The URL can be used to link to this page

Home My WebLink About2014-08-25 - Finance-Accounting Committee Meeting Agenda PacketYorba Linda Hater District AGENDA YORBA LINDA WATER DISTRICT FINANCE - ACCOUNTING COMMITTEE MEETING Monday, August 25, 2014, 4:00 PM 1717 E Miraloma Ave, Placentia CA 92870 1. CALL TO ORDER 2. ROLL CALL COMMITTEE Director Phil Hawkins, Chair Director Michael J. Beverage STAFF Steve Conklin, Acting General Manager Delia Lugo, Finance Manager 3. PUBLIC COMMENTS Any individual wishing to address the committee is requested to identify themselves and state the matter on which they wish to comment. If the matter is on this agenda, the committee Chair will recognize the individual for their comment when the item is considered. No action will be taken on matters not listed on this agenda. Comments are limited to matters of public interest and matters within the jurisdiction of the Water District. Comments are limited to five minutes. 4. ACTION CALENDAR This portion of the agenda is for items where staff presentations and committee discussions are needed prior to formal committee action. 4.1. Unaudited Financial Statements for the Period Ending June 30, 2014 Recommendation. That the Committee recommends the Board of Directors receive and file the Unaudited Financial Statements for the Period Ending June 30, 2014. 5. DISCUSSION ITEMS This portion of the agenda is for matters such as technical presentations, drafts of proposed policies, or similar items for which staff is seeking the advice and counsel of the Committee members. This portion of the agenda may also include items for information only. 5.1. Investment Report for Period Ending July 31, 2014 5.2. YLWD "AA" Bond Rating 5.3. Budget to Actual Results for July 2014 5.4. Future Agenda Items and Staff Tasks 6. ADJOURNMENT 6.1. The next Finance - Accounting Committee meeting is scheduled to be held Thursday, September 18, 2014 at 4:00 p.m. Items Distributed to the Committee Less Than 72 Hours Prior to the Meeting Pursuant to Government Code section 54957.5, non - exempt public records that relate to open session agenda items and are distributed to a majority of the Committee less than seventy -two (72) hours prior to the meeting will be available for public inspection in the lobby of the District's business office located at 1717 E. Miraloma Avenue, Placentia, CA 92870, during regular business hours. When practical, these public records will also be made available on the District's internet website accessible at http: / /www.ylwd.com /. Accommodations for the Disabled Any person may make a request for a disability - related modification or accommodation needed for that person to be able to participate in the public meeting by telephoning the Executive Secretary at 714 - 701 -3020, or writing to Yorba Linda Water District, P.O. Box 309, Yorba Linda, CA 92885 -0309. Requests must specify the nature of the disability and the type of accommodation requested. A telephone number or other contact information should be included so the District staff may discuss appropriate arrangements. Persons requesting a disability - related accommodation should make the request with adequate time before the meeting for the District to provide the requested accommodation. AGENDA REPORT Meeting Date: August 25, 2014 To: Finance - Accounting Committee From: Steve Conklin, Acting General Manager Presented By: Delia Lugo, Finance Manager Prepared By: Kelly McCann, Senior Accountant Dept: ITEM NO. 4.1 Finance Subject: Unaudited Financial Statements for the Period Ending June 30, 2014 SUMMARY: Presented are the Unaudited Financial Statements for the Period Ending June 30, 2014 for the District. STAFF RECOMMENDATION: That the Committee recommends the Board of Directors receive and file the Unaudited Financial Statements for the Period Ending June 30, 2014. DISCUSSION: For the period ending June 30, 2014, staff is presenting unaudited statements in the CAFR format. We have included the traditional budget to actual statements for the District as a whole, as well as the individual water and sewer funds, and the debt service coverage calculation. Water Operating Revenue, as presented, is 103.74% of annual budget, which is 3.74% higher than the historical trend for this point of the year. Other Operating Revenue is 137.57% of annual budget. Sewer Other Operating Revenue, as presented, is 393.04% of annual budget due to higher construction during the fiscal year. Variable Water Costs are 106.58% of budget, due to the higher than budgeted water consumptions costs as well as rate increases. Salary related expenses are 92.31 % of budget at the end of the fiscal year. With the issuance of the 2008 Certificates of Participation (COP's) and the Refunding Revenue Bonds, Series 2012A the District covenanted "...to fix, prescribe and collect rates and charges for Water Service which will be at least sufficient to yield during each Fiscal Year, Net Revenues equal to 110% of the Debit Service for such Fiscal Year." To confirm the covenant is upheld, a calculation is made quarterly and presented to the Finance - Accounting Committee and received and filed by the Board of Directors. Accordingly, the unaudited debt service ratio through June 2014 is shown in the calculation as 244 %. This shows strong financial health for the District as it pertains to the debt service ratio. STRATEGIC PLAN: FR 1 -F: Continue to Record and Report the Fairly Stated Financial Activities of the District in a Timely and Transparent Manner to the Board of Directors and Member Agencies ATTACHMENTS: Name: FY 2014 4th Qtr Consolidated Balance Sheet.xlsx 4th Qtr 2014 DS Ratio Calc.xlsx 4th Qtr 2014 consolidated stmt.xlsx 4th Qtr 2014 Water Stmt.xlsx 4th Qtr 2014 Sewer Stmt.xlsx Description: FY 2014 4th Qtr Consolidated Balance Sheet FY 2014 4th Qtr Debt Service Calculation FY 2014 4th Qtr Consolidated Statement FY2014 4th Qtr Water Statement FY 2014 4th Qtr Sewer Statement Type: Backup Material Backup Material Backup Material Backup Material Backup Material YORBA LINDA WATER DISTRICT UNAUDITED