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CITY OF CLEARWATER FY 2006 STORMWATER REVENUE SUFFICIENCY ANALYSIS - FINAL REPORT I I I I I I I I I I I I I I I I I I I CITY FeL RWAJ:'R FY 2006 Storwater Revenue S" ,ciency A 'lysis - Final Report - June 28, 2006 Prepared by: ll>>r~HnM~~H~lij~~~ Specialists in Water Resources Economics TABLE OF CONTENTS TABLE OF CONTENTS..... .......... ....................... ......... ................................ .......... i Section I - Introduction.......................................................................................... 1 A. Objective and Scope..................... .......................... .... .............. ...... ............ 1 B. Study Procedures.............. ........................... ........... .................... ............ .... 1 Section II - RSA Results ........................................................................................4 A. Description of the Analysis............ ................... ........... ........... ........... ......... 4 B. Assumptions of the Revenue Sufficiency Analysis .................................... 5 1. Revenues and Expenses ........................................................................5 2. Operations & Maintenance Cost Additions .......................................... 5 3. Payment in Lieu of Taxes Calculation.................................................. 6 4. Cost Escalation...................................................................................... 6 5. Borrowing Assumptions ............... .... .... ............... ..... ........................ .... 6 6. Interest Earnings on Invested Funds ..................................................... 7 7. Interest Earnings on Capital Projects Construction Fund..................... 7 8. Capitalized Interest on New Debt Issuances......................................... 7 9. Interim Financing......... ...... ................. ..................... ... ........ ....... ....... .... 7 10. Growth. ............ ........................ ............... ...... ............... ......... ......... ....... 7 11. Minimum Working Capital Balances in Unrestricted Reserves........... 8 12. Capital Projects Funding .................. ..................... ....... ......................... 8 13. Debt Service Coverage .........................................................................8 C. Results......................................................................................................... 8 City of Clearwater Pinal Report i Burton & Associates Utility Economics 1. 2. 3. .~ 4. 5. ,"* Scenario 1.............................................................................................. 9 Scenario 2.............................................................................................. 9 Scenario 3............................................................................................ 1 0 Scenario 4.. ......... ...... ............... ...... ........... .... ......... ..... ........... .... .......... 11 Supporting Analysis............................................................................ 11 Section III - Conclusions and Recommendations ................................................16 A. Revenue Sufficiency Analysis Conclusions ............................................. 16 B. Revenue Sufficiency Analysis Recommendation..................................... 17 .. Appendix A - Scenario 1...................................................................................... 18 "" Schedule 1A - FAMS-XL @ Control Panel................................................... 19 Schedule 5A - Capital Improvement Plan...................................................... 20 Appendix B - Scenario 2 ......................................................................................21 Schedule 1B - FAMS-XL @ Control Panel................................................... 22 Schedule 5B - Capital Improvement Plan...................................................... 23 Appendix C - Scenario 3 ..... .............. ........................... ........... .............. ............... 24 Schedule 1C - F AMS-XL @ Control Panel................................................... 25 Schedule 5C - Capital Improvement Plan...................................................... 26 Appendix D - Scenario 3 ......................................................................................27 Schedule 1D - FAMS-XL @ Control Pane!.................................................... 28 Schedule 2 - Assumptions.... ............... ............................. ........... .............. ...... 29 Schedule 3 - Beginning Balances................................................................... 30 Schedule 4 - FY 2006 Budget........................................................................ 31 ,j Schedule 5D - Capital Improvement Plan...................................................... 32 "" City of Clearwater Pinal Report ii Burton & Associates Utility Economics .. Schedule 6 - Forecast of Net Revenues and Debt Service Coverage............. 33 Schedule 7 - Summary of Projection of Cash Inflows ...................................34 .. Schedule 8 - Summary of Projection of Cash Outflows ................................ 35 '11 4;j Schedule 9 - Capital Projects Funding Sources .............................................36 Schedule 10 - Future Long-Term Borrowing Projections.............................. 37 ~ Schedule 11 - Future Interim Financing Projections...................................... 38 Schedule 12 - Funding Summary By Fund ....................................................39 'M '</ "" City of Clearwater Pinal Report iii Burton & Associates Utili!)! Economics '" REVENUE SUFFICIENCY ANALYSIS SECTION I - INTRODUCTION '4 Section I - Introduction ",. .. ~ This report presents the results of the FY 2006 Revenue Sufficiency Analysis (RSA) which was conducted for the City's Stormwater Utility System (Utility). This RSA was based upon a planning period of FY 200i through FY 2011. This section presents the objective and scope of the RSA and the procedures employed in the conduct of the RSA, while Section II presents the results of the RSA and the supporting schedules and Section III presents the conclusions and recommendations of the RSA. ... ;:;,jj ,~ .. A. Obiective and Scooe .. The objective of this RSA was to: ,., Evaluate the sufficiency of the City's stormwater rates over a five-year planning period. This evaluation included the development of financial management programs consisting of plans of annual rate increases and alternative levels of Utility cost requirements from FY 2007 through FY 2011. B. Studv Procedures " During this RSA we developed alternative financial management programs through interactive work sessions with City staff. During these work sessions we examined the impact of alternative scenarios upon key financial indicators by use of graphical representations projected on a large screen from our computer rate models .. 