Rates and Markups. The Proposer’s billing rates and EOPR provided in the OPS may be subject to negotiation prior to award of contract and non-negotiable for the duration of the Agreement. The EOPR will apply to the billing rate of all subcontracting firms not listed in the OPS. If the Contractor seeks to add a new subcontracting firm during the duration of the Agreement, the new individual firm OPR can be no more than the proposal EOPR. The EOPR will also apply to all amendments to the Agreement. The SFPUC may require the Contractor to provide certified payroll records documenting the actual salaries of all individuals who will be added to the project (i.e., individuals not listed in the OPS). The City will only approve project staff substitutions when that change in personnel is requested by the City and/or beyond the control of the Contractor. The City expects Contractor to provide the services of individuals listed in the OPS for whom resumes and qualifications have been submitted as part of the proposal. Contractor’s subcontractor markups shall not exceed 5% of subcontractors’ actual labor costs. The Agreement will not permit markups on ODCs or materials for either the Proposer or its subcontractors. Hourly billing rates shall be the actual hourly base salary rate of each employee utilized for the work multiplied by the firm’s proposed overhead rate (including salary burden and fringe benefits) and proposed profit rate. Each firm’s proposed OPR shall apply to all proposed staff and substituted, new, or added staff for the duration of the Agreement and shall include all miscellaneous and incidental costs of work other than those as specifically defined below as direct reimbursable expenses.
