Common use of Prices and Price Adjustment Clause in Contracts

Prices and Price Adjustment. 6.1 The Contract unit prices will remain firm for the Initial Contract Term. Unit price increases for ensuing Renewal Contract Terms shall only be considered by the Procurement Agent upon receipt of a written request from the Contractor sixty (60) Days prior to the end of the Contract Term or Renewal Contract Term, substantiating to the satisfaction of the Procurement Agent increased cost of performance over the preceding Initial Contract Term or Renewal Contract Term. Any increases approved by the Procurement Agent shall be limited to an amount not to exceed the percentage of movement of the U.S. Department of Labor, Consumer Price Index, All Items, Unadjusted, US City Average (CPI-U) [Series ID CUUR0000SA0] for the twelve (12) month period ending three (3) months prior to end of the expiring Initial Contract Term or Renewal Contract Term. The Contract unit prices changed as a result of this formula will become effective on the commencement date of the Renewal Contract Term and shall be binding on the Contractor for the ensuing Renewal Contract Term. 6.2 Unless directed otherwise by APS, any Work in progress at the time of expiration of a Contract term may continue and be completed under the terms of the Contract in existence at the time the Purchase Order for the Work was issued, but must be completed no later than six (6) months following expiration of the Contract term in which the Purchase Order was issued. 6.3 All funds for payments by APS under any Contract awarded are subject to the availability of an annual appropriation for this purpose by the APS. In the event of non-appropriation of funds by the APS for the goods or services provided under the Contract, APS will terminate the Contract, without termination charge or other liability to APS, on the last day of the then current fiscal year or when the appropriation made for the then current year for the services covered by this Contract is spent, whichever event occurs first. APS will endeavor to provide reasonable Notice of such termination, but no formal notice of such termination is required of APS, and APS shall not order any goods or services to be provided after such termination date.