1 The analysis begins with FY 2006 data, however, the majority of this information serves as base data upon which future year projections of revenue and expenses are based. As such, for purposes of this analysis, FY 2006 is not considered to be part of the planning period. i!iII City of Clearwater Pinal Report 1 Burton & Associates Utility Economics ;111 '~ REVENUE SUFFICIENCY ANALYSIS SECTION I - INTRODUCTION .... ~1ilI "" which were up and runnmg and upon which we conducted alternatives analyses interactively with City staff. ... .. .. In order to initialize our analysis, we obtained the Utility's historical and budgeted financial information regarding the operation of the Stormwater Enterprise Fund. We also obtained the Utility's six-year capital improvement program, including annual renewal and replacement requirements. We documented the Utility's current debt obligations for the Stormwater Enterprise Fund and the covenants, or promises made to bond holders or other lenders, relative to net income coverage requirements, reserves, etc. We also counseled with City staff regarding other assumptions and policies that would affect the Stormwater Enterprise Fund such as additional capital and operations and maintenance expenses outside of the Utility's budget, required levels of working capital reserves, earnings on invested funds, escalation rates for operating costs, etc. .. .. HI .. 011 1'" ... '.;5 All of this information was entered into our proprietary Financial Analysis and Management System (FAMS-XL @) interactive model. The FAMS-XL @ model produces a ten-year projection of the sufficiency of the Utility's revenues to meet all of its current and projected financial requirements and determines the level of rate revenue increases necessary in each year to provide sufficient revenues to fund all of the Utility's requirements. In this instance, alternative financial management programs were developed either in this manner or based upon a specified level of rate increase. The financial management programs based upon a specific level of rate increase were the result of FAMS-XL @ being utilized in a revenue limited capacity, where specified annual rate adjustments were input in order to determine the amount of revenue projected per year available to the Utility. Then the amount of total capital expenditures per year was adjusted to levels that could be adequately funded while allowing the Utility to meet its annual debt service payment and coverage requirements within the confines of the revenue produced by the specified annual rate adjustments that were input into F AMS- XL @ model. il!Ii .. " .. City of Clearwater Final Report 2 Burton & Associates Utility Economics %8 .. REVENUE SUFFICIENCY ANALYSIS SECTION I - INTRODUCTION 4i FAMS-XL @ also utilizes all available and unrestricted funds in each year of the planning period to pay for capital projects, in accordance with the rules of cash application defined with City staff within the model. This produces a detailed summary of the funding sources to be used for each project in the capital improvements program. .. To the extent that current revenues and unrestricted reserves are not adequate to fund all capital projects in any year of the planning period, the FAMS-XL @ model identifies a borrowing requirement to fund those projects, or portions thereof that are determined to be eligible for borrowing. In this way the F AMS-XL @ model is used to develop a borrowing program that includes the required borrowing amount by year and the resultant annual debt service obligations of the Utility for each year in the planning period. '" .. .. '. <iii '<'/II ;;tj lll!t City of Clearwater Final Report 3 Burton & Associates Utz'lity Economics .. .. REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS ,~ Section II - RSA Results "^, .- "'it, This section presents the results of the analysis and the financial management programs evaluated during the conduct of this RSA. As described previously, this analysis was performed to determine financial management programs consisting of annual rate increases and alternative levels of cost requirements for the Stormwater Enterprise Fund from FY 2007 through FY 2011. '. ,"" ;If '" The first sub-section presents a description of the RSA, while the second sub- section outlines the assumptions, funding strategies, and adjustments of the RSA. The third sub-section provides the results of the RSA, while the Appendices include detailed financial analysis schedules supporting the financial management programs evaluated herein. "" A. Description of the Analvsis The RSA was performed using the Utility's historical and projected information regarding the operation ofthe system. The Utility's Comparative Balance Sheet as well as Restricted Asset Statement for September 30, 2005 were used as sources for historical financial information in order to establish the beginning balances of various funding sources. It is important to note that funds reserved or encumbered for specific capital projects were included in our analysis in the beginning fund balances available for capital projects in FY 2006 and the associated capital project costs were included in the capital improvement plan in FY 2006. Rate revenue projections from FY 2007 through the end of the planning period were based upon the Utility's FY 2005 actual results plus growth and the appropriate rate increase. All other revenue projections were based upon the Utility's FY 2006 Budget. Expense projections were based upon the Utility's FY 2006 Budget with specific additions and adjustments described in the next sub-section. City of Clearwater Pinal Report 4 Burton & Associates Utility Economics " REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS .. During the conduct of this RSA, we communicated with City staff regarding various assumptions used in the development of the analysis presented in this report. The major assumptions included in RSA are listed in the next sub-section. 