HomeMy WebLinkAboutAgenda Packet 2025-11-19Board of Directors
Jeff Bender
Christa Finn
Tony Laliotis
Courtney Murrell
Steve Randall
1. Call to Order
2. Roll Call
REGULAR BOARD MEETING
11570 DONNER PASS ROAD, TRUCKEE
6:00 PM, Wednesday, November 19, 2025
AGENDA
3. Pledge of Allegiance
4. Changes to the agenda
General Manager
Brian C. Wright
Executive Leadership
Chad J. Reed
Mike Swanson
Michael Salmon
Steven Poncelet
Scott Crow
Jillian Steward
Martina Rochefort
5. Public Comment — This is time set aside for the public to address the Board on
any matter not on the agenda. Testimony related to any agendized matter should
be addressed at the time that that item is considered.
(The public may comment on any subject that is not on the agenda. Each
speaker will be limited to three minutes, but speaker time may be reduced at
the discretion of the Board President if there are a large number of speakers
on any given subject.)
DIRECTOR UPDATE
6. This item provides time for Directors to comment on any item within the purview of
the District.
PUBLIC HEARING
7. Public Hearing on Proposed Water Rates and Adoption of Resolution 2025-32
Responding to Timely Written Objections and Ordinance 2025-03 Setting Water
Rates for FY26-FY30
a) Conduct a Public Hearing on Proposed Water Rates for FY26-FY30
b) Accept and Direct Staff to File the Truckee Donner Public Utility District
2025 Water Rate Study
c) Adopt Resolution 2025-32 Responding to Timely Filed Written Objections
to the Proposed Increase in Water Rates Pursuant to the Requirements of
AB2257 and Making Determinations Required by AB2257
d) Adopt Ordinance 2025-03 Setting Water Rates for FY26-FY30
.®. R%LIC A SPECIAL DISTRICT. i.....
LEADERSHIP FORN�RIION
11570 Donner Pass Road, Truckee, CA 96161 Phone- 530-587-3896- www.tdpud.org
Page 1 of 312
8. Continued Public Hearing for Budget for Fiscal Years 2026 & 2027 and
Consideration of Adopting Resolution 2025-29 approving FY26-27 Budget
a. Continue Public Hearing originally opened on November 5, 2025, regarding
the FY26 and FY27 Budgets; and
b. Adopt Resolution 2025-29 approving the Budget for FY26 and FY27.
CONSENT CALENDAR
These items are generally interpreted as routine in nature or the subject matter has
been previously presented to the Board for discussion. They are intended to be acted
upon without additional discussion. Any Board Member may request an item to be
removed from the Consent Calendar for discussion prior to voting on the Consent
Calendar.
9. Consideration of Closeout of the 6170 Tank A Interior Coating Rehabilitation
Construction Contract
Adopt Resolution 2025-30 accepting the 6170 Tank A Interior Coating
Rehabilitation project as complete and authorize the filing of the Notice of
Completion.
10. Consideration to Approve a 12 -month Term Extension to the Memorandum of
Understanding with Grays Crossing F, LLC Related to APN 043-010-007-000
Authorize the General Manager to execute a 12 -month extension to the
Memorandum of Understanding with Grays Crossing F, LLC regarding APN#
043-010-007-000.
11. Consideration of Closeout of the District 2025 Pipeline Replacement Construction
Contract
Adopt Resolution 2025-31 accepting the District Pipeline Replacement —
2025 project as complete and authorize the filing of the Notice of Completion.
12. Approval of November 5, 2025 Board Meeting Minutes
Consider approval of November 5, 2025 Board Meeting Minutes
ACTION ITEMS
13. Consideration of the Hirschdale Pipeline Construction Contract
Authorize the General Manager to execute a construction contract to Brady
General Engineering for the Hirschdale Pipeline Construction Contract in an
amount of $366,298.93, plus a ten percent change order allowance of
$36,700 for a total authorization not to exceed $403,000.
ADJOURNMENT
Page 2 of 312
The agenda is available for review at the TDPUD Administrative Office and the District's
internet website. Posted on Friday, November 14, 2025.
Martina Rochefort, District Clerk
A copy of the agenda packet is available for public review, during normal business hours, at the District
Administrative Office located at 11570 Donner Pass Road. Public participation is encouraged. The
meeting location is accessible to people with disabilities. Every reasonable effort will be made to
accommodate participation of the disabled in all of the Districts public meetings. If particular
accommodations for the disabled are needed (i.e. disability -related aids, or other services), please
contact the District Clerk at (530) 582-3923 or martinar@tdpud.org, at least 24 hours in advance of the
meeting.
Any person with a disability may submit a request for reasonable modification or accommodation to the
above -described means for accessing and offering comment at the meeting to Martina Rochefort, District
Clerk, or email at martinar@tdpud.org, who will swiftly resolve such a request.
Page 3 of 312
Draft Report
Utility District
2025 Water Rate Study �,�
September 2025
Page 4 of 312
FY2
September 9, 2025
Mr. Brian Wright
General Manager
Truckee Donner Public Utility District
11570 Donner Pass Road
Truckee, CA 96161
Subject: Comprehensive Water Rate Study Draft Report
Dear Mr. Wright:
HDR Engineering, Inc. (HDR) is pleased to present e Tri.
(District) the draft report for the 2025 compre ve
comprehensive water rate study was developed to pr
based on the District's specific system ataa%p
tomer char
developing a revenue requirement, costnd prop
revenue to prudently fund the operating apIL c of
This report outlines the ove
findings, conclusions, and r
accounting, operating, a
develop our analyses or
continuation of the u
District's 2020 comprehe
and document' rovide
requireme
We a
develop
technical a
Sincerely yours,'
HDR Engineering,
Shawn Koorn
Associate Vice President
onner Public Utility District
r rate study. The District's
t -based and proportional rates
;tics. This was accomplished by
ates that generate sufficient
trict.
roach achieve�hese objectives, along with our
ations. report was developed utilizing the District's
illing r ds. HDR has relied on this information to
ings, con ions, and recommendations. The study is a
hodologies (i.e., AWWA) established in the
r rate s completed by HDR. This report was developed
sed, proportional, and defensible rates, compliant with the
jt is currently understood.
:e prided by the District's management and staff in the
re importantly, HDR appreciates the opportunity to provide these
'ices to the District.
hdrinc.com 2365 Iron Point RoadSuite 300 Folsom, CA 95630-8709
(916) 817-4700
Page 5 of 312
I. Table of Contents
EXECUTIVE SUMMARY.........................................................................................................................1
INTRODUCTION...................................................................................................................................... 1
OVERVIEW OF THE RATE STUDY PROCESS...............................................................................................
1
KEY WATER RATE STUDY RESULTS.................................................................... ..............................
2
SUMMARY OF THE WATER REVENUE REQUIREMENT ANALYSIS ............................................................
2
SUMMARY OF THE WATER COST OF SERVICE ANALYSIS ................................................5
SUMMARY OF THE PRESENT AND PROPOSED WATER RATE DESIGNS ........ .................................6
WATER RATE STUDY RECOMMENDATIONS .......................................... ............ ............................
9
SUMMARY OF THE WATER RATE STUDY ....................................... ...................... .......................
9
1 INTRODUCTION AND OVERVIEW ................................................................. ..............10
1.1 INTRODUCTION ............................................... .........................................................
10
1.2 GOALS AND OBJECTIVES ....................................... ....................................................
10
1.3 OVERVIEW OF THE RATE STUDY PROCESS .......................................................................
11
1.4 ORGANIZATION OF THE STUDY............ .........................................................................
11
2 OVERVIEW OF WATER RATE SETTIN ............. ..........................................12
2.1 INTRODUCTION ................................... ........................................................
12
2.2 GENERALLY ACCEPTED RA SETTING P I....................................................................
12
2.3 DETERMINING THE RE IREMEN.........................................................................
12
2.4 ANALYZING COST RVICE.. .....................................................................................
13
2.5 DESIGNING W ATES...... ......................................................................................
14
3 DEVELOPMENT O RE ENT.................................................................15
3.1 INTRO ...............................................................................................................
