FY 07-08 IWA Budget - Copy

8/13/2019 FY 07-08 IWA Budget - Copy

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2007-08 Adopted Budget

IndioWater Authority

Developing Long TermReliability

To Our Water System

Capital Improvement & Operating


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i

ACKNOWLEDGEMENTS

Indio Water Authority Commissioners

Ben Godfrey, President

Lupe Ramos Watson, Vice President

Jerry Barba, Commissioner

Bertha Basidas, Commissioner

Melanie Fesmire, Commissioner

Richard Friestad, Commissioner

Gene Gilbert, Commissioner

H. Dow Tunis, Commissioner

Michael Wilson, Commissioner

Sharon Ellis, City Treasurer

Cynthia Hernandez, City Clerk/Indio Water Authority Secretary

Executive Director and Management Staff

Glenn Southard, City Manager/Indio Water Authority Executive Director

Susan Mahoney, Management Services Director/Indio Water Authority Treasurer

Jim Smith, Director of Engineering/Public Works

Gary Lewis, General Services Manager

Paul Giera, Water Operations Manager

Kelly Smith, Fiscal Officer

Toyasha Black, Management Analyst

Contributing Staff

Francine Archuleta, Accounting Technician IISusie Huston, Senior Account Technician

Ester Cruz, Accounting Technician II

Araceli Castro, Accounting Technician I


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TABLE OF CONTENTS

ACKNOWLEDGEMENTS .............................................................................................................. I

TABLE OF CONTENTS ..................................................................................................................II

INTRODUCTION

BUDGET MESSAGE 2007-08.........................................................................................................1

FY 2006-07 ACCOMPLISHMENTS...............................................................................................3

FY 2006-07 PERFORMANCE MEASURES 5

IWA FY 2007-08 GOALS AND PRIORITIES.............................................................................. 7

NEW PLANT NO. 1 AT THE CORPORATE YARD ..............................................................10

INDIO WATER AUTHORITY DISTRIBUTION SYSTEM 2007.........................................11

BACKGROUND ..............................................................................................................................12

SUMMARY OF ADOPTED POSITIONS ..................................................................................13

INDIO WATER AUTHORITY ORGANIZATION CHART ................................................14

KEY FACTS.......................................................................................................................................15

FUND SUMMARY

DESCRIPTION OF FUNDS..........................................................................................................16

DESCRIPTION OF DEBT SERVICE FUNDS.........................................................................17

BUDGET SUMMARY

DESCRIPTION OF REVENUES.................................................................................................18WATER FUND REVENUE ASSUMPTIONS........................................................................... 19

SUMMARY OF REVENUES 2007-2008......................................................................................20

WATER FUND EXPENDITURE ASSUMPTIONS ................................................................ 21

SUMMARY OFEXPENDITURES....22

SUMMARY CAPITAL EXPENDITURES 2007-2008 ..............................................................23

EXPENDITURE DISTRIBUTION BASED ON $1.00............................................................24

ADOPTED BUDGET 2007-2008.25

COMMISSION

INDIO WATER AUTHORITY COMMISSION ORGANIZATIONCHART.26

COMMISSION FISCAL SUMMARY ...........................................................................................27


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ADMINISTRATION

ADMINISTRATION ORGANIZATION CHART................................................................... 28

ADMINISTRATION FISCAL SUMMARY ................................................................................ 29

PRODUCTION

INDIO WATER AUTHORITY PRODUCTION ORGANIZATIONAL CHART............30

PRODUCTION FISCAL SUMMARY..........................................................................................31

TRANSMISSION

INDIO WATER AUTHORITY TRANSMISSION/ DISTRIBUTIONORGANIZATIONAL CHART.....................................................................................................32

TRANSMISSION FISCAL SUMMARY....................................................................................... 33

CUSTOMER SERVICE

INDIO WATER AUTHORITY CUSTOMER & BUSINESS SERVICES

ORGANIZATIONAL CHART.....................................................................................................34

CUSTOMER SERVICE FISCAL SUMMARY............................................................................35

CAPITAL IMPROVEMENT

CAPITAL IMPROVEMENT PROGRAM SUMMARY 2007-2008 ........................................36

IWAAND CITY OF INDIO FY 07-08TO FY 11-12 COMBINED PROJECT SUMMARYWATERDEVELOPMENT IMPACT FEES (310) & REVENUE BOND .............................................................37

IWA FY 07-08TO FY 11-12 CAPITAL IMPROVEMENT PROGRAM WATERDEVELOPMENT IMPACT FEES (310).....................................................................................39

IWA FY 07-08 TO FY 11-12 CAPITAL IMPROVEMENT PROGRAM WATERAUTHORITY REVENUE BOND ............................................................................................... 40

INDIO WATER AUTHORITY CAPITAL IMPROVEMENTPROGRAM FY 2007-08...................................................................................................................41



INDIO WATER AUTHORITY CAPITAL IMPROVEMENT

PROGRAM FY 2010-11...................................................................................................................46INDIO WATER AUTHORITY CAPITAL IMPROVEMENTPROGRAM FY 2011-12...................................................................................................................47

GLOSSARY.......................................................................................................................................48


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BUDGET MESSAGE 2007-08

TO: MEMBERS OF THE INDIO WATER AUTHORITY AND CITIZENS OFTHE CITY OF INDIO

FROM: GLEN D. SOUTHARD, EXECUTIVE DIRECTOR

DATE: JUNE 18, 2007

SUBJECT: 2007-2008 BUDGET MESSAGE

It is my pleasure to present the 2007-08 Indio Water Authoritys (IWA) balanced CapitalImprovement and Operating Budget. IWAs staff has put together an Operating and CapitalImprovement Plan that addresses the Authoritys expressed priority to provide the highest quality,most reliable source of water, in an effective and fiscally responsible manner, while maintainingexcellent customer service.

BUDGET PROCESS

Typically, the budget planning process begins in February with staffs mid-year budget review ofthe current budget. This gives the Authority and staff the opportunity to evaluate the current yearsactual revenues and expenditures. Any necessary adjustments to the budget are brought before theAuthority for review.

In March and April, staff provides updated information on capital project schedules and cost forfuture years, as well as projected staffing levels. The IWA revenues and expenditures are updatedand projections for subsequent years are estimated.

REVENUE ASSUMPTIONS

In a growing community,

expansion of the Citys waterinfrastructure is necessary toaccommodate growth. Thisincludes adding the necessaryinfrastructure of reservoirs,booster pump stations, wells,pressure reducing stations, andpipeline improvements. Toaccomplish this, the IWA issued abond totaling $61.8 million. Partof this bond retired the 2004

bond. The remaining $52.3million is being used to improveIWAs water storage capacity,pipelines, booster stations, andother equipment and facilities. It is anticipated that the number of customers added to the watersystem will be 6.3 percent per year over the next five years (see graph above).

IWA Historical and Projected Water Consumption

10

15

20

25

30

35

40

45

50

55

60

1985 1990 1995 2000 2005 2010 2015 2020 2025 2030

AverageAnnualDemand(MGD)

Historical Billings

- - - Projected Consumption

Water Billings Trendline(6.3% projected annual

increase)

36 million gallons of water

storage required. IW A will

have 28 million gallons of

water storage by 2009.

