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Resolution 2891-111 C 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 ATTEST: .a__,,Z-1. _/-,-- Kathy Sharp,rk of the Bo rd RESOLUTION NO. 2891-11 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT ADOPTING THE BUDGET FOR THE WATER ENTERPRISE FUND FOR FISCAL YEAR 2011 -12 WHEREAS, on May 5, 201 1, the Board of Directors of the South Tahoe Public Utility District held a public meeting and exhibits of the Water Enterprise Fund Budget for the Fiscal Year 2011-12 were made public. NOW, THEREFORE BE IT RESOLVED, by the Board of Directors of the South Tahoe Public Utility District that: The attached budget in the amount of $16,160,461 is adopted for the Fiscal Year beginning July 1, 2011, and ending June 30, 2012. WE THE UNDERSIGNED, do hereby certify that the above and foregoing resolution was duly and regularly adopted and passed by the Board of Directors of the South Tahoe Public Utility District at a regular meeting duly held on the 19th day of May 2011, by the following vote: AYES: Cefalu, Mosbacher, Rise, Schafer NOES: Jones ABSENT: None 00_Q, C2(_,_ Dale Rise, Board President South Tahoe Public Utility District SOUTH TAHOE PU IC UTILITY DISTRICT 2012 Water - Reduced Capital, 0% rate increase.xls NOTES: 1. Enterprise Fund revenue is from service charges. Capital Outlay Reserve revenue is from capacity charges, capital improvement fees, grants and borrowings. 2. Capital Outlay includes the Engineering Dept expenditures. Enterprise Fund accounts for all other depts. 3. Interest expense is paid from the Enterprise Fund. Principle is paid from the Capital Outlay Reserve. 4. A cash reserve equal to two months of O &M expenses is maintained for operations. The remaining reserves are maintained for capital projects, MTBE projects and rate stabilization. 5. The MTBE Fund is exhausted by 2011/12 year end and the Rate Stabilization Fund begins. The Fund is equal to 10% of annual water rate revenue received. See the Ten -Year projection pages for more extensive notes. WATER BUDGET SUMMARY 2007/08 2007/08 2008/09 2008/09 2009/10 2009/10 2010/11 2010/11 2011/12 2011/12 ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL ESTIMATED ESTIMATED BUDGET BUDGET ENTERPRISE CAPITAL OUTLAY ENTERPRISE CAPITAL OUTLAY ENTERPRISE CAPITAL OUTLAY ENTERPRISE CAPITAL OUTLAY ENTERPRISE CAPITAL OUTLAY FUND RESERVE FUND RESERVE FUND RESERVE FUND RESERVE FUND RESERVE BEGINNING CASH BALANCES 1,493,256 21,606,129 1,628,894 19,366,619 1,598,420 14,994,784 1,648,540 9,920,794 1,684,877 7,651,192 REVENUES (1) 9,632,877 1,869,540 9,382,552 2,028,585 8,488,319 1,681,565 15,881,692 1,659,000 11,680,000 2,153,000 BORROWINGS 0 0 0 0 0 0 0 0 0 0 AVAILABLE FUNDS 11,126,133 23,475,669 11,011,446 21,395,204 10,086,739 16,676,349 17,530,232 11,579,794 13,364,877 9,804,192 SALARIES (2) 2,814,496 718,228 2,909,385 746,215 2,974,620 903,608 3,075,926 760,501 2,977,550 698,400 BENEFITS (2) 1,531,214 272,434 1,539,491 297,382 1,624,373 342,146 1,643,509 289,000 1,694,050 298,150 OPERATIONS & MAINTENANCE (2) 3,074,578 186,856 2,862,362 155,372 2,582,878 142,147 2,851,556 121,750 3,143,560 154,551 CAPITAL OUTLAY 5,012,307 6,560,714 9,015,152 9,790,468 6,051,200 DEBT SERVICE (2) 347,778 827,779 313,260 767,054 278,289 801,913 311,000 838,000 274,000 869,000 TOTAL CASH OUTLAYS 7,768,066 7,017,604 7,624,498 8,526,737 7,460,160 11,204,966 7,881,991 11,799,719 8,089,160 8,071,301 BALANCE BEFORE TRANSFERS 3,358,067 16,458,065 3,386,948 12,868,467 2,626,579 5,471,383 9,648,241 - 219,925 5,275,717 1,732,891 CAPITAL OUTLAY FUND TRANSFERS - 1,778,647 1,778,647 - 1,838,001 1,838,001 - 1,025,664 1,025,664 - 8,019,918 8,019,918 - 3,647,393 3,647,393 ACCRUAL TO CASH ADJUSTMENT 49,473 1,129,908 49,473 288,316 47,625 3,423,747 56,553 - 148,800 56,553 0 MTBE CONTAMINATION /RATE STABILIZATION FUNDS - 11,332,020 - 10,527,539 0 - 7,355,784 0 - 2,257,506 0 - 914,400 OPERATING AND CAPITAL OUTLAY RESERVES (3) 1,628,894 8,034,599 1,598,420 4,467,245 1,648,540 2,565,010 1,684,877 5,393,686 1,684,877 4,465,884 RESERVED FOR MTBE REMEDIATION (4) 11,332,020 10,527,539 7,355,784 2,257,506 RATE STABILIZATION RESERVE (4) 914,400 TOTAL RESERVE BALANCES 1,628,894 19,366,619 1,598,420 14,994,784 1,648,540 9,920,794 1,684,877 7,651,192 1,684,877 5,380,284 AMORTIZATION (NON -CASH ITEM) 49,473 49,473 49,473 49,473 49,473 DEPRECIATION (NON -CASH ITEM) 1,932,659 1,970,934 2,301,151 2,347,000 2,393,000 SOUTH TAHOE PU IC UTILITY DISTRICT 2012 Water - Reduced Capital, 0% rate increase.xls NOTES: 1. Enterprise Fund revenue is from service charges. Capital Outlay Reserve revenue is from capacity charges, capital improvement fees, grants and borrowings. 2. Capital Outlay includes the Engineering Dept expenditures. Enterprise Fund accounts for all other depts. 3. Interest expense is paid from the Enterprise Fund. Principle is paid from the Capital Outlay Reserve. 4. A cash reserve equal to two months of O &M expenses is maintained for operations. The remaining reserves are maintained for capital projects, MTBE projects and rate stabilization. 5. The MTBE Fund is exhausted by 2011/12 year end and the Rate Stabilization Fund begins. The Fund is equal to 10% of annual water rate revenue received. See the Ten -Year projection pages for more extensive notes.