HomeMy WebLinkAbout05-20-2014 C11 Resolution NO 10441 (2013 Series) - Sewer Service Rates CorrectionCity of San Luis Obispo, Council Agenda Report, Meeting Date, Item Number
FROM: Carrie Mattingly, Utilities Director
Prepared By: Dave Hix, Wastewater Division Manager
Brigitte Elke, Business Manager
SUBJECT: RESOLUTION NO. 10441 (2013 SERIES) – SEWER SERVICE RATES
RECOMMENDATION
Direct the City Clerk to correct a clerical error in Exhibit A to Resolution No. 10441 (2013
Series) establishing sewer service rates.
DISCUSSION
On June 12, 2013, the City Council reviewed the 2013-14 Sewer Enterprise Fund analysis and
adopted the sewer rates effective July 1, 2013 and July 1, 2014 during a Public Hearing
(Resolution No. 10441 (2013 Series) – Attachment 1).
The staff report (Attachment 2) submitted for the Public Hearing listed the correct current and
correct proposed rates on page 3 and included both the applicable dollar rate as well as the
percentage increase.
The staff presentation given during the Public Hearing included the correct proposed sewer rates
on page 7 (Attachment 3).
The Public Hearing had been notified pursuant to Proposition 218 requirements and the
notification included the correct rate increases and the correct current and proposed sewer rates
on page 3 of Attachment 4.
While preparing for the 2014-15 Sewer Enterprise Fund review, staff noticed that Exhibit A to
Resolution 10441 (2013 Series) incorrectly listed 2011-12 and 2012-13 rates under monthly
sewer rates for non-residential customers applicable for FY 2013-14 and 2014-15, instead of the
correct rates as discussed in the Staff Report, Staff Presentation and notice required by
Proposition 218. The rates for discharging sewer into the City sewer system were not updated
also.
As all documents being reviewed and discussed, other than Exhibit A, included the correct rates
intended to go into effect on July 1, 2013 and July 1, 2014 respectively, staff has concluded that
the original Exhibit A to Resolution No. 10441 contained a clerical error, and recommends that
the City Council direct the City Clerk to correct this clerical error, so Exhibit A reflects the
intended correct rates for all customer categories.
May 20, 2014
C11 - 1
Resolution 10441 (2013 Series) Sewer Service Rates Page 2
FISCAL IMPACT
The City has been charging the correct rates, consistent with public notices and hearings, so there
is no fiscal impact to correcting the clerical mistake.
ATTACHMENTS
1. Resolution No. 10441 (2013 Series)
2. Staff report - June 12, 2013
3. Staff presentation – June 12, 2013
4. Notice of Public Hearing June 12, 2013
T:\Council Agenda Reports\2014\2014-05-20\Resolution 10441 - Sewer Service Rates (Mattingly-Hix)
C11 - 2
RESOLUTION NO. 10441(2013 Series)
A RESOLUTION OF THE CITY OF SAN LUIS OBISPO ESTABLISHING
SEWER SERVICE RATES
WHEREAS, it is the policy of the City of San Luis Obispo to review enterprise fund fees
and rates on an ongoing basis and to adjust them as required to ensure that they remain equitable
and adequate to fully cover the costs of providing services; and
WHEREAS, a comprehensive analysis of sewer fund operating, capital, and debt service
needs has been performed for fiscal years2013-15 through 2017-18; and
WHEREAS, this comprehensive analysis has been revised based on updated revenue and
expenditure information; and
WHEREAS, the Council has reviewed the sewer service rates necessary to meet system
operating, capital, and debt service requirements; and
WHEREAS, a public hearing was properly noticed and held on June 12,2013; and
WHEREAS, a majority protest, as contemplated by Article XIII D of the California
Constitution, was not received by the conclusion of the public hearing.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows:
SECTION 1. Resolution No. 10272 (2011 Series) is hereby rescinded, effective 1l:59
p.m. June 30,2073.
SECTION 2. The rates set forth in Exhibit "A" are hereby adopted, establishing rates
effective July 1, 2013 and July 1, 2014.
