HomeMy WebLinkAbout2009-06-02 - Board of Directors Meeting Agenda PacketYorba Linda
Water District
AGENDA
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS WORKSHOP MEETING
Tuesday, June 2, 2009, 8:00 AM
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
John W. Summerfield, President
William R. Mills, Vice President
Paul R. Armstrong
Michael J. Beverage
Ric Collett
4. ADDITIONS /DELETIONS TO THE AGENDA
5. PUBLIC COMMENTS
Any individual wishing to address the Board is requested to identify themselves and state the matter on which
they wish to comment. If the matter is on the agenda, the Board will recognize the individual for their comment
when the item is considered. No action will be taken on matters not listed on the agenda. Comments are limited
to matters of public interest and matters within the jurisdiction of the Water District. Comments are limited to five
minutes.
6. DISCUSSION ITEMS
This portion of the agenda is for matters that cannot reasonably be expected to be concluded by action of the
Board of Directors at the meeting, such as technical presentations, drafts of proposed policies, or similar items for
which staff is seeking the advice and counsel of the Board of Directors. Time permitting, it is generally in the
District's interest to discuss these more complex matters at one meeting and consider formal action at another
meeting. This portion of the agenda may also include items for information only.
6.1. FY 2009/10 Proposed Budget Status and Rate Increase Discussion
Recommendation: That the Board review and discuss the attached financial
information and select one of the three options for implementing a rate increase:
Option 1: A full rate increase, amounting to $10,155,553, to fund the anticipated
pass through and overhead expenses effective September 1, 2009. This would
require compliance with Proposition 218.
Option 2: A pass through rate increase, amounting to $2,123,208, effective July 1,
2009 with no Proposition 218 notice required. A second rate increase of $8,032,345
to fund overhead expenses, effective September 1, 2009. This would require
compliance with Proposition 218.
Option 3: A pass through rate increase, amounting to $2,123,208, effective July 1,
2009 with no Proposition 218 notice. A second rate increase, and restructuring of
the rates with a conservation pricing structure, effective January 1, 2010. This
would require compliance with Proposition 218.
6.2. Future Agenda Items and Staff Tasks
7. CONFERENCES AND SEMINARS
7.1. MWD Community Leaders' Breakfast Briefing - June 19, 2009
Recommendation: Authorize Directors and such staff members of the District as
approved by the General Manager to attend the listed conferences and seminars.
8. ADJOURNMENT
8.1. The next regular meeting of the Board of Directors is scheduled for June 11, 2009 at
6:30 p.m.
Items Distributed to the Board 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 Board 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.
Meeting Date:
To:
From:
Presented By:
Prepared By:
Subject:
SUMMARY:
AGENDA REPORT
June 2, 2009
Board of Directors
Ken Vecchiarelli, General
Manager
Pat Grady, Assistant General
Manager
Pat Grady, Assistant General
Manager
Budgeted
Dept:
Reviewed by Legal:
CEQA Compliance:
ITEM NO. 6.1
N/A
Administration
N/A
N/A
FY 2009/10 Proposed Budget Status and Rate Increase Discussion
Staff is in the process of completing the District's Proposed FY 2009/10 Budget. At this time, Staff is
seeking direction from the Board related to reserves and a schedule for a potential rate increase.
These recommendations will affect the outcome of the proposed budget and help establish future
policy decisions.
STAFF RECOMMENDATION:
That the Board review and discuss the attached financial information and select one of the three
options for implementing a rate increase:
Option 1: A full rate increase, amounting to $10,155,553, to fund the anticipated pass through and
overhead expenses effective September 1, 2009. This would require compliance with Proposition
218.
Option 2: A pass through rate increase, amounting to $2,123,208, effective July 1, 2009 with no
Proposition 218 notice required. A second rate increase of $8,032,345 to fund overhead expenses,
effective September 1, 2009. This would require compliance with Proposition 218.
Option 3: A pass through rate increase, amounting to $2,123,208, effective July 1, 2009 with no
Proposition 218 notice. A second rate increase, and restructuring of the rates with a conservation
pricing structure, effective January 1, 2010. This would require compliance with Proposition 218.
COMMITTEE RECOMMENDATION:
During this process, various aspects of the budget have been reviewed by the District's standing
committees, in addition to the Revenues & Rates Ad -hoc Committee. Each Committee has
reviewed and discussed the following:
Finance - Accounting Committee: District's operating and non - operating expenses
Personnel -Risk Management Committee: Personnel needs for the upcoming year
Planning- Engineering- Operations Committee: Capital improvement and repair & replacement
projects
Revenues & Rates Ad -Hoc Committee: Income requirements and rate adjustments
DISCUSSION:
Staff has completed a preliminary evaluation and analysis of the District's financial condition and a
draft budget has been prepared. The following provides an overall summary of the budget, with the
backup material and financial statements attached as references.
Fiscal Year 2008/09 Forecast
For the year ending June 30, 2009, Staff is anticipating a combined loss of $3,852,423 for both the
water and sewer enterprises. These figures include depreciation in the amount of $4,037,530.
Attached is the Summary of all Income /Expenses and Funding Requirements that provides the
supporting information.
Beginning July 1, 2008, the total funds (cash) available for both operations and capital projects were
$50.7 million. Staff is forecasting these funds to be $40.6 million by June 30, 2009, for a total
reduction of $10 million for FY 2008/09. This reduction is primarily due to the capital projects funded
by the 2008 COP's in addition to a reduction of the water operating fund of $947,130 (excluding
depreciation).
Budget FY 2009/10
Revenues:
Total water and sewer revenues budgeted for upcoming FY 2009/10 amount to $22 million, a
decrease of $2.6 million from the revenues forecasted for current FY 2008/09. The following
summarizes the major differences:
Water Conservation ($2.1 million) - With the promotion of water conservation, the adoption of a
conservation ordinance, and water supply conditions at Stage 2 effective July 1, 2009 (water supply
allocations), staff is proposing a reduction of water consumption amounting to 14% from the current
FY 2008/09 budget. This reduction amounts to a $2.1 million decrease in revenues.
Annexation Revenue ($400,000) - In prior year budgets, staff has been transferring and utilizing
annexation revenue to offset operating expenses in accordance with our adopted annexation policy.
In authorizing the 2007 -2012 Capital Projects List and selling the 2008 Revenue Bonds, the Board
established that a large balance of the Annexation Fund would be required and committed to
complete the aggressive capital projects list. These projects when completed, would help maintain
lower operating expenses in future years thereby achieving the same result as the yearly to the
operating revenue fund from the annexation fund. Staff is recommending a one -time transfer from
the Annexation Fund to offset the negative year end balance in the Water Fund and to further
restrict the balance in the Annexation Fund to reserves for capital projects beginning July 1, 2009.
Property Tax Revenue ($100,000) - Property tax revenue may be reduced by at least 8% in the
upcoming fiscal year. The District was notified that in the event Proposition 1 A failed, the State may
elect to borrow at least 8% of property tax revenue from local agencies, to be repaid at a later date
under the current Prop 1 A of 2004. This current proposal of 8% state wide, could amount to much
more taken from enterprise special districts.
