Why does this still fire the remote event?

When the player is in range of the object, they are given a Gui prompting them to press "e"

When they press "e" It prints "It worked!" because that's what is in the Event script when the event is fired.

Layout of part that gets triggered magnitude. http://prntscr.com/6p5b1c

However, when they step into range of the object it does bring up the Gui, however if they leave... it doesn't go away and when they press "e" it still fires the remote event.

Local script Inside player gui

local interactionGui = game.ReplicatedStorage.InteractionGui

-- Define near, sets to nil
local near




local debounce = false
function update(player)

local mouse = game.Players.LocalPlayer:GetMouse()
local playerGui = player.PlayerGui
local hasGui = playerGui:FindFirstChild(interactionGui.Name)
local torso = player.Character.Torso
    for _, interaction in pairs(interactions) do
        if (interaction.Position - torso.Position).magnitude <= 3 then
            near = interaction
            mouse.KeyDown:connect(function(key)
                if near and key == "e" and not debounce  then
                    debounce = true
                    interaction.EventHandler.RemoteEvent:FireServer()
                    wait()
                    debounce = false 

                elseif not near and key "e" and not debounce then
                    debounce = true
                    print('You are not near target!')

                end 
            end)    
        end
    end     

    if near then
        if not hasGui then
            interactionGui:Clone().Parent = playerGui
        end 
    elseif not near and hasGui then
    hasGui:Destroy()
    end
end

This is the script that functions when the event is fired. This script is located in the object that has been triggered magnitude on.

local event = script:WaitForChild("RemoteEvent") -- giving a name to the event so we can fire it specifically elsewhere
event.OnServerEvent:connect(function(key) -- define the function that will be called when the event is fired

    print('It worked!')
    -- this is where you put all the code you want to run when the event is fired
    game.Workspace:WaitForChild("Baseplate").BrickColor = BrickColor.Random() 


end)

The Entire Local script

local me = game:GetService("Players").LocalPlayer
local mouse = me:GetMouse()

-- REQUIRES: model and descendants of model can have :GetChildren() called
-- on them.
-- PURPOSE: Given a model, returns a list of all of the descendants of that model.
-- [If result is specified, it will add the descendants of result to model.]
function descendants( model, result )
    result = result or {} -- No need to pass in result
    for _, child in pairs(model:GetChildren()) do
        table.insert(result, child) -- Much cleaner way to add to list
        descendants(child, result)
    end
    return result -- Return the accumulated children
end

-- PURPOSE: Returns whether or not this part is an interaction site.
-- REQUIRES: part must be a ROBLOX object.
function isInteraction( part )
    return part:IsA("BasePart") and part:FindFirstChild("Interaction") and part.Interaction:IsA("StringValue")
end

local interactions = {} -- List of all interaction sites.
local everything = descendants( workspace )

for _, object in pairs( everything ) do
    if isInteraction( object ) then
        table.insert( interactions, object )
    end
end

-- Define the GUI we give to players
local interactionGui = game.ReplicatedStorage.InteractionGui

-- Define near, sets to nil
local near 




local debounce = false
function update(player)

local mouse = game.Players.LocalPlayer:GetMouse()
local playerGui = player.PlayerGui
local hasGui = playerGui:FindFirstChild(interactionGui.Name)
local torso = player.Character.Torso
    for _, interaction in pairs(interactions) do
        if (interaction.Position - torso.Position).magnitude <= 3 then
            near = interaction

            mouse.KeyDown:connect(function(key)
                if near and key == "e" and not debounce  then
                    debounce = true
                    interaction.EventHandler.RemoteEvent:FireServer()
                    wait()
                    debounce = false 

                end 
            end)    
        end
    end     

    if near then
        if not hasGui then
            interactionGui:Clone().Parent = playerGui
        end 
    elseif not near and hasGui then
    hasGui:Destroy()
    end
end


-- Update all players
function updateAll()
    for _, player in pairs(game.Players:GetPlayers()) do
        if player.Character and player.Character:FindFirstChild("Torso") and player:FindFirstChild("PlayerGui") then
            update(player)
        end
    end
end

while wait(0.1) do
    updateAll()
end

Uncopylocked place

http://www.roblox.com/games/233112602/Remote-Event-Testing