Common use of Calculation of Annual Shortfall Tonnage and Annual Shortfall Payment Clause in Contracts

Calculation of Annual Shortfall Tonnage and Annual Shortfall Payment. (i) For any Contract Year, the annual amount of shortfall tonnage (the “Annual Shortfall Tonnage”), shall be equal to the positive difference, if any, between (A) the Minimum Annual Tonnage in effect for such pertinent Contract Year and (B) the sum of (1) the Tons of Acceptable Waste delivered or caused to be delivered by or on behalf of the Jurisdictions to the Facility; (2) the Tons of Acceptable Waste delivered or caused to be delivered by or on behalf of the Jurisdictions to any Alternate Facility(ies); (3) the Tons which are not delivered to or accepted at the Facility or an Alternate Facility and which are described in Section 10.1; and (4) the Tons of Diverted Waste in accordance with Sections 3.2(b) and 9.1 for such pertinent Contract Year. For clarity, the Annual Shortfall Tonnage shall always be greater than or equal to zero. Payment of the Annual Shortfall Calculation (as paid through payment of the Monthly Shortfall Fee during the Contract Year, and as reconciled following the end of the Contract Year) by the Jurisdictions to the Company shall be the Company’s sole remedy for failure of the Jurisdictions to deliver, or caused to be delivered, the Minimum Annual Tonnage for such Contract Year. (ii) For any Contract Year, the annual shortfall amount (the “Annual Shortfall Calculation”), if any, shall equal the product of (A) the Annual Shortfall Tonnage, multiplied by (B) the sum of the Base Tipping Fee and the Weighted Average Unit Change in Law Cost calculated for such pertinent Contract Year.