Operations and Maintenance Expenses. In accordance with Article 10.5 of this Agreement, the Developer shall be responsible for all reasonable expenses (“O&M Expenses”) associated with the operation, maintenance, repair and replacement of the Connecting Transmission Owner’s Attachment Facilities. The Developer shall pay such O&M Expenses under the procedure described below:
Operations and Maintenance Expenses. 10 1) PURCHASED WATER & PUMP TAX 11 ISSUE: Cal Water estimates purchased water costs based on its estimate of 12 total water supply projections and availability from each source. The divergence in the 13 total expense is largely due to differences in the sales estimates and Cal Water updating
Operations and Maintenance Expenses. We consider operations and maintenance expenses in evaluating the performance of our operations. These expenses are comprised primarily of labor, parts and materials, insurance, taxes other than income taxes, repair and maintenance costs, utilities and contract services. Our ability to manage operations and maintenance expenses has a significant impact on our profitability and ability to pay distributions. EBITDA and Adjusted EBITDA — We believe that EBITDA and Adjusted EBITDA are widely accepted financial indicators of a company’s operational performance and its ability to incur and service debt, fund capital expenditures and make distributions. EBITDA and Adjusted EBITDA are not measures calculated in accordance with accounting principles generally accepted in the United States of America (GAAP), as they do not include deductions for items such as depreciation, amortization and accretion, interest and income taxes, which are necessary to maintain our business. In addition, Adjusted EBITDA considers the impact of certain significant items, such as third party costs incurred related to potential and completed acquisitions and other transactions identified in a specific reporting period. EBITDA and Adjusted EBITDA should not be considered an alternative to net income, operating cash flow or any other measure of financial performance presented in accordance with GAAP. EBITDA and Adjusted EBITDA calculations may vary among entities, so our computation may not be comparable to measures used by other companies. See our reconciliation of Net Income to EBITDA and Adjusted EBITDA in Results of Operations below.
Operations and Maintenance Expenses. Attached as Schedule 4.10 is Seller’s pro-rata share of the operating and maintenance expenses incurred in connection with operating Colstrip 3 and 4 during the calendar years 2006 and 2007 (collectively, the “O&M Expenses”). The O&M Expenses present fairly Seller’s expenses to operate and maintain the Facility for the periods reflected therein.
Operations and Maintenance Expenses. Attached to this Agreement as Exhibit C-5 is an estimate of the annual Operating and Maintenance Expenses for 2023. For calendar years subsequent to 2023, CRSC shall notify Owners annually, on or before November 30th each such calendar year, of estimated Operations and Maintenance Expenses (including a 10% contingency line item for unplanned Operations and Maintenance Expenses) to be incurred during the following such calendar year (the “Annual Estimate”). To the extent that any Operations and Maintenance Expense reflects a payment of a variable operating cost (including Emergency Expenditures) to third party vendors (“Variable Operating Costs”), Owners shall be responsible for such Variable Operating Cost according to their Expense Allocations and notwithstanding the fact that such Variable Operating Cost exceeds CRSC’s Annual Estimate. CRSC may invoice Owners for the contingency amount included in the Annual Estimate and CRSC may use cost savings in one category of fixed expenses to offset cost increases in other categories of fixed expenses so long as the aggregate invoicing for fixed expenses does not exceed the Annual Estimate, including the contingency.
Operations and Maintenance Expenses. The Settling Parties agree to Operations and Maintenance Expenses of $8.499 million for Test Year 2016. Liberty Utilities requested Operations and Maintenance Expenses of $8.608 million; ORA recommended $7.004 million.12