COMBINING SCHEDULE OF NET ASSETS June 30, 2014 (With June 30, 2013 for comparison only) ASSETS CURRENT ASSETS: Cash and cash equivalents Investment Accounts receivable - water and sewer services Accounts receivable - property taxes Accrued interest receivable Prepaid expenses & other deposits Inventory TOTAL CURRENT ASSETS Other post - employment benefit (OPEB) asset Capital assets: Non - depreciable Depreciable, net of accumulated depreciation TOTAL NONCURRENT ASSETS TOTAL ASSETS Deferred Outflows of Resources Deferred amount on refunding TOTAL DEFERRED OUTFLOWS OF RESOURCES LIABILITIES CURRENT LIABILITIES: PAYABLE FROM UNRESTRICTED CURRENT ASSETS: Accounts payable Accrued expenses Accrued interest payable Compensated absences Customer and construction deposits Deferred revenue TOTAL PAYABLE FROM UNRESTRICTED CURRENT ASSETS PAYABLE FROM RESTRICTED ASSETS Certificates of Participation - current portion TOTAL PAYABLE FROM RESTRICTED ASSETS TOTAL CURRENT LIABILITIES LONG -TERM LIABILITIES (LESS CURRENT PORTION): Deferred annexation revenue Compensated absences Other post - employment benefit (OPEB) liability Refunding Revenue Bond Letter of Credit Certificate of Participation TOTAL LONG TERM LIABILITIES (LESS CURRENT PORTION) CURRENT PORTION) TOTAL LIABILITIES NET ASSETS: June 2014 June 2013 $ 20,226,246 $ 10,388,324 9,256,876 9,188,186 3,899,893 4,063,578 24,597 16,885 11,991 8,205 267,261 259,329 238,203 241,202 33,925,067 24,165,709 138,944 140,364 6,897,315 5,835,304 192, 605, 562 195, 009, 500 199,641, 821 200, 985,168 233,566,888 225,150,877 468,337 498,686 468,337 498,686 5,059,100 29,363 432,728 251,362 309,734 374,356 6,456,643 4,604,893 197,033 441,078 250,096 277,799 397,522 6,168,421 1,010, 000 965,000 1,010,000 965,000 7,466,643 7,133,421 13, 475, 678 13, 823, 421 795,980 750,287 150 - 7,795,000 1,171,131 4,642,656 - 32,179, 911 41, 044,722 58,889,375 56,789,561 66,356,018 63,922,982 $ 167,679,207 $ 161,726,581 YORBA LINDA WATER DISTRICT UNAUDITED COMBINING SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS For the period ended June 30, 2014 (With fiscal year ended June 2013 for comparison only) June 2014 June 2013 OPERATING REVENUES: Water sales $ 28,299,327 $ 26,369,939 Sewer revenues 1,762,817 1,762,038 Other operating revenues 1,081,125 723,577 TOTAL OPERATING REVENUES 31,143,269 28,855,554 OPERATING EXPENSES Variable water costs Personnel services Supplies and services Depreciation and amortization TOTAL OPERATING EXPENSES OPERATING INCOME /(LOSS) NONOPERATING REVENUES (EXPENSES): Property taxes Investment income Interest expense Bond issuance costs Other nonoperating revenues Other nonoperating expenses TOTAL NONOPERATING REVENUES /EXPENSES NET INCOME /(LOSS) BEFORE CAPITAL CONTRIBUTIONS & EXTRAORDINARY ITEM(S) SPECIAL ITEM(S) EXTRAORDINARY ITEM(S) CAPITAL CONTRIBUTIONS CHANGES IN NET ASSETS NET ASSETS - BEGINNING OF YEAR 14,673,181 13,509,336 7,529,481 7,225,729 3,849,153 4,222,398 7,315,086 6,884,213 33, 366, 901 31, 841, 676 (2,223,632) (2,986,122) 1,394,723 145,047 (1,736, 330) 774,949 (52,210) 526,179 (1,697,453) 521,500 5,000,000 2,128, 579 5,952,626 161,726, 581 1,340,916 137,569 (1,781,416) (192,410) 588,854 (35,954) 57,559 (2,928,563) 1,174,673 (1,753,890) 163,480,469 NET ASSETS - FOR PERIOD END JUNE 30, 2014 $ 167,679,207 $ 161,726,579 Yorba Linda Water District Unaudited Debt Service Ratio Calculation For Period Ending June 30, 2014 Expenses (Operating): Variable Water Costs (G.W., Import & Power) 14,673,181 14,673,181 Salary Related Expenses 6,728,456 6,728,456 Supplies & Services Sub -Total 3,451,566 3,451,566 Depreciation & Amortization 5,982,771 Total Operating Expenses 30,836,974 24,863,203 Operating Income (Loss) Non - Operating Revnues (Expenses) Interest Property Tax Other Non - Operating Revenue Interest Expense Other Expense Total Non - Operating Revenues(Expenses) Net Income (Loss) Before Capital Contributions Extraordinary and Special Items Extraordinary Item Capital Contributions Special Item Net Change in Assets DEBT SERVICE RATIO CALCULATION: Net Revenues Debt Service o/ (1,699,674) 4,383,097 131,832 1,394,723 737,938 (1,736,330) (52,210) 476,963 131,832 1,394,723 737,938 (52,210) 2,212,283 (1,123,721) 6,696,380 5,000,000 1,235,502 521,500 6,633,281 6,696,380 $ 6,595,380 $ 2,704,309 244% YTD Included in Actual Debt Service FY 2014 Calc Revenue (Operating): Water Sales $ 28,299,322 $ 28,299,322 Other Operating Revenue 936,978 936,978 Total Operating Revenue: 29,236,300 29,236,300 Expenses (Operating): Variable Water Costs (G.W., Import & Power) 14,673,181 14,673,181 Salary Related Expenses 6,728,456 6,728,456 Supplies & Services Sub -Total 3,451,566 3,451,566 Depreciation & Amortization 5,982,771 Total Operating Expenses 30,836,974 24,863,203 Operating Income (Loss) Non - Operating Revnues (Expenses) Interest Property Tax Other Non - Operating Revenue Interest Expense Other Expense Total Non - Operating Revenues(Expenses) Net Income (Loss) Before Capital Contributions Extraordinary and Special Items Extraordinary Item Capital Contributions Special Item Net Change in Assets DEBT SERVICE RATIO CALCULATION: Net Revenues Debt Service o/ (1,699,674) 4,383,097 131,832 1,394,723 737,938 (1,736,330) (52,210) 476,963 131,832 1,394,723 737,938 (52,210) 2,212,283 (1,123,721) 6,696,380 5,000,000 1,235,502 521,500 6,633,281 6,696,380 $ 6,595,380 $ 2,704,309 244% Yorba Linda Water District Summary Financial Report Water & Sewer Funds For Period Ending June 30, 2014 Annual YTD June YTD YTD YTD YTD Budget Budget Actual Actual Under(Over) Under(Over) % of FY 2014 FY 2014 FY 2014 FY 2014 Annual Budget YTD Budget Budget Revenue (Operating): Water Revenue (Residential) $16,217,590 $16,217,590 $2,150,666 $17,429,317 ($1,211,727) ($1,211,727) 107.47% Water Revenue (Commercial & Fire Det.) 2,020,223 2,020,223 168,968 1,984,097 36,126 36,126 98.21% Water Revenue (Landscape /Irrigation) 4,794,156 4,794,156 444,555 4,543,944 250,212 250,212 94.78% Water Revenue (Service Charge) 4,468,716 4,468,716 367,338 4,341,964 126,752 126,752 97.16% Sewer Charge Revenue 1,550,530 