Common use of Escalation/De-Escalation Clause in Contracts

Escalation/De-Escalation. The HCSO will allow an escalation/de-escalation provision in this Contract. The prices set herein shall have the opportunity to be adjusted during the renewal period for each term of the contract. The Awarded SUPPLIER(s) must notify the HCSO’s Financial Services Division of the price escalation/de-escalation request a minimum of 60 calendar days prior to the end of each one (1) year period for which the Bid was awarded for it to be considered. The price escalation request must be due to a factor beyond the control of the bidder and can be no more than the percentage of increase passed through to the SUPPLIER by the manufacturer. At the time of request, Bidder must furnish written substantiation of increase by its supplier/manufacturer to the HCSO. Said substantiation shall be in the form of invoices, receipts and/or other appropriate documentation showing costs in effect at the time of the bid proposal versus cost in effect at the time of the request for price escalation. Any price increase must be substantiated to the satisfaction of the HCSO and shall only be effective upon acceptance by HCSO in writing. A price escalation request outside of the renewal process may be accepted. These requests must reference/cite and include any source materials used to form the basis of the proposed justification but must not include historical information prior to the initial contract term. They must also include the same written substantiation documentation as mentioned in the paragraph above. The HCSO will research Bureau of Labor Statistics (BLS) Producer Price Index (PPI) and/or other related indicators or sources and conduct an analysis to determine 1) if the submitted justification and evidence are sufficient, 2) the requested price escalation is fair and reasonable, and 3) if approving the request is in the HCSO’s best interest. The HCSO reserves the right to negotiate, accept or reject the request, or terminate and re-solicit the contract.

Escalation/De-Escalation. The HCSO will allow an escalation/de-escalation provision in this Contractsolicitation. The prices set herein shall have the opportunity to be adjusted during the renewal period for each term of the contract. The Awarded SUPPLIER(ssupplier(s) must notify the HCSO’s Financial Services Division of the price escalation/de-escalation request a minimum of 60 30, but no more than 60, calendar days prior to the end of each one (1) year period for which the Bid solicitation was awarded for it to be considered. The price escalation request must be due to a factor beyond the control of the bidder and can be no more than the percentage of increase passed through to the SUPPLIER vendor by the manufacturer. At the time of request, Bidder must furnish written substantiation of increase by its supplier/manufacturer to the HCSO. Said substantiation shall be in the form of invoices, receipts and/or other appropriate documentation showing costs in effect at the time of the bid solicitation proposal versus cost in effect at the time of the request for price escalation. Any price increase must be substantiated to the satisfaction of the HCSO and shall only be effective upon acceptance by HCSO in writing. A price escalation request outside of the renewal process may be accepted. These requests must reference/cite and include any source materials used to form the basis of the proposed justification but must not include historical information prior to the initial contract term. They must also include the same written substantiation documentation as mentioned in the paragraph above. The HCSO will research Bureau of Labor Statistics (BLS) Producer Price Index (PPI) and/or other related indicators indicators, or sources and conduct an analysis to determine 1) if the submitted justification and evidence are sufficient, 2) the requested price escalation is fair and reasonable, and 3) if approving the request is in the HCSO’s best interest. The HCSO reserves the right to negotiate, accept or reject the request, or terminate and re-solicit the contract.

Escalation/De-Escalation. The HCSO will allow an escalation/de-escalation provision in this Contractsolicitation. The prices set herein shall have the opportunity to be adjusted during the renewal period for each term of the contract. The Awarded SUPPLIER(ssupplier(s) must notify the HCSO’s Financial Services Division of the price escalation/de-escalation request a minimum of 60 30, but no more than 60, calendar days prior to the end of each one two (12) year period for which the Bid solicitation was awarded for it to be considered. The price escalation request must be due to a factor beyond the control of the bidder and can be no more than the percentage of increase passed through to the SUPPLIER vendor by the manufacturer. At the time of request, Bidder must furnish written substantiation of increase by its supplier/manufacturer to the HCSO. Said substantiation shall be in the form of invoices, receipts and/or other appropriate documentation showing costs in effect at the time of the bid solicitation proposal versus cost in effect at the time of the request for price escalation. Any price increase must be substantiated to the satisfaction of the HCSO and shall only be effective upon acceptance by HCSO in writing. A price escalation request outside of the renewal process may be accepted. These requests must reference/cite and include any source materials used to form the basis of the proposed justification but must not include historical information prior to the initial contract term. They must also include the same written substantiation documentation as mentioned in the paragraph above. The HCSO will research Bureau of Labor Statistics (BLS) Producer Price Index (PPI) and/or other related indicators indicators, or sources and conduct an analysis to determine 1) if the submitted justification and evidence are sufficient, 2) the requested price escalation is fair and reasonable, and 3) if approving the request is in the HCSO’s best interest. The HCSO reserves the right to negotiate, accept or reject the request, or terminate and re-solicit the contract.