48 million gallons of

water storage

required by 2011


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OPERATING EXPENDITURES

Staff is submitting a balanced FY 2007-08 budget based on operating revenues of $12,659,041 andoperating expenses of $12,576,509. The Capital Improvement Plan budget for FY 2007-08 is $48.1million. Included are water bond projects of $36.4 million and capital impact fund projects of 11.7million. Operating and Capital projects for the upcoming fiscal year are detailed in the sectionbelow.

MAJOR WORK PLANS AND PROJECTS

As mentioned, this is an exciting year for the IWA with numerous projects planned. With thecompletion of the water atlas, dynamic water model, water master plan, standard engineeringdrawings and procedural guidelines, the IWA is equipped with the tools to move forward withmajor capital improvements necessary to meet current and future system demands. Some majorwork plans and projects include construction and design of a new Corporate Yard, replacing theexisting 2 million gallon semi-buried reservoir and pump station located at the City Corporate Yardwith a 5 million gallon above ground reinforced concrete reservoir and new booster pump station(artist rendition pictured on page 10); adding a 2 million gallon above ground steel reservoir located onMonroe Street and Dr. Carreon; constructing a 10 million gallon concrete tank reservoir at MonroeStreet above Avenue 40; and constructing a 5 million gallon steel tank reservoir above the TerraLago Golf Club. These projects and more will help increase reliability and water pressure in the

IWAs water system.

CONCLUSION

The rapid growth in our service area creates policy issues that will continue to impact theeconomics of providing cost-effective service to our residents. Our customer base continues togrow on an average of approximately 1,200 new water service connections per year. The cityspopulation is now over 77,000.

The IWA is at a pivotal point in its history. The Indio Water Authority is entering an innovativefuture in which we will be thinking and doing business in new ways. The Water Master Plan is thecore of the IWAs Operating and Capital budgets and represents the priorities established by theIndio Water Authority. We have made significant progress in growing our water system and will

continue our efforts to provide reliable and safe water delivery to Indios residents, visitors, andbusinesses.


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FY 2006-07 ACCOMPLISHMENTS

This past year, we invested heavily in capital projects and have focused our attention towardscreating a business plan for the Indio Water Authority (IWA). The purpose of the business plan isto identify the water requirements necessary to support a rapidly growing Water Authority. Indioswater system was initially developed in bits and pieces throughout the City when the residential andbusiness base was quite small. The business plan includes a list of capital improvement projects,

and policies and procedures that will ensure our water system operations are well documented forcurrent and future use. The first phase of this plan was completed in April 2007 and includedcapital improvement projects listed in our five year Capital Improvement Plan Budget.

The IWA budgeted numerous water improvements for FY 2007. Those included: design projectsfor additional water storage capacity of 23 million gallons for average daily demand; fire demandand emergency water storage; pipeline improvements, new well sites; water distribution andtransmission improvements; pressure improvements, etc. Notably, the following projects identifiedwere completed with bond proceeds:

WATER RELIABILITY

Conducted Well Siting Study to map the basins aquifers

Completed Water Atlas of the Citys water infrastructure

Developed Dynamic Water Model

Improved Water Pressure (System Wide)

Identified all Fire Hydrants with geographical coordinates

Completed Digital Orthophotography

RESERVOIRS

Acquired 46 acres of land above Golf Center Parkway for future construction of a gravityfeed reservoir

Designed new reservoirs and booster pump stations at the City Corporate Yard, Plant No.

3 adjacent to Dr Carreon Park adjacent to Granite Construction, Co. Reservoir Upgrades at Plants Two and Four

WELLS AND BOOSTERS

Constructed a New Booster Pump Station at Terra Lago

Constructed Well BB at Jackson Street and Kenner Avenue

Rehabilitated Well X at Jackson Street and Avenue 41

SYSTEM ADMINISTRATION

Updated the Water System Emergency Response Plan

Purchased $930,000 in new equipment

Adopted 1stStandard Plans, Specifications and Development Procedural Guidelines

Initiated a Valve Maintenance Program

Initiated a Fire Hydrant Maintenance Program

Filled Critical Positions in Water Quality and Operations

PIPELINE IMPROVEMENTS

10,000 feet of 24 and 18 Water Transmission Lines are Under Construction


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MAJOR PROJECTS

Initiated Water Master Plan

Completed Urban Water Management Plan

Completed the Consumer Confidence Report

FINANCE ACTIVITY

Completed On-line Bill pay- This Internet module enable citizens, businesses and internalstaff members to access utility information at their convenience, online, 24 hours a day. On-line service provides self-service features such as viewing utility account information andmaking payments.

Completed Lock box processing - to accelerate collections and deposits of customerpayments. Places funds to work faster for debt reduction and investment purposes

Interdepartmental billing-100% automated- is a time-saving feature designed to eliminatethe need to cut checks to IWA for the utility bills generated by the city.

Completed automatic bank draft -Collect payments and receive funds electronically

CUSTOMER SERVICE

Completed organizational changes, which included moving water staff to one central

location (the City of Indio Corporate Yard), and create a water engineering andenvironmental services sections


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The following is an initial list of FY 2006-07 performance measures. These performance measureswill be tracked and monitored from year to year.

FY 2006-07 PERFORMANCE MEASURES1

33 Contracts Executed

83 Staff Reports Submitted to the Authority

612 Average Water Bill Monthly Payments Processed Online

1,131 Average Monthly Over the Counter Transactions

1,727 Water Quality Analyses Conducted

1,022 Backflow Tests Conducted

128 Backflow Devices Repaired or Replaced

1,836 New Radio Read Meters Installed

2130 Valve Tests Completed

50 Fire Hydrant Tests Completed

356Water Service Replacements (Coronado Gardens, SunnySide, Indian Palms)

27 Pump Efficiency Tests Completed

18,971 Average Water Accounts Billed Monthly

Financial Information

Bond Rating: AAA

FY 2007 Operating Revenues: $12.6 Million

FY 2007 Operating Budget: $12.6 Million

FY 2007 Capital Improvement Budget: $36.4 Million

The Indio Water Authority is committed to informing residents and businesses about theimportance of conserving water. In FY 2007-08, the IWA will initiate the first phase of a waterconservation plan. This will be accomplished through outreach messages on the water bills, the bi-monthly water newsletter, inserts in water bills, and education programs at special events.Additionally, tips will be posted on the IWA website, enabling the public 24 hour access toinformation.

1All performance measures are as of May 2007.


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The table below shows consumption by user type. The intent is to establish water conservationbench marks to measure conservation goals of five percent water reduction.

WATER CONSUMPTION BY USER

May 2007(MG)

Single Family Residential 15.98Multi-family Residential 2.66Commercial/Institutional 3.74Industrial 0.19Landscape irrigation 2.09

TOTAL 24.67

The is balanced. It maintains high levels of water service to the community; implements as manyof the Authoritys priorities as possible within fiscal constraints; and supports a CapitalImprovement Plan focused on new capital infrastructure as well as capital maintenance and repair.


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IWA FY 2007-08 GOALS AND PRIORITIES

In order to meet our mission of providing the highest quality water and supplying residents withreliable water system, the Authority has established a list of goals. The FY 2007-08 Operating andCapital Improvement Plan was developed based on these goals:

Goal 1. Provide Water to North Indio

Two new reservoirs and booster pump stations in North Indio are in design. Thesereservoirs will transport water via a gravity feed system in conjunction with the existinghydro/pneumatic system. Unlike our current hydro/pneumatic system, a gravity feedsystem will utilize less electrical energy saving the City money on energy costs. Thesystem will also ensure that water is available to our residents in the event of anemergency. Construction is scheduled in 2007 and 2008.