1,550,530 133,367 1,561,761 (11,231) (11,231) 100.72% Locke Ranch Assessments 200,797 200,797 3,049 201,053 (256) (256) 100.13% Other Operating Revenue 717,749 717,749 155,665 1,081,124 (363,375) (363,375) 150.63% Total Operating Revenue: 29,969,761 29,969,761 3,423,608 31,143,260 (1,173,499) (1,173,499) 103.92% Revenue (Non- Operating): Interest 87,000 87,000 18,142 145,048 (58,048) (58,048) 166.72% Property Tax 1,264,672 1,264,672 48,121 1,394,723 (130,051) (130,051) 110.28% Other Non - Operating Revenue 509,150 509,150 65,130 774,949 (265,799) (265,799) 152.20% Total Non - Operating Revenue: 1,860,822 1,860,822 131,393 2,314,720 (453,898) (453,898) 124.39% Total Revenue 31,830,583 31,830,583 3,555,001 33,457,980 (1,627,397) (1,627,397) 105.11% Expenses (Operating): Variable Water Costs (G.W., Import & Power) 13,767,658 13,767,658 1,938,240 14,673,181 (905,523) (905,523) 106.58% Salary Related Expenses 7,904,873 7,904,873 722,062 7,529,483 375,390 375,390 95.25% Supplies & Services 4,225,654 4,225,654 433,010 3,849,147 376,507 376,507 91.09% Total Operating Expenses 25,898,185 25,898,185 3,093,312 26,051,811 (153,626) (153,626) 100.59% Expenses (Non- Operating): Interest on Long Term Debt 1,815,317 1,815,317 156,565 1,736,330 78,987 78,987 95.65% Other Expense 77,400 77,400 2,882 52,210 25,190 25,190 67.46% Total Non - Operating Expenses: 1,892,717 1,892,717 159,447 1,788,540 104,177 104,177 94.50% Total Expenses 27,790,902 27,790,902 3,252,759 27,840,351 (49,449) (49,449) 100.18% Net Income (Loss) Before Capital Contributions 4,039,681 4,039,681 302,242 5,617,629 (1,577,948) (1,577,948) 139.06% Extraordinary Item(s) - 5,000,000 (5,000,000) (5,000,000) 0.00% Capital Contributions - 42,308 2,128,578 (2,128,578) (2,128,578) 0.00% Special Item - 521,500 (521,500) 521,500 521,500 0.00% Net Income (Loss) Before Depreciation 4,039,681 4,039,681 866,050 13,267,707 (9,228,026) (9,228,026) 328.43% Depreciation & Amortization 6,897,941 6,897,941 613,076 7,315,085 (417,144) (417,144) 106.05% Total Net Income (Loss) ($2,858,260) ($2,858,260) $252,974 $5,952,622 ($8,810,882) ($8,810,882) - 208.26% (0) 1 Yorba Linda Water District Water Fund For Period Ending June 30, 2014 Annual YTD June YTD YTD YTD YTD Budget Budget Actual Actual Under(Over) Under(Over) % of Annual FY 2014 FY 2014 FY 2014 FY 2014 Annual Budget YTD Budget Budget Revenue (Operating): 24,601,179 24,601,179 3,009,329 24,853,203 (252,024) (252,024) 101.02% Water Revenue (Residential) $ 16,217,590 $ 16,217,590 $ 2,150,666 $ 17,429,317 $ (1,211,727) $ (1,211,727) 107.47% Water Revenue (Commercial & Fire Det.) 2,020,223 2,020,223 168,968 1,984,097 36,126 36,126 98.21% Water Revenue (Landscape /Irrigation) 4,794,156 4,794,156 444,555 4,543,944 250,212 250,212 94.78% Water Revenue (Service Charge) 4,468,716 4,468,716 367,338 4,341,964 126,752 126,752 97.16% Other Operating Revenue 681,074 681,074 101,444 936,978 (255,904) (255,904) 137.57% Total Operating Revenue: 28,181,759 28,181,759 3,232,971 29,236,300 (1,054,541) (1,054,541) 103.74% Revenue (Non- Operating): Extraordinary Item - - 5,000,000 (5,000,000) (5,000,000) Interest 75,000 75,000 14,685 131,832 (56,832) (56,832) 175.78% Property Tax 1,264,672 1,264,672 48,121 1,394,723 (130,051) (130,051) 110.28% Other Non - Operating Revenue 501,200 501,200 67,614 737,938 (236,738) (236,738) 147.23% Total Non - Operating Revenue: 1,840,872 1,840,872 130,420 2,264,493 (423,621) (423,621) 123.01% Total Revenue 30,022,631 30,022,631 3,363,391 31,500,793 (1,478,162) (1,478,162) 104.92% Expenses (Operating): Capital - Direct Labor 544,867 278,343 Variable Water Costs (G.W., Import & Power) 13,767,658 13,767,658 1,938,240 14,673,181 (905,523) (905,523) 106.58% Salary Related Expenses 6,987,204 6,987,204 690,164 6,728,456 258,748 258,748 92.31% Supplies & Services: Communications 283,371 283,371 9,996 199,790 83,581 83,581 70.50% Contractual Services 504,089 504,089 63,447 528,147 (24,058) (24,058) 104.77% Data Processing 158,779 158,779 10,494 146,497 12,282 12,282 92.26% Dues & Memberships 67,021 67,021 2,229 62,928 4,093 4,093 93.89% Fees & Permits 152,224 152,224 32,259 170,327 (18,103) (18,103) 111.89% Insurance 278,293 278,293 (8,913) 249,606 28,687 28,687 89.69% Materials 568,676 568,676 45,438 634,598 (65,922) (65,922) 111.59% District Activities, Emp Recognition 23,390 23,390 1,004 14,932 8,458 8,458 63.84% Maintenance 357,243 357,243 51,092 317,247 39,996 39,996 88.80% Non - Capital Equipment 121,534 121,534 32,274 120,882 652 652 99.46% Office Expense 42,920 42,920 4,467 34,730 8,190 8,190 80.92% Professional Services 747,785 747,785 96,225 508,378 239,407 239,407 67.98% Training 64,403 64,403 1,337 28,294 36,109 36,109 43.93% Travel & Conferences 48,389 48,389 4,571 27,639 20,750 20,750 57.12% Uncollectible Accounts 23,250 23,250 272 26,117 (2,867) (2,867) 112.33% Utilities 83,700 83,700 5,712 35,102 48,598 48,598 41.94% Vehicle Equipment 321,250 321,250 29,021 346,352 (25,102) (25,102) 107.81% Supplies & Services Sub -Total 3,846,317 3,846,317 380,925 3,451,566 394,751 394,751 89.74% Total Operating Expenses 24,601,179 24,601,179 3,009,329 24,853,203 (252,024) (252,024) 101.02% Expenses (Non- Operating): Interest on Long Term Debt 1,815,317 1,815,317 156,565 1,736,330 78,987 78,987 95.65% Other Expense 71,400 71,400 2,882 52,210 19,190 19,190 73.12% Total Non - Operating Expenses: 1,886,717 1,886,717 159,447 1,788,540 98,177 98,177 94.80% Total Expenses 26,487,896 26,487,896 3,168,776 26,641,743 (153,847) (153,847) 100.58% Net Income (Loss) Before Capital Contributions 3,534,735 3,534,735 194,615 4,859,050 (1,324,315) (1,324,315) 137.47% Extraordinary Item - - 5,000,000 (5,000,000) (5,000,000) 0.00% Capital Contributions 1,235,502 (1,235,502) (1,235,502) 0.00% Special Item - - 521,500 521,500 (521,500) (521,500) 0.00% Net Income (Loss) Before Depreciation 3,534,735 3,534,735 716,115 11,616,052 (8,081,317) (8,081,317) 328.63% Depreciation & Amortization 5,598,638 5,598,638 501,153 5,982,771 (384,133) (384,133) 106.86% Total Net Income (Loss) $ (2,063,903) $ (2,063,903) $ 214,962 $ 5,633,281 $ (7,697,184) $ (7,697,184) - 272.94% Capital - Direct Labor 544,867 278,343 Yorba Linda Water District Sewer Fund For Period Ending June 30, 2014 Annual YTD June YTD YTD YTD YTD Budget Budget Actual Actual Under(Over) Under(Over) % of FY 2014 FY 2014 FY 2014 FY 2014 Annual Budget YTD Budget Annual Budget Revenue (Operating): 1,297,011 1,297,011 83,983 1,198,612 98,399 98,399 92.41% Sewer Charge Revenue $ 1,550,530 $ 1,550,530 $ 133,367 $ 1,561,763 $ (11,233) $ (11,233) 100.72% Locke Ranch Assessments 200,797 200,797 3,049 201,054 $ (257) (257) 100.13% Other Operating Revenue 36,675 36,675 54,221 144,147 (107,472) (107,472) 393.04% Total Operating Revenue: 1,788,002 1,788,002 190,637 1,906,964 (118,962) (118,962) 106.65% Revenue (Non- Operating): 1,303,011 1,303,011 83,983 1,198,612 104,399 104,399 91.99% Interest 12,000 12,000 3,457 13,215 (1,215) (1,215) 110.12% Other Non - Operating Revenue 7,950 7,950 (2,484) 37,011 (29,061) (29,061) 465.55% Total Non - Operating Revenue: 19,950 19,950 973 50,226 (30,276) (30,276) 251.76% Total Revenue 1,807,952 1,807,952 191,610 1,957,190 (149,238) (149,238) 108.25% Expenses (Operating): (794,357) $ (794,357) $ 38,012 $ 319,340 $ (1,113,697) $(1,113,697) - 40.20% Salary Related Expenses 917,669 917,669 31,898 801,025 116,644 116,644 86.63% Supplies & Services: Communications 21,829 21,829 743 14,872 6,957 6,957 68.13% Contractual Services 38,751 38,751 2,813 38,980 (229) (229) 100.59% Data Processing 11,951 11,951 1,368 11,605 346 346 97.10% Dues & Memberships 5,314 5,314 8 4,602 712 712 86.60% Fees & Permits 15,141 15,141 432 12,968 2,173 2,173 85.65% Insurance 20,947 20,947 2,054 21,512 (565) (565) 102.70% Materials 19,099 19,099 28,986 85,807 (66,708) (66,708) 449.27% District Activities, Emp Recognition 1,761 1,761 46 1,088 673 673 61.78% Maintenance 121,908 121,908 7,794 79,992 41,916 41,916 65.62% Non - Capital Equipment 16,417 16,417 1,538 17,562 (1,145) (1,145) 106.97% Office Expense 3,231 3,231 215 6,736 (3,505) (3,505) 208.48% Professional Services 37,425 37,425 1,107 24,521 12,904 12,904 65.52% Training 6,757 6,757 5 5,780 977 977 85.54% Travel & Conferences 4,062 4,062 133 1,816 2,246 2,246 44.71% Uncollectible Accounts 1,750 1,750 38 3,515 (1,765) (1,765) 200.86% Utilities 7,100 7,100 69 3,098 4,002 4,002 43.63% Vehicle Equipment 45,899 45,899 4,736 63,133 (17,234) (17,234) 137.55% Supplies & Services Sub -Total 379,342 379,342 52,085 397,587 (18,245) (18,245) 104.81% Total Operating Expenses 1,297,011 1,297,011 83,983 1,198,612 98,399 98,399 92.41% Expenses (Non- Operating): Interest Expense - - - - - - 0.00% Other Expense 6,000 6,000 6,000 6,000 0.00% Total Non - Operating Expenses: 6,000 6,000 - - 6,000 6,000 0.00% Total Expenses 1,303,011 1,303,011 83,983 1,198,612 104,399 104,399 91.99% Net Income (Loss) Before Capital Contributions 504,941 504,941 107,627 758,578 (253,637) (253,637) 150.23% Capital Contributions - - 42,308 893,077 (893,077) (893,077) 0.00% Net Income (Loss) Before Depreciation 504,941 504,941 149,935 1,651,655 (1,146,714) (1,146,714) 327.10% Depreciation & Amortization 1,299,298 1,299,298 111,923 1,332,315 (33,017) (33,017) 102.54% Total Net Income (Loss) $ (794,357) $ (794,357) $ 38,012 $ 319,340 $ (1,113,697) $(1,113,697) - 40.20% Capital - Direct Labor 13,426 6,039 (6,039) AGENDA REPORT Meeting Date: August 25, 2014 To: Finance - Accounting Committee From: Steve Conklin, Acting General Manager Presented By: Delia Lugo, Finance Manager Dept: Prepared By: Kelly McCann, Senior Accountant Subject: Investment Report for Period Ending July 31, 2014 SUMMARY: ITEM NO. 5.1 Finance Staff is submitting the July 2014 Monthly Investment Reports for the Committee's review. DISCUSSION: The Investment Portfolio Report presents the market value and percent yield for all District investments by institution. The Investment Report Summary includes budget and actual interest and average term portfolio information as well as market value broken out by reserve categories. The total yield for the month ending July 31, 2014 is 0.64 %. The overall decrease in the investment balance from the previous month is approximately $1,562,000. A larger balance change includes a decrease in the Water Operating Fund of approximately $1,540,459 due to the biannual payment of $1,651,285 to OCWD for the Replenishment Assessment. STRATEGIC PLAN: FR 1 -F: Continue to Record and Report the Fairly Stated Financial Activities of the District in a Timely and Transparent Manner to the Board of Directors and Member Agencies ATTACHMENTS: Name: Invst Rpt 07- 14.xlsx Description: Investment Report for Period Ending July 2014 Type: Backup Material Invst Agenda Backup - July 2014.xlsx Agenda Backup Backup Material Yorba Linda Water District Investment Portfolio Report July 31, 2014 Market % Date of Percent Value Par of Total Institution Maturity Yield Checking Account: $ 363,308 $ 363,308 Wells Fargo Bank 75,725 75,725 Pershing $ 439,033 $ 439,033 1.58% Total 0.00°/% Money Market Accounts: $ 54,974 $ 54,974 37,240 37,240 4,116,819 $ 4,116,819 14.79% Federal Agency Securities Wells Fargo Money Market 0.03% US Bank (Revenue Bonds) 0.03% Bank of the West 0.24% Total 0.24% $ 490,875 $ 500,000 Fannie Mae 05/25/18 1.14% 490,090 500,000 Federal Home Loan Bank 06/12/18 1.02% 496,470 500,000 Fannie Mae 06/12/18 0.85% 491,465 500,000 Federal Home Loan Bank 06/13/18 1.11% 491,665 500,000 Federal Home Loan Bank 06/20/18 1.14% 2,106,519 2,124,676 Federal Home Loan Bank 05/24/17 0.88% $ 4,567,084 $ 4,624,676 16.40% Total 05/14/18 0.97% Certificates of Deposits $ 245,413 $ 248,000 CIT Bank, Salt Lake 05/22/18 1.21% 245,230 248,000 Discover 05/22/18 1.21% 245,587 248,000 Goldman Sachs Bank 05/22/18 1.21% 245,480 248,000 BealBank 05/23/18 1.01% 246,968 248,000 Wells Fargo 04/27/18 0.90% 244,201 247,000 Barclays Bank 04/30/18 0.70% 246,138 248,000 State Bank of India 05/14/18 1.15% 247,222 249,000 Webster Bank 05/03/18 0.90% 245,396 248,000 American Express Centurion Bank 05/23/18 1.21% 243,496 248,000 GE Capital Bank 05/24/18 1.12% 249,030 249,000 Merrick Bank 05/24/17 0.74% 248,030 