Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
Agenda Packet - EVWD Board of Directors - 03/04/2009
East Valley Water District SPECIAL MEETING MARCH 4, 2009 3:00 PM EAST VALLEY WATER DISTRICT 3654 HIGHLAND AVE #12, HIGHLAND, CA. AGENDA CALL TO ORDER PLEDGE OF= ALLEGIANCE 1. Public Comments 2. Discussion and possible action regarding the District's Capital Improvement Plan. 3. ADJOURN ------------------------------------------------------------------- Pursuant to Government Code Section 54954.2(a), any request for a disability- related modification or accommodation, including auxiliary aids or services, that is sought in order to participate in the above - agendized public meeting should be directed to the District's Administrative Manager at (909) 885 -4900 prior to said meeting. 1 -------- -- - - -- b i Oil I�.� Y � I'll , am � i �io M BacKgroun t '. Plt�pansion ='�P ant adds rtions / upgrades lj.or (mut .yer)_pant replacement Total projects in CIP at July 1, 2007 - $126,343,792 " Adopted for 2008 -09 - $18,671,192 Approved for 2009 -10 - $42,353,000 Reserves Capital Improvement Reserve Wrack various funding sources including contributions from operations, debt proceeds, grants, developer fees, transfers from other reserves ® Ensure sufficient funds available before project is adopted in current year capital budget Ba c k,,�g ro u n Reserves ���4 �� tiwi ,i r�� „F �. °��, a� ace, , gent Reserve Fund ado oted replacements 1� w q # #Onent: replacements Min'op�ablic?vorks projects ._� Sa eking Fwd 9-9IQ]sw &An "uffinding:level equal to depreciation expense Operating.. Reserve • Working capital • Target funding level — 6 months (180 days) of operating expenses Rates Study 10 Year model developed for EVWD during Utility Rate Study. Model tracks: Operating expenses adjusted annually for inflation Required or recommended contributions to Capital Reserves ® Operating reserve level Binning balances consistent thrown all models —July 1, 2008 C�pitalImprovement vi "c api �;ZtS °25,99 al.A.,I, lacement Tate $ 374,000 Future rate increases will be timed to become effective July 1 st MOde] 1 - Current Implerrrentation Plan . Assumptons � u ��iin al���i��ll �l4 °V rtlryi r i �''`1 ��`'' °1'��,j�VC%1_YV� "l ren�an on current timelines and budgets Debt ss.Ues ?U9.3une i- July_,to fund plant 134, HQ and otl -istedprojects .issue to fund plant 150 Capital Improvement Reserve fully funded Capital Replacement Reserve fully funded 10% to 40% rate increases for 1 to 3 years, both water and sewer Advantages Fully funded Capital Reserves allow greatest flexibility in project prioritization Plant 134 improvements required by October 2012 easily met -- Operating Reserve target of (6 months of operating expenses) met within 9 years Model 1 Current Implerrrentation Plan artages Constituent :oncems about rates & H project - Qp J La Ca I �'� �� arkets will still be tight and pricing less comp etlt Me when 2009 COP Issue goes to market Insufficient.timeL to consider and pursue alternate funding options Y Assumptions Projects remain on schedule with exception that Plant 150 & HQ schedules exchanged - Debt Issues 2009 issue in June / July to fund plants 134 / 150 and pipeline projects ® 2011 or later issue to fund HQ Capital Improvement Reserve — contribution from operations fully funded Capital Replacements Reserve — contribution from operations eliminated years 2 and 3, phased in beginning yr 4 7% to 12% rate increases for years 2 through 6 Rate increases of 5% in year 7 and thereafter 1�!Icrdel Z — Project Reprioritization & Phased"I'Reserve, Funding „ c�tages jl L . y a Plant l3 deadline met and Perchlorate issue add s sobner'that in Model 1 .Delay 1n W#oject- addresses constituent concerns Disadvantages - Constituent concerns about rates Most expensive form of financing still utilized as in Model 1 Deferred and reduced funding for Capital Replacement Reserve could result in heavier reliance on debt if need for additional plant replacement is identified M o,,%de13 — Projects &COP Issue Delayer 12 Months Assumptions _. Plant pxo `eccts...put on hold except for critical path itemS_1 � laht 13 4. and 15 0 _ GIS,_ and F Wr__and Main Replacements funded at .71Ow.er - levels. Debt issues * 2010 issue in June / July to fund Plants 134 / 150 and pipeline projects ® 2015 issue in June / July to fund HQ Assumptions (Continued) Capital Improvement Reserve — contribution from operations reduced to between $2 million and $2.5 million annually Capital Replacement Reserve — contribution from operations eliminated for years 2 and 3 No rate increase in 2009 -10 (year 2) 6% to 9% rate increases in Years 3 through 7; 5% increases annually thereafter lodel 3, — Projects &COP Issue Delayed ,. 1.2 Months - qp- g e� r"al �-V Allows, ti eto pursue. alternate funding sources for P 1.134 and 150 Allows time formulate and implement -- ----- , - - - public relatio cationca aign -s pa n debt is minimized as debt i 4. M. service on new issues is timed to coincide with retirement of 1996 CON and $700K decrease in annual debt service on 2001 COPS Disadvantages October 2012 deadline for meeting Stage 2 DBP Rule at Plant 134 may become a concern Deferred and reduced funding to Capital Replacement and Capital Improvement Reserves will allow less flexibility in capital planning Model 4 — Projects & COP Issue Delayed 12 Mo, s.,, Alternate Funding Utilized tions e0n, t, Plant p 0j r t on hold except for critical path an ltemsl�-, Plant 1,34 and 150 GIS and�_M-- tbr:, and Main Replacements funded at -Aower- I-ev els, * Decreased 2010 issue in June / July to fund Plants 150 and pipeline projects ® 3% loan funds Plant 134, payments commence on project completion in 2012 Assumptions -_ Capital Improvement Reserve - contributions reduced to between $2 million and $2.5 million annually _ Capital Replacement Reserve - contributions eliminated in years 2 and 3, phased in thereafter No rate increase in 2009 -10 year 5% to 7% rate increases in Years 3 through 10 oc el 4 — Projects & COP Issue Delayed 12 Mo '! hs,,, Alternate Funding Utilized Allows time to formulate and implement ,icwrelatonsc -anion _campaign 'Smaller and deferred 2010 CHOP (no HQ or Plant 134 projects) issue should yield cost advantages in capital markets 4 ._T el ue e yea AL 1.8 %X �LAL RL,.