Cost of WPCP Capacity Sample Clauses

Cost of WPCP Capacity. Payment for WPCP capacity must be made at a rate in $/mgd that is based on the original 1977 local share costs. The Parties agree that the 1977 cost of capacity, considering the cost percentages allocated to the various treatment parameters (flow, BOD, TSS, phosphorus) in the Xxxxxxx & Xxxx 1977 User Charge Report and based on a typical domestic strength of 200 mg/1 BOD, 240 mg/1 TSS, and 7 mg/l phosphorus, was $343,400 per mgd. Until such time as the WPCP needs to be upgraded or expanded, adjustments of WPCP capacity allocations arising out of amendments to the 2000 RSAP will be made at the above rate per mgd, escalated to the time of the adjustment by 61% of the change in the US Bureau of Labor Statistics US City Average All Items Consumer Price Index (CPIU, 1967=100) from the 1977 value of 181.5. Capacity adjustments at the time this Agreement is signed are made at a price of $563,560 per mgd, based on the 1998 average CPI of 488.3. $343,400 x [61% x (488.3/181.5)] = $563,560 When the WPCP is upgraded or expanded, the parties must negotiate in good faith to establish a new base value of WPCP capacity per mgd. All transfers of rights to capacity in the WPCP from one Party to another must go through the City as an intermediary. For all transfers permitted by this Agreement, the City has a ministerial duty to reconvey immediately to the ultimate purchaser. The Parties must advise the City of the terms of transfer, including the amount of capacity, the price, and the terms of payment. The Parties must supply to the City such information as is reasonably required to determine that the transfer conforms to the terms of this Agreement. Except as provided in section 14.2.5, the price for WPCP capacity transfers are as set forth in this section 14.2.2 but the City may not require any payment to itself for transactions in which it serves as intermediary.
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