Hours before the 2010-11 fiscal year ended, the Idyllwild Water District (IWD) adopted its 2011-12 budgets. The financial committee, composed of Directors Jim Billman and John Clark and Auditor and Controller Jim Ludy, presented a balanced budget consistent with the board’s decision to maintain water and sewer rates at the current levels for another year.
Total expenses for the water program are projected to be slightly more than $1 million. Total revenues, including water sales and property taxes, will be about $100,000 greater than projected costs.
Operating revenues ($831,000), primarily from water sales, continue to be less than the district’s operating costs for the water program, but nonoperating revenue ($316,000), property taxes, standby fees and interest, will help IWD eke out a year-end net income of $84,000.
The 2011-12 water budget is about $27,000 less than this year’s projected actual water expenditures, according to Ludy. Decreases in water treatment, general and administrative expenses and depreciation are the principal changes.
The sewer program’s total revenues are estimated to exceed $440,000, approximately $25,000 more than the sewer program expenses.
The sewer budget declines about $6,000. The two principal reductions are the falling depreciation for the underground sewer pipes and professional engineering services. IWD anticipates it will receive a state grant to continue the planning for the recycled water facility.
Budget Committee member Cook reaffirmed his view that IWD needs to develop a long-term financial plan. President Allan Morphett confirmed that the district would organize and conduct a workshop in the fall to complete this step.
Before the board voted to adopt the budget, Morphett said, “It’s a good budget, although it’s only a projection.”
The vote to approve the water and sewer budgets was unanimous, 5-0.