2-[Price Increase] BPM006653 P R Ford.docx
DOCX document 1 MB Posted
- Attached to
- Master Agreement AZ|CTR077173
- Contract number
- CTR077173
- Issued by
- Arizona
About this file
This document is a price increase percentage attachment for a contract (Solicitation No: BPM006653) with the Arizona Department of Transportation (ADOT). The document provides a structured approach for potential price adjustments during contract renewal periods, specifically outlining the maximum percentage increases that can be requested for each renewal.
The attachment allows the contractor to specify maximum price increase percentages for up to four renewal periods, with percentages of 2%, 3%, 4%, and 5% respectively. Importantly, these increases would be calculated against the original contract price, and ADOT emphasizes that price increases are not automatically granted. Any requested increase must be accompanied by documentation demonstrating the need for the adjustment. The document includes an example calculation showing how these percentage increases would be applied, maintaining transparency about the potential pricing mechanisms throughout the contract's lifecycle.
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Text version
ATTACHMENT
PRICE INCREASE PERCENTAGES
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 __________2_________% Maximum Increase
2nd Renewal Period _________3 _________% Maximum Increase
3rd Renewal Period __________4 _______% Maximum Increase
4th Renewal Period __________5 ________% 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.
| Solicitation No: BPM006653 |
| Available online at |
https://appstate.az.gov/
Rev. 11/2024 image1.jpeg
File details come from the government source that posted it. Updated .