Upon motion of Council Member Ashbaugh, seconded by Vice Mayor Smith, and on the
following roll call vote:
AYES:
NOES:
ABSENT
Council Member Ashbaugh, Vice Mayor Smith and Mayor Marx
Council Member Carpenter
None
R 10441
ATTACHMENT 1
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ResolutionNo. 10441 (2013 Series)
Page 2
The foregoing resolution was adopted this 12th day of June 2013
Ma Marx
ATTEST
City Clerk
APPROVED AS TO F
Christine Dietrick
City Attorney
ATTACHMENT 1
C11 - 4
ResolutionNo. 10441 (2013 Series)
Page 3
MONTHLY SEWER SERVICE RATES
EXHIBIT A
Account Type Effective July 1,2013 Effective July l, 2014
Minimum charge: $7.96 per dwelling unit
Volume charge per unit: $8,77
Total monthly fee capped based on average
winter water use (AWWU)
Single family
dwelling,
including single
meter
condominiums and
townhouses
Minimum charge: $7.73 per dwelling unit
Volume charge per unit: $8.52
Total monthly fee capped based on average
winter water use (A'WWU)
Master-metered
multi-family
dwellings in any
duplex, aparlment
house or rooming
house
Minimum charge: $7.73 per dwelling unit
Volume charge per unit: $8.52
Accouttls witltoul separate irrigation
meler:
Total monthly fee capped based on
AV/WU
Accouttls witlt sepuule ìrrigalion meteÍ:
No cap
Minimum charge: $7.96 per dwelling unit
Volume charge per unit: $8.77
Accounls willtoul separate inigation
meler:
Total monthly fee capped based on
AV/WU
Accounls wilh separúe irrigalion meler:
No cap
Minimum charge: $7.96 per dwelling unit
Volume charge per unit: $8,77
A cco unls w illto ut s eparale ìrr igat ion
meter:
Total monthly fee capped based on
AWWU
Accou nts w !!!¿sepørale irrigation metet :
No cap
Mobile home or
trailer park
Minimum charge: $7.73 per dwelling unit
Volume charge per unit: $8.52
A ccounls w itltoul separale irrigation
meter:
Total monthly fee capped based on
AWWU
Accounls wìth seputtte irrigalion meler:
No cap
Public, private, or
parochial school,
average daily
attendance (ADA) at
the school
$6.91 per ADA $7.11 per ADA
All Other Accounts Minimum charge: $7.01 per account
Volume charge per unit: $7.73
Minimum charge: $7.43 per account
Volume charge per unit: $8.l9
$ 189.6s
$1r.42
$ 195.34
$1r.76
Minimum charge
Additional charge per
100 gallons in excess
of 1,500 gallons
discharged
Sewer Rates: Residential Customcrs
Sewer Rates: Non-Residential Customers
Mon
Mon
Each Vehicle Sewer into Ci
ATTACHMENT 1
C11 - 5
FROM: Carrie Mattingly, Utilities Director
Prepared By: David Hix, Wastewater Division Manager
Cheryl Blair, Administrative Analyst
SUBJECT: 2013-14 SEWER FUND REVIEW AND 2013-15 SEWER RATE ADOPTION
RECOMMENDATIONS
1. Review and accept the 2013-14 annual Sewer Fund financial review.
2. Conceptually approve the 2013-14 Sewer Fund budget, with final action anticipated on June 17,
2013 with the adoption of the 2013-15 Financial Plan; and
3. Adopt a resolution increasing sewer service charges by four percent (4%) effective July 1, 2013
and three percent (3%) effective July 1, 2014 provided there is no majority protest against such
increases.
DISCUSSION
This report presents the annual Sewer Fund review. It highlights major adjustments made to the
Sewer Fund analysis since the preparation of the 2011-13 Financial Plan Supplement and the 2012-
13 budget.
