Rate Setting for Rate Clause Samples

Rate Setting for Rate. Period 1‌ 2653 Contractor’s initial proposed Maximum Rates, set forth in Exhibit F (Contractor’s Proposal), shall be 2654 adjusted prior to the Commencement Date, as described below. Rates in effect as of the 2655 Commencement Date shall remain in effect until June 30, 2017, without adjustment. Such rates are as 2656 proposed and approved by the City, and set forth in Exhibit F. 2657 First, the portion of Contractor’s initial proposed Maximum Rates attributable to wages and salaries of 2658 Contractor’s employees governed by collective bargaining agreements (CBAs) shall be increased by the 2659 percentage increases in such wages and salaries required by the applicable CBAs for FY 2015-16 and FY 2660 2016-17 (it being understood that Contractor’s proposal was based on FY 2014-15 numbers). 2661 Second, Contractor’s proposed Maximum Rates shall be adjusted upward or downward to reflect actual 2662 capital costs for vehicles and equipment included on Form 4 of the Contractor’s cost proposal. How 2663 each Maximum Rate is adjusted upward or downward to reflect actual capital costs shall be determined 2664 by mutual agreement between the Parties prior to setting Rate Period 1 Maximum Rates. 2665 Third, the adjusted Maximum Rates from the first step, shall be adjusted upward or downward on the 2666 basis of one hundred percent (100%) of the percentage change in the Consumer Price Index, All Urban 2667 Consumers (All Items), for the San Francisco/Oakland Metropolitan Area as published by the U.S. 2668 Department of Labor, Bureau of Labor Statistics ("CPI"), Series ID: CUURA422SA0. 2669 The net percentage change shall be calculated by the following formula: 2670 Net Percentage Change (NPC) = X(i)-X(i-2) 2672 Where, 2673 X(i) = Index value for December 2014; 2674 X(i-2) = Index value for December 2012 2675 Changes in the net percentage change of less than one tenth of one point (0.1) shall be rounded to the 2676 nearest one-tenth of a point, i.e., 1.50 to 1.54 shall be treated as 1.5; 1.55 to 1.59 shall be treated as 1.6. 2677 Should the CPI not be published in December of the year required for calculation of rate adjustments, 2678 the CPI values of the month most immediately preceding that December shall be used. If said CPI is 2679 discontinued, it shall be replaced by the CPI which most closely approximates the original category as 2680 determined by the U.S. Bureau of Labor Statistics. 2681 6.2.3 Rate Adjustment Process for Rate Period 2‌ 2682 A. Summary. The Rate...