248,000 BMW Bank 05/24/17 0.89% 249,344 249,000 Firstbank Puerto Rico 05/24/16 0.74% 246,393 249,000 Oriental Bank & Trust 05/29/18 1.06% 246,468 249,000 Silvergate Bank 05/30/18 1.01% 246,383 249,000 Enterprise Bank & TR Co Lowell 05/30/18 1.01% 246,371 249,000 Safra National Bank 05/31/18 1.01% 245,389 248,000 Townebank Portsmouth 05/31/18 1.01% 246,390 249,000 Mascoma Savings Bank 05/29/18 1.01% $ 4,678,929 $ 4,719,000 16.80% Total 1.01% Pooled Investment Accounts: $ 4,660,001 $ 4,660,001 Local Agency Investment Fund 0.23% 3,071 1,440 Ca1TRUST Short Term 0.39% 9,378,213 9,395,171 Ca1TRUST Medium Term 0.70% $ 14,041,286 $ 14,056,611 50.43% 0.54% $ 27,843,151 $ 27,956,140 100% Total Investments 0.64% Per Government Code requirements, the Investment Report is in compliance with the Yorba Linda Water District's Investment Policy, and there are adequate funds available to meet budgeted and actual expenditures for the next six months. 'a Kelly D. McCann, Senior Accountant 7/31/14 Investment Summary Report Below is a chart summarizing the yields as well as terms and maturities for the month of July 2014: Average # of Month Portfolio Days to of 2014 Yield Maturity July 0.64% 438 Below is are charts comparing operating fund interest for current and prior fiscal years. Actual Interest Monthly - July Year -to -Date 7/31/2013 7/31/2014 $ 9,258 $ 7,166 $ 9,258 $ 7,166 Budget 2013/2014 2014/2015 Interest Budget, July YTD $ 7,250 $ 9,333 Interest Budget, Annual $ 87,000 $ 112,000 Interest earned on investments is recorded in the fund that owns the investment. Investment Summary Comparison Between Current and Previous Month The distribution of investments in the portfolio both in dollars and as a percentage of the total portfolio by funds is as follows: Wells Fargo Bank Checking Water Operating 212,041 Sewer Operating 67,620 279,661 223,554 139,754 363,308 Totals $ 29,404,777 $ 27,843,151 June 2014 % Alloc July 2014 % Alloc Fund Description Balance 6/30/2014 Balance 7/31/2014 Water Operating Reserve $ 2,924,921 10.04% $ 1,300,815 4.73% Water Emergency Reserve 1,010,940 3.47% 1,010,584 3.68% Water Capital Project Reserve 16,676,503 57.26% 16,665,947 60.65% Water Reserve for Debt Service 2,730,024 9.37% 2,730,550 9.94% Maintenance Reserve 200,000 0.69% 200,091 0.73% Employee Liability Reserve 200,076 0.69% 200,114 0.73% COP Revenue Bond 2008 - Reserve 2,152,324 7.39% 2,143,759 7.80% Sewer Operating 92,869 0.32% 92,869 0.34% Sewer Emergency Reserve 1,010,396 3.47% 1,009,253 3.67% Sewer Capital Project Reserve 2,127,063 7.30% 2,125,861 7.74% $ 29,125,116 100.00% $ 27,479,843 100.00% Wells Fargo Bank Checking Water Operating 212,041 Sewer Operating 67,620 279,661 223,554 139,754 363,308 Totals $ 29,404,777 $ 27,843,151 AGENDA REPORT Meeting Date: August 25, 2014 ITEM NO. 5.2 To: Finance - Accounting Committee From: Steve Conklin, Acting General Manager Presented By: Delia Lugo, Finance Manager Dept: Finance Prepared By: Delia Lugo, Finance Manager Subject: YLWD "AA" Bond Rating DISCUSSION: Yorba Linda Water District has had its "AA" Bond Rating reaffirmed by Fitch Ratings. ATTACHMENTS: Name: Description: Type: Fitch Ratings Yorba Linda- FINAL Auq 2014.pdf Reaffirmed "AX Bond Rating by Fltch Ratings Backup Material FitchRatings FITCH AFFIRMS YORBA LINDA WATER DISTRICT, CA'S WATER REVS AT 'AA'; OUTLOOK STABLE Fitch Ratings -San Francisco -15 August 2014: Fitch Ratings has affirmed Yorba Linda Water District, California's (the district) bonds at'AA' as noted below: - -$8.3 million refunding revenue bonds series 2012A; -- $32.1(2008 Capital Improvement Projects) revenue certificates of participation (COPS) series 2008. The Rating Outlook is Stable. SECURITY The water revenue bonds and COPS are parity obligations secured by net water revenues after payment of operations and maintenance expenses. KEY RATING DRIVERS IMPROVED, SOLID SUPPLY POSITION: The remainder of the district's service area was annexed to the Orange County (OCWD). Upon build -out of the district's pumping facilities, the annexation will substantially increase the district's groundwater supply, thus improving the district's long -term cost structure by lowering dependence on expensive imported water. SOUND FINANCIAL PROFILE: The district's financial operations are sound, with three year average debt service coverage at a solid 2.07x in fiscal 2013. Liquidity historically has been satisfactory and a one -time substantial liquidity reduction in fiscal 2013 is estimated to have been reversed in fiscal 2014 due to solid free cash flow, proceeds from a legal settlement, and the issuance of short-term debt that will have to be paid down by fiscal 2017. DIVERSE, AFFLUENT SERVICE AREA: The district serves a suburban residential service area in Orange County, California. Median household income is strong at about 150% of the national level, while unemployment runs well below state and national averages. MIXED MANAGEMENT ASSESSMENT: Fitch's view ofmanagerial quality is weighed down by an unusually high degree of managerial turnover in recent years and heightened political risk following a 40% rate increase in 2010 that casts doubt on the district's capacity to approve future large rate hikes, if required. However, the district prudently implemented modest rate increases over the past three years, improved the district's supply position through the OCWD annexation, and recently implemented two additional reserve policies. SOUND DEBT PROFILE: The district's manageable capital improvement plan (CIP) is expected to be predominantly pay -as- you -go financed with a limited amount of related short-term debt issuances. Debt levels are moderate overall and are projected to fall as debt matures. RATING SENSITIVITIES MANAGERIAL CONTINUITY: Demonstrated managerial stability with continued prudent financial management policies and sound financial operations could lead to positive rating action. CREDIT PROFILE ANNEXATION TO OCWD IMPROVES THE DISTRICT'S SUPPLY, FINANCIAL POSITIONS The district's annexation of its service area to OCWD will positively impact the district's