As outlined in the 2013-14 Sewer Fund Analysis, which forecasts the financial position of the
Sewer Fund through 2024-25, the City is able to:
1. Sustain an ongoing level of capital improvement projects to maintain the community’s
wastewater infrastructure assets;
2. Maintain a positive fiscal position in the Sewer Fund;
3. Maintain sufficient working capital and a revenue plan forecast to position the Sewer Fund
to secure favorable financing terms for Water Reclamation Facility Improvements in the
wastewater capital program forecast; and,
4. Continue to deliver protective, reliable wastewater services to the community within
previously projected sewer service rates.
2013-14 Sewer Fund Analysis Report
The attached 2013-14 Sewer Fund Analysis Report (Attachment 1), includes changes in financial
position, analysis assumptions, and an update on major activities and programs, and incorporates
the following key financial impacts.
1. Agreement between the City and Cal Poly with updated sewer rates commencing on July 1,
2013.
Meeting Date
Item Number June 12, 2013
ATTACHMENT 2
C11 - 6
2. 2012-13 salary and benefit updates.
3. Increased City PERS contributions commencing on July 1, 2013.
4. Six proposed Significant Operating Program Changes.
5. Proposed Capital Improvement Plan.
2013-15 Financial Plan: 2013-14 Budget
Revenues
Overall revenues are projected to increase by 3.5% ($535,500) in 2013-14 from the prior fiscal year.
This reflects an increase in sewer rates of 4% and a conservative outlook on development impact
fees. Revenue from sewer services, including sales to Cal Poly, reflect historic trends as well as the
proposed rate increases. Development impact fee revenues are estimated at approximately $155,000
annually during 2013-15. They are projected to grow from 2011-12 actual amounts by $2,500
(1.65%), and are less than the 2012-13 projection of $240,000. The assumptions about development
impact fees reflect a strongly conservative approach based on an economy that is still recovering
and inherent volatility in the building industry.
Operating Program Expenses
The Sewer Fund’s operating program budgets were developed in order to provide the community
with protective, reliable wastewater services. The budget includes six Significant Operating
Program Change requests as summarized on page 4 of Attachment 1. Of the total operating program
cost increases, $58,800 is attributable to a temporary need for additional project management to
assist in delivering important capital projects to the community in a timely manner. This is a short-
term need driven by the anticipated volume of capital project workload and available resources in
Public Works at this time. The additional resources will be used to accomplish both water and sewer
projects.
Capital Improvement Plan
The 2013-18 five-year Capital Improvement Plan identifies nearly $80 million in infrastructure
improvement and replacement projects over the next five years. As summarized in Table C of
Attachment 1, the Sewer Fund will be investing in four significant lift station replacements, pipeline
replacements averaging $1 million per year, and major maintenance at the Water Reclamation
Facility. In addition, the Fund is being prepared to support a $63.2 million upgrade at the Water
Reclamation Facility in the five-year period.
Debt Service Update
As described in more detail in Attachment 1, two upcoming debt financings are anticipated in the
Fund; the recently approved energy efficiency project at the Water Reclamation Facility and the
upcoming Water Reclamation Facility upgrade.
Debt service is currently projected at $629,500 annually beginning in 2013-14 for the energy
efficiency project based on $7.25 million financed over a 15-year term. Debt service is currently
projected at $3,817,500 annually beginning in 2016-17 for the Water Reclamation Facility upgrade,
based on total project costs currently estimated at $63.2 million. Of the $63.2 million identified in
the capital plan, the analysis assumes $50.8 million to be financed over a 20-year term, with a total
of $12.4 million funded from working capital.
ATTACHMENT 2
C11 - 7
Proposed Sewer Rate Changes
Pursuant to the requirements of California Constitution Article XIII (commonly referred to as
Proposition 218), a Notice of Public Hearing was mailed to all sewer customers informing them of
the proposed rates increases to sewer rates and their opportunity to protest the changes.
Based on this year’s analysis and projecting forward for at least five additional years, rates are
proposed to increase four percent (4%) effective July 1, 2013 and three percent (3%) effective July
1, 2014. For an average residential customer with a 6-unit cap, this translates into to a $2.28
monthly increase for July 1, 2013 and a $1.75 monthly increase for July 1, 2014. The proposed
sewer rate increases for 2013-14 and 2014-15 are as forecasted in the 2011 and 2012 Sewer Fund
analyses presented to the City Council.
