HomeMy WebLinkAboutRes2009-112 Sponsored by: Oates
CITY OF SEWARD, ALASKA
RESOLUTION 2009 -112
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, ADOPTING THE ELECTRIC ENTERPRISE FUND BIENNIAL
BUDGET FOR CALENDAR YEARS 2010 AND 2011
WHEREAS, the Seward City Council met on September 14 and September 28, 2009 to
authorize budget policies and provide budget guidance to the administration, and conducted
extensive work sessions for the purpose of discussing enterprise fund capital infrastructure needs
and rate reviews on September 15, 24, 28, and 29, 2009; and
WHEREAS, on October 12, 2009, the city manager submitted to the City Council a
proposed biennial budget for the City of Seward for Calendar Years 2010 and 2011; and
WHEREAS, the biennial budget was introduced at the regularly scheduled Council
meeting on October 12, 2009, and work sessions were conducted and televised on October 13,
14, 15, and 16, 2009; and
.�.. WHEREAS, a public hearing was held on the proposed budget on November 9, with
final adoption scheduled for November 23, 2009.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA, that:
Section 1. The Electric Enterprise Fund budget for Calendar Years 2010 and 2011 which
is attached hereto and made a part hereof by reference and which contains estimated revenues
and expenses for the period January 1, 2010 - December 31, 2011, is HEREBY ADOPTED, and
the necessary funds are hereby appropriated.
Section 2. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 23''
day of November, 2009.
THE CITY SEWARD, ALASKA
it and E. Dunham, Mayor
CITY OF SEWARD, ALASKA
RESOLUTION 2009 -112
AYES: Valdatta, Bardarson, Smith, Keil, Shafer, Amberg, Dunham
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST:
Jean Lewis, CMC
C Clerk
(City Seal)
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ELEC 1 RIC ENTERPRISE FUND
Budgeted Statement of Revenues and Expenses
And Change in Net Assets
For Fiscal Years 20I0 and 2011
2008 2009 20I0 20II
Actual ° Budget Budget Budget
Operating revenue:
Sales:
Residential 2,670,579 2,886,924 3,396,4I7 3,657,690
Small General Service I,365,748 I,546,632 1,725,088 I,854,857
Large General Service 3,305,699 3,546,939 4,290,584 4,634,839
Harbor Power Sales 196,3I8 244,000 244,607 263,630
Industrial Saks 800,877 8I2,659 819,482 896,879
Street & Yard Lights 66,060 74,000 75,000 75,500
Miscellaneous I59,899 95,500 99,500 101,300
Total operating revenue: $8,565,I80 $9,206,654 $10,650,678 811,484,695
Operating expense:
Before depreciation:
Salaries 754,081 867,798 920,94I 955,237
Work order charges (salaries) - I68,I64 - 200,000 - 200,000 - 200,000
Ernployee benefits 45I,306 44I,099 496,785 5I2,3I1
Purchased services 311,697 440,832 942,200 903,550
Power for resale 4,45I,75I 4,745,000 4,945,000 5,450,000
Supplies & maintenance 395,319 544,430 548,700 511,100
Work order charges (supplies) - 143,010 - 220,000 - 200,000 - 200,000
"` General & Administrative 949,548 I,I32,409 I,I16,850 I,I51,385
Total operating expense: $7,002,528 $7,75I,568 $8,570,476 $9,083,583
Operating income before depreciation 1,562,652 I,455,086 2,080,202 2,401,112
Depreciation 1,391,9I5 (a) 1,384,464 (b) I,44I,663 (r) I,635,080 (d)
Earnings from operations 8170,737 $70,622 $638,539 $766,032
Non - operating revenue (expense)
Interest income 355,550 210,000 93,000 107,000
Interest expense - 200,488 - 370,545 - 455,628 - 446,34I
Other revenue (expense) - 76,273 2,643 2,600 2,650
Total non - operating revenues (expenses) $78,789 -$ 157,902 - $360,028 - $336,691
Earnings before contributions and Transfers $249,526 - $87280 $278,51 I $429,341
Capital contributions and special items 454,72I 0 0 0
Transfers ro other funds -7I4, 082 - 1,059,9I6 - I,I90,554 - I,26I,125
Change in net assets - $9,835 41,147,196 - $912,043 - $83I,784
Beginning net assets $23,298,274 $23,288,439 822,14I,243 $2I,229,200
Ending net assets $23,288,439 $22,I4I,243 $2I,229,200 $20,397,4I6
° 1 ies to annual Comprehensive Annual financial Report
Of total depreciation expense, the following amounts were attributable to capital assets funded with capital contributions:
(a) $837,I89 or 60 %; (b) $836,957 or 60 %; ( c) $1,I45,564 or 79%; (d) I,144,I5I or 70%
CITY OF SEWARD
ELECTRIC ENTERPRISE FUND ...�
Budgeted Statement of Cash Flow
For Fiscal Year 2010 and 2011
2009 20I0 2011
Budget Budget Budget
Beginning Cash Balance at I/1/09 (e): $3,103,126
Cash is provided by (used for):
Change in net assets - $1,I47,I96 - $912,043 - $831,784
Add expense items not affecting cash
Depreciation I,384,464 1,441,663 1,635,080
Net cash provided by operations $237,268 $529,620 $803,296
Other uses of cash
Debt principal payments 305,000 - 3I5,000 (a) - 330,000 (c)
Capital outlay - 148,400 - 811,000 (b) - 760,000 (d)
Net increase (decrease) in cash - $2I6,I32 - $596,380 - $286,704
Estimated ending cash balance $2,886,994 $2,290,614 $2,003,910
(a) $315K represents: I995 bond refunded in 2005 - $220K; Electric generators - $95K.
(b) $811K: Generator prof. costs = $580K; Work orders = $68K ($400K x 17 %); Equipment - $0; Motor Pool - $ I63K; No Depreciation reserves.
(c) $330K represents: 1995 bond refunded in 2005 - $230K; Electric generators - $100K.
(d) $760K: Generator proj. costs = $505K; Work orders = $68K ($400K x I7 %); Equipment - $22K; Motor Pool - $ 165K; No Depreciation reserves.
(e) Ties to CAFR and includes only Electric Enterprise Fund; excludes related capital projects. See below.
Cash Balance - Electric Fund & Related Capital Projects (9/30/09):
Fund 501 - Electric Enterprise Fund 2,068,522
Fund 502 - Major Maintenance, Repair & Replacement 838,105 Intended for Generator project
Fund 505 - Electric Generator Project 4,227,220 Bond proceeds
Fund 208 - Transmission Line 630,640 Designated for capital project
Total Electric- related Cash: $7,764,487