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Docusign Envelope ID: El 182366-3DF6-4A5D-AA25-83DB381 D816A
<br />added together to arrive at the overall percentage change which will represent the Market Basket of
<br />Products. For the avoidance of doubt, the BLS categories to be multiplied by the Category Weightings
<br />are (1) Beverage, All Urban Consumers, U.S. City Average; (2) Baked Goods, All Urban Consumers,
<br />U.S. City Average; (3) Produce, All Urban Consumers, U.S. City Average; (4) Dairy, All Urban
<br />Consumers, U.S. City Average; (5) Meat, All Urban Consumers, U.S. City Average; and (6) Food, All
<br />Urban Consumers, U.S. City Average. In the event that there are any changes in the method in which
<br />the BLS reports its annual statistics, including any changes or modifications to any of the applicable
<br />BLS categories, the parties agree to negotiate a mutually agreeable modification to the appropriate
<br />Market Basket of Products category or categories or the methodology described above. If the parties
<br />do not agree on such a modification, Aramark shall have the right to terminate the Agreement upon 90
<br />days' prior written notice. The Market Basket of Products is designed to approximate price adjustments
<br />with product cost increases at the facility or facilities covered by this Agreement. The Market Basket
<br />of Products is an estimate of food costs only and actual costs may vary. While the Menu Categories
<br />attempt to approximate the products served at the facility or facilities covered by this Agreement, they
<br />may not precisely parallel actual usage or the BLS categories listed above.
<br />Please refer to Attachment D for an example of the Market Basket of Products calculation.
<br />C. COMMISSARY SERVICES: Aramark shall process orders for Products from
<br />inmates in accordance with Aramark's standard procedures. Aramark shall be responsible to collect,
<br />record and make disbursements from inmate commissary accounts for purchases of such Products.
<br />Aramark shall have access to each inmate account for the purpose of verifying that there are sufficient
<br />funds in such account to cover a Product order placed by such inmate, including but not limited to, any
<br />sales, use or other taxes related thereto.
<br />Aramark shall determine the prices at which Products shall be sold. If Aramark sustains
<br />increases in its costs, including but not limited to, increases in its Product, labor or equipment or
<br />software -related costs, Aramark may increase its prices to recover such increased costs. Additionally,
<br />Aramark may, at its discretion perform a price audit to compare the prices at which it sells the Products
<br />contemplated by this Agreement with the prices at which similar products are being sold in retail outlets
<br />in the surrounding community ("Comparable Retail Values"). In the event that any of Aramark's
<br />prices are below the Comparable Retail Values, the parties shall agree to increase such prices under
<br />this Agreement to reflect the Comparable Retail Values.
<br />Aramark shall submit to the City on the first day of every week, for the preceding week, an
<br />invoice for total Gross Sales of Products made during such week, and other goods or services provided
<br />by Aramark during such week, if any. The term "Gross Sales" shall mean total commissary sales
<br />(including, but not limited to, sales of stamps and pre- stamped envelopes, pre -paid telephone calling
<br />cards or any other telephone sales, debit cards, and Indigent Product sales) plus any sales or use taxes.
<br />For purposes of this Agreement, a sale shall be deemed made when a Product ordered by an inmate is
<br />delivered to the inmate, and the Product is not returned. For purposes of this Agreement, all sales are
<br />final and no returns will be honored unless the inmate who ordered a Product refuses delivery of such
<br />Product at the time such Product is delivered, or unless such inmate is released prior to Product delivery
<br />and fails to claim such Product within seventy-two (72) hours after release.
<br />D. COMMISSARY COMMISSIONS: Aramark shall pay to the City a commission in
<br />an amount equal to forty-five percent (45%) of Net Sales. Within fifteen (15) days after the end of each
<br />month, Aramark shall deliver to the City a check covering commissions on Net Sales made during such
<br />month. For purposes of this Paragraph, "Net Sales" means total Product sales (excluding all sales of
<br />stamps and pre- stamped envelopes, pre -paid telephone calling cards or any other telephone sales, debit
<br />cards, and Indigent Products) less sales or use taxes, authorized returns and handling charges.
<br />Notwithstanding the foregoing, for the purposes of commissions paid pursuant to this Section 3.D.,
<br />Net sales shall not include sales from Fresh Favorites, iCare, iCare Fresh, and Go -Cart; commissions
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