The proposed increases to sewer rates are needed to fund required upgrades to the City’s water
reclamation facility in order to meet added regulatory requirements for protection of San Luis
Obispo Creek. This is a very large project and the fund is being prepared through incremental rate
increases to be able to pay the future debt service for this project. In addition, the proposed rates
will assist in funding repairs to the wastewater collection system. Finally, the proposed rates are
needed to fund ongoing operations and maintenance costs of an aging infrastructure in both the
water reclamation facility and the wastewater collection system.
Current and Proposed Sewer Rates
Use
Current
Proposed
July 1, 2013
%
change
Proposed
July 1, 2014
%
change
All customers, except schools*
Base fee per dwelling unit
(minimum charge)
$7.43 $7.73 4% $7.96 3%
Volume charge per dwelling unit $8.19 $8.52 4% $8.77 3%
Public, Private, or Parochial School
Per average daily attendance (ADA)
at the school
$6.64 $6.91 4% $7.11 3%
* For single family residential and for those master-metered multifamily dwellings and mobile home or trailer parks
without a separate irrigation meter, the sewer service charge is based on the volume of water used during a three-
month period during the winter months (December through March, depending on when the meter is read). This is
known as the average winter water use. The volume of water used during this period is used to calculate the sewer cap.
Accounts with a separate irrigation meter have no cap.
The average residential sewer customer has a cap of 6 units per month. The following shows the
impact of the increase on a residential sewer customer:
Residential Monthly Sewer Bill Comparison % change
Consumption 6 units
Sewer Current $56.57
Sewer Proposed July 1, 2013 $58.85 4%
ATTACHMENT 2
C11 - 8
Sewer Proposed July 1, 2014 $60.58 3%
Sewer Rate Protests
Under Proposition 218, property owners and/or customers directly responsible for the payment of
the fee subject to the proposed rate increase may submit a written protest against the proposed rate
increases. The protest must be in writing, received by the City Clerk at or before the public hearing
on June 12, 2013, identify what is being protested, and contain the service address. The party
signing the protest must be listed on the account as the person responsible for payment of the water
bill and/or the property owner. In the event that a protest is submitted by the owner and also by the
tenant responsible for payment of the bill, then one valid protest is counted for the account.
If written protests are filed by a majority (50% + 1), the applicable proposed rate may not be
imposed. A majority of approximately 14,700 customers is 7,351. As of May 7, 2013, a total of 10
written protests were received by the Office of the City Clerk. All protests will need to be validated.
The City Clerk will provide an updated summary of the protests received at the June 12, 2013 City
Council meeting.
ATTACHMENTS
1. 2013-14 Sewer Fund Analysis
2. Resolution Establishing Sewer Service Rates for 2013-15.
t:\council agenda reports\2013\2013-06-12\sewer fund review (mattingly-hix)\2013 sewer fund car.docx
ATTACHMENT 2
C11 - 9
2013-14 Sewer Fund Review
2013-15 Sewer Rate Adoption
June 12, 2013
ATTACHMENT 3
C11 - 10
Changing to Meet the Challenges of
the 21st Century
The Beginning The Future
ATTACHMENT 3
C11 - 11
Our City’s “Path Forward” for Wastewater
Energy
Stewardship
and Regulations
Community
Resources
Water
ATTACHMENT 3
C11 - 12
FY 2013-14 Projected Revenues: ~$ 15.7 Million
Sewer
Service
Charges,
91%
Cal Poly
Sales, 6%
Impact
Fees, 1% Misc, 1%
Investment
Earnings,
1%
Key Assumptions:
◦Revenue of sewer sales are based on
rate analysis of all 14,700 accounts
◦Cal Poly revenues based on flow
◦Conservative Development Impact Fee
revenue estimation
Page H-60 of the
Preliminary
Financial Plan
ATTACHMENT 3
C11 - 13
FY 2013-14 Sewer Fund Expenditures: $16.6 Million
Operating
Programs,
50%
CIP, 41%
Debt
Service, 9%
Public Art: Utilities Style
Page H-60 of the Preliminary Financial Plan
ATTACHMENT 3
C11 - 14
FY14 Significant Operating Program Changes
Annual Software - $18,000
Scooters – $5,000
WRF Minor Capital - $55,000
Sampling and Water
Quality Studies - $94,000
Project Management - $58,000
Back Flow Valve - $6,600
D-30 provides a summary of the SOPCs
ATTACHMENT 3
C11 - 15
Proposed Sewer Rates
1 unit = 750 gallons of water
Proposed Rate Current July 1, 2013 July 1, 2014
Base fee (minimum charge) $7.43 $7.73 $7.96
Volume Charges
$8.19 per unit
$8.52 per unit
$8.77 per unit
Consumption 6 Units
Sewer Current $56.57
Proposed for July 1, 2013 $58.85
Proposed for July 1 2014 $60.58
Average residential customer
ATTACHMENT 3
C11 - 16
Safe Reliable Drinking Water
Comes to a Village
Emptying a Latrine in
Kenya
Membership to a Community Toilet
ATTACHMENT 3
C11 - 17
Recommendations
1.Review and accept the 2013-14 annual Sewer Fund financial
review.
