Common use of Performance Deductions Clause in Contracts

Performance Deductions. If Awardee does not meet the required 97 percent uptime per this Agreement, the following performance deductions will be subtracted from that year’s O&M payment: $1,000 will be deducted for every percentage point, or fraction thereof, that the 97 percent uptime is not met on a per-port basis, per the NEVI Rule. If there is no remaining O&M payment for the deduction to be subtracted from, the amount will be deducted from the remaining withholding. Once a Performance Deduction occurs, those funds cannot be recouped and are permanently subtracted from the Total Obligation.

Appears in 2 contracts

Sources: Standard Agreement Terms and Conditions for a National Electric Vehicle Infrastructure (Nevi) Project, Standard Agreement for Nevi Project