The costs for the services described above are as follows.
For the adequate performance of the agreed-upon services described in this Contract, KSU agrees to pay the Contractor a sum not to exceed $3,000,000.00 unless modified by a written amendment executed by both parties.
Kentucky State University shall compensate the Contractor through (1) reimbursement of actual, allowable direct costs incurred in the operation of the University's dining services and (2) a fixed management fee of Six Hundred Thousand Dollars ($600,000.00) for the contract term, payable in twelve (12) equal monthly installments of Fifty Thousand Dollars ($50,000.00).
Direct costs shall be limited to those expenses directly attributable to the operation of the University's dining services, including food and beverage purchases, disposable and consumable supplies, labor and benefits, smallwares, chemicals, waste removal, pest control, required licenses and fees, and other operating expenses directly associated with the dining program. Corporate overhead, administrative expenses, and profit are included in the fixed management fee and shall not be reimbursed as direct costs.
The Contractor shall submit monthly invoices itemizing all reimbursable direct costs separately from the monthly management fee. All reimbursable costs shall be supported by appropriate documentation and clearly identify meal program costs separately from catering, concessions, retail operations, and other applicable cost centers.
Contractor is aware of the University's NO PO/ NO PAY policy, which requires a valid Purchase Order reference on all invoices to be approved for payment. It is the responsibility of the vendor to not accept/ confirm any orders without the accompaniment of an approved purchase order upon order placement.
The following provision does not apply to governmental or quasi-governmental entities. The Contractor shall maintain supporting documents to substantiate invoices and shall furnish the same if requested by KSU.
The above sum shall be paid in the following manner:
Actual direct costs for the program shall be itemized and submitted monthly for reimbursement. Management fee will be paid monthly. All costs submitted for reimbursement shall be carefully delineated between meal program costs and all other catering, concessions and retail sales costs. Expenses shall be coded in such a way as to clearly identify cost centers.
The Contractor shall maintain supporting documents to substantiate invoices and shall furnish same if requested by KSU.
Travel Travel expenses shall not exceed 0.