Expenses: Total expenses budgeted for upcoming FY 2009/10 is $32.2 million, an increase of $3.7
million from the forecasted FY 2008/09 results. The following summarizes the significant increases:
Variable Water Costs ($2.1 million) — The District's variable water costs will continue to increase
significantly. These costs include higher power costs, a substantial increase in the water rate the
District pays to MWDOC for imported water (primarily due to the substantial increase in MWD
rates), the recharge rate paid to Orange County Water District for groundwater, which increased
effective July 1, 2008 combined with a surcharge rate that will increase effective July 1, 2009.
Another contributing factor is the decrease of less expensive groundwater the District is allowed to
extract from the basin (BPP %), which decreased from 80% in FY 2007/08 to 69% in FY 2008/09
and will decrease further to 62% beginning July 1, 2009.
Salaries & Benefits ($200,000)— This amount includes funding for a full time Senior Project
Manager, merit increases for those employees who qualify, minor increases from CalPERS,
medical, dental, and vision premiums, and the assumption all funded positions will be filled for an
entire fiscal year. Staff is not recommending a COLA (Cost of Living Adjustment) increase for FY
2009/10.
For current FY 2008/09, 84 positions were authorized. At the end of the current fiscal year, staff
anticipates 74 positions will be filled, leaving 10 vacancies.
For upcoming FY 2009/10, staff is recommending the reduction of authorized positions by two,
resulting in 82 authorized positions. Two vacant positions recommended for deletion are the Senior
Project Engineer and the Safety & Training Officer. Of the 82 positions remaining, staff is
additionally recommending funding only 75 positions for FY 2009/10, including the Senior Project
Engineer. This position is currently in the recruitment phase and has been established as a limited
(three -year) term position. The other vacant positions would remain unfunded for FY 2009/10 and
be reevaluated during the following FY 2010/11 budget process. Attached for the Board's review is
a Personnel Summary outlining staffs' recommendations.
Supplies & Services ($850,000) — These increases are a combination of additional maintenance
and materials, professional consultants and contractual services required to maintain a high level of
service to the community.
Depreciation ($500,000) — As the District continues to complete and close out projects, an increase
of depreciation is anticipated for the upcoming fiscal year.
Capital Expenditures:
The District's capital requests include capital improvement projects, repairs and replacements,
along with vehicles and capital equipment. The following summarizes each:
CIP and R &R Projects
Previously, the Board approved a five -year capital improvement project plan for a total of
$56,581,500. These projects were identified to be funded with the 2008 Series Certificates of
Participation, in combination with other reserve and annexation funds the District had pledged. At
the end of current FY 2008/09, staff anticipates the balance to complete the approved CIP list will
be $22,681,000.
Staff is recommending that additional projects, in the amount of $21,960,000, be added to the CIP
list, for an updated total of $44,641,000. Of that, $18,327,000 is recommended for completion in the
upcoming FY 2009/10 budget. Funding is available for the FY 2009/10 projects, in addition to the
FY 2010/11 projects with existing capital reserve funds. Beyond that, additional funds may be
required to complete the entire CIP list. This will depend on bid results and actual costs to complete
the projects.
Vehicle and Capital Equipment
For the upcoming FY 2009/10 budget, Staff is recommending $628,500 for vehicles and capital
equipment. These items represent purchases that would not appear on the Income /Expense report,
but are considered capital outlay as each item exceeds the $5,000 threshold and would be subject
to capitalization and depreciation. Funding for these items should be generated and derived from
the depreciation expense, on a year -to -year basis. This list is attached for the Board's review and
represents recommendations from each department.
Funding Sources and Reserve Funds:
Currently, the District has 10 various funding sources. Attached is a summary of all funding sources
and balances. Of those sources, four are restricted for capital projects which include Water- Capital
Projects, COP Bonds 2008, ID 1, and ID 2. Three sources entitled Annexation Fund, Sewer R &R,
and Sewer Capital Projects are recommended for restriction to fund capital projects. Staff is also
recommending restricting the Water R &R Fund to serve as an emergency reserve. Remaining are
the Water and Sewer Operating Funds for day -to -day operations.
Beginning July 1 st, 2009, Staff is recommending that the Water Operating Fund be increased by
$4.9 million from the Annexation Fund. The result would be a Water Operating Fund balance of $0
and an Annexation Fund balance of $4.4 million.
Should the Board concur with these recommendations, a resolution will be presented to the Board
establishing these policy decision.
Funding Requirements and Rate Increase:
Attached is a summary of all income /expenses and funding requirements that outlines the District's
entire financial needs in one snapshot. For the upcoming FY 2009/10 budget, a loss of $10.2 million
is expected for both the water and sewer enterprises.
An increase of water revenue in the amount of $9.7 million and an increase of $462,077 for sewer
revenues is necessary for a balanced budget. This accounts for all anticipated expenses, along with
depreciation, debt obligations, vehicles and equipment, and temporary labor. It does not however
include the CIP list, which, for the next two years can be funded with existing reserve funds.
An upcoming rate increase may consist of a combination of the following:
1. An Intial Pass Through Water Rate Increase — this amounts to $2,123,208 for upcoming FY
2009/10. This does not include the increase of power costs as recent legislation prohibits agencies
from passing through these types of costs. Incremental water cost increases are permissible as a
pass through if noticed approprai. A pass through rate increase does not require that the District
provide additional Proposition 218 notice as the Board established a pass through policy in a prior
Prop 218 noticed rate increase and therefore can be implemented in a relatively short time period.
2. Overhead Expenses — this amounts to $8,032,345 ($7,570,268 for water, $462,077 for sewer) to
cover anticipated expenses, less the pass- through. This would require a Proposition 218 hearing.
3. Combined — this amounts to $10,155,553 to cover both the pass- through, water and sewer
overhead expenses.
Whichever element is selected, the structure and the method by which water bills are calculated
would need to remain intact until January 1 st, 2010, at which time the District will implement its new
utility billing software. The flat charge and the consumption charge may be adjusted to meet
budgetary needs. However, staff is not recommending any conservation or budget allocation pricing
structure with the existing software and prior to January 1, 2010.
As a reference, staff has attached a water rates comparison chart to provide the Board rate
information from neighboring water agencies and cities. This chart compares a total water bill
among the agencies, including YLWD, for consumption use ranging from 10 units of water to 200
units.