4fP dIlli B. Assumotions of the Revenue Sufficiencv Analvsis The assumptions, funding strategies, and adjustments included in the RSA are as listed below: '" 1. Revenues and Expenses ".1ilI .. The FY 2006 rate revenue projections are based upon the Utility's FY 2005 actual results plus growth and appropriate rate increases. All other revenue projections are based upon the Utility's FY 2006 Budget. FY 2006 operations and maintenance expenses are based on the Utility's FY 2006 Budget. All FY 2006 revenues and expenses serve as the base year for future projections. "iliii 2. Operations & Maintenance Cost Additions In addition to the budgeted amounts of operations and maintenance (O&M) expenses, new costs have been included in the analysis. These are annual costs that are projected to begin in FY 2010 and are escalated each year based upon the appropriate escalation factor. The additional costs are for a new full-time position in the amount of $37,000 and fleet maintenance charges of $22,000. In addition to these expenses projected to begin in FY 2010, new costs have also been added to the analysis that are projected to begin in FY 2011. The costs that are projected to begin in FY 2011 are for another full-time position in the amount of $38,700 as well as additional fleet maintenance charges of $5,500. <II City of Clearwater Pinal Report 5 Burton & Associates Utility Economics .. REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS 3. Payment in Lieu of Taxes Calculation The annual calculation of the Payment in Lieu of Taxes transfer is based upon 5.50% of the prior year's total operating revenues each year throughout the planning period. 4. Cost Escalation -41 Annual cost escalators for the various types of O&M expenses were provided by City staff and applied in each year of the planning period beginning in FY 2007 and can be seen on Schedule 2 in Appendix D of this report. Furthermore, the specific additions to the O&M costs not included in the Utility's FY 2006 Budget were escalated each year based upon the appropriate cost escalator. ,'A 5. Borrowini! Assumptions The RSA assumes that new debt issued during the planning period would carry the following terms: Long Term Debt: ./ Term: 30 Years ./ Interest Rate: 5.50% in FY 2006, 5.75% in FY 2007, 6.00% in FY 2008 and 6.25% in FY 2009 throughout the rest of the planning period. Interim Financing ./ Term: 20 Years .. City of Clearwater Pinal Report 6 Burton & Associates Utt1#y Economics .. . ,. REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS ./ Interest Rate: 3.50% in FY 2006 and 4.00% per year in FY 2007 and each year thereafter throughout the remainder of the planning period. 6. Interest Earnine:s on Invested Funds ?4 It is assumed interest earnings on invested funds would be 3.50% in FY 2006 and 4.00% per year in FY 2007 and each year thereafter. 0i)jj 7. Interest Earnine:s on Capital Projects Construction Fund ''11 It is assumed that interest is earned on funds dedicated for elP projects based upon spending of 1/3 of the project cost in years one through three of construction. Furthermore, it is assumed that the interest rate is the same as that for invested funds as outlined above. lIIl .. 8. Capitalized Interest on New Debt Issuances di It is assumed that one year of interest from new long-term debt issuances is capitalized. 9. Interim Financine: It is assumed that interim financing is utilized in FY 2006, FY 2007 and every other year thereafter and that long-term debt issuances would occur in FY 2008 and every other year thereafter as appropriate. This interim borrowing is refinanced in the subsequent year as part of the proceeds of the long-term borrowing. 10. Growth No growth is assumed for this analysis. ,I;jj ..-~ City of Clearwater Pinal Report 7 Burton & Associates Utility Economics '" .. ""tt REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS ,\'!If 11. Minimum Workine: Capital Balances in Unrestricted Reserves ~.. The RSA assumes that the Utility will maintain a minimum Working Capital Reserve (WCR) fund balance in an amount equal to three months of O&M expenses. +'II 12. Capital Proiects Fundine: 4: -~~ The capital improvement plan (CIP) budget expense levels are included in the analysis by project. The assumed funding levels for each financial management program evaluated herein are discussed in Section II.C of this report and are identified on Schedule 5 for each respective scenario. '. '.. 13. Debt Service Coverae:e ,j1; There are two debt service coverage tests in the Utility's outstanding bond covenants as follows: ~ 1) Rate Covenant - Net income must be at least 1.15 times annual debt service 2) Parity Test - Net income must be at least 1.20 times maximum annual debt service (only in years when revenue bonds are issued) C. Results '. As described earlier, our approach to this RSA was to determine financial management programs (also referred to as "scenarios" from this point forward) and corresponding plans of annual rate adjustments and alternative levels of Utility cost requirements over the planning period. The first financial management programs identified the annual rate increase requirements calculated by our F AMS- XL ~ model based upon the revenue and expense data initialized into the F AMS- XL ~ model as '.. City of Clearwater Pinal Report 8 Burton & Associates Utility Economics .. REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS provided by City staff. The final two alternative financial management programs identify the amount of annual CIP costs that the Utility can execute based upon the revenue provided by specified plans of rate increases input into our F AMS- XL @ model for each of these respective financial management programs. Each of these financial management programs is described in greater detail below. 1. Scenario 1 Scenario 1 is the financial management program that reflects the currently approved rate increases through FY 2009 and for the remainder of the projection period reflects the annual rate increases as identified by our F AMS- XL @ model based upon 100% of the O&M and CIP expenditure data provided by City staff. As a result, this scenario supports the funding of approximately $48.8 million of capital improvement costs over the planning period ofFY 2007 through FY 2011 (or $9.75 million per year on average). The specific rate increases required as identified by FAMS-XL @ in each year as well as a summary of the results of this scenario can be seen on Schedule 1A included in Appendix A of this report. Similarly the corresponding CIP is included on Schedule 5A of Appendix A as well. 2. Scenario 2 ;oii Scenario 2 is the financial management program that reflects the annual rate increases as identified by our F AMS- XL @ model based upon 100% of the O&M and CIP expenditure data provided by City staff in all years of the projection period. As a result, this scenario also supports the funding of approximately $48.8 million of capital improvement costs over the planning period of FY 2007 through FY 2011 (or $9.75 million per year on average). The specific rate increases required as identified by FAMS- .