Common use of Maximum Annual Contract Commitment Clause in Contracts

Maximum Annual Contract Commitment. The Grantee shall not make any Rental Assistance Payments in excess of the amount identified in section 1.1(c) and Exhibit 1, Part I of the RAC, unless Grantee, at its discretion, approves Owner’s request to adjust the amount of Rental Assistance Payments in cases where the Rental Assistance Payments are inadequate to provide for reasonable operating costs for the Assisted Units. The Grantee may reduce the amount identified in section 1.1(c) where there is a reduction in the number of Assisted Units, in the Contract Rents or pursuant to any other provision of this Contract.