15
3.2 D EVE EQUIREMENT..............................................................................15
3.3 ABLISHING A FRA APPROACH...........................................................................
15
3.4 ROJECTING RATE OTHER ISCELLANEOUS REVENUES.......................................................
16
3.5 JECTING OPERA AND MAINTENANCE EXPENSES............................................................
17
3.6 TING CAPIT UNDING NEEDS AND TRANSFER PAYMENTS ..............................................17
17
3.7 PRO N OF SERVICE................................................................................................
19
3.8 TRANSF...................................................................................................................20
3.9 SUMMARY E REVENUE REQUIREMENT...............................................................................20
3.10 RESERVE LEVELS...................................................................................................................
21
3.11 DEBT SERVICE COVERAGE RATIOS...........................................................................................21
3.12 CONSULTANT'S CONCLUSIONS.................................................................................................
22
4 DEVELOPMENT OF THE COST OF SERVICE ANALYSIS..........................................................23
4.1 INTRODUCTION.......................................................................................................................
23
4.2 OBJECTIVES OF A COST OF SERVICE STUDY..............................................................................
23
F) I Table of Contents i
Truckee Donner PUD — Comprehensive Water Rate Study
Page 6 of 312
4.3 DETERMINING THE CUSTOMER CLASSES OF SERVICE................................................................. 24
4.4 GENERAL COST OF SERVICE PROCEDURES............................................................................... 24
4.5 FUNCTIONALIZATION AND ALLOCATION OF PLANT IN SERVICE....................................................... 27
4.6 FUNCTIONALIZATION AND ALLOCATION OF OPERATING EXPENSES ................................................ 29
4.7 MAJOR ASSUMPTIONS OF THE COST OF SERVICE ANALYSIS........................................................ 29
4.8 DEVELOPMENT OF COST -BASED WATER RATES......................................................................... 30
4.9 DETERMINATION OF SIZING AND NUMBER OF TIERS.................................................................... 31
4.10 DEVELOPMENT OF THE UNIT COSTS FOR RATE DESIGNS............................................................. 32
4.11 SUMMARY RESULTS OF THE COST OF SERVICE ANALYSIS ......................................................37
4.12 CONSULTANT'S CONCLUSIONS AND RECOMMENDATIONS ............................................ 37
5 DEVELOPMENT OF THE PROPOSED RATE DESIGN..............................................38
5.1
5.2
5.3
5.4
5.5
5.6
5.7
TECHP
INTRODUCTION....................................................
F)' I Table of Contents
Truckee Donner PUD — Comprehensive Water Rate Study
38
38
39
39
41
42
42
T
Page 7 of 312
IExecutive Summary
Introduction
HDR Engineering, Inc. (HDR) was retained by the Truckee Donner Public Utility District (District)
to conduct a comprehensive water rate study (Study). The objective of the rate study was to
review the District's operating and capital costs to develop proposed cost -based and proportional
rates for the District's water customers. This study determined the adequ f the existing water
rates and provided the framework and cost basis for proposed futur stments. The District
has historically used comprehensive water rate studies to establish ates and this study is a
continuation of that past practice.
The District owns and operates a water supply, treatment,
The determination of the total costs associated with
District's customers has been developed based on th
billing records, and other relevant system and cost
Overview of the Rate Study Process
A comprehensive water rate study uses t
proportionality of a utility's rates. These
cost of service analysis, and a rate design a
Figure ES—i.
Rate Design Analysis
Pmission, an
ding these wate
s ac�unting, ope
to address the cost -basis and
Oiue requirement analysis, a
lyses are illustrated below in
Compares the revenues to the expenses of
the utility to determine the overall rate
adjustment required
Distributes the revenue requirement to the
customer classes of service in a
proportional manner
Considers both the revenue requirement
and cost of service analyses to develop
the proposed rates
The above framework for reviewing and evaluating the District's water rates was utilized in the
development of the Study.
F)' Executive Summary 1
Truckee Donner PUD — Comprehensive Water Rate Study
Page 8 of 312
Key Water Rate Study Results
The water rate study was developed to establish cost based and proportional rates sufficient to
meet the District's operating and capital costs. The water rate analysis resulted in the following
findings, conclusions, and recommendations.
A revenue requirement analysis was developed for the projected time period of FY 2026
through FY 2035
The District's FY 2025 and preliminary FY 2026 budgets were used as the starting point of
the analysis
Operation and maintenance expenses are projected to inc
based on District current and future projections
The revenue requirement analysis resulted in proposed
to increase rate revenues sufficiently to support wat o era
the projected time period
at inflationary levels
nue adjustments
Ipital needs over
A cost of service analysis was developed to revie proportionality of f?
and proportionally distribute the revenue re ment to customer cl
schedules)
isting rates
s (e.g., rate
The results of the cost of service analysis provi ased and proportional average
unit costs (i.e., cost basis), which w re used to esta the proposed rates
The Study has developed propos or FY 20 Y 2030 by customer class of
service (e.g., rate schedule)
Summary of the Wate
The revenue requirement
study. This analysis det
determination can be
adequate and prudent
For the Stu
2035) wi
time fr
require
minimiz nn
ical step in the development of the water rate
e existing water rates. From this analysis, a
ate revenue adjustments needed to provide
and capital needs.
ent was developed for a projected time period (FY 2026 — FY
iod ified as FY 2026 through FY 2030. Reviewing a multi -year
in th it allows the utility to better anticipate future financial
District to begin planning for these impacts sooner, thereby
acts and overall long-term rates.
The revenue re analysis was developed using a cash basis approach. The cash basis
approach is the ty approach used by public/municipal utilities to establish the revenue
requirement. Using the cash basis approach, annual O&M expenses, transfer payments or taxes,
annual debt service, and capital projects funded through rate revenues are summed to equal the
total revenue requirement. The primary financial inputs in the development of the District's
revenue requirement analysis were the District's FY 2025 budget, preliminary FY 2026 budget, FY
2024 billed customer and consumption data, and the District's recently developed water system
capital improvement plan.
F)' Executive Summary 2
Truckee Donner PUD — Comprehensive Water Rate Study
Page 9 of 312
Once the operating and maintenance (O&M) expenses have been projected over the time period
based on annual inflationary indices, the next step is to develop the funding plan for capital
improvement projects (CIP). The proper and adequate funding of capital projects is important to
help minimize rates over time. A general financial guideline states that, at a minimum, a utility
should fund an amount equal to or greater than annual depreciation expense through rates for
capital projects. The most recently available depreciation figure for the District's water utility was
for FY 2023 of approximately $4.8 million. Currently, the District is projected to fund an amount
greater than annual depreciation expense over the projected time period. The level of rate
funded capital developed in the capital funding analysis ranges from $5.0 ' lion to $7.6 million,
increasing in future years to reflect renewal and replacement funding . It is assumed that —
in addition to the rate funded capital improvements — the Distri I need to utilize other
funding sources in order to fully fund the CIP, identified for this St rve funds and facility
fees, to fund the identified capital improvements. Provided be in Tab — 1 is a summary
of the capital funding analysis, including the assumed fu sources, f five-year rate
setting period.
Total Capital Projects
Plus: Funds Held in Reserve for Future Projects
Less: Debt Issues
Less: Other Funding
Total Rate Funded Ca
As can be see
capital is b
include abl
borro as bi
the capit e
infrastructu
completed wa
Technical Appen
tween the annual capital improvement needs and rate funded
r funding sources, which was identified by District staff to
d a I facility fee revenues. Note, no additional long-term
o fun the District's capital plan. The District's capital plan reflects
maintain the existing system and repair or replace deteriorating
cts related to growth or redundancy as outlined in the recently
i. The details of the capital funding plan can be found in the
The revenue requirement analysis for the District's customers was developed to determine the
rate projections based on the specific costs of the District's water utility. Provided below in Table
ES —2 is a summary of the revenue requirement analysis developed for the District's water utility.
