1-DOVETAIL_BPM006549_PRICE INCREASE PERCENTAGES_2025-0223.pdf
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- Attached to
- Master Agreement AZ|CTR076437
- Contract number
- CTR076437
- Issued by
- Arizona
About this file
This document is Attachment 10 for Price Increase Percentages from the Arizona Department of Transportation (ADOT), associated with Solicitation No. BPM006549. The attachment is designed for potential contractors to specify maximum price increase percentages they may request during contract renewal periods.
The document outlines a structured approach for price increases across four potential renewal periods, with each period's increase calculated against the original contract price. Specifically, contractors can propose maximum percentage increases of 3% for the first renewal, 6% for the second, 9% for the third, and 12% for the fourth renewal period. However, ADOT emphasizes that price increases are not automatically granted and contractors must provide documentation justifying any requested increase at the time of renewal. The attachment includes an example calculation demonstrating how these incremental increases would be applied to an original contract price, ensuring transparency in the potential price adjustment mechanism.
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ATTACHMENT 10
PRICE INCREASE PERCENTAGES
Solicitation No: BPM006549 Available online at https://appstate.az.gov/
Rev. 09/2022
The offeror should use the space below to identify the maximum price increase percentage that they may want to request at the time of renewal if ADOT exercises its option per the applicable provisions under any resultant contract(s).
1st Renewal Period ___________________% Maximum Increase
2nd Renewal Period ___________________% Maximum Increase
3rd Renewal Period ___________________% Maximum Increase
4th Renewal Period ___________________% Maximum Increase
The offeror is cautioned that each renewal period’s increase percentage shall be computed against the ORIGINAL contract price. If information is not provided in the space above, prices shall remain the same as the original contract term. Please see the following example for further clarification.
Example: If the offeror anticipates requesting a 2% increase at each renewal period per Special Terms and Conditions, they should enter 2%, 4%, 6%, and 8% in the attachment.
Each percentage increase is calculated using the original contract price. See example in table below.
Renewal Period
% Maximum Increase from Attachment
Original Contract
Price
Maximum Increase Allowed
Maximum Contract
Price 1 2% $100.00 $2.00 $102.00 2 4% $100.00 $4.00 $104.00 3 6% $100.00 $6.00 $106.00 4 8% $100.00 $8.00 $108.00
Furthermore, the offeror is advised that the State of Arizona does not automatically grant any increase when renewing the contract. If an increase is requested, documentation of need must be provided at the time of renewal.
File details come from the government source that posted it. Updated .