The amount of the current year contribution to each rerve account shall be the sum of the following two Calculations:
1. The amount necessary if any to bring a negative account balance to zero.
2. The total estimatied deferred maintenance expense or estimated replacement cost of the reserve component less the estimated balance of the reserve account as of the beginning of the period for which the budget will be in effect.
The remainder, if greater than zero, shall be divided by the estimated remaining useful life of the asset.
The formula my be adjusted each year for changes in estimates and deferred maintenance performed during the year and may consider factors such as inflation and earnings on invested funds.