Common use of POTENTIAL RATE CONSTRAINTS Clause in Contracts

POTENTIAL RATE CONSTRAINTS. The Parties recognize that, as of the date this agreement is entered into, there is no authoritative judicial determination of whether Articles 13C and D (Proposition 218) of the California Constitution apply to charges imposed by private enterprises for solid waste handling and recycling services when those charges are regulated by a local government. Until such authoritative judicial guidance is available, County intends to provide notice of proposed rate increases, and an opportunity for public hearing and protest as required by Article 13D, except as specifically exempted under Article 13D. County will not be in default of this agreement if: A. A majority protest prevents a proposed rate increase from being adopted, or B. A court rules that rates adopted by County are not consistent with Article 13D.

POTENTIAL RATE CONSTRAINTS. The Parties recognize that, as of the date this agreement is entered into, there is no authoritative judicial determination of whether Articles 13C and D (Proposition 218) of the California Constitution apply to charges imposed by private enterprises for solid waste handling and recycling services when those charges are regulated by a local government. Until such authoritative judicial guidance is available, County intends to provide notice of proposed rate increases, and an opportunity for public hearing and protest as required by Article 13D, except as specifically exempted under Article 13D. County will not be in default of this agreement if: A. A majority protest through the Proposition 218 election process prevents a proposed rate increase from being adopted, or B. A court rules that rates adopted by County are not consistent with Article 13D.13D,