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<br />. <br /> <br />. <br /> <br />Contract Rate for such renewal term. In determining any revisions to the Contract <br />Rate to be applicable during any renewal period, in addition to the circumstances <br />described in Section 4.2(A), the parties may take into consideration the following <br />parameters, including but not limited to: <br /> <br />actual cost of operations; <br />population growth; <br />increase or decrease in available tonnage; <br />economic and disposal market conditions in <br />California region; <br />(v) changes in transportation and technology; <br />(vi) closure and expansion of nearby landfills; <br />(vii) capacity of the Disposal System; and <br />(viii) available reserves. <br /> <br />(i) <br />(ii) <br />(iii) <br />(iv) <br /> <br />the Southern <br /> <br />2. <br /> <br />Section 4.1 (F) is deleted and replaced with the following: <br />(F) Calculation of Average Annual Inflation. For purposes of Section 4.2(A)(ii), the <br />inflation shall be calculated as the change in the Producer Price Index, Finished <br />Goods ("PPI"), reported by the Bureau of Labor Statistics of the United States <br />Department of Labor between July of the year of calculation and July I, 1997. <br />Average annual inflation shall be deemed to exceed 4% if the ratio between the PPI <br />Index for July for the year of calculation (calculated in accordance with the formula <br />below) and July 1997 exceeds the ratio corresponding to such year of calculation on <br />the table below. The ratio shall be calculated in accordance with the following <br />formula: <br /> <br />(July PPI Index of Calculation Year / PPI Index for July 1997) <br /> <br />Year of Calculation <br />July I, 1997 <br />July 1,1998 <br />July I, 1999 <br />July I, 2000 <br />July I, 2001 <br />July I, 2002 <br />July 1,2003 <br />July I, 2004 <br />July I, 2005 <br />July I, 2006 <br />July I, 2007 <br />July I, 2008 <br />July I, 2009 <br />July I, 2010 <br /> <br />Ratio <br />1.0000 <br />1. 0400 <br />1.0816 <br />1.1248 <br />1.1698 <br />1.2166 <br />1.2653 <br />1.3159 <br />1.3685 <br />1.4233 <br />1.4802 <br />1.5394 <br />1.6010 <br />1.6650 <br /> <br />WDA Amend 1 Santa Ana <br /> <br />Page 2 of6 <br />