Budget at a Glance
Budget at a Glance Restoring California’s Water Supply Reliability
DIVERSIFICATION Enhancing Water Supply Reliability
Providing a safe and reliable water supply to support the San Diego region’s $186 billion economy and more than 3.1 million residents is a major responsibility that requires prudent investments in water supplies, infrastructure, and operations. The San Diego County Water Authority uses sound financial policies and practices to fulfill this mission costeffectively, and continually seeks efficiencies and improvements to minimize rate impacts.
How much is the Water Authority’s budget? The adopted two-year budget for 2012 and 2013 is $1.42 billion. The adopted budget for 2012 and 2013 is 16 percent less than the previous two-year budget.
What are the funds used for?
The Water Authority’s revenues are used to buy and treat water, and for financing and constructing major water facilities that improve our region’s water supply reliability.
Estimated Water Authority Expenditures for Fiscal Years 2012 and 2013 Capital projects funded in the two-year budget include the San Vicente Dam Raise, the tallest dam raise project in the United States.
Improving INFRASTRUCTURE
The Twin Oaks Valley Water Treatment Plant treats up to 100 million gallons per day.
apit itall Improvement Im Capital C Program (including CIP labor) Lake Hodges Operating Operations Departments
23%
6%
Water Purchases & Treatment
.43%
49% Debt Service
20% Lining the All-American and Coachella canals conserves 80,000 acre-feet of water annually for use in San Diego County.
Equipment Replacement
.09% July 2011
Other Expenditures
1%
The Water Authority is a public agency serving the San Diego region as a wholesale supplier of water. The Water Authority works through its 24 member agencies to provide a safe, reliable water supply to support the region’s $186 billion economy and the quality of life of 3.1 million residents.
Restoring California’s Water Supply Reliability
Budget at a Glance
What is the Water Authority doing to control costs?
The Water Authority is taking aggressive action to manage costs and keep water rates as low as possible. Cost control measures include: Aggressively containing operating costs U Deferring 14 capital projects worth $150 million until July 2014 or later. U Reducing the budget of operating departments by $6.7 million, or 7 percent. U Eliminating 31.33 full-time equivalent positions during the two-year budget period. By 2014, Water Authority staff will be reduced 16 percent from 2008 levels. U Increasing employee contributions toward their pension costs.
Advocating at the Metropolitan Water District of Southern California to keep imported water rates as low as possible MWD’s rates have a significant impact on the Water Authority’s rates. Therefore, the Water Authority aggressively pushes for sensible policies and the elimination of unnecessary spending in MWD’s budget. Also, the Water Authority is suing MWD because San Diego County ratepayers are being improperly overcharged by MWD, the region’s largest imported water supplier, in violation of state law. These overcharges will cost the region’s ratepayers approximately $31 million this year. More information is available at www.sdcwa.org/mwdrates. Continuing the long-term supply diversification strategy The Water Authority’s strategy of securing new local and imported water supplies is improving long-term supply reliability and reducing vulnerability to increased costs from MWD.
High Bond Ratings Keep Borrowing Costs Low
Credit Bureau Ratings Fitch AA+ Moody’s Aa2 S&P AA+ Financial Reporting and Budgeting Excellence The Water Authority is a 12-time winner of the Distinguished Budget Presentation Award by the Government Finance Officers Association of the United States and Canada. The Water Authority won the 2010 Excellence in Budgeting Award from the California Society of Municipal Finance Officers.
How is the Water Authority funded? The majority of the Water Authority’s revenues are from water sales to its 24 retail water member agencies and cities. Capital projects, such as pipelines, reservoirs and treatment plants, are funded through bond proceeds and funds that have been set aside for this purpose.
The Water Authority’s water is a great value While the price of treated, wholesale water has risen recently, it is still a tremendous value.
less than
1
The cost of imported water supplies is the biggest driver of water rates. In the current budget, MWD costs represent 62% of the Water Authority’s water purchase and treatment costs.
