Common use of Price Adjustments Clause in Contracts

Price Adjustments. Prices shall be firm against increase for 24 months from the original effective date of contract. Requests for increase/decrease may be submitted to the State if there has been, or is, a documented change in cost, with the State reserving the right to accept or reject requests within thirty (30) days after receipt of request. Price increases may be requested by the Contractor one (1) time per year, on the contract anniversary date, (following the 24-month price freeze) by using the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖, as published by the U.S. Bureau of Labor Statistics. The rate adjustments will be based on the PPI (Series ID PCU5182105182104). The Contractor may offer price reductions at any time and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index for the month prior to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is less. The price escalation/de-escalation formula will be tied to the change in the commodity for Data Management and Storage, PPI Series ID PCU5182105182104. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - Type ―518210‖ in the ―Select an Industry‖ box and click the adjacent ―Find‖ button. Box 2 - Select ―5182105182104‖ for ―Data Management and Storage, Information Transformation and other Services‖ in the ―Select One or More Products‖ box and click the ―Get Data‖ button (Box 3). A table similar to the one shown below will be created. Series Id: PCU5182105182104 Industry: Data processing and related services Product: Data management and storage, information transformation and other services Base Date: 200012 2000 100.0 2001 100.9 100.9 99.5 100.4 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P) 104.2(P) 104.3(P) 104.3(P) 104.4(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 Divided by index at time base price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the request. The Department may, in its sole discretion, make an equitable adjustment in the Contract terms and/or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplace, that is, by circumstances that satisfy all of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would result in a substantial loss.

Price Adjustments. Prices shall may not be firm against increase for 24 adjusted during the initial term of the Contract. For the renewal term of the Contract, the prices will be the renewal term prices specified on the Price Sheet(s); however, the renewal term prices may be adjusted no earlier than twelve months from after the original start date of the renewal term and, thereafter, or no earlier than twelve months after the effective date of contract. Requests for increase/decrease may be submitted to the State if there has been, or is, a documented change in cost, with the State reserving the right to accept or reject requests within thirty (30) days after receipt of requestprevious price adjustment. Price increases may must be requested supported by the Contractor one (1) time per year, on the contract anniversary date, (following the 24-month price freeze) by using a change in the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖, as the Series ID shown in the table below. This information is published by the U.S. Department of Labor, Bureau of Labor Statistics. Statistics (BLS), and is available at xxxx://xxx.xxx.xxx/data/. The rate adjustments will change in PPI for the first price adjustment after the start date of the renewal term shall be based determined using the PPI for the month in which the renewal term began and the latest available non-preliminary PPI at the time of the price adjustment request (a preliminary PPI is indicated on the PPI BLS website with a “(Series ID PCU5182105182104P)” notation). The Contractor may offer change in PPI for second and subsequent price reductions at any time adjustments shall be determined using the latest PPI that was used to support the previous price adjustment and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published latest available non-preliminary Producer Price Index for PPI at the month prior to the award/anniversary date time of the contract will be request. When requesting a price increase, the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior Contractor shall submit a written justification to the contract year to be priced will establish manager detailing the reference data reason(s) for the New request; an increase in the PPI Indexis not sufficient justification for a price increase by itself. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase per twelve (12) month period Price increases shall not exceed the percent change in PPI allowable amount or 3%three percent, whichever is less. The price escalation/de-escalation formula will be tied to the percent change in PPI shall be calculated using the commodity for Data Management and Storage, following formula: (𝐵 − 𝐴) 𝐴 = 𝑍 Where: A = earliest PPI Series ID PCU5182105182104. The formula is calculated by dividing the New (PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau time the renewal term began or previous price adjustment) B = latest PPI (latest available non-preliminary PPI at the time of Labor Statistics web site and following price adjustment request) Z = percent change in PPI The Department reserves the below steps: Go exclusive right to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - Type ―518210‖ in the ―Select an Industry‖ box and click the adjacent ―Find‖ button. Box 2 - Select ―5182105182104‖ for ―Data Management and Storage, Information Transformation and other Services‖ in the ―Select One approve or More Products‖ box and click the ―Get Data‖ button (Box 3). A table similar to the one shown below will be created. Series Id: PCU5182105182104 Industry: Data processing and related services Product: Data management and storage, information transformation and other services Base Date: 200012 2000 100.0 2001 100.9 100.9 99.5 100.4 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P) 104.2(P) 104.3(P) 104.3(P) 104.4(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 Divided by index at time base deny any price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the adjustment request. The Department mayPrice adjustments will not be considered for any Contractor with any contractual non-performance issues including, in its sole discretionbut not limited to, make outstanding fees or monies due under this Contract or overdue reports or documentation including, but not limited to, a Quarterly Sales Report or an equitable adjustment in the Contract terms and/or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplace, that is, by circumstances that satisfy all of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would result in a substantial lossMFMP Transaction Fee Report.

