Operating and Maintenance Charge. The Operating and Maintenance Charge for any Billing Period in the first Contract Year shall be an amount equal to one-twelfth of $805,146.97. The Operation and Maintenance Charge for any Billing Period in the second Contract Year (i.e., beginning January 1, 2019), shall be an amount equal to one-twelfth of $850,195.00. At the beginning of each subsequent Contract Year beginning on January 1, 2020, the Operating and Maintenance Charge for any Contract Year shall be adjusted in accordance with Appendix 10, subject to a maximum adjustment in any Contract Year of 10%, and the Operation and Maintenance Charge for each Billing Period shall be one-twelfth of such amount. Estimates of the Consumer Price Index shall be used where necessary for purposes of estimating the Operating and Maintenance Charge in each Billing Period. Any necessary adjustment in the Operating and Maintenance Charge will be made in the Billing Period following the Billing Period when the final index is published. Such adjustments will be made without interest. The Company acknowledges that if as a result of union work rules, demands or requirements, the number of employees required to be employed at the Wastewater System causes its projected or actual cost of operating the Wastewater System to be increased, the Operating and Maintenance Charge shall not be affected, such event shall not constitute an Uncontrollable Circumstance and the costs related to such additional employees shall be borne solely by the Company.
Operating and Maintenance Charge. If due to the occurrence of an Uncontrollable Circumstance, there shall be an increase in the Company’s costs of operation and maintenance of the Wastewater System, the amount of the cost increase shall be borne in accordance with Section 10.1 hereof. The Company shall give the Borough prompt written notice of the occurrence of any Uncontrollable Circumstance, including in such notice as and to the extent known (1) the amount of any increase in the Company’s operation and maintenance costs and Cost Substantiation therefor and (2) the anticipated adjustment to the components of the Service Fee over the term of the Agreement resulting therefrom. Before making any adjustment pursuant to this subsection, the Borough shall determine whether the increased costs of operation and maintenance of the Wastewater Treatment Facility resulting from an Uncontrollable Circumstance can reasonably and prudently be reduced by the undertaking of a Wastewater System Modification. In the event that the Borough makes such a determination, the Borough shall make or cause to be made such Wastewater System Modification in accordance with Article V hereof.
