4  Authority Stage 1 Confirmation

4.1  The Authority shall consider in good faith, the Service Provider Stage 1 Response.  If the Authority finds that any material aspects of the Service Provider Stage 1 Response are unsatisfactory to it, it shall notify the Service Provider of the same and offer reasonable assistance to the Service Provider to enable it to address such deficiencies and resubmit the Service Provider Stage 1 Response as soon as reasonably practicable.  

4.2  The Authority shall, within thirty (30) Business Days (or such longer period as the parties may agree) of receipt of the Service Provider Stage 1 Response (as may be amended pursuant to paragraph 4.1), confirm in writing to the Service Provider that either:

(a)  the Service Provider should proceed with developing a Service Provider Stage 2 Response and shall confirm the agreed Project Management Fee and set out the date by which the Service Provider Stage 2 Response shall be submitted (which date shall reflect the complexity of the High Value Change and shall not be less than sixty (60) Business Days) (an Authority Stage 1 Confirmation); or

(b)  the Authority withdraws the Authority Change Notice.  

and in the event the Authority does not give such written confirmation within the specified time period then the Authority Change Notice shall be deemed withdrawn and paragraph 4.4 shall apply.

4.3  The Authority shall pay the Service Provider the Project Management Fee and the Third Party Costs set out in the Authority Initial Confirmation and due at Stage 1, within twenty (20) Business Days of receipt of an invoice for the agreed sum submitted by the Service Provider.

4.4  Where paragraph 4.2 (Funding) of Part 1 (General Provisions) applies and the Authority Change Notice is deemed withdrawn or the Authority Change Notice is deemed withdrawn pursuant to paragraph 4.2, then no compensation (including payment of any part of the Project Management Fee) shall be paid to the Service Provider by the Authority.