Price Adjustments. Prices shall may be firm against increase adjusted with the introduction of a new year model(s) for 24 a Representative Model(s) awarded to the Contractor and any associated Option(s) awarded in the “OPTIONS” Specification Category of the price sheet. Prices may be adjusted no earlier than 12 months from after the original start date of the Contract and, thereafter, or no earlier than 12 months after the effective date of contract. Requests for increase/decrease may be submitted to the State if there has been, or is, a documented change in cost, with the State reserving the right to accept or reject requests within thirty (30) days after receipt of requestprevious price adjustment. Price increases may must be requested supported by the Contractor one (1) time per year, on the contract anniversary date, (following the 24-month price freeze) by using a change in the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖, as the Series ID(s) shown in the table below. This information is published by the U.S. Department of Labor, Bureau of Labor Statistics. Statistics (BLS), and is available at xxxx://xxx.xxx.xxx/data/. The rate adjustments will change in PPI for the first price adjustment after the start date of the Contract shall be based determined using the PPI for the month in which the Contract began and the latest available non- preliminary PPI at the time of the price adjustment request (a preliminary PPI is indicated on the PPI BLS website with a “(Series ID PCU5182105182104P)” notation). The Contractor may offer change in PPI for second and subsequent price reductions at any time adjustments shall be determined using the latest PPI that was used to support the previous price adjustment and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published latest available non-preliminary Producer Price Index PPI at the time of the request. When requesting a price increase, the Contractor shall submit a written justification to the Contract Manager detailing the reason(s) for the month prior to request; an increase in the award/anniversary date of the contract will be the reference date PPI is not sufficient justification for the beginning (old) PPI Indexa price increase by itself. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase per twelve (12) month period increases shall not exceed the percent change in PPI allowable amount or 3%three percent, whichever is less. The percent change in PPI shall be calculated using the following formula: = 𝑍 A = earliest PPI (PPI at the time the renewal term began or previous price escalation/deadjustment) B = latest PPI (latest available non-escalation formula preliminary PPI at the time of price adjustment request) Z = percent change in PPI For any price adjustment request which exceeds the percent change in PPI, an exception may be considered by submitting to the Department’s Contract Manager a revised MSRP and supporting documentation detailing substantial model improvements which provide additional value to the State. If an exception is approved, the pricing adjustment will be tied to calculated by applying the change same percentage discount off MSRP as submitted in the commodity for Data Management and Storage, PPI Series ID PCU5182105182104. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - Type ―518210‖ in the ―Select an Industry‖ box and click the adjacent ―Find‖ button. Box 2 - Select ―5182105182104‖ for ―Data Management and Storage, Information Transformation and other Services‖ in the ―Select One or More Products‖ box and click the ―Get Data‖ button (Box 3). A table similar to the one shown below will be created. Series Id: PCU5182105182104 Industry: Data processing and related services Product: Data management and storage, information transformation and other services Base Date: 200012 2000 100.0 2001 100.9 100.9 99.5 100.4 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P) 104.2(P) 104.3(P) 104.3(P) 104.4(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 Divided by index at time base price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the requestbid. The Department mayreserves the exclusive right to approve or deny any price adjustment request. Price adjustments will not be considered for any Contractor with any contractual non-performance issues including, in its sole discretionbut not limited to, make outstanding fees or monies due under this Contract or overdue reports or documentation including, but not limited to, a Quarterly Sales Report or an equitable MFMP Transaction Fee Report. A price adjustment does not constitute a change to the Contract requiring an amendment executed by both Parties. After the Department approves a price adjustment in a written communication to the Contractor, it will incorporate the price adjustment onto the price sheet listed on the State Purchasing Contract terms and/or pricing if pricing or availability of supply is affected by extreme website. OEM Options Discounts and unforeseen volatility in Non-OEM Options Discounts, as awarded on the marketplaceprice sheet for each Representative Model, that is, by circumstances that satisfy all may not be reduced during the life of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would result in a substantial lossContract.

