29.6If a Partner incurs a loss in the first year due to one-off establishment costs (i.e. funds spent exceeds funds available), can the Partner offset this loss against any surpluses in subsequent years? For example, Loss in Year 1 is $300k & surplus in Year 2 is $400k, will the Partner only be required to return $100k?
Establishment Funds are provided to the Partner to cover one-off establishment costs. See clause 2 of the Statement of Requirements and the Pricing Response Schedule for further information.
The Partner will not be able to set-off establishment costs against any surpluses in the quarterly funds provided for the delivery of LAC and/or ECEI Services.
