Adjustment Where Total Annual Water Usage Declines Sample Clauses

Adjustment Where Total Annual Water Usage Declines. This subsection applies only if the Annual Water Usage of all Authority Customers combined during the previous Fiscal Year is less than the total Estimated Annual Water Requirements for all Authority Customers for that year. By March 1 of each year, the Authority shall calculate an adjustment charge or rebate for the previous Fiscal Year. The amount of the adjustment charge or rebate for each specific Charter Customer shall be determined as follows: STEP ONE: Calculate the price per 1000 gallons for Fixed Costs in accordance with the methodology set forth in subsection 6.3.1 using the Annual Water Usage of all Charter Customers combined in the previous Fiscal Year divided by 1000. STEP TWO: For each Charter Customer, determine how much that Charter Customer should pay in Fixed Costs for the previous Fiscal Year based upon the Charter Customer’s Annual Water Usage. This determination is made by multiplying (i) the Charter Customer’s Annual Water Usage for that Fiscal Year divided by 1000, by (ii) the price per 1000 gallons for Fixed Costs for the year calculated in STEP ONE. STEP THREE: For each Charter Customer, determine how much that Charter Customer has already paid the Authority in Fixed Costs for the previous Fiscal Year pursuant to subsection 6.3.2.
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