Price Adjustments. Prices shall be firm against increase for 24 twelve (12) months from the original effective date of contractcontract and no more than one (1) time per calendar year. Requests After this period, requests for increase/increase or decrease may be submitted to the State if there has been, or is, a documented change increase in cost, with the State reserving the right to accept or reject requests request within thirty (30) days after receipt of request. Price increases increase or decrease may be requested by the Contractor either party one (1) time per year, on the contract anniversary date, (following the 24-month price freeze) year by using the Producer Price Index (PPI) for Industry: ―Data Management Other Commercial and StorageService Industry Machinery Manufacturers, Information Transformation Mailing, Letter handling and other Services‖addressing machines, except parts and attachments as published by the U.S. Bureau of Labor Statistics. The rate adjustments will be based on the PPI (Series ID PCU5182105182104PCU3333183333183A). The Contractor may offer price reductions at any time and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index (PPI) for the month prior to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI IndexPPI. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is lessPPI. The price escalation/escalation / de-escalation formula will be tied to the change in the commodity for Data Management Other Commercial and StorageService Industry Machinery Manufacturers, Mailing, Letter handling, and addressing machines, except parts and attachments, PPI Series ID PCU5182105182104. The PCU3333183333183A.The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warrantedthe New Price. This formula applies after Year 2 1 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: : i. Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the xxxx://xxx.xxx.xxx/ppi/ ii. Navigate to “PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - Type ―518210‖ in the ―Select an Industry‖ box and click the adjacent ―Find‖ button. Box 2 - Select ―5182105182104‖ for ―Data Management and Storage, Information Transformation and other Services‖ in the ―Select One or More Products‖ box and click the ―Get Data‖ button (Box 3). A table similar to the one shown below will be created. Series Id: PCU5182105182104 Industry: Data processing and related services Product: Data management and storage, information transformation and other services Base Date: 200012 2000 100.0 2001 100.9 100.9 99.5 100.4 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P) 104.2(P) 104.3(P) 104.3(P) 104.4(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 Divided by index at time base price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the request. The Department may, in its sole discretion, make an equitable adjustment in the Contract terms and/or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplace, that is, by circumstances that satisfy all of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would result in a substantial loss.Database”

Price Adjustments. Prices Proposed discounts shall be firm against increase decrease for 24 months from the original effective date life of the contract. Requests for price increase/decrease may be submitted to the State if there has been, or is, is a documented change in cost, with the . The State reserving reserves the right to accept or reject requests within thirty (30) days after receipt of request. Price increases may be requested by the Contractor one (1) time per year, on the contract anniversary date, (following the 24-month price freeze) by using the STC Change Form in Section 7.1.3 in this solicitation document. Price change requests are subject to the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖“Communications Equipment Manufacturing”, as published by the U.S. Bureau of Labor Statistics. The rate adjustments will be based on the PPI (Series ID PCU5182105182104PCU3342). The Contractor may offer price reductions at any time and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index for the month prior to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ ’ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the The maximum net rate percentage increase per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is less. The price escalation/de-escalation formula will be tied to the change in the commodity for Data Management and Storage, PPI Series ID PCU5182105182104. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the PPI Databases link Select ―Industry “Industry Data (one screen)‖ screen)” Box 1 - Type ―518210‖ “3342” in the ―Select “Select an Industry‖ Industry” box and click the adjacent ―Find‖ “Find” button. Box 2 - Select ―5182105182104‖ “3342--3342” for ―Data Management and Storage, Information Transformation and other Services‖ “Communications equipment mfg” in the ―Select “Select One or More Products‖ Products” box and click Box 3 - Click the ―Get Data‖ button (Box 3)“Get Data” button. A table similar to the one shown below will be created. Series Id: PCU5182105182104 PCU3342--3342-- Industry: Data processing and related services Communications equipment mfg Product: Data management and storage, information transformation and other services Communications equipment mfg Base Date: 200012 198512 Top of Form Download: Bottom of Form 2000 100.0 111.4 110.9 110.7 110.4 110.1 110.1 110.2 110.2 110.3 110.2 110.2 110.2 110.4 2001 110.4 110.4 110.4 108.5 108.6 108.5 108.1 107.6 107.8 107.8 107.7 107.7 108.6 2002 107.5 106.6 106.5 105.7 105.6 105.3 104.3 104.5 104.5 103.6 103.5 102.8 105.0 2003 102.7 101.9 102.8 102.7 102.6 102.1 101.0 101.1 101.4 100.5 100.9 100.9 99.5 100.4 101.7 2004 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 98.6 98.6 98.5 98.6 98.2 97.9 98.3 97.9 97.3 97.9 97.8 98.4 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 97.5 97.3 97.4 97.5 97.4 97.2 97.1 97.0 96.6 96.6 96.5 96.4 97.0 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 95.7 96.1 95.9 96.0 96.0 96.1 95.8 96.0 96.1 95.8 95.8 95.3 95.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 95.5 95.7 95.9 95.8 95.8 95.8 95.8 95.8 95.8 95.9 95.8 95.8 95.8 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 96.2 96.9 96.8 96.9 97.2 97.1 97.3 97.3 97.3 97.2 97.4 97.4 97.1 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P97.5 97.2 97.2 97.2 97.1 97.1 97.2 97.1 97.2 97.2 97.2 97.2 97.2 2010 97.2 97.1 97.1 96.7(P) 104.2(P96.6(P) 104.3(P96.8(P) 104.3(P) 104.4(P97.1(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 time of request……………………………………………………………97.2 Divided by index at time base price was set 105.5 ……………..……………..............97.5 Equals (De-Escalation Rate) 0.9886 )………………………………………………..< 0.9969 > New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the request. The Department may, in its sole discretion, make an equitable adjustment in the Contract terms and/or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplace, that is, by circumstances that satisfy all of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would result in a substantial loss.