A more detailed discussion and analysis of the revenue requirement can be found in Section 3 of
this report as well as in the Technical Appendix in Exhibit 2.
F)' Executive Summary 3
Truckee Donner PUD — Comprehensive Water Rate Study
Page 10 of 312
FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030
Revenues
Rate Revenues
Misc. Revenues
Total Revenues
Expenses
O&M
Rate Funded Capital
Annual Net Debt Service
Transfers/Reserve Funding
Total Expenses
Bal./(Def.) of Funds
Bal. as a % of Rate Rev.
$20,068
680
$20,170
683
$20,246
654
$20,322
639
$20,399
621
$20,477
627
$20,748
$20,853
$20,900
$20,961
$21,020
$21,104
$13,723
$14,366
$14,931
5,000
7,000
7,250
1,532
1,526
1,530
493
(728)
(94
$15
$16,127 $16,761
7,450 7,550
2,481 2,486
805 1,884
$20,748 $22,164 61 N($5,
$28,682
$0 ($1,311) ( ) ($($7,578)
0.0% -6.5% -37.0%
Proposed Rate Rev Adjust. 0.0% 6.5%
Add'I Rev. from Rate Adj. $0 11
Total Bat./(Def.) of Funds $0
$23,
.4%
'(171'
$25,187
226)
.8%
-28.6%
6.5% 6.5% 6.5%
$2,71 $4,226
$0 $0
$5,844 $7,578
$0 $0
As can be seen, the revenue requirement a sis s1i 1 , O&M, rate funded capital, net
debt service, and transfers/re nding. al revenue requirement (i.e., expenses) are
then compared to the total u rces of water utility. From this comparison, a balance
(+) or deficiency (-) of fu n each r can be ermined. This balance or deficiency of funds
in each year is then pared t sent revenues to determine the level of rate
adjustment necessary et ement in a particular year. It is important to
note, the "Bal. / (Def.) of ow is cumulative. That is to say, any adjustments in the initial
years will red cien ter years. Over this projected time period, the total deficiency
of rate re is app atel %. To meet the overall revenue needs of the five-year rate
period al rate adjus is o / in FY 2026 through FY 2030 are proposed.
The above revenue adj ments, on a cumulative basis, meet the overall deficiency of 37.0%
over the fiv r perio viewed. Based on the revenue requirement analysis developed
herein, HDR ha I that the District will need to adjust the level of water rate revenues
as noted above to ain cost -based rates. HDR has reached this conclusion for the following
reasons:
■ Rate adjustments are necessary to fully fund the District's capital improvement plan
r Rate adjustments are necessary to fund annual O&M expenses, including past and future
inflationary increases in annual O&M expenses
The proposed rate adjustments maintain the District's financial health (i.e., financial
policies) and provide long-term, sustainable funding levels
F)' Executive Summary 4
Truckee Donner PUD — Comprehensive Water Rate Study
Page 11 of 312
Prior to the implementation of the fifth and final proposed rate adjustment in FY 2030,
the District should complete a review/update of the water rates
In reaching this conclusion, HDR would recommend that the District adopt the proposed rate
revenue adjustments through FY 2030 to provide sufficient funding for the annual operating
expenses and capital improvement program. A more detailed discussion of the development of
the revenue requirement analysis is provided in Section 3 of this report.
Summary of the Water Cost of Service Analysis
While the revenue requirement developed the cost -basis for the p
service analysis determines the proportional distribution of the
identified customer classes of service (i.e., residential, commerci
objective of the cost of service analysis is to determine the p or
collect the revenue requirement from each customer class�rvice
In summary form, the cost of service analysis began
for the District's water utility. The functionalized re rE
appropriate cost component(s) based on the D
characteristics. The individual allocation totals were the
the customer classes of service based o propriate
expenses for each customer class were th to
revenue responsibility. Table ES — 3 provi sum
year FY 2026.
red rates, the cost of
e requirement to the
zone charges). The
nner in which to
r hedule).
g the revenuequirement
nt was then allocated to the
iecific system and customer
rtionally distributed to each of
ution factors. The distributed
each customer class's total
c st of service analysis for test
The cost of service is distributes the proportional share of the revenue requirement to each
customer class base on their respective demands on the system and the facilities required to
provide service. The results of the analysis indicate minor cost differences exist between the
customer classes of service. It is important to understand that a cost of service analysis is based
on a projection of customer consumption data based on recent consumption history and can vary
from study to study given the specific assumptions and characteristics at the time of the study.
These variations can be further impacted by pandemics, droughts, and changing weather. As a
result, it is important to review the cost of service results continuously to maintain cost based
and proportional rates.
F)' Executive Summary 5
Truckee Donner PUD — Comprehensive Water Rate Study
Page 12 of 312
Given the requirements of Proposition 218, the cost of service results must be implemented in
order to achieve cost based and proportional rates. This is accomplished through the
development of the cost of service analysis, and specifically, the development of average unit
costs (e.g., $ / customer or $ / 1,000 gallons). The average unit costs provide the cost -basis for
the development of the District's proposed rates. Provided below in Table ES —4 is a summary of
the unit costs derived in the cost of service analysis that will be used to develop the proposed
rates for the identified customer classes of service.
Commercial
Average
N/A
N/A
$1.92
service analysis conducted
unit costs. The technical
siv e study pr ss is the design of the proposed water rates
r the results of the revenue requirement and
ue require nt analysis provided a set of recommendations
djustments, or the level of total revenues necessary to provide
The cost of service analysis resulted in recommendations
rti y collected from each customer class of service. The unit
cost of service analysis are used as the proposed rates in the first
The District's !Ak
e er rates have been developed with the intent of meeting the legal
requirements is Constitution Article XIII D, Section 6 (Article XIII D), also known as
Proposition 21component of Article XIII D is the development of rates which reflect the
cost of providing service and are proportionally distributed to the various customer classes of
service. HDR would point out that there is no single methodology for proportionally distributing
costs to the identified customer groups. The American Water Works Association (AWWA) M1
Manual clearly delineates various methodologies which may be used to establish cost -based
rates. As Article XIII D does not prescribe a particular methodology for establishing rates, HDR
developed the District's proposed water rates based on the AWWA M1 manual methodology and
the District's specific system and customer characteristics to meet the requirements of Article
F)' Executive Summary 6
Truckee Donner PUD — Comprehensive Water Rate Study
Page 13 of 312
XIII D in order to provide an administrative record of the steps taken to establish the District's
water rates. HDR is of the opinion that the proposed rates comply with the legal requirements of
Article XIII D. HDR reaches this conclusion based on the following:
The revenue derived from water rates does not exceed the funds required to provide the
property related service (i.e., water service). The proposed rates are designed to collect the
overall revenue requirement of the District's water utility as outlined in this Study.
The revenues derived from water rates shall not be used for any purpose other than that
for which the fee or charge is imposed. The revenues derived from thistrict's water rates
are used exclusively to operate and maintain the District's water sy
The amount of a fee or charge imposed upon a parcel or pE
ownership shall not exceed the proportional costs of the se
This study has focused exclusively on the issue of proporti4
customer classes of service through the development I
n incident of property
' utable to the parcel.
nt of costs to the
f e analysis. The
proposed rates have appropriately grouped custo into customer c s of service
(residential, commercial, and pump zones) that re the cc
requirements of each customer class of servic grou
these classes of service creates the cost basis and
D by having differing rates by customer class of service h
to be collected by the utility, but al manner in
proportionally assigned to customer ice bas
and burdens on the District's water sys and r
Given the requirements to de
Table ES — 4 were used to d
service. The District curre
discussed with District in i
corresponding rate sch s I
nd system
of customers and rates into
ality expected under Article XIII
reflect both the level of revenue
these costs are incurred and
their proportional impacts
VEost of service principles, the unit costs in
er rates for the District's customer classes of
ner classes of service that were reviewed and
1e study. The customer classes of service and
stomer types served by the District.
