33.6  67Calculation of the Monthly Payment to be paid during the Required Action

33.6.1  The Monthly Payment pursuant to Clause 33.4.2 during the period the Authority is taking the Required Action shall be the lower of:

(a)  the average Monthly Payment received by the Contractor over the twenty-four (24) Month period immediately prior to the Required Action being taken (except where there have been more than twelve (12) Months but not thirty (30) Months since the Services Commencement Date, in which case the average Monthly Payment received by the Contractor on a Monthly basis will be calculated on the basis of the period from the start of the seventh Month from the Services Commencement Date until the date upon which the Required Action is being taken); and

(b)  the Monthly Payment forecast in the Base Case.

33.6.2  The Monthly Payment pursuant to Clause 33.5.2 during the period the Authority is taking the Required Action shall be the amount in Clause 33.6.1 less an amount equal to all the Authority's costs of operation in taking the Required Action.

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67  If the Payment Mechanism is such that the Monthly Payment includes pass-through cost reimbursement (e.g.  landfill etc.) adjustment will need to be made so that the Monthly Payment for the purpose of Clause 33.4.2 does not include those cost reimbursements if they are not incurred by the Contractor.  This Clause 33.6 is not Required Drafting but the Authority may wish to include this.