Quarterly Financial Report

First Quarter of FY 2021-2022

Water / Wastewater Utility Fund

Current Financial Condition

The Water/Wastewater Utility Fund first quarter financial report reflects an undesignated working capital balance of $11.4 million, which represents approximately 4 months of Water/Wastewater Utility Fund 2022 budgeted operating expense ($3.4 million in excess reserve – above the 3-month minimum working capital reserve policy). The projected ending working capital balance is 5 percent or $535K higher than the amended year-end working capital balance of $10.9 million.


At the end of the first quarter, expenses are exceeding revenues by $3.8 million, due to the principal and interest debt service payment made in December 2021. This drawdown of working capital in the first quarter occurs each fiscal year.

Water Structures


Water / Wastewater Utility Fund - Revenues vs Expenses


  • Charges for Services are projected to come in under budget primarily due to water sales.
  • Other Financing Sources are coming in over budget due to the refunding of revenue bonds in October 2021. This is offset in expenses.
  • Interest income is projected to come in under budget due to interest rates rising more slowly than anticipated. Rates have since rebounded in the second quarter of FY 2022.

  • Personnel Costs are projected to come in over budget due to overtime.
  • Supplies are projected to come in under budget primarily due to chemicals.
  • Maintenance is projected to come in under budget due to the machinery and equipment maintenance line item.
  • Contractual Services are projected to come in over budget to the net effect of lights & power coming in under budget and sludge disposal fees coming in over budget.
  • Transfers are projected to come in under budget due to the postponement of the generator buyout and Regional Wastewater Plant Clarifier project.
  • Debt Service is projected to come in over budget due to the refunding of revenue bonds in October 2021. This is offset in revenues.
  • Capital Outlay is projected to come in under budget due to the mains & hydrants line item.
  • Charges for Services are coming in over budget due to sewer sales and tap fees.
  • Other Financing Sources is coming in over budget due to the refunding of revenue bonds in October 2021. This is offset in expenses.
  • Interest income is coming in under budget due to interest rates rising more slowly than anticipated. Rates have since rebounded in the second quarter of FY 2022.
  • Miscellaneous is coming in under budget due to auction sales of used equipment.
  • Personnel Costs are coming in under budget due to vacancies.
  • Supplies are coming in under budget due to small tools and fuel line items.
  • Maintenance is coming in under budget due to machinery, mains & hydrants, and lift station maintenance line items.
  • Contractual Services are coming in under budget primarily due to the net effect of street sweeping, lights & power, and equipment rental coming in under budget and sludge disposal fees coming in over budget.
  • Other Charges are coming in under budget due to education development and subscription line items.
  • Interdepartmental is coming in over budget due to annual insurance charges being posted in the first quarter.
  • Transfers are coming in under budget due to the postponement of the generator buyout and Regional Wastewater Plant Clarifier project.
  • Debt Service is coming in over budget due to the refunding of revenue bonds in October 2021. This is offset in revenues.
  • Capital Outlay is coming in under budget due to the timing of expenditures. These purchases are made irregularly throughout the fiscal year.

Budget Amendments

As of the first quarter of FY 2021-22, the Water/Wastewater Utility Fund has been amended in the amount of $2.3 million for the FY 2020-21 carryover encumbrances (these encumbrances were not included in this financial report since the funding for the FY 2020-21 encumbrances came from prior year reserved working capital balance of $2.3 million).


As of the first quarter of FY 2022, the Water / Wasterwater Utility Fund had 22 vacancies out of 95 approved full-time positions.