All customers ial a mmercial) are charged a fixed monthly meter charge, which
varies by size ct t ands (costs) that each meter size places on the system. As
a point ference, th nthl ter charge is the same by meter size for all customers
regar f customer typ he residential consumption charge is an increasing block two-tier
rate stru The block s s are based on the typical customer consumption patterns and
provides 8, Ilons per nth (billing period) in the first tier. This level of usage, based on the
District's custo p data, provides ample consumption in the winter period, or when
outside watering e minimal. All consumption over the first tier is charged at a higher rate
(increasing block str ure) to reflect the cost of providing service at higher levels of consumption
and capacity demands. For commercial customers, the consumption charge is a uniform charge
for all water consumption. The use of a uniform rate structure for commercial customers is a
common industry approach given the wide variations of types of commercial customers and their
total monthly usage patterns. Even with these variations, the overall customer characteristics are
similar within the commercial customer class. Finally, the District assesses pump zone charges to
reflect the costs associated with pumping water into higher (elevation) pressure zones. The
analysis is based on the average cost of pumping and maintenance in total, which is then applied
F Exes-UIIVC JUI I II I IGI y 7
Truckee Donner PUD — Comprehensive Water Rate Study
Page 14 of 312
to each pump zone, or the number of zones that water must be pumped through to reach the
pressure zone providing service. The pump zone charges are applied to all customers in the
applicable pump zones, regardless of customer class.
Provided in Table ES -5 is a summary of the current and proposed water rates over the five-year
rate setting period.
Residential
Fixed Charge $/Month
5/8" x 3/4"
3/4"
1"
Commodity Charge $/1,000 gal.
0 - 8,000 gal (block 1)
8,000 + gal (block 2)
Commercial
Fixed Charge $/Month
5/8" x 3/4"
3/4"
1"
1-1/2"
2"
3"
4"
6"
8"
Corn Charge - $/1,00
Pump Zone C
Zone 1
Zone 2
Zone 3
Zone 4
Zone 5
Zone 6
Zone 7
Current FY 2026 FY 2027
Rate
$103.03 $108.50
103.03 108.41
122.89 129.4
55 $123.06
55 23.06
146.78
$1.98
2.69
FY 2029 FY 2030
$13 $139.58
131.06 139.58
156.32 166.48
$2.11 $2.25
2.86 3.05
03.03 0
$115.55
$123.06
$131.06
$139.58
.03
.50
115.55
123.06
131.06
139.58
89
1
137.82
146.78
156.32
166.48
1
193.75
206.34
219.75
234.04
.11
266.37
283.68
302.12
321.76
397.58
418.68
445.90
474.88
505.75
538.62
568.87
599.06
638.00
679.47
723.64
770.67
3.30
898.60
957.00
1,019.21
1,085.46
1,156.01
6.62
1,123.23
1,196.24
1,274.00
1,356.81
1,445.00
$1.86
$1.92
$2.04
$2.17
$2.31
$2.46
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
1.03
1.09
1.16
1.24
1.32
1.41
2.04
2.16
2.30
2.45
2.61
2.78
3.06
3.24
3.45
3.67
3.91
4.16
4.08
4.32
4.60
4.90
5.22
5.56
5.10
5.40
5.75
6.12
6.52
6.94
6.12
6.48
6.90
7.35
7.83
8.34
F)' Executive Summary
Truckee Donner PUD - Comprehensive Water Rate Study
8
Page 15 of 312
As can be seen, the proposed rates have been adjusted to reflect the overall revenue needs of
the water utility based on the revenue requirement and cost of service analyses. It is important
to note that the rates have been adjusted by customer class based on the average unit costs from
the cost of service analysis in the first year (FY 2026) of the proposed rate adjustments.
Section 5 of this report provides a detailed discussion of the current and proposed water rates
along with a component by component summary of the proposed water rates for FY 2026 — FY
2030.
Water Rate Study Recommendations
Based on the results of the water rate study, HDR recommends t
Rate revenue adjustments are necessary to prude
necessary capital investment in renewal and replac4
Water rates should be adjusted by 6.5% in FY 2QJF
The proposed rates are based on the resf tr
proportional distribution of costs to each cus r c
Prior to the implementation of the fifth and fina
should complete a review of the er rates to
rates
summary of the Water Rate StL'
This completes the summa
District's water utility. Th
water utility operating
based proposed rate a
District Board for input
the developme e Dis
sections of
g expenses and
lctem
rough FY 2030
'Df service ana
service
is and the
2d rate adjustment, the District
in cost -based and proportional
develo of the comprehensive rate study for the
ft tudy h een the prudent and adequate funding of the
1I s as we the development of proportional and cost
esults of the Study were presented to the
PnMat"*Iic meetings. A full and complete discussion of
comprehensive water rate study can be found in the following
F)' Executive Summary
Truckee Donner PUD — Comprehensive Water Rate Study
9
Page 16 of 312
I. 1 Introduction and Overview
1.1 Introduction
HDR Engineering, Inc. (HDR) was retained by the Truckee Donner Public Utility District (District)
to conduct a comprehensive water rate study (Study). The objective of a comprehensive water
rate study is to develop cost -based and proportional water rates which are in compliance with
the requirements of Proposition 218. This is accomplished by first reviewing and analyzing the
District's water operating and capital costs and then developing a pr ion of the overall
revenue requirement of the District's water utility. Then, the Distric ' venue requirement is
proportionally distributed to the District's customer classes ice (e.g., residential,
commercial, pump zones). The findings and conclusions from ost ibution process are
then used to develop the District's proposed water rates, whi a reflecti ow the District's
costs are incurred. The end result of the comprehensive study proces st-based and
proportional water rates that reflect the District's specsts and customer c teristics.
The District owns and operates a water system whNC,
transmission, and distribution facilities. The deterproviding these water services to the District's cus
District's accounting, operating, custome irg records,
information.
The District had a number
objectives provided a fra
key objectives were as
Develop the study
established by the A
Iof water supply, treatment,
e total costs associated with
been developed based on the
;her relevant system and cost
eveloping the water rate study. These key
sions contained within the rate study. These
'tent with the principles and methodologies
sociation (AWWA), M1 Manual, Principles of
�s ing generally accepted rate making methodologies to
and portionality of the utility rates, while recognizing and
and unique characteristics of the District's system
al planning criteria as it relates to legally required debt service
funding of capital infrastructure, and maintaining adequate and
Develop a final pWosed rate transition plan which adequately supports the utility's funding
requirements while attempting to minimize overall impacts to rates
Provide proposed rates to meet the requirements of Article XIII D
F I Introduction and Overview
Truckee Donner PUD — Comprehensive Water Rate Study
10
Page 17 of 312
1.3 Overview of the Rate Study Process
The rates a utility charges must be set at a level where a utility's operating and capital expenses
are met with the revenues received from customers. This is an important point, as failure to
achieve this objective may lead to insufficient funds to maintain system integrity. To evaluate the
adequacy of the existing rates, a comprehensive rate study is often performed. A comprehensive
water rate study consists of three interrelated analyses. Figure 1-1 below provides an overview
of these analyses.
Revenue Requirement Analysis
Cost of Service Analysis
Rate Design Analysis
The above framewo
utility.
1.4 Org
This repo organ
settin ciples, fc
the Dis propo
study repo
• Section
• cPrtinn —
Rhe revenue requirement to the
imer classes of service in a
proportional manner
Conyers both the revenue
rement and cost of service
analyses to develop the proposed rates
evaluating the rates for the District's water
'ial manner that first provides an overview of utility rate
rs that detail the specific steps used to review and develop
The following sections comprise the District's water rate
Pi of Water Rate Setting Principles
pment of the Revenue Requirement
Section 4— Development of the Cost of Service Analysis
• Section 5— Development of the Proposed Rate Designs
A Technical Appendix is attached at the end of this report, which provides the technical analyses
that were undertaken in the preparation of the District's comprehensive water rate study.
