Administrative Burden Fees Sample Clauses

Administrative Burden Fees. The Commonwealth may request that Vendor purchase goods or services (including assets, training, certificates, and licenses) that are different from or in addition to the Services as described in Section 3.1.1 of the Agreement or the standards described in Schedule 3.3. Vendor’s proposals to provide all such commodities and additional services shall quote Resource Unit Rates whenever applicable. Whenever possible, Vendor will work with the Commonwealth to obtain subcontract labor at the rates available to the Commonwealth under its contingent labor contracts. For the provision of such goods and services, in addition to the costs for such goods and services, the following Fees apply: (a) an administrative burden equal to 7% of Vendor’s costs, including shipping, for commodities not contained as part of a Resource Unit, and (b) an administrative burden equal to 7%, plus an additional 3% of the reasonable, actually incurred, and documented out-of-pocket costs required in order to provide an Eligible Customer with a Service that it is not already receiving or an increase quantity to an already delivered Service. Such costs include only those Vendor costs in excess of the costs that would be incurred by Vendor to provide the Services as outlined in Section 3 of the Agreement and all associated Schedules, which may include both recurring and non-recurring costs. The Administrative Burden Fee identified in subsection (b) shall only be applied to costs where administrative or engineering activities are required in addition to traditional procurement activities. The Administrative Burden Fees identified in (a) and (b) of the previous sentence will not be applied to sales tax or Resource Unit Rates, including IMACs and Hourly Rates, nor will such Fees count against the applicable Overall Fee Limitation. Where Vendor provides any such non- standard asset that is a “premium” asset to which Vendor’s base cost for the “standard” asset can be applied, the Commonwealth will receive a credit for the cost of the standard asset that shall be applied before the Administrative Burden Fee is calculated. Examples of commodities subject to the Administrative Burden Fee are contained in Attachment 10.1.13 to Schedule 10.1. For the purposes of this Schedule, the term administrative burden reflects a portion of Vendor’s direct and indirect expenses documented in accordance with Vendor’s established cost accounting standards and accounting practices