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HomeMy WebLinkAboutF-1.1 Fiscal Year 2018-19 4th Qtr Budget Reports for Electric and Water Funds_APPROVEDUB-83 Approved Utility Board 09/23/2019 4th Quarter Water Sales/Billings FY CCF Sales Billings* Billed Accounts 09-10 7,853,732 $15,303,213 23,036 10-11 7,384,003 $16,600,100 23,100 11-12 7,598,788 $17,199,870 23,104 12-13 8,094,910 $18,043,742 23,302 13-14 8,020,459 $17,933,551 23,597 14-15 7,094,934 $17,209,924 23,871 15-16 6,215,491 $16,877,625 23,934 16-17 6,598,143 $17,698,854 24,156 17-18 7,095,830 $18,912,360 24,284 18-19 6,612,342 $20,517,490 24,453 *Excludes unbilled receivables Year-end operations resulted in $1.3 million decrease in cash reserves to a total of $23.4 million, and an estimated debt service coverage ratio of 1.34, which is above the 1.2 minimum required by bond covenants. Overall, fiscal year end revenues and operating expenses were 104% and 94% of budget, respectively. ELECTRIC Sales of electricity through fiscal year end 2018-19 were 1.8% lower than prior fiscal year. The decrease is primarily due to milder weather and lower demand from medium and large business consumers. The table below shows a 10-year trend of fiscal year-end sales, billings, and number of billed accounts for the Electric Utility: 4th Quarter Electric Sales/Billings FY kWh Sales Billings* Billed Accounts 09-10 245,616,149 $30,099,992 15,276 10-11 238,728,205 $32,829,429 15,362 11-12 236,527,153 $35,315,430 15,567 12-13 247,422,942 $36,270,465 15,749 13-14 250,280,276 $36,415,546 15,955 14-15 257,361,329 $38,763,711 16,226 15-16 253,655,020 $36,343,584 16,740 16-17 255,975,406 $36,843,301 16,555 17-18 252,892,628 $33,329,648 16,695 18-19 248,413,138 $36,005,653 16,854 *Excludes unbilled receivables. UB-84 FY 18-19 retail revenues through fiscal year end increased by about $2.7 million compared to prior fiscal year, mainly due to lower cost of purchasing energy after the retirement of San Juan Power Plant. Fiscal year end revenues and operating expenses were 101% and 93% of budget, respectively. Cash/Reserves increased by $3.8 million by fiscal year end and totaled approximately $28.6 million. The Utility’s minimum reserve policy target is $12.6 million and additional reserves are necessary for deployment of AMI meters upon completion of functional acceptance testing. Positive operating results and low debt service requirements have resulted in the Electric Utility exceeding the minimum debt coverage requirement of 1.10 with estimated debt coverage ratio of 13.22 for the period ended. FISCAL IMPACT: There is no fiscal impact associated with the recommended action. Prepared by: Reviewed and Approved: Judy B. Tran Manny Robledo Utilities Admin & Financial Director of Utilities Services Manager Reviewed and Approved: Sergio Gonzalez City Manager Attachments: 1)Fiscal Year End Water Utility Operating Budget Report 2)Fiscal Year End Electric Utility Operating Budget Report UB-85