Attachment 3: EPA Clause - NANO 4

Attachment 3 Economic Price Adjustment Clause

80KSC023R0022

ECONOMIC PRICE ADJUSTMENT CLAUSE

(a) The CLIN prices shown in Section 2.2, Liquid Nitrogen and Liquid Oxygen Product Unit Price, of Attachment 1, shall be subject to a three-month moving average price adjustment based on the quarterly table provided in paragraph (d) from the base period price. (b) Contract price adjustments for each subsequent three-month contract period following Contract Period 1 will be updated by contract modification at least one month prior to the start of the new contract period. The aggregate of the increases in any contract unit price made for the CLINs under this clause shall not exceed 10% of the original contract unit price. There is no percentage limitation on the number of decreases that may be made for the CLINs. (c) The base price for each CLIN will be adjusted, whether up or down, in accordance with the following formulas:
(1) CLINs 002 – 004, 016: GRC (Liquid Nitrogen and Liquid Oxygen) 𝑃𝑃𝑖𝑖

𝑆𝑆𝑆𝑆𝑆𝑆𝑖𝑖

𝑃𝑃𝑃𝑃𝑃𝑃𝑃𝑃𝑒𝑒𝑁𝑁𝑁𝑁𝑁𝑁 = 𝑃𝑃𝑃𝑃𝑃𝑃𝑃𝑃𝑒𝑒𝐵𝐵𝐵𝐵𝐵𝐵𝐵𝐵 ∗ [0.30 𝑃𝑃𝑖𝑖 𝑁𝑁𝑁𝑁𝑁𝑁 + 0.11 𝑆𝑆𝑆𝑆𝑆𝑆𝑖𝑖 𝑁𝑁𝑁𝑁𝑁𝑁 + 0.59] Where:

𝐵𝐵𝐵𝐵𝐵𝐵𝐵𝐵

𝐵𝐵𝐵𝐵𝐵𝐵𝐵𝐵

Price New = Price and index average for the new contract period. Refer to paragraph (b) of this clause for a listing of all contract periods.
Price Base = Price for Contract Period 1.
Pi New = Power index average for the new contract period utilizing the Producer Price Index for Industrial Electric Power Distribution, East North Central (ID: PCU221122221122433) as it appears in the Producer Price Index (PPI) Detailed Report published by the United States Department of Labor, Bureau of Labor Statistics.
Pi Base = Power index average for the period of April 1, 2023, through March 31, 2024 utilizing the PPI for Industrial Electric Power Distribution, East North Central (ID: PCU221122221122433) as it appears in the PPI Detailed Report published by the United States Department of Labor, Bureau of Labor Statistics. SFTi New = Specialized Freight Trucking index average for the new contract period utilizing the PPI for Specialized Freight Trucking (ID:PCU48424842) as it appears in the PPI Detailed Report published by the United States Department of Labor, Bureau of Labor Statistics.
SFTi Base = Specialized Freight Trucking index average for the period of April 1, 2023, through March 31, 2024, utilizing the PPI for Specialized Freight Trucking, (ID: PCU48424842) as it appears in the PPI Detailed Report published by the United States Department of Labor, Bureau of Labor Statistics.