4-Exhibit B- Method of Compensation (Sample).pdf

DOT-RFP-27-4002-AN

EXHIBIT B – METHOD OF COMPENSATION

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State of Florida Department of Transportation

EXHIBIT B – METHOD OF COMPENSATION

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DISTRICTWIDE OFFICE OF MODAL DEVELOPMENT

SPECIAL PROJECTS COMMUNICATION & OUTREACH –

FLORIDA DEPARTMENT OF TRANSPORTATION - DISTRICT 4

FINANCIAL PROJECT NUMBER: 445741-2-32-01

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1.0 PURPOSE:

This Exhibit defines the limits and method of compensation to be made to the Vendor for services set forth in Exhibit "A" and the method by which payments shall be made.

2.0 ASSIGNMENT OF WORK:

The Department shall request Vendor services on an as-needed basis. Services to be provided on each project will be initiated and completed as directed by the Project Manager. A "Letter of Authorization" will be issued for each project scheduled.

3.0 COMPENSATION:

The total of all authorizations shall not exceed a Budgetary Ceiling of $1,500,000.00.

The contract Budgetary Ceiling shall be made up of:

$300,000.00 from Fiscal Year 2027 (July 1, 2026 – June 30, 2027) $300,000.00 from Fiscal Year 2028 (July 1, 2027 – June 30, 2028) $300,000.00 from Fiscal Year 2029 (July 1, 2028 – June 30, 2029) $300,000.00 from Fiscal Year 2030 (July 1, 2029 – June 30, 2030) $300,000.00 from Fiscal Year 2031 (July 1, 2030 – June 30, 2031)

This is a Term Contract for an Indefinite Quantity whereby the Vendor agrees to furnish services during a prescribed period of time. The specific period of time completes such a contract. The Department, based on need and availability of budget, may increase or decrease the Budgetary Ceiling by Amendment. The Department will authorize services based on need and availability of budget. Execution of this Agreement does not guarantee that the work will be authorized.

4.0 ESTABLISHMENT OF LETTER OF AUTHORIZATION AMOUNT:

For each "Letter of Authorization" (LOA) the Vendor, following the Scope of Services as set forth in Exhibit "A", shall prepare an estimate of work and price based on the rates established in Exhibit "C", and allowable expenses. Once an acceptable Maximum Amount has been agreed upon by the Vendor and the Department's Project Manager, a "Letter of Authorization" shall be issued by the Project Manager. All work authorizations shall be completed within the term of this Agreement.

5.0 PROGRESS PAYMENTS:

The Vendor shall submit monthly invoices (1 copy) in a format acceptable to the Department and supported by such information as may be required by Department procedures to substantiate the charges being invoiced. For the satisfactory performance

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of the services detailed in each LOA, the Vendor shall be paid up to the Maximum Amount of each Authorization. Payment shall be made for the services provided, at the unit billing rates specified in Exhibit “C”, as approved by the Department. The contract billing rates shall include all costs associated with providing goods/services under this contract including but not limited to costs of salaries; overhead; fringe benefits; operating margin;

labor; equipment; supplies; tools; travel; mobilization; demobilization; transportation;

permits; notifications and fees associated with such notifications; general, administrative, and incidental expenses; and subcontractor costs (if any).

Payment for expenses shall be made on the basis of actual allowable cost incurred as authorized and approved by the Department. Allowable costs should be task related and not include items normally associated with overhead which is part of the billable rates.

Invoice shall include documentation of hours provided and itemization of costs incurred (including receipts). Bills for travel expenses authorized by the terms of this Agreement and the Department’s Project Manager and shall be submitted in accordance with Section 112.061, Florida Statutes.

The Vendor shall submit invoices (1 copy) in an electronic format, acceptable to the Department, upon the satisfactory completion of the services detailed in each “Letter of Authorization” as follows:

Scan the complete invoice in PDF format and check to ensure all pages are legible.

All electronic invoice emails must use the following format in the subject line:

o FDOT Project Manager Name, the Contract #, LOA #, Invoice # and

(FM# optional) (e.g., John Smith, BE005, LOA # 1, Invoice #12, FM # 123456-7-89-00)

All attachments to the email must be labeled in the following format:

FDOT Project Manager Name, Contract #, LOA #, Invoice #

Email complete invoice to the OMD drop box: D4OMDID@dot.state.fl.us Copy the FDOT Project Manager (optional) DO NOT mail (USPS, FedEX, etc.) the original hardcopy.

For invoices too large to be submitted through regular email, request an FTA

(File Transfer Appliance) from your FDOT Project Manager.

The Department reserves the right to change the above invoice submission requirements upon written notification by the Department.

6.0 DETAILS OF UNIT RATES:

Details of Unit Rates for the performance of the Vendor’s services set forth in Exhibit "A" are contained in Exhibit "C", attached hereto, and made a part hereof.

7.0 NON-RATE ITEMS:

For items authorized by the Department that are not listed in Exhibit "C", the Vendor must provide a minimum of two (2) quotes, when practical, or as otherwise required under

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state law. The FDOT project manager will issue the LOA based on the lowest quote unless a higher quote is justified in writing.

A request for quotes on non-rate items does not constitute authorization to purchase said item. Non-rate items must be authorized in writing by the Department prior to the Vendor incurring any costs for them.

When authorized by the Department, the Vendor shall be reimbursed based on actual cost supported with invoices and/or other evidence of payment.

8.0 TANGIBLE PERSONAL PROPERTY:

This contract does not involve the purchase of Tangible Personal Property, as defined in Chapter 273, F.S.

**END OF EXHIBIT B – METHOD OF COMPENSATION (SAMPLE)**