2.Conceptually approve the 2013-14 Sewer Fund budget, with
final action anticipated on June 17, 2013 with the adoption of
the 2013-15 Financial Plan; and
3.Adopt a resolution increasing sewer service charges by four
percent (4%) effective July 1, 2013 and three percent (3%)
effective July 1, 2014 provided there is no majority protest
against such increases.
ATTACHMENT 3
C11 - 18
Inspecting Industry
Creek Monitoring
Collection System
Modeling
Welcome
ATTACHMENT 3
C11 - 19
Proposition 218
Official Protest Count – Sewer Rates
•Mayor
–Open the Public Hearing
–Call for any written protests from the public
–Close the Public Hearing
•City Clerk
–Confirm number of written protests received
–Confirm total number of valid protests
Council may not adopt the proposed rates if 7,351 valid protests (50% + 1) are filed
San Luis Obispo
City of
ATTACHMENT 3
C11 - 20
Recommendations
1.Review and accept the 2013-14 annual Sewer Fund financial
review.
2.Conceptually approve the 2013-14 Sewer Fund budget, with
final action anticipated on June 17, 2013 with the adoption of
the 2013-15 Financial Plan; and
3.Adopt a resolution increasing sewer service charges by four
percent (4%) effective July 1, 2013 and three percent (3%)
effective July 1, 2014 provided there is no majority protest
against such increases.
ATTACHMENT 3
C11 - 21
ATTACHMENT 3
C11 - 22
Rate Scenarios
ATTACHMENT 3
C11 - 23
Sewer Rate Increases Last 10 Years
Adopted Proposed
04-
05
05-
06
06-
07
07-
08
08-
09
09-
10
10-
11
11-
12
12-
13
13-
14
14-
15
15-
16
16-
17
6% 14% 10% 11% 17% 9% 9% 7% 6% 4% 3% 3% 3%
ATTACHMENT 3
C11 - 24
Sewer Rate Scenarios
Decline in Revenue
2013-14
Decline in Revenue
2014-15
Effect on Working Capital
3.0% $138,500 $142,700 $29,000 in 2013-14
2.0% $276,900 $285,200 ($110,200) in 2013-14
1.0% $415,400 $427,900 ($249,000) in 2013-14
0% $553,900 $570,000 ($389,500) in 2013-14
*Does not include decline in Cal Poly revenues
Sewer Proposed 4.0% & 3.0%
ATTACHMENT 3
C11 - 25
As presented in CAR 2013-142014-152015-162016-172017-18
4.00%3.00%3.00%3.00%2.00%
Working Capital 6,487,0008,205,20011,441,3002,997,4004,562,700
Reserve (20% of operating)-1,653,900-1,649,300-1,693,600-1,739,200-1,791,400
Rate Stabilization Reserve (5% of sales revenue)-764,200-787,200-810,800-835,100-851,800
Capital Reserve for WRF upgrade -3,900,000-5,700,000-8,800,000 0 0
Unreserved Working Capital 168,90068,700136,900423,1001,919,500
delay increase 6 months, reduce Capital Reserve 2013-142014-152015-162016-172017-18
eliminate rate stabilization in 2016-17 4% (6 months)3.00%3.00%3.00%2.00%
Working Capital 6,210,0507,653,15010,594,8501,840,1503,078,950
Reserve (20% of operating)-1,653,900-1,647,200-1,691,500-1,737,000-1,789,100
Rate Stabilization Reserve (5% of sales revenue)-750,400-772,900-796,100 0 -836,400