F)' Introduction and Overview
Truckee Donner PUD — Comprehensive Water Rate Study
11
Page 18 of 312
2 Overview of Water Rate Setting Principles
2.1 Introduction
This section of the report provides background information on the water rate setting process,
including descriptions of generally accepted principles as outlined in the American Water Works
Association M1 Manual (AWWA Ml), types of utilities, as well as methods of determining the
revenue requirement, cost of service analysis, and rate design to support the requirements of
Proposition 218. This information is useful for gaining a better under ding of the details
presented in Sections 3 through 5 of this report.
2.2
Generally Accepted Rate Setting Princip
As a practical matter, all utilities should consider settin
accepted or global principles and guidelines. Utility rate4
■ Easy to understand and administer
Designed to conform to generally
Stable in their ability to provide
operating, and regulatory requirem
■ Established at a level that is stable f
2.3
Determining
Most public utilities ui
requirement and ultim
setting literature. The i
additionally,
a period of to de
is usual prised of
ome generally
II revenue
ting the utility's financial,
a customer's perspective
method y or approach for establishing the revenue
asis methodology is well documented in rate
conforms most public utility budgetary requirements and
to understand. A public utility totals its cash expenditures for
Iuired revenues. The revenue requirement for a public utility
ses: This includes a utility's operation and maintenance (O&M)
licable taxes or transfer payments. Operation and maintenance
labor, benefits, materials, electricity, chemicals, supplies, etc.,
utility functioning.
Total CapitalWpenses: Capital expenses are calculated by adding debt service payments
(principal and interest) to capital improvement projects financed with rate revenues. In
lieu of including capital improvement projects financed with rate revenues, a utility
sometimes includes depreciation expense or annual renewal and replacement costs to
stabilize the annual revenue requirement.
1 "Cash basis" as used in the context of rate setting is not the same as the terminology used for accounting
purposes and recognition of revenues and expenses. As used for rate setting, "cash basis" simply refers to the
specific cost components to be included within the revenue requirement analysis.
F) Overview of Water Rate Setting Principles 12
Truckee Donner PUD — Comprehensive Water Rate Study
Page 19 of 312
Under the cash basis approach, the sum of the total O&M expenses plus the total capital
expenses equals the utility's revenue requirement during the selected period of time (historical
or projected).
Note that the two portions of the capital expense component (debt service and capital
improvement projects financed from rates) are necessary under the cash basis approach as
utilities generally cannot finance all of their capital facilities with long-term debt. At the same
time, it is often difficult to pay for all capital projects (capital expenditures) on a "pay-as-you-go"
basis given that large capital expenditures may have a significant rate i t on a utility, even
when financed with long-term debt. Many utilities have found that a c ation of pay-as-you-
go funding and long-term financing will often lead to the minimizati rate increases (impacts)
over time.
logy or appro o establish the
provides service holesale or
use e utility basis roach (see
d to serve the wholesale or
herein has used the cash basis approach to establish the
the Study is discussed in more detail in Section 3 of this report.
After the total re'e requirement is determined, it is allocated to the appropriate cost
component(s) and then proportionally distributed to the users (customer classes) of the service.
This process, developed through a cost of service analysis, reflects the cost relationships for
producing and delivering water services to the utility's customers. A cost of service analysis is
composed of three analytical steps:
1. Costs are functionalized or grouped into specific cost categories related to providing
service (e.g., supply, treatment, transmission, distribution, pumping). This step is largely
accomplished by the utility's accounting system.
F)' Overview of Water Rate Setting Principles 13
Truckee Donner PUD — Comprehensive Water Rate Study
Page 20 of 312
2. The functionalized costs are then allocated to specific cost components. Allocation refers
to the arrangement of the functionalized data to the appropriate cost component(s). For
example, a water utility's costs are typically allocated as commodity (average demand),
capacity (peak demand), customer, or fire protection related.
3. Once the costs are allocated to the appropriate cost component(s), each cost component
is then proportionally distributed to each identified customer class of service (residential,
commercial, etc.). The distribution is based on each customer class's proportional
contribution to the cost component (i.e., benefits received from a d burdens placed on
the system and its resources). For example, customer -related are proportionally
distributed to each class of service based on the total numbe ustomers in that class
of service, relative to all other classes of service. Once I costs (i.e., the total
revenue requirement) are proportionally distributed, t en om each customer
class of service required to achieve cost -based rates Sj i e determ
A cost of service analysis was developed for the Districts r utility as a part •s study. This
aspect of the study is discussed in more detail in Secti of this rgport.
2.5 Designing Water Rates
Rates that meet the utility's cost -based an
results and findings from both the reven
cost information from these two analys
proportional. The average unit costs (i.e.,
consider, or take into account, other non-
economic development, abil revenue
these goals and objective be t n into c
take into consideration custom lass's p
cost of service analy mee
development of the Dist sed w
5.
roportional Lives are designed based on the
ment an of service analyses. Using the
ates t re strictly cost -based and
bas om the cost of service do not
b goals d objectives (e.g., conservation,
ility). In designing the final proposed rates,
•deration. However, the proposed rates must
tional share of costs distributed through the
eVs of establishing the proposed rates. The
'fe designs is discussed in more detail in Section
F) I Overview of Water Rate Setting Principles 14
Truckee Donner PUD — Comprehensive Water Rate Study
Page 21 of 312
3 Development of the Revenue Requirement
3.1
Introduction
The development of the revenue requirement analysis is the first analytical step in the three -step
comprehensive rate study process. This section of the report discusses the development of the
District's water revenue requirement. The District's revenue requirement analysis was developed
using the District's revenue, expense, and customer data.
The revenue requirement analysis developed herein determines the
the District's overall water rates at current rate levels. From this an
made as to the overall level of rate revenue adjustments n
prudent funding for both current and projected operating a c itE
an independent analysis based on information provided b Distri
3.2
Determining the Revenue Requi
In developing the District's water revenue requireme
utility must financially "stand on its own" and be proper
That is, no transfers from other District f occur to su
the District's water utility. As a result, t equii
analysis, as developed herein, assumes the an
needed to operate and maintain the Distric wat s
financially sound and prudent H -
The first step in calcul�l
a time period or time f
requirement w Ic
the analysi
2035. W revenues
settin oses was U
yeartim
By anticipa
changes, the
aacy and cost -basis of
determination can be
vide adequate and
. HDR developed
"In developing the
District's water revenue
requirement, the water
utility must financially
"stand on its own" and be
properly funded."
e re t for the District's water utility is to establish
e reven uirement analysis. For the Study, the revenue
10 -year time period (FY 2026 — FY 2035). The starting point of
a liminary FY 2026 budgets, which were projected through FY
xpen ere projected for a ten-year period, the focus for rate
ediat five-year period of FY 2026 — FY 2030. Reviewing a multi-
ed to identify major financial impacts that may be on the horizon.
I requirements sooner, the District can begin planning for these
short-term rate impacts and likely overall long-term rate levels.
The second step inWetermining the revenue requirement was to determine the basis of
accumulating costs. For the District's revenue requirement analysis, a cash basis approach was
utilized. As noted in Section 2, the cash basis methodology is the most common approach used
by public/municipal utilities to establish the technical analysis. This is also the approach that the
District has used in prior water rate studies. Table 3 — 1 provides a summary of the cash basis
approach and details the cost components used to develop the District's water revenue
requirement.
F) Development of the Revenue Requirement
Truckee Donner PUD — Comprehensive Water Rate Study
Page 22 of 312
+ Water Operation and Maintenance Expenses
+ Rate Funded Capital
+ Debt Service (Principal + Interest) — Existing and Future
+ Change in Working Capital
= Total Water Revenue Requirement
- Miscellaneous Revenues
= Net Revenue Requirement (Balance Required fro er Rate Revenues)
Given a time period around which to develop the revenuegWuire
accumulate the costs, the focus shifts to the develop
revenues and expenses.
