Amador County – Amador Water Agency board of directors hosted a budget workshop last week, and plan another this week as the fiscal year nears an end.
Staff led directors through the draft budget during the workshop last Tuesday, June 19, starting with a list of 40 capital improvement projects with priority rankings. General Manager Gene Mancebo said the Engineering Committee made the list, and the budget has a lot fewer projects than it could have.
Top priorities are determined by liability issues, risk management, and “must do” projects. About 26 are numbered in the Number 1 category, and may be required by regulations or for health and safety. Seven of those are tops, labeled as 1-A, including three bridge projects that require design and/or construction for utility relocation. All three are required, as is a Buckhorn water treatment plant compliance project.
Field Operations Manager Chris McKeage said the hours of distribution and engineering are split by one person, and “we’re about half a person short to get all the engineering done” on the projects.
Work in Ione to get interim water treatment plant capacity is also crucial because “we don’t want building permits withheld because of a lack of capacity.” Participation fees will fund it. Safety and regulatory projects are rated really high on the project list.
Mancebo said rate increases under consideration are not in the draft budget, nor are the formation of a Community Facilities District for the Amador Water System, and related rate changes. He said the budget has a 3% increase in revenue, but a 9% rate increase at the Wastewater Improvement District Number 1 was suspended by the AWA board until they get through working on the budget. President Gary Thomas said they hope to look at reducing the increase with the budget work.
Karen Gish, office manager, said the budget assumes wages and benefits are up 10%, based on memorandums of understanding and contracts in place with employees. Director Paul Molinelli Senior said the cost to provide that was anticipated. Mancebo recommended they refer that to the personnel committee or the budget and finance committee for negotiations.
Director Art Toy asked if the half a full-time-equivalent engineer deficit was in the budget. Controller Marvin Davis said the budget is running lean, and operating revenues are $176,000 short. The draft budget had total operating revenues of $11.8 million dollars, and total operating expenses of just over $12 million.
The AWA board will hold a special meeting for another budget workshop starting at 2 p.m. Monday, June 25 at the agency office, at 12800 Ridge Road in Sutter Creek.
Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.