Price Adjustments. Prices shall be firm against increase for 24 twenty-four (24) months from the original effective date of contract. Requests After this period, requests for increase/decrease may be submitted to the State if there has been, or is, a documented change decrease in cost, with the State reserving the right to accept or reject requests within thirty (30) days after receipt of request. Price increases decreases may be requested by the Contractor either party one (1) time per year, on the contract anniversary date, year (following the 24-month price freeze) by using the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖Electronic Computer Manufacturing, as published by the U.S. Bureau of Labor Statistics. The rate adjustments will be based on the PPI (Series ID PCU5182105182104pcu5112-5112). The Contractor may offer price reductions at any time and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index for the month prior to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ ’ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase decrease per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is less. The price escalation/de-escalation formula will be tied to the change in the commodity for Data Management and StorageSoftware Publishers, PPI Series ID PCU5182105182104pcu5112--5112. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: • Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data xxxx://xxx.xxx.xxx/ppi/ • Navigate to the “Get Detailed PPI Statistics” section • Select “Create Customized Tables (one screen)” • Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - titled “Industry Data” • Type ―518210‖ “5112” in the ―Select “Select an Industry‖ Industry” box for the Electronic Computer Manufacturing category and click hit the adjacent ―Find‖ “Find” button. Box 2 - • Select ―5182105182104‖ “5112--5112” for ―Data Management and Storage, Information Transformation and other Services‖ Software Publishers in the ―Select “Select One or More Products‖ Products” box and click hit the ―Get Data‖ button (Box 3)adjacent “Find” button. A table similar to the one shown below will be created. Series Id: PCU5182105182104 PCU5112--5112-- Industry: Data processing and related services Software publishers Product: Data management and storage, information transformation and other services Software publishers Base Date: 200012 2000 0312 2003 100.0 2001 100.9 100.9 2004 99.4 100.5 100.4 100.4 100.0 100.2 99.8 99.7 98.6 99.9 99.8 99.3 99.8 2005 98.8 99.5 100.4 99.3 99.9 99.4 99.7 99.2 99.7 100.7 100.8 100.6 100.3 100.8 99.8 2006 101.0 100.1 99.1 98.7 100.3 100.3 100.0 100.1 100.3 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 100.3 100.1 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 99.5 99.9 99.9 100.1 99.6 99.4 99.5 99.9 99.5 99.4 99.4 99.3 99.6 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P99.5(P) 104.2(P99.1(P) 104.3(P100.9(P) 104.3(P101.8(P) 104.4(P) P P: Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 anniversary…………………………………………………. 99.1 Divided by index at time base price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the request. The Department may, in its sole discretion, make an equitable adjustment in the Contract terms and/or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplace, that is, by circumstances that satisfy all of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would result in a substantial loss.……………………………......... 100.1

Price Adjustments. Prices for services described in the solicitation must be firm for a period of one year from date of contract award (excluding pass through costs imposed by other agencies). Any request for price adjustment must be based on the, U.S Department of Labor, Bureau of Labor Statistics, Current Employment Statistics (CES) for all employees, thousands, education and health services, seasonally adjusted (CES6500000001. The price will be increased or decreased based upon the annual percentage change in the CES. The maximum escalation will not exceed +/- 8% for any individual year. The escalation will be determined annually at the renewal date. Should the CES change exceed a minimum threshold value of +/-1%, then the stated eligible bid prices shall be firm against increase adjusted in accordance with the CES change not to exceed the 8% limit per year. The supplier should provide documentation as percentage of each cost associated with the unit prices quoted for 24 months from the original effective date of contractconsideration. Requests for increase/decrease may Request must