Schedule 4:Payment Mechanism

SCHEDULE 4:PAYMENT MECHANISM

MONTHLY PAYMENT
The Monthly Payment to the Contractor in respect of each calendar month‘m’ shall become due and payable on the fifteenth (15th) Business Day of the following calendar month.
The Monthly Payment (MPm) for each calendar month‘m’ shall be calculated using the following formula:

MPm = MCm + SCm– PDm+AWm

where:

MCm / = / the amount payable in respect of the relevant calendar month‘m’ for all administrative, management and overhead costs required for the provision of the Services, as calculated in accordance with clause 2 of this schedule 4 (Payment Mechanism);
SCm / = / the amount payable in respect of the relevant calendar month ‘m’ for the provision of the required routine grounds maintenance activities required on all the Sites in accordance with clauses 2 to 9 of schedule 2 (Specification) inclusive, as calculated in accordance with clause 3 of this schedule 4 (Payment Mechanism);
PDm / = / the aggregate of Performance Deductions in respect of the relevant calendar month‘m’, as calculated in accordance with clause 5 of this schedule 4 (Payment Mechanism); and
AWm / = / theamount payable in respect of the relevant calendar month ‘m’ for the Additional Works, as calculated in accordance with clause 5 of this schedule 4 (Payment Mechanism).

MANAGEMENT CHARGE (MCm)
The amount payable in respect of the relevant calendar month ‘m’ for all administrative, management and overhead costs required for the provision of the Services shall be calculated as follows:

MCm = [(MCann÷ 12) x IXy]
where:
MCann / = / the annual administrative, management and overhead costs required for the provision of the Services, being £[SUBJECT TO BID FORM ONE]; and
IXy / = / the Indexation Factor calculated in accordance with clause 7 of this schedule 4 (Payment Mechanism).

provided always that, if the Contract Year is less than a full twelve (12) Months, MCann shall be pro-rated accordingly and if the relevant calendar month is less than a full calendar month, MCmshall be pro-rated accordingly.

SITECHARGE (SCm)
The amount payable in respect of the relevant calendar month ‘m’ for the management of the Services on all the Sites shall be calculated as follows:

SCm = (SPann÷ 12) x IXy
where:
SPann / = / theannual SitesPayment (SPann) in respect of all of the relevant Sites; and
IXy / = / the Indexation Factor, as calculated in accordance with clause 7of this schedule 4 (Payment Mechanism).

provided always that, if the Contract Year is less than a full twelve (12) Months, SPann shall be pro-rated accordingly and if the relevant calendar month is less than a full calendar month, SCmshall be pro-rated accordingly.

ANNUAL SITES PAYMENT (SPann)
The amount payable for the routine maintenance of all the Sites, calculated as follows:

SPann = CULTann + GRASann + EDGEann + HEDGann + LEAFann + WEEDann + WTRCann
where:
CULTann / = / theannual amount payable in respect of the required management of all cultivated areas across all the Sites, as applicable,in accordance with clause 2 of schedule 2 (Specification), as per table 4.1;
GRASann / = / theannual amount payable in respect of the required grass cutting activities across all the Sites, as applicable,in accordance with clause 3 of schedule 2 (Specification), as per table 4.1;
EDGEann / = / theannual amount payable in respect of the required grass edging activities across all the Sites, as applicable,in accordance with clause 4 of schedule 2 (Specification), as per table 4.1;
HEDGann / = / theannual amount payable in respect of the required management of all hedges across all the Sites, as applicable,in accordance with clause 5 of schedule 2 (Specification), as per table 4.1;
LEAFann / = / theannual amount payable in respect of the required leaf clearance activities across all the Sites, as applicable,in accordance with clause 6 of schedule 2 (Specification), as per table 4.1;
WEEDann / = / theannual amount payable in respect of the required management of unwanted species and weed control activities across all the Sites, as applicable,in accordance with clause 8 of schedule 2 (Specification), as per table 4.1; and
WTRCann / = / theannual amount payable in respect of the required management of all watercourses across all the Sites, as applicable,in accordance with clause 9 of schedule 2 (Specification), as per table 4.1.

Table 4.1:Calculation of the annual Sites Payment (SPann)

