Common use of Maximum Price Increase Clause in Contracts

Maximum Price Increase. In a single year of the Contract, the maximum price increase for each individual item on contract shall not exceed the percent increase in the latest available National Consumer Price Index - All Urban Consumers (CPI-U), Not Seasonally Adjusted, U.S. City Average, All Items (Series Id: CUUR0000SA0, CUUS0000SA0); as published by the U.S. Department of Labor, Bureau of Xxxxx Xxxxxxxxxx, Xxxxxxxxxx, X.X. 00000. CPI-U data may be obtained at xxx.xxx.xxx. The following example illustrates the computation of percent change: CPI for current period 230.000 Less CPI for previous period 225.000 Equals index point change 5.000 Divided by previous period CPI 225.000 Equals 0.022 Equals percent change 2.2 The “CPI for current period” shall be the index in effect at the time the Contract price list update request is received; “CPI for previous period” shall be the index in effect when the Contract price list was last updated. Increases are not cumulative. Price increases are limited to the prior year prices only.

Maximum Price Increase. In a single year of the ContractContract Term, the maximum price increase for each individual item on contract Contract shall not exceed the percent increase in the latest available National Consumer Price Index - All Urban Consumers (CPI-CPI- U), Not Seasonally Adjusted, U.S. City Average, All Items (Series Id: CUUR0000SA0, CUUS0000SA0); as published by the U.S. Department of Labor, Bureau of Xxxxx XxxxxxxxxxLabor Statistics, XxxxxxxxxxWashington, X.X. 00000D.C. 20212. CPI-U data may be obtained at xxx.xxx.xxx. The following example illustrates the computation of percent change: CPI for current period 230.000 Less CPI for previous period 225.000 Equals index point change 5.000 Divided by previous period CPI 225.000 Equals 0.022 Equals percent change 2.2 The “CPI for current period” shall be the index in effect at the time the Contract price list update request is received; “CPI for previous period” shall be the index in effect when the Contract price list was last updated. Increases are not cumulative. Price increases are limited to the prior year prices only.