.07 Offset Provision Exhibit.pdf

This is an Offset Provision Exhibit, Enclosure 2 to Management Directive 215.9, issued by the Commonwealth of Pennsylvania in relation to a uniform and shop towel rental and laundering services contract for the Pennsylvania Department of Transportation (PennDOT) Engineering District 12-2 in Greene County.

The offset provision establishes that the Commonwealth of Pennsylvania reserves the right to set off any state tax liabilities or other financial obligations owed by the Contractor or its subsidiaries to the Commonwealth against any payments due to the Contractor under this contract. This clause protects the Commonwealth's financial interests by allowing it to recover outstanding obligations through contract payment deductions. The document was established on October 25, 2010, and serves as a standard contractual requirement for Commonwealth procurement agreements.