Goal 2. Provide Operational Reserve and Emergency Backup WaterThe IWAs policyrequires there be 37million gallons of

water storage toprovide for 25 percentof average dailydemand and 100% ofmaximum day/firedemand. The IWAcurrently has 8.25million gallons ofwater storage. This isa 28.75 million gallongap between standardpolicy and existing

emergency backupwater. To address the22.75 million gallon storage gap, the IWA currently has projects in design that will add 23million gallons of water storage to our system, giving the IWA a total of 31 milliongallons of emergency backup water by 2012. After 2012, the plan is to build additionalreservoir storage to meet our daily demand, emergency backup water storagerequirements, and fire demand.

Goal 3: Enhance TechnologyIn FY 2008, the IWA will implement credit card payments over the telephone. By linking

our financial system to our credit card system will allow future payments to be made at akiosk located citywide.

2006 Monthly Water Demand based on Billing Records

0

5

10

15

20

25

30

35

January February March April May June July August September October November December

Daily Average Water Demand

MonthlyAveragetotalDemand

Maximum DayDemand is 27.8

2006 Average Day

Demand = 18.9 MGD


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Goal 4. Increase Water Pressure CitywideThe existing water systemis a single pressure system,which, during peak wateruse, may cause loosingwater pressure in someparts of the city. Pictured

right are details of thehighest daily use of water,from 6:00 a.m. to 9:00 a.m.To ensure equal waterpressure throughout theday, the IWA willtransitional from a singlepressure zone system to amulti-pressure zonesystem. This will stabilizethe water system because a

multi-pressure zone system is not adversely influenced by system wide variations inwater demand.

Goal 5. Increase Meter Reading EfficiencyIn Fiscal Year 2007, the IWA replaced 1,836 (5%) old meters with radio frequency readmeters. These meters are equipped with a radio receiver allowing meters to be read bydriving down the street. The system also provides historical data that allows customerservice staff to work with a customer to solve consumption problems. The meter storesdata that identifies the customers rate of water flow and volume by minute so a customerwho may be unaware of a leak, will be made aware of a leak which track information 24hours a day 7 days a week. The radio frequency read meters have increased IWAs

customer service efficiency, reduced re-readwork orders, and increases in more accuratemeter reads. City-wide, automatic meters will be installed by 2011.

Goal 6. Enhance Fast andFriendly Customer Service

With knowledge andinformation only a clickaway on our website(www.indio.org) anincreased level of bothawareness of customer

needs and directcommunication with ourexpanding customer baseis necessary. A keyelement of this goal isour ability to inform andeducate residents aboutthe demands placed on this vital natural resource, and the financial impacts of operating apublic utility. The pie graph on the previous page outlines water consumption by usertype. It identifies that single and multi-family residents are the highest water users at 54%

2006 Water Consumption by User Type

Construction

6%Outside City Limits

1%

Irrigation

10%

Public

5%

Commercial

11%

Multi-Family

Residential

12%

Single Family

Residential

54%

24-hour Peaking Factor Curve for Feburary 26, 2007

Total Demand = 18.2 MGD

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

Midnight 2:00 AM 4:00 AM 6:00 AM 8:00 AM 10:00 AM Noon 2:00 PM 4:00 PM 6:00 PM 8:00 PM 10:00 PM

Peak Water Demand: 6:00 am to 9:00 am


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and 12% respectively. This upcoming year, the IWA will conduct a customer satisfactionsurvey to determine how we can best improve our service.

Goal 7: Improve Water InfrastructureDesign plans for a 5-million gallon reservoir and booster pump station are underway.The new reservoir will have a solar paneled roof to reduce the energy consumption andlower the cost of electricity to power the wells and booster pump. Plant 1 will servicewater to the southeast portion of the City. Plant 1 is located at the Citys Corporate Yard

and is scheduled to be completed in Summer 2008.


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Artist rendition of Plant No. 1, 5 million gallon reservoir located at the intersection of Avenue 45 and Pacific Street lookingSoutheast (also pictured on the FY 2007-08 Budget book cover).

NEW PLANT NO. 1 AT THE CORPORATE YARD

The Corporate Yard is located on a triangular-shaped 9.3 acre site on Avenue 45, east of JacksonStreet. The site serves as the administrative and operations center for the Indio Water Authorityand serves as the center of the Citys maintenance operations including, street maintenance,facilities and landscape maintenance, and fleet maintenance. It also serves as the heart of the

IWAs water operation Plant Number One serving Indio residents in zone 1 of the Citys multi-pressure zone water system.

The new Plant One Five Million Gallon Reservoir and Booster Station Project includes demolitionand removal of an existing 2 million gallon reservoir and booster station, and adding asphalt paving,a wrought iron fence, landscape and a solar paneled roof.


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BACKGROUND

CustomersBecause of the high population growthin our community, water demandcontinues to rise. During the calendaryear of 2006, residents consumed a total

of 73.1 million gallons of water. Thehighest volume of water pumped in onemonth, 881 million gallons, was duringAugust 2006. The Maximum DayDemand was highest in August at 27.8million gallons.

At the beginning of Fiscal Year 2006-07,the IWA had 18,199 customers. Weexpect to end the year with 19,001customers. During the past five years,the IWA has added 6,907 new

customers, an average of 1,381 new customers per year. In 2006-07, a slight downturn in newresidential construction, 802 new water customers was added to the system. However, 290 newmeters have been purchased but not installed. It is anticipated that the developers will install themeters by the end of fiscal year 2007-08.

Water SupplyThe Indio Water Authority currently obtains its water supply through wells drilled into a geologicalformation known as theCoachella Valley Ground WaterBasin. The Basin lies roughly

300 to 1,300 below the groundsurface in Indio. Water from thebasin is pumped to the surfaceusing 18 wells. These well sitesare located south of the I -10corridor. Wells X and Y,located north of I-10 corridor,will be equipped and placed inproduction in late 2007.

Water from the well sites is

either discharged directly intowater mains or into four aboveground reservoirs. Water fromthe reservoirs is then pumped into the water mains depending on demand. In every case, theground water is first treated with a small dose of sodium hydrochloride before it is finally pumpedinto the distribution system. Sodium hydrochloride is used as a disinfectant and is the only methodof water treatment needed since the groundwater source is extremely high quality.

