long beach water department
DESCRIPTION
Long Beach Water Department. Review of FY 12 Budget. Water Fund Summary. Core Costs of Water Service. Purchased Water(40% of supply) MWD Tier 1 rate increase – 6.1% Adjusted total demand and imported water forecast Pumping(60% of supply) Replenishment Assessment increase – 19% per AF - PowerPoint PPT PresentationTRANSCRIPT
Long Beach Water Long Beach Water DepartmentDepartment
Review of Review of FY 12 BudgetFY 12 Budget
Long Beach Water DepartmentMay 19, 2011
Water Fund Water Fund SummarySummary
Long Beach Water DepartmentMay 19, 2011
Core Costs of Water ServiceCore Costs of Water Service
5.0%
28 $590
$512
$562Per Acre Foot (AF)
% Budget Change
$ Budget Change
FY 12Proposed
FY 11 ETC
FY 11 Budget
Purchased Water(40% of supply)Purchased Water(40% of supply) MWD Tier 1 rate increase – 6.1%MWD Tier 1 rate increase – 6.1%
Adjusted total demand and imported water forecast Adjusted total demand and imported water forecast
Pumping(60% of supply)Pumping(60% of supply) Replenishment Assessment increase – 19% per AFReplenishment Assessment increase – 19% per AF
Full pumpingFull pumping
Long Beach Water DepartmentMay 5, 2011
Imported Water RatesImported Water Rates
$350
$400
$450
$500
$550
$600
$650
$700
$750
$800
$850
July2002
Jan2003
Jan2004
Jan2005
Jan2006
Jan2007
Jan2008
Jan2009
Sept2009
Jan2011
Jan2012
Do
llars
per
Acr
e F
oo
t
2003 rate restructured, shifts to additional charges
2004 MWD Projection - $596 AF
2008 MWD Projection - $655 AF
Adopted - $794 AF
Long Beach Water DepartmentMay 5, 2011
Imported Water PurchasesImported Water Purchases
0
5,000
10,000
15,000
20,000
25,000
FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12
$ (t
ho
usa
nd
s)
-
5
10
15
20
25
30
35
40
45
50
Acr
e F
eet
(th
ou
san
ds)
Budget Actual Cost Purchase Demand
Long Beach Water DepartmentMay 19, 2011
FY 12 Budget FY 12 Budget Water Fund ExpendituresWater Fund Expenditures
NonPersonal
61,320
Personal Services19,138
CIP 19,457
Water99,915
Sewer 21,261
($ in thousands)
Long Beach Water DepartmentMay 19, 2011
Water Personal ServicesWater Personal Services
10.48 11.25 10.83 11.45
8.73 8.62 8.268.90
-
5
10
15
20
25
FY 10(Adopted)
FY 10(Actuals)
FY 11(Adopted)
FY 12(Proposed)
*Preliminary – City benefit rates not final
Salaries
Benefits
19.21 19.87 19.0920.35*
($)M
illi
on
s
Long Beach Water DepartmentMay 19, 2011
Water FundWater Fund
O&M ExpendituresO&M Expenditures
Total - $61,320
($ in thousands)
Water Purchases 23,010
Capital Equip 1,928
Pump Assess 8,299
Power 4,356
Chemicals 1,799
Material, Supplies & Svcs 6,226
Pipeline Fee 5,549
City Services 4,347
Contracts 3,891
Debt Service 1,915
Long Beach Water DepartmentMay 19, 2011
Capital Improvement ProgramCapital Improvement ProgramWater FundWater Fund
Total - $19,457
($ in thousands)
Cast Iron Main Replacement
5,815
Water Resources Facilities
8,395
Water Distribution System
1,202
Facility Maintenance
1,430
Meters and Valves
495 Recycled Water Facilities
2,120
Long Beach Water Department
Cast Iron Main Replacement ProgramCast Iron Main Replacement Program
Remaining CI Mains (LF)Remaining CI Mains (LF)
Main BreaksMain Breaks
Long Beach Water DepartmentMay 19, 2011
Water Fund Revenue BudgetWater Fund Revenue Budget