$1 Buys 300 gallons
liter of bottled water
4677 Overland Ave. San Diego, California 92123-1233 858.522.6700
www.sdcwa.org
Scan to connect to the Water Authority website on your mobile phone
gallons of wholesale drinking water
Printed on recycled paper
DIVERSIFICATION Enhancing Water Supply Reliability
Providing a safe and reliable water supply to support the San Diego region’s $186 billion economy and more than 3.1 million residents is a major responsibility that requires prudent investments in water supplies, infrastructure, and operations. The San Diego County Water Authority uses sound financial policies and practices to fulfill this mission costeffectively, and continually seeks efficiencies and improvements to minimize rate impacts.
How much is the Water Authority’s budget? The adopted two-year budget for 2012 and 2013 is $1.42 billion. The adopted budget for 2012 and 2013 is 16 percent less than the previous two-year budget.
What are the funds used for?
The Water Authority’s revenues are used to buy and treat water, and for financing and constructing major water facilities that improve our region’s water supply reliability.
Estimated Water Authority Expenditures for Fiscal Years 2012 and 2013 Capital projects funded in the two-year budget include the San Vicente Dam Raise, the tallest dam raise project in the United States.
Improving INFRASTRUCTURE
The Twin Oaks Valley Water Treatment Plant treats up to 100 million gallons per day.
apit itall Improvement Im Capital C Program (including CIP labor) Lake Hodges Operating Operations Departments
23%
6%
Water Purchases & Treatment
.43%
49% Debt Service
20% Lining the All-American and Coachella canals conserves 80,000 acre-feet of water annually for use in San Diego County.
Equipment Replacement
.09% July 2011
Other Expenditures
1%
The Water Authority is a public agency serving the San Diego region as a wholesale supplier of water. The Water Authority works through its 24 member agencies to provide a safe, reliable water supply to support the region’s $186 billion economy and the quality of life of 3.1 million residents.
Restoring California’s Water Supply Reliability
Budget at a Glance
What is the Water Authority doing to control costs?
The Water Authority is taking aggressive action to manage costs and keep water rates as low as possible. Cost control measures include: Aggressively containing operating costs U Deferring 14 capital projects worth $150 million until July 2014 or later. U Reducing the budget of operating departments by $6.7 million, or 7 percent. U Eliminating 31.33 full-time equivalent positions during the two-year budget period. By 2014, Water Authority staff will be reduced 16 percent from 2008 levels. U Increasing employee contributions toward their pension costs.
Advocating at the Metropolitan Water District of Southern California to keep imported water rates as low as possible MWD’s rates have a significant impact on the Water Authority’s rates. Therefore, the Water Authority aggressively pushes for sensible policies and the elimination of unnecessary spending in MWD’s budget. Also, the Water Authority is suing MWD because San Diego County ratepayers are being improperly overcharged by MWD, the region’s largest imported water supplier, in violation of state law. These overcharges will cost the region’s ratepayers approximately $31 million this year. More information is available at www.sdcwa.org/mwdrates. Continuing the long-term supply diversification strategy The Water Authority’s strategy of securing new local and imported water supplies is improving long-term supply reliability and reducing vulnerability to increased costs from MWD.
High Bond Ratings Keep Borrowing Costs Low
Credit Bureau Ratings Fitch AA+ Moody’s Aa2 S&P AA+ Financial Reporting and Budgeting Excellence The Water Authority is a 12-time winner of the Distinguished Budget Presentation Award by the Government Finance Officers Association of the United States and Canada. The Water Authority won the 2010 Excellence in Budgeting Award from the California Society of Municipal Finance Officers.
How is the Water Authority funded? The majority of the Water Authority’s revenues are from water sales to its 24 retail water member agencies and cities. Capital projects, such as pipelines, reservoirs and treatment plants, are funded through bond proceeds and funds that have been set aside for this purpose.
The Water Authority’s water is a great value While the price of treated, wholesale water has risen recently, it is still a tremendous value.
less than
1
The cost of imported water supplies is the biggest driver of water rates. In the current budget, MWD costs represent 62% of the Water Authority’s water purchase and treatment costs.
$1 Buys 300 gallons
liter of bottled water
4677 Overland Ave. San Diego, California 92123-1233 858.522.6700
www.sdcwa.org
Scan to connect to the Water Authority website on your mobile phone
gallons of wholesale drinking water
Printed on recycled paper
