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HomeMy WebLinkAbout10 Power Point Budget 2022 2023 PH November 3, 2021 1 Public Hearing–Budget 2022 & 2023 Agenda Item # 10 The 2 BACKGROUND / HISTORYBACKGROUND / HISTORY Public Hearing-Budget 2022 & 2023 Public Hearing-Budget 2022 & 2023 Budget 2022 & 2023Review and approval of –Public Hearing and Action Item –(tonight)3, 2021November Revenue/Rates, Reserves & Financial Master Plan draftsOperating and Capital Budgets for all support services, –#3 Workshop –20, October 11/3/2021 Public Hearing on Budget 2022 & 2023 ApprovalElectric and Water Utilities, and Financial Master Plan drafts; Public Hearing Notice of Purchased Power Plan, Operating & Capital Budgets for –#2 Workshop –6, October Assumptions Discussion of Goals, Objectives, and Key -#1 Workshop –18, 2021 August approval schedule is as follows:workshops, hearing, and 2023 -2022current Board approved (6/16/2021) Budget Budget 2022 & 2023 3 21 draft-Resolution 2021–Attachment 7 •–Attachment 6 •Full Time Equivalents(FTE) and Organization Chart–Personnel –5 Attachment •Overheads, Rent, and Debt–4 Attachment •Capital Expenditures–3 Attachment •Water Utility–Attachment 2 •Electric Utility-1 Attachment •Packet, as follows:Budget is included in tonight’s Board FY2023 and FY2022 The •, 2021 th and 29 nd 22October on newspaper was advertised in the Sierra Sun This public hearing •NEW INFORMATIONNEW INFORMATION Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 4 21 approving the Budget for FY2022 and FY2023-••Rates•Personnel•Operating Expenses •Budget Summary•Changes since Workshop #3•Introduction•Conduct a public hearing on the FY2022 and FY2023 Budget•AgendaAgenda Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 5 IT/CyberRegulatoryReservesGoalsInitiativesPlan Strategic MaintRepairs & PersonnelDebt ServiceInvestmentCapital act for manydoing a balancing balanced budget a BackgroundBackgroun d Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 6 Work hard, play hard–Work Life Balance•commitmentsMeet our goals and –Timeliness•Own it–Accountability•ethicalHonest and –Integrity•Send and receive –Communication•Safety is our way –Safety •of the DistrictValues •at the lowest practical cost. resources in a safe, open, responsible, and environmentally sound manner reliable, high quality utility and customer services while managing District of the Truckee Donner Public Utility District is to provide MissionThe •Alignment with the Mission and Values of the District•Goals and Objectives -Budget 2022 and 2023 BACKGROUND / HISTORYBACKGROUND / HISTORY Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 7 and successGoal #5: Developing and inclusive culture drives organizational integration •add value to the communityGoal #4: Take the best of private sector thinking to modernize the utility and •transparent way to identify opportunitiesGoal #3: Engage with our customers and communities in a welcoming and •Environmental Stewardship#3: Goal •Manage for financial stability and resiliency#1: Goal •Goals-Alignment with the Strategic Plan of the District •Goals and Objectives -Budget 2022 and 2023 BACKGROUND / HISTORYBACKGROUND / HISTORY Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 8 momentum on these initiatives. The 2022 and 2023 Budget needs to include resources to further •GenerationClean Power Local •% Clean Renewable100•Community Broadband•Undergroundin g of Overhead Power Lines•Initiatives-Alignment with the Strategic Plan of the District •Goals and Objectives -Budget 2022 and 2023 BACKGROUND / HISTORYBACKGROUND / HISTORY Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 9 identified in the Strategic Plan. Refer to Strategic Plan for additional details.Goals, as and 2023 Budget includes specific sub goals of each of the above 2022 The successGoal #5: Developing and inclusive culture drives organizational integration and •Goal #4: Take the best of private sector thinking to modernize the utility and add value to the community•Goal #3: Engage with our customers and communities in a welcoming and transparent way to identify opportunities•Environmental Stewardship#3: Goal •Manage for financial stability and resiliency#1: Goal •Strategic Plan Goals–Key Assumptions BACKGROUND / HISTORYBACKGROUND / HISTORY Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 10 Reserve/General FundNet Change from 10/20 draft, greater increase in Operating $280 Capital Reserves, increased usage$500 •Troubleman position nd+ 1 FTE, addition of 2($220) •Changes from Workshop #3 10/20 Draft-B22 –Electric $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 11 Reserve/General FundNet Change from 10/20 draft, lower increase in Operating ($23)•Expense refinements, net increase($23) •Changes from Workshop #3 10/20 Draft-B22 –Water $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- NEW INFORMATION 12 NEW INFORMATION NEW INFORMATION 13 NEW INFORMATION NEW INFORMATION 41 Electric-NEW INFORMATION Electric- NEW INFORMATION 15 NEW INFORMATION NEW INFORMATION 61 NEW INFORMATION NEW INFORMATION 17 Water-NEW INFORMATION Water- Budget 2022 & 2023 18 New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 19 New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 20 New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 21 New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 22 Refer to Attachment 5 for FTE by Department and Org Chartare recommendedObjectives, Regulatory mandates; these changes to organizational structure To ensure alignment with Mission, Values, and Strategic Plan; Goals, 0.5 electrician full year impact)-Full Time Equivalents, Budget 2023 (81.0 •Full Time Equivalents, Budget 202281.5•next page---2022/2023 recommended staff changes for +6.5 •Full Time Equivalents, currently approved75.0•approved changes in 2020/2021+2.0 •Full Time Equivalents, currently approved73.0 •Full Time Equivalents–Personnel –Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 23 transferred from Electric Ops to Water Ops (no FTE impact)0 •1.0 impact on 2023)-0.5 Electrician position eliminated beginning July 2022 (-•+1 Facilities Lead •+1 General Services Manager •Water maintenance program lead–Ops +1 Water •benefited)-) (nontime/seasonal helpers (1 FTE-two part–Ops +1 Water •Risk and Compliance Coordinator–Administration +1 General •Analyst/TechCommunications –Administration +1 General •Troubleman position nd 2–+1 Electric Ops •+ 6.5 recommended staff changes for 2022•Full Time Equivalents–Personnel –Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 24 9.3%–August 2021 –Electricity –SOH –FRED CPI •2022 and 6.0% in 2023 Electric Utilities current draft recommends a rate increase of 8.5% in •wildfire mitigation costs. targets, regulatory mandates, and reserve , goals & initiativesheadwinds, including labor costs, strategic professional services firm. The cost of service includes numerous party electric cost of service -underway being performed by a thirdElectric Utility currently has an active cost of service study The •2.7% increase for 2020 3.0% increase for 2021 (2.7% Residential)•2017 was the first rate increase since 2009•–Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 25 renewable energy. green rate will feature a power supply mix which is from 100% This •as part of the new electric rates public hearingpresented will be process and -rate is inof a 100% green energy Development •–Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 26 requesting 40%+ increase–Liberty 2022 Rate Case Rates Comparative2020 –Key Assumptions BackgroundBackground Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 portion of rates changed for ResidentialIn 2021, only the Customer Charge 27 2021over $7.68 an increase of $98.09, Blended(3)TDPUD •an increase of $8.01 over 2021$102.23, TDPUD Secondary(2)•an increase of $7.20 over 2021$91.92, TDPUD Primary(1)•at +8.5% for 2022 rates2022 Residential Average Monthly Bill @ 500 kWhElectric Rates –Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 Compounded Annual Growth Rate (CAGR)28 5 Years 2017 to 2022–CAGR 3.8% •–CAGR 2.1% •–CAGR 1.8% •2022 equates to of $102.23 for TDPUD Secondary(2)•2022to 2017 Years 5 –CAGR 4.1% •2022to 2012 Years 10 –CAGR 2.3% •–1.9% CAGR •of $91.92 for 2022 equates to TDPUD Primary(1)•Residential Average Monthly Bill @ 500 kWhElectric Rates –Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 29 on all out yearsAND further compounding thereafter, •$303,000 impact on 2023•~ $0.90/month per customer, residential-$1.63/month per customer, all customers-$284,000 impact on 2022 •a 1.0% rate increase or decrease for 2022 –Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 30 approved water ratesStaff does not currently recommend any change to the above •.incorporation in Budget revenue expectations to balance the budgetrevenue requirement will be determined and recommended for The •2023of 8.9% for 2021, 8.9% for 2022 and 7.9% for Water rate approvals in December 2020 included an average increase •3.3% increase for 2020•Water Rates–Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 31 balances. The key