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Management's Discussion and Analysis -Continued
<br />NET ASSETS
<br />To begin our analysis, a summary of the Utilities' Statements of Net Assets is presented in Table A-I . As can be seen from [he
<br />Table, net assets increased $1,630,809 to $49,213,893 in fiscal 2011 up from $47,583,084 in fiscal 2010.
<br />TABLE A-1
<br />Condensed Statement of Net Assets
<br />Assets
<br />Current and other
<br />Capital
<br />Increase
<br />2011 2010 (Decrease)
<br />$ 15,907,251 $ 14,245,948 $ 1,661,303
<br />49,251,237 50,095,964 (844,727)
<br />Total assets
<br />Liabilities
<br />Curren[
<br />Non-current
<br />Total liabilities
<br />Net assets
<br />Invested in capital assets, net of related deb[
<br />Restricted for deb[ service
<br />Unrestricted
<br />Total net assets
<br />65,158,488 64,341,912 8!6,576
<br />4,714,003 4,331,274 382,729
<br />1],230,592 12,427,554 (1,196,962)
<br />15,944,595 16,758,828 (814,233)
<br />36,984,703 36,626,150 358,553
<br />724,500 724,500 -
<br />11,504,690 10,232,434 1,272,256
<br />$ 49.213,893 $ 47,583.084 $ 1,630.809
<br />Looking a[ Table A-I, you can see that most of the change in net assets was realized in the current assets, which increased
<br />$1,661,303 in fiscal 2011. The increase is in the cash accounts which can be attributed to two factors: capital projects and reserve
<br />balances. There were fewer capital projects completed in 2011, with many projects delayed until 2012. It should be noted this is
<br />not a permanent cash increase and that as these projects are completed in 2012, the cash balances will decrease again. The other
<br />factor is [he reserves goal [ha[ the Utility modified in 201 I [o include a component to cover purchased power costs (an amount
<br />equal to one month's average of the budgeted purchased power cost.) This increase in our reserves is a permanent cash increase
<br />and better positions the Utility for long term financial health.
<br />Water and Electric Rates
<br />Electric -The latest increase in the Utilities' electric rates was effective January 2012. The monthly base charges are based upon
<br />the type of service. The monthly charges are $9.50 for residential, $16.00 for commercial, and $50.00 for industrial customers.
<br />In addition [o [he base charges [he residential rate is $.1249MWh for May-September usage, and $.l 116/KWh for October-April
<br />usage; the commercial rate is $.I 199/KWh for May-September usage, and $.0995/KWh for October-April usage; [he industrial
<br />rate is $.0598/KWh energy charge year round with a demand charge of $15.89/KW May-September, and $11.27/KW for October-
<br />April.
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