PRIOR RELEVANT BOARD ACTION(S):
None
ATTACHMENTS:
Summary of Income Expenses.pdf
Fund_ Balances_Summary.pdf
Water Sewer Income - Expense.pdf
Water Income - Expense. pdf
Sewer _Income- Expense. pdf
Personnel Summary pdf
C I P_Projects. pdf
Vehicle Equipment (FY 2009- 10).pdf
Water Rate Comparison Matrix(5 -8 in).pdf
Water_ Rate_ Comparison_ Matrix( in).pdf
Water Supply Surcharges Summary pdf
Budget Presentation. pdf
Description:
Type:
Summary of Income /Expenses
Backup Material
Fund Balances Summary
Backup Material
Water & Sewer Income /Expenses
Backup Material
Water Income /Expense
Backup Material
Sewer Income /Expense
Backup Material
Personnel Summary
Backup Material
CIP Projects
Backup Material
Vehicle & Equipment
Backup Material
Water Rate Comparison (5 -8 in)
Backup Material
Water Rate Comparison (1 in)
Backup Material
Water Supply Surcharges Summary
Backup Material
PowerPoint Presentation
Presentation
Summary of All Income /Expenses
and
Funding Requirements
Sources of Income (Water & Sewer)
Water Sales Revenue
Sewer Services Revenue
Property Tax Revenue
Other Revenue
Total Income
Sources of Outlav
Supplies & Services
Variable Water Costs
Salary & Benefits
(Bond Proceeds & Developer Labor Reimbursement)
Temporary /Contract Labor
Depreciation
Interest on Long Term Debt
Debt Obligations (Principal)
Vehicles & Equipment
Other
Total Outlay
Income less Outlay
C.I.P. and R &R Expenditures
Approved - C.I.P. and R &R Projects
Additional Projects Requested
Total CIP & R &R Expenditures
FY
FY 2008/09 FY FY
2008/09 Actual 2008/09 2009/10
Budget Thru Mar /09 Forecast Budget
17,079,300 15,568,665 20,758,217 18,723,793
1,246,550 935,588 1,278,034 1,276,000
1,266,150 786,677 1,200,000 1,104,000
1,177,900 1,055,715 1,322,395 896,000
20,769,900 18,346,645 24,558,646 21,999,793
4,104,433
2,547,612
3,423,862
4,315,084
11,156,500
7,908,302
10,544,403
12,612,700
8,112,968
5,255,412
7,007,216
7,195,662
(300,000)
(300,000)
7,740
148,044
194,000
154,500
4,240,700
3,028,147
4,037,530
4,540,800
0
1,558,297
2,077,729
1,981,300
215,000
570,000
570,000
825,000
481,000
300,575
450,575
628,500
31,000
285,422
405.754
201,800
28,349,341 21,601,811 28,411,069 32,155,346
(7,579,441) (3,255,166) (3,852,423) (10,155,553)
18,746,500 8,816,030 11,363,641 13,767,000
4.560, 000
18,746,500 8,816,030 11,363,641 18,327,000
5 -Year CIP Projects
Remaining Approved CIP & R &R Projects (FY 2010 -2012) 22,681,000
Additional Projects Requested (FY 2010 -2013) 21.960.000
Total Revised 5 -Year CIP 44,641,000
5/28/2009 -2:49 PM
Funding Sources
Water (Operating):
Operating Fund
Water (Capital):
Annexation Fund
Water R &R
Water - Capital Projects
COP Bond 2008
ID 1
ID 2
Sewer (Operating):
Operating Fund
Sewer (Capital):
Sewer R &R
Sewer Capital Projects
Total of Funds
Summary of All Funding Sources and Balances
Forecasted Additions Budget
Balance Balance Balance (Deductions) Balances
As of 7/1/2008 As of 3/30/2009 As of 6/30/2009 FY 2009/10 As of 6/30/2010
Fund Category
(Non- Restricted)
(3,965,067)
(5,122,594)
(4,912,197)
(5,614,753)
(10,526,950)
(Restricted for capital)
9,577,235
9,355,086
9,265,000
100,000
9,365,000
(Recommendation)
(Restricted for Reserves)
2,013,368
2,045,075
2,050,000
10,000
2,060,000
(Recommendation)
(Restricted for capital)
0
149,500
149,500
(149,500)
0
(Restricted for capital)
28,086,825
21,028,891
17,590,000
(13,767,000)
3,823,000
(Restricted for capital)
4,180,033
4,457,153
4,543,455
20,000
4,563,455
(Restricted for capital)
9,487,663
9,655,724
9,720,000
(3,869,850)
5,850,150
(Non- Restricted)
1,135,524
1,412,316
1,684,045
132,973
1,817,018
(Restricted for capital) 183,731 306,904 351,800 (351,800) 0
(Recommendation)
(Restricted for capital) 0 188,389 188,850 (188,850) 0
(Recommendation)
$50,699,312 $43,476,444 $40,630,453 ($23,678,780) $16,951,673
5/28/2009 -2:50 PM
05/28/09 Yorba Linda Water District
02:53 PM Water & Sewer Enterprise
(Actuals, Forecast & Proposed Budget)
Current Actual Proposed
Budget FY 2008/09 Forecast Budget
Revenue (Operating):
Water Revenue (Residential)
$12,991,060
$11,658,064
$15,544,084
$14,067,821
Water Revenue (Commercial & Fire Det.)
1,341,790
1,143,672
1,524,895
1,472,168
Water Revenue (Landscape /Irrigation)
2,746,450
2,766,929
3,689,238
3,183,804
Sewer Charge Revenue
1,141,650
871,005
1,161,340
1,160,000
Locke Ranch Assessments
104,900
64,583
116,694
116,000
Other Operating Revenue
556,040
507,502
658,925
641,000
Total Operating Revenue:
18,881,890
17011,755
22,695,176
20,640,793
Revenue (Non- Operating):
879,835
543,056
724,074
1,101,345
Annexation Revenue
419,400
304,619
406,159
127,635
Interest
64,500
305,806
7,390
7,500
(Interest Deduction due to Other Funds)
48,636
(300,260)
38,966
56,200
Investments
28,660
148,888
142,000
140,000
Property Taxes
1,266,150
786,677
1,200,000
1,104,000
Other Non - Operating Revenue
109,300
89,160
107,921
107,500
Total Non - Operating Revenue:
1,888,010
1,334,890
1,863,470
1,359,000
Total Revenue
20,769,900
18,346,645
24,558,646
21,999,793
Expenses (Operating):
Variable Water Costs (G.W., Import & Power)
11,156,500
7,908,302
10,544,403
12,612,700
Salary Related Expenses
8,112,968
4,651,033
6,201,377
7,195,662
Capital Projects Labor
275,000
366,667
Capital Projects Allocation
329,379
439,172
Salary Expenses Sub -Total
8,112,968
5,255,412
7,007,216
7,195,662
Supplies & Services:
Communications
274,235
196,507
262,009
285,348
Contractual Services
879,835
543,056
724,074
1,101,345
Data Processing
307,642
31,015
41,353
127,635
Dues & Memberships
34,430
22,134
29,511
33,428
Fees & Permits
48,636
29,225
38,966
56,200
Board Election
43,600
41,527
41,527
Insurance
331,305
251,602
335,470
376,300
Materials
652,040
678,796
905,061
448,726
District Activities, Emp Recognition
21,910
8,639
11,518
15,200
Maintenance
414,150
Non - Capital Equipment
228,845
62,092
82,788
158,541
Office Expense
65,810
29,401
39,201
76,325
Professional Services
678,025
288,020
384,026
838,500
Training
95,535
19,528
26,038
70,150
Travel & Conferences
64,685
18,225
24,301
55,785
Uncollectible Accounts
21,255
37,500
52,000
Collection Agency Fee
1,090
3,500
Utilities
69,675
19,373
25,831
29,700
Vehicle Equipment
293,620
283,875
378,500
326,751
Capital Projects Allocation
172,641
230,188
Supplies & Services Sub -Total
4,112,173
2,695,656
3,617,862
4,469,584
Total Operating Expenses:
23,381,641
15,859,370
21,169,481
24,277,946
Expenses (Non- Operating):
Depreciation & Amortization
4,240,700
3,028,147
4,037,530
4,540,800
Interest on Long Term Debt
1,558,297
2,077,729
1,981,300
Job Closing Expense
131,531
235,000
45,000
Other Expense
31,000
153,891
170,754
156,800
Total Non - Operating Expenses:
4,271,700
4,871,866
6,521,013
6,723,900
Total Expenses
27,653,341
20,731,236
27,690,494
31,001,846
Income (Loss)
(6,883,441)
(2,384,591)
(3,131,848)
(9,002,053)
Contributed Capital
918,100
2,206,635
2,875,173
265,202
05/28/09 Yorba Linda Water District
03:03 PM Water Enterprise
(Actuals, Forecast & Proposed Budget)
Current Actual Proposed
Budget FY 2008/09 Forecast Budget
Cv 7!1!1 -nn TM. 11 ..../1111 Cv Inn. Inn Cv 71111(1/
Revenue (Operating):
Water Revenue (Residential)
$12,991,060
$11,658,064
$15,544,084
$14,067,821
Water Revenue (Commercial & Fire Det.)