be submitted in writing with supporting evidence for need of such increase to the State if there has beenPurchasing Manager at least 60 days prior to contract expiration of each year. Respondent must also provide supporting documentation as justification for the request. Upon receipt of such request, or is, a documented change in cost, with the State reserving City of Xxxxxx reserves the right to either: accept the escalation as competitive with the general market price at the time, and become effective upon the renewal date of the contract award or reject requests the increases within thirty (30) 30 calendar days after receipt of a properly submitted request. Price increases If a properly submitted increase is rejected, the Contractor may request cancellation of such items from the Contract by giving the City of Xxxxxx written notice. Cancellation will not go into effect for 15 calendar days after a determination has been issued. Pre- price increase prices must be requested honored on orders dated up to the official date of the City of Xxxxxx approval and/or cancellation. The request can be sent by e-mail to: xxxxxxxxxx@xxxxxxxxxxxx.xxx noting the solicitation number. The City of Xxxxxx reserves the right to accept, reject, or negotiate the proposed price changes. These standard Terms and Conditions and the Terms and Conditions, Specifications, Drawings and other requirements included in the City of Denton’s contract are applicable to contracts/purchase orders issued by the City of Xxxxxx hereinafter referred to as the City or Buyer and the Seller or respondent herein after referred to as Contractor one (1) time per yearor Supplier. Any deviations must be in writing and signed by a representative of the City’s Procurement Department and the Supplier. No Terms and Conditions contained in the seller’s proposal response, invoice or statement shall serve to modify the terms set forth herein. If there is a conflict between the provisions on the contract anniversary date, (following face of the 24-month price freeze) by using the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖, as published by the U.S. Bureau of Labor Statistics. The rate adjustments contract/purchase order these written provisions will be based on the PPI (Series ID PCU5182105182104)take precedence. The Contractor may offer price reductions at any time and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index for the month prior to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is less. The price escalation/de-escalation formula will be tied to the change in the commodity for Data Management and Storage, PPI Series ID PCU5182105182104. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - Type ―518210‖ in the ―Select an Industry‖ box and click the adjacent ―Find‖ button. Box 2 - Select ―5182105182104‖ for ―Data Management and Storage, Information Transformation and other Services‖ in the ―Select One or More Products‖ box and click the ―Get Data‖ button (Box 3). A table similar to the one shown below will be created. Series Id: PCU5182105182104 Industry: Data processing and related services Product: Data management and storage, information transformation and other services Base Date: 200012 2000 100.0 2001 100.9 100.9 99.5 100.4 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P) 104.2(P) 104.3(P) 104.3(P) 104.4(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 Divided by index at time base price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of agrees that the contract shall become effective no later than thirty (30) days after approval of be governed by the requestfollowing terms and conditions, unless exceptions are duly noted and fully negotiated. The Department may, in its sole discretion, make an equitable adjustment Unless otherwise specified in the Contract terms and/or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplacecontract, that isSections 3, by circumstances that satisfy all of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control4, (2) the volatility affects the marketplace or industry5, not just the particular Contract source of supply6, (3) the effect on pricing or availability of supply is substantial7, 8, 20, 21, and (4) 36 shall apply only to a solicitation to purchase goods, and sections 9, 10, 11, 22 and 32 shall apply only to a solicitation to purchase services to be performed principally at the volatility so affects the Contractor that continued performance of the Contract would result in a substantial lossCity’s premises or on public rights-of-way.