The primary financial inputs in the development ofi
FY 2025 and preliminary FY 2026 budgets, recent bilk
recently developed water capital improvement plan.
Projecting Rate and Othe
project
nd a method to
1kf the District's
RUirement were the District's
nd consumption data, and the
nues
Once the method and time period for dev ing t equirement is established, the
next step is to develop a project' of the wa r evenue at present rate levels. In general,
this process involves develo ted bil nits (i.e., meter size, billed consumption) for
each customer class or ra edul ., resid al and commercial). The billing units for each
customer class were multiplby the c nt adopted water rates. This method of
independently calcula even ted revenues used within the analysis to the
projected billing units. It s to con I at the billing units used within the Study are
reasonable for es o cting future revenues, proportionally distributing costs, and
establish in r ate
The Di currently has rate r'te schedules for its residential and commercial customers.
All custo have a fixed rge by service meter size and a variable consumption charge. The
consumption charge for residential customers
Rate R ($000s) is a two-tier increasing block rate structure. The
Commercial, commercial consumption charge is a uniform
$1,958 rate. In addition, customers may be charged a
pump zone charge which reflects the cost of
Pump Zone
Charges,$966 pumping water to higher pressure zones. The
majority of the District's water rate revenue is
derived from the residential customer class. In
total, the District is projected to receive
approximately $20.1 million in rate revenue in
FY 2025. The rate study has assumed a
conservative average level of customer growth
F) Development of the Revenue Requirement 16
Truckee Donner PUD — Comprehensive Water Rate Study
Page 23 of 312
of 0.6% / year for the review period. By FY 2030, the rate revenues, given assumed growth and
assuming no rate adjustments, are projected to be approximately $20.5 million.
In addition to the rate revenues described above, the District also receives miscellaneous water
revenues. These are revenues related to interest earnings, other miscellaneous revenues,
standby revenues, and rents. In total, the District is projected to receive approximately $680,000
in miscellaneous revenues in FY 2025. This amount of miscellaneous revenues is expected to
decrease to approximately $627,000 by FY 2030 due to reserve fund usage and declining standby
revenues, leading to a decrease in interest income. Generally, all other mellaneous revenues
are flat over the Study time period.
On a combined basis, taking into account the water rate revenu
the District's water utility has total projected revenues of appro
which is projected to increase to approximately $21.1 millioryliy
Projecting Operation and Mainten
scellaneous revenues,
67 million in FY 2025,
Operation and maintenance (O&M) expenses are in d by the ict to provide water service
(supply, treatment, transmission, and distributio nc g the daily operation and
maintenance of the existing infrastructure. The Dist vided detailed budgeted O&M
expenses and projections of known O&M nges as a par e Study. Using the FY 2025 and
FY 2026 O&M budgets, O&M expenses ted over view period using projected
escalation factors. The escalation factors w devL. sed o ssumed annual inflation and
recent experiences of the District as well as ge y. The total O&M expenses for
the District are approximately million n the F 2025 budget. Over the planning
horizon, the total O&M exp Distric projected to increase to approximately $16.8
million by FY 2030 based stimat nnual i ionary impacts of approximately 4.0%.
J • V
Projecting
A key corn
adequately
facing ut'
additi
meetin
capital pro
of the Distri
In general, there a
the following:
s and Transfer Payments
opment of the water revenue requirement is properly and
ment needs for the water system. One of the major issues
r al and replacement (R&R) capital improvement needs. In
ling essure from growth/expansion-related improvements and
?quirements and mandates. The proper and adequate funding of
issue for all water utilities and is not just a local issue or concern
e types of capital projects that a utility may need to fund. These include
Renewal and Replacement - Renewal and replacement projects are projects required for
maintaining the existing facilities and system that is in place today. As the existing plant or
pipelines become worn out, obsolete, etc., the utility should be making continuous (annual)
investments to maintain the integrity of the facilities.
Growth / Capacity Expansion - A utility may need to make capital investments to add or
expand the capacity of the facilities needed to accommodate future capacity needs
(customers).
F) Development of the evenue ttequirement
Truckee Donner PUD — Comprehensive Water Rate Study
Page 24 of 312
Regulatory -Related - The last type of capital project may be a function of a regulatory
requirement in which the Federal or State government mandates the need for an
improvement to the system to meet a regulatory standard. These regulatory -related projects
are often unfunded mandates.
Understanding these different types of capital projects is important because it aids in explaining
why capital improvement costs are increasing and driving necessary revenue adjustments. In
addition, the way in which projects are funded may vary by the type of capital project. For
example, renewal and replacement projects should be paid for via rates and funded on a "pay-
as-you-go" basis. In contrast to this, growth or capacity expansion p is may be funded
through the collection of development or water connection fees (i.e., th-related charges) in
which new development pays a proportional share of the cost oft 'ties necessary to serve
their respective development (impact). Finally, regulatory proje ay ded by a variety of
different means, which may include rates, long-term debt, gLt , etc.
While the above discussion appears to precisely divide
categories, the reality of working with specific ca
example, a pump may be replaced, but while bei
greater capacity to serve increasing demands or new
share these "joint" characteristics.
For purposes of developing the capital 01
system capital improvement plan (CIP), w
deficiencies and improvements to the wate
review and discussion of the fundir
develop a rate transition pl tely
Provid
Distric
Distric
capita
the TE
throu€
cts into threrly defined
nay be more mplex. For
s up -sized to accommodate
There are many projects that
ding plan, District provided the water
'isting apital projects that address
• in the recent planning study. A
was hel with District staff to review and
nnual capital improvement needs.
Total Capital Projects
$4,289
$9,440
$8,809
$8,669
$8,606
$9,147
Plus: Funds Held in Reserve for Future Projects
1,343
0
0
0
0
0
Less: Debt Issues
0
0
0
0
0
0
Less: Other Funding
632
2,440
1,559
1,319
1,156
1,597
Total Rate Funded Capital
$5,000
$7,000
$7,250
$7,350
$7,450
$7,550
F) Development of the Revenue Requirement
Truckee Donner PUD — Comprehensive Water Rate Study
Page 25 of 312
As can be seen in Table 3 — 2, the overall level of capital improvements varies from year-to-year
to meet the overall capital replacement needs as outlined in the capital improvement plan. The
capital improvements are primarily related to renewal and replacement needs. While the total
amount required to fund projects may vary from year-to-year, the rate study has provided a
consistent annual funding source for capital improvements (i.e., rate revenues). In this case, rates
will annually fund $5.0 - $7.6 million (as highlighted in Table 3-2). To fund the remaining capital
needs, available reserves and facility fee revenues will be utilized.
A desirable and recommended minimum funding target for rate funde
equal to or greater than annual de
"A desirable and I District's annual depreciation e
pital is an amount
ion expense. The
i FY 2023 was
recommended m►n►mum I approximately $4.8 million. This Ian will move the
fundingtargetforrate I District to funding approximatel .5 tim rent depreciation
funded capital is an I expense. It is important t to and and d that annual
amount equal to or I depreciation expense is e same as replac t cost. Thus,
greater than annual I funding an amount wh' xceeds nual deprecia'W expense is
depreciation expense." I both prudent and a riate. veloping this financial plan,
HDR and the District h ted to minimize rate impacts
while providing adequate funding for the planned capita ovement projects of the District's
water utility.
3.7
Projection of Debt Service
The District currently has two o
Water COP. The debt service
the rate setting period a e
assessment revenues tots
approximately $2.0 m in F
to fund portions of the e
2025 is $1.5 mcreas
new utility is es
$960,00 rting in FY . I
plann the District to 1
As a point re
structures of
needs and utilize
discussions with Dis
anding lo debt issuances, the Pipeline COP and 2022
associa ith the Pipeline COP are incurred throughout
id in part, ough annual rate revenues, facility fees, and
t e issues ve an annual debt service payment of
cility fees and assessment revenues are used
t, whic ces the impact to rates. Net debt service in FY
$2.5 million by FY 2030 with the addition of debt service for a
ed to have an annual debt service payment of approximately
n in Table 3 — 2, no additional (new) long term debt is
water capital improvement plan.
