Title
Receive the Monterey County Water Resources Agency (Agency) FY 2018-19 Third Quarter Financial Status Report through March 31, 2019.
Report
RECOMMENDATION:
It is recommended that the Monterey County Board of Supervisors - Budget Committee:
Receive the Monterey County Water Resources Agency (Agency) FY 2018-19 Third Quarter Financial Status Report through March 31, 2019.
SUMMARY/DISCUSSION:
On average, year-to-date (YTD) revenues for all Agency funds were at 57.4% of budget. The Agency received revenues from Special Assessments and Ad Valorem taxes in December as scheduled. Hydro-electric revenue is at 100% of budget after receipt of revenues up-to the month of September 2018. Unfortunately, the hydro plant was shut down from mid-September 2018 through early February 2019 due to low reservoir levels.
On average, the Agency’s YTD expenditures were at 65.4% of budget as it continues the repair of Nacimiento and San Antonio dams due to the Federal Energy Regulatory Commission (FERC) and the California Department of Water Resources - Division of Safety of Dams (DSOD) compliance requirement and spillway repair work plan preparation for both reservoirs. The Interlake Tunnel Project has over $3.2 million combined encumbered and expended in consultant costs. The Agency will continue to monitor expenditures as it approaches the summer months.
The Agency estimates to receive about $8.5 million in revenues for the last quarter of the Fiscal Year, for total estimated revenues of about $23.5 million for the entire Fiscal Year or 90% of budgeted figures. This forecast includes the second installment of Ad-Valorem and Assessment revenue in April, Water Delivery Fees for the quarter and grant reimbursements.
The Agency estimates to expend about $6.5 million for the last quarter of the Fiscal Year, for total estimated expenditures of about $25 million or about 88% of budgeted figures. The forecast includes Salaries and Benefits for Agency staff, debt service payments, and consultant costs for the Inter-Lake Tunnel and repairs to the dams. The Agency estimates that it will end the Fiscal Year with $17.0 million in fund balance.
On a consolidated basis, the Agency financial performance up to March 31, 2019 is projected as follows:
Adopted Budget YE Estimate Year-to-Date
FY 2018-19 Est. Beg. Fund Balance $18,476,791 $18,476,791 $18,476,791
FY 2018-19 Revenues 25,911,791 23,500,000 14,848,695
FY 2018-19 Available Funds 44,388,582 41,976,791 33,325,486
FY 2018-19 Expenditures (28,448,131) (25,000,000) (18,611,975)
FY 2018-19 Est. End. Fund Balance $15,940,452 $16,976,791 $14,713,510
OTHER AGENCY/COMMITTEE INVOLVEMENT:
This item was presented to the Monterey County Water Resources Agency Finance Committee on May 3, 2019.
FINANCING:
There is no financial impact for receiving this report.
Prepared by: Erica Leal, Accountant III, (831) 755-4860
Approved by:
________________________________________________
Shauna Lorance, Interim General Manager, (831) 755-4860
Attachments:
FY 2018-19 Financial Summary