1,341,790
1,143,672
1,524,895
1,472,168
Water Revenue (Landscape /Irrigation)
2,746,450
2,766,929
3,689,238
3,183,804
Other Operating Revenue
547,740
505,153
655,793
637,900
Total Operating Revenue:
17,627,040
16,073,818
21,414,010
19,361,693
Revenue (Non- Operating):
Annexation Revenue
419,400
304,619
406,159
Interest
47,500
298,019
450
500
(Interest Deduction due to Other Funds)
(297,678)
Investments
28,660
136,759
129,220
127,400
Property Taxes
1,200,150
786,677
1,092,000
1,004,640
Other Non - Operating Revenue
109,300
87,673
105,421
105,500
Total Non - Operating Revenue:
1,805,010
1,316,069
1,733,250
1,238,040
Total Revenue
19,432,050
17,389,887
23,147,260
20,599,733
Expenses (Operating):
Variable Water Costs (G.W., Import & Power)
11,156,500
7,908,302
10,544,403
12,612,700
Salary Related Expenses
7,114,220
4,183,203
5,577,604
6,382,463
Capital Projects Labor
275,000
366,667
Capital Projects Allocation
294,166
392,221
Salary Expenses Sub -Total
7,114,220
4,752,369
6,336,492
6,382,463
Supplies & Services:
Communications
247,768
181,641
242,188
259,593
Contractual Services
729,946
476,626
635,501
964,090
Data Processing
260,931
30,162
40,217
116,148
Dues & Memberships
31,273
20,126
26,835
30,068
Fees & Permits
37,934
26,516
35,355
50,160
Board Election
39,999
37,789
37,789
Insurance
303,940
228,958
305,277
342,433
Materials
586,461
647,525
863,367
427,424
District Activities, Emp Recognition
20,100
7,861
10,481
13,832
Maintenance
384,362
Non - Capital Equipment
207,413
58,567
78,089
139,910
Office Expense
60,374
26,754
35,673
66,775
Professional Services
620,590
261,577
348,770
760,575
Training
86,262
15,230
20,307
61,518
Travel & Conferences
58,105
16,844
22,459
48,892
Uncollectible Accounts
19,499
34,125
47,320
Collection Agency Fee
1,000
3,185
Utilities
63,920
19,216
25,621
27,027
Vehicle Equipment
242,787
238,273
317,697
279,683
Capital Projects Allocation
172,641
230,188
Supplies & Services Sub -Total
3,618,302
2,466,306
3,309,939
4,022,995
Total Operating Expenses:
21,889,022
15,126,977
20,190,834
23,018,158
Expenses (Non- Operating):
Depreciation & Amortization
3,676,500
2,625,831
3,501,108
3,945,750
Interest on Long Term Debt
1,558,297
2,077,729
1,981,300
Job Closing Expense
52,802
150,150
40,000
Other Expense
24,300
152,340
168,686
154,500
Total Non - Operating Expenses:
3,700,800
4,389,270
5,897,673
6,121,550
Total Expenses
25,589,822
19,516,247
26,088,507
29,139,708
Income (Loss)
(6,157,772)
(2,126,360)
(2,941,247)
(8,539,975)
Contributed Capital
667,100
1,415,755
1,851,152
190,962
05/28/09 Yorba Linda Water District
03:01 PM Sewer Enterprise
(Actuals, Forecast & Proposed Budget)
Current Actual Proposed
Budget FY 2008/09 Forecast Budget
Revenue (Operating):
Sewer Charge Revenue
$1,141,650
$871,005
$1,161,340
$1,160,000
Locke Ranch Assessments
104,900
64,583
116,694
116,000
Other Operating Revenue
8,300
2,349
3,132
3,100
Total Operating Revenue:
1,254,850
937,937
1,281,166
1,279,100
Revenue (Non- Operating):
26,467
14,866
19,821
25,754
Interest
17,000
7,787
6,940
7,000
(Interest Deduction due to Other Funds)
46,711
(2,582)
1,136
11,487
Investments
3,157
12,129
12,780
12,600
Property Taxes
66,000
2,709
108,000
99,360
Other Non - Operating Revenue
3,601
1,487
2,500
2,000
Total Non - Operating Revenue:
83,000
18,821
130,220
120,960
Total Revenue
1,337,850
956,758
1,411,386
1,400,060
Expenses (Operating):
Salary Related Expenses
998,748
467,830
623,774
813,199
Capital Projects Allocation
35,213
46,951
5,000
Salary Expenses Sub -Total
998,748
503,043
670,725
813,199
Supplies & Services:
570,900
482,596
623,340
602,350
Communications
26,467
14,866
19,821
25,754
Contractual Services
149,889
66,430
88,573
137,255
Data Processing
46,711
852
1,136
11,487
Dues & Memberships
3,157
2,008
2,677
3,360
Fees & Permits
10,702
2,709
3,611
6,040
Board Election
3,601
3,737
3,737
Insurance
27,365
22,644
30,192
33,867
Materials
65,579
31,270
41,694
21,301
District Activities, Emp Recognition
1,810
777
1,037
1,368
Maintenance
29,789
Non - Capital Equipment
21,432
3,525
4,700
18,631
Office Expense
5,436
2,646
3,528
9,550
Professional Services
57,435
26,442
35,256
77,925
Training
9,273
4,298
5,731
8,632
Travel & Conferences
6,580
1,381
1,841
6,893
Uncollectible Accounts
1,756
3,375
4,680
Collection Agency Fee
90
315
Utilities
5,755
157
210
2,673
Vehicle Equipment
50,833
45,602
60,803
47,068
Supplies & Services Sub -Total
493,871
229,344
307,922
446,588
Total Operating Expenses:
1,492,619
732,387
978,647
1,259,787
Expenses (Non- Operating):
Depreciation & Amortization
564,200
402,317
536,422
595,050
Job Closing Expense
78,728
84,850
5,000
Other Expense
6,700
1,551
2,068
2,300
Total Non - Operating Expenses:
570,900
482,596
623,340
602,350
Total Expenses
2,063,519
1,214,983
1,601,987
1,862,137
Income (Loss)
(725,669)
(258,225) (190,601) (462,077)
Contributed Capital
251,000
790,880
1,024,022
74,240
Personnel Summary
(FY 2009/10)
Positions
Positions
Positions
Proposed
Proposed
Proposed
Authorized
Authorized
Authorized
Additions/