H is not providing municipal advice as it relates to bonds, terms, or
Rather, this rate study has identified projections of future funding
ative assumptions for financial modeling/planning purposes based on
staff.
F) Development of the Revenue Requirement
Truckee Donner PUD — Comprehensive Water Rate Study
Page 26 of 312
3.8 Transfers
The final component of the revenue requirement is transfers in or out of the water operating
fund. The transfers in include the facility fees and assessment revenues used to offset annual
debt service payments. The transfers out consist of the annual transfer to the vehicle reserve and
transfer of funds to the operating reserve to maintain prudent ending reserve fund balances for
the water utility. Note, the transfers out are water related revenues and are held in reserves to
fund water related expenses and are not used to fund other District costs.
3.9 Summary of the Revenue Requirement
Given the above projections of the revenue and expense componen mmary of the District's
water revenue requirement analysis can be developed. In deve g venue requirement
analysis, attention was given to the financial planning conside a ns of th rict. In particular,
emphasis was placed on minimizing rates while adequate ding annual expenses and
capital improvement needs throughout the review per- resented below in e 3 — 3 is a
summary of the District's water revenue requireme ed on p •ected expens and current
rates. Detailed exhibits of this analysis can be foun e Tecfj Appendix in Exhibits 1— 6.
FY 2025
FY 2
Y 2028
FY 2029
FY 2030
Revenues
Rate Revenues
$20,1
$20,246
$20,322
$20,399
$20,477
Misc. Revenues
680
683
654
639
621
627
Total Revenues
$20,74
$20,853
$20,900
$20,961
$21,020
$21,104
Expenses
O & M
3
$14,36
$14,931
$15,518
$16,127
$16,761
Rate Funded C
00
7,000
7,250
7,350
7,450
7,550
Annual Net rvi
1,526
1,530
2,490
2,481
2,486
Transfer rve Funding
(728)
(94)
(171)
805
1,884
To enses
20,748
$22,164
$23,617
$25,187
$26,864
$28,682
Bal./(Def.) ds
$0
($1,311)
($2,717)
($4,226)
($5,844)
($7,578)
Bal. as a % of R v.
0.0%
-6.5%
-13.4%
-20.8%
-28.6%
-37.0%
Proposed Rate Re
0.0%
6.5%
6.5%
6.5%
6.5%
6.5%
Add'I Rev. from Rate A .
$0
$1,311
$2,717
$4,226
$5,844
$7,578
Total Bat./(Def.) of Funds
$0
$0
$0
$0
$0
$0
As can be seen, the revenue requirement has summed the O&M, rate funded capital, net debt
service, and transfer/reserve funding. The total revenue requirement (i.e., expenses) are then
compared to the total revenues, which include the rate revenues - at present rate levels - and
other miscellaneous revenues. From this comparison, a balance or deficiency of funds in each
year can be determined. This balance or deficiency of funds is then compared to the rate
F) Development of the Revenue Requirement 20
Truckee Donner PUD — Comprehensive Water Rate Study
Page 27 of 312
revenues to determine the level of rate adjustment needed to meet the revenue requirement. It
is important to note that the "Bal. / (Def.) of Funds" row is cumulative. That is, rate adjustments
in the initial years will reduce the deficiency in later years.
Based on the revenue requirement analysis developed for the District's water utility, HDR has
concluded that the overall level of rate revenues will need to be adjusted over the next five years
(FY 2026 - FY 2030) to maintain prudent funding of capital improvement needs and fund annual
O&M expenses. As a part of the analysis, a rate transition plan has been developed. As can be
seen above in Table 3 — 3, the proposed annual rate adjustments (blue s ed line) have been
developed to adjust rates over the five-year period and meet the oper and capital needs of
the District's water utility.
3.10 Reserve Levels
Another key element of determining the financial health
utility is a review of the level of available reserves afte
generally have different reserves, each with a differ
will maintain an operating reserve, capital reserve, c
cases, an emergency or rate stabilization reserve. Ea
minimum ending balance that if reached or falls below, is
the revenue sources associated with i nd. The
depending on the purpose or objective of
For the District, there are several different
operating reserve fund, capvemE
reserve, facility fee resery nect ee r
were reviewed during evelop of 1
fund given that this r e is th
target minimum balance is
setting period, opera ash fund I
minimum I
rage Ratios
rCistainability o istrict's water
proposed rate adjus ts. Utilities
spe purpose. Typi ally, a utility
a wth) fee reserve and in some
ese funds can have a different
al that the District should review
i ending balances will vary
'xo revenue sources.
• nds.-IWse are the operating cash fund,
rve, vehicle reserve fund, deferred liability
and debt service reserve. Each of these funds
study with the focus on the operating cash
i source for operating and capital needs. The
of O&M expenses. Over the course of the rate
;e decreases and remains below the target
When long- debt is is , specifically for municipal revenue bonds, the District enters into
a contractual agr nt that require a specific level of revenue to be generated each year
in excess of O& s and annual debt service payments. As noted previously, the District
has two outstandi debt issuances. Generally, the financial markets require a minimum
coverage ratio of 1.25 times. In other words, the revenue available for debt service after O&M
expenses is at least 1.25 times the amount of the annual debt service payment.
Given this required minimum, utilities often target for financial planning purposes a coverage
ratio greater than the required minimum. Typically, this may be 1.30 times to 1.50 times to
account for potential fluctuations in revenues and expenses. Provided below in Table 3 — 4 is a
summary of the debt service coverage ratios for the District's water utility before and after the
proposed rate adjustments shown in Table 3 — 3.
F�� DevcwNi,acuI, vI u.c ncvciiuc "cyuiicinent
Truckee Donner PUD — Comprehensive Water Rate Study
Page 28 of 312
FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030
Before Rate Revenues Adjustment 3.53 3.27 3.00 1.85 1.66 1.48
After Rate Revenue Adjustment 3.53 3.93 4.37 3.28 3.65 4.05
As can be seen in Table 3 — 4, the District is meeting the minimum to
ratios and maintains a strong financial position with the proposed rate
3.12 Consultant's Conclusions
The revenue requirement developed for the District's
annual rate revenue increases to adequately fund the Di
needs. To meet the overall revenue needs during th
adjustments of 6.5% in FY 2026 through FY 2030 ar
The above rate adjustments, on a cumulative basis, met
the projected O&M expenses and capital ing needs
Based on the revenue requirement analy_1opec
the District will need to adjust the level of er r
based rates. HDR has reached this conclusio r th c
�bt service coverage
nue adjustments.
Ntility has in
water utility op
r rare setting per
d the need for
and capital
nnual rate
verall revenue needs to support
e five-year rate setting period.
dy, HDR has concluded that
I ted above to maintain cost-
easons:
Rate adjustments are y to ful he District's capital improvement plan
Rate adjustments a cess to fund ual O&M expenses, including past and future
inflationary incr in ann &M exp es
The proposed'
policies) and pro
Prior t
the ct s
In rea
annual ra
expenses a
!'he District's financial health (i.e., financial
e funding levels
of the fifth and final proposed rate adjustment in FY 2030,
3 review/update of the water rates
, HDR"would recommend that the District adopt the proposed
gh FY 2030 to provide sufficient funding for the annual operating
nent program.
F) Development of the Revenue Requirement
Truckee Donner PUD — Comprehensive Water Rate Study
Page 29 of 312
4 Development of the Cost of Service Analysis
4.1 Introduction
In the previous section, the revenue requirement analysis focused on the total revenues and
expenses required to adequately fund the District's water utility. This section of the report will
provide an overview of the development of the District's water utility cost of service analysis,
which is the second analytical step of the comprehensive water rate study._
A cost of service analysis determines the proportional
requirement to the customer classes of service (e.g., re!
charges). The previously developed revenue requirement
development of the District's cost of service analysis.
