Common use of Revenue Allocation Clause in Contracts

Revenue Allocation. Revenues generated by Clipper® during any period of time, including interest earnings on funds held by the clearinghouse and excluding fare revenues or parking fees collected on behalf of and distributed to Operators, shall be utilized as follows: A. To offset MTC’s bank fees and direct bank charges related to the managing of the Clipper® accounts; B. After deduction of MTC’s bank fees and charges under 3.A above, to reduce the Operators’ Clipper® operating costs listed in 2.B(i) above; and C. After payment of Operators’ Clipper® operating costs listed in 2.B(i) above, to be allocated to Operators using the formula specified in Section 1 herein. Notwithstanding the above, fees charged cardholders for card acquisition, card replacement, balance restoration, failed Autoload funding recovery, card refund processing, and other card- related activities shall be reserved to pay for future card procurements; provided, however, that surcharges on limited use cards or other fare media imposed by an Operator to pay for the acquisition, implementation, administration and replacement of such fare media shall be distributed to and retained by such Operator. (For clarity, any surcharge imposed by an Operator as part of its fare structure shall be considered “fare revenue” and shall be distributed to and retained by such Operator.)

Revenue Allocation. Revenues generated by Clipper® ClipperSM during any period of time, including interest earnings on funds held by the clearinghouse and excluding fare revenues or parking fees collected on behalf of and distributed to Operators, shall be utilized as follows: A. To offset MTC’s bank fees and direct bank charges related to the managing of the Clipper® ClipperSM accounts; B. After deduction of MTC’s bank fees and charges under 3.A above, to reduce the Operators’ Clipper® ClipperSM operating costs listed in 2.B(i) above; and C. After payment of Operators’ Clipper® ClipperSM operating costs listed in 2.B(i) above, to be allocated to Operators using the formula specified in Section 1 herein. Notwithstanding the above, fees charged cardholders for card acquisition, card replacement, balance restoration, failed Autoload funding recovery, card refund processing, and other card- related activities shall be reserved to pay for future card procurements; provided, however, that surcharges on limited use cards or other fare media imposed by an Operator to pay for the acquisition, implementation, administration and replacement of such fare media shall be distributed to and retained by such Operator. (For clarity, any surcharge imposed by an Operator as part of its fare structure shall be considered “fare revenue” and shall be distributed to and retained by such Operator.)