Common use of Cap Adjustment Determination Clause in Contracts

Cap Adjustment Determination. Every five years subsequent to the year of the initial cap increase, there shall be a business case analysis on the GOA authorized cap including an evaluation of the cap and business risks associated with SWRDS cash flow provided to the SWRDS Finance Committee for recommendation to the Director regarding a GOA cap adjustment. If there is a decrease in the cap (but the cap shall not be lower than $150 million), the excess funds would be transferred to the SWRDS Reinvestment Account (SRA).

Cap Adjustment Determination. Every five years subsequent to the year of the initial cap increase, there shall be a business case analysis on the GOA authorized cap including an evaluation of the cap and business risks associated with SWRDS cash flow provided to the SWRDS Finance Committee for recommendation to the DWR Director regarding a GOA cap adjustment. If there is a decrease in the cap (but the cap shall not be lower than $150 million), the excess funds would be transferred to the SWRDS Reinvestment Account (SRA).