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In discussions of electric power generation deregulation, stranded costs represent a public utility's existing infrastructure investments that may become redundant after substantial changes in regulatory or market conditions. [1] An incumbent electric power utility will have made substantial investments over the years and will carry debt.
Klatskin's monthly cost recovery fee was 97 cents last year but more than doubled this year to $1.97. It will rise again to $3 on Jan. 1, according to the company. Klatskin, 69, was confused.
This is commonly seen in items like property taxes and management fees. In this case the landlord might agree to pay the first, say, $5,000 of the property taxes, and then charge anything above that back to the tenants. This is known as a recovery stop, or simply a stop. Some expenses vary from year to year for any variety of reasons.
O is the utility's operating expenses, which are passed through to customers at cost with no mark-up. Examples include labor (for everything from field repair and maintenance crews to customer service and accounting personnel); bad debt expense; interest on debt; depreciation on assets; and federal (and sometimes state) taxes on income.
Cost plus a fixed-fee (CPFF) contracts pay costs plus a pre-determined fee that was agreed upon at the time of contract formation. Cost-plus-incentive fee ( CPIF ) contracts have a larger fee awarded for contracts which meet or exceed certain performance goals, for example being on schedule and any cost savings.
An additional problematic aspect of the estate recovery of non-LTCR expenses that was brought up was the unequal treatment of people below 138% of the FPL under the ACA, who get expanded Medicaid and are subject to estate recovery if they are 55 or older, and people just above 138% of the FPL, who get highly subsidized, very-low-net-cost, on ...
The cost of an impact fee can vary from state to state. Generally, areas in the Western United States charge higher fees than other places in the country. They can also vary depending on the type of need by a community with school facilities causing the greatest cost of an impact fee. [2]
If the Governor then decides that the disaster is of such severity that the state and affected local governments cannot possibly handle the effects of the disaster, the Governor will make a request to the President explaining the amount of resources they currently have available and commit to the cost-sharing requirements in the Stafford Act.