Step Adjustment Clause Samples
A Step Adjustment clause defines a mechanism for modifying certain terms or values in a contract incrementally over time, typically in predetermined stages or steps. For example, this clause might specify that payment amounts, interest rates, or service levels will increase or decrease at set intervals, such as annually or upon reaching specific milestones. The core practical function of a Step Adjustment clause is to provide predictability and structure to changes in key contract terms, ensuring both parties are aware of and can plan for these adjustments, thereby reducing the risk of disputes or misunderstandings.
Step Adjustment. 5.1 For purposes of calculating the Step Adjustment, the following definitions shall apply:
5.1.1 Accumulated Depreciation is the cumulative net credit balance arising from the provision for depreciation expense, cost of removal, salvage, and retirements. Non-growth depreciation expense and retirements shall be apportioned to non- growth investments based upon the proportion of non-growth related Plant Additions relative to total Plant Additions in the Investment Year.
Step Adjustment. Payment for first step Police Officer classification only will be reduced by ten percent (10%) for those employees hired on or after July 1, 2011.
Step Adjustment. Subject to the terms and conditions of this MOU, salary adjustments will be made within the salary range for employee classifications in five increments, referred to as Steps “a” through “e”. Step “b” shall be five percent (5%) more than Step “a”, Step “c” shall be five percent (5%) more than Step “b”, Step “d” shall be six percent (6%) more than Step “c”, and Step “e” shall be six percent (6%) more than Step “d”. See Exhibit A for Salary Schedule.
Step Adjustment. Effective January 1, 2009, Steps 9 and 10 of all ranks on the salary schedule will be adjusted to provide that the movement from Step 8 to 9, 9 to 10 and 10 to 11 will be of equal dollar amounts. Steps 8 and 11 will remain unchanged. However, after this adjustment, the County will continue to apply the 1% wage increase to Steps 1 through 10 as set forth in paragraph 2, above.
Step Adjustment. 4.1 The Company shall be allowed one step adjustment (the “Step Adjustment” or “Step 1”).
Step 1 shall reflect an increase to account for calendar year 2020 and 2021 plant-in-service and a known and measurable adjustment for wages, salaries, and benefits. This Step Adjustment reflects adjustments that have been made to the revenue requirement in order to reach settlement. The Step Adjustment shall be subject to the following conditions:
(a) The Step Adjustment shall include only allowed non-revenue producing projects closed to plant in 2020 and 2021, which are placed in service, and used and useful, in the amount of $12,094,580, net of a pending grant and accumulated depreciation, as shown in Appendix 4, and the 2021 known and measurable wages, salaries, and benefits increase as shown in Appendix 5.
(b) The Step Adjustment results in an additional revenue increase not-to-exceed $1,561,436.
(c) Local property taxes shall not be included in the calculation and will be recovered through the Property Tax Adjustment Mechanism (“PTAM”) in Section 6 of this Settlement Agreement.
(d) State utility property taxes for all projects listed in Appendix 4, calculated using the statutory tax rate in RSA 83-F:2, shall be included in the Step Adjustment calculation.
(e) Depreciation expense should be calculated using the approved whole-life methodology.
4.2 For implementation of the Step Adjustment, Aquarion agrees to submit its filing to commence review of the Step 1 adjustment, including project documentation, within 14 days of execution of this Settlement Agreement. Aquarion reserves the right to request the Commission to issue a decision on the Step 1 adjustment on or before July 1, 2022, or as soon as possible thereafter, provided that the DOE Audit Division and the DOE Regulatory Division have completed their audit and review of the Step 1 adjustment filing. The filing shall include, at least, the following documentation and process steps:
(a) The Company shall provide the amount of the investments to be included in the step increase (by project) and detailed project descriptions including the initial budget, the final cost, the treatment of any related retirements, and the date each project was booked to plant in-service.
(b) For each project, Aquarion shall provide all Company project documents including, but not limited to, business cases, capital project expenditure applications, change order forms, project close out reports, and work orders.
(c) The DOE, the OCA...
Step Adjustment. Effective with the 2017-2018 school year, new hires will start on Step 2 of the certified salary schedule. Any employee under step 2 will be adjusted up to Step 2 upon ratification. Employees will remain on this step (Step 2), until such time as they are eligible for Step 3. (9/17)