Capital Reserve for WRF upgrade -3,700,000-5,100,000-8,000,000 0 0
Unreserved Working Capital 105,750133,050107,250103,150453,450
delay increase 6 months, reduce capital reserve,2013-142014-152015-162016-172017-18
and change rate increases 4% (6 months)6.00%3.00%3.00%2.00%
Working Capital 6,210,0508,103,35011,501,2503,227,5504,970,650
Reserve (20% of operating)-1,653,900-1,647,200-1,694,800-1,740,000-1,792,600
Rate Stabilization Reserve (5% of sales revenue)-750,400-795,400-819,300-843,900-860,700
Capital Reserve for WRF upgrade -3,700,000-5,550,000-8,800,000 0 0
Unreserved Working Capital 105,750110,750187,150643,6502,317,350
Sewer
Sewer Fund Scenarios ATTACHMENT 3
C11 - 26
As presented in CAR 2013-142014-152015-162016-172017-18
7.50%5.50%3.50%3.00%2.50%
Working Capital 9,387,5009,786,3009,866,50010,473,30011,984,300
Reserve (20% of operating)-2,854,900-2,857,200-2,916,500-2,977,400-3,043,800
Rate Stabilization Reserve (10% of sales revenue -1,702,800-1,796,500-1,859,400-1,915,200-1,963,000
Capital Reserve for WTP upgrade -4,000,000-4,250,000-4,500,000-4,750,000-6,000,000
Unreserved Working Capital 829,800882,600590,600830,700977,500
Debt Ratio 136%186%207%221%230%
delay increase 6 months, reduce Capital Reserve 2013-142014-152015-162016-172017-18
7.5% (6 months)5.50%3.50%3.00%2.50%
Working Capital 8,824,7508,642,1508,106,7508,063,6508,889,050
Reserve (20% of operating)-2,854,900-2,853,000-2,912,200-2,972,900-3,039,100
Rate Stabilization Reserve (10% of sales revenue -1,646,600-1,737,100-1,797,900-1,851,900-1,898,200
Capital Reserve for WTP upgrade -4,000,000-3,950,000-3,250,000-3,100,000-3,800,000
Unreserved Working Capital 323,250102,050146,650138,850151,750
Debt Ratio 109%159%178%190%198%
delay increase 6 months, reduce capital reserve,2013-142014-152015-162016-172017-18
and change rate increases 7.5% (6 months)6.50%5.00%3.00%2.50%
Working Capital 8,824,7508,806,7508,702,0509,102,85010,395,350
Reserve (20% of operating)-2,854,900-2,853,000-2,913,400-2,976,000-3,042,400
Rate Stabilization Reserve (10% of sales revenue -1,646,600-1,753,600-1,841,300-1,896,500-1,943,900
Capital Reserve for WTP upgrade -4,000,000-4,100,000-3,800,000-4,100,000-5,300,000
Unreserved Working Capital 323,250100,150147,350130,350109,050
Debt Ratio 109%166%199%211%220%
WaterWater Fund Scenarios ATTACHMENT 3
C11 - 27
Scenario 2
ATTACHMENT 3
C11 - 28
rate increase in 2013-14 and 2014-15, no franchi 2013-142014-152015-162016-172017-18
s, reduce capital reserve, eliminate rate stab in 16 0.00%0.00%3.00%3.00%2.00%
Working Capital 6,455,0007,701,30010,441,1001,473,9002,496,300
Reserve (20% of operating)-1,542,700-1,534,400-1,575,300-1,617,300-1,665,800
Rate Stabilization Reserve (5% of sales revenue)-734,800-734,800-756,900 0 -795,200
Capital Reserve for WRF upgrade -3,900,000-5,300,000-8,000,000 0 0
