Annual Electrical Cost Statement Clause Samples
The Annual Electrical Cost Statement clause requires one party, typically the landlord or property manager, to provide a yearly summary of the total electrical costs incurred for a property or premises. This statement details the actual electricity expenses over the past year, often breaking down costs by usage or by tenant if applicable, and may include supporting documentation or calculations. Its core function is to ensure transparency and accountability in the allocation and recovery of electrical costs, helping to prevent disputes and clarify each party’s financial responsibilities.
Annual Electrical Cost Statement. By April 1 of each calendar year, or as soon thereafter as practicable, Landlord shall furnish to Tenant a statement of Landlord's actual Electrical Costs (the "Annual Electrical Cost Statement") for the previous year adjusted as provided in Section 4.(d), which shall include a reconciliation of the actual amount Tenant owes for its share of Electrical Costs against the estimated amount collected from Tenant. If such reconciliation shows that Tenant paid more than owed, then Landlord shall reimburse Tenant by check or cash for such excess within thirty (30) days after delivery of the Annual Electrical Cost Statement; conversely, if Tenant paid less than it owed, then Tenant shall pay Landlord such deficiency within thirty (30) days after delivery of the Annual Electrical Cost Statement.