39.3  Annual Service Report

39.3.1  Without prejudice to any other provision in this Agreement the Contractor shall, no later than the [DATE TO BE INSERTED] in each Contract Year, at its own cost provide to the Authority a written report (the "Annual Service Report") in accordance with the requirements of the Services Specification.

39.3.2  The Contractor shall upon a written request from the Authority promptly provide such written evidence or other supporting information as the Authority may reasonably require to verify and audit the information and other material contained in the Annual Service Report.

39.3.3  If, in the Authority's reasonable opinion, the provision, performance or delivery of the Services (or any part) may be more effective, efficient and economic having regard to the Annual Service Report and the Best Value Duty, then the Authority may serve a Low Value Change Request or an Authority Change Notice (as the case may be) upon the Contractor, stating the nature and timing of the changes to the provision, performance or delivery of the Services (or the relevant part) which the Authority desires and the provisions of Schedule 23 (Change Protocol) shall apply.

39.3.4  The Contractor shall take all reasonable steps to mitigate any costs and maximise any savings arising as a consequence of a Low Value Change Request or an Authority Change Notice (as the case may be) issued pursuant to clause 39.3.3 above.