increase.
+    # We added 3 upgrades for Fire. Logic: count >= 3 -> factor 1.1.
+
+    # Reload weights file
+    with open(mock_weights_file, 'r') as f:
+        updated_weights = json.load(f)
+
+    fire_multiplier = updated_weights["category_multipliers"]["Fire"]
+    assert fire_multiplier > 1.0, "Fire multiplier should increase"
+    assert round(fire_multiplier, 1) == 1.1
diff --git a/render.yaml b/render.yaml
index 593ec813..60a7e050 100644
--- a/render.yaml
+++ b/render.yaml
@@ -14,7 +14,7 @@ services:
           name: vishwaguru-backend
           property: port
       - key: PYTHONPATH
-        value: backend
+        value: .
       # Required API Keys (must be set in Render dashboard)
       - key: GEMINI_API_KEY
         sync: false