Adjustment Formula

4.4  Adjustments in respect of Management Information System Accuracy pursuant to the PS4 Performance Target B as set out in paragraph 15.1(b) of the Output Specification as at the end of the previous Month shall be calculated according to PS4 Table 2A or PS4 Table 2B as applicable pursuant to paragraph 4.6.

PS4 Table 2A - Management Information System Accuracy (Year 1)

Management Information System accuracy in respect of errors or omissions in Contractor's updates only12

Adjustment

>99% and ≤100%

Nil

>96% and ≤99%

0.05% of Monthly Unitary Charge

>90% and ≤96%

0.1% of Monthly Unitary Charge

>80% and ≤90%

0.5% of Monthly Unitary Charge

>70% and ≤80%

1% of Monthly Unitary Charge

>60% and ≤70%

2% of Monthly Unitary Charge

>50% and ≤60%

4% of Monthly Unitary Charge

50%

4% of Monthly Unitary Charge and the Authority shall be entitled to exercise its rights under clause 40 (Step In Rights) of the Contract

PS4 Table 2B - Management Information System Accuracy (Year 2 onwards)

Management Information System Accuracy

Adjustment

>99% and ≤100%

Nil

>96% and ≤99%

0.1% of Unitary Charge

>90% and ≤96%

0.5% of Unitary Charge

>80% and ≤90%

0.75% of Unitary Charge

>70% and ≤80%

1% of Unitary Charge

>60% and ≤70%

2% of Unitary Charge

>50% and ≤60%

4% of Unitary Charge

50%

4% of Unitary Charge and the Authority shall be entitled to exercise its rights under clause 40 (Step In Rights) of the Contract

4.5  Management Information System Accuracy means the number of accurate entries divided by the total of the number of entries added to the number of entries that should have been made but were not.  In the first twelve (12) Months following the Service Commencement Date an entry comprises an entry into or a change to a Data Set.  On the 13th Month following the Service Commencement Date an entry comprises the data defined in the elements comprising the Data Set.

4.6  The Management Information System shall be tested as follows:

4.6.1  Management Information System Accuracy shall be tested once each Month in the first twelve (12) Months following the Service Commencement Date.  It shall continue to be tested Monthly from the 13th Month following the Service Commencement Date and thereafter until Management Information System Accuracy is greater than, or equal to, 99%.

4.6.2  Adjustments made as a result of testing the Management Information System Accuracy in the first twelve (12) Months following the Service Commencement Date shall be made in accordance with PS4 Table 2A.  

4.6.3  Adjustments made as a result of testing the Management Information System Accuracy from the 13th Month following the Service Commencement Date and thereafter shall be made in accordance with PS4 Table 2B.  

4.6.4  On the date which is the earlier of:

(a)  the Service Provider certifying in writing that Management Information System Accuracy is greater than, or equal to, 99%; or

(b)  the date [one (1)]13 year after the Service Commencement Date

no further Adjustments shall be made pursuant to this paragraph 4.6 and paragraph 4.8 shall thereafter apply.




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12 The Council may wish to test all updates by reference to a predefined "Core Data Set" which has a narrower definition than "Data Set".  NB. This would require a Change to the Output Specification.

13 This period should be the "grace period" during which the Service Provider builds up the accuracy of the MIS.