Assumptions for FY 2003-2004 Budget Development

A. Revenues

1. Current revenue sources remain unchanged.

2. Water connections estimated at 18 acre-feet/yr

3. Connection Charge raised 2.2% on 7/1/2003 per Rule 24E (2003-2004 Charge = $20,415)

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 2003-2004 project expenditures

B. Expenditures

1. Water Supply Project Comprehensive EIR 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.