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Fuel Recovery Adjustment (Lower Atlantic Index)

Overview

Capital Waste Services, LLC (“CWS”) applies a Fuel Recovery Adjustment (“FRA”) to certain services in order to account for fluctuations in market diesel fuel prices.

The FRA is a general pricing mechanism designed to adjust charges based on changes in fuel price indices and does not represent a direct or exact reimbursement of fuel costs incurred by CWS.

Index Reference

The FRA is based on the U.S. Energy Information Administration (“EIA”) Weekly On-Highway Diesel Fuel Price for the Lower Atlantic Region (PADD 1C), or any successor index selected by CWS.

CWS reserves the right, in its sole discretion, to utilize:

  • this index,
  • a replacement index, or
  • another comparable publicly available measure of fuel prices at any time

Calculation Methodology

The FRA is determined using CWS’s internal Fuel Recovery Schedule, which establishes a corresponding adjustment percentage based on the applicable diesel fuel price index.

  • The applicable index is generally the most recently published value available at the time of billing
  • FRA percentages are derived, calculated, and applied in accordance with CWS billing practices, including applicable rounding conventions
  • The FRA may increase, decrease, or be removed at any time based on changes in the index or CWS methodology

CWS does not guarantee that the FRA will correspond proportionally to any specific fuel cost incurred in connection with a particular customer, route, or service.

Application of Adjustment

The FRA may be applied, as determined by CWS and as permitted under the applicable agreement, to:

  • service charges
  • hauling and transportation charges
  • disposal and landfill charges
  • environmental or regulatory charges
  • administrative or other service-related fees

The FRA may be applied to all or a portion of a customer’s invoice

Modification and Discretion

CWS reserves the right, in its sole discretion and without prior notice (except as required by applicable agreement or law), to:

  • modify, revise, or replace the Fuel Recovery Schedule
  • change the index used to determine the FRA
  • adjust the methodology used to calculate the FRA
  • suspend or reinstate the FRA
  • apply minimum or maximum adjustment thresholds

No Representation or Warranty

The FRA:

  • is not intended to represent the actual fuel cost incurred by CWS
  • is not a pass-through of specific expenses
  •  may not correlate directly with fuel price increases or decreases

CWS makes no representation or warranty regarding the relationship between the FRA and actual fuel costs.

Agreement Controls

The FRA is subject to the terms and conditions of the applicable service agreement between CWS and the customer.

In the event of any conflict between this document and a customer’s service agreement, the terms of the service agreement shall control.

Availability of Information

The referenced EIA fuel price index is publicly available.

Additional details regarding the FRA or its application may be provided by CWS upon request; however, CWS is not obligated to disclose proprietary calculation methodologies or internal schedules

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