6 - Price Increase Percentages.pdf
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- Attached to
- AZ|CTR077709
- Contract number
- CTR077709
- Issued by
- Arizona
About this file
This document is Attachment 6 for Price Increase Percentages from the Arizona Department of Transportation (ADOT) for Contract No. CTR077709, available online at https://appstate.az.gov/. The attachment is designed for an offeror to specify maximum price increase percentages for potential contract renewal periods.
The document outlines a structured approach for price increases across four potential renewal periods, with progressively increasing maximum percentage increases: 2.5% for the first renewal, 5.0% for the second, 7.5% for the third, and 10.0% for the fourth renewal period. Each percentage increase is calculated against the original contract price, and ADOT emphasizes that price increases are not automatically granted. The offeror must provide documentation supporting the need for any price increase at the time of renewal. The attachment includes an example table demonstrating how these percentage increases would be applied to an original contract price, helping vendors understand the calculation method.
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ATTACHMENT 6
PRICE INCREASE PERCENTAGES
Contract No: CTR077709 Available online at https://appstate.az.gov/
Rev. 03/2025
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.
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