Consumer Price Index

As part of this contract extension, IESI has agreed to forego any adjustment to residential rates until November 1, 2014 as long as the increase in the Consumer Price Index (CIP) as determined according to Section V1a of the contract for the 12-month period ending on June 30, 2012 and on June 30, 2013, is equal to or below 2.5 percent. If the CPI component during an adjustment period is greater than 2.5 percent, then the Contractor (IESI) shall be entitled to increase the residential rates in an amount equal to the difference between the CPI component during such adjustment period and the base percentage of 2.5 percent.