News Releases
San Diego County Water Authority
News Release: June 23, 2005 |
Contact:
John Liarakos
Office (858) 522-6703
Mobile (858) 761-2544 |
or
Donna Nenow
Office (858) 522-6707
Mobile (858) 414-8168 |
Water Authority board approves $1.338 billion budget for fiscal years 2006
and 2007
Water treatment plant and major tunnel and pipeline among key funded
projects
The San Diego County Water Authority board of directors today approved a $1.338
billion budget for fiscal years 2006 and 2007 that funds the agency’s
operations and capital improvements. The Water Authority moved to a multiyear
budgeting process for the 2004 and 2005 fiscal years to provide enhanced fiscal
management of its many multiyear projects and long-range planning.
“The next two years will see a significant increase in water projects
as we aggressively move towards diversifying our water resources and securing
water supply reliability,” said Water Authority Board Chairman Jim Bond.
“With the approval of this multiyear budget, the Water Authority’s
begins full implementation of its plans to develop seawater desalination, build
our first water treatment plant, complete the relining of the All-American and
Coachella canals and move into the next phase of the Emergency Storage Project.”
The Water Authority’s first water treatment plant will produce 100-million
gallons of drinking water per day beginning in 2008. The plant will help address
the growing demand for additional treated water supplies in the region, especially
during hot summer days.
In April, the board approved an agreement with the city of Carlsbad to develop
a seawater desalination facility at the Encina Power Station. The development
of regional seawater desalination facilities will provide a new, highly-reliable
source of water for all of San Diego County.
The building of the San Vicente Pipeline project, the next phase of the Emergency
Storage Project, will connect the San Vicente reservoir to the region’s
water distribution system. The pipeline, with its accompanying pump stations,
will provide access to water set aside in the reservoir for emergencies, such
as a drought or major earthquake, that could cut off the county's supply of
imported water.
The Coachella and All-American Canal Lining projects, when completed will provide
an additional 77,000 acre-feet of water annually to San Diego County for the
next 110 years.
Capital improvements represent the largest budget component. An appropriation
of $570.5 million or 42.6 percent of the budget will fund 57 Capital Improvement
Program projects.
In addition to capital improvement and operating funds, the budget includes
expenditures for water purchases, debt service, equipment replacement and Quantification
Settlement Agreement obligations.
The Water Authority's approved budget expenditures are:
| Capital improvement program budget |
$570.5 million |
42.6 percent |
| Water purchases |
$519.0 million |
38.8 percent |
| Debt service |
$178.3 million |
13.3 percent |
| Operating budget |
$ 66.2 million |
4.9 percent |
| Equipment Replacement |
$ 3.4 million |
0.3 percent |
| QSA Environmental |
$ 0.7 million |
<0.1 percent |
| Total |
$1.338 billion |
100 percent |
Estimated revenue and other funding sources for the next two fiscal years is
$1.338 billion.
Water purchases represent the second largest component of the budget at 38.8
percent. Based on projected annual purchases of 585,000 and 600,000 acre-feet
of water for the region, the Water Authority budgeted $519 million for water
purchases for the two fiscal years. One acre-foot of water is approximately
326,000 gallons, enough to supply the needs of two typical households for a
year.
The Water Authority's operating budget includes the combined budgets of all
departments that maintain the Water Authority's core mission programs. At $66.2
million, it represents 4.9 percent of the overall budget and a 3.1 percent increase
over the prior two fiscal years.
Debt service, which includes commercial paper and long-term debt service, represents
13.3 percent of the budget or $178.3 million over the next two fiscal years.
The equipment replacement fund of $3.4 million and a $700,000 allocation for
the Quantification Settlement Agreement environmental and other commitments
complete the $1.338 billion budget.
The Water Authority's approved budget covers the period from July 1, 2005
through June 30, 2007.
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The San Diego County Water Authority is a public agency serving
the San Diego region as a wholesale supplier of water from the Colorado River
and Northern California. The Water Authority works through its 23 member agencies
to provide a safe, reliable water supply to support the region’s $142
billion economy and the quality of life of 3 million residents.
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