Authorized
Positions
as of
Budget
Forecast
Deductions
positions
to Fund
Departments
Dept Code
6/30/2008
FY 2008/09
FY 2008/09
FY 2009/10
FY 2009/10
FY 2009/10
Administration
2000
Admin
2010
2
3
3
0
3
2.5
Pubic Information
2020
2
2
2
0
2
1
4
5
5
0
5
3.5
Finance
3000
Admin
3010
1
1
1
0
1
1
Accounting
3020
5
5
5
0
5
4
Customer Service /Billing
3030
5
5
5
0
5
5
Meter Reading
3040
5
5
5
0
5
5
16
16
16
0
16
15
Engineering
4000
Admin
4010
2
2
2
0
2
2
Planning & Design
4020
5
5
5
0
5
5
Construction
4030
4
4
4
-1
3
3
Water Quality
4040
2
2
2
0
2
2
13
13
13
-1
12
12
Operations
5000
Admin
5010
2
2
2
0
2
2
Water Operation & Maintenance
5020
21
21
21
0
21
19
Sewer Operation & Maintenance
5030
4
4
4
0
4
4
Water Production
5040
7
7
7
0
7
6
Mechanical Services
5050
3
3
3
0
3
3
Facilities Maintenance
5060
1
1
1
0
1
1
38
38
38
0
38
35
Information Technogy
6000
Admin
6010
1
1
1
0
1
0.5
Information Systems
6020
3
3
3
0
3
3
GIS
6030
2
2
2
0
2
1
SCADA
6040
2
2
2
0
2
2
8
8
8
0
8
6.5
Human Resources
7000
Admin
7010
2
2
2
0
2
2
Risk Management
7020
1
1
1
0
1
1
Safety
7030
1
1
1
-1
0
0
4
4
4
-1
3
3
Totals
83
84
84
-2
82
75
Positions Filled
72
74
Positions Vacant
11
10
Totals
83
84
CIP Projects (Board- Approved & Proposed)
Projects FY 2009 -10 FY 2010 -11 FY 2011 -12 FY 2012 -13
Highland Reservoir $
New Well 20 $
Wells 1,5,12 Upgrade $
OC -51 Upgrade $
Fairmont BPS Pump Retrofit
Zone Reconfig. Pipelines $
San Antonio FRS Upgrades $
Hidden Hills Reservoir $
Fire Flow Impvmts Via Sereno & Ohio $
Lakeview Sewer Lift Sta Upgrade $
Anaheim Interties $
Lakeview Fencing & Landscaping $
GIS Implementation $
Fairmont Site Improvements $
Foxtail Pipeline $
Elk Mtn. Reservoir Site Impvmts.
Palm Ave BPS Replacement $
Zone 5 BPS $
2007 -12 Program SUBTOTAL $
Plumosa Site Redevelop. Study $
Asset Management Plan $
Sewer Master Plan $
CMMS Implementation $
Zone Interconnect Stub -ups (3) $
Corrosion Monitoring Program $
Valley View Pipeline Replacement $
Blair Drive Pipeline Replacement $
Highland Pipeline Replacement $
Plumosa Water Line Relining $
Bastanchury Pipeline Replacement $
Vista del Verde Valve Replacement $
Highland BPS Replacement $
Mixing /Re -Chlor Facil at 2 Res Sites
Non -Pot Water Facil for Irrig Use
West Wellfield $
Proposed New Projects SUBTOTAL $
COMBINED TOTAL $
Total
3,952,000
$ 1,224,000
$
5,176,000
590,000
$ 1,025,000
$
1,615,000
190,000
50,000
$
190,000
100,000
50,000
$
100,000
$ 400,000
$
400,000
1,300,000
$ -
$
1,300,000
270,000
$
$
270,000
5,500,000
$ -
$
5,500,000
25,000
$ 100,000
$
125,000
220,000
$
$
220,000
150,000
$
150,000
210,000
$
210,000
100,000
120,000
$
100,000
300,000
120,000
$
300,000
50,000
$ 195,000
$
245,000
$ 300,000
$
300,000
540,000
$ 2,160,000 $ 2,700,000
$
5,400,000
270,000
$ 270,000 $ 540,000
$
1,080,000
13,767,000
$ 5,674,000
$ 3,240,000
$
22,681,000
New Projects Proposed
for CIP
50,000
$
50,000
120,000
$
120,000
350,000
$
350,000
200,000
$
200,000
120,000
$
120,000
20,000
$
20,000
120,000
$
120,000
50,000
$
50,000
120,000
$
120,000
110,000
$
110,000
1,300,000
$
1,300,000
500,000
$ 500,000
$
1,000,000
1,000,000
$ 6,500,000
$
7,500,000
$ 100,000
$
100,000
$ 900,000
$ 900,000
$
1,800,000
500,000
$ 2,500,000
$ 3,000,000 $
3,000,000 $
9,000,000
4,560,000
$ 10,500,000
$ 3,900,000 $
3,000,000 $
21,960,000
18,327,000
$ 16,174,000
$ 7,140,000 $
3,000,000 $
44,641,000
Vehicles and Capital Equipment Budget
FY 2009/10
Board of Directors
None
Administration Department
None
Engineering Department
Planning & Design
Ford Ranger Truck
Total Vehicle & Capital Equipment - Engineering Department:
$18,000
111
Finance Department
Accounting
Warehouse Roof Ventilation 17,000
Customer Service /Billing
Mail Extractor /Opener 20,000
Meter Reading
Radio Read Hand -Held Device 6,300
Total Vehicle & Capital Equipment - Finance Department: $43,300
Human Resources Department
None
IT Department
Is
E -Mail Message Archiver 6,000
Standard Register check processing & Imaging system 30,000
Solar Winds Orion or other Monitoring Tool 9,200
Cogsdale Financials & UB (completion of project) 150,000
WIN Can software for sewer camera and equipment 6,000
Hydraulic Water Model Software & Labor (Infowater Basic) 30,000
SCADA
Servers - replace two oldest servers (6 yrs old) 15,000
Total Vehicle & Capital Equipment - IT Department: $246,200
Vehicles and Capital Equipment Budget
FY 2009/10
Operations Department
Water Operation & Maintenance
Water Leak Detection Equipment
1 Ton Utility Truck
1/2 Ton Pickup Truck
Sewer Operation & Maintenance
Sewer Root Cutter
Water Production
Chlorine Generating System: Well 11 & 15
High Lift Fire Pump
Mechanical Services
Portable Emissions Analyzer
Total Vehicle & Capital Equipment - Operations Department: $321,000
Total Vehicle & Capital Equipment (All Departments): $628,500
22,000
63,000
18,000
• 111
11 111
11 111
12,000
Water Rates Comparison Chart
(Based on Water Usage and 5/8 in Meter)
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
Flat
Charge
5/8 in
Agencv
-
Anaheim
$5
Garden Grove
$5
Brea
$6
Santa Margarita W.D.
$6
Mesa Consolidated W.D.
$8
Moulton Niguel W.D.
$8
YLWD
$8
City of Orange
$9
La Habra
$9
El Toro W.D.
$10
City of Tustin
$11
Golden State Wtr Co.
$13
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
20
Units(')
5/8 in
Agencv
-
City of Orange
$27
Moulton Niguel W.D.
$29
City of Tustin
$29
Anaheim
$40
YLW D
$44
El Toro W.D.
$45
Santa Margarita W.D.
$46
Garden Grove
$49
Brea
$52
Golden State Wtr Co.
$57
Mesa Consolidated W.D.
$58
La Habra
$61
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
100
Units(')
5/8 in
Agencv
-
City of Orange
$148
Moulton Niguel W.D.
$159
City of Tustin
$168
Anaheim
$182
El Toro W.D.
$187
YLWD
$187
Garden Grove
$230
Golden State Wtr Co.
$254
Brea
$257
Mesa Consolidated W.D.
$258
La Habra
$270
Santa Margarita W.D.
$315
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
10
Units(')
5/8 in
Agency
-
City of Tustin
$16
Moulton Niguel W.D.
$18
City of Orange
$18
Anaheim
$23
Santa Margarita W.D.
$25
YLWD
$26
Brea
$27
Garden Grove
$27
El Toro W.D.
$28
Mesa Consolidated W.D.
$33
Golden State Wtr Co.
$34
La Habra
$35
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
80
Units(')
5/8 in
Agencv
City of Orange
$116
Moulton Niguel W.D.
$125
City of Tustin
$131
Anaheim
$147
YLWD
$152
El Toro W.D.
$166
Garden Grove
$185
Golden State Wtr Co.
$205
Brea
$205
Mesa Consolidated W.D.
$208
La Habra
$218
Santa Margarita W.D.
$240
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
200
Units(')
5/8 in
Agencv
La Habra
$226
City of Orange
$308
Moulton Niguel W.D.
$329
Anaheim
$359
City of Tustin
$363
El Toro W.D.
$364
YLWD
$366
Garden Grove
$458
Golden State Wtr Co.
$501
Mesa Consolidated W.D.
$508
Brea
$513
Santa Margarita W.D.
$692
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
Water Rates Comparison Chart
(Based on Water Usage and 1 in Meter)
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
Flat
Charge
1 in
Agencv
Brea
$6
Anaheim
$7
Santa Margarita W.D.
$8
Moulton Niguel W.D.
$8
YLWD
$8
La Habra
$13
Garden Grove
$17
Mesa Consolidated W.D.
$19
El Toro W.D.
$19
City of Orange
$25
City of Tustin
$28
Golden State Wtr Co.
$31
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
20
Units(i)
1 in
Agencv
Moulton Niguel W.D.
$29
Anaheim
$42
City of Orange
$43
YLWD
$44
City of Tustin
$46
Santa Margarita W.D.
$47
Brea
$52
El Toro W.D.
$54
Garden Grove
$61
La Habra
$65
Mesa Consolidated W.D.
$69
Golden State Wtr Co.
$75
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
100
Units(i)
1 in
Agencv
Moulton Niguel W.D.
$159
City of Orange
$165
City of Tustin
$184
Anaheim
$184
YLWD
$187
El Toro W.D.
$196
Garden Grove
$242
Brea
$257
Mesa Consolidated W.D.
$269
Golden State Wtr Co.
$273
La Habra
$274
Santa Margarita W.D.
$317
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
10
Units(i)
1 in
Agencv
Moulton Niguel W.D.
$18
Anaheim
$24
YLWD
$26
Santa Margarita W.D.
$27
Brea
$27
City of Tustin
$33
City of Orange
$34
El Toro W.D.
$37
Garden Grove
$39
La Habra
$39
Mesa Consolidated W.D.
$44
Golden State Wtr Co.
$53
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
80
Units(i)
1 in
Agencv
Moulton Niguel W.D.
$125
City of Orange
$133
City of Tustin
$148
Anaheim
$148
YLWD
$152
El Toro W.D.
$176
Garden Grove
$196
Brea
$205
Mesa Consolidated W.D.
$219
La Habra
$222
Golden State Wtr Co.
$224
Santa Margarita W.D.
$242
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
200
Units(i)
1 in
Agencv
La Habra
$230
City of Orange
$324
Moulton Niguel W.D.
$329
Anaheim
$361
YLWD
$366
City of Tustin
$368
El Toro W.D.
$373
Garden Grove
$470
Brea
$513
Mesa Consolidated W.D.
$519
Golden State Wtr Co.
$520
Santa Margarita W.D.
$694
(1) Includes both the flat charge and the consumption charge to reflect a total water bill
Water Supply Surcharges
Demands
Cons %
Surcharge
Additional $
21,844
22,081
8
7
$0.00
$105,919.31
$105,919.31
BEA Surcharge
22,318
6
$285,002.65
$179,083.34
j ($5011AF)
22,556
5
$546,387.95
$261,385.29
9,721,904
22,793
4
$807,773.24
$261,385.29
22,556
23,031
3
$1,069,158.53
$261,385.29
MWD Surcharge
23,268
2
$1,330,543.82
$261,385.29
1 ($1,1881AF)
23,506
1
$1,591,929.11
$261,385.29
100,321.77
23,743
0
$1,853,314.41
$261,385.29
$
23,980
-1
$2,117,236.92
$263,922.51
10,239,026
24,218
-2
$2,655,162.15
$537,925.24
23,743
24,455
-3
$3,193,087.39
$537,925.24
MWD Surcharge
24,693
-4
$3,731,012.62
$537,925.24
2
24,930
-5
$4,268,937.86
$537,925.24
($2,3T61AF}
25,168
-6
$4,806,863.09
$537,925.24
$
25,405
-7
$5,344,788.33
$537,925.24
10,756,149
25,642
-8
$5,882,713.56
$537,925.24
24,930
Revenue Base with
Demands
B.U.'s
Per Penny
5% Loss
21,844
9,515,055
$
95,150.55
$
90,393.02
22,081
9,618,479
$
96,184.79
$
91,375.55
22,318
9,721,904
$
97,219.04
$
92,358.09
22,556
9,825,328
$
98,253.28
$
93,340.62
22,793
9,928,753
$
99,287.53
$
94,323.15
23,031
10,032,177
$
100,321.77
$
95,305.68
23,268
10,135,602
$
101,356.02
$
96,288.22
23,506
10,239,026
$
102,390.26
$
97,270.75
23,743
10,342,451
$
103,424.51
$
98,253.28
23,980
10,445,875
$
104,458.75
$
99,235.82
24,218
10,549,300
$
105,493.00
$
100,218.35
24,455
10,652,724
$
106,527.24
$
101,200.88
24,693
10,756,149
$
107,561.49
$
102,183.41
24,930
10,859,573
$
108,595.73
$
103,165.95
25,168
10,962,998
$
109,629.98
$
104,148.48
25,405
11,066,422
$
110,664.22
$
105,131.01
25,642
11,169,847
$
111,698.47
$
106,113.55
FISCAL YEAR 2009/10
PROPOSED BUDGET
JUNE 21 2009
`► Yorba Linda Water District
....................
Budget Primary Factors
• Water Cost increases
• Power Cost increases
• Water Conservation
• Property Tax Revenue Uncertainty
FY 2008/09 Budget & Forecast
■ $ 2.1 million (Water conservation)
14% less budgeted than current FY 2oo8 /og
■ $ 400,000 (Annexation fund transfers)
Previously pledge for capital projects
One time transfer to water Operating fund
recommended ($4.9 million)
■ $ 100,000 (Property tax revenue)
State may borrow 8% from local agencies and
maybe more from enterprise districts —
Proposition ZA failure
Current
Actual
Budget
(Thru Mar /09)
Forecast
FY 2008/09
FY 2008/09
FY 2008/09
Water Sales Revenue
17,079,300
15,568,665
20,758,217
Sewer Services Revenue
1,246,550
935,588
1,278,034
Property Tax Revenue
1,266,150
786,677
1,200,000
Other Revenue
1,177,900
1,055.715
1,322,395
All Sources of Outlay (Water & Sewer)
Supplies & Services
4,104,433
2,547,612
3,423,862
Variable Water Costs
11,156,500
7,908,302
10,544,403
Salary & Benefits
8,112,968
5,255,412
7,007,216
(Bond Proceeds & Developer Labor)
(300,000)
Temporary /Contract Labor
7,740
148,044
194,000
Depreciation
4,240,700
3,028,147
4,037,530
Interest on Long Term Debt
0
1,558,297
2,077,729
Debt Obligations (Principal)
215,000
570,000
570,000
Vehicles & Equipment
481,000
300,575
450,575
Other
31.000
285.422
405.754
Total Outlay.
28,349,341
21,601,811
28,411,069
Income less Outlay
(7,579,441)
(3,255,166)
(3,852,423)
Revenues
(Reduction
Factors)
■ $ 2.1 million (Water conservation)
14% less budgeted than current FY 2oo8 /og
■ $ 400,000 (Annexation fund transfers)
Previously pledge for capital projects
One time transfer to water Operating fund
recommended ($4.9 million)
■ $ 100,000 (Property tax revenue)
State may borrow 8% from local agencies and
maybe more from enterprise districts —
Proposition ZA failure
Expenses (Key Factors)
• $ 2.1 million (Variable water costs)
Increased power costs
Increased import water costs to MWDOC
Increased recharge rate paid to OCWD
Reduction of BPP from 69% to 62%
• $ 85o,000 (Supplies & Services)
Maintenance & materials
Professional consultants
o Contractual services
■ $ 500,000 (Depreciation)
Based on anticipated project closings
Salaries & Benefits
■ $ 200,000
• Senior Project Manager (3 yr limited term)
• Merit increases for qualifying staff
• Minor increases from Pers, health, dental & vision
■ No Cost of Living adjustments for FY 2009/10
• Deletion of 2 vacant positions
(84 to 82 authorized positions)
• Senior Project Engineer
• Safety &Training Officer
• Fund 75 positions for FY 2009/10
Total
Expenses
&
Outlay
Vehicles & Equipment
Z' /.\
Other Expense
0'k
Long Term Debt
9%
Depreciation
14%
Variable Water Costs
39%
Variable Water Costs
($12.6 million)
Import Water
67%
$8,478,400
Variable Water Cost Increases
CIP and R &R Projects (Approved)
Projects
FY 2009 -10
FY 2010 -11
FY 2011 -12 FY 2012 -13
Total
Highland Reservoir
3,952,000
1,224,000
5,176,000
New Well 20
590,000
1,025,000
1,615,000
Wells 1,5,12 Upgrade
190,000
190,000
OC -51 Upgrade
100,000
100,000
Fairmont BPS Pump Retrofit
400,000
400,000
Zone Reconfig. Pipelines
1,300,000
1,300,000
San Antonio PRS Upgrades
270,000
270,000
Hidden Hills Reservoir
5,500,000
5,500,000
Fire Flow Impvmts Via Sereno & Ohio
25,000
100,000
125,000
Lakeview Sewer Lift Sta Upgrade
220,000
220,000
Anaheim Interties
150,000
150,000
Lakeview Fencing & Landscaping
210,000
210,000
GIS Implementation
100,000
100,000
Fairmont Site Improvements
300,000
300,000
Foxtail Pipeline
50,000
195,000
245,000
Elk Mtn. Reservoir Site Impvmts.