Unreserved Working Capital 277,500132,100108,900-143,40035,300
no rate increase in 2013-14, no franchise fees,2013-142014-152015-162016-172017-18
0.00%3.00%3.00%3.00%2.00%
Working Capital 6,455,0008,142,20011,344,9002,865,8004,400,000
Reserve (20% of operating)-1,542,700-1,534,400-1,575,300-1,617,300-1,665,800
Rate Stabilization Reserve (5% of sales revenue)-734,800-756,900-779,600-803,000-819,000
Capital Reserve for WRF upgrade -3,900,000-5,700,000-8,800,000 0 0
Unreserved Working Capital 277,500150,900190,000445,5001,915,200
delay increase 6 months, no franchise fees 2013-142014-152015-162016-172017-18
4% (6 months)3.00%3.00%3.00%2.00%
Working Capital 6,765,8508,773,25012,318,5504,201,2506,115,650
Reserve (20% of operating)-1,542,700-1,534,400-1,575,300-1,617,300-1,665,800
Rate Stabilization Reserve (5% of sales revenue)-734,800772,900-796,100-820,000-836,400
Capital Reserve for WRF upgrade -3,900,000-5,700,000-8,800,000 0 0
Unreserved Working Capital 588,3502,311,7501,147,1501,763,9503,613,450
Sewer
Sewer Fund Scenarios ATTACHMENT 3
C11 - 29
no rate increase in 2013-14 and 2014-15 2013-142014-152015-162016-172017-18
no franchise fees, reduce capital reserve 0.00%0.00%3.50%3.00%2.50%
Working Capital 8,896,5007,885,4006,488,1005,539,5005,414,400
Reserve (20% of operating)-2,728,000-2,725,300-2,777,600-2,833,600-2,895,700
Rate Stabilization Reserve (10% of sales revenue -1,590,300-1,590,300-1,645,900-1,695,300-1,737,700
Capital Reserve for WTP upgrade -4,000,000-3,450,000-1,950,000-900,000-650,000
Unreserved Working Capital 578,200119,800114,600110,600131,000
Debt Ratio 113%120%138%148%153%
no rate increase in 2013-14, no franchise fees,2013-142014-152015-162016-172017-18
reduce capital reserve 0.00%5.50%3.50%3.00%2.50%
Working Capital 8,896,5008,760,1008,285,6008,310,0009,210,100
Reserve (20% of operating)-2,728,000-2,725,300-2,777,600-2,833,600-2,895,700
Rate Stabilization Reserve (10% of sales revenue -1,590,300-1,677,800-1,736,500-1,788,600-1,833,300
Capital Reserve for WTP upgrade -4,000,000-4,250,000-3,650,000-3,550,000-4,350,000
Unreserved Working Capital 578,200107,000121,500137,800131,100
Debt Ratio 113%161%181%193%201%
delay increase 6 months, no franchise fees 2013-142014-152015-162016-172017-18
7.5% (6 months 5.50%3.50%3.00%2.50%
Working Capital 9,459,2509,925,05010,088,35010,786,25012,397,050
Reserve (20% of operating)-2,728,000-2,725,300-2,777,600-2,833,600-2,895,700
Rate Stabilization Reserve (10% of sales revenue -1,646,600-1,737,100-1,797,900-1,851,900-1,898,200
Capital Reserve for WTP upgrade -4,000,000-4,250,000-4,500,000-4,750,000-6,000,000
Unreserved Working Capital 1,084,6501,212,6501,012,8501,350,7501,603,150
Debt Ratio 113%120%138%148%153%
Water
Water Fund Scenarios ATTACHMENT 3
C11 - 30
ATTACHMENT 4
C11 - 31
ATTACHMENT 4
C11 - 32
ATTACHMENT 4
C11 - 33
ATTACHMENT 4
C11 - 34