|
Metropolitan Wastewater Management Commission Reserves
<br />replacements will be funded over a 20-year period and at the end of the 20-year period, the
<br />reserve will contain replacement funds for all equipment projected to be in use at that time.
<br />Estimates used in the analysis include interest earnings, inflation rates and useful lives for the
<br />equipment.
<br />ADOPTED AMENDED PROPOSED
<br />BUDGET BUDGET BUDGET
<br />FY 09-10FY 09-10FY 10-11
<br />EQUIPMENT REPLACEMENT RESERVE
<br />Beginning Balance8,085,3188,085,3188,644,644
<br />Annual Equipment Contribution517,799517,799518,000
<br />Annual Vehicle Contribution241,431241,431242,000
<br />Annual Computer Contribution35,47035,47036,000
<br />Interest300,000288,61789,900
<br />Equipment Purchases(258,710)(328,079)(105,579)
<br />Reserve8,921,3088,840,5569,424,965
<br />SYSTEM DEVELOPMENT CHARGE (SDC) RESERVES
<br />SDCs are required as part of the MWMC IGA. They are connection fees charged to new users to
<br />recover the costs related to system capacity, and are limited to funding Capital Programs. The
<br />purpose of the SDC Reserves is to collect and account for SDC revenues separately from other
<br />revenue sources, in accordance with Oregon statutes. The Commission’s SDC structure includes
<br />a combination of “Reimbursement” and “Improvement” fee components. Estimated SDC
<br />revenues for FY 10-11 are approximately $589,821. Budgeted expenditures include $50,000
<br />from Reimbursement Fees and $2,500,000 from Improvement Fees to fund portions of the
<br />annual debt service payments on the 2006 and 2008 revenue bonds. The projected beginning
<br />SDC Reserve balance on July 1, 2010 is $4,306,321.
<br />ADOPTED AMENDED PROPOSED
<br />BUDGET BUDGET BUDGET
<br />REIMBURSEMENT SDC RESERVE
<br />FY 09-10FY 09-10FY 10-11
<br />Beginning Balance2,985,0462,972,61326,496
<br />Reimbursement SDCs Collected58,12558,12558,433
<br />Interest 175,000175,000271
<br />Xfr to Debt Service (Fund 312)(3,003,963)(3,003,963)(50,000)
<br />Materials & Services(7,500)(7,500)(7,500)
<br />Reserve206,708194,27527,700
<br />Page 22 DRAFT FY 10-11 BUDGET AND CIP
<br />
|