8.  BENCHMARKING PROCESS167

8.1.  Where this paragraph 8 applies, the Contractor shall benchmark all construction, facilities management and lifecycle costs (including professional fees, contingencies, overheads and profit margins) using benchmarks available from a reputable independent source that are generally recognized in the industry.

8.2.  The Contractor shall submit with the Contractor Stage 2 Response a detailed Benchmarking Report which shall set out details of how the benchmarking exercise was carried out and providing evidence that the construction costs, operating costs and financing costs included in the Change in Project Costs has supported by actual input from a reputable independent source and the Comparable Market as specified in the Authority Change Notice.  In particular the Benchmarking Report shall include full supporting evidence of the assumptions, source of market price and information's and conclusions reached including:

(a)  the methodology and all assumptions by which the Estimated Change in Project Costs was determined;

(b)  assumptions made in respect of the Comparable Market

(c)  full details of sources of the information used including evidence as to reputation and independence of such sources;

(d)  such other details as the parties may agree.

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167  This will need to be amended depending on whether there is a suitable benchmarking system or group, and what is actually being benchmarked.  Note also the definition of Comparable Market.