DEMAND CHART

1129212792

14736

16245

1819919001

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

20000

01-02 02-03 03-04 04-05 05-06 06-07

Fiscal year*

Customers

*FY = Value based on June 30

DEMAND GROWTH

73.167.868.1

63.663.5

10

20

30

40

50

60

70

80

2002 2003 2004 2005 2006

Fiscal Year

MillionsinGallons


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SUMMARY OF ADOPTED POSITIONS

2006-2007 2007-2008

POSITION POSITION

COMMISSION 1 COMMISSIONER, PRESIDENT 1 COMMISSIONER, PRESIDENT

4 COMMISSIONER, ELECT 4 COMMISSIONER, ELECT

4 COMMISSIONER, RESIDENT 4 COMMISSIONER, RESIDENT

ADMINISTRATION 1 ADMINISTRATIVE ASSISTANT 1 ADMINISTRATIVE ASSISTANT

1 ASSISTANT ENGINEER 1 ASSISTANT ENGINEER

1 ENGINEERING TECHNICIAN II 1 ENGINEERING TECHNICIAN II

1 INVENTORY CONTROL CLERK 1 INVENTORY CONTROL CLERK

1 PRINCIPAL CIVIL ENGINEER 1 PRINCIPAL CIVIL ENGINEER

1 PUBLIC WORKS INSPECTOR II 1 PUBLIC WORKS INSPECTOR II

1 WATER OPERATIONS MANAGER 1 WATER OPERATIONS MANAGER

1 WATER QUALITY SPECIALIST 1 WATER QUALITY SPECIALIST

PRODUCTION 1 SENIOR WATER PUMPING PLANT OPERATOR 1 SENIOR WATER PUMPING PLANT OPERATOR

1 WATER PUMPING PLANT OPERATOR I 1 WATER PUMPING PLANT OPERATOR I

TRANSMISSION 1 GENERAL SERVICES MANAGER 1 GENERAL SERVICES MANAGER

3 SENIOR WATER UTILITY WORKER 3 SENIOR WATER UTILITY WORKER

1 WATER SUPERVISOR 1 WATER SUPERVISOR

2 WATER UTILITY SPECIALIST 2 WATER UTILITY SPECIALIST

5 WATER UTILITY WORKER I 5 WATER UTILITY WORKER I

5 WATER UTILITY WORKER II 5 WATER UTILITY WORKER II

CUSTOMER SERVICE 2 ACCOUNTING TECHNICIAN I 1 ACCOUNTING TECHNICIAN I

2 ACCOUNTING TECHNICIAN II 3 ACCOUNTING TECHNICIAN II

1 FISCAL OFFICER 1 FISCAL OFFICER

1 MANAGEMENT ANALYST 1 MANAGEMENT ANALYST

2 METER READER I 2 METER READER I

1 METER READER II 1 METER READER II

1 SENIOR ACCOUNTING TECHNICIAN 1 SENIOR ACCOUNTING TECHNICIAN

1 SENIOR METER READER 1 SENIOR METER READER

47 47

13


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INDIOWATERAUTHORITYORGANIZATIONALCHART


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KEY FACTS

Service Area and Operations

Established: April 19, 2000

Service Area: Approximately 23 square miles

Source: The IWAs drinking water is derived exclusively from the lower CoachellaValley Ground Water Basin that lies roughly 300 to 1,300 below theground service in Indio. Water from the basin is pumped to the surfaceusing 18 wells. Water from the well sites is either discharged directly intowater mains or into four above ground steel tank reservoirs. Water from thereservoirs is fed into the water main depending on demand. In every case,the ground water is first treated with a small dose of sodium hypochloritebefore it is discharged into the water distribution system. The Safe DrinkingWater Act of 1974 established uniformed nationwide standards for thequality of the drinking water. In 1986, the act was amended to include more

stringent standards and also to increase the number of contaminants that areregulated. The California State Department of Health Services (DHS) hasadopted, in some instances, even stricter standards.

Operations and Facilities:

City Population: Over 77,146 with approximately 21,400 households.

Water Pumped: In 2006, residents and businesses used 7.3 billion gallons of water daily.The highest volume of water pumped in one month was August 2006 of881 million gallons of water.

Water Storage: 8.25 million gallons/ 5 tanks

Financial Information:

Bond Rating: AAA

FY 2007 Revenues: $12,659,041

FY 2007 Operating Budget: $12,576,509

FY 2007 Capital Improvement Budget: $36,371,800

Data for population provided by Department of Finance, CA


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DESCRIPTION OF FUNDS

Enterprise Fundsare financed through user charges.

Water operating fund is restricted to maintenance and repair of the water system.

Revenues for the fund consist of water connection fees from new development and water

service fees on existing development. The major source of revenues are from water

payments, water plan check charges, water inspection fees, backflow fees and water meter

charges. These sources are used for daily operating expenditures such as employee

compensation, operations, regulatory fees, and capital maintenance.

Equipment Replacementaccounts for activities involved in providing replacement of

fully depreciated, damaged, or non-operational rolling stock.


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DESCRIPTION OF DEBT SERVICE FUNDS

Water Enterprise RevenueBonds 2006 Series On October 1, 2006, the Indio Water Authorityissued $61,175,000 Revenue Bond 2006 Series. The proceeds were used to repay the 2004 SeriesBond. Bond proceeds are used for capital maintenance and to build reservoirs, wells and boosters,pipelines, and for system administration. The Bonds are paid from net revenues of IWA and from

certain funds held under the indenture. The table below describes the Indio Water Authoritysannual debt service payments for the 2006 Water Revenue Bond.

IWAS 2006 WATER REVENUE BOND


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DESCRIPTION OF REVENUES

The following summarizes the sources of Water Authority revenues:

1. Backflow Charges are charged to the consumer, on a monthly basis for annualtesting. The purpose of backflow testing is to protect the public against actual

and potential contamination from other sources of water that are not approvedas safe and potable for human consumption.

2. Fire Service Connection Charges for every inch of diameter the IWA isobligating the system the necessary flow to meet the fire demand.

3. Service Charges are charges for other than water usage. Some of these chargesinclude new service establishment fee and fees for after hour services.

4. Water Inspection Charges are charged at a flat rate per inspection to newdevelopments. Inspecting insure compliance with IWAs standards and

specifications.

5. Water Meter Charges are paid by developers to connect property water linesto IWAs water main.

6. Water Plan Check Charges are paid by developers and residents with newdevelopment.

7. Water Utility Payments are paid by Indio Water Authority consumers basedon water use for water rates. This is the most significant of the IWAs revenues.


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WATER FUND REVENUE ASSUMPTIONS

Revenues estimates are determined by looking at three year trends and other factors such as CPI.Revenue assumptions used in developing the fiscal year 2007-08 budget are:

1. Backflow Fees

Backflow fees are expected to increase by approximately14.5% based on implemented backflow prevention program.

2. Fire Protection Charges Water meter revenues are expected to increaseapproximately 6.1 % based on increase in commercial services.

3. Water Plan Check fees and Inspection Fees Development relatedrevenues are anticipated to be consistent with FY 06-07 anticipated actualrevenues.

4. Water Meter Charges - Development related revenues are anticipated to be

consistent with FY 06-07 anticipated actual revenues.

5. Water Utility Payments Water utility payment revenue are expected toincrease based on a 23% approved rate increase.


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SUMMARY OF REVENUES 2007-2008

Utility Payments,$11,468,845

Water Meters,

$231,159

Services Charges,$687,636

Water Plan Checkand Inspection,

$271,401

TOTAL REVENUES$12,659,041


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WATER FUND EXPENDITURE ASSUMPTIONS

Expenditures are determined by looking at a three-year trend and analyzing other factorsthat will impact future expenditures. These are a few projected expenditure assumptionsused in developing the fiscal year 2007-08 budget.

1. Compensation Council approved cost of living increases (COLAS) areincluded in the 2007-08 budget. Specifically, the following COLAS wereincluded: 3.5% for LIUNA, Executive and Unclassified staff.

2. Personnel IWA currently has 38 full-time employees. There is no changefrom the previous Fiscal Year 2006-2007.

3. Regulatory Fees $939,550 includes an increase due to pumping costs at a

rate of 10% for Coachella Valley Water District replenishment fees.

