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FY22 & FY23 Budget PresentationSalaries/Benefits & Purchased Water

Special Study SessionFebruary 2nd, 2021

• Budget Schedule• Recap of District Profile• Salaries and Benefits Budget• Purchased Water Budget• Public Outreach Plan• Board Guidance/Feedback

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Board Kick‐off January 11th

Salaries & Benefits / Water Purchases February 2nd

CIP / Outlay / Debt Feb. 22nd / March 3rd

Department O&M  March 8th

District Funds/Reserves March 17th

Rate Study / Prop 218 Notice March 23rd

Final Budget Recap April 7th

Prop 218 Notice Mailed April 23rd

Board Action June 10th

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• 97 square mile service area– Temescal – Additional area outside of

District boundary• Water sold in FY 2020 - 22,600 Acre

Feet• Population served - > 157,000• Connections

– Domestic Water – 45,900– Sewer – 36,600– Recycled Water – 115

• # of Employees - 172

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• Water Operations–2 Water treatment

plants–14 Potable Wells–72 Tanks (90 MG)–57 Pump Stations–748 Miles of Pipeline–75 Pressure Zones

• 3 Lakes• 2 Dams

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• Wastewater Operations– 3 Wastewater Treatment

Plants (9.7 MGD)– 387 Miles of Gravity

pipelines– 17 Miles of Force Main– 38 Lift Stations

• State Certified Water Quality Laboratory– Conduct more than

14,000 tests for 150 constituents annually

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• District Rating– Fitch: AA– Moody’s: Aa2– S&P: AA+

• Grants Received (~ 4 yrs)– # Received: 12– Total: $13M

• Low Interest Loans– # Received: 7– Total: $221M– Additional $6M in Loan Forgiveness – $80M savings in interest cost

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$48.7 $18.2

$1.2 $11.1

FY 2021 Operating Expense ($79M)

Water

Wastewater

Recycled

General &Administrative

$13.7

$80.0

$2.6

FY 2021 Non-Operating Expense ($96M)

Debt Service

Capital

Other

Building the Budget for Rates

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Rate Model

Water Purchases

Salary & Benefits

CIP, Outlay, & Debt

Department O&M

RatesProp 218 Compliant

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174173

37,968 

47,220 

 32,000

 34,000

 36,000

 38,000

 40,000

 42,000

 44,000

 46,000

 48,000

120

140

160

180

200

220

240

FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23

Authorized FTEs Meter Count

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RequestTotal 

RequestedTotal 

Recommended

Temporary Employee 6 6

Reclassification 3 0

New Position 1 0

Salary Survey  0 0

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Temporary Position Requested FY2022 FY 2023

Senior Office Assistant – Administrative Services* FTE FTE

Warehouse Assistant* FTE FTE

Development Services Representative* FTE FTE

Customer Service Representative FTE

Senior Office Assistant – Administrative Services* 0.5 FTE

Pretreatment Program Coordinator 0.5 FTE

*Continuation of existing assignment

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DivisionFY2021 Budget Reclass

Approved Additions

FY22 / FY23 Proposed Additions

FY22 / FY23 Proposed

General Management 13 - 1 - 14Business Services 48 - - - 48Engineering 17 - - - 17Water Resources 15 - - - 15Operations 79 - - - 79

Total FTE Count 172 - 1 - 173

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FY2021 Estimate

FY2021 Actual

FY2022 Estimate

FY2023 Estimate

COLA (MOUs 1%-4%) 2.7% 1.7% 2.5% 2.5%

Merit 2.5% n/a 2.5% 2.5%

Health 4% 0-9% 10% 10%

Pension 29.5% n/a 29.4% 30.3%

(in thousands)

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Elsinore Water32% Temescal

1%

Wastewater21%

Recycled Water1%

Engineering8%

G & A37%

FY2020 ACTUALS

FY2021 BUDGET

FY2022 PROPOSED

Increase/ Decrease

FY2023 PROPOSED

Increase/ Decrease

Salaries $ 15,653 $ 16,771 $ 17,237 $ 466 $ 17,919 $ 682 Health/Dental/Vision 2,978 3,478 3,596 119 3,941 345 Pension 3,738 4,318 4,530 212 4,801 271 Other Benefits 1,245 1,816 1,773 (43) 1,860 87

Total $ 23,614 $ 26,383 $ 27,136 $ 753 $ 28,521 $ 1,385

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 ‐

 2,000

 4,000

 6,000

 8,000

 10,000

 12,000

 14,000

 16,000

 18,000

Wells Surface Water Purchased

Water Production (AF)

FY2020 Actuals FY2021 Budget FY2022 Budget FY2023 Budget

Production (AF)FY2020

ACTUALS

FY2021 PROJECTED

ACTUALSFY2021 BUDGET

FY2022 PROPOSED

FY2023 PROPOSED

INCREASE/ (DECREASE)