~ "" City of Clearwater Pinal Report 9 Burton & Associates u#Uty Economics ill "" REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS XL @ in each year as well as a summary of the results of this scenario can be seen on Schedule IB included in Appendix B of this report. Similarly the corresponding CIP is included on Schedule 5B of Appendix B as well. 3. Scenario 3 .~ This financial management program reflects the financial results to the Utility of specifying an annual rate adjustment plan. This particular scenario is based upon the extension of the currently approved 3.00% annual rate increase throughout the projection period. Based upon the revenues provided by the 3.00% annual rate increase and 100% of the Utility's CIP Budget, there would not be sufficient revenues to satisfy the Utility's system requirements over the projection period; specifically, the Utility would not have adequate net income to satisfy debt service coverage requirements of its bondholders or be able to maintain a working capital reserve balance. '1iiIIi In order for 3.00% rate increases per year to generate enough revenue to satisfy the Utility's requirements, the Utility would have to only execute the basic renewal and replacement component of its CIP on an annual basis, which is equal to 20.00% of its CIP each year on average (less than $2 million per year on average, for a total of $9.75 million over the entire planning period). By executing only 20% of the CIP, the Utility would only be able to fix remedial problems or failures with the system and would not be able to significantly improve the efficiency of the system or expand the capabilities of the system. Furthermore, if the Utility were to only execute 20.00% of its current CIP, the Utility would lose its grant status, and as a result may have difficulty acquiring grants on future projects. A summary of the results of this scenario can be seen on Schedule lC included in Appendix C of this report. Similarly the corresponding CIP is included on Schedule 5C of Appendix C as well. ,. City of Clearwater Final Report 10 Burton & Associates Utility Economics .. REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS 4. Scenario 4 - The final scenario identified an annual plan of rate adjustments that would allow the Utility to fund its portion of projects for which it will receive matching grants in addition to the renewal and replacement costs identified in Scenario 3. Through discussions with City staff, it was determined that executing 75% of the Utility's current CIP would allow the Utility to fund its portion of grant-related projects (and subsequently allow the Utility to continue to qualify for and receive grant funding in the future) as well as execute the renewal and replacement projects in its CIP that are necessary to maintain the system. As such, it was determined that 75% of the CIP budget ($7.3 million per year on average, or $36.6 million over the entire planning period) could be funded in each year with the revenue resulting from an annual rate adjustment plan of 6.00% per year beginning in FY 2007 through FY 2011. A summary of the results of the rate adjustment plan utilized in Scenario 4 can be seen on Schedule ID included in Appendix D of this report. Similarly the corresponding CIP is included on Schedule 5D of Appendix D as well. '.. " i!jf '" "" 5. Supporting Analysis The supporting analysis for the development of the financial management programs or scenarios presented in the prior sub-section is presented below. a. Basis for the Analvsis The scenarios presented in this report were developed by preparing a six-year projection ofthe financial results of the Utility, starting with the current rates in FY 2006. .. For Scenario 2 (and for Scenario 1 beginning in FY 2010 instead of FY 2007), this baseline projection determined the minimum level of rate revenue required in FY 2007, the first projected year, and compared that to the projected rate revenue in FY 2007 ~ "'t City of Clearwater Pinal Report 11 Burton & Associates Utility Economics .. ... .><1 REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS ,. with current rates. To the extent that an increase in rate revenue was needed in FY 2007, the model determined the amount of additional rate revenue required in FY 2007 and determined the percentage increase in rate revenue that that represented. This process was repeated for each subsequent year in the planning period to determine the amount of additional rate revenue required in each year, compared to the rate revenue projected with the rates from the prior year. '<,;W ... .. For Scenarios 2, 3 & 4 (and for Scenario 1 from FY 2007 through FY 2009) the model applied a specified annual rate increase to the base revenues utilized in the analysis. For example, in Scenario 3, the same level of rate increase, 3.00% per year, was applied in each year of the planning period (FY 2007 through FY 2011) as well as for the entire projection period (FY 2007 through FY 2016) for illustrative purposes. After the annual amount of rate increase was input for each respective scenario, it was determined that the levels of annual rate increases would not generate enough revenue for the Utility to execute 100% of its CIP in either scenario. Through interactive work sessions with City staff, it was then determined what portion of the Utility's CIP could be executed based upon the revenues produced within each respective scenario. ... " ". .. ;118 MI <II b. Financial Results of Ooerations and Sources and Uses of Funds Appendix A of this report presents Schedule 1A for Scenario 1, which assumes the approved 3% per year rate increases through FY 2009 and the just-in-time rate increases described earlier for the remainder of the projection period are implemented in order to fund 100% of the Utility's CIP. Schedule 1A contains the Control Panel that presents a summary of the results of the financial management program, including the annual rate increases, debt service coverage