11 - Water Service Agreement with Paris Generation LP

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month multiplied by twelve (12) months), PGEN shall pay to CITY the difference between the Eighteen Million (18,000,000) cubic feet and PGEN'S actual consumption for the Rate Year multiplied by the Volumetric Rate in effect during the corresponding Rate Year (the "Make Whole Payment"). Payment of the Make Whole Payment to CITY shall be due from PGEN thirty (30) days after PGEN's receipt of an invoice from CITY. For the avoidance of doubt, the following example illustrates the Make Whole Payment calculation. Make Whole Payment: Required minimum annual consumption (in CCF) 180,000 PGEN'S actual annual consumption (in CCF) 150,000 Negative variance (in CCF) 30,000 PGEN's current Volumetric Rate (per CCF) $ 0.56 PGEN's Make Whole Payment (30,000 x $ 0.56) $ 16,800 8.12 In addition to the rates set forth above, each Rate Year, PGEN shall pay to CITY an amount equal to the Option Water Reservation Rate multiplied by the amount of Option Water to reserve its rights to the Option Water. The Option Water Reservation Rate shall be paid in twelve (12) equal monthly installments. For the initial period, the Option Water Payment shall be 280 million gallons of Option Water multiplied by the Option Water Rate of $0.13 per 1,000 gallons, or $36,400 annually ($3,033.33 on a monthly basis). The Reservation Rate will be subject to annual adjustment as discussed in Article I. IX. Pa ment of Charges 9.1 Rates under Article VIII of this Agreement, for PGEN'S water consumption, shall be billed by CITY on a monthly basis with such billing being rendered on or about the same day each month. PGEN'S monthly payment shall consist of the volumetric charge for actual water plus one -twelfth (1/12) of the Annual Demand Charge, plus one -twelfth (1/12) of the Annual Option Water charge plus any additional amount due as calculated under Article VII of this Agreement. Payment shall be due within forty-five (45) days following the date the applicable invoice is mailed by the City to PGEN. In the event PGEN shall fail to make any payment required by this Agreement within thirty (45) days following the date the applicable invoice is delivered to PGEN by CITY, CITY may suspend water service authorized by this Agreement after providing PGEN'S five (5) business days' written notice of its intention to suspend the water service. It is agreed that this paragraph shall supersede Section 12.02.010 [GA2]of the Code of Ordinances of the City of Paris, Texas to the extent that they concern water service, as well as any other Code of Ordinance provisions with which it may conflict.