&K ky . ` te a, . Disadvantages Mrs Headquarters project delayed indefinitely Deferred and reduced funding to Capital Replacement Reserve may necessitate future borrowing (or, force policy that expansion projects will only be funded when Developer Fees are available) Questions East Valley WD Water Utility Revenue Requirements - 1 Description FY 200812009 FY 200912010 FY 20in /2011 °Y 2011/20/2 FY 2012/20/3 - 2013(2014 6Y 201412015 FY 205/20/6 FY 20'.6;2017 FY 2017;2018 2 Operating Revenue 3 Domestic Sales And Service Tolls S 14,105,840 $ 14,027,400 S 14.027,400 $ 14,027,400 $ 14,027,400 $ 14,027,400 $ 14,027,400 $ 14.027 400 $ 14,027,400 $ 14,027,400 4 Total Operating Revenue 14,105,840 14,027,400 14,021400 14,027,400 14,027,400 14,027,400 14,027,400 14,027 400 14,027,400 14,027,400 5 Additional Revenue Required: Months 6 Year Revenue Increase Effective 7 FY 2008/2009 12.50% 7 1,028,551 1,753,425 1,753,425 1,753,425 1,753.425 1,753,425 1,753,425 1,753,425 1,753,425 1753,425 Y 200 %2019 - 3.629,596 3,629,591, 3,629,590 3,629,59 0 3,6629,590 3,629,590 3.629,590 3,629,590 3,629,5960 9 FY 2010/2011 12.00% 12 - - 2,329,250 2,329,250 2,329,250 2329,250 2,329,250 2,329,250 2,329,250 2,329,250 10 FY 2011/2012 7.00% 12 - - - 1,521,777 1,521,777 1,521,777 1,521,777 1,521,777 1,521,777 1,521,777 11 FY 2012/2013 3.00% 12 - - - _ 697,843 697,843 697,843 697,843 697,843 697,843 12 FY 2013/2014 3.00% 12 - 718,779 718,779 718,779 718,779 718,779 13 FY 2014/2015 3.00% 12 - "'-= " "" "_ "' _ - - 740,342 740,342 740,342 740,342 14 FY 2015/2016 3.00% 12 - - - - - - 762,552 762,552 762,552 Y 20 6;20 - _ _ - - 785,429 785,429 16 FY 201712018 3.00% 12 808,992 17 Total Additional Operating Revenue 1,028,551 5,383,015 7,712,255 9,234,041 9,931,884 10,650,663 11,391,005 12,153,557 12,938,986 13,747,977 18 Total Required Revenue $ 15,134,391 $ 19,410,415 $ 21,739,665 $ 23,261,441 It 23,959,284 $ 24,678,063 $ 25,418,405 $ 26,180,957 $ 26,966,386 $ 27,775,377 19 Applications of Funds 20 Operating Costs' 21 Source Of Supply 550,500 567,015 584,025 601,546 619,593 638,180 657,326 677,046 697,357 718,278 22 Pumping 3,228,890 3,325,664 3,425,434 3,528,197 3.634,043 3,743,064 3,855,356 3,971,017 4,090,147 4,212,852 23 Water Treatment 1,516,800 1,562,304 1,609,173 1,657,448 1,707,172 1,758,387 1,811,139 1,865,473 1,921,437 1,979,080 24 Transmission &Dislriubution 1,395,700 1,437,571 1,480,698 1,525,119 1,570,873 1,617,999 1,666,539 1,716,535 1,768,031 1,821,072 25 Customer Accounts 572,500 589,675 607,365 625,586 644,354 663.664 683,595 704,103 725,226 746,983 26 Telemetry 27 General &Administrative 3,662,200 3,772,066 3,885,228 4,001.785 4,121,838 4,245,494 4,372,858 4,504,044 4,639,165 4,778,340 28 Total Operating Expenses 10,926,500 11,254,295 11,591,924 11,939,682 12,297,872 12,666,808 13,046,812 13,438,217 13,841,363 14,256,604 29 Net Operating Income (Loss) 4,207,891 8,156,120 10,147,741 11,321,759 11,661,412 12,011,255 12,371,592 12,742,740 13,125,022 13,518,773 30 Debt Service 31 2001 COP 1,037,810 1,036,572 1,038,953 1,010,485 1,005,658 1,003,380 1,008,330 302,348 3131,658 300,288 32 1996 Refunding COP 623,447 631,605 33 2004 Project Installment Sale Note 510,452 510,451 510,451 510,451 510,452 510,451 510,452 510,451 510,451 510,451 34 Construction Loan 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 35 2006 Project Installment Sale Note 476,024 476,025 476,024 476,024 476,025 476,024 476,024 476,025 476,024 476,025 36 2008 Headquarters, Water, and Wastewater Projects - 2,035,862 2,035,862 2,695,414 2,676,888 2,665,007 2,643,804 2,629,245 2,613,125 2,599,323 37 Proposed Revenue Bonds 1,977,000 1,977,000 1,977,OD0 1,977,000 1,977,000 1,977,000 1,977,000 38 Total Debt Service 2,654,495 4,697,277 4,068,052 6,676,136 6,652,785 6,638,624 6,622,372 5,901,832 5,885,021 5,869,849 39 Debt Coverage Ratio 1.59 1.74 2.49 1.70 1.75 1.81 1.87 2.16 2.23 2.30 40 Non - Operating Revenue 41 Interest Income 102,000 32,109 32,826 48,583 51,182 63,050 84,592 125,265 185,839 258,175 42 Fees, Permits, And Penalties 489,000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 43 Cooperative Agreements - Power 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 44 Grant Funds _ _ _ _ _ 45 Other Income 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 46 Total Non - Operating Revenue 721,000 651,109 651,826 667,583 670,182 682,050 703,592 744,265 804,839 877,175 47 Capital Reserves Funded by Rates 48 CIP Reserve Contribution 2,675,000 3,200,000 3,200,000 3,200,OOD 3,200,000 3,200,000 3,200,000 3,200,000 3,200,000 3,200,000 49 Repair& Replacement Reserve Collection 374.000 2,192,052 2,192,052 2,192,052 2,192,052 2,192,052 2,192,052 2,192,052 2,192,052 2,192,052 50 Total Capital Reserves Funded by Rates 3,049,000 5,392,052 5,392,052 5,392,052 5,392,052 5,392,052 5,392,052 5,392,052 5,392,052 5,392,052 51 Net Income (Loss) (774,604) (1,282,101) 1,339,462 (78,845) 286,757 662,628 1,060,760 2,193,122 2,652,789 3,134,046 52 Transfer from Operating Fund Reserve Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance not met not met not met not met not met not met not met not met 53 Total Funds (774,604) (1,282,101) 1,339,462 (78,845) 286,757 662,628 1,050,760 2,193,122 2,652,789 3,134,046 54 Water Enterprise Fund 55 Beginning Operating Fund Balance 2,700.000 1,925,396 643,295 1,982,757 1,903,911 2,190,668 2,853,297 3,914,057 6,107,178 8,759,967 56 Deposit (Withdrawals) (774,604 (1,282,101) 1,339,462 (78,845) 286,757 662,628 1,060,760 2.193,122 2,652,789 3,134,046 57 Ending Operating Fund Balance $ 1,925,396 $ 6643,295 S 11,982,757 $ 1,903,911 $ 2,190,668 $ 2,853,297 $ 3,914,057 $ 6,107,776 $ 8,759,967 > 11,694,01.4 58 Reserve Target Percent of O &M 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% 59 Targeted Operating Reserve Balance 5,463,250 5,627,148 5,795,962 5,969,841 6,148,936 6,333,404 6,523,406 6,719,108 6,920,682 7,128,302 East Vallev WD Sewer Utilitv Revenue Reauirements Description $ 4,514,839 $ 5,417,807 FY 2008 -2009 FY 2009 -2010 FY 2010 -2011 FY 2011 -2012 FY 2012 -2013 FY 2013 -2014 FY 2014 -2015 FY 2015 -2016 FY 2016 -2017 FY 2017 -2018 Operating Revenue 297,697 306,628 315,827 325,302 335,061 345,113 60,000 61,800 63,654 65,564 67,531 69,556 71,643 Domestic Sales And Service Tolls 76,006 $ 3,199,812 S 3199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 61,494 $ 3,199.812 $ 3,199,812 Total Operating Revenue 84,872 3,199,812 3,199,812 3,199,612 3,199,812 3,1991812 3,199,812 3,199,812 3,199,812 176,027 3,199,812 3,199,812 Additional Revenue Required 198,120 204,064 210,185 216,491 222,986 31,500 32,445 33,418 34,421 35,454 36,517 37,613 38,741 Revenue 41,100 54,400 56,032 57,713 59,444 61,228 63,065 64,956 66,905 68,912 70,980 3,600 Year Increase Months Effective 3,934 4,052 4,173 4,299 4,428 4,560 4,697 2,216,600 2,283,098 2,351,591 2,422,139 FY 2008 -2009 11.10% 7 207,188 355,179 355,179 355,179 355,179 355,179 355,179 355,179 3,398,412 355,179 355,179 FY 2009 -2010 27.00% 12 - 959,848 959,848 959,848 959,848 959,848 959,848 959,848 2,838,276 959,848 959,848 FY 2010 -2011 20.00% 12 - - 902,968 902,968 902,968 902,968 902,968 902,968 778,311 902,968 902,968 FY 2011 -2012 3.00% 12 - - - 162,534 162,534 162,534 162,534 162,534 1,012,300 162,534 162,534 FY 2012 -2013 3.00% 12 - - - - 167,410 167,410 167,410 167,410 4,621 167,410 167,410 FY 2013 -2014 3.00% 12 - - - - - 172,433 172,433 172,433 2,000 172,433 172,433 FY 2014 -2015 3.00% 12 - - - - - - 177,606 177,606 10,000 177,606 177,606 FY 2015 -2016 3.00% 12 - - - - - - - 182,934 300,000 182,934 182,934 FY 2016 -2017 3.00% 12 - - - - - - - 622,778 - 188,422 188,422 FY 2017 -2018 3.00% 12 922,778 922,778 922,778 922,778 922,778 922,778 922,778 (20,096) (251,721) 565,368 194,074 Total Additional Operating Revenue 748,894 207,188 1,315,027 2,217,995 2,380,529 2,547,939 2,720,372 2,897,977 3,080,911 3,269,332 3,463,407 Total Required Revenue Applications of Funds Operating Costs Wastewater Collection Supervision & Labor Facilities Maintenance Materials & Supplies Vehicle Maintenance & Fuel Customer Accounts Supervision & Labor Equipment Expenses Postage Contracted Services Materials & Supplies General & Administrative Total Operating Expenses Net Operating Income (Loss) Debt Service 2004 Headquarters / Infrastructure Project 2009 Headquarters, Water, and Wastewater Projects Total Debt Service Debt Coverage Ratio Non - Operating Revenue Interest Income Grant Funds Fees, Permits, And Penalties Other Income Total Non - Operating Revenue Capital Reserves Funded by Rates CIP Reserve Contribution Repair & Replacement Reserve Collection Total Capital Reserves Funded by Rates Net Income (Loss) Transfer from Operating Fund Reserve Total Funds Sewer Enterprise Fund Beginning Operating Fund Balance Deposit (Withdrawals) Ending Operating Fund Balance Reserve Target Percent of O &M Targeted Operating Reserve Balance $ 3,407,000 $ 4,514,839 $ 5,417,807 $ 5,580,341 $ 5,747,751 $ 5,920,184 $ 6,097,789 $ 6,280,723 $ 6,469,145 $ 6,663,219 264,500 272.435 280,608 289,026 297,697 306,628 315,827 325,302 335,061 345,113 60,000 61,800 63,654 65,564 67,531 69,556 71,643 73,792 76,006 78,286 50,000 51,500 53,045 54,636 56,275 57,964 59,703 61,494 63,339 65,239 80,000 82,400 84,872 87,418 901041 92,742 95,524 98,390 101,342 104,382 170,900 176,027 181,308 186,747 192,349 198,120 204,064 210,185 216,491 222,986 31,500 32,445 33,418 34,421 35,454 36,517 37,613 38,741 39,903 41,100 54,400 56,032 57,713 59,444 61,228 63,065 64,956 66,905 68,912 70,980 3,600 3,708 3,819 3,934 4,052 4,173 4,299 4,428 4,560 4,697 2,216,600 2,283,098 2,351,591 2,422,139 2,494,803 2,569,647 2,646,736 2,726,138 2,807923 2,892,160 2,931,500 3,019,445 3,110,028 3,203,329 3,299,429 3,398,412 3,500,364 3,605,375 3,713,536 3,824,943 475,500 1,495,394 2,307,778 2,377,012 2,448,322 2,521,772 2,597,425 2,675,348 2,755,608 2,838,276 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 587,863 587,863 778,311 772,962 769,531 763,408 759,205 754,550 750,564 253,096 840,959 840,959 1,031,407 1,026,058 1,022,626 1,016,504 1,012,300 1,007,645 1,003,660 1.88 1.78 2.74 230 2.39 2.47 2.56 2.64 2.73 2,83 68,000 4,621 9,326 24,699 39,863 57,826 78,752 102,812 130,148 160,929 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10.000 10,000 80,000 16,621 21,326 36,699 51,863 69,826 90,752 114,812 142,148 172,929 180,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 142.500 622,778 622,778 622,778 622,778 622,778 622,778 622,778 622,778 622,778 322,500 922,778 922,778 922,778 922,778 922,778 922,778 922,778 922,778 922,778 (20,096) (251,721) 565,368 459,526 551,349 646,193 748,894 855,081 967,332 1,084,768 Target balance Target balance Target balance Target balance Target balance not met not met not met not met not met (20,096) (251,721) 565,368 459,526 551,349 646,193 748,894 855,081 967,332 1,084,768 300,000 279,904 28,183 593,551 1,053,077 1,604,426 2,250,619 2,999,513 3,854,594 4,821,927 (20,096) (251,7211 565,368 459,526 551,349 646,193 748,894 855.081 967,332 1,084,768 $ 279,904 $ 28,183 $ 593,551 $ 1,053,077 $ 1,604,426 $ 2,250,619 $ 2,999,513 $ 3,854,594 $ 4,821,927 $ 5,906,694 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% 1,465,750 1,509,723 1,555,014 1,601,665 1,649,715 1,699,206 1,750,182 1,802,688 1,856,768 1,912,471 a East Valley WD Water Utility Revenue Requirements 7 Description FY 2008/2009 FY 2009/2010 FY 201012011 FY 201112012 FY 2012/2013 FY 201312014 FY201412015 Fy20152016 FY 201612017 FY 201712018 2 Operating Revenue 9 FY 2010/2011 10.00% 12 10 FY 2011/2012 10.00% 12 11 FY 201212013 8.00% 12 12 FY 2013/2014 3 Domestic Sales And Service Tolls S 14.105,840 $ 14,105,840 $ 14,105,840 $ 14,105.840 $ 14,105,840 $ 14,105,840 $ 14,105,840 $ .14,105840 $ 14,105,840 $ 14105,840 4 Total Operating Revenue 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 ,14,105,840 14,105,840 14,105,840 5 Additional Revenue Required: 17 Total Additional Operating Revenue 18 Total Required Revenue 19 Applications of Funds' 20 Operating Costs. 21 Source Of Supply 22 Pumping - -- - - -- 23 Water Treatment 24 Transmission &'Distriubution" 25 Customer Accounts 26 Telemetry 27 General & Administrative 28 Total Operating Expenses 29 Net Operating Income (Loss) 30 Debt Service 31 2001 COP 32 7996 Refurutirg COP 33 2004 Project Installme_n_t Sale Note 34 Construction Loan 35 2006 Project Installment Sale Note 36 2009 Water and Wastewater Projects 37 Proposed Revenue Bonds - Headquarters 38 Total Debt Service 39 Debt Coverage Ratio 40 Non -Operating Revenue 41 Interest Income 42 Fees, Permits, And Penalties 43 Cooperative Agreements - Power 44 Grant Funds 45 Other Income 46 Total Non - Operating Revenue 47 Capital Reserves Funded by Rates 48 CIP Reserve Contribution 49 Repair & Replacement Reserve Collection 50 Total Capital Reserves Funded by Rates 51 Net Income (Loss) 52 Transfer from Operating Fund Reserve 53 Total Funds 54 Water Enterprise Fund 55 Months 6 Year Revenue Increase Effective 7 FY 2008/2009 12.50% 7 8 FY 2009/2010 12.0 u,/. 12 9 FY 2010/2011 10.00% 12 10 FY 2011/2012 10.00% 12 11 FY 201212013 8.00% 12 12 FY 2013/2014 5.00% 12 13 FY 2014/2015 5.00% 12 14 FY 2015/2016 5.00% 12 15 FY 2016/2017 5.00% 12 16 FY 2017/2018 5.00% 12 17 Total Additional Operating Revenue 18 Total Required Revenue 19 Applications of Funds' 20 Operating Costs. 21 Source Of Supply 22 Pumping - -- - - -- 23 Water Treatment 24 Transmission &'Distriubution" 25 Customer Accounts 26 Telemetry 27 General & Administrative 28 Total Operating Expenses 29 Net Operating Income (Loss) 30 Debt Service 31 2001 COP 32 7996 Refurutirg COP 33 2004 Project Installme_n_t Sale Note 34 Construction Loan 35 2006 Project Installment Sale Note 36 2009 Water and Wastewater Projects 37 Proposed Revenue Bonds - Headquarters 38 Total Debt Service 39 Debt Coverage Ratio 40 Non -Operating Revenue 41 Interest Income 42 Fees, Permits, And Penalties 43 Cooperative Agreements - Power 44 Grant Funds 45 Other Income 46 Total Non - Operating Revenue 47 Capital Reserves Funded by Rates 48 CIP Reserve Contribution 49 Repair & Replacement Reserve Collection 50 Total Capital Reserves Funded by Rates 51 Net Income (Loss) 52 Transfer from Operating Fund Reserve 53 Total Funds 54 Water Enterprise Fund 55 Beginning Operating Fund Balance 56 Deposit (Withdrawals) 57 Ending Operating Fund Balance 58 Reserve Target Percent of O &M 59 Targeted Operating Reserve Balance 1,028,551 1,763,230 1,763,230 1.763,230 1,763,230 1,763,230 1,763,230 1,763,230 1,763,230 1,763,230 - 1,904,288 1,904,288 1,904,288 1,904,288 1,904,288 1,904,288 1,904,288 1,904,288 1,904,288 - - 1,777,336 1,777,336 1,777,336 1,777,336 1,777,336 1,777,336 1,777,336 1,777,336 - - - 1,955,069 1,955,069 1,955,069 1,955,069 - 1,955,069 1,955,069 1,955,069 - - - - 1,720,461 1,720,461 1,720,461 1,720,461 1,720,461 1,720,461 - - - - - 1,161,311 1.161,311 1,161,311 1,161,311 1,161,311 - - - - - - 1,219,377 ` 1,219,377 1,219,377 1,219,377 - - - - - - - 1,280,346 1,280,346 1,280,346 - - - - - - - - 1,344,363 1,344,363 1,036,572 1,038,953 1,010,485 1,005,658 1,003,380 1,008,330 302,348 301,658 ,411,581 1,028,551 3,667,518 5,444,854 7,399,924 9,120,385 10,281,696 11,501,073 12,781,418 14,125,781 15,537,362 $ 15,134,391 $ 17,773,358 $ 19,550,694 $ 21,505,764 $ 23,226,225 $ 24,387,536 S 25,606,913 $ -26,887,258 $ 28,231,621 $ 29,643,202 550,500 567,015 584,025 601,546 619,593 638,180 657,326 677,046 697,357 718,278 3,228,800 3,325,664 3,425,434 3,528,197 3,634,043 3,743,064 3,855,356 3,971,017 4,090,147 4,212,852 1,516,800 1,562,304 1,609,173 1,657,448 1,707,172 1,758,387 1,811,139 . 1,865,473 1,921,437 1,979,080 1,395,700 1,437,571 1,480,698 1,525,119 1,570,873 1,617,999 1,666,539 1,716,535 1,768,031 1,821,072 572,500 589,675 607,365 625,586 644,354 663,684 683,595 704,103 725,226 746,983 3,662,200 3,772,066 3,885,228 4,001,785 4,121,838 4,245,494 4.372,858 4,504,044 4,639,165 4,778,340 10,926,500 11,254,295 11,591,924 11,939,682 12,297,872 12,666,808 13,046,812 13,438,217 13,841,363 14,256,604 4,207,891 6,519,063 7,958,770 9,566,082 10,928,353 11,720,728 12,560,100 13,449,042 14,390,258 15,386,598 1,037,810 1,036,572 1,038,953 1,010,485 1,005,658 1,003,380 1,008,330 302,348 301,658 300,288 623,447 631,605 510,452 510,451 510,451 510,451 510,452 510,451 510,452 510,451 510,451 510,451 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 476,024 476,025 476,024 476,024 476,025 476,024 476,024 476,025 476,024 476,025 - 2,583,408 2,583,408 3,420,346 3,396,838 3,381,761 3,354,856 3,336,382 3,315,926 3,298,412 1,285,050 1,285,050 1,285,050 1,285,050 1,285,050 1,285,050 1,285,050 2,654,495 5,244,823 4,615,598 6,709,119 6,680,785 6,663,428 6,641,474 5,917,018 5,895,871 5,876,988 1.59 1.24 1.72 1.43 1.64 1.76 1.89 2.27 2.44 2.62 102,000 32,203 26,125 36130 54,038 96,455 157,301 247,216 368,214 513,510 489,000 489.000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 721,000 651,203 645,125 655,130 673,038 715,455 776,301 866,216 987,214 1,132,510 2,675,000 3,200,000 3,200,000 3,200,000 3,200,000 3,200,000 3,200,000 3,200,000 3,200,000 3,200,000 374.000 300,000 300,000 600,000 600,000 900,000 900,000 1,200,000 3,049,000 3,200,000 3,200,000 3,500,000 3,500,000 3,800,000 3,800,000 4,100,000 4,100,000 4,400,000 (774,604) (1,274,557) 788,297 12,093 1,420,606 1,972,755 2,894,928 4,298,240 5,381,601 6,242,121 Target balance Target balance Target balance Target balance Target balance Target balance not met not met not met not met not met not met (774,604) (1,274,557) 788,297 12,093 1,420,606 1,972,755 2,894,928 4,298,240 5,381,601 6,242,121 2,700,000 1,925,396 650,839 1,439,136 1,451,229 2,871,835 4,844,590 7,739,518 12,037,758 17,419,358 (774,604 (1,274,557) 788,297 12,093 1,420,606 1,972,755 2,894,928 4,298,240 5,381,601 6,242,121 $ 1,925,396 $ 658,839 3 1,439,136 $ 1,451,229 $ 2,871,835 $ 4,844,590 $ 7,739,518 $ 12,037,758 $ 17,419,358 $ 23,661,479 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% 5,463,250 5,627,148 5,795,962 5,969,841 6,148,936 6,333,404 6,523,406 6,719,108 6,920,682 7,128,302 a East Vallev WD Sewer Utilitv Revenue Reauirements Description FY 2008 -2009 FY 2009 -2010 FY 2010 -2011 FY 2011 -2012 FY 2012 -2013 FY 2013 -2014 FY 2014 -2015 FY 2015 -2016 FY 2016 -2017 FY2017 -2018 Operating Revenue Wastewater Collection Domestic Sales And Service Tolls $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 Total Operating Revenue 289,026 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 Additional Revenue Required 67,531 69,556 71,643 73,792 76,006 78,286 Materials & Supplies 50,000 51,500 53,045 54,636 Revenue 57,964 59,703 61,494 63,339 65,239 Vehicle Maintenance &Fuel 80,000 82,400 84,872 87,418 90,041 Year Increase Months Effective 98,390 101,342 104,382 Customer Accounts FY 2008 -2009 11.10% 7 207,188 355,179 355,179 355,179 355,179 355,179 355,179 355,179 355,179 355,179 FY 2009 -2010 8.00% 12 - 284,399 284,399 284,399 284,399 284,399 284,399 284,399 284,399 284,399 FY 2010 -2011 8.00% 12 - - 307,151 307,151 307,151 307,151 307,151 307,151 307,151 307,151 FY 2011 -2012 8.00% 12 - - - 331,723 331,723 331,723 331,723 331,723 331,723 331,723 FY 2012 -2013 7.00% 12 - - - - 313,479 313,479 313,479 313,479 313,479 313,479 FY 2013 -2014 7.00% 12 - - - - - 335,422 335,422 335,422 335,422 335,422 FY 2014 -2015 5.00% 12 - - - - - - 256,358 256,358 256,358 256,358 FY 2015 -2016 5.00% 12 - - - - - - - 269,176 269,176 269,176 FY 2016 -2017 5.00% 12 - - - - - - 253,096 - 282,635 282,635 FY 2017 -2018 5.00% 12 253,096 253,096 253,096 253,096 2009 Water, and Wastewater Projects - 40,317 40,317 53,379 296,767 Total Additional Operating Revenue 207,188 639,578 946,730 1,278,453 1,591,932 1,927,354 2,183,712 2,452,888 2,735,523 3,032,290 Total Required Revenue 691,950 $ 3,407,000 $ 3,839,391 $ 4,146,542 $ 4,478,265 $ 4,791,744 $ 5,127,166 $ 5,383,524 $ 5,652,700 $ 5,935,335 $ 6,232,102 Applications of Funds Operating Costs Wastewater Collection Supervision & Labor 264,500 272,435 280,608 289,026 297,697 306,628 315,827 325,302 335,061 345,113 Faalnies Maintenance 60,000 61,800 63,654 65,564 67,531 69,556 71,643 73,792 76,006 78,286 Materials & Supplies 50,000 51,500 53,045 54,636 56,275 57,964 59,703 61,494 63,339 65,239 Vehicle Maintenance &Fuel 80,000 82,400 84,872 87,418 90,041 92,742 95,524 98,390 101,342 104,382 Customer Accounts Supervision & Labor 170,900 176,027 181,308 186,747 192,349 198,120 204,064 210,185 216,491 222,986 Equipment Expenses - - - - - - - - Postage 31,500 32,445 33,418 34,421 35,454 36,517 37,613 38,741 39,903 41,100 Contracted Services 54,400 56,032 57,713 59,444 61,228 63,065 64,956 66,905 68,912 70,980 Materials& Supplies 3,600 3,708 3,819 3,934 4,052 4,173 4,299 4,428 4,560 4,697 General &Administrative 2,216,600 2,283,098 2,351,591 2,422,139 2,494,803 2,569,647 2,646.736 2,726,138 2,807,923 2,892,160 Total Operating Expenses 2,931,500 3,019,445 3,110,028 3,203,329 3,299,429 3,398,412 3,500,364 3,605,375 3,713,536 3,824,943 Net Operating Income (Loss) 475,500 819,946 1,036,514 1,274,936 1,492,315 1,728,754 1,883,160 2,047,325 2,221,799 2,407,160 Debt Service 2004 Headquarters/ Infmslmcture Project 253,096 253.096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 2009 Water, and Wastewater Projects - 40,317 40,317 53,379 53,012 52,777 52,357 52,068 51,749 51,476 Proposed Revenue Bonds - Headquarters 691,950 691,950 691,950 691,950 691,950 691,950 691,950 Total Debt Service 253,096 293,413 293,413 998,424 998,058 997,822 997,403 997,114 996,795 996,521 Debt Coverage Ratio 1.88 2.79 3.53 1.28 1.50 1.73 1.89 2.05 2.23 2.42 Non -Operating Revenue Interest Income 68,000 10,106 19,142 22,077 18,772 17,971 18,941 23,977 33,435 47,695 Grant Funds - - - - - - - - - - Fees, Permits, And Penalties 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 Other Income 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 Total Non - Operating Revenue 80,000 22,106 31,142 34,077 30,772 29,971 30,941 35,977 45,435 59,695 Capital Reserves Funded by Rates CIP Reserve Contribution 180,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 Repair & Replacement Reserve Collection 142,500 250,000 250,000 500,000 500,000 500.000 500,000 500,000 Total Capital Reserves Funded by Rates 322,500 300,000 300,000 550,000 550,000 800,000 800,000 800,000 800,000 800,000 Net Income (Loss) (20,096) 248,638 474,242 (239,411) (24,971) (39,097) 116,698 286,189 470,439 670,333 Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance Transfer from Operating Fund Reserve not met not met not met not met not met not met not met not met not met Total Funds (20,096) 248,638 474,242 (239,411) (24,971) (39,097) 116,698 286.189 470,439 670,333 Sewer Enterprise Fund Beginning Operating Fund Balance 300,000 279,904 528,542 1,002,784 763,373 738,402 699,305 816,003 1,102,192 1,572,631 Deposit (Withdrawals) (20096) 248,638 474,242 (239,411) (24,971) (39,097) 116,698 286,189 470,439 670,333 Ending Operating Fund Balance $ 279,904 $ 528,542 $ 1,002,784 $ 763,373 $ 738,402 $ 699,305 $ 816,003 $ 1,102,192 $ 1,572,631 $ 2,242,964 Reserve Target Percent of O &M 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% Targeted Operating Reserve Balance 1,465,750 1,509,723 1,555,014 1,601,665 1,649,715 1,699,206 1,750,182 1,802,688 1,856,768 1,912,471 East Valley WD Water utility Revenue Requirements peso 1pbOn FY 2008/2009 FY 200912010 FY 2 0 1 012 01 1 FY 2011/2012 FY 2012/2013 FY 201312014 FY 2014/2015 FY 2015i2016 FY 2016/2017 FY 201 7/2018 2 Operating Revenue 3 Domestic Sales And Service Tolls $ 14.105,840 $ 14,105,840 $ 14,105,840 $ 14,105,840 $ 14,105,840 $ 14,105.840 $ 14.105,840 $ 14,105,840 $ 14,105.840 $ 14,105,840 4 Total Operating Revenue 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 14,105,840 5 Additional Revenue Required: Months 6 Year Revenue increase Effective 7 FY 2008/2009 12.50% 7 1,028,551 1,763,230 1,763,230 1,763,230 1,763,230 1,763,230 1,763,230 1763,230 1,763,230 1,763,230 8 FY 2009i2010 V.OVWA. 12 - - - _ - - - - - _ 9 FY 201012011 8.00% 12 - - 1.269,526 1,269,526 1,269,526 1,269,526 1,269,526 1,269,526 1,269,526 1,269,526 10 FY 2011/2012 8.00% 12 - - - 1,3371,088 1,371,088 1,371,088 1,371,086 1,371,088 1,371,088 7,371,088 11 FY 2012/2013 8.00% 12 - - - - 1,480,775 1,480,775 1,480,775 1,480,775 1,480,775 1,480,775 12 FY 201312014 7.00% 12 - _ _ _ - 1,399,332 1,399,332 1,399,332 1,399,332 1,399,332 13 FY 2014/2015 7.00% 12 - - - - - - 1,497,285 1,497,285 1,497,285 1,497,285 14 FY 2015/2016 5.00% 12 - - - - - - - 1,144,354 1,144,354 1,144,354 15 FY 200 tii2ri 17 5Z0% 12 - - - _ - - _ _ 1,201,571 1,291,571 16 FY 2017/2018 '5.00% 12 1,261,650 17 Total Additional Operating Revenue 1,028,551 1.763,230 3,032,756 4,403,843 5,884,618 7,283,950 8,781,235, 9,925,589 11,127,160 12,388,810 18 Total Required'Revenitie "" $ '15,134,391 $ 15,869,070 $ 17,138,596 $ 18,509,663 $ 19,990,458 $ 21,389,790 $ 22,887,075 S 24,031,429 $ 25,233,000 $ 26,494,650 19 Applications of Funds 20 Operating Costs 21 Source Of Supply 550,500 567,015 584,025 601,546 619,593 638,180 657,326 677,046 697,357 718,278 22 Pumping 3,228,800 3,325,664 3,425,434 3,528,797 3,634,043 3,743,064 3,855,356 3,971,017 4,090,147 4,212,852 23 Water Treatment 1,516,800 1,562,304 1,609,173 1,657,448 1,707,172 1,758,387 1,811,139 1,865,473 1,921,437 1,979,080 24 Transmission& Distriubution 1,395,700 1,437,571 1,480,698 1,525,119 1,570,873 1,617,999 1,666,539 1,716,535 1,768,031 1,821,072 25 Customer Accounts 572,500 589,675 607,365 625,586 644,354 663,684 683,595 706,103 725,226 746,983 26 Telemetry 27 General & Administrative 3,662,200 3,772,066 3,885.228 4,001,785 4,121,838 4,245,494 4,372,858 4,504,044 4,639,165 4,778,340 28 Total Operafing- apenses 10,926,500 11,254,295 11,591,924 11,939,682 12,297,872 12,666,808 13,046,812 13,438,217 13,841,363 14,256,604 29 Net Operating Income (Loss[_ - 4,207,891 4,614,775 5,546,672 6,570,002 7,692,586 8,722,982 9,840,263 10,593,212 11,391,637 12,238,046 30 Debt Service .. - ... -.. -.. -..-. --_ - ... -. -. -..-.. 31 2001 COP 1,037,810 1,036,572 1,038,953 1,010,485 1,005,658 1,003,380 1,008,330 302,348 301,658 300,288 32 1996 Refunding COP 623,447 631,605 33 2004 Project Installment Sale Note 510,452 510,451 510,451 510,451 510,452 510,451 510,452 510,451 510,451 510,451 34 Construction Loan - 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 6,762 35 2006 Project Installment Sale Note 476,024 476,025 476,024 476,024 476,025 476,024 476,024 476,025 476,024 476,025 36 2010 Water, and Wastewater Projects - - 2,583,408 2,583,408 3,420,346 3,396,838 3,381,761 3,354,856 3,336,382 3,315,926 37 Proposed Revenue Bonds- Headquarters 1,285,050 1,285,050 1,285,050 38 Total Debt Service 2,654,495 2,661,415 4,615,598 4,587,130 5,419,243 5,393,455 5,383,329 5,935,492 5,916,327 5,894,502 39 Debt Coverage Ratio 1.59 1.73 1.20 1.43 1.42 1.62 1.83 138 1.93 2.08 40 Non -Operating Revenue 41 Interest Income "' - "' "' 102,000 49,660 46,138 42,900 43,913 55,669 89,033 127,397 166,964 216,215 42 Fees, Permits, And Penalties 489,000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 489,000 43 Cooperative Agreements -Power 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 44 Grant Funds - 45 Other Income 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30.000 46 Total Non - Operating Revenue 721,000 668,660 665,138 661,900 662,913 674,669 708,033 746,397 785,964 835,215 47 Capital Reserves Funded by Rates 48 CIP Reserve Contribution 2,675,000 2,500,000 2,000,000 2,000,000 2,500,000 2,500,000 2,500,000 2,500,000 2,500,000 2,500,000 49 Repair & Replacement Reserve Collection 374.000 500,000 500,000 500,000 1,000,000 1,500,000 2,000,000 2,500,000 50 Total Capital Reserves Funded by Rates 3,049,000 2,500,000 2,000,000 2,500,000 3,000,000 3,000,000 3,500,000 4,000,000 4,500,000 5,000,000 51 Net Income (LOSS) (774,604) 122,020 (403,788) 144,772 (63,744) 1,004,195 1,664,967 1,404,117 1,761,275 2,178,759 52 Transfer from Operating Fund Reserve Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance not met not met not met not met not met not met not met not met 53 Total Funds (774,604) 122,020 (403,788) 144,772 (63,744) 1,004,195 1,664,967 1,404,117 1,761,275 2,178,759 54 Water Enterprise Fund 55 Beginning Operating Fund Balance 2,700,000 1,925,396 2,047,416 1,643,627 1,788,399 1,724,655 2,728,850 4,393,818 5,797,935 7,559,209 56 Deposit (Withdrawals) (774,604) 122,020 (403,788) 144,772 (63,744) 1,004,195 1,664,967 1,404,117 1,761,275 2,178,759 57 Ending Operating Fund Balance $ 1,925, 3396 $ 2,047,416 $ i,64 3,627 $ 1,788,399 $ 1,724,655 $ 2,728,850 $ 4,393,818 $ 5,797,935 $ 7,559,209 $ 9,737,968 58 Reserve Target Percent of 0 &M 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% 59 Targeted Operating Reserve Balance 5,463,250 5,627,148 5,795,962 5,969,841 6,148,936 6,333,404 6,523,406 6,719,108 6,920,682 7,128,302 East Vallev WD Sewer Utility Revenue Requirements Description $ 3,554,991 FY 2008 -2009 FY 2009 -2010 FY 2010 -2011 FY 2011 -2012 FY 2012 -2013 FY 2013 -2014 FY 2014 -2015 FY 2015 -2016 FY 2016 -2017 FY 2017 -2018 Operating Revenue 289,026 297,697 306,628 315,827 325,302 335,061 345113 60,000 61,800 63,654 65,564 67,531 Domestic Sales And Service Tolls 71,643 $ 3.199,812 $ 3,199,812 $ 3,199,812 $ 3,199812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 57,964 S 3,199,812 $ 3,199.812 Total Operating Revenue 65,239 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 101,342 3,199,812 3,199,812 Additional Revenue Required 181,308 186,747 192,349 198,120 204,064 210,185 216,491 222,986 31,500 32,445 33,418 34,421 Revenue 36,517 37,613 38,741 39,903 41,100 54,400 56,032 57,713 59,444 61,228 63,065 64,956 Year Increase Months Effective 68,912 70,980 3.600 3,708 3,819 3,934 4,052 4,173 4,299 4,428 4,560 FY 2008 -2009 11.10% 7 207,188 355,179 355,179 355,179 355,179 355,179 355,179 355,179 2,892,160 355,179 355,179 FY 2009 -2010 0.00% 12 - - - - - - - 535,546 - - - FY2010 -2011 8.00% 12 - - 284,399 284,399 284,399 284,399 284,399 284,399 253,096 284,399 284,399 FY 2011 -2012 8.00% 12 - - - 307,151 307,151 307,151 307,151 307,151 52,068 307,151 307,151 FY 2012 -2013 7.00% 12 - - - - 290,258 290,258 290,258 290,258 253,096 290,258 290,258 FY 2013 -2014 7.00% 12 - - - - - 310,576 310,576 310,576 171 310,576 310,576 FY 2014 -2015 7.00% 12 - - - - - - 332,316 332,316 36,910 332,316 332,316 FY 2015 -2016 5.00% 12 - - - - - - - 253,985 10,000 253,985 253,985 FY 2016 -2017 5.00% 12 - - - - - - - 20,996 - 266,684 266,684 FY 2017 -2018 5.00% 12 50,409 56,095 180,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 280,018 Total Additional Operating Revenue 142.500 207,188 355,179 639,578 946,730 1,236,988 1,547,564 1,879,880 2,133,865 500,000 2,400,548 2,680,566 Total Required Revenue Applications of Funds Operating Costs Wastewater Collection Supervision & Labor Facilities Maintenance Materials & Supplies Vehicle Maintenance & Fuel Customer Accounts Supervision & Labor Equipment Expenses Postage Contracted Services Materials & Supplies General & Administrative Total Operating Expenses Net Operating Income (Loss) Debt Service 2004 HeadquartersI Infrastructure Project 2009 Water, and Wastewater Projects Proposed Revenue Bonds- Headquarters Total Debt Service Debt Coverage Ratio Non - Operating Revenue Interest Income Grant Funds Fees, Permits, And Penalties Other Income Total Non - Operating Revenue Capital Reserves Funded by Rates CIP Reserve Contribution Repair & Replacement Reserve Collection Total Capital Reserves Funded by Rates Net Income (Loss) Transfer from Operating Fund Reserve Total Funds Sewer Enterprise Fund Beginning Operating Fund Balance Deposit (Withdrawals) Ending Operating Fund Balance Reserve Target Percent of O &M Targeted Operating Reserve Balance $ 3,407,000 $ 3,554,991 $ 3,839,391 $ 4,146,542 $ 4,436,800 $ 4,747,376 $ 5,079,692 $ 5,333,677 $ 5,600,361 $ 5,880,379 264,500 272,435 280,608 289,026 297,697 306,628 315,827 325,302 335,061 345113 60,000 61,800 63,654 65,564 67,531 69,556 71,643 73,792 76,006 78,286 50,000 51,500 53,045 54,636 56,275 57,964 59,703 61,494 63,339 65,239 80.000 82,400 84,872 87,418 90,041 92,742 95,524 98,390 101,342 104,382 170,900 176,027 181,308 186,747 192,349 198,120 204,064 210,185 216,491 222,986 31,500 32,445 33,418 34,421 35,454 36,517 37,613 38,741 39,903 41,100 54,400 56,032 57,713 59,444 61,228 63,065 64,956 66,905 68,912 70,980 3.600 3,708 3,819 3,934 4,052 4,173 4,299 4,428 4,560 4,697 2.216.600 2,283.098 2,351,591 2,422,139 2,494,803 2,569,647 2,646,736 2,726,138 2,807,923 2,892,160 2,931,500 3,019,445 3,110,028 3,203,329 3,299,429 3,398,412 3,500,364 3,605,375 3,713,536 3,824,943 475,500 535,546 729,362 943,213 1,137,371 1,348,964 1,579,328 1,728,301 1,886,824 2,055,436 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 - - 40,317 40,317 53,379 53,012 52,777 52,357 52,068 51,749 691,950 691,950 691,950 691,950 253,096 253,096 293,413 293,413 306,475 306,108 997,823 997,402 997,114 996,795 1.88 2.12 2.49 3.21 171 4.41 1.58 1.73 1.89 2.06 68,000 7,016 8,996 12,512 17,951 28,504 36,167 36,910 38,409 44,095 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 10,000 10.000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 80,000 19,016 20,996 24,512 29,951 40,504 48,167 48,910 50,409 56,095 180,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 142.500 250,000 250,000 250,000 250,000 500,000 500,000 500,000 322,500 300,000 300,000 550,000 550,000 550,000 550,000 800,000 800,000 800,000 (20,096) 1,467 156,945 124,312 310,847 533,360 79,672 (20,191) 140,119 314,736 Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance not met not met not met not met not met not met not met not met not met (20,096) 1,467 156,945 124,312 310,847 533,360 79,672 (20,191) 140,119 314,736 300,000 279,904 281,371 438,316 562,627 873,475 1,406,835 1,486,507 1,466,316 1,606,436 (20,096) 1,467 156,945 124,312 310,847 533,360 79,672 (20,191) 140,119 314,736 $ 279,904 $ 281,371 $ 438,316 $ 562,627 $ 873,475 $ 1,406,835 $ 1,486,507 $ 1,466,316 $ 1,606,436 $ 1,921,172 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% 1,465,750 1,509,723 1,555,014 1,601,665 1,649,715 1,699,206 1,750,182 1,802,688 1,856,768 1,912,471 East '/alley WD Water Utility Revenue Requirements 1 Description FY 2008/2009 FY 2009/2010 FY 20 1012011 FY 20: 1/2012 FY 2012/2013 FY 2013/2014 °'/ 2014/20/5 FY 2015/2016 FY 201612017 FY 2017/2018 2 Operating Revenue 3 Domestic Safes And Service Tolls $ 14,105.840 $ 14,105,840 $ 14,105,840 $ 14,105,840 $ 14,105.840 $ 14,105,840 $ 14,105.840 $ 14,105.840 $ 14,105.840 $ 14.105,840 4 T_1ai Operas ;rn Reven.;z I .,165, 840 14, 105,840 145G5,840 54,1G5,84G 14.105,840 14,.05,846 14,505,841) 14,105,840 114,105.840 14,105,840 5 Additional Revenue Required: Month$ 6 Year Revenue fncrease Effective 7 FY 2008/2009 12.50% 7 1,028,551 1,763,230 1,763,230 1,763,230 1763.230 1,763,230 1,763,230 1,763,230 1,763,230 1,763,230 8 FY 2009/2010 0.00% 12 - - - - 9 FY 201012011 6.00% 12 - 952,144 952,144 952,144 952,144 952,144 952,144 952,144 952,144 10 FY 2011/2012 6.00% 12 - - - 1,009,273 1,009,273 1,009,273 1,009.273 1,009,273 1.009,273 1,009,273 11 FY 201212013 6.00% 12 - - - 1,069,829 1,069,829 1,069.829 1,069,829 1,069,829 1,069,829 12 FY 2013/2014 6.00% 12 - 1,134,019 1,134,019 1,134,019 1,134,019 1,134,019 13 FY 2014/2015 6.00% 12 - - - - - - 1,202,060 1,202,060 1,202,060 1,202,060 14 FY 201512016 6.00% 12 - - - - - - - 1,274,184 1.274,184 1,274,184 15 FY 2016/2017 6.00% 12 - - - - - - - - 1,350,635 1,350,635 16 FY 2017/2018 6.00% 12 1,431,673 17 Total Additional Operating Revenue 1,028,551 1,763,230 2,715,374 3,724,647 4,794,476 5,928,495 7,130,555 8,404,739 9,755.374 11,187,047 18 Total Required Revenue $ 15,134,391 $ 15,869,070 $ 16,821,214 $ 17,830,487 $ 18,900,316 $ 20,034,335 $ 21,236,395 $ 22,510,579 $ 23,861,214 $ 25,292,887 19 Applications of Funds 20 Oce "i Costs 21 Source OfSLVPN 550,500 567,015 584,025 601,546 619,593 638,180 657,326 677,046 697,357 718,278 22 Pumping 3,228,800 3.325,664 3,425,434 3,528,197 3,634,043 3,743,064 3,855,356 3,971,017 4,090,147 4,212,852 23 Water Treatment 1,516,800 1,562,304 1.609,173 1,657,448 1,707,172 1,758,387 1,811,139 1,865,473 1,921,437 1,979,080 24 Transmission &DLsbinbudon 1,395,700 1,437,571 1,480,698 1,525,119 1,570,873 1,617,999 1,666,539 1,716,535 1,768,031 1,821,072 25 Customer Accounts 572,500 589,675 607,365 625,586 644.354 663,684 683,595 704,103 725,226 746,983 26 Telemetry 27 General &Administrative 3.662,200 3,772,066 3.885,228 4.001,785 4,121.838 4,245,494 4,372,858 4.504,044 4.639,165 4,778.340 28 Total Operating E%penee5 10,926,500 11,264.295 11,591,924 11,939,682 12,297,872 12,666,808 13,046,812 13,438,217 13.841,363 14,256,604 29 Net Operatinq Income(Loss) 4,207,891 4,614,775 5,229,290 5,890,805 6.602.444 7,367.527 8,189,583 9,072,362 10,019,851 11,1)36,282 30 Debt Servigg ...... - 31 2001 COP 1,037,810 1,036,572 1,038.953 1,010,485 1,005,658 1,003,380 1,008,330 302,348 301,658 300,288 32 1995 Refunding COP 623,447 631,605 33 2004 Project Installment Sale Note 510,452 510.451 510,451 510,451 510.452 510,451 510.452 510,451 510,451 510,451 34 Construction Loan 6,762 6,762 6,762 6,762 6.762 6,762 6,762 6,762 6,762 6,762 35 2006 Project Instalment Sale Note 476,024 476,025 476,024 476,024 476,025 476,024 476,024 476,025 476,024 476,025 36 2010 Water, and Wastewater Projects - - 1,825,155 1,825,155 2,216,064 2,218,018 2,228,341 2,226,924 2,233,874 2,238,859 37 Low interest Funding - Plant 134 607,750 607,760 607,750 607,750 607,750 607,750 38 Total Debt Service 2,654,495 561,415 3,857,345 3,828,877 4,822,711 4,822,386 4,837,659 4,130,260 4,136,520 4,140,135 39 Debt Coverage Ratio 1.59 1.73 1.36 1.54 1.37 1.53 1.69 2.20 2.42 2.67 40 Non - Operating Revenue 41 Interest Income "" 102,000 49.660 51,719 52,039 41,707 30.900 30.228 40.892 74,376 133,442 42 Fees, Permits, And Penalties 489,000 489,000 489,000 489.000 489,000 489.000 489,000 489,000 489,000 489,000 43 Cooperative Agreements - Power 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100.000 100,000 44 Grant Funds - - - - - - - - - - 45 Other Income 30,000 30,000 30,000 30,000 30.000 30.000 30,000 30.000 30.000 30,000 46 Total Ng Operafim Revenue 721,000 668,660 670,719 671,039 660,707 649.900 649,228 659,892 693,376 752.42 47 Capital Reserves Funded by Rates 48 CIP Reserve Contribution 2,675,000 2,500,000 2,00D,000 2,000,000 2,500,000 2,500,000 2,500,000 2,500,000 2,500,000 2,500,000 49 Repair & Replacement Reserve Collection 374.000 750,000 750,000 750.000 1,500,000 2,250,000 2250,000 2,250,000 50 Total Capital Reserves Funded by Rates 3,049,000 2.500,000 2,000.000 2,750,000 3.250,000 3,250,000 4,000,000 4,750,000 4,750,000 4,750,000 51 Net income (Loss) (774,604) 122,020 42,664 (17,032) (809,560) (54,958) 1,152 851,994 1,826,707 2,898,590 Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance 52 Transfer from Operating Fund Reserve not met not met net met not met not met not met net met net met not met not met 53 Total Funds (774,604) 122,020 42,664 (17,032) (809.560) (54,958) 1,152 851,994 1,826,707 2,898,590 54 Water Enterprise Fund 55 Beginning Operating Fund Balance 2,700,000 1,925.396 2,047,416 2,090,080 2,073,048 1,263,488 1,208,530 1,209,682 2,061,676 3,888,382 56 Deposit (W4hdrawa IS) (774,604) 122,020 42,664 (17,032) (809.560) (54,958) 1,152 8511994 1,826,707 2,898,590 57 Ending Operating Fund Balance $ 1,925,396 $ 2,047,416 $ 2,090,080 $ 2,073,048 $ 1,263,488 $ 1,208,530 $ 1,209,682 $ 2,061,676 $ 3,888,382 $ 6,786,972 58 Reserve Target Percent of O &M 50% 50% 50% 50% 50% 50% 50% 50% 50% 59 Targeted Operating Reserve Balance 5,463,250 5,627,148 5,795,962 5,969,841 6,148,936 6.333,404 6.523,406 6,719,108 6,920,682 7,128,302 East Valley WD Sewer Utility Revenue Requirements Description 272,435 FY 2008 -2009 FY 2009 -2010 FY 2010 -2011 FY 2011 -2012 FY 2012 -2013 FY 2013 -2014 FY 2014 -2015 FY 2015 -2016 FY 2016 -2017 FY 2017 -2018 Operating Revenue 65,564 67.531 69,556 71,643 73,792 76,006 78,286 50,000 51,500 53,045 54,636 Domestic Sales And Service Tolls 57,964 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 $ 3,199,812 Total Operating Revenue 98,390 3,199,812 3,199,812 3,199,812 3,199,812 3,199,812 3,199,612 3,199,812 3,199,812 3,199,812 3,199,812 Additional Revenue Required 222,986 311500 32,445 33,418 34,421 35,454 36,517 37,613 38,741 39,903 41,100 Revenue 56,032 57,713 59,444 61,228 63,065 64,956 66,905 68,912 70,980 3,600 3,708 Year Increase Months Effective 3,934 4,052 4,173 4,299 4,428 4,560 4,697 2,216,600 2,283,098 2,351,591 FY 2008 -2009 11.10% 7 207,188 355,179 355,179 355,179 355,179 355,179 355,179 355,179 355,179 355,179 FY 2009 -2010 0.00% 12 - - - - - - - - - - FY2010 -2011 6.00% 12 - - 213,299 213,299 213,299 213,299 213,299 213,299 213,299 213,299 FY 2011 -2012 6.00% 12 - - - 226,097 226,097 226,097 226,097 226,097 226,097 226,097 FY 2012 -2013 6.00% 12 - - - - 239,663 239,663 239,663 239,663 239,663 239,663 FY 2013 -2014 6.00% 12 - - - - - 254,043 254,043 254,043 254,043 254,043 FY 2014 -2015 6.00% 12 - - - - - - 269,286 269,286 269,286 269,286 FY 2015 -2016 5.00% 12 - - - - - - - 237,869 237,869 237,869 FY 2016 -2017 5.00% 12 - - - - - - - - 249,762 249,762 FY 2017 -2018 5.00% 12 300,000 300,000 300,000 300,000 300,000 300,000 300,000 142.500 262,251 Total Additional Operating Revenue 250,000 207,188 355,179 568,479 794,576 1,034,239 1,288,282 1,557,568 1,795,437 2,045,200 2,307,450 Total Required Revenue 800,000 $ 3,407,000 $ 3,554,991 S 3,768,291 $ 3,994,388 $ 4,234,052 $ 4,488,095 $ 4,757,380 $ 4,995,249 $ 5,245,012 $ 5,507,262 Applications of Funds Ocerating Costs Wastewater Collection Supervision & Labor Facilities Maintenance Materials & Supplies Velvele Maintenance & Fuel Customer Amounts Supervision & Labor Equipment Expenses Postage Contracted Services Materials & Supplies General & Administrative Total Operating Expenses Net Operating Income (Loss) Debt Service 2004 Headquarters I Infrastructure Project 2009 Water, and Wastewater Projects Total Debt Service Debt Coverage Ratio Non - Operating Revenue Interest Income Grant Funds Fees, Permits, And Penalties Other Income Total Non - Operating Revenue Capital Reserves Funded by Rates CIP Reserve Contribution Repair & Replacement Reserve Collection Total Capital Reserves Funded by Rates Net Income (Loss) Transfer from Operating Fund Reserve Total Funds Sewer Enterprise Fund Beginning Operating Fund Balance Deposit (Withdrawals) Ending Operating Fund Balance Reserve Target Percent of 0 &M Targeted Operating Reserve Balance 264,500 272,435 280,608 289,026 297,697 306,628 315,827 325.302 335,061 345,113 60,000 61,800 63,654 65,564 67.531 69,556 71,643 73,792 76,006 78,286 50,000 51,500 53,045 54,636 56,275 57,964 59,703 61,494 63,339 65,239 80,000 82,400 84,872 87,418 90,041 92,742 95,524 98,390 101,342 104,382 170,900 176,027 181,308 186,747 192,349 198,120 204,064 210,185 216,491 222,986 311500 32,445 33,418 34,421 35,454 36,517 37,613 38,741 39,903 41,100 54,400 56,032 57,713 59,444 61,228 63,065 64,956 66,905 68,912 70,980 3,600 3,708 3,819 3,934 4,052 4,173 4,299 4,428 4,560 4,697 2,216,600 2,283,098 2,351,591 2,422,139 2,494,803 2,569,647 2,646,736 2,726,138 2,807,923 2,892,160 2,931,500 3,019,445 3,110,028 3,203,329 3,299,429 3,398,412 3,500,364 3,605,375 3,713,536 3,824,943 475,500 535,546 658,262 791,059 934,622 1,089,683 1,257,016 1,389,874 1,531475 1,682,320 253,096 253,0% 253,096 253,096 253,096 253,096 253,096 253,096 253,096 253,096 - - 40,317 40,317 53,379 53,012 52,777 52,357 52,068 51,749 253,096 253,096 293,413 293,413 306,475 306,108 305,873 305,452 305,164 304,845 1.88 2.12 2.24 2.70 305 3.56 4.11 4,55 5.02 5.52 68,000 7,016 8,096 8,763 9,615 14,108 19,639 25,954 35,911 49,830 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 80,000 19,016 20,096 20,763 21,615 26,108 31,639 37,954 47,911 61,830 180,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 142.500 250,000 250,000 250,000 500,000 500,000 500,000 500,000 322,500 300,000 300,000 550,000 550,000 550,000 800,000 800,000 800,000 800,000 (20,096) 1,467 84,946 (31,591) 99,763 259,683 182,782 322,375 474,222 639,305 Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance Target balance not met not met not met not met not met not met not met not met not met (20,096) 1,467 84,946 (31,591) 99,763 259,683 182,782 322,375 474,222 639,305 300,000 279,904 281,371 366,316 334,725 434,488 694,171 876,954 1,199,329 1,673,551 (20,096) 1,467 84,946 (31,591) 99,763 259,683 182,782 322,375 474,222 639,305 $ 279,904 $ 281,371 $ 366,316 $ 334,725 $ 434,488 $ 694,171 $ 876,954 $ 1,199,329 $ 1,673,551 S 2,312,857 50% 50% 50% 50% 50% 50% 50% 50% 50% 50% 1,465,750 1,509,723 1,555,014 1,601,665 1,649,715 1,699,206 1,750,182 1,802,688 1,856,768 1,912,471