ratios, capital improvement spending levels, customer impacts, and fund balances. Schedule 5A presents a project listing of the capital improvement plan assumed to be funded in this scenario. .. City of Clearwater Pinal Report 12 Burton & Associates Utility Economics .. ;llII REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS lil Appendix B presents Schedules IB and 5B for Scenario 2, which reflects the just- in-time rate increases described earlier that are necessary to fund 100% of the Utility's .mi\i CIP. ~ Appendix C presents Schedules 1 C and 5C for Scenario 3, which reflects a 3.00% annual rate increase and funding of 20% of the Utility's annual CIP (only the renewal and replacement portion of the CIP). '. ,~ Appendix D presents Schedule ID through Schedule 12 for Scenario 4, which assumes a 6.00% annual rate increase and funding of 75% of the CIP each year (representing only grant-related projects and the renewal and replacement portion of the CIP). " '" wi It is important to note that although the planning period in this RSA is from FY 2007 though FY 2011, the schedules presented in the Appendices extend for a ten-year projection period (FY 2007 through FY 2016) so that any significant revenue deficiencies outside of the planning period may be identified and potentially addressed in this RSA to the extent necessary. '" Schedules 2 through 4 of Appendix D present detailed schedules of the inputs and assumptions that are applicable to all of the financial management programs developed in this RSA. Schedule 2 contains many of the assumptions described in Section ILB. Schedule 3 contains the end of FY 2005 fund balances that serve as the beginning balances of our analysis. Schedule 4 contains the detailed operating expense departmental budget for FY 2006 provided by City staff. As mentioned previously, Schedule 5D provides a listing of the CIP projects and funding amounts assumed for Scenario 4 only. '. Schedules 6 through 8 are summary level financial schedules that correspond to only Scenario 4 of this RSA. Schedule 6 is the Pro Forma schedule that presents a oil City of Clearwater Pinal Report 13 Burton & Associates Utilt"ty Economics .. REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS projected income statement, debt servIce coverage analysis, and cash flow analysis. Schedule 7 contains a detailed list of all projected cash inflows from FY 2006 through FY 2016. Schedule 8 contains a detailed list of all projected cash outflows from FY 2006 through FY 2016. ,,. Schedules 9 through 12 present detailed financial results of the analysis for Scenario 4 only. Schedule 8 shows the funding sources utilized to pay for the total capital improvement plan spending levels identified on Schedule 5D. Schedules 10 and 11 contain the calculation of annual long-term borrowing and interim financing amounts respectively. Schedule 12 presents a fund level cash flow reconciliation, providing the beginning balance in each year, the amount utilized for project funding, interest calculations, and the end of year fund balance. 1) System Revenues Revenues can be considered as 1) rate revenues subject to rate increases, and 2) all other categories of revenue. Rate revenue for FY 2006 was projected based upon the Utility's FY 2005 actual results plus growth and appropriate rate increases. Rate revenue for the fiscal years after FY 2006 were projected based upon additional rate revenue from the rate increase assumed in each year for each respective scenario. All other non-rate revenues were projected in subsequent years, by category of revenue, to be the same as the FY 2006 budgeted revenue for those revenue categories, except that budgeted interest revenue was not used as an input to the rate model. The model calculates interest earnings each year based upon average fund balances (interest income is shown by fund on Schedule 12 for Scenario 4 only). 2) Revenue Requirements The annual revenue requirements used in the projection of required rate revenues were based upon budgeted O&M expenses, miscellaneous other .. City of Clearwater Pinal Report 14 Burton & Associates Utility Economics " REVENUE SUFFICIENCY ANALYSIS SECTION II - RSA RESULTS '" expenses such as transfers out or payment in lieu of taxes, capital costs of the Utility for FY 2006, and the cost additions described in Section H.B. In subsequent years of the planning period, individual O&M costs were adjusted based upon the appropriate cost escalation factor provided by City staff described in Section H.B. Annual capital costs were adjusted to reflect the corresponding level of execution described in each scenario. Schedules 5A, 5B, 5C, and 5D contain the Utility's CIP that was utilized as a basis for developing each respective scenario presented in this report. ... ',if "'!Ii ''111 4 i. ,~ City of Clearwater Pinal Report 15 Burton & Associates Utz1ity Economics ,;if '. REVENUE SUFFICIENCY ANALYSIS '\4 SECTION III - CONCLUSIONS AND RECOMMENDATIONS Section III - Conclusions and Recommendations "',.. This section presents the fundamental conclusions and recommendations of the '".; RSA. .. A. Revenue Sufficiencv Analvsis Conclusions '" o. \'" We have reached the following conclusions regarding the sufficiency of the City's stormwater rates over the planning period from FY 2007 through FY 2011: .. .'ifJ . Based upon the assumptions described above in Section II.B, Scenario 1 (consisting of the approved annual 3% increases through FY 2009 and 'just- in-time" rate increases as calculated by FAMS-XL <<;;) each year thereafter) would satisfy 100% of the capital requirements of the Utility during the planning period2. ~ ... . Based upon the assumptions described above in Section ILB, Scenario 2 (consisting of "just-in-time" rate increases as calculated by FAMS-XL <<;;)) would satisfy 100% of the capital requirements of the Utility during the planning period. 2 For Scenario 1, there is one year of the planning period (FY 2009) in which the debt service coverage is 1.14 versus a requirement of 1.15. However, given the Utility's historical capital spending at levels less than the annual CIP budget as well as annual operational performance better than budgeted/forecasted, it is unlikely that the debt service coverage will actually be below the requirement for this scenario. Nevertheless, to the extent this Scenario were adopted, the City will perform a revenue sufficiency analysis update in FY 2008 and if at that time it appears that the debt service coverage will be less than the requirement, adjustments will be made in other areas of the financial plan for this scenario. City of Clearwater Pinal Report 16 Burton & Associates Utility Economics .. REVENUE SUFFICIENCY ANALYSIS .1l4l SECTION III - CONCLUSIONS AND RECOMMENDATIONS ,;j . Based upon the assumptions described above in Section Ll.B, Scenario 3 (consisting of 3.00% annual rate increases beginning in FY 2007 through FY 2011) would only allow the Utility to fund 20% of its CLP on an annual basis, representing only the renewal and replacement component of its CLP. "" "i N!If . Based upon the assumptions described above in Section Ll.B, Scenario 4 (consisting of 6.00% annual rate increases beginning in FY 2007 through FY 2011) would allow the Utility to fund 75% of its CLP on an annual basis, representing the Utility's portion of grant-related projects and the renewal and replacement component of its CLP. ,'* '" '" .. ""l B. Revenue Sufliciencv Analvsis Recommendation <II 1 Based upon the analysis presented herein and the conclusions presented in the previous sub-section, we recommend the following: ., . The City should adopt Scenario 4, with annual rate increases of 6.00% beginning in FY 2007 through FY 2011 in order to maintain its grant status and subsequently be able to execute the grant-related projects in its CLP as well as perform the minimal annual renewal and replacement necessary to maintain the system. . 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J l::l I I i ~i !ii!l~ I ~ f JI I f l::l -<~ I ~f' a ~ !] ! j .. ~ ! Ii;!! I!!~~ t>-S I W -! j. i I HuHtj. ;IW .. 1: ;j~] ;ill I ~~ I' I J 1 ~" i;1 Jt~!5~! IJJillll ~:i!~ ~~jl~ffl~i ~~ ~ .=: I ~ I I I I II il ~I I I I II I I .1 ~I I II I I I I I REVENUE SUFFICIENCY ANALYSIS APPENDIX D SCHEDULE 3 - BEGINNING BALANCES CITY OF CLEARWATER Stormwater Financial Management Program Summary ~ FUND TInE 04 Bond Construction Fund 3Sl 99 Bond Construction Fund 375 02 Bond Construction Fund 3n Capital Improvements Fund 315 Revenue Fund Restricted Reserves Total Consolidated Fund Balance 101112005 7.001,102 754,515 4,641.013 871 6.965 ,200 2,472 ,452 21.835,153 s s s s s s s REVENUE FUHD DETAIL aJRREHT UNRESTRICTED ASSETS Equity in Pooled Cash & Investments Accounts & Contracts Receivable, Net of Unbilled Charges Est. Due From Other Funds Prepaid Items Total Current Unrestricted Assets Less: Accounts and Contracts Payable Less: Accrued Payroll Less: Current Potion of LT Uabilities Total Unrestricted Working Capital Plus/(Less): Working Capital Adjustment Het Unrestricted Worklna CaDital Available EOY - FY 2005 2,262 ,ll59 535 JXJ7 4,716,502 136 7,514,614 (200 ,226) (70,921 ) (278 ,267) 6.965 ,200 s s s s S $ $ $ S S S 6.965 ,200 Restricted Assets 04 Bond Debt Service Fund 2lJ 99 Bond Debt Service Fund 274 02 Bond Debt Service Fund 276 05 Bond Debt Service Fund 2n Total Noncurrent Restricted Atsets Less: Accrued Interest Payable Less: Current Portion of LT Uabilities - Revenue Bonds Het Restricted Balance s s s s S $ $ S 1,437,139 139 ,848 2,414,923 121,845 4,113,755 (794,151) (847,152) 2,472,452 Reserved Or Restricted Reserves Available For Capital Funding 04 Bond Construction Fund 3Sl 99 Bond Construction Fund 375 02 Bond Construction Fund 3n Capital Improvements Fund 315 Total Restricted Reserves Available For OP s s s s s 7.001,102 754.515 4,641.013 871 12,397.501 City of Clearwater Pinal Report 30 Burton & Associates Utility Economics I REVENUE SUFFICIENCY ANALYSIS I APPENDIX D II II I !I SCHEDULE 4 - FY 2006 BUDGET CITY OF CLEARWATER Stormwater Financial Management Program Summary ~ Op.r.do... .nd ..hlt.n.nce Exp._ Intem.' Dt3t15 EntI- S.rvlce D2tlID "'* Ser. o.arg. ~. ~.... fatal Cod. Daecrlpden .....'- 510100 Full Time Salaries & Wages Qi,nJ l,E,I3J 1,819,36lJ 51 D500 Overtime 1,7!(l 9,970 11,760 520100 Ufe Ins S2500 Empl & Pens III 3lIl - 520200 1 % Life Insurance-Employee 3 .2lXl 6,Z2lJ 9,420 520300 Semp Life Insurance 73J 220 ~ 520400 Major Medicallns-Emp 51 .2lXl 243.2lXl 294,400 52lBXl Social Security-Employee 3,B3J 21 ,D7O 2.,900 5207DO Emp Pension Plan 43,470 129,160 1n,630 520900 Workmans Compenution 5 ,lJ3J 75,470 10,500 521000 Disabil~y Insurance 520 5ZO 53)100 Professional SeMces ~.ooo 16.000 7O,IJOO 53J3JO Other Contractual Serv 339 ,500 78,600 .18,100 ~loo Gerage SeMcn 1,73J nl,410 m,140 ~ Doc Repro & Print Shop SYC 640 640 540300 Telephone SeMce Variable 2,100 1 .6lIl 3,780 ~ Radio SYC-Fixed 13,210 S 13,210 ~ Telephone SYC Fixed 1,560 2,100 S 3,660 ~oo Postal SeMce I S ~ Risk Mgml SeMce I 1,610 I 7,6'!JJ S 9,l6O ~looo Info Technology Charge I 46,63) 82,260 S 128,890 ~15OO Garage Variable 15,900 S 15,900 541l1lO Administrative Charge 342,nJ S 342,l3O 542000 Employee Benefits-Fixed BIll 4 .2lXl S 5,11l1O 542500 Postage 1!ll !ll I ZOO ~2700 Interfd S'fC Ch~Other Fund 3,lm S 3,690 542l1lO Interfd Other Serv Chgs 902 ,<<0 S 9OZ,<<D 542900 Interfd Admin SeMce Chg 448,6'!JJ S <<8.6'0 543200 Other Promotion Activity 100 S 100 543400 Printing & Binding 100 S 100 ~ Dump Fee 111I.000 S 11O,IJOO 5<< 100 Equip! Rental 100 12,400 S 12,500 ~51oo Insurance 51,540 S 51,540 546100 O1Iice Equip S'fC & Repair 100 S 100 546200 Other Equip SYC & Repair 500 3.000 S 3,500 547100 Uniforms-Employee I 700 12,350 S 13,D50 ~7200 Travel Expense-Emp I 7,700 5 .2lXl S 12,900 5473)0 Mileage Reimbursement I 500 300 S 8lIO 547400 Meals-Employee 100 310 S .10 54lIlOO Other SeMces Or Charges 100 S 100 5!llloo O1Iice Supplies 700 600 S 1,300 550400 Operating Supplies & Malls 5,320 200.000 S Z05,3Z0 552500 S750-!llOO Mach & Equip S 552600 Flee. Cap~al Tracking S 557100 MembershipslSubslUc Emp 4,700 1 ,lIlO S 6,500 557200 O1Iicl Recogn~io....Emp III 3lIl S - 557300 Training & Ref Employee 11,500 I 5,93J S 17,430 564000 >55.000 Machinery & Equip I 9.000 S 9,1JOO 565lIlO Cost Mall & SeMces I 410 S .10 T....I Op.r.d.... and ..hltenance Expe_ l ,lJ25,820 I 5,Q43,470 S 6,116!1,l9O Traner... Out 590200 Interfund Transfer I 521 ,910 I S 521,910 592100 Princ- T 8fT 0 Skg Fund I I S 592200 Int-TsfTo Skg Fund I I S T..... Tr.nera.. Out I 521 ,910 I S 521,910 Capltel Outlay 571300 Principa~Leased Equipment I I 220 ,760 S 220,760 572300 Interest-Leased Equip! I I '.,9,0 S 1.,910 500DJ Contribution To Cip Fd I I S 591000 Contrib To GmQe Fund I S S T..... Capital Outlay S S 235 ,670 S 235,670 TOTAL OPfRATlIlG AlII) CAPITAL EXPENDITURES S City of Clearwater 31 Burton & Associates pz'nal Report U tilz"ty Economics I I II I I I I I I II I I I I I I rn ~ I ~ . ~ II ~ I 0 'I Z I ~ I ~ ~ . ~ rn '. ~ I Z '. ~ I. ~ I .D n . I Ii; I II I 'I I ,I I I I I I Q ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ 8: ~ ... ~ ~ o I Q It') ~ ;l Q ~ =: o rI2 ~ ...............,........, ~i CD . ~ ~ ~ ~ ~ ! ! ! m ~ M.MMMM._._..__._.__________ . . , . . . . . . . . . . . . . . . . . , . . . .1_ ~l CD. --------------------------- . . . . . . , . . . . , . , . . . , . . . . . . .Ill ~!! cD"; --------------------------- . . . . . . . . , , , . . . . . . . . . , . . . ,~~ iH~ ,..:,.: --------------------------- ." .g.". .~g. .g.... .~~~~~.I ~ ~~ ~ mm~m~ ~ - - =: --------------------------- '" .g.." .ij~. .llt. ,g. .~.a~Ia~_.~ ~ ~~ ~ w m~~~~ ~ '" - .. --------------------------- .., .i.... .!a&, .~."" .laa&a..l ~ ~~ ~ "''''~''' ~ !<t ittitt ~ ~~-~ tIl. - ~ --------------------------- ... .ij.... .~g. .i.... .~~~~..~ ~ ~lit w --~- ~ ~ _ _ .~c. ~ m m ---- - . --------------------------- ... .~.,.. ,~.~. .~g.g. .~&~.~,.~ ~ ~~ ~~ w m~~m ~ on --------------------------- g.. ,g.... .gi. .gg... .gggg..~ ~ ~ lltB ~~ ~~~~ ~ - '" . --------------------------- ~H\~~ iQ.~~r.::_~~_l!~l!l.!!l.~~g~~g . . . . . . ~ ~CD~ ~~~"'m~~8~~~~8~~~ ~ ~ ~ ~~~~~- ~~N- a N N ~ NN~ -. ~ --------------------------- a.. (3 '5 . ." '0; '3 ~ 0 1::&-E .,~. r ~ "0 .. O._a) c!i ~~>-.O)m ~~ ~~ E Ui ~ g ..E t--a~ffi e ~.~ ~ s I & .~ ~ .~ e ~ I .:: .~ ~ ~ ~ ~ .~ I .c~ ~ ~~~~!~Ie~~~-r.~ A~~ ~1!E.J: wCDOI.E)("OE:.!::r;CJ)~.c: II: Q.~W ;~a~ ~:c-w:-~~.~! E ~~. E<Ji~ 5~~o.~5E:E~o~B~~~ ~~~~~ .~~ ~~~ ~CD~2~ r~2~~~'o~=. ~lcu.~~c~JI~!~~u:~~~O~~Q.~~~ 1~~~~a..~~o~~.OO~~~~~I.~~~.Eo~~ ~~~I~fi~i~I~.~.II~. -!~~~~I~ ~~~~~~~~~~~~~~~~~~~~~~~~~i~ ~~~B~~~B~~~~~~~~~~~~!!!!!'l ~~~~~~~~~~~~~~~~~~~~~~~~~a..i ~ ~ ~ ~ '.. ...... ~ .~ Q Iooil ~ ~ Q ~~ ~ ~..o ,,~ .... ~s ::: ~ lIo.. == ~ C"l C"l I ~ oS ... I . II . & .: s ... . I ! . ~ lIo.. ~ ~ E ~ 0 t ol: E ~ ... ~ . t)-S 1: ~ tI ~~ . 1" L .c~ ;a t) .~ E d:: I I I I I :1 I. I. I 'I I II I~ m D .E I rJ . I I I I REVENUE SUFFICIENCY ANALYSIS APPENDIX D SCHEDULE 6 - FORECAST OF NET REVENUES AND DEBT SERVICE COVERAGE CITY OF CLEARWATER Stormwater Financial Management Program Summary ~ - rt.- ELlIIIl Fl.lIa D'.llIII. FUIlI EllIl11 a:mz EI.llID FUll! EUm EX.lIli - s..,....--- StDm'lWM.,R.,RewlntM 10,1BC,22j I 10,988,962 I 1l.658.9IXJ I 12,358~ I 13,l!l9.9<O I 13,9l5,936 I ",719,ll92 I IS.6lJ2,238 I 16,531l,372 I 17 !JJPl. I 18.582,515 Rill R......,. tom Growth I I I I I I I I I I Normahlllion &. Elasticil)' ,ltdjultmentl I I I I I I I I I I Propolld R., 1nert,,1 8.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% 6.00% RIt. Revenue tom RIt. Incr.... 8"~ , 659,936 I !B9,53f I W,5lE I 785.996 I lID 156 I 883.1<<; I 9361301 I 992~ I 1.D5'.B<<I I l11f,951 T.... StennwaIer RMe Revenu. 1.0,988,962 I 1l.658.9IXJ I 12,358.4301 I 13,l!l9,!J.lO I 13,9l5,936 I ",719,ll92 I '5.6lJ2,238 I 16,538,372 I 17 fJJPl. I 18.582,515 I 19,697,.166 Ocher 0,...... Rnw.... OIher Opefltina R....nut l108I l108I l108I llO.81 'lO.81 llO fBO llO.fBO llO fBO llOA80 llO.fBO llO fBO T.... 0,.,...... Revell'" 11,129."2 11,789,3m 12,oee~1. 13,230.f20 ".016..'6 ..,e.g,5n 15.732,718 16,668,852 17,661.15f 18,712,995 19.B27~ E_ O..r..... eM..~ h..... 6.D59290 6;!ST,668 6 763~1 7 lf2.3C 7,536;1'19 7,936J5/l 8,31.0.6.9 87Q;,262 9120 f07 9,667;8> lD,017,ll93 Met Op.,... ..."'. 5.D50.152 5,391.m 5,72.,923 6,l!l9,ll73 6.81.137 6~1.,222 7.m,l!l9 7,963,590 8,5fO,7.7 9.155138 9,81.0,853 "-= .... Oper..... htco.... (f.,.'-' Noo Opoming R...nue I I I I I I I I tnterett on RI'ietlUfI Fln:I B,11IflC1I f62,829 I 1,3f7.791 I .,ou.I99 I E96.m 633,589 I m.f5B I B915,683 I 863,591 I B5f ..28 B9fPlO I 9f9~1l u..: Interim FiNncing 1ft...... P.yrnentt (200,333) I (<<6,;u;] I I (135,1]36) I (3012.U3l I I (2llJ,2.2) I (327~70) I Tranaf,,.1n I I 1,llf57C I 703 718 I I 1.287.225 I I 1,ll3O<<O I 117f,258 T__Ooo__. 25fG I 901,563 I 2,l!l9.9f5 I 561.056 1.337,307 I Cl,ol6 I 21B2!1fB I 583,3f9 I 1,BBf,868 566.699 I 212. 169 ...- 5,3",6fB I 6,292,97. I 7,8",868 I 6,6fB,529 7,817..... I 7,3f5,238 I 9flX;fJJ7 I 8,5<<;,936 I 1O.f25.615 9,722,03 I 11,936,ll22 L..: T,..,.,.... I I C1,Oot5,7A7) . (703,718) I I (1,287,225) I I ~ 03J UOl I (1.17A,2SB) N.t Income Ani18bl. b Debt StA'iCI 5,3",6fB I 6,292,97. I 6169.122 I 6,649,529 7.113,726 I 7,3f5,238 I 8,317182 I 8,5<<;,936 I 9.395.175 9l22,03 I lD,760,76f S....., Un Dftf: Senlke c.w...... ExistinG Seniol' Uen Debt 21E91B1 2,9Sf,633 2,951.D53 2,955,lWS 2,951,383 2,9Sff07 2,9Sf 114 2,955715 2~,948 2,953,297 2,953,839 T.... hilt.... S.Rlor IJH DeItC 21E91B1 2,9Sf,633 2,951.D53 2,955,lWS 2,951,383 2,9Sf.f07 2,9Sf.1I. 2,955,7.5 2~,948 2~,297 2,9S3,839 ,.... Senior Lien O.bt ~ Inpul Ctmutal:hre New Senior Utln Debt fof AdcMionll BorrowinG' 1,266,206 ',266,206 2.106196 2106 196 3.6f2.6B5 3.6f2.6B5 ..972 fH> ..972 fH> 6,274,313 T.... s..Ier Un 0.... SetwIce 21E91B1 2,9Sf ,633 .,217,266 .,221,251 5.D57.579 5.D50.6lJ2 6,596,799 6,598,fOO 7,826.61. 7,825,953 9,226.152 _L1..__C-~ 1.15 R,q'd 1.85 2.13 1.61 1.58 ...1 ...5 1.26 1.lO 1.20 1.2. 1.17 p..... 1.20 R'q'd 1.85 NA 1.61 NA 1.4' NA 1.26 NA 1.20 NA 1.17 .ol _ __lor 00.. S...... 5,31.,6fB 6,292,97. 6.769.122 6,6f9,529 7.113.726 7,3f5,238 8,317182 8,5<<;,936 9.395.175 9l22.CB lD,760,76f Add TfWlaf.rs In 1,llf5,7C 103,718 1.287.225 1,ll3O,<<O 1.17.,258 l...: Tot. Senior Uen Deb! SeMe. (21E9 /BI) I (2,9Sf.633) (',2'7,258) I ('.221,251) I (5.D57~1 (5.D50.602) I (6,596,799) I (5,598.<100) I (7,826.614) I (7,82511fi3l1 (9,226.152) 5181. RewMng to.ls 01 o I 01 - I I I I - I I Interim Financing ~'rI" P.ymenl' - I - I - I - I - I - I I I I P.ymenl: of Debt SeMe. Wrth 51orn'Ji11Wt1er aa.c 01 I - I . I I . I I I I Tqnafw Oue t521~10) I (612.119) (6.C8."6) I (6lIi,B9O) I (727.673) I (77O)lO3) I (616.726) I [005,258) I (916.787) I (971,363) I (1029,215) Short.Term Debt Service 01 - I I (68.D59) I (136.138) I (136.138) I (136.138) I ~36.138) I (6B.D59) I CapillOl.cI.y (235.670) I (2<3,918) (252.f56) I (260,ll29) I r;;E7.633) I (275.a;5) I (2Bf."') I (292,665) I (301....5) I (31.0.<189) I (319,803) R'n... & ReoIlcem.nI I I I I I I I I I ... CooIo ~ 1,6B7~ I 2.fB2,300 2.696.738 I 1.f81,358 I 1.696.293 I 1.1.01,730 I 1.m,202 65f.C6 I 1,2<<,631 I S<<;,66f I 1,357,852 UrnS1rid:.d Ae""" Fund ~ Btginning rlV.. Ballra 6,965,200 I 1,517,323 l.599.m I 1.690,988 I 1.785,587 I 1,BBf,ll7\l I 1,963,837 2.on.655 I 2.176,316 I 2,2BO.102 I 2,389,3" Minimum Wotkina Cacrittl R.serve Tnet 1,517,323 I 1.599.m 1.690.696 I 1785,587 I ',BBfJl7O I 1,383,837 I 2.on.655 2176,316 I 2,211)102 I 2,399,314 I 2,51l.\,273 Rd.M fund Balance in Ezc... ofWomng Capitll Terget 5.<<7,876 I I I I I I I I t....: RnlM Fund Ballf'lC' und for Cnh Flow I I I I I I I I _ FoM _10 Eo... ofW...... eo,.... T..... 5.<<7,878 I I I I I I I I ... C8I'- fIewo.... U. .. Rewrwe F-* 1,6B7,668 I 2,fB2;m 2.696.738 I 1,<<11,358 I '.696.293 I 1.101 ,730 I 1171,202 65f,03 I 1,2...,631 I S<<;,66f I 1,357,852 Le..: CP Pro;.c1' o..iQnlllild 10 be Paid wilh CQh I I I I I I I I ~ c..tI F.... ~ "-'fft Full 1,6B7,668 I 2,fB2,300 2.696.738 I ',0101,358 I 1.696.293 I 1.1.01,730 I 1.m,202 65f,C6 I 1,2...,631 I S<<;,66f I 1,357,852 ~......,.... _........ ..V.......... 6,965,200 I 1,517,323 1.599,6/ I 1.690,988 I 1185,587 I 1,BBf,ll7\l I 1,383,837 2.on .655 I 2.176,316 I 2,211).102 I 2,389,314 Cash 1n{OIA) tom Rile RlVIftUn 1,6B7~ I 2,.m,300 2.696138 I 1,<<11,358 I 1.696.293 I 1,101 ,730 I 1.m ,202 65f.C6 I 1,2...,631 I S<<;,66f I 1,357,852 t....: Rn.m Fund Salance us,d for Cnh Flow I I I I I I I I I Plus: R&R ConIribulion I I I I I I I I I len: Proi.tt. P_d wilh R,.e,... Fundi (No" Sltt'dfted FundinQ) (7.1351f;6J I (2.00133) I (2~,232)1 ~,3B67el) I (1~810) I ~.ooI~1 ~ 677 3B5) I [555 n5) I ~ 140/l<5l1 (<37,3f2) I (1,242.893l Urnstnct,d R.UM Fund - End of v.. SlIarlCt 1,517,323 I 1.599,6/ I 1.690,988 I 1185,587 I 1,BBf,ll7\l I 1,383,837 I 2.on.655 I 2.176,316 I 2,2BO.102 I 2,389,31. I 2,51l.\,273 Minimum Wortc:ina CIPit.1 Res,"" Teroet 3 MOl OLM 1,517,323 , l.599m I 1.690,988 I 1785,587 I I,BBfJl7O I 1,383,837 I 2.on.655 I 2176,316 I 2,2BO.102 I 2,389,31. I 2,51l.\,273 Eo... ~ ofW...... CopIloI_. T..... I - I o I 01 - I - I - I - I I I ('I) .......l... P.,...e F--. ..... 5.......... 0,....... ........, aM SeIe .. Sa.,. City of Clearwater Pinal Report 33 Burton & Associates Utility Economics I I I I I II I I I I I I I I II I II ,I I II I I I I I rIJ. ~ rIJ. ~ >t o Z ~ ~ o ~ ~ ~ ;J rIJ. ~ ;J z ~ ~ == Q rIJ ~ ~ I-l ~ Q z Z 1-4 ~ := ~ ~ o z o 1-4 E-4 o & =: ~ ~ o ~ ~ ;;;J rIJ I ..... ~ ;;;J ~ ~ := o rIJ ;J~ ~ ~ s ~ ~ ~~ ~ i !!! ~~ ~ ~ t:: ~~ ~ ~ ~ ~~ ~ 1ft S !iI. ~ ~~ ~ ~ :! ~~ ~ i ~ ~~ ~ i ~ fJ~ ~ ~ S ~ ~ ~~ ~ i ~~ ~ ~ ~ i .. II .s .. 'Ii Cl: .. .., t ~ ~ ~ ~ .. 1:1 .. .. ! :&' u Iii oS .. .. .. 'Iii c a: ~ .. Cl: .. 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I I I I I I I I Nit Addrtlon~ Fund. I I I I I I I I Subtotal 754,515 13,3W I 164 I 5 I I I I I I R.stricted.Arnotn: I I I I I I I I _ _Iabl.!of Projod. 754,515 13.lll4 I 164 I 5 I I I I I I Amour'll Paid b' Prot.ct. 754,515 13.lll4 I 164 I 5 I I I I I I Subtotal I I I I I I I I Add Back Rnlrictad Arnol.n I I I I I I I I Plus: Interest e.,.,d During In. VI. 13.lll4 164 I 5 I I I I I I I leIS Intern! 10 Cash Flow I I I I I I I I Ending e,lanct 13.lll4 164 I 5 I I I I I I I n, Rnnd ~onftn.dhn Fund .IT7 B,ginning Balancl I 4,641jl13 I 81,218 I 1.624 I 32 I 1 I I I I I I Nit Additional Funds I I I I I I I I I I I Subtotal I 4,641jl13 I 81,218 I 1.624 I 32 I 1 I I I I I I Restricted Amot.n I I I I I I I I I I I Amounl _Iabl. !of Projod. I 4,641,013 I 81,218 I 1.624 I 32 I 1 I I I I I I AmOlrll P,ld for Project, I 4,641,013 I 81,218 I 1.624 I 32 I 1 I I I I I I Subtotal I I I I I I I I I I I Add Back Restricted AmoooI I I I I I I I I I I I Plus: tnte,...t Ewned Duringlhe VUt I 81.218 I 1.624 I 32 I 1 I I I I I I I Less Inttrnt to Cash Flow I I I I I I I I I I I Ending Balwtce I 81.218 I 1.624 I 32 I 1 I I I I I I I ~flPbl''''''''- Fund 1f~ Beginning Ballnce I 871 I 15 I I . I I I I I I NI1 Additional Funds I I I I I I I I I I I Subtotal I 871 I 15 I I I I I I I I . ~lstriet.dAmotn I I I I I I I I I I I Arnouf'i AYailabl, for F>>roject. I 871 I 15 I I I I I I I I I Amounl Paid for Proiect. I 871 I 15 I I I I I I I I I Subtotal I I I I I I I I I I . Add aack Restricted .Arnoun; I I I I I I I I I I I Plu.: tnt.,lIt En.d During In. Vu, I 15 I I I I I I I I I I less Interest 10 Cash Flow I I I I I I I I I I I Ending ealane. I 15 I I I I I I I I I I Go_Fund/rw aeginning Sllanee I I I I I I I I I I I Net Additiona' Fund. I 4 .4A8l1l5 I I I I I I I I . I Subtotli I 4,4.l8l1l5 I I I I I I I I I I Restricted AmounI I I I . I I I I I I I Amounl _Iabl. !of Projod. I 4.4A8l1l5 I I I I I I I I I I Amouf'i Paid b Proiect. I ',4.l8l1l5 I I I . I I I I I I Subtot,l I I I I l I I I I I I Add eack Restricted AmounI I I I I I I I I I I I Plu.: Int...... ewned During the Year I I I I I I I I . I I LAss Interest 10 Cash Flow I I I I I I I I I I I Ending BaIMlC' I I I l I I I l I . I R.1MnIM Fund aeginning e,l,nee I 6,965,;m I 1,517.323 I 1 ,599,492 I 1,690,998 I 1,785.587 I 1,1l84,lJ7O I 1~1W I 2 j)77 fH> I 2,176,316 I 2,29J,102 I 2,389~14 Net Addition" Funds I l1H1.911l I 2.482 ,3J3 I 2!B6,738 I 1 <8t ,358 I 1!B6 .293 I 1,ID1,m I I,m ,202 I 1'6l,0; I 1,2",631 I ~,5501 I 1 ,]57 .852 Subtoltl I 8,653,100 I 3,999,625 I 4.296,23] I 3,172,356 I 3.'81,lBl I 2,965Jm I 3156,ll4O I 2132/l91 I 3,4:!0 ,946 I 21DF>fBl I 3147,IEE Restricted Amoun: I 1 ,517.323 I 1,599 m I 1,690,998 I 1,785,587 I 1,1l84,lJ7O I 1~,837 I 2 j)77 fH> I 2 176~16 I ~:~ I 2,389~14 I 2.&l4 ,273 Arnot.d AvaiItibI, for Projeet. I 7,136.lDi I 2,<<11,133 I 2,605,232 I 1.386.769 I 1.597,810 I 1.1D1.962 I lPTl;3iJ6 I 555,n5 I I 437 ,342 I 1,242,893 ~ P~d b Projects I 7136.lDi I 2 <<II 133 I 2,605 ,232 I 1.386 769 I 1.597,810 I 1.ID1.962 I 1m ;3iJ6 I 555775 I l1<O.Il45 I 437,342 I 1 ,242,893 Subtot.1 I I I I I I I I I I I Add B.ck Restric1td Amot.wJI I 1,517.323 I 1 ,599,492 I 1,69lJ,998 I 1,785.587 I 1.81l4,lJ7O I 1 ~,837 I 2 j)77 fH> . 2,176~16 I 2,29J,I02 I 2,389,314 I 2.&l4 ,273 Piu.: Internt Eern" During In. Va... I 148..... I 62;ll6 I 65,810 I 69.532 I 73,393 I n,358 I 81,23] I 85j)79 I 89,llS I 93,l88 I 97W2 less Interesllo Cash Flow I (U8 444) I !62.>EJS 11Xi810) I (69,532)1 (73393)1 (77.358l1 i81,23J) I 185)179)1 189 1281 I 193;Bll1 m872l Ending B,.. I 1.517.323 I 1 ,999,492 I 1,690,998 I 1l85.587 I 1,81l4,lJ7O I 1~1W I 2 j)77 fH> I 2,176~16 I 2,29J,I02 I 2,389~14 I 2.&l4 ,273 ~R........ Beginning B.IIfICI I 2,472,452 I 2,472,452 I 2,472,452 I 3,738.658 I 3,738.658 I 4.578,648 I 4.578,648 I 6,115,137 I 6,115,137 I 7.345,118 I 7.345,118 Addition. F.m.: Oebt Service Reserve on New DebI: I I I 1.21i6,D; I I 839.9I'J I I 1 ,536,490 I I 1.229,9l1l I I 1,401.6411 IntmstEamingl I 86,536 I 98,898 I 124,222 I 1~,546 I lEE,346 I 183,146 I 213,876 I 2",605 I 269,lll1 I 293Jm I 321,838 U!ss: Interest Interest to Cash Flow I 186,533)1 i9Il.89llll (124222) I n<9,546l I (lEE~ I n831461 I (213)l76) I 12<<.6Il5l I 1269 .205l I 1293.61l5l I 1'321833) Ending B....,c. I 2,472,452 I 2,472,452 I 3.738.658 I 3.738.658 I 4,578,648 I 4.578,648 I 6,115,137 I 6,115,137 I 7,345,118 I 7.345,118 I 8,746,765 I 'I I I I '. I J I ] City of Clearwater Pinal Report 39 Burton & Associates Utiliry Economics