Common use of Subsequent Rates Clause in Contracts

Subsequent Rates. The Operation and Carrying Costs component of the Volume Rate shall increase at the same rate of the retail residential rate of Arlington. The new Volume Rate will be instituted and be effective on the first calendar day of the month following the adoption of the rate by Arlington. Raw Water Rates will be adjusted as TRWD adjusts its raw water rate charged to Arlington and shall be passed through to Kennedale as is, without further surcharge by Arlington. The additional cost of treatment of Treated Water will also be passed through in the rates upon 60 days notice of the increase. Regulatory Costs, Electrical Costs, and Chemical Costs components of the Volume Rate will be adjusted as charged to Arlington and shall be passed through to Kennedale “as is” without further surcharge by Arlington.