RATE STABILIZATION COVENANT. On and after the Closing Date, the Buyer shall adopt and charge rates and charges to Township customers in accordance with the 2018 rates and charges as set forth in Exhibit D-1. Such rates will not be increased for at least 2 years from the Closing (based on 2018 sewer rates) and rates will not be raised more than 9% in total over the three (3) years after that. Any future base rate increases shall be included in Buyer’s base rate cases periodically filed with the BPU. The Buyer shall use good faith efforts to minimize rate increases to Township customers including as set forth in Section 19 of its proposal in response to the Township’s RFB.
RATE STABILIZATION COVENANT. The Buyer, subject to approval of the Board of Public Utilities, agrees that it shall propose rates for ten (10) years as set forth in Exhibit M and shall use best efforts in each future rate case before the Board of Public Utilities to maintain the rate schedule set forth in Exhibit M. In the event that the Board of Public Utilities does not approve rates as set forth in Exhibit M, Buyer agrees to work cooperatively with the Borough and the Board of Public Utilities to preserve the rate schedule set forth in Exhibit M to the maximum extent acceptable to the Board of Public Utilities. Buyer acknowledges that the rate schedule set forth in Exhibit M is a significant inducement to the Borough entering into the Agreement and that without same, the Borough may choose to terminate this Agreement, without consequence to the Borough. Any future base rate increases shall be included in Buyer’s base rate cases periodically filed with the Board of Public Utilities. The Buyer shall use good faith efforts to minimize rate increases to Borough customers by spreading costs of the System across its statewide customer base to the extent permitted by law.
RATE STABILIZATION COVENANT. [NOTE: To be
