2  Service Provider Response

2.1  Within five (5) Business Days of receipt of the Catalogue Order Form, the Service Provider shall in writing either:

(a)  confirm the fixed cost of implementing the required Low Value Change which shall not exceed the rates set out in the Catalogue and the time period for implementing the Low Value Change which shall not exceed the period set out in the Catalogue; or

(b)  where there are no applicable rates in the Catalogue for the Low Value Change, give written notice of the fixed cost of implementing the required Low Value Change which shall be calculated in accordance with paragraph 2.2 together with a period for implementation.

2.2  Where paragraph 2.1(b) applies, analogous rates shall be applied (including any analogous Y values), or failing any analogous rates, rates which are fair and reasonable and which shall be calculated on the basis that:

(a)  wherever practicable the Service Provider shall procure that such works are carried out by an existing and suitably qualified employee of a Sub-Contractor and no labour element shall be charged to the Authority in respect of such works.  Where the Low Value Change can not be carried out by an existing employee of a Sub-Contractor, the cost of the labour element shall be calculated in accordance with the Catalogue (where applicable); and

(b)  the materials element shall be charged at the cost of materials to the Service Provider or to the sub-contractor carrying out the work (net of all discounts) and there shall be no management fee, margin, overhead, contingency or other cost applied to such costs.

2.3  The Authority may, within five (5) Business Days of receipt, object in writing to the Service Provider's response given pursuant to paragraph 2.1 and in such circumstances the parties shall act reasonably to agree, as soon as practicable, how the Low Value Change is to be priced and/or implemented.  If the parties cannot agree the Low Value Change, the Authority may withdraw the Catalogue Order Form and (if the Authority chooses) carry out the Low Value Change itself in which case paragraph 4.3 shall apply.

2.4  The Service Provider shall make no additional charge to the Authority for processing, implementing or managing a Low Value Change unless the number of Low Value Changes in any Contract Year exceeds [] in number.  Any Low Value Changes in excess of this limit, shall be charged at a fee of £[] (Indexed) for each subsequent Low Value Change.