4. Capital Equipment $325,000 is budgeted for anticipated equipmentreplacement and new purchases.

5. Emergency Reserve - $3,000,000 was set aside in Fiscal Year 2005-06 as areserve in the event of a natural or fiscal emergency.

6. Lease Agreement On September 17, 2001 a 30-year lease agreement wasmade by and between the Indio Water Authority and the City of Indio. Thelease payment for Fiscal Year 2007-08 is $1,159,274.

7. Debt Service Debt service payment on the 2006 Series Revenue Bond is$891,689 for Fiscal Year 2007-08.


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SUMMARY OF EXPENDITURES 2007-2008

Professional

Services,

$165,700

Supplies,

$1,037,000Capital

Equipment,

$325,000

Lease Agreement,

$1,159,274

Debt Service,

$891,689

Administrative

Fees, $2,321,535

Regulatory andUtilities, $2,978,850

Personnel,

$3,697,461

TOTAL EXPENDITURES

$12,576,509


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Revenue Bond,

$21,914,800

Capital Impact

Fees, $11,740,162

Total Bond Expenditures

$36,371,800 Carryover, $14,457,000

Wells and Boosters,

$2,000,000

Pipeline Improvements,

$712,300

Other Capital

Improvements,$750,000

System Administration,

$252,500

Reservoirs,

$18,200,000

23

SUMMARY CAPITAL EXPENDITURES 2007-2008


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EXPENDITURE DISTRUBUTION BASED ON $1.00

$. 29 Personnel

$ .24 Regulatory & Utilities

$ .18 Administrative Fees

$ .09 Lease Agreement

$ .08 Operating Contingency-Debt-Service

$ .08 Supplies

$. 03 Capital Maintenance

$ .01 Professional Services

$1.00


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2007-08Plan Check Charges 90,943$Water Inspection Charges 180,458$Water Meters 231,159$Water Utility Payments 11,468,845$Backflow Charges 130,472$Bottled Water 2,356$Establishment Charges 80,848$Fire Protection Charges 51,651$Interest 195,982Other Service Charges 158,026$Returned Check Charges 3,406$Service Area Fees 45,536$Service Connection Charges 19,359$

Estimated Revenue Total 12,659,041$

2007-08Personnel 3,697,461$Administration Fees 647,503$Legal Fees 60,000$

Professional Services 105,700$Promotions and Conservation 18,500$Regulatory Fees 939,550$Utilities 2,039,300$Supplies 1,037,000$Capital Equipment 325,000$Lease Agreement 1,159,274$Debt Service 891,689$Internal Service Transfers 1,391,532$Equipment Replacement 264,000$

Estimated Expenditures Total 12,576,509

Contingency 82,532

ESTIMATED REVENUES

ESTIMATED EXPENDITURES

25

ADOPTED BUDGET 2007-2008


30/55

INDIOWATERAUTHORITYC

OMMISSIONOR

GANIZATIONAL

CHART

RATEPAYERS

PRESIDENTELECTED

RE

SIDENT

COMM

ISSIONERS

APPOINTED(4)

COM

MISSIONERS

EL

ECTED(4)

SECRETARYELECTED


31/55

Commission

Adopted AdoptedBudget Budget

FY2006/07 FY2007/08

# of Authorized PersonnelPresident 1 1Commission 4 4Resident Commission 4 4

Total 9 9

Expenditures by Categor

Salary and Benefit Costs 10,334$ 10,334$Travel and Training 45,000 9,000

Total 55,334$ 19,334$

FISCAL SUMMARY

27

COMMISSION FISCAL SUMMARY


32/55

INDIOWATER

AUTHORITYAD

MINISTRATIONORGANIZATION

ALCHART

ADM

INISTRATION

INVEN

TORY

Manage

City

Inventory

FleetInv

entory

Custome

rService

Bidsfor

City

Inventory

Contract

Vendors

WATERQUALITY

MonitorLocal,State,and

FederalCompliance

Regulations

WaterStandards

WeeklyMonitoringof

DistributionSystem

WaterQualityReports

RecordsforWaterQuality

WATER

OPERATIONS

ADMINISTRATIVE

SUPPORT

EN

GINEERING

DesignWater

System

Ins

pection

Construction

Ma

nagement

WaterAtlasUpdate

ContractBidding

System

Specifications


33/55

29

ADMINISTRATION FISCAL SUMMARY

Administration

Adopted Adopted

Budget BudgetFY2006/07 FY2007/08

# of Authorized Personnel

Administrative Assistant 1 1Assistant Engineer 1 1Engineering Technician II 1 1Inventory Control Clerk 1 1Principal Civil Engineer 1 1Public Works Inspector II 1 1Water Operations Manager 1 1Water Quality Specialist 1 1

Total 8 8

Expenditures by Category

Salary and Benefit Costs 1,036,037$ 1,108,344$Administration Fees 54,550$ 209,468$Legal Fees 60,000$ 60,000$Regulatory Fees 99,000$ 80,000$

Supplies 9,000 12,500Lease Agreement 1,125,509 1,159,274Debt Service 827,944 891,689Equipment Replacement 264,000Internal Service 674,777 1,391,532

Total 3,886,817$ 5,176,807$

FISCAL SUMMARY


34/55

INDIOWATE

RAUTHORITYP

RODUCTIONOR

GANIZATIONAL

CHART

WATER

PR

ODUCTION

PRODUCTION

MAINTE

NANCE

WaterPu

mping

FacilityM

aintenance

WaterPu

mp

Performa

nce

WellLev

el

Monitoring

MotorControl

Centers

PU

MPPLANT

OP

ERATIONS

Bac

kflowTesting

WaterQuality

WaterTreatment

SCADA

Sys

temCoordinator

WATERSTORAGE

WaterLevel

Adjustment

WaterTurnOver


35/55

31

PRODUCTION FISCAL SUMMARY

Production

Adopted Adopted

Budget Budget

FY2006/07 FY2007/08


Senior Water Pumping Plant Operator 1 1Water Pumping Plant Operator I 1 1

Total 2 2


Salary and Benefit Costs 133,456$ 162,197$Administrative Fees 3,250 195,300Regulatory Fees 421,000 859,550Utilities 1,488,904 2,039,300Supplies 918,700 774,200

Capital Outlay(1) 15,907,500 300,000Internal Service *

Total 18,872,810$ 4,330,547$

* see administration for Internal service budget.

FISCAL SUMMARY

(1)IWA Capital project were included in FY 06/07 operations and are now

shown separately in FY 07/08 Capital Improvements.


36/55

INDIOWATERAUTHOR

ITYTRANSMISSION/DISTRIBUTION

ORGAN

IZATIONALCHA

RT

WATERTRANSMISSION/

DISTRIBUTION

DISTRIBUTIONCREWS

NewService

Installations/

Repairs

CityMainLineRepairs

ServiceRepairLeaks

MonitorWaterService

Infrastructure

FireHydrantValve

Maintenance

EmergencyR

epairs

WATE

RTREATMENT

Wa

terQuality

Tre

atment

Air

Quality

Ma

nagement

Environmental

Pro

tection

FIELDSERVICES

ValveExercising

FireHydrantMaintenance

RadioFrequencyRead

MeterChangeOut

Program

NewInstallations

BackflowTesting

BackflowRepair

WaterMeterMaintenance


37/55

33

TRANSMISSION FISCAL SUMMARY

Transmission


FY2006/07 FY2007/08


General Services Manager 1 1Senior Water Utility Worker 3 3Water Supervisor 1 1Water Utility Specialist 2 2Water Utility Worker I 5 5Water Utility Worker II 5 5

Total 17 17


Salary and Benefit Costs 1,355,661$ 1,496,908$Administrative Fees 3,000 3,000Professional Consulting Services 372,700 82,200Supplies 135,650 239,350Capital Outla 676,000 25,000Internal Service *

Total 2,543,011$ 1,846,458$

see a m n strat on or nterna serv ce u get.

