5  Benchmarking Of Utilities Costs

5.1  The Actual Unit Cost of each Utility Service will be benchmarked in accordance with the provisions of this paragraph 5.   

5.2  The Authority shall afford all reasonable assistance to the Contractor to enable it to purchase Utility Services through the Authority's existing service agreements with utility suppliers.  The Authority shall act as the Contractor's agent in this regard provided that this paragraph 5.2 does not in any way diminish or excuse the Contractor's responsibility to provide Utility Services in accordance with the standard required by this Agreement nor affect the obligation of the Contractor to meet the costs of such Utility such as provided in this Agreement.

5.3  No later than [♦] before expiry of the [Interim Period] the Contractor shall submit a report containing the following information:

(a)  the cost of the Actual Unit Cost assumed in the LOBTA (indexed);

(b)  the current cost to the Leisure Operator of the Actual Unit Cost, together with any supporting evidence relevant to the particular Actual Unit Cost including invoices paid;

(c)  any efficiency steps which the Leisure Operator has taken to reduce the impact of higher costs;

(d)  any mitigatory steps which might reasonably be taken to reduce the future impact of increased costs;

(e)  details of any tendering for supply of utilities recently undertaken, including brokerage arrangements;

(f)  details and an analysis of tariff changes of four utility suppliers;

(g)  the proposed Actual Unit Cost and the proposed consequential adjustment to the Unitary Charge;

(h)  the methodology and all assumptions by which the Actual Unit Cost has been determined;

(i)  assessments made in respect of the Comparable Market;

(j)  full evidence to support the proposed consequential adjustment to the Unitary Charge;

(k)  evidence in support of each of the criteria used to determine the Actual Unit Cost and proposed consequential adjustment to the Unitary Charge;

(l)  full details of sources of information used in establishing the Actual Unit Cost and proposed consequential adjustment to the Unitary Charge;

(m)  2.2.14  such other details as the Parties may agree at the time.

5.4  The Parties shall meet to review and discuss the report submitted pursuant to paragraph 5.1 taking into account the following:

(a)  any change relating to price movement over the twelve (12) months preceding the date of review as identified through enquiries with local and national providers and taking into account prices paid by the Authority; and

(b)  the Annual Utility Services Consumption Targets.

(c)  For the avoidance of doubt, the Actual Unit Cost only is to be negotiated by the Parties and not consumption levels.  The consumption levels applied to such Actual Unit Cost will be [the relevant Annual Utility Services Consumption Targets].

(d)  By a date that is no more than ♦ (♦) months after receipt of the report the Authority shall in writing indicate whether or not it accepts the proposed Actual Unit Cost.  Any dispute shall be determined by Dispute Procedure.