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Indian River County Solid Waste Disposal District <br />Solid Waste and Recyclables Franchise Agreement <br />EXHIBIT 4 — CALCULATION OF RATE ADJUSTMENT <br />One Hundred percent (100%) of the rate adjustment shall be based on seventy five percent (75%) of the <br />change in the Consumer Price Index (CPI) between the month of January in the prior year (CP11) and the <br />month of January in the current year (CP12). The CPI shall be the South Urban Region, All Items - All <br />Urban Wage Earners and Clerical Workers, published by the United States Department of Labor, <br />Department of Labor Statistics (Series ID = CWUR0300SAO). <br />If the designated index is discontinued or substantially altered, SWDD may select another relevant price <br />index published by the United States Government or by a reputable publisher of financial and economic <br />indices. <br />The total rate adjustment is rounded to the nearest hundredth of a percent and in any given year shall <br />not exceed five percent (5%) of the previous rate. <br />EXCEL FORMULA FOR CALCULATING RATE ADJUSTMENT <br />Rate Adjustment (%) = ROUND (((((CP12 — CP11) / CP11) * 0.75) * 100),2) <br />Where: <br />"CP11" = published CPI average for the month of January of the prior year <br />"CP12" = published CPI average for the month of January of the current year <br />"F11" = average published monthly fuel price from January through January of the year prior to F12 <br />"F12" = average published monthly fuel price from January through January of the most recent year <br />SAMPLE CALCULATION OF RATE ADJUSTMENT <br />Assumptions: <br />Rate Adjustment: <br />Current Rate = $8.00 CP11 = 225.838 <br />CP12 = 230.195 <br />F11 = 3.9185 <br />F12 = 3.8747 <br />=ROUND (((((230.195-225.838)/225.838) * 0.75) * 100), 2) = 1.93% <br />Rate Adjustment of 1.93% is less than S%, the maximum allowed. <br />New Rate = ROUND ($8.00 * (1 +0.0193),2) = $8.15 <br />52 <br />