Price Adjustments. Prices Revisions to pricing or terms impacting pricing shall be firm against requested in writing and must be approved by the Department prior to advertisement or implementation. The Contractor shall: Submit Contract Revision Authorization Form. Submit written justification for requested adjustment. Submit a new or revised price list (if applicable), or Manufacturer’s current Federal GSA Contract, on compact disc. If applicable, submit a copy of the signed Federal GSA Modification approving any price changes or adjustments along with all corresponding attachments, on compact disc. Identify the percentage(s) of requested increase for 24 months from and affected products or services, or Identify the original effective date percentage(s) of contractrequested decrease and affected products or services. Requests for increase/decrease may Update the State Contract Web Page immediately following written approval. Any GSA approved revision of pricing and products shall be submitted to the State if there has been, or is, a documented change in cost, Purchasing with the State reserving the right to accept or reject requests within thirty 30 days, or cancel the contract. Any increase accepted shall not become effective until approved in writing by State Purchasing. If Contractor does not provide GSA pricing, price adjustments shall be based on a percentage equal to the amount of increase (30or decrease) days after receipt in the Producer Price Index (PPI) on the date closest to the change date versus to the index on the date closest to the time of requestthe contract award date or the last contract price change. Price increases A price increase may be requested by the Contractor either party one (1) time per year, on the contract anniversary date, (following the 24-12 month price freeze) period by using the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖, Institutional Furniture Manufacturing as published by the U.S. Bureau of Labor Statistics. The rate adjustments will be based on the latest non-preliminary PPI (Series ID PCU5182105182104PCU337127337127). The Contractor may offer price reductions at any time and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index for the month prior to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is less. The price escalation/de-escalation formula will be tied to the change in the commodity for Data Management and Storage, PPI Series ID PCU5182105182104. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed information can be found at by going to the U.S. Bureau of Labor Statistics web site website at: xxxx://xxx.xxx.xxx/ppi/#data. Scroll down to PPI Databases. Then select “Industry Data” (one-screen data search). In Box 1 enter “Institutional” and click find. In Box 2, click on “337127337127 Institutional Furniture Manufacturing”. In Box 3, click “Get Data”. By clicking the following the link below steps: Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - Type ―518210‖ in the ―Select an Industry‖ box and click the adjacent ―Find‖ button. Box 2 - Select ―5182105182104‖ for ―Data Management and Storage, Information Transformation and other Services‖ in the ―Select One or More Products‖ box and click the ―Get Data‖ button (Box 3). A table similar to the one shown below information will appear: xxxx://xxxx.xxx.xxx/PDQ/servlet/SurveyOutputServlet;jsessionid=f0306e310312Dy$3F$3F. The index will be createdupdated as new information is available. Series Id: PCU5182105182104 Industry: Data processing Price increase requests that exceed the corresponding PPI increases for the category noted above may not be approved. Review factors may include, but are not limited to, previous pricing adjustments, comparative study of other Contractors offering similar products, and related services Product: Data management and storage, information transformation and other services Base Date: 200012 2000 100.0 2001 100.9 100.9 99.5 100.4 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P) 104.2(P) 104.3(P) 104.3(P) 104.4(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 Divided by index at time base price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the requestmarket trends. The Department mayreserves the right to accept or reject any requested pricing adjustment within 30 days, in or terminate the contract for convenience. Any increase accepted by GSA shall not become effective until approved by the Department. The State, at its sole discretion, make may allow an equitable adjustment in the Contract contract terms and/or or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplace. Reference General Xxxxxxxx Xxxxxxxxxx, that isXXX 0000, by circumstances that satisfy all xxxxxxxxx 4.4(e) for detailed criteria. If for any reason, during the term of the following criteria: (1) contract, the volatility is due contractor reduces the pricing for similar services or products to causes wholly beyond a similarly situated entity with similar or smaller contract volume, the Contractor‘s controlState shall receive an equivalent reduction in pricing for the services or products delivered to the State. Additionally, (2) in the volatility affects event the marketplace contractor offers additional shared savings to a similar situated entity with similar or industrysmaller contract volume, not just the particular Contract source of supply, (3) additional shared savings also shall be given to the effect on State. Unapproved pricing or availability of supply is substantialmarketed to Eligible Users may result in the default proceedings, and (4) the volatility so affects the Contractor that continued performance of shall be responsible for any reprocurement costs incurred by the Contract would result in a substantial lossCustomer.