FISCAL SUMMARY


38/55

INDIO

WATERAUTHO

RITYCUSTOMER&BUSINESSSERVICES

ORG

ANIZATIONALC

HART

CUSTOMER&

B

USINESSSERVICES

BUSINESSSERVICES

C

ollections

D

elinquencies

C

ustomerService

W

orkOrderProcessing

W

aterConservation

A

ccounting

A

udit

R

egulationReporting

FIELDSERVICES

CustomerService

MeterReading

MeterMaintenance

FieldServices

Requested


39/55

Customer Service


FY2006/07 FY2007/08

# of Authorized PersonnelAccounting Technician I 2 1Accounting Technician II 2 3Fiscal Officer 1 1Management Analyst 1 1Meter Reader I 2 2Meter Reader II 1 1Senior Accounting Technician 1 1Senior Meter Reader 1 1

Total 11 11


Salary and Benefit Costs 824,807$ 919,678$Administrative Fees 152,800 230,735Professional Consulting Services 17,000 23,500Promotions and Conservation 23,500 18,500Supplies 6,350 10,950Capital Outla - -Internal Service *

Total 1,024,457$ 1,203,363$

* see administration for Internal service budget.

FISCAL SUMMARY

35

CUSTOMER SERVICE FISCAL SUMMARY


40/55

Granite 400' Elevation Reservoir (Plant 13) 5,612,500$Lost Horse Reservoir 6,500,000$

Plant 1 - Reservoir & Storage Upgrades 5,800,000$Plant 2 - Reservoir & Storage Upgrades 2,900,000$Plant 3 - Reservoir & Storage Upgrades 2,500,000$

23,312,500$

Equipment Wells X & Y 1,000,000$Rehabilitation of Various Wells 250,000$VFD Drives with Backup Emergency Generators 750,000$

2,000,000$

Replace Water Lines Less than 8-inch 712,300$712,300$

Design an Eva uation o Water In rastructure &

New Development 75,000$Engineering Software 60,000$GIS Based Map & Digital Ortho 150,000$GIS Equipment 35,000$

320,000$

Pressure Reducing Stations 750,000$

750,000$

CARRY OVER CIP PROJECTS 21,017,162$21,017,162$

TOTAL 48,111,962$

RESERVOIRS

WELLS AND BOOSTERS



OTHER CAPITAL IMPROVEMENTS

36

CAPITAL IMPROVEMENT PROGRAM SUMMARY

2007-2008


41/55


42/55

F

Y07-08

FY07-08

FY08-09

FY08-09

FY09-10

FY09-10

FY10-11

FY

10-11

FY11-12

FY11-12

TotalPr

oject

Cost

FundingSource

F

und310

Revenue

bond

Fund310

Revenue

bond

Fund310

Revenue

Bond

Fund310

Revenue

b

ond

Fund310

Revenuebond

Year5

Year1

Year2

Year3

Year4

SYSTEMA

DMINISTRATION

DesignandEvaluationofWater

Infrastructure&NewDevelopment

50,0

00

25,0

00

50,0

00

25,0

00

50,0

00

50,0

00

50,0

00

3

00,0

00

EngineeringSoftware

60,0

00

45,0

00

1

05,0

00

GISBasedMap&DigitalOrtho

150,000

1

50,0

00

GISEquipment

17,5

00

17,5

00

10,0

00

10,0

00

10,0

00

10,0

00

10,0

00

85,0

00

OTHERCAPITALIMPROVEMENTS

Inlet/OutletforReservoirs

750,000

7

50,0

00

PressureReducingStations

750,000

1,250,0

0

2,0

00,0

00 -

-

-

TotalProjectCosts

11,740,162

36,371,800

5,960,000

13,049,800

4,060,000

750,000

2,060,000

750,000

2,060,000

1,350,000

AccumTotalFund310

11,740,162

$

17,700,162

$

21,760,162

$

23,820,162

$

25,880,162

$

Accum

TotalBond

36,371,800

$

49,421,600

$

50,171,600

$

50,921,600

$

52,271,600

$

TotalProjectByyear

Yr1

48,1

11,9

6

$

Yr2

19,0

09,8

00

$

Yr3

4,810,000

$

Yr4

2,810,00

Yr5

3,410,00

$

78,1

51,7

62

38

IWA and City of Indio FY 07-08 to FY 11-12 Combined Project Summary Water

Development Impact Fees (310) & Revenue Bond PAGE CONT.


43/55

39

IWA FY 07-08 to FY 11-12 CAPITAL IMPROVEMENTPROGRAM WATER DEVELOPMENT IMPACT FEES

(310)

CITYOFINDIO

FY07-08FY11-12CapitalImprovementProgram

WaterDevelopmentImpactFees(310)

FY07-08

FY08-09

FY09-10

FY10-11

FY11-12

BeginningCIPFundBalance

7,504,503

$

109,829

$

235,329

$

225,829

$

188,829

$

NewRevenues

5,226,000

6,532,500

4,355,000

2,177,500

2,175,000

LessOperationalExpenses

(880,512

(447,000)

(304,500)

(154,500)

(154,500)

TotalAvailableResources

11,849,991

6,195,329

4,285,829

2,248,829

2,209,329

CarryoverProjects

WellSitingStudy

107,302

Phase4ADesign

190,000

IDmodeling

36,620

Phase4BDesignOnly

242,040

DesignPlant1

107,976

DesignPlant2

104,079

DesignPlant13

715,530

EngineeringServices

37,060

LandAcquisitionService

9,630

WaterMasterPlan

256,650

GraniteSiteStreetProject

751,275

DesignPlant3

260,000

Phase4AConstruction

1,400,000

DynamicWaterModel

100,000

Phase4BConstruction

1,300,000

Well#7

800,000

Hwy111Improvements(JeffersonSt-I10)(1)

142,000

(Non-Encumbered)CarryoverSubtotal:

6,560,162

-

-

-

NewProjects

GISEquipment

17,500

10,000

10,000

10,000

10,000

DesignandEvaluationofWaterInfrastru

cture

andnewdevelopmen

50,000

50,000

50,000

50,000

50,000

Plant2-Reservoirs&StorageUpgrades

500,000

1,200,000


500,000

500,000


1,000,000

PipelineImprovements

3,200,000

1,000,000

Granite400"ElevationReservoir

612,500

LostHorseReservoir

2,500,000

1,000,000

500,000

IndioHillsBoosterStation

1,500,000

IndioHillsElevationReservoir

2,000,000

2,000,000

1,000,000

TotalProjectCosts

11,740,162

5,960,000

4,060,000

2,060,000

2,060,000

EndingFundBalance

109,829

$

235,329

$

225,829

$

188,829

$

149,329

$

(1)Caltrans-$5.7M,RCTC-$3.2M,TE

-LU-$1.4M,WaterBond-$1.6M


44/55

40

IWA FY 07-08 TO FY 11-12 CAPITAL IMPROVEMENT

PROGRAM WATER AUTHORITY REVENUE BOND

CITYOFINDIO

FY07-08FY1

1-12CapitalImprovementProgram

WaterAuthor

ityRevenueBondCapita

FY07-08

FY08-09

FY09-10

FY10-11

FY11-12

BeginningCIPFundBalance

52,3

34,4

34

$15,9

62,63

4

$2,9

12,8

34

$2,1

62,8

34

$1,4

12,8

34

NewRevenue

s1

LessOperationalExpenses

-

-

-

-

-

TotalAvailableResources

52,3

34,4

34

15,9

62,63

4

2,9

12,8

34

2,1

62,8

34

1,4

12,8

34

Carryo

verProjects

000,000,31

ytilicaFAWI H

wy111Improvements(JeffersonSt-I10)

