Operating Expense Revenue Requirement (OERR) Sample Clauses

Operating Expense Revenue Requirement (OERR). The Settling Parties agree that PWW shall include in its overall revenue requirement an “Operating Expense Revenue Requirement” amount (“OERR”), which shall be equal to the sum of PWW’s pro forma test year Operation and Maintenance Expenses, Property Tax Expense, Payroll Tax Expense, and Amortization Expense. The Settling Parties agree that the overall OERR revenue component shall be further segregated between a “Material Operating Expense Revenue Requirement” (“MOERR”) component and a “Non-Material Operating Expense Revenue Requirement” (“NOERR”) component. The Settling Parties agree that the MOERR shall include all expense items included in the OERR with the exception of those expense items which are specifically included in the NOERR (identified below). The Settling Parties agree that certain operating expenses should be designated as “Non-Material Operating Expense Revenue Requirement” (NOERR) items due to the potential susceptibility of such to be found to be completely or partially imprudently incurred within the context of a rate proceeding. However, the Settling Parties further agree that the categorization of an expense item in the NOERR does not preclude PWW’s recovery of such in rates, as long as that expense item is found to be prudently incurred within the pro forma test year. Rather, those expenses which are designated as NOERR items shall not be included in any use of or replenishment from the “Material Operating Expense Revenue Requirement Rate Stabilization Fund” (MOERR RSF) described below. The Settling Parties agree that the following operating expenses are identified as NOERR expense items: PWW Account Description 921002- 001-21S0en9 ior Management Vehicles 921003- 001-21S0en9 ior Management - Fuel Purchased 921004- 001-21S0en9 ior Management - Vehicle Registration 923000-001-2109 Outside Services 926001-001-2109 Officer’s Life Insurance 926500- 001-21M09iscellaneous Employee Benefits 926501- 001-21M09iscellaneous Employee Benefits - Wellness 926502- 001-21M09iscellaneous Employee Benefits - Activities 926505-001-2109 Employee Relations 926600-001-2109 Tuition Reimbursements 926610-001-2109 Training Educational Seminars 930100- 001-21Mee09 tings & Conventions 930101- 001-21M09emberships 930200-001-2109 Public Relations 930300-001-2109 Meals 930410-001-2109 Charitable Contributions

Operating Expense Revenue Requirement (OERR). The Settling Parties agree that PAC shall include in its overall revenue requirement an Operating Expense Revenue Requirement (OERR), which shall be equal to the sum of PAC’s pro forma test year Operation and Maintenance Expenses, Property Tax Expense, Amortization Expense, actual NH Business Enterprise Tax (BET) cash payments, and Material Operating Expense Factor (MOEF). The Settling Parties agree that the overall OERR revenue component shall be further segregated between the following: