Third Party Audits. The Contractor shall obtain a third party firm at no additional cost to the State to conduct external price audits on this contract. The Contractor shall contract with a third party firm (to be approved by the Department) to conduct a quarterly random sampling (a minimum of 500 items per quarter) of contract items to confirm the accuracy of X.X. Xxxxxxxx Price or MSRP, MSRP % discount and final sell price. Specifically, the third party firm will confirm the prices displayed on the Contractor’s website are equal to or less than the contract terms. The third party firm shall provide a quarterly report to the Department indicating a Price Accuracy Percentage Rate of 98% or higher. The Price Accuracy Percentage Rate shall be calculated using the following formula: the total sum of the contract price for 500 products sampled divided by the total sum of the purchase price for 500 products. Example: $5,050 divided by $4,900 = 103%. At a minimum, the quarterly report will identify items not in compliance with the contract terms, provide the date of the audit, and screenshots of the items on the Contractor’s website that were not in compliance with the contract terms. If the Department deems it is in the best interest of the state, the Department reserves the right to increase the frequency of the Third Party Audit.
Appears in 5 contracts
Samples: State Term Contract, State Term, State Term Contract