1

1,4

57,0

00

CarryoverSubtotal:

14,4

57,0

00

-

-

-

-

N

ewProjects

0

00,01

005,71

t

nempiuqEsiG

0

00,54

000,06

erawtfo

SgnireenignE D

esignandEv

aluationofWaterInfrastructure&NewDevelopment

25,0

00

25,00

0

000,051

ohtrOlatigiD&p

aMdesaBSIG

0

03,217

003,217

hcni-thgiEnahtsseLseniLr

etaWecalpeR

000,057

000,057

srotareneGycnegremEpukcaBhtiwsevirDDFV

0

00,052,1

000,057

snoitatSgnicudeRerusserP

0

00,000,1

000,000,1

Y&

XslleWpiuqE In

let/Outletfor

Reservoirs

750,0

00

0

00,000,4

000,004,2

sedargpUegarotS&riovr

eseR-2tnalP

0

00,000,3

000,000,2


eseR-3tnalP

000,008,4


eseR-1tnalP

0

00,052

000,052

slleWsuoiraVfo

noitatilibaheR

0

00,004,1

stnemev

orpmIenilepiP

0

05,753,1

000,000,5

)31tnalP(riovreseRnoitavel

E'004etinarG In

dioHillsRes

ervoir

600

,000

0

0

000,000,4

riovres

eResroHtsoL N

orthernPolo

EstatesReservoir

750

,000

NewProjectSubtotal:

21,9

14,8

00

13,0

49,80

0

750,0

00

750,0

00

1,3

50

,000 0

00,

053,1

000,057

000,057

0

08,940,31

008,173,63

stsoC

tcejorPlatoT E

ndingFund

Balance

15,9

62,6

34

2,9

12,83

4

2,1

62,8

34

1,4

12,8

34

62,8

34

1Caltrans-$5.

7M,

RCTC-$3.2

M,

TE-LU-$1.4

M,

WaterBond-$1.6

M


45/55

41

INDIO WATER AUTHORITY CAPITAL

IMPROVEMENT PROGRAM FY 2007-08

RESERVOIRS

1. Granite Reservoir at elevation 400 on the Indio Aggregate Mine just above MonroeAvenue known as Plant 13 Granite Site. This reservoir will service the Northwestern

section of Indio. (Water Impact Fund and Water Revenue Bond) $5,612,500

2. Lost Horse Reservoir site will substantially fulfill the additional reservoir volumerequirement at elevation 300 just above Harrison Street, which will be known as the LostHorse Reservoir. (Water Impact Fund and Water Revenue Bond) $6,500,000

3. Replacing the existing 2 million gallon reservoir and pump station at Plant 1 with a 5 milliongallon reservoir and new booster pump station. (Water Impact Fund and Water Revenue Bond)$5,800,000

4. Upgrade storage capacity at Plant 2 by 3 million gallons. (Water Impact Fund and Water

Revenue Bond) $2,900,000

5. Upgrade storage capacity at Plant 3 by 2 million gallons. (Water Impact Fund and WaterRevenue Bond) $2,500,000

WELLS AND BOOSTERS

6. Equipment Wells X and Y were drilled beyond the basins water bearing formationsallowing fluoride contaminated water into the wells. Rehabilitation of these wells willprovide a water source above Avenue 42 in Pressure Zone 4. (Water Revenue Bond)$1,000,000

7. Remove, rebuild, or replace the well pump, motor, shaft and impellers, and reline or repairexisting well casings at Wells 7, 1A, and construct a new well at Plant 2. This will restorethe wells performance. (Water Revenue Bond) $250,000

8. Adding variable frequency drivers will provide the ability to maintain a more constant waterpressure through the IWA distribution system and provide emergency power backup.(Water Revenue Bond) $750,000


9. To replace water lines that are less than 8 inches to meet IWA specifications & provideadequate water flow for fire protection. (Water Revenue Bond) $712,300

SYSTEM ADMINISTRATION10. As new development occurs and existing infrastructure is replaced, maps and water atlas

must be updated to reflect existing conditions. This includes the water model and wateratlas. (Water Impact Fund and Water Revenue Bond) $75,000

11. Engineering Software (Water Revenue Bond) $60,000


46/55

42

12. Digital orthophotography is computerized aerial photography that records all visible groundfeatures in their true map position. It is based on a set of color photos taken from anairplane or satellite. (Water Revenue Bond) $150,000

13. A Geographical Information System (GIS) is a collection of computer hardware, software,and geographic data for capturing, managing, analyzing, and displaying all forms ofgeographically referenced information. This equipment will be used for mapping the Cityof Indios water system, pipelines, and facilities. (Water Impact Fund and Water Revenue Bond)

$35,000.


14. Pressure Reducing Stations to implement the 6 pressure zone system based on the dynamicwater model. This will provide uniform water pressure throughout the City. (Water RevenueBond)) $750,000


47/55

43



RESERVOIRS

1. Granite Reservoir at elevation 400 on the Indio Aggregate Mine just above MonroeAvenue known as Plant 13 Granite Site. This reservoir will service the Northwesternsection of Indio. (Water Revenue Bond) $1,357,500

2. Lost Horse Reservoir site will substantially fulfill the additional reservoir volumerequirement at elevation 300 just above Harrison Street, which will be known as the LostHorse Reservoir. (Water Impact Fund) $1,000,000



WELLS AND BOOSTERS5. Equipment Wells X and Y were drilled beyond the basins water bearing formations

allowing fluoride contaminated water into the wells. Rehabilitation of these wells willprovide a water source above Avenue 42 in Pressure Zone 4. (Water Revenue Bond)$1,000,000

6. Remove, rebuild, or replace the well pump, motor, shaft and impellers, and reline or repairexisting well casings at Wells 7, 1A, and construct a new well at Plant 2. This will restorethe wells performance. (Water Revenue Bond) $250,000


7. To replace water lines that are less than 8 inches to meet IWA specifications & provideadequate water flow for fire protection demand. (Water Revenue Bond) $712,300

8. Improvements to various pipelines to serve new development. (Water Impact Fund and WaterRevenue Bond) $4,600,000


9. As new development occurs and existing infrastructure is replaced, maps and water atlasmust be updated to reflect existing conditions. This includes the water model and wateratlas. (Water Impact Fund and Water Revenue Bond) $75,000

10. Engineering Software (Water Revenue Bond) $45,000

11. A Geographical Information System (GIS) is a collection of computer hardware, software,and geographic data for capturing, managing, analyzing, and displaying all forms ofgeographically referenced information. This equipment will be used for mapping the Cityof Indios water system, pipelines, and facilities. (Water Impact Fund and Water Revenue Bond)$20,000.