measure of financial stability for the District in the FMP is reserve •the utilitiesincorporates the 10 year capital improvement plans of FMP •FMP makes assumptions on customer growth and inflation. •balancesparticular reserve , in activities and financial position10 year horizon view of the financial •goalsterm -understand how the proposed budget impacts longThe Financial Master Plan (FMP) is a tool to help the Board and staff •Financial Master Plan New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 32 Electric-Electric-Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 33 Electric-New Information FMP Electric-New Information FMP Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 34 Electric-New Information FMP Electric-New Information FMP Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 35 Electric-New Information FMP Electric-New Information FMP Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 36 FMP Water–New Information FMP Water–New Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 37 FMP Water–New Information FMP Water–New Information Public Hearing-Budget 2022 & 2023 Public Hearing- •38 FISCAL IMPACTFISCAL IMPACT Public Hearing-Budget 2022 & 2023 Public Hearing-Budget 2022 & 2023 into the future.30 years -To the extent new debt is planned, impact 20•next two years, 2022 and 2023and resulting revenue requirements for the upcoming Budget approval will affect the District’s expenditures •mission, values, and strategic planFY2023 Budgets as presented, aligned with District’s Staff is recommending approval of the FY2022 and A) Conduct 39 RECOMMENDATIONRECOMMENDATION Public Hearing-Budget 2022 & 2023 Public Hearing-Budget 2022 & 2023 Thank You staffFY2022 and FY2023 budget as recommended by 21 approving the -) Adopt Resolution 2021BFY2023 Budget; anda public hearing on the FY2022 and <#> •47 RECOMMENDATIONRECOMMENDATION Public Hearing-Budget 2022 & 2023 Public Hearing-Budget 2022 & 2023 Backup Slides, after this page Budget 2022 & 2023 42 customer growth also impacts The basic math on timing of rate increases New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 43 Purchased Power–Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 in 2017MWh161,518 in 2018MWh158,790 in 2019 MWh160,683 in 2020 MWh166,209 44)MWhHours (-Megagwatt)Last Twelve Months (LTM 6.9%–Variance to 2019 3.4%–Variance to 2020 LTM August 2021–MWh171,793 Jan’21 to Aug’21, Actual–MWh114,451 Sep’20 to Dec’20 Actual–MWh57,342 MWhof 172,651 represents a 0.5% increase over the LTM MWhThe Budget 2022 ••growingis Demand •conservative either (have rate reserve)-Not a line item miss in Budget; not a line item to be ultra•Budget.in approximately 53% of Electric Utility’s operating expenses, therefore an important estimate Represents •Purchased Power–Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 45 MHhDollars in Thousands except for Cost/)MWhHours (-Megagwatt)Last Twelve Months (LTM+$273K/2.1% cost/ ++MWh$321k/2.4% +B22 vs B21 Variance:Purchased Power-Budget Draft New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 46 budgeted operating expenses, excluding depreciation and purchased powergeneral fund should have a cash reserve equal to one half of the annual Electric •revision to the following:Recommended •budgeted operating expenses, excluding depreciationgeneral fund should have a cash reserve equal to one half of the annual Electric •District code wording for Electric is as follows:Current •process.to this policy during the budget revision recommends Staff –\] 3.01.04Fund Operating Reserve \[District Code General Reserve modification––Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 47 End result, shift some General Fund dollars to Capital Reserve.. designationThe subject funds are rate generated, the reserve fund ‘bucket’ is a Board •calculation seems duplicative, considering the existence of RRIncluding purchase power costs in General Fund ‘operating’ cash reserve •RR balance is currently $6.4 million and is at target goal for 2021•balance of 50% of annual purchase power costsAlready have a separate Electric Rate Reserve (RR) with target goal reserve •operating costsAs currently written, includes Purchased Power costs, which are 53% of •Rational for 3.01.04 wording change Reserve modification––Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 48$470 / 1.9% All other changes, net•$443 / 1.8% Strategic organization structure changes•$311 / 1.3% Strategic plan initiatives•including overhead impact(4.5% in 2022), $338 / 1.4% Labor rate of pay increase •$500 / 