cost structure and supply reliability. The annexation provides the district with access to a portion of OCWD's groundwater basin, which will increase the district's local water sources to about 70% from less than 50% of the system's total supply once pumping facilities have been fully constructed in a few years. The remainder of the district's supply derives from imported treated water from the Metropolitan Water District of Southern California. In exchange for pumping rights, the district will pay OCWD an annexation fee of $250,000- $300,000 annually in perpetuity. This fee will be more than offset by lowered expenditures from reduced imported water consumption. The district estimates that groundwater will cost approximately one- third of imported water. SOLID FINANCIAL OPERATIONS OVERALL The district's financial performance has been strong overall, despite some year- over -year liquidity volatility. Fiscal 2013 debt service coverage registered a satisfactory 1.97x, a slight decline from prior years due to expenditure growth slightly outpacing revenue growth. This dynamic is estimated by the district to have reversed in fiscal 2014, with coverage rising to a robust 2.76x. The improved estimated coverage reflects higher water sales, a moderate water rate increase, and a significant $500,000 increase in connection fees stemming from a rebounding property market. Although debt service coverage has remained at high levels, liquidity fell in fiscal 2013 to a somewhat weak 123 days cash on hand due to significant capital spending and a delayed draw on the district's line of credit (LOC) with Wells Fargo. The district estimates that fiscal year end 2014 cash balances increased to robust levels of $23.7 million (347 days cash on hand), which is fairly consistent with historical performance. The higher cash levels derive from a $5 million legal settlement, a $4.5 million draw from the district's LOC, and solid free cash flow. Financial projections have been conservatively drafted, assuming no further rate increases, no capital contributions, and lower consumption levels than the historical norm. Despite the forecast's conservative tendencies, senior debt service coverage averages a strong 2.7x from fiscal years 2015 - 2019. All -in coverage drops to an inadequate 0.80x in fiscal 2017; however, reflecting the forecasted repayment of the district's $7 million subordinate LOC that expires that year. Fitch does not view this as a material credit negative given the one -time nature of the draw, the district's solid cash position, and the subordination status of the LOC payment to the Fitch -rated water revenue bonds. STRONG SERVICE AREA The district is located in the northeastern portion of Orange County approximately 35 miles southeast of downtown Los Angeles, and 11 miles north of Santa Ana, the county seat. The service area predominantly covers the city of Yorba Linda, an upper income suburban community, in addition to portions of Anaheim, Brea, and Placentia, and unincorporated county areas. The district provides water services to roughly 24,500 customers, of which about 90% are residential. Customer growth is expected to be somewhat modest as the district is close to full build -out, however new development activity has picked up significantly from recessionary levels. District income levels and employment data are strong. POSITIVE FINANCIAL MANAGEMENT PRACTICES OFFSET BY POLITICAL TURBULENCE The district's financial management practices have been historically sound, but Fitch's assessment of management is weighed down by a high degree of managerial turnover and recent years' political turbulence. The district's general manager and finance director left the district under opaque circumstances over the past few years. These concerns are somewhat offset by the long tenure of the incoming general manager and finance directors at other water districts. However, positive rating action will hinge on demonstrated managerial stability, with continued adherence to sound financial management policies. Fitch views positively policymakers' commitment to steady annual rate increases in recent years, including rate hikes of 1.5 %, 2.5% and 2.5% in fiscal years 2013, 2014, and 2015, respectively. Current water rates average a low 0.5% of median household incomes, based on a Fitch - standardized 10 hundred cubic feet of consumption. Fitch believes this provides economic flexibility to raise rates, though we have noted heightened political sensitivity to large rate hikes following a contentious and large rate hike of 40% in 2010 that led to a board shake -up. The rate increase also included automatic pass - throughs of OCWD and Metropolitan Water District of Orange County cost increases, which Fitch views as a positive. However, the district's water rate structure is highly volumetric, which exposes it to greater revenue volatility. Management is studying the impact of recent water conservation measures before beginning its Prop 218 rate adjustment process, likely to take effect in fiscal 2016. Fitch expects the district will raise rates at a sufficient amount to maintain the district's sound financial operations over a five -year forecast period, and to avoid the use of long -term debt to finance the system's CIP. Recent years' improvements to district financial policies include board approval ofthree reserve funds. In addition to the board - mandated 8% - 17% minimum operating reserve, the district must now additionally carry a $200,000 water maintenance reserve, and a $2.7 million reserve for debt service, which is an unrestricted resource that supplements the district's debt service reserve funds. All of these reserve policies include replenishment provisions. SOUND DEBT PROFILE The district's debt burden is moderate at $1,805 per customer and is projected to fall somewhat as amortizing debt is projected to more than offset an estimated net $5 million short-term debt issuance over the district's five year CIP. The majority of the district's manageable $19 million capital plan will be pay -as- you -go