|
Enterprise Funds
<br /> Water Fund
<br /> Revenues from water sales are expected to increase 5.8 percent in FY 2021/22 and by 5.8 percent
<br /> in FY 2022/23; attributable to Zone 7 rate increases. Expenses in the Water Fund are estimated to
<br /> increase overall by increase of$1.3 million or four percent in FY 2021/22 and increase by$1.8 million
<br /> six percent in FY 2022/23.The increase in FY 2021/22 is primarily related to $400,000 expected
<br /> increase in Zone 7 purchased water, increased wages and benefits including assuming that
<br /> all positions are filled,and approximately$326,000 for various non-labor increases the largest
<br /> of which is $100,000 for professional services related to new cyber security for the Supervisory
<br /> Control And Data Acquisition (SCADA) system. The increase in FY 2022/23 is primarily attributed
<br /> to increased cost of water purchased from Zone 7 ($1.5 million).The $300,000 balance increase is
<br /> primarily related to wage and benefit increases and some anticipated non-labor cost increases.
<br /> The Zone 7 Water Agency is the water wholesaler for the Livermore-Amador Valley,purchasing,
<br /> treating,and delivering water to the cities of Pleasanton and Livermore, Dublin San Ramon Services
<br /> District (DSRSD),and the California Water Service Company (serving parts of Livermore). The City
<br /> receives 80 percent of its water supply from Zone 7 and the other 20 percent from City owned and
<br /> operated wells.
<br /> The FY 2021/22 ending fund balance of $9.6 million equals 31 percent of operating expenses.
<br /> The City's reserve policy is to maintain reserves equal to a minimum of 30 percent of operating
<br /> expenses,a target of 35 percent and a maximum of 40 percent.
<br /> The following table summarizes the Water Operations and Maintenance Fund for the four years
<br /> ending FY 2022/23.
<br /> Water/Recycled Water(O&M) Actual Adjusted Projected Projected
<br /> 2019/20 2020/21 2021/22 2022/23
<br /> Beginning Balance,July 1 $13,753,773 $13,291,358 $11,424,450 $9,590,518
<br /> Revenues 30,104,916 31,747,241 33,739,541 35,624,541
<br /> Net Transfers (4,638,203) (4,447,146) (5,109,334) (5,197,017)
<br /> Expenses
<br /> Zone 7 Purchased Water 16,943,894 17,500,000 17,900,000 19,400,000
<br /> All other expenses 8,985,234 11,667,003 12,564,139 12,896,023
<br /> Total Expenses 25,929,128 29,167,003 30,464,139 32,296,023
<br /> Net Income ($462,4151 ($1,866,908) ($1.833,932) ($1,P68.499)
<br /> Ending Balance,June 30 $13,291,358 $11,424,450 $9,590,518 $7,722,019
<br /> 39 City of Pleasanton Operating Budget • FY 2021/22 - FY 2022/23
<br />
|