Maximum Allowable Cost Sample Clauses
The Maximum Allowable Cost clause sets a ceiling on the amount that can be charged or reimbursed for a specific product or service, typically within contracts involving pharmaceuticals, construction, or procurement. In practice, this clause limits payments to a predetermined maximum, regardless of the actual cost incurred, and may reference published price lists or negotiated rates. Its core function is to control expenses and prevent excessive charges, thereby protecting the paying party from unexpected or inflated costs.
Maximum Allowable Cost. (MAC) shall mean the lowest reimbursement rate established by the Department for the Covered Product.
Maximum Allowable Cost. The Contractor shall establish, subject to approval by the Department, and maintain a generic drug Maximum Allowable Cost (MAC) program in order to promote generic utilization and cost containment. The Contractor shall update MAC and other pricing benchmarks on a schedule at least as consistent as is required by CMS for Medicare Part D plans found at 42 CFR 423.505(b)(21) or state law.
Maximum Allowable Cost or MAC means the unit price established by the PBM Vendor for a drug with more than two sources included on the MAC drug list applicable to Client, which list may be amended from time to time by the PBM Vendor in maintaining its generic pricing program.
Maximum Allowable Cost. The Maximum Allowable Cost (MAC List) means the list established by HNI only for those prescription medications that will be reimbursed through the PBM at a generic level. The MAC List includes, adjacent to each prescription medication listed, the corresponding Maximum Allowable Cost per unit that will be used in calculating reimbursement by HNI. This MAC List is subject to periodic review and modification by HNI. HNI shall provide advance notice of any change made to any item contained within the MAC List.
3. The following Sections of the Agreement are hereby deleted in their entirety and replaced with the following Sections:
Maximum Allowable Cost. The CONSULTANT shall not exceed the “Cost Per Parcel” Rate established for this Work Assignment identified below. Estimated Cost Total number of per Cost Function Parcels Parcel Maximum Project Costs = ______________________ [Use for Labor Hour/Unit Cost Projects]
Maximum Allowable Cost. Contract Maximums: City of Diamondhead, Mississippi By: ▇▇▇▇▇▇▇▇▇ Firm, Inc.