2.1% Wildfire defensible space increase•$594 / 2.5% Purchased Power increase (discussed previously)•Variance explanation:–up $2,656 or 11.0% compared to B21 $26,824-Operating Expenses B22 -Electric $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 49 B22 has ben increased to $1,530•budget levelIn 2020 and 2021, the Board approved $500,000 increase each year to this •B21 included $1,030 for contract services related to wildfire defensible space•Wildfire Defensible SpaceOperating Expenses B22 -Electric $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 50 pension costsAmounts include overhead impact on payroll taxes, workers compensation, •MOU specifies October BLS figure, subject to 5.0% maximum•W in August was 4.9%, next update is October-Fed BLS CPI•$234 impact of draft 4.5% rate of pay increase for 2022•B20/B21 assumed 3.0% and 3.0% , Actual ~6% and 2% •expectations$104 impact of rate of pay increases in 2020 and 2021 greater than Budget •Operating Labor Increase of $338Operating Expenses B22 -Electric $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 51 Survey services (Dept. Gen.Mgmt–15 $•Avian program development (Dept. ELOps)–30 $•(Dept. ELOps)safety programs, costs increases $23 and new SDS subscription $25 –48 $•services (Dept. Gen.Mgmt)Micro imaging Laserfiche & –28 $•Grant application/writing professional services (Dept. Gen.Mgmt)–$30 •Undergrounding, Broadband, 100% Clean Renewables, Local Generation•$160 professional services to continue momentum on Board Initiatives Big4•Strategic Initiatives, vendor items of $311Operating Expenses B22 -Electric $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 52 FTEs General Services organizational structure changes, add 2 -345 $•)(across all departments Compensation Study contingency, including overhead –$ 64 •(Dept. ELOps)drop ½ FTE, Electrician 2nd half of 2022 –132) ($•(Dept. ELOps)transfer 1 FTE, Electrician to Water Operations –($264) •(Dept. Gen.Mgmt)additional FTE, 50% Electric, Communications Specialist –$ 87 •all Depts.)Mechanic (cost charged through Transportation Overhead, across additional FTE, ~50% Electric, Vehicle –$ 94 •(Dept. Gen.Mgmt)additional FTE, 50% Electric, Safety & Risk Coordinator –$ 99 •Director (Dept. Gen.Mgmt)additional FTE, 50% Electric, Human Resources –$150 •Strategic Initiatives, personnel items of $443Operating Expenses B22 -Electric $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 53 Troubleman position nd 2Electric, 100% additional FTE, –$220 •Strategic Initiatives, personnel items of $220Operating Expenses B22 -Electric $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 54 2.2% All other changes, net-($217) / •$935 / 9.5% Strategic organization structure changes•$72 / 0.7% Strategic plan initiatives, vendor expenses•including overhead impact(4.5% in 2022), $338 / 3.5% Labor rate of pay increase •Variance explanation:–up $1,128 or 11.5% compared to B21 $10,922-Operating Expenses B22 -WATER $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 55 pension costsAmounts include overhead impact on payroll taxes, workers compensation, •MOU specifies October BLS figure, subject to 5.0% maximum•W in August was 4.9%, next update is October-Fed BLS CPI•$234 impact of draft 4.5% rate of pay increase for 2022•B20/B21 assumed 3.0% and 3.0% , Actual ~6% and 2% •expectations$104 impact of rate of pay increases in 2020 and 2021 greater than Budget •Operating Labor Increase of $338Operating Expenses B22 -WATER $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 56 Gen.Mgmt)Survey services (Dept. –15 $•services (Dept. Gen.Mgmt)Micro imaging Laserfiche & –$27 •)Grant application/writing professional services (Dept. Gen.Mgmt–$30 •Strategic Initiatives, vendor items of $72Operating Expenses B22 -WATER $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 57)(across all departments Compensation Study contingency, including overhead –$ 64 •(Dept. Water Ops)Water maintenance program lead, + 1 FTE –$177 •)Water Ops. (Dept Operations Water from Electric to transfer 1 FTE, Electrician –$264 •(Dept. Gen.Mgmt)additional FTE, 50% Electric, Communications Specialist –$ 87 •across all Depts.)Transp. OH, Mechanic (cost charged through additional FTE, ~50% Electric, Vehicle –$ 94 •(Dept. Gen.Mgmt)additional FTE, 50% Electric, Safety & Risk Coordinator –$ 99 •Director (Dept. Gen.Mgmt)additional FTE, 50% Electric, Human Resources –$150 •Strategic Initiatives, personnel items of $935Operating Expenses B22 -WATER $ thousands$ thousands Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 58 