Common use of ANNUAL CHARGE Clause in Contracts

ANNUAL CHARGE. The “Annual Charge” is a fixed cash payment structured to cover capital costs, maintenance expenses, fixed power costs, taxes and other components of the bundled service. The Annual Charge due ECS equals $1,326,000 annually due in equal monthly installments of $110,500. In addition, the 5-year capital asset financing would require a balloon payment in the amount of $1,796,000 due ECS at the end of the contract term.

ANNUAL CHARGE. The “Annual Charge” is a fixed cash payment structured to cover capital costs, maintenance expenses, fixed and variable power costs, taxes and other components of the bundled serviceservice not covered by the natural gas payment or “Service Charge”. The Based on current natural gas prices, the Annual Charge due ECS equals $1,326,000 annually due in equal monthly installments of $110,500. In addition, the 5-year capital asset financing would require a balloon payment in the amount of $1,796,000 due ECS at the end of the contract term.