financed, and it consists largely of facilities required to increase groundwater pumping rights. The system is mature and largely built out, so conclusion of the current CIP likely will be followed by more modest capital plans consisting of repair and renewal needs. Contact: Primary Analyst Scott Monroe Director +1- 415- 732 -5618 Fitch Ratings, Inc. 650 California Street San Francisco, CA 94108 Secondary Analyst Andrew Ward Director +1- 415- 732 -5617 Committee Chairperson Laura Porter Managing Director +1- 212 - 908 -0575 Additional information is available at'www.fitchratings.com' In addition to the sources of information identified in the U.S. Municipal Revenue - Supported Rating Criteria, this action was additionally informed by information from Creditscope. Applicable Criteria and Related Research: -- 'Revenue - Supported Rating Criteria' (June 3, 2013); - -'U.S. Water and Sewer Revenue Bond Rating Criteria' (July 31, 2013); - -'2014 Water and Sewer Medians' (Dec. 12, 2013); - -'2014 Outlook: Water and Sewer Sector'(Dec. 12, 2013). Media Relations: Elizabeth Fogerty, New York, Tel: +1 (212) 908 0526, Email: elzabeth.fogerty@fitchratings.com. Additional information is available at'www.fitchratings.com' In addition to the sources of information identified in the U.S. Municipal Revenue - Supported Rating Criteria, this action was additionally informed by information from Creditscope. Applicable Criteria and Related Research: -- 'Revenue - Supported Rating Criteria' (June 3, 2013); - -'U.S. Water and Sewer Revenue Bond Rating Criteria' (July 31, 2013); - -'2014 Water and Sewer Medians' (Dec. 12, 2013); - -'2014 Outlook: Water and Sewer Sector'(Dec. 12, 2013). Applicable Criteria and Related Research: Revenue - Supported Rating Criteria http:/ /www.fitchratings.com/creditdesk /reports /report _frame.cf n ?rpt_id= 750012 U.S. Water and Sewer Revenue Bond Rating Criteria http:/ /www.fitchratings.com/creditdesk /reports /report _ frame.cf n ?rpt_id= 715275 2014 Water and Sewer Medians http://www.fitchratings.com/creditdesk/reports/report frame. cfm ?rpt_id =7243 5 8 2014 Outlook: Water and Sewer Sector http:/ /www.fitchratings.com/creditdesk /reports /report _frame.cf n ?rpt_id= 724357 ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP: //FITCHRATINGS.COM/ UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WW W.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU- REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE. AGENDA REPORT Meeting Date: August 25, 2014 To: Finance - Accounting Committee From: Steve Conklin, Acting General Manager Presented By: Delia Lugo, Finance Manager Dept: Prepared By: Kelly McCann, Senior Accountant Subject: Budget to Actual Results for July 2014 DISCUSSION: ITEM NO. 5.3 Finance Attached are the District's budget to actual summary results for the Water Fund, Sewer Fund and a combined statement for both funds pertaining to the reporting month of July 2014. For July 2014, the District water revenue is 11.2% of annual budget, which is .6% lower than the historical trend for this point of the year. The majority of the Water Fund's individual Supplies and Services expenses are below budget, with the exceptions of dues, memberships and maintenance. In July 2014, dues and membership is presented at 30.88% of annual budget due to the payment of $23,141 to LAFCO for annual dues. Maintenance is presented at 24.88% of annual budget due to replacement of booster pump at Box Canyon for $26,720. Overall, Sewer Supplies and Services expenses are trending below budget. Finally, the receipt of funds from the sale of 2 vehicles has been recorded as a Gain on the Sale of an Asset for $8,925. STRATEGIC PLAN: FR 1 -F: Continue to Record and Report the Fairly Stated Financial Activities of the District in a Timely and Transparent Manner to the Board of Directors and Member Agencies ATTACHMENTS: Description: Type: July 2014 consolidated stmt.xlsx July 2014 Consolidated Statement Backup Material July 2014 Water Stmt.xlsx July 2014 Water Statement Backup Material July 2014 Sewer Stmt.xlsx July 2014 Sewer Statement Backup Material Revenue (Operating): Water Revenue (Residential) Water Revenue (Commercial & Fire Det.) Water Revenue (Landscape /Irrigation) Water Revenue (Service Charge) Sewer Charge Revenue Locke Ranch Assessments Other Operating Revenue Total Operating Revenue: Revenue (Non- Operating): Interest Property Tax Other Non - Operating Revenue Total Non - Operating Revenue: Yorba Linda Water District Summary Financial Report Water & Sewer Funds For One Month Ending July 31, 2014 Annual YTD July YTD YTD YTD Budget Budget Actual Actual Under(Over) % of FY 2016 FY 2016 FY 2016 FY 2016 Budget Budget $17,154,552 $1,429,546 $2,016,076 $2,016,076 15,138,476 11.75% 2,074,097 172,841 216,579 216,579 1,857,518 10.44% 4,792,995 399,416 590,816 590,816 4,202,179 12.33% 4,478,000 373,167 369,538 369,538 4,108,462 8.25% 1,605,292 133,774 136,717 136,717 1,468,575 8.52% 201,000 16,750 - - 201,000 0.00% 719,777 59,981 90,914 90,914 628,863 12.63% 31,025,713 2,585,476 3,420,640 3,420,640 27,605,073 11.03% 112,000 9,333 7,166 7,166 104,834 6.40% 1,283,642 106,970 - - 1,283,642 0.00% 533,525 44,460 15,968 15,968 517,557 2.99% 1,929,167 160,764 23,134 23,134 1,906,033 1.20% Total Revenue 32,964,880 2,746,240 3,443,774 3,443,774 29,611,106 10.46% Expenses (Operating) Variable Water Costs (G.W., Import & Power) 14,928,972 1,244,081 1,694,200 1,694,200 13,234,772 11.35% Salary Related Expenses 8,224,812 685,401 436,562 436,562 7,788,250 5.31% Supplies & Services 4,360,005 395,450 315,798 315,798 4,044,207 7.24% Total Operating Expenses 27,513,789 2,324,932 2,446,560 2,446,560 25,067,229 8.89% Expenses (Non- Operating): Interest on Long Term Debt 1,780,793 148,399 141,791 141,791 1,639,002 7.96% Other Expense 72,000 6,000 (8,925) (8,925) 80,925 - 12.40% Total Non - Operating Expenses: 1,852,793 154,399 132,866 132,866 1,719,927 7.17% Total Expenses 29,366,681 294799331 296799426 296799426 2697879166 8.78% Net Income (Loss) Before Capital Contributions 3,688,299 2669909 8649348 8649348 