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<br />The highest Maximum Day Demand in a given Rate Year that exceeds the current Maximum Day <br /> <br />Demand shall be used as the Maximum Day Demand in the subsequent year's cost of service study, <br /> <br />unless a higher Maximum Day Demand is requested by CAMPBELL and accepted by the CITY. <br /> <br />Example: <br />Maximum Day Demand (initial estimate) <br />Maximum Day Demand (Actual) <br />Maximum Day Demand for subsequent cost of service study <br /> <br />6.0 MGD <br />6.5 MGD <br />6.5 MGD <br /> <br />If a higher Maximum Day Demand than actually experienced is requested by CAMPBELL, and <br /> <br />accepted by the CITY, CAMPBELL I s Total Annual Demand Charge will be the Annual Demand Charge <br /> <br />(per M GD), calculated using the actual Maximum Day Demand for the subsequent cost of service study, <br /> <br />times the requested Maximum Day Demand. <br /> <br />7.9 CAMPBELL I s volumetric rate shall be based on CAMPBELL I S treated water consumption <br /> <br />during the twelve-month prior Billing Year, adjusted for any known and measurable changes. <br /> <br />7.10 The following example illustrates the calculation of CAMPBELL's Annual Demand Charge <br /> <br />(per MGD) and volumetric rate under this Agreement. <br /> <br />Example: <br />CAMPBELL I s Extra Capacity costs <br />CAMPBELL's Maximum Day Demand (MGD) <br />CAMPBELL's Annual Demand Charge (per MGD) <br /> <br />$ 432,000 <br />-:- 6.0 <br />$ 72,000 <br /> <br />CAMPBELL I S Base and Customer costs <br />CAMPBELL I S water consumption (CCF) <br />CAMPBELL I s volumetric rate (per CCF) <br /> <br />$ 540,000 <br />-:- 1.200.000 <br />$ 0.45 <br /> <br />VIII. Payment of Charees <br /> <br />8.1 Rates under Article VII of this Agreement, for CAMPBELL I S treated water consumption, <br /> <br />shall be billed by the CITY on a monthly basis with such billing being rendered on or about the same <br /> <br />day each month. CAMPBELL's monthly payment shall consist of the volumetric charge for actual water <br /> <br />Water Purchase Contract - Page 8 <br />