Part 4 - Service Provider Management Costs

[insert hourly rate for costing Service Provider time, fixed for life of the Project but indexed at RPIX]

At bid period, Bidders should be encouraged to bid on the basis that the construction Service Provider will provide a support package for implementing LVNC changes for at least 24 months following Service Commencement.  This framework can then be renewed every [x] years or else put out to competition. No additional mark-up or management fee shall be charged by the Service Provider over and above the costs that it will be liable to pay its sub-contractors in carrying out the works and/or services (as the case may be).  However, the Service Provider will be eligible for re-imbursement of any third party costs reasonably incurred by it (such as external technical, financial, legal or insurance advice) in preparing the Estimate.  Further, the Service Provider will also be eligible for re-imbursement of the costs of any time reasonably incurred by its own staff in preparing the Estimate at an hourly rate set out below.