Potable Sales 58,324
Grants 800
Daily Service Charge 19,777
WRD Alamitos Barrier 4,068
Reclaimed Sales 2,381
Miscellaneous 4,562
Total - $89,912
($ in thousands)
Long Beach Water DepartmentMay 19, 2011
FY 11 Budget FY 12 Proposed
Sales and Charges 82,111 81,378
Reimbursements & Other 9,243 7,733
Grant Revenue 340 800
Total Revenue 91,694 89,912
Personal Services 19,094 20,349
O&M Expenses 57,450 60,108
CIP 14,696 19,457
Total Expenditures 91,240 99,915
Water Fund SummaryWater Fund Summary
($ in thousands)
Long Beach Water DepartmentMay 19, 2011
Sewer Fund SummarySewer Fund SummaryFY 11 Budget FY 12 Proposed
Sales and Charges 15,902 16,616
Commercial Paper 5,392 5,270
Reimbursements & Other 163 163
Total Revenue 21,997 22,049
Personal Services 3,827 4,266
O&M Expenses 10,837 10,408
CIP 7,415 6,587
Total Expenditures 22,078 21,261
($ in thousands)
Long Beach Water DepartmentMay 19, 2011
Water Rate ComparisonWater Rate Comparison
* Includes Pasadena, Pomona, Los Angeles, Glendale, Inglewood and Golden State
Source: Black and Veatch Rate Study, 5/2011
70.54
58.90
49.40
32.54
48.78
59.24
66.12
38.0640.59
$0
$10
$20
$30
$40
$50
$60
$70
$80
Sacra
men
to
San J
ose
Long Bea
ch
Oakla
nd
LA County
Avg
*
San F
ranci
sco
Los Angel
es
San D
iego
Golden
Sta
te
$ P
er M
on
th
Long Beach Water DepartmentMay 19, 2011
Sewer Rate ComparisonSewer Rate Comparison
* Includes LA County Sanitation Districts Charges of $12.70Source: Black and Veatch Rate Study, 5/2011
** Includes Pomona, Los Angeles, Glendale, Inglewood
21.65
88.33
56.13
40.47
34.2433.8533.68
23.66
$0
$10
$20
$30
$40
$50
$60
$70
$80
$90
$100
LA County
Avg
**
Long Bea
ch*
Los Angel
es
San J
ose
Sacra
men
to
Oakla
nd
San D
iego
San F
ranci
sco
$ P
er
Mo
nth
Long Beach Water DepartmentMay 19, 2011
Combined Rate ComparisonCombined Rate Comparison
Source: Black and Veatch Rate Study, 5/2011
• Includes Pasadena, Pomona, Los Angeles,
** Combined Golden State Water & LB Sewer Rates
Glendale, Inglewood and Golden State
66.7864.25
147.23
92.1989.2592.92
71.05 71.91
122.25
$0
$20
$40
$60
$80
$100
$120
$140
$160
Long Bea
ch
Sacra
men
to
LA County
Avg
*
San J
ose
Oakla
nd
Golden
Sta
te**
Los Angel
es
San D
iego
San F
ranci
sco
$ P
er
Mo
nth
Long Beach Water DepartmentMay 19, 2011
Rate Impact on Typical Monthly BillRate Impact on Typical Monthly Bill
Combined Rate Increase in FY 12 – $0.52 or 1.0% Water
Sewer
4.87 4.87 5.65 6.55 7.85 9.57 10.44 10.96
26.93 28.00 28.8430.42
34.99
40.59 40.59 40.59
-
10
20
30
40
50
60
FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12
Do
lla
rs (
$)
$51.03
$31.80 $32.87$34.49
$36.97
$42.84
$50.16 $51.55
Long Beach Water DepartmentMay 19, 2011
Next StepsNext Steps For JuneFor June
Return with recommended budget and rates Return with recommended budget and rates for approvalfor approval
July – AugustJuly – August Mail out Prop 218 noticeMail out Prop 218 notice Budget briefings with Mayor and City Council Budget briefings with Mayor and City Council
September September Prop 218 Public Hearing (September 8)Prop 218 Public Hearing (September 8) City Council AdoptionCity Council Adoption Budget and rates effective October 1, 2011Budget and rates effective October 1, 2011
Long Beach Water DepartmentMay 19, 2011