Agenda Package - 03-17-08 - Laserfiche WebLink

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EXIiIBIT"B- 053 FUEL COST ADJUSTMENT EXAMPLE E The annual service fee shall be adjusted quarter/) according to chanecs in the cost ofdicsel fuel as measured by the Energy Infonnat ion Administration of- the U.S_ Department OfEnermy (1- 1 A/DOP')'s Weekly Retail On Highway Diesel Prices for the Last Coast. The average fuel rate shall be determined by averaging the rates shown by the J IA/D0E The First Rate Change will be October 1", 2008. T lie method of ad{usunent used shall be as follows (as agreed by the parties) - new rate= current service fee . calculated fuel cost adjustment average miles per gallon = 45 miles/gallon trip distance = 145 miles for Lee County avera,,c tons per trip = 21 ions calculated fuel cost adj. = cost per ton For recent 3 mouth avg. - cost per ton for baseline 3 months ave. average fuel rate = LIA/DOE-s Weekly Retail On Highway Diesel Prices for East Coast (accurate to three decimal places) 0 r 1 LJ f cample_ Al B) C) ll) F) G) Calculatedt Average Fuel Rztcs average fuel cost (July. Aug, Sept. 2007) average average fuel cost (April, May, June 2007) months average $2853 cost per gallon for recent 3 months .52.780 cost pcr loal Ion for baseline 3 Baseline Average Fuel Rate=2.780 Calculate Cost perMile $2.853/gallon = 4 miles/gallon = $07133/mile $2.780/gallon = 4 miles/gallon = $0..6950/mile Calculate Cost Per Trip 1145 mile round trip) (50.7133/mi)(145 rn iles) _ $ 103.4285per trip ($0.6950/mi)(145 miles) _ $100.7750 per trip recent 3 months baseline 3 months recent 3 months baseline 3 months Calculate Cost Per Ton $103 4285 per trip = 21 tons per trip = $4.9251 /ton recent 3 months 5100.7750 per trip . 21 tons per trip = $4.7988/ton baseline 3 months Calculate Fuel Cost Adjusunem $49251 - $4_7988 = $O. 1263 Calculated fuel cost adjustment = $0.13/ton increase New Service Fee Current service fee $3850 tCalculated heel cost adjustment 0.13 New Rate $38.63 10