Laserfiche WebLink
8.8 During the Initial Period, and for any Rate Year thereafter, if PGEN'S Actual <br />Day Demand exceeds its then current Estimated Day Demand, PGEN shall be assessed <br />an excess demand charge equal to the product of (a) one and a half (1.5) multiplied by (b) <br />the Annual Demand Charge, multiplied by (c) the difference between the Estimated Day <br />Demand and the Actual Day Demand (the "Excess Demand Charge"). Payment of the <br />Excess Demand Charge to CITY shall be due from PGEN thirty (30) days following <br />PGEN's receipt of an invoice from CITY. Additionally, beginning the following Rate Year, <br />PGEN'S then current Estimated Day Demand and Annual Demand Charge shall be <br />adjusted (respectively, the "Adjusted EDD" and "Adjusted ADC") as provided in Section <br />8.6 above to reflect the new amounts established by the exceedance. <br />FOR THE AVOIDANCE OF DOUBT, THE BELOW EXAMPLE REFLECTS THE <br />ADJUSTMENTS THAT WOULD APPLY FOR AN INCREASE FROM AN ESTIMATED <br />DAY DEMAND OF One Million Five Hundred Thousand (1,500,000) Gallons TO AN <br />ACTUAL DAY DEMAND OF One Million Seven Hundred Thousand (1,700,000) Gallons. <br />Example: <br />Estimated Day Demand <br />1.5 MGD <br />Initial Period Annual Demand Charge ($82,149 X 1.5) = $ 123,223 <br />Monthly Demand Charge ($123,223=12months) <br />Actual Day Demand <br />Excess Demand (1.7 MGD — 1.5 MGD) <br />Excess Demand Charge ($123,223 x 1.5 x 0.2) <br />ADDITIONAL AMOUNT DUE TO CITY <br />Adiusted EDD `minimum for subsequent Rate Year <br />$ 10,269 <br />1.7 MGD <br />0.2 MGD <br />$ 36,967 <br />$ 36,967 <br />1.7 MGD <br />The highest Actual Day Demand in a given Rate Year that exceeds the then current <br />Estimated Day Demand shall be used as the Estimated Day Demand in the subsequent <br />Rate Year's Cost of Service Study, unless a higher Estimated Day Demand is requested <br />by PGEN and accepted by CITY. <br />For example, in the above scenario, if, during the Initial Period, the Actual Day Demand <br />reaches One Million Seven Hundred Thousand (1,700,000) Gallons, then One Million <br />Seven Hundred Thousand (1,700,000) Gallons will become the base Estimated Day <br />Demand used in next annual Cost of Service Study, unless a higher amount is established <br />by a subsequent exceedance in the same Rate Year, or is requested by PGEN and <br />accepted by CITY. If PGEN has not exceeded its Estimated Day Demand, no change to <br />the then existing Estimated Day Demand shall occur, unless a higher amount is requested <br />by PGEN and accepted by CITY, <br />7 <br />