Rate Adjustment Factor definition
Examples of Rate Adjustment Factor in a sentence
The Rate Adjustment Factor is applied to the current Rates to determine the Rates for the coming Rate Year.
Rate Adjustment Factor = Shortfall of $151,992 divided by $4,780,000 in Revenues at Current Rates = 3.18% Rate Adjustment Factor (as an increase to rates).
Projected revenues for the Rate Year are calculated by multiplying Forecasted Revenues at Current Rates (Step 7, above) times the Rate Adjustment Factor (calculated in accordance with Section II.C, below).
The Rate Adjustment Factor shall be rounded to the nearest thousandth.
In the event that the cost-based adjustment calculated in accordance with this Exhibit E2 results in a negative Rate Adjustment Factor, the City reserves the right to “roll-under” the Rate reduction, such that there is no Rate adjustment in the Rate Period for which the negative Rate Adjustment Factor was calculated, but the calculated Rate reduction may be deferred to the following Rate Period, as a credit against future Rate increases.
This annual adjustment to the rates will be based on 100-percent of the annual percentage change in the CPI for September of the current year as compared to September of the prior year (CPI 100% Rate Adjustment Factor).
Each rate approved for the Current Rate Year shall be multiplied by the Rate Adjustment Factor to calculate the effective rate for the Rate Year.
Example Calculation of the Rate Adjustment Factor and Adjusted Rate for Rate Period Three Rate Adjustment Factor = $9,252,923/$8,937,950 = 1.035 20-gallon Single-Family Rate for Rate Period Three = $22.62 x 1.035 = $23.41, which shall be effective January 1, 2022.
The Rate Adjustment Factor shall equal the Forecasted Total Calculated Costs for the coming Rate Period divided by the Projected Gross Rate Revenues calculated in accordance with Section 2 herein.
The Rate Adjustment Factor is applied to the then-current Rates to determine the Rates for the coming Rate Period.