.19 Offset Provision Exhibit.pdf

This is an Offset Provision Exhibit document issued by the Commonwealth of Pennsylvania as Enclosure 2 to Management Directive 215.9, effective October 25, 2010. The exhibit applies to all contracts between the Commonwealth of Pennsylvania and contractors performing services, including the referenced Tree Trimming & Stump Removal Services contract for PennDOT in Fayette County. The tree trimming and stump removal services contract encompasses all State Routes, Department facilities, and other areas where PennDOT has responsibility or requirements for such work. Services include tree trimming, stump removal, and waste disposal of chips, mulch, leaves, and branches, with fly chipping available upon specific instruction. Bidders must submit proposals electronically through the Commonwealth's electronic SRM system via the PA Supplier Portal at www.pasupplierportal.state.pa.us. Only certified small businesses are eligible to bid and receive award under the Small Business Procurement Initiative established by Executive Order 2011-09. Technical support for bidding difficulties is available through the Supplier Service Center at (877) 435-7363, option 1.

The offset provision grants the Commonwealth authority 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 Commonwealth contracts. This provision applies automatically to all contractors and represents a financial safeguard for the state. No specific pricing terms, contract duration, renewal options, or funding amounts are detailed in the offset provision exhibit itself, as this document serves solely to establish the Commonwealth's right to offset payments for outstanding state obligations.