Each monthly bill at the rate stated in § 116.01 above shall be adjusted for gas cost as follows:
(A) The city gate rate increase or decrease applicable to current billing month residential and commercial sales shall be estimated to the nearest $0.0001 per Mcf based upon:
(1) A volume factor of 1.0496 determined in establishing the above rates for the distribution system as the ratio of adjusted purchased volumes divided by adjusted sales volumes.
(2) The city gate rate estimated to be applicable to volumes purchased during the current calendar month, expressed to the nearest $0.0001 per Mcf (shown below as Re)
(3) The base city gate rate of $4.0200 per Mcf.
(B) Correction of the estimated adjustment determined by division (A) of this section shall be included as part of the adjustment for the second following billing month. The correcting factor (shown below as subsection (3)) shall be expressed to the nearest $0.0001 per Mcf based upon:
(1) The corrected adjustment amount based upon the actual city gate rate, less
(2) The estimated adjustment amount billed under division (A) above, divided by
(3) Distribution system residential and commercial sales Mcf recorded on the company's books during the prior year for the month that the correction is included as part of the adjustment.
(C) The adjustment determined by division (A) and (B) shall be multiplied by a tax factor of 1.04148 to include street and alley rental and state occupation tax due to increasing or decreasing company revenues under this gas cost adjustment provision.
(D) In summary, the gas cost adjustment (GCA) shall be determined to the nearest $0.0001 per Mcf by divisions (A), (B), and (C) as follows:
(1) GCA = (division (A) + division (B) X division (C))
(2) GCA = (1.0496) (Re - $ 4.0200) + § 116.03 X 1.04148
(Ord. 67-6, passed 9-12-67; Am. Ord. 81-02, passed 4-29-81; Am. Ord. 83-06, passed 6-23-83; Am. Ord. 85-01, passed 2-12-85)