Orange County NC Website
Browse       Search
DocuSign Envelope ID: 7796CD94- 342E- 40D0- B7C3- A2B604F926B4 <br />GRANGE COUNTY Department of Solid Waste Management <br />1.12 CONTRACT TERM <br />The County's intent with the services provided, as part of this RFP, is to continue to provide the <br />community with the appropriate level of service, at the highest quality, and best price. To increase the <br />affordability of organic material collection and organic material processing to make compost, the County <br />will consider two cost proposals; the first with an initial five (5) year term with two possible extensions at <br />five (5) years each; and the second, an initial ten (10) year term with one possible extension term at <br />five (5) years. <br />1.12.1 Contract Payment <br />Payment will be made by the County to the Contractor within thirty (30) days after the receipt <br />by the County of a complete and accurate invoice for work done which is reasonable and <br />allocable to the Contract and has been performed to the satisfaction of the County. Amounts <br />on invoices small not include amounts allocated to tasks on which no work has been done. <br />1.12.2 Contract Extension With Price Adjustments Negotiated Up To CPI -U <br />Adjustments in the amount for ensuing years shall be made in accordance with the following to <br />include collection services alone: <br />A. CPI -U: The County will allow an annual CPI -U price adjustment for each year of the Contract <br />after the first year as described herein. The CPI -U used shall be the percentage of movement <br />of the U.S. Department of Labor, Consumer Price Index, All Items, Unadjusted, and Urban <br />Areas for the 12 -month period ending in January of each Contract year. The CPl -U <br />adjustment shall be limited to fifty percent (50 %) of each unit price, unless otherwise <br />specified herein. The Adjusted Contract Unit Prices shall become effective on July 1st of the <br />initial contract term (July 1, 2018) and shall be adjusted every 12 months thereafter on the <br />Contract anniversary date according to the formula in the example below and shall be <br />binding on the Contractor for the ensuing Contract year. <br />CPI -U ADJUSTMENT EXAMPLE: For Organic Waste Collection Service, take the maximum <br />of the change of the CPI -U multiplied by 50% of unit price. The calculation for the adjusted <br />monthly per participation collection service unit price for the ensuing contract year shall be <br />derived as follows: <br />(0.50 X Unit Price x GPI-U) + (0.50 x Unit Price) = Adjusted Unit Price, rounded to the nearest cent <br />If the monthly unit price for Organic Waste Collection Service per participant is $3.29, then the <br />CPI -U adjustment would apply to 50% of the unit price or $1.64. Assuming an annual CPI -U <br />adjustment of 3.5°/x, then the formula would be as follows: <br />(0.50 X $3.29 X 1.035) + (0.50 X $3.29) =or $3.43 or the Adjusted Unit Price <br />If the CPI -U exceeds 4 %, the calculation for that year shall remain at 4% or 1.04. <br />B. PARTICIPANT COUNT: For Contract unit prices that are billed by Contractor per participant, <br />the County shall pay the Contractor based on the County's actual participant count as added <br />monthly after each addition is approved by Orange County. If a program addition is made <br />prior to the 15th of the month, that addition shall be included in that months invoice, Program <br />additions made after the 15th of the month shall not be added to the invoice until the <br />following month. <br />1. 12.3 Adiustments for Change in Scope <br />RFP No. 5247 <br />