§ 3030.245. Application of banked rate authority.
278 words·~1 min read·
/us/cfr/t39/s§ 3030.245·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)Banked rate authority may be applied to any planned rate adjustment subject to the limitations appearing in paragraphs
(b)through
(f)of this section.
(b)Banked rate authority may only be applied to a proposal to adjust rates after applying rate authority as described in subparts C through F of this part and in § 3030.222.
(c)A maximum of 2 percentage points of banked rate authority may be applied to a rate adjustment for any class in any 12-month period. If banked rate authority is used, it shall be subtracted from the schedule of banked rate adjustment authority as of the date of the final order accepting the rates.
(d)Subject to paragraphs
(b)and
(c)of this section, interim rate adjustment authority may be used to make a rate adjustment pursuant to the rate adjustment filing that led to its calculation. If interim rate adjustment authority is used to make such a rate adjustment, the interim rate adjustment authority generated pursuant to the rate adjustment filing shall first be added to the schedule of banked rate adjustment authority pursuant to § 3030.241 as the most recent entry. Then, any interim rate adjustment authority used in accordance with this paragraph
(d)shall be subtracted from the existing banked rate adjustment authority using a first-in, first-out
(FIFO)method, beginning 5 years before the instant rate adjustment filing.
(e)Banked rate authority for a class must be applied, using a first-in, first-out
(FIFO)method, beginning 5 years before the instant rate adjustment filing.
(f)Banked rate adjustment authority calculated under this section shall lapse 5 years from the date of the rate adjustment filing leading to its calculation.