Future Capital Costs. Any capital costs to be incurred after the City issues the certificate of occupancy for the General District Court Building are subject to the following:
Future Capital Costs. It is the intent of the parties that the payments made by Williamsburg in accordance with Article 6.
1.1 for its Safe Yield Share are one-time payments, and cover all renewals of this Agreement. However, notwithstanding the previous sentence, capital costs for replacement of Project facilities or Alternate Water Source facilities (e.g. replacement costs for dam failure) that are necessary after completion of the Project or an Alternate Water Source in order to: 1) comply with law or regulations, 2) maintain Williamsburg’s Safe Yield Share or 3) upon consultation with Williamsburg, maintain or improve the operability or efficiency of the Project or Alternate Water Source, will be the responsibility of Williamsburg in the amount of ten percent (10%) of such capital costs incurred for the Project or Williamsburg’s proportional share of an Alternate Water Source during the initial term of this Agreement and during each successive renewal term of this Agreement if Williamsburg has made the second payment as described in Article 6.
1.1. If Williamsburg elects not to make the second payment, upon notification Williamsburg’s future responsibility will be as provided for in Article 6.1.2. Notification of planned capital projects along with cost estimates shall be provided to Williamsburg as much in advance as possible, but no later than September 1 to allow appropriate time to incorporate the amount into the ensuing year’s budget. Williamsburg shall be notified immediately and provided cost estimates as soon as available, for any emergency-related capital project that must be addressed outside the budget cycle.
Future Capital Costs. “Future Capital Costs” means all Capital Costs expended by the Wastewater Commission after the Effective Date of this Agreement with respect to the Sewer Service Facilities. Except as is otherwise specifically provided in this Agreement, Future Capital Costs will be paid for up front by the SSR Parties, and the Racine Utility will not recover such costs through Sewer Service rates. (Note, however, that the Capital Costs of the Deficiency Work will be excluded from Future Capital Costs and will be treated like Existing Capital Costs, and that the Capital Costs of Minor Unplanned Upgraded Sewer Service Facilities may be excluded from Future Capital Costs and treated like Existing Capital Costs, without respect to when such costs are expended.)
