ART - Price Adjustments: Utility Chemicals

This document outlines the price adjustment terms for a contract. It states that all prices offered in the contract will remain firm for one year from the effective date. However, if the Producer Price Index (PPI) changes by at least 5%, the county will consider requests for price adjustments based on the current PPI. The successful bidder must submit written requests for price adjustments at least 30 days before the proposed price change. The PPI to be used is specified as the Producer Price Index-Industry Data for either Basic Inorganic Chemical Manufacturing or Basic Organic Chemical Manufacturing, along with the General Freight Trucking index. If the specified index is missing or discontinued, an alternative index will be agreed upon. The relative value of each index is given as 50%. The requested price increase should not exceed the percentage increase between the latest versions of the index and the index at the time of bid opening or the most recent price escalation. The county reserves the right to accept or reject any price increase requests. If approved, the price will remain firm for one year from the effective date of the increase. After one year, if the PPI increases by at least 5% again, another price adjustment request can be made. Additionally, after one year from the contract's effective date, the county reserves the right to decrease pricing if the appropriate index decreases by 5% or more, with a 30-day written notice provided to the successful bidder.