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DocuSign Envelope ID:4707631 D-C830-4BA5-B9EB-926C6FB1 F07D <br /> (a) Product Costs. The pricing of the Inventory to be supplied to ORANGE <br /> COUNTY by PROVIDER pursuant to this Agreement. Product Costs <br /> shall be further divided into "PROVIDER Product Costs," which is the <br /> pricing of NAPA supplier manufactured products, "Non-PROVIDER <br /> Product Costs," which is the pricing of products which have not been <br /> manufactured by NAPA suppliers but which have been acquired for <br /> ORANGE COUNTY by PROVIDER pursuant to this Agreement and <br /> "TIRES" which have been acquired for ORANGE COUNTY by <br /> PROVIDER. <br /> (b) Operational Costs. Any and all costs and expenses mutually agreed to <br /> between PROVIDER and ORANGE COUNTY associated with the <br /> operation of the On Site Location(s), including, but not limited to, salary <br /> and benefits payable to PROVIDER employees at the On Site <br /> Location(s), worker's compensation benefits and insurance, <br /> unemployment insurance, personal property insurance for the On Site <br /> Location(s) and Inventory, any deductible for losses covered under the <br /> personal property, and all equipment supplied by PROVIDER. The <br /> mutually agreed operational expenses is attached hereto as Attachment <br /> B. All Operational Costs are to be mutually agreed upon between <br /> PROVIDER and ORANGE COUNTY and are subject to review upon <br /> request by the ORANGE COUNTY ("open book"). <br /> PRICING PLAN SUMMARY <br /> PROVIDER Product Billed to ORANGE COUNTY at a 10% gross profit <br /> Costs rate <br /> Non-PROVIDER Billed to ORANGE COUNTY at a 10% gross profit <br /> Product Costs rate <br /> Tires Billed to ORANGE COUNTY at a 10% gross profit <br /> rate with an additional 2% state mandated tire <br /> disposal fee. <br /> Operational Costs Billed to ORANGE COUNTY at cost <br /> Net Profit Target 10% net profit for PROVIDER, equal to the 10% <br /> gross profit rate above <br /> PROVIDER Product Costs, Non-PROVIDER Product Costs and TIRES shall be <br /> set by PROVIDER to yield a gross profit of ten percent (10%). Operational costs will be <br /> charged to ORANGE COUNTY at cost, with all such charges for Operational Costs to <br /> be included in ORANGE COUNTY' s monthly billing statement. ORANGE COUNTY <br /> will be billed at the end of each month for operational costs on an "in arrears" basis. <br /> In addition, PROVIDER may use any sub-contractor for the procurement of <br /> "outside" purchases or services (i.e., those parts or services not traditionally stocked or <br /> performed by PROVIDER), and ORANGE COUNTY will be billed an additional <br /> 13 <br />