Document ID: chunk:federal_register_of_legislation:F2016C00523:schedule:1:p2
Version: federal_register_of_legislation:F2016C00523
Segment Type: schedule
Provision Reference: sch 1 (pt 2/3)
Character Range: 21964–24507

before the start of the financial year for which the annual adjustment factor is being determined;
Year 1 means the financial year immediately before Year 2;
Year 2 means the financial year immediately before Year 3;
Year 3 means the financial year immediately before Year 4;
Year 4 means the financial year immediately before Year 5;
Year 5 means the financial year immediately before Year 6;
Year 6 means the financial year immediately before Year 7;
Year 7 means the financial year immediately before Year 8;
Year 8 means the latest financial year for which the amount of estimated expenditure on the relevant type of road mentioned in the definition of expenditure is specified in the most recent annual report of the NTC.
Examples of the determination of Year 8
       Suppose that, on 1 March 2010, the most recent annual report of the NTC to have been tabled is the annual report for 2008‑2009, and that that report contains estimated expenditure figures for arterial roads up to and including the 2008 – 2009 financial year and estimated expenditure figures for local roads up to and including the 2006 – 2007 financial year.  For the purpose of calculating RA and UA for the 2010 – 2011 financial year, Year 8 is the 2008 – 2009 financial year.  For the purpose of calculating RL and UL for the 2010 – 2011 financial year, Year 8 is the 2006 – 2007 financial year.
Example of the calculation of the amount of adjusted expenditure for a year
       Suppose that the Estimated Urban Arterial Road Expenditure for Year 4 is $2,010,000,000; that the index number for Year 4 is 129.7; and that the index number for Year 7 is 154.26.  The adjusted expenditure for UA for Year 4 is $2,390,613,720 (that is (154.26/129.7) x $2,010,000,000).
 (3) Second, for each adjustment factor, the amount of adjusted expenditure for each of Years 1 – 6 is to be added together, and the expenditure for Year 7 is to be added to the total to derive the Combined Adjusted Expenditure for Years 1 – 7.
 (4) Third, the expenditure for each adjustment factor for the Years 2 – 7 is to be multiplied by the following fraction to derive an amount of adjusted expenditure for each of those years for each of those factors –

 (5) Fourth, for each adjustment factor, the amount of adjusted expenditure for each of Years 2 – 7 is to be added together, and the expenditure for Year 8 is to be added to the total to derive the Combined Adjusted Expenditure for Years 2 – 8.
 (6) Fifth, for each adjustment factor, the following formula is to be applied –

where –