(a) Specified period. Unless otherwise provided by law or regulation, a contract for goods, services, or construction may be entered into for any period of time deemed to be in the best interest of the County. The term of the contract and conditions of extension should be included in the solicitation, if any. At a minimum, appropriated funds must be available for the first fiscal period at the time of entering the contract sufficient to defray the cost to which the County would become obligated under the contract. Payment and performance obligations for succeeding fiscal periods must be subject to the availability and appropriation of funds.
(b) Determination prior to use. Before using a multi-term contract, the Director must determine that:
(1) estimated requirements over the period of the contract are reasonably firm and continuing; and
(2) the contract will serve the best interests of the County by encouraging effective competition or otherwise promoting economies in County procurement.
(c) Termination due to unavailability of funds in succeeding fiscal periods. When funds are not appropriated or otherwise made available to support continuation of performance in a subsequent fiscal period, the contract must be terminated without further cost to the County.
(d) Contract price increase provision. A multi-term contract for residential solid waste, recycling, or yard waste collection and disposal must include a price increase provision for each year of the contract beginning after the end of the first year of the contract. A price increase provision must require the County to increase the contract price by an amount sufficient to compensate the contractor for an increase in wages paid to the employees performing work on a covered contract to the extent the increase in wages does not exceed the last general wage increase approved by the County for members of the service, labor, and trades bargaining unit established in Section 33-105(a)(1). A price increase provision must:
(1) require the contractor to document that the increase in wages supporting the requested contract price increase are paid to the employees working on the contract during the year; and
(2) permit the Director to audit the contractor’s payroll records to validate the increase in wages.
This subsection does not prohibit a contract provision that would permit an increase in the contract price due to an increase in costs incurred by the contractor other than an increase in wages paid to the contractor’s employees performing work on the contract. (1994 L.M.C., ch. 30, § 1; , § 1.)
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