297239961 24.09% Capital Contributions 1,177 1,177 1,177 0.00% Net Income (Loss) Before Depreciation 3,688,299 266,909 866,626 866,626 2,726,128 24.12% Depreciation & Amortization 7,337,500 611,458 613,426 613,426 6,724,074 8.36% Total Net Income (Loss) ($3,749,201) ($344,649) $262,099 $262,099 ($4,001,300) -6.72% Yorba Linda Water District Water Fund For One Month Ending July 31, 2014 Annual YTD July YTD YTD YTD Budget Budget Actual Actual Under(Over) % of Annual FY 2015 FY 2015 FY 2015 FY 2015 FY Budget Budget Revenue (Operating) Water Revenue (Residential) $17,154,552 $1,429,546 $2,016,076 $2,016,076 15,138,476 11.75% Water Revenue (Commercial & Fire Det.) 2,074,097 172,841 216,579 216,579 1,857,518 10.44% Water Revenue (Landscape /Irrigation) 4,792,995 399,416 590,816 590,816 4,202,179 12.33% Water Revenue (Service Charge) 4,478,000 373,167 369,538 369,538 4,108,462 8.25% Other Operating Revenue 670,003 55,834 74,843 74,843 595,160 11.17% Total Operating Revenue: 29,169,647 2,430,804 3,267,852 3,267,852 25,901,795 11.20% Revenue (Non- Operating) Interest 100,000 8,333 7,156 7,156 92,844 7.16% Property Tax 1,283,642 106,970 - - 1,283,642 0.00% Other Non - Operating Revenue 521,600 43,467 19,962 19,962 501,638 3.83% Total Non - Operating Revenue: 1,905,242 158,770 27,118 27,118 1,878,124 1.42% Total Revenue 0.98% 69,750 5,813 - - 69,750 31,074,889 2,589,574 3,294,970 3,294,970 27,779,919 10.60% 0.00% 579,369 48,281 45,813 45,813 533,556 Expenses (Operating): 22,980 1,915 158 158 22,822 0.69% Variable Water Costs (G.W., Import & Power) 14,928,972 1,244,081 1,694,200 1,694,200 13,234,772 11.35% Salary Related Expenses 7,363,472 613,623 403,476 403,476 6,959,996 5.84% Supplies & Services: Communications Contractual Services Data Processing Dues & Memberships Fees & Permits Board Election Insurance Materials District Activities, Emp Recognition Maintenance Non - Capital Equipment Office Expense Professional Services Training Travel & Conferences Uncollectible Accounts Utilities Vehicle Equipment Supplies & Services Sub -Total Total Operating Expenses Expenses (Non- Operating): Interest on Long Term Debt Other Expense Total Non - Operating Expenses: Total Expenses 273,786 22,816 14,512 14,512 259,274 5.30% 521,451 43,454 31,126 31,126 490,325 5.97% 173,752 14,479 38 38 173,714 0.02% 72,321 6,027 22,331 22,331 49,990 30.88% 169,437 14,120 1,668 1,668 167,769 0.98% 69,750 5,813 - - 69,750 0.00% 291,406 24,284 - - 291,406 0.00% 579,369 48,281 45,813 45,813 533,556 7.91% 22,980 1,915 158 158 22,822 0.69% 364,581 62,498 90,700 90,700 273,881 24.88% 132,525 11,044 8,179 8,179 124,346 6.17% 37,642 3,137 1,371 1,371 36,271 3.64% 672,197 56,016 32,967 32,967 639,230 4.90% 58,571 4,881 3,107 3,107 55,464 5.30% 42,129 3,511 1,357 1,357 40,772 3.22% 37,200 3,100 5 5 37,195 0.01% 83,700 6,975 5,932 5,932 77,768 7.09% 281,139 23,428 33,378 33,378 247,761 11.87% 3,883,937 355,777 292,642 292,642 3,591,295 7.53% 26,176,381 2,213,481 2,390,318 2,390,318 23,786,063 9.13% 1,780,793 148,399 141,791 141,791 1,639,002 7.96% 72,000 6,000 (8,925) (8,925) 80,925 - 12.40% 1,852,793 154,399 132,866 132,866 1,719,927 7.17% 28,029,174 2,367,880 2,523,184 2,523,184 25,505,990 9.00% Net Income (Loss) Before Capital Contributions 3,045,715 221,694 771,786 771,786 2,273,929 25.34% Capital Contributions 0.00% Net Income (Loss) Before Depreciation 3,045,715 221,694 771,786 771,786 2,273,929 25.34% Depreciation & Amortization 5,992,500 499,375 501,503 501,503 5,490,997 8.37% Total Net Income (Loss) ($2,946,785) ($277,681) $270,283 $270,283 ($3,217,068) -9.17% Revenue (Operating): Sewer Charge Revenue Locke Ranch Assessments Other Operating Revenue Total Operating Revenue: Revenue (Non- Operating): Interest Other Non - Operating Revenue Total Non - Operating Revenue: Total Revenue Expenses (Operating): Salary Related Expenses Supplies & Services: Communications Contractual Services Data Processing Dues & Memberships Fees & Permits Board Election Insurance Materials District Activities, Emp Recognition Maintenance Non - Capital Equipment Office Expense Professional Services Training Travel & Conferences Uncollectible Accounts Utilities Vehicle Equipment Supplies & Services Sub -Total Total Operating Expenses Expenses (Non- Operating): Interest Expense Other Expense Total Non - Operating Expenses: Total Expenses Yorba Linda Water District Sewer Fund For One Month Ending July 31, 2014 Annual YTD July YTD YTD YTD Budget Budget Actual Actual Under(Over) % of Annual FY 2015 FY 2015 FY 2015 FY 2015 Budget Budget $1,605,292 $133,774 $136,717 $136,717 1,468,575 8.52% 201,000 16,750 - - 201,000 0.00% 49,774 4,148 16,071 16,071 33,703 32.29% 1,856,066 154,672 152,788 152,788 1,703,278 8.23% 12,000 1,000 10 10 11,990 0.08% 11,925 994 (3,994) (3,994) 15,919 - 33.49% 23,925 1,994 (3,984) (3,984) 27,909 - 16.65% 1,879,991 156,666 148,804 148,804 1,731,187 7.92% 861,340 71,778 33,086 33,086 828,254 3.91% 21,108 1,759 1,092 1,092 20,016 5.17% 39,249 3,271 2,348 2,348 36,901 5.98% 13,078 1,090 3 3 13,075 0.02% 5,744 479 1,681 1,681 4,063 29.27% 16,753 1,396 256 256 16,497 1.53% 5,250 438 - - 5,250 0.00% 21,934 1,828 - - 21,934 0.00% 78,756 6,563 5,077 5,077 73,679 6.45% 1,730 144 5 5 1,725 0.29% 112,605 9,384 329 329 112,276 0.29% 19,475 1,623 4,277 4,277 15,198 21.96% 2,833 236 103 103 2,730 3.64% 39,413 3,284 2,470 2,470 36,943 6.27% 6,609 551 1,102 1,102 5,507 16.68% 4,371 364 102 102 4,269 2.33% 2,800 233 5 5 2,795 0.18% 7,100 592 513 513 6,587 7.23% 77,261 6,438 3,790 3,790 73,471 4.91% 476,066 39,672 23,153 23,153 452,913 4.86% 1,337,406 111,451 56,239 56,239 1,281,167 4.21% 0.00% 0.00% 0.00% 1,337,406 111,451 56,239 56,239 1,281,167 4.21% Net Income (Loss) Before Capital Contributions 542,585 45,215 92,565 92,565 450,020 17.06% Capital Contributions 1,176 1,176 1,176 0.00% Net Income (Loss) Before Depreciation 542,585 45,215 93,741 93,741 451,196 17.28% Depreciation &Amortization 1,345,000 112,083 111,923 111,923 1,233,077 8.32% Total Net Income (Loss) ($802,415) ($66,868) ($18,182) ($18,182) ($784,233) 2.27% Capital - Direct Labor (596) (596)