300,000
300,000
Palm Ave BPS Replacement
540,000
2,160,000
2,700,000
5,400,000
Zone 5 BPS
270,000
270,000
540,000
1,080,000
2007 -12 Program SUBTOTAL
$13,767,000
$ 5,674,000
$ 3,240,000
$ 22,681,000
CIP and R &R Projects (Proposed)
Projects
FY 2009 -10
FY 2010 -11
FY 2011 -12 FY 2012 -13
Total
Plumose Site Redevelop. Study
50,000
17,000
Mail Extractor /Opener
50,000
Asset Management Plan
120,000
IT Department
120,000
Sewer Master Plan
350,000
30,000
Solar Winds Orion or other Monitoring Tool
350,000
CMMS Implementation
200,000
WIN Can software for sewer camera and equipment
6,000
200,000
Zone Interconnect Stub -ups
120,000
15,000
Operations Department
120,000
Corrosion Monitoring Program
20,000
1 Ton Utility Truck
63,000
20,000
Valley View Pipeline Replacement
120,000
6,000
Chlorine Generating System: Well 11 & 15
120,000
Blair Drive Pipeline Replacement
50,000
Portable Emissions Analyzer
12,000
50,000
Highland Pipeline Replacement
120,000
120,000
Plumosa Water Line Relining
110,000
110,000
Bastanchury Pipeline Replacement
1,300,000
1,300,000
Vista del Verde Valve Replacement
500,000
500,000
1,000,000
Highland BPS Replacement
1,000,000
6,500,000
7,500,000
Mixing /Re -Chlor Facil at 2 Res Sites
100,000
100,000
Non -Pot Water Facil for Irrig Use
900,000
900,000
1,800,000
WestWellfield
500,000
2,500,000
3,000,000 3,000,000
9,000,000
Proposed New Projects SUBTOTAL
$ 4,560,000
$10,500,000
$ 3,900,000 $ 3,000,000
$ 21,960,000
COMBINED TOTAL
$18,327,000
$16,174,000
$ 7,140,000 $ 3,000,000
$ 44,641,000
Vehicles & Capital Equipment
Engineering Department
Ford Ranger Truck
18,000
Finance Department
Warehouse Roof Ventilation
17,000
Mail Extractor /Opener
20,000
Radio Read Hand -Held Device
6,300
IT Department
E -Mail Message Archiver
6,000
Standard Register check processing & Imaging system
30,000
Solar Winds Orion or other Monitoring Tool
9,200
Cogsdale Financials & UB (completion of project)
150,000
WIN Can software for sewer camera and equipment
6,000
Hydraulic Water Model Software & Labor (Infowater Basic)
30,000
Servers - replace two oldest servers (6 yrs old)
15,000
Operations Department
Water Leak Detection Equipment
22,000
1 Ton Utility Truck
63,000
1/2 Ton Pickup Truck
18,000
Sewer Root Cutter
6,000
Chlorine Generating System: Well 11 & 15
100,000
High Lift Fire Pump
100,000
Portable Emissions Analyzer
12,000
Total Vehicle & Capital Equipment (Ali Departments): $628,500
FY 2009/10 Proposed
Budget
4,315,084
(Existing rate structure)
10,544,403
12,612,700
Salary & Benefits
Forecast
Budget
(Bond Proceeds & Developer Labor Reimbursement)
FY 2008/09
FY 2009/10
Water Sales Revenue
20,758,217
18,723,793
Sewer Services Revenue
1,278,034
1,276,000
Property Tax Revenue
1,200,000
1,104,000
Other Revenue
1,322,395
896,000
All Sources of Outlay (Water & Sewer)
Supplies & Services
3,423,862
4,315,084
Variable Water Costs
10,544,403
12,612,700
Salary & Benefits
7,007,216
7,195,662
(Bond Proceeds & Developer Labor Reimbursement)
(300,000)
(300,000)
Temporary /Contract Labor
194,000
154,500
Depreciation
4,037,530
4,540,800
Interest on Long Term Debt
2,077,729
1,981,300
Debt Obligations (Principal)
570,000
825,000
Vehicles & Equipment
450,575
628,500
Other
405,754
201,800
Total Outlay:
28,411,069
32,155,346
Income less Outlay
(3,852,423)
(10,155,553)
Fund
Balances
(Cash)
Forecasted Additions
Budget
Balance (Deductions)
Balances
As of 6402009 FY 2009/10
As of 6/30/2010
Funding Sources
Fund Category
Water (Operating):
Operating Fund
(Non - Restricted)
(4,912,197) (5,614,753)
(10,526,950)
Water (Capital):
Annexation Fund
(Restricted for capital)
9,265,000 100,000
9,365,000
(Recommendation)
Water R &R
(Restricted for Reserves)
2,050,000 10,000
2,060,000
(Recommendation)
Water - Capital Projects
(Restricted for capital)
149,500 (149,500)
0
COP Bond 2008
(Restricted for capital)
17,590,000 (13,767,000)
3,823,000
tot
(Restricted for capital)
4,543,455 20,000
4,563,455
ID2
(Restricted for capital)
9,720,000 (3,869,850)
5,850,150
Sewer (Operating):
Operating Fund
(Non - Restricted)
1,684,045 132,973
1,817,018
Sewer (Capital):
Sewer R&R
(Restricted for capital)
351,800 (351,800)
0
(Recommendation)
Sewer Capital Projects
(Restricted for capital)
188,850 (188,850)
0
(Recommendation)
Total of Funds
$40,630,453 ($23,678,780)
$16,951,673
Reserve Funds
Staff Recommendations
• Zero Water Operating Fund (July 1/2009)
Reduce Annexation Fund by $4.9 million
• (new bal = $4.4 million)
• Restrict Water R &R Fund for emergency
reserves ($2.1 million)
• Restrict for Capital Projects
• Annexation Fund
• Sewer R &R
• Sewer Capital Projects
Rate Options
• Option i
Full rate increase (Sept 1/2009) - $10,155,553
Pass through and water & sewer overhead expenses
Prop 218 hearing required
• Option 2
Pass Through Water Rate Increase (July1 /2009)— $2,123,208
Does not include power costs
Prop 218 hearing not required — est. by pass through policy
Overhead Expenses Rate Increase (Sept 1/2009) — $8,032,345
$7,570,268 = Water
$462,077 = Sewer
Prop 218 hearing required
• Option 3
Pass Through Water Rate Increase (July 1/2009) — $2,123,208
Overhead Expenses Conservation Rate Implementation (Jan 1/2010) — $8,032,345
Questions & Discussion
AGENDA REPORT
Meeting Date: June 2, 2009
ITEM NO. 7.1
Subject: MWD Community Leaders' Breakfast Briefing - June 19, 2009
STAFF RECOMMENDATION:
Authorize Directors and such staff members of the District as approved by the General Manager to
attend the listed conferences and seminars.
ATTACHMENTS:
Description:
061909 Community Leaders Briefingpdf Correspondence
THE METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA
May 28, 2009
Yorba Linda Water District
P.O. Box 309
Yorba Linda, CA 92885 -0309
MAY 2 9 2009
YORGAL!NUAt;.f °:r- is!,
Please join State Senator Bob Huff and me on Friday, June 19, for an informative "Community
Leaders' Breakfast Briefing" to discuss important water issues affecting our state and focal communities.
California is facing a water crisis. Now more than ever, California businesses, community leaders and
elected officials must work together to solve critically important water issues -- including quality, supply,
infrastructure and environmental concerns. Solutions to these and other important resource challenges
will greatly affect current and future California generations.
At this briefing, we will talk about our region's limited water reserves and the worsening environmental
conditions and regulatory challenges that have restricted the supplies we receive from California's
Sacramento -San Joaquin Delta. We will also discuss how these issues impact residents and businesses
and the steps Metropolitan is taking to improve water supply reliability for the region.
A hosted breakfast will be served promptly at 7:30 a.m.
Date: Friday, June 19, 2009
Time: 7:30 a. n. — 9:00 a.m.
Location: Diamond Bar Golf Course - 22751 Golden Springs Dr., Diamond Bar
(adjacent to the intersection of the 57 and 50 freeways)
As we move into the high water demand summer season, we welcome your attention to this important matter.
Space is limited so please RSVP by Monday, June 8, to Jami Decker at.'decker@,mwdh2o.con1 or by calling
(800) 430 -1391.
I look forward to seeing you there.
Sincerely,
Jeffrey Kightlinger
General Manager