Price Adjustments. Prices shall be firm against increase for 24 twenty-four (24) months from the original effective date of contract. Requests After this period, requests for increase/decrease may be submitted to the State if there has been, or is, a documented change decrease in cost, with the State reserving the right to accept or reject requests within thirty (30) days after receipt of request. Price increases decreases may be requested by the Contractor either party one (1) time per year, on the contract anniversary date, year (following the 24-month price freeze) by using the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖Electronic Computer Manufacturing, as published by the U.S. Bureau of Labor Statistics. The rate adjustments will be based on the PPI (Series ID PCU5182105182104pcu5112-5112). The Contractor may offer price reductions at any time and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index for the month prior to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ ’ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase decrease per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is less. The price escalation/de-escalation formula will be tied to the change in the commodity for Data Management and StorageSoftware Publishers, PPI Series ID PCU5182105182104pcu5112--5112. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data xxxx://xxx.xxx.xxx/ppi/ Navigate to the “Get Detailed PPI Statistics” section Select “Create Customized Tables (one screen)” Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - titled “Industry Data” Type ―518210‖ “5112” in the ―Select “Select an Industry‖ Industry” box for the Electronic Computer Manufacturing category and click hit the adjacent ―Find‖ “Find” button. Box 2 - Select ―5182105182104‖ “5112--5112” for ―Data Management and Storage, Information Transformation and other Services‖ Software Publishers in the ―Select “Select One or More Products‖ Products” box and click hit the ―Get Data‖ button (Box 3)adjacent “Find” button. A table similar to the one shown below will be created. Series Id: PCU5182105182104 PCU5112--5112-- Industry: Data processing and related services Software publishers Product: Data management and storage, information transformation and other services Software publishers Base Date: 200012 2000 0312 2003 100.0 2001 100.9 100.9 2004 99.4 100.5 100.4 100.4 100.0 100.2 99.8 99.7 98.6 99.9 99.8 99.3 99.8 2005 98.8 99.5 100.4 99.3 99.9 99.4 99.7 99.2 99.7 100.7 100.8 100.6 100.3 100.8 99.8 2006 101.0 100.1 99.1 98.7 100.3 100.3 100.0 100.1 100.3 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 100.3 100.1 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 99.5 99.9 99.9 100.1 99.6 99.4 99.5 99.9 99.5 99.4 99.4 99.3 99.6 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P99.5(P) 104.2(P99.1(P) 104.3(P100.9(P) 104.3(P101.8(P) 104.4(P) P P: Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 anniversary…………………………………………………. 99.1 Divided by index at time base price was set 105.5 ……………………………......... 100.1 Equals (De-Escalation Rate) 0.9886 )…………………………………………………... 0.99 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/Escalation De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 . 99.1 ÷ 105.5 100.1 = .9886 .9900 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved negotiated during the term of the contract shall become effective no later than thirty (30) days after approval of the request. The Revisions to product offerings, pricing, terms, or presented materials must be approved by the Department may, prior to advertisement or implementation. Requests for revision shall be submitted in its sole discretion, make an equitable adjustment in writing to the Contract terms and/or pricing if pricing or availability of supply is affected by extreme Administrator for review and unforeseen volatility in the marketplace, that is, by circumstances that satisfy all of the following criteria: (1) the volatility is due approval. Revision requests must be submitted to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would result Manager on the Product Update Form in Section 7.7. New products may be considered for addition to the contract. All requests for review shall be made in writing and shall include product literature and pricing (in Excel format with a substantial losscopy provided on CD). New products may not be marketed as approved products prior to written approval from the Contract Administrator. New Product addition requests must be submitted to the Contract Manager using the Product Update Form in Section 7.7.

Price Adjustments. This is a thirty-six (36) month contract. OCA/Purchasing will monitor market conditions for the copier paper industry using market publications, trade journals and other pertinent sources relating to copier paper products, in particular, US Department of Labor—Bureau of Labor Statistics’ (BLS) Commodity Index data for “Pulp, Paper, and Allied Products”. The Contractor’s prices for the various paper items at the outset of the contract and each anniversary date thereafter will serve as the “benchmark” prices for the upcoming contract year. Contract Prices shall may not be firm against increase for 24 months from escalated after any one-year period by more than 3.0% above the original effective Contractor’s yearly benchmark price. There is no limit to the percentage that prices may be de- escalated over this three-year period. Contractor’s Prices may be increased after the first year anniversary date of the contract. Requests Approval of price increases for increasethis contract will be allowed subject to OCA/decrease may Purchasing’s review of properly documented mill price