48/55

44


12. Pressure Reducing Stations to implement the 6 pressure zone system based upon thedynamic water model. This will provide uniform water pressure throughout the City.(Water Revenue Bond) $1,250,000


49/55

45



RESERVOIRS

1. New 300 elevation reservoir at Indio Hills (Water Impact Fund) $2,000,000

2. Reservoir site will substantially fulfill the additional reservoir volume requirement atelevation 300 just above Harrison Street, which will be known as the Lost Horse Reservoir.(Water Impact Fund) $500,000

WELLS AND BOOSTERS

3. New Booster Station at Indio Hills ((Water Impact Fund) $1,500,000


4. As new development occurs and existing infrastructure is replaced, maps and water atlasmust be updated to reflect existing conditions. This includes the water model and wateratlas. (Water Impact Fund) $50,000

5. A Geographical Information System (GIS) is a collection of computer hardware, software,and geographic data for capturing, managing, analyzing, and displaying all forms ofgeographically referenced information. This equipment will be used for mapping the Cityof Indios water system, pipelines, and facilities. (Water Impact Fund) $10,000.


6. This project includes adding pipeline connections from new reservoirs to the IWAdistribution system. (Water Revenue Bond) $750,000


50/55

46



RESERVOIRS

1. Lost Horse Reservoir site will substantially fulfill the additional reservoir volume

requirement at elevation 300 just above Harrison Street, which will be known as the LostHorse Reservoir. (Water Impact Fund) $2,000,000

WELLS AND BOOSTERS

2. Upgrade constant speed solid state motors tovariable frequency VFDs (variable frequencydrivers) (Water Revenue Bond) $750,000


3. As new development occurs and existing infrastructure is replaced, maps and water atlasmust be updated to reflect existing conditions. This includes the water model and wateratlas. (Water Impact Fund) $50,000



51/55

47



RESERVOIRS

1. Lost Horse Reservoir site will substantially fulfill the additional reservoir volumerequirement at elevation 300 just above Harrison Street, which will be known as the Lost

Horse Reservoir. (Water Impact Fund) $1,000,000

2. New 300 elevation reservoir at Indio Hills. (Water Revenue Bond) $600,000

3. New reservoir at Northern Polo Estates to service the North Indio. (Water Revenue Bond)$750,000


4. Improvements to various pipelines to serve new development. (Water Impact Fund)$1,000,000

SYSTEM ADMINISTRATION5. As new development occurs and existing infrastructure is replaced, maps and water atlas

must be updated to reflect existing conditions. This includes the water model and wateratlas. (Water Impact Fund) $50,000



52/55

48

GLOSSARY

ADOPTED EXPENDITUREThe amount of expenditures approved by the Commission tobe spent during the fiscal year

ADOPTED REVENUEThe amount of revenues approved by the Commission to be collected

during the fiscal year

APPROPRIATIONAn authorization made by the City Council that permits the IWA to incurobligations and to make expenditures of resources.

BOND A written promise to pay a specified sum of money, called the face value of principalamount, at a specified date or dates in the future, called the maturity date(s), together with periodicinterest at a specified rate

BONDED DEBTThat portion of indebtedness represented by outstanding bonds

BUDGET A financial plan, for a specified period, of operations that matches all plannedrevenues and expenditures with the services provided the residents of the City of Indio

BUDGET DOCUMENT The instrument used by the budget-making authority to present acomprehensive financial plan of operations to the IWA Commission.

BUDGET MESSAGE The opening section of the budget from the President, which providesthe Commission and the public with a general summary of the most important aspects of thebudget

BUDGET ORDINANCE The official enactment by the IWA Commission to legally authorizeCity staff to obligate and expend revenues

CAPITAL PROJECTS FUND A fund created to account for financial resources to be used forthe acquisition or the construction of major capital facilities or equipment.

CHARGES FOR SERVICES Revenue from charges for all activities of the Authority.

CIP Capital Improvement Program

COMMISSIONMade up of five elected officials with a rotating president and four appointedcommissioners, collectively acting as the legislative and policy-making body of the IWA

CONTRACT SERVICES The costs related to services performed for the Authority byindividuals, businesses or utilities

DEBT SERVICE FUNDA fund established to account for the accumulation of resources for,and the payment of, long-term debt principal and interest

DEPARTMENT A major administrative organizational unit of the Authority that indicatesoverall management responsibility for one or more divisions

DEPRECIATION The decrease in value of physical assets due to use and the passage of time;


53/55

49

in accounting for depreciation, the cost of a fixed asset is prorated over the estimated service life ofsuch an asset, and each year is charged with a portion of such cost; through this process, the entirecost of the asset is ultimately charged off as an expense; this is done in proprietary funds, whichallows the calculation of net income for each fund

DIVISION A major administrative organizational unit of the City that indicates overallmanagement responsibility for one or more activities

ENCUMBRANCEThe commitment of appropriated funds to purchase an item or service; toencumber funds means to set aside or commit funds for a future expenditure

ENTERPRISE FUND A fund established to account for operations that are financed andoperated in a manner similar to private business enterprises

EXPENDITURES A decrease in the net financial resources of the City due to the acquisitionof goods and services

FISCAL YEAR A 12-month period to which the annual operating budget applies; the City ofIndio has specified July 1 through June 30 as its fiscal year

FUND An accounting entity with a self-balancing set of accounts that record financialtransactions for specific activities or government function

FUND BALANCEThe excess of assets over liabilities

GOALS Broad, general statements of each divisions desired social or organizational outcomes

INFRASTRUCTURE The underlying permanent foundation or basic framework

INTEREST EARNINGS The earnings from available funds invested during the year in USTreasury Bonds, government agencies and Certificates of Deposit

INTERNAL SERVICE FUND This fund is used to account for the financing of goods andservices provided by one department or agency to other departments or agencies of the City, or toother governments, on a cost reimbursement basis

MATERIALS AND SUPPLIES Expendable materials and operating supplies necessary toconduct department activity

OPERATING TRANSFER A transfer of revenues from one fund to another fund

OPERATING BUDGETThe annual budget and process that provides a financial plan for the

operation of government and the provision of services for the year; excluded from the operatingbudget are capital projects, which are determined by a separate, but interrelated process

ORDINANCE A formal legislative enactment by the governing board of a municipality; if it isnot in conflict with any higher form of law such as a state statute or constitutional provision, it hasfull force and effect of law within the boundaries of the municipality to which it applies; thedifference between an ordinance and a resolution is that the latter requires less legal formality andhas a lower legal status; revenue raising measures, such as the imposition of taxes, specialassessments and service charges, universally require ordinances


54/55

50

PROGRAM An activity or set of activities that provides a particular service to the citizens

PUBLIC HEARING The portions of open meetings held to present evidence and provideinformation on both sides of an issue

RTA - RESERVE An account used to indicate that a portion of a fund balance is restricted to aspecific purpose or not available for appropriation and subsequent spending

RESOLUTION An order of a legislative body requiring less formality than an ordinance orstatute

RESTRICTED FUNDS These funds are used to account for specific revenues that are legallyrestricted to expenditure for particular purposes

REVENUE Funds that the government receives as income

SPHERE OF INFLUENCE (SOI) Is an area or region over which an organization or stateexerts some kind of indirect cultural, economic, military or political domination.

TBD

To be determined


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Documents

FY 07-08 IWA Budget - Copy