Common use of Processor’s Minimum Fee Clause in Contracts

Processor’s Minimum Fee. Processor’s minimum fee (“Minimum Fee”) (in $/MCF) shall be re-determined and shall be adjusted on an annual basis each April 1 in accordance with the following formula; provided however, the Minimum Fee shall not be less than $0.12/MCF. Processor’s Minimum Fee ($/MCF) = $0.12/MCF * (GDP2 / GDP1), where: “GDP2” = United Sates Bureau of Economic Analysis GDP Implicit Price Deflator (Bureau of Economic Analysis Table 1.1.9) for the previous year; and