Prorating cycle bills

Prorating cycle bills is an alternative method for prorating range consumption details in Billing rate tables. With this method the step amounts are always prorated based on the number of days for which an account is being billed. Infor Public Sector will divide the number of days in the billing period by the number of days in a standard cycle, as defined in the Cycle Days field. The consumption level for each step is then multiplied by the result.

The simplest calculation is to set the Cycle Days field to 1 so that each step defines a daily consumption threshold. To calculate charges, Infor Public Sector multiplies the consumption value for each step by the number of days in the billing period.

For example, a water agency defines two steps for its water bills. The agency charges $0.00175 per liter for the first 500 liters per day, and $0.00215 per liter for daily usage over 500 liters. If an account is billed for 90 days usage, then the consumption value for each step is multiplied by 90, giving a value of 45,000 liters for step 2. This means that consumption up to 45,000 liters will be billed at $0.00175 per liter, and anything over that amount will be billed at $0.00215 per liter.

You can also set the Cycle Days field to the length of a standard billing cycle, such as 30 days. For the previous example you would multiply each step amount by 30, because each step now covers 30 days of usage. So to get the same result you would set the threshold for step 2 to 500 liters * 30 = 15,000 liters. To bill an account for 90 days usage, Infor Public Sector divides the 90 days by the 30 days in a standard cycle, giving a result of 3. When multiplied by the step amount, this again gives a value of 45,000 liters for step 2.

With this method, prorating can be used for regular cycle bills, not just when an account is active for only part of a billing period. Prorating is always based on the consumption thresholds for each step, the cycle days, and the number of days in the billing period.

When editing a range consumption detail, complete these steps to prorate cycle bills:

  1. Select the Prorate Cycle Bills check box.
  2. Select CycleDays from the Prorate By list.
  3. Specify the number of days in a standard cycle in the Cycle Days field and the Final Cycle Days field. To set a daily consumption threshold, specify 1.
  4. Define your steps. For each step, the consumption level that you specify is for the number of days in the Cycle Days field.