Assumptions for FY 2004-2005 Budget Development

A. Revenues

1. Current revenue sources remain unchanged.

2. Water connections estimated at 17 acre-feet

3. Connection Charge raised 0.5% on 7/1/2004 per Rule 24E (2004-2005 Charge = $20,517)

4. 7.125 % user fee rate for 12 months (last increase 07/92)

5. No user fee increase included in the proposed budget

6. Any potential user fee increase could be considered at midyear (short-term or long term)

7. Money accumulated for capital projects in previous years used to help pay for 2004-2005 project expenditures

B. Expenditures

1. Water Supply Project costs will not be reimbursed by Cal-Am.

2. One half of rebate cost for Retrofit Replacement Program

will be reimbursed by Cal-Am.

3. All costs associated with the administration of the Expanded Water Conservation and Standby Rationing Plan shall be

paid by Cal-Am.

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