Elsinore Water FundWells 3,653 5,509 5,006 4,681 4,681 (325)Back Basin WTP 425 1,661 1,814 1,819 1,819 5 Cold Water Basin (Temescal) 1,017 696 255 585 585 330 Surface Water 1,503 - 2,500 - - (2,500)Purchased 15,705 16,470 15,315 16,468 16,830 1,515

Elsinore Water Subtotal: 22,302 24,336 24,890 23,553 23,915 (975)

Temescal Water FundWells 335 375 375 375 375 -Purchased 1 - - - - -

Temescal Water Subtotal: 336 375 375 375 375 -

Total Production (AF) 22,639 24,712 25,265 23,928 24,290 (975)

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*Pass‐through from WMWD

2020 2021 2022Estimated

2023Commodity Charge ($/AF)

Full Service Untreated RateTier 1 755 777 799 852 Tier 2 842 819 841 894

Treatment Surcharge 323 327 344 344

Full Service Treated RateTier 1 $ 1,078 $ 1,104 $ 1,143 $ 1,196 Tier 2 $ 1,165 $ 1,146 $ 1,185 $ 1,238

*Fixed Charge ($/yr) Estimated Estimated

Readiness to Serve $ 529,712 $ 552,274 $ 573,630 $ 594,876 Capacity $ 458,150 $ 690,300 $ 810,660 $ 863,760

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FY2020 ACTUALS FY2021 BUDGET

FY2022 PROPOSED

INCREASE/ (DECREASE)

FY2023 PROPOSED

INCREASE/ (DECREASE)

Recycled Water Fund

Commodity $ 112,411 $ 105,000 $ 87,438 $ (17,562) $ 88,754 $ 1,316

FY2020 ACTUALS

FY2021 BUDGET

FY2022 PROPOSED

INCREASE/ (DECREASE)

FY2023 PROPOSED

INCREASE/ (DECREASE)

Water FundsCommodity $ 17,098,630 $ 18,150,949 $ 20,160,981 $ 2,010,032 $ 21,414,158 $ 1,253,177

Fixed 1,329,164 1,068,980 1,914,595 845,615 1,994,941 80,346

Water Funds Subtotal: $ 18,427,794 $ 19,219,929 $ 22,075,576 $ 2,855,647 $ 23,409,099 $ 1,333,523

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FY2020 ACTUALS FY2021 BUDGETFY2022

PROPOSEDINCREASE/ (DECREASE)

FY2023 PROPOSED

INCREASE/ (DECREASE)

Salaries & Benefis $ 23,614,124 $ 26,382,602 $ 27,136,049 $ 753,447 $ 28,521,121 $ 1,385,072 Purchased Water 18,540,205 19,324,929 22,163,014 2,838,085 23,497,853 1,334,839

CIP 21,876,594 78,301,794 TBD TBD TBD TBD Debt 14,093,931 14,717,282 TBD TBD TBD TBD

Outlay 2,362,990 1,648,322 TBD TBD TBD TBD Department O&M 23,197,149 28,233,225 TBD TBD TBD TBD

Total $ 103,684,993 $ 168,608,154 $ 49,299,063 $ 3,591,532 $ 52,018,974 $ 2,719,911

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Goals-• Develop understanding about goals of rate change• Transparency of process and the “why”.• Clarify the impacts and benefits as a result• Provide easy to understand materials through a

variety of tactics

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Tactics-• Community Workshops• Presentations at City Councils, large

HOAs and MAC/ CAC meetings• Direct Mail• Collateral Materials• Website & Social Media• Media Outreach• Internal

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Direct Mail Collateral Materials Website and Social Media Media Outreach Key Communities Outreach Internal

Jan-21Website Rates Info

Feb-21

Website BannerSM postingEblast

Press Release: Public Wksp Budget Series

Budget Overview Series #1

Mar-21Waterlog article: Budget

Website BannerSM PostingEblast

Budget Overview Series #2

Apr-21

Prop 218 Notice Rates Fact Sheet and FAQ

Website BannerSM Posting

Press Release:Public Wksp Rates Series Rates Overview Series #3 and #4

Community presentations

Customer Service Internal eblastCS FAQAll Hands update and Field Staff cards

May-21

Website BannerSM PostingEblast

Jun-21

Bill Insert Website BannerSM Posting

Press Release: Hearing InvitationPress Release: Hearing Results

Eblast: Hearing results

Jul-21

Summer Waterlog: Article

Bill Insert WB 101/ New Rates

Website BannerSM Posting

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Topic Meeting Time

February 22 Budget Overview #1 6:00 PM- 6:45 PM

March 17 Budget Overview #2 6:00 PM- 6:45 PM

May 12 Budget/ Rates Overview #3 6:00 PM- 6:45 PM

May 26 Budget/ Rates Overview #4 6:00 PM- 6:45 PM

June 10 Rate Hearing 4:00 PM

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