County water agency adopts budget for 2011

Auburn, Calif. – The Placer County Water Agency Board of Directors adopted a 2011 budget Thursday (Nov. 18) that holds spending and water rates at current levels for the water division.

Joseph Parker, the agency’s director of financial services, described a “near status quo financial plan for the agency’s water division.”  The approved water division budget totals $53.6 million and includes $36 million for operational costs and $17.6 million for water infrastructure improvements and debt services.

Parker said, “the agency’s costs of doing business in the water utility have been basically flat over the past year,” and noted “this will be the second straight year the agency has not needed to adjust water rates.”

Board Chairman Alex Ferreira and Directors Mike Lee and Lowell Jarvis said the annual budget process is complex and praised staff for achieving a plan that keeps costs down and rates stabilized while providing safe and reliable water service.

“Our constituents will be happy to know that we’re holding the line on costs and that there won’t be any rate increase next year,” said Jarvis.

The water division budget is one of three major components of the 2011 PCWA total budget.  The two others include: the power division budget of $13.9 million for operations and infrastructure improvements, and the Agency Wide services budget of  $19.5 million for operations and Middle Fork Project relicensing and improvements.

The combining of these three budget units comprise the total PCWA budget of $87 million for next year.

In other business, directors:

• heard a report from Director of Technical Services Brian Martin on a water master planning process for rural areas of Placer County. He said he will be working in close partnership on the plan with staff of Placer LAFCO (Local Agency Formation Commission), Placer Environmental Health Services, Placer Planning Department, and local water utilities. Martin said his team will be developing a scope of work which he intends to present at a future board meeting.
• heard an update from Director of Strategic Affairs Einar Maisch on preliminary fiscal projections on Middle Fork Project hydro-electric power sale income, expense, reserve, and estimated net-revenue distributions for the 10 year planning period 2013 to 2023.

 Information on PCWA board meetings may be obtained through the Clerk to the Board at (530) 823-4850 or (800) 464-0030.