Favorable renewal, effective rate shift from 3.2% of wages to 2.2% of wages•252k B23$$308k B21 $237k B22 -•renewal coming in with modest premiums change +3.0% Medical, 0% Dental•2.9m B23$2.8m B22 $$2.7m B21 -Medical/Dental •Insurance –Personnel –Key Assumptions use of October 2021 BLS value is defined in union MOU, with 5.0% maximum cap•and 4.3% at W (SFO) for June -Bureau of Labor Statistics (BLS) CPIBased on current trend of Federal •2023 for all employee classesRate of pay labor cost increase of 4.5% for Budget 2022 and 3.0% for Budget •Rate of Pay Change–Personnel –Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 59 DWR Prop55 Loan (ended in 2021)-2015/2016 Refunding COPS-40% of current Pension Obligation Bonds-2023+ ~1,032,000/year to 2035•drop of $1m-$1,252,200 –2022 •$2,286,669–2021 •$2,441,989–2020 •Water Utility (excluding DLAD/SRF)both end in 2022-Dark Fiber loan-Obligation Bonds60% of current Pension -$0-2023+ •$340,729–2022 •$656,266–2021 •$648,722–2020 •Electric Utility Current LTD Debt Service BackgroundBackground Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 60 month\]per $5.93 -customers Service $960,000 \[@13,500 Debt Annual •300k H2 Interest only $B22 9.3m Total Interest Cost $•currently) % (4% used for conservatism, estimate ~3.25% 4.0Term 25 •Various Projectsmillion, 15 $-Principal •Water•$2.53 per month\]-Annual Debt Service, $441,000 \[@14,500 customers •B22 H2 Interest only $120k$2.9m Interest Total •(4% used for conservatism, estimate ~3.25% currently) 4.0% 20 Years, Interest Rate Term •new Electric Operations Buildingfor million, $6 -Principal •Electric•New Debt Recommended Impact New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 61$30M, DS Total 17.3mPrincipal $, $12.7mTotal Interest 4.00%, years, Rate 30 Term •, DS Total $25M$16.0mPrincipal , $ 9.0mTotal Interest %, 3.75years, Rate 25 Term •20M, DS Total $Principal $14.2m , .50%, 3Term 20 years, Rate •month\] equates to the following Principal / Interest amounts:per $5.95 -\[@14,000 customers Debt Service (DS) of $1.0m for reference purposes–Debt Service Examples New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 62 No new POBs in current DRAFT.payment. . Bond debt service payment replaces all/portion of current UAL alternativePension Obligation Bonds will be evaluated as a potential refinancing •.the PEPRA plan, the UAL payment in 2021 was $15,000For •CalPERS projects a $1.2 million UAL payment requirement in 2022. $1,036,000 with full annual payment in July 2021 (which the District paid). required minimum annual payment for 2021 was $1,071,000, discounted to Miscellaneous Plan (Traditional) Unfunded Actuarial Liability (UAL) CalPERS •$1,150,000 from prior year end. The 12/31/2020 Net Pension Liability was $14.0 million, an increase of 9% or •Pension Liability and POBs–Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 63 term savings-financing alternative, with the goal of generating long-rePension Obligation Bonds will be evaluated as a potential Net Pension Liability •3.07 Debt Issuance and Management Policy and section 3.01.03 Debt GoalsAny debt issuance will be in accordance with District Code, Title 3, Chapter •Master Plan modelIntegrate into Budget 2022 & 2023 cash flows, as well as, the 10 year Financial •Be aligned with District’s goals, objectives, and strategic plan•issuances, Electric and Water, as applicable; and further:Budget will assess and incorporate, as applicable, potential new debt •Debt Service / New Debt–Key Assumptions New InformationNew Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 64 Capital Expenditures–New Information Capital Expenditures–New Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 5 years, page 1 of 2 st capital projects detail 1–Electric 65 Capital Expenditures–New Information Capital Expenditures–New Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 5 years, page 2 of 2 st capital projects detail 1–Electric 66 Capital Expenditures–New Information Capital Expenditures–New Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 67 Capital Expenditures–New Information Capital Expenditures–New Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 5 years, page 1 of 2 st capital projects detail 1–Water 68 Capital Expenditures–New Information Capital Expenditures–New Information Public Hearing-Budget 2022 & 2023 Public Hearing- Budget 2022 & 2023 5 years, page 2 of 2 st capital projects detail 1–Water 69 Capital Expenditures–New Information Capital Expenditures–New Information Public Hearing-Budget 2022 & 2023 Public Hearing-