11 - Water Service Agreement with Paris Generation LP

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8.1 For purposes of billing under this Agreement, a "Day" shall be that period of time beginning at 12:00 midnight and continuing through 11:59 p.m. 8.2 PGEN will be charged a two (2) part rate based on (a) PGEN'S water consumption and (b) its Estimated Day Demand. 8.3 Charges for water furnished to PGEN during the Initial Period of this Agreement shall be comprised of the following: 8.3.1 An Annual Demand Charge based on 2022 Rate Study totaling EIGHTY TWO THOUSAND ONE HUNDRED FORTY-NINE DOLLARS ($82,149) based on PGEN'S Estimated Day Demand of water, expressed in million gallons per day ("MGD"), was established in paragraph 8.4; and 8.3.2. An initial Volumetric Rate of Fifty -Six cents ($0.56) per One Hundred (100) cubic feet of water withdrawn by PGEN from the CITY's water utility system as established by the Cost of Service Study, dated May 2022, conducted by NewGen Strategies & Solutions, LLC, excerpts of which are included herein as Exhibit 1. 8.4 For the Initial Period, PGEN'S Estimated Day Demand is One Million Five Hundred Thousand Gallons (1,500,000) (the "Initial Period Estimated Day Demand"). 8.5 For each Rate Year following the Initial Period, the calculation of the Volumetric Rate per One Hundred (100) cubic feet of water withdrawn by PGEN from the CITY'S water utility system shall be based on the historical hydrology data accumulated forthe then applicable Test Year. 8.6 PGEN'S Annual Demand Charge shall be based on the greater of the Adjusted Day Demand, if one has occurred, and, if not, from the historical hydrology data accumulated for the then applicable Test Year, or the Estimated Day Demand amount requested by PGEN and accepted by CITY. 8.7 Prior to the end of the Initial Period, a detailed Cost of Service Study will be performed by an independent utility rate consultant chosen by CITY, such study to be performed in accordance with the methodology described in that excerpted portion of the NewGen Strategies & Solutions, LLC study, May, 2022, attached as Exhibit 1. The Cost of Service Study shall be developed on an actual historical cost test year basis (for the Test Year) allowing for reasonable and necessary expenses of providing such water service and allowing for known and measurable adjustments, including satisfying CITY'S obligations under current and future bond covenants and CITY'S fiscal policies. Thereafter, on an annual cycle, a detailed Cost of Service Study shall be performed by an independent rate consultant chosen by CITY again using the same methodology as the excerpted portion of the Study in Exhibit 1, unless and until a different methodology is mutually agreed upon in writing by PGEN and CITY. As consideration for the Reservation Rate, PGEN shall pay to CITY the lesser of Twenty -Five percent (25%) of the annual Cost of Service Study or Ten Thousand Dollars (US$10,000.00) (the "Maximum Study Sum"). All study costs in excess of Maximum Study Sum shall be bome by CITY. R