Laserfiche WebLink
SummaryMemorandum <br />Re: Sewer Revenue Adequacy <br />October 21, 2021 <br />Scenario 1 <br />Figure 6illustrates revenue adequacy associated with Scenario 1, in which the existing sewer <br />rates are adjusted to eliminate the revenue deficiency by 2026. Figure 7 shows the projected <br />cash balances associated with Scenario 1. The aggregate revenue increase of 6.2 percent in <br />Figure 7 reflects both the increase to the rates and growth-related revenue. <br />Total Revenues vs. Total Expenses <br />$5,000,000 <br />$4,000,000 <br />$3,000,000 <br />$2,000,000 <br />$1,000,000 <br />$0 <br />202120222023202420252026 <br />-$1,000,000 <br />Total RevenuesTotal Revenue RequirementsProjected Revenue Surplus/(Deficiency) <br />Figure 6: Scenario 1 Revenue Adequacy Projections <br />Projected Sewer Fund Balances <br /> $10,000,0007.0% <br />6.0% <br /> $8,000,000 <br />5.0% <br /> $6,000,000 <br />4.0% <br />3.0% <br /> $4,000,000 <br />2.0% <br /> $2,000,000 <br />1.0% <br /> $-0.0% <br />202120222023202420252026 <br />Debt Service ReserveO&M Reserve Account <br />Renewal & Replacement Capital ReserveO&M Reserve Account Target <br />Debt Service Reserve TargetAggregate Revenue Increase <br />Figure 7: Projected Cash Balances Scenario 1 <br />Project Number Page 11of 20 <br />Think Big. Go Beyond.www.ae2s.com <br />