increases to the Contractor that are verified by both BLS and industry data. Any annual requests for price increases must be submitted in writing to the State if there has been, or is, Purchaser and must include official mill price information. This contract allows for decreases in the Contractor’s copier paper mill prices to be passed along to the City at any time during the term of this contract. Contractor will apprise the Purchaser of any price decreases that the City is allowed as a documented change result of paper market pricing changes reported in cost, with the State reserving BLS Commodity Index. Thirty (30) days after the right to accept or reject requests within anniversary date of the first year of the contract and thirty (30) days after receipt of request. Price increases may be requested by the Contractor one (1) time per year, on the contract each subsequent anniversary date, (following the 24-month awarded contractor(s) shall provide the City with mill price freeze) by using documentation, indicating the Producer Price Index (PPI) for Industry: ―Data Management and Storage, Information Transformation and other Services‖, base price as published by of the U.S. Bureau date of Labor Statistics. The rate adjustments will be based on the PPI (Series ID PCU5182105182104). The Contractor may offer price reductions at any time award of this contract and the State may request a reduction in price any time the PPI shows de-escalation in costs. The last published non-preliminary Producer Price Index for the month prior most current adjustment to the award/anniversary date of the contract will be the reference date for the beginning (old) PPI Index. The most recent published Producer Price Index prior to the contract year to be priced will establish the reference data for the New PPI Index. All requests for price adjustments must be substantiated by manufacturer's certification of cost or other documentation and approved by the State of Florida‘ Contract Administrator prior to implementation. There can only be one rate increase adjustment per twelve (12) month period and the maximum net rate percentage increase per twelve (12) month period shall not exceed the PPI allowable amount or 3%, whichever is less. The price escalation/de-escalation formula will be tied to the change in the commodity for Data Management and Storage, PPI Series ID PCU5182105182104. The formula is calculated by dividing the New PPI Index by the Old PPI Index to identify the Price Escalation Rate. The Old Price is multiplied by the Price De-escalation/Escalation Rate to determine if a price reduction or increase is warranted. This formula applies after Year 2 of the contract and on each subsequent anniversary of the contract effective date. Details on how Failure to provide this PPI has historically performed can be found at the Bureau of Labor Statistics web site and following the below steps: Go to BLS website: xxxx://xxx.xxx.xxx/ppi/#data Click on the PPI Databases link Select ―Industry Data (one screen)‖ Box 1 - Type ―518210‖ in the ―Select an Industry‖ box and click the adjacent ―Find‖ button. Box 2 - Select ―5182105182104‖ for ―Data Management and Storage, Information Transformation and other Services‖ in the ―Select One or More Products‖ box and click the ―Get Data‖ button (Box 3). A table similar to the one shown below will be created. Series Id: PCU5182105182104 Industry: Data processing and related services Product: Data management and storage, information transformation and other services Base Date: 200012 2000 100.0 2001 100.9 100.9 99.5 100.4 100.7 100.6 100.3 100.8 101.0 100.6 100.9 100.8 100.6 2002 102.3 103.0 101.8 103.0 102.9 102.9 102.9 103.3 102.7 102.4 102.4 103.0 102.7 2003 102.7 104.6 103.3 103.9 104.2 104.1 103.6 104.3 102.6 103.1 103.1 103.1 103.6 2004 103.1 105.3 104.8 104.8 104.8 104.8 104.8 104.8 105.0 104.2 104.2 104.2 104.6 2005 104.2 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 104.8 2006 104.8 104.8 104.8 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 104.9 2007 105.4 105.4 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.5 2008 105.5 105.5 105.5 105.5 105.5 105.5 105.5 105.4 105.9 105.9 106.1 106.1 105.7 2009 104.3 104.3 104.3 104.4 104.5 104.4 104.4 104.4 104.5(P) 104.2(P) 104.3(P) 104.3(P) 104.4(P) P : Preliminary. All indexes are subject to revision four months after original publication. Index at one year anniversary 104.3 Divided by index at time base price was set 105.5 Equals (De-Escalation Rate) 0.9886 New PPI / Old PPI = Price Escalation/De-escalation Rate (rounded to the four decimal points). Then take Old Price Discount % / Price Escalation/De-escalation Rate = New Price Discount % (rounded to two decimal points). 104.3 ÷ 105.5 = .9886 (which equates to a Price De-escalation Rate of 99%) 25% ÷ 99.00% = 25.25% (New Price Discount Percent) Any increases/decreases approved during the term of the contract shall become effective no later than thirty (30) days after approval of the request. The Department may, in its sole discretion, make an equitable adjustment in the Contract terms and/or pricing if pricing or availability of supply is affected by extreme and unforeseen volatility in the marketplace, that is, by circumstances that satisfy all of the following criteria: (1) the volatility is due to causes wholly beyond the Contractor‘s control, (2) the volatility affects the marketplace or industry, not just the particular Contract source of supply, (3) the effect on pricing or availability of supply is substantial, and (4) the volatility so affects the Contractor that continued performance of the Contract would may result in a substantial losscontract termination.