Site name / Site/Map reference / CULTann / GRASann / EDGEann / HEDGann / LEAFann / WEEDann / WTRCann / SPann
Sub-section – Rural areas
All Rural Highway Verges / N/A / £* / £* / £* / N/A / £* / £* / £* / £*
All Protected Highway Verges / ? / N/A / £* / £* / N/A / £* / £* / N/A / £*
SSSI / ? / N/A / £* / £* / N/A / £* / £* / N/A / £*
Sub-totals – all Rural areas / £* / £* / £* / N/A / £* / £* / £* / £*
Sub-section – Closed Churchyards
Belton-in-Rutland CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Burley CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Cottesmore CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Edith Weston CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Empingham CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Greetham CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Langham CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Lyddington CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Manton CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Morcott CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Ryhall (1) CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Ryhall (2) CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Tickencote CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Uppingham (1) CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Uppingham (2) CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Wardley CC / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-totals – all Closed Churchyards / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-section – Council Assets (administration buildings)
Ashwell Business Units / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Ashwell Depot / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Catmose Offices / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-totals – all Council Assets (administration buildings) / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-section – Council Assets (car parks)
Brooke Road car park, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Burley Road car park, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Church Street car park, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Kilburn Road car park, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Mercers Yard car park, Uppingham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
South Street car park, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Westgate car park, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Westgate (overflow) car park, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Yarn Market car park, Uppingham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-totals – all Council Assets (car parks) / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-section – Council Assets (leisure & culture premises)
Castle, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Catmose Cottage / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Library, Ketton / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Library, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Library, Ryhall / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Library, Uppingham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Museum, Oakham / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-totals – all Council Assets (leisure & culture premises) / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-section – Council Assets (Oakham Enterprise Park)
Oakham Enterprise Park / ? / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-totals – all Council Assets (Oakham Enterprise Park) / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-section – Urban Highway Verges[ML1]
Ashwell / ?
Ayston / ?
Barleythorpe / ?
Barrow / ?
Barrowden / ?
Belmesthorpe / ?
Belton-in-Rutland / ?
Bisbrooke / ?
Braunston / ?
Brooke / ?
Burley on the Hill / ?
Caldecott / ?
Clipsham / ?
Cottesmore / ?
Edith Weston / ?
Egleton / ?
Empingham / ?
Essendine / ?
Exton – east / ?
Exton – west / ?
Geeston / ?
Glaston / ?
Great Casterton / ?
Greetham – east / ?
Greetham – west / ?
Hambleton / ?
Ketton / ?
Langham / ?
Little Casterton / ?
Lyddington / ?
Lyndon / ?
Manton / ?
Market Overton / ?
Morcott / ?
North Luffenham / ?
North Luffenham / ?
Pickworth / ?
Pilton / ?
Preston / ?
Ridlington – east / ?
Ridlington - west / ?
Ryhall / ?
Seaton – east / ?
Seaton – west / ?
South Luffenham / ?
South Luffenham / ?
Stoke Dry / ?
Stretton / ?
Teigh / ?
Thistleton / ?
Thorpe By Water / ?
Tickencote / ?
Tinwell / ?
Tixover / ?
Wardley / ?
Whissendine - east / ?
Whissendine - west / ?
Whitwell / ?
Wing / ?
Sub-totals – all Urban Highway Verges
Sub-section – Link Footpaths
All Link Footpaths / N/A / £* / £* / £* / N/A / £* / £* / N/A / £*
Sub-totals – all Link Footpaths / £* / £* / £* / N/A / £* / £* / N/A / £*
Sub-section – Public Open Spaces[ML2]
? / £* / £* / £* / £* / £* / £* / N/A / £*
? / £* / £* / £* / £* / £* / £* / N/A / £*
? / £* / £* / £* / £* / £* / £* / N/A / £*
? / £* / £* / £* / £* / £* / £* / N/A / £*
? / £* / £* / £* / £* / £* / £* / N/A / £*
? / £* / £* / £* / £* / £* / £* / N/A / £*
? / £* / £* / £* / £* / £* / £* / N/A / £*
Sub-totals – all Public Open Spaces / £* / £* / £* / £* / £* / £* / N/A / £*
Grand totals – all Sites / £* / £* / £* / £* / £* / £* / £* / £*

[* SUBJECT TO BID FORM 1]

4.2For the purposes of calculating Performance Points, each of CULTann, GRASann, EDGEann, HEDGann, LEAFann, WEEDann and WTRCann shall be converted to their monthly equivalents simply by dividing by 12 (twelve). In the case of a part month, these values shall be calculated pro-rata.

4.3Pursuant toclauses 1.9 and 1.10 of schedule 2(Specification), if the Council has advised the Contractor that it is no longer required to provide the Services at any Site, the payments duein respect of the relevant Site shall cease from the date at which the Services are no longer required at that Site and the annual Sites Payment (SPann) shall be adjusted accordingly.

4.4Pursuant to clauses 1.9 and 1.10 of schedule 2(Specification), if the Authority has advised the Contractor that it is required to provide the Services at an additional Site, the rates set out in Bid Form 1 shall provide the basis of determining the annual charge due to the Contractor in respect of the relevant Site and the annual Sites Payment (SPann) shall be adjusted accordingly.

Performance Deductions (PDm)
Performance Deductions in respect of each calendar month ‘m’ shall be calculated using the following formula.

PDm = PPm x £1 x IXy

where:

PPm / = / the number of Performance Points in respect of the relevant calendar month ‘m’, determined in accordance with schedule3(Performance Management Framework); and
IXy / = / the Indexation Factor, as calculated in accordance with clause 7of this schedule 4 (Payment Mechanism).

5.2For KPIs 1 to 8 inclusive (refer to table 1.1 of schedule 3 (Performance Management Framework), the Performance Points allocation requires a monthly conversion of the elements that combine to form the annual Sites Payment (SPann) as follows:

CULTm = CULTann÷ 12

and

GRASm = GRASann÷ 12

and

EDGEm = EDGEann÷ 12

and

HEDGm = HEDGann÷ 12

and

LEAFm= LEAFann÷ 12

and

WEEDm = WEEDann÷ 12

and

WTRCm = WTRCann÷ 12

Additional Works (AWm)
Pursuant to clause 10 of schedule 2 (Specification), AWm will be the aggregated cost of all Additional Works completed by the Contractor during the relevantcalendar month ‘m’.

5.2The labour element payable for all completed additional Works shall be based on the Contractor’s Hourly Rate, subject to the application of the Indexation Factor.

Indexation
Indexation of the amounts referred to in this Schedule 3 (Payment Mechanism) where applicable, shall be applied annually from 1 April in each Contract Year, with the first indexation date being 1st April 2018.
The Indexation Factor shall be calculated in accordance with the following formula:

IXy = CPIy-1 / CPIbase

where:

IXy=the Indexation Factor for the relevant Contract Year;

CPIy-1=the published Consumer Price Index value for the December immediately preceding the relevant Contract Year; and

CPIbase = the published Consumer Price Index value for (December 2015) being 100.3.

[ML1]Need to populate, and need to add the Sites for Oakham and Uppingham

[ML2]Need to list each Site and populate