4.2
Objectives of a Cost of Service Stu
There are two primary objectives in conducting a
Proportionally distribute the
classes of service, and
Derive average unit costs (i.e.,
District's water
The objectives of a cost of service analysis al
As noted in the previous section, a revenue
financial needs, while a cost of c..ice anal'
collect the calculated reveni ent
The results of the cost
development of the fi
of service analysis provi
proportional
related co con
water uti curs c
related cost o
capacity needs.
should pay their p
costs provide the rel
rates.
f the total revenue
mercial, pump zone
►was utilized in the
requirement to the customer
uent rate designs
2 ping a revenue requirement.
Is determines the utility's overall
proportional manner in which to
s determihe average unit costs, which are used in the
cess, the design of proposed rates. The cost
cost of w er consumption based on each customer class's
Ily, the cost of service also proportionally assigns customer-
)er equivalent meter cost.
o rvice is designed to proportionally distribute costs. For example, a
el d to meeting average day, peak day, fire protection, and customer -
such, a water utility must build sufficient capacity2 to meet peak
hose customers contributing to those peak demands on the system
anal share of the costs to provide the capacity in the system. The unit
ship between these components, which are then used to set cost -based
2 System capacity is the system's ability to supply water to all delivery points at the time when demanded.
Coincident peaking factors are calculated for each customer class at the time of greatest system demand. The time
of greatest demand is known as peak demand. Both the operating costs and capital asset related costs incurred to
accommodate the peak demands are generally distributed to each customer class based on the class's contribution
to the particular peak use event.
011
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4.3 Determining the Customer Classes of Service
The first step in a cost of service analysis is to determine the customer classes of service. Based
on discussions with District staff, review of the customer data, and previous studies, the classes
of service used within the District's cost of service analysis were:
■ Residential
■ Commercial
h Pump Zones
In determining classes of service for cost of service purposes, the obje
together into similar or homogeneous groups based on similar f
demand characteristics. Pump zones are separated out to provi
specific costs associated with providing water at different ., I
residential and commercial customers in those zones.
4.4 General Cost of Service Procedu
A cost of service analysis utilizes a three -step approa
of functionalization, allocation, and distribution. Provi
cost of service analysis conducted for the District and the
The approach used for the District's Studs ms to gE
cost of service methodologies, which are liFi
specific system and customer characteristic
4.4.1 Functionalization of
The first analytical step in t
is the arrangement of ex
function (e.g., supply tme
was a limited amoun uni
accomplished within the
4.4.2 A
The secoi
costs.
how ea
following
IKto group customers
requirements and/or
hod to distribute the
ELDressure zones to
ts. These steps take the form
is a detailed discussion of the
c steps taken within the analysis.
ccepted and industry standard
1 Manual and the District's
s is called functionalization. Functionalization
wells, pipes, pumps) data by major operating
age, distribution). Within the Study, there
cost data required since this was largely
fo in a water cost of service analysis is the allocation of the
sts i ded within the revenue requirement examines why and
what type of need is being met by incurring those expenses. The
used to develop the cost of service analysis:
Commo elat sts: Commodity costs are those costs which tend to vary with the
total quant ter consumed by a customer. Commodity costs are those incurred
under average ad (demand) conditions and are generally specified for a period of time
such as a month or a year. Chemicals or utilities (electricity) are examples of commodity -
related costs as these costs tend to vary based on the total volume (amount) of water
consumed.
Capacity -Related Costs: Capacity costs are those which vary with peak demand, or the
maximum rates of flow to customers. System capacity is required when there are large
011
Development of the Cost of Service Analysis
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Page 31 of 312
demands for water placed on the system (e.g.,
Water Cost Servi
summer lawn watering). For water utilities, capacity- of Analysis
related costs are generally related to the sizing of Terminology
facilities needed to meet a customer's maximum Functionalization — The
water demand at any point in time. For example, arrangement of the cost data by
portions of distribution storage reservoirs and functional category (e.g., source of
distribution mains (pipes) must be adequately sized supply, treatment, etc.).
to meet peak demand requirements (capacity).
• Customer Related Costs: Customer costs are those
Allocation a assignment of
costs which vary with the number of customers on
functiona costs to cost
the water system. They do not vary with system
compo (e.g., commodity,
output or consumption levels. These costs are also
cap omer, and fire
sometimes referred to as "readiness to serve" or
r Lion re
"availability" costs. Customer costs may also
sometimes be further allocated as either actual
— uting the
weighted. Actual customer costs
alloca ed costs to e class of
proportionally, from customer to customer, wi
ser based on each class's
ortional contribution to that
addition or deletion of a customer, regardless oft
ecific cost component.
size of the customer. An example of an actual
customer cost is postage for maili is cost
ty Cost: — Costs that are
does not vary from customer
clas d as commodity -related
regardless of the size or consumption acter
with the total consumptive use
of the customer. In contrast a weight c er
water e. ( g., chemical use at a
cost reflects a dispropo ost, fro omer
treatment plant).
to customer, with additi or del of a
customer. Examp weight ustomer is are
Capacity Cost! — Costs allocated as
items such as m ainte s here
capacity -related reflect the peak
a larger meter .r sig y more
demands placed on the system by
expensive than Her meter.
each customer class. Facilities are
designed and sized around meeting
Fire ction d C Fire protection costs
these peak demands.
ar se costs rel to th blic fire protection
ns. Usually, s costs are those related to
Fire Protection Costs — Costs that
pub hydrants a he oversizing of mains and
are related to fire protection
distrib storag ervoirs for fire protection
services (e.g., hydrants, oversizing
purposes.
of storage and distribution mains).
Revenue RelalCosts: Some costs associated with
the utility may vary with the amount of revenue Customer Costs —Costs allocated as
received by the utility. An example of a revenue customer -related vary with the
related cost would be a utility tax, which is based on number of customers on the system
the gross utility revenue. (e.g., metering and customer billing
costs).
F)' Development of the Cost of Service Analysis 25
Truckee Donner PUD — Comprehensive Water Rate Study
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4.4.3 Development of Distribution Factors
Once the allocation process is complete, the allocated costs are proportionally distributed to
each customer class of service. The District's allocated revenue requirement is distributed to the
previously identified customer groups using the following distribution factors:
Commodity Distribution Factor: As noted previously, commodity -related costs vary with
total water consumption. Therefore, the commodity distribution factor was based on the
projected total metered water consumption, plus water losses, for each class of service for
the projected test period based on recent annual metered water consmption data for each
customer class of service.
Capacity Distribution Factor: The capacity distribution factor
estimated contribution to the water system peak demand
demand use by customer class of service was estimated
loped based on the
ustomer class. Peak
k demand factors
for each tier for residential customers and total cons ion for comm customers. In
this particular case, the peaking factor was dev d based on a revie e average
month to peak month usage of each residentr and c ercial consu ption. Given
an estimated peak demand factor, the peak ntri n for each tier of residential
customers and the commercial class of service wa ned.
Customer Distribution Factor: Cust costs vary w e number of customers on the
system. Two basic types of custo ion fac ere identified, actual and
weighted. The distribution factors for al cu ere ased on the projection of the
number of customers for each cu e ss eveloped within the revenue
requirement. The weigh mer di ion factors are also broken down further into
two factors which a t to lect th proportionate costs associated with serving
different types of mers. T irst weig customer distribution factor is for customer
service and acc g. This to er distribution factor takes into account any
differences in prov mer s nd billing to different customer classes. In the
District's the c er service and accounting distribution factor was held constant
based umb actual customer accounts. The second weighted customer
dis ion facto or and services. This factor reflects the different costs
iated with prov servi e to larger sized meters based on the number of equivalent
me or each custo r class of service.
Public otecti istribution Factor: The development of the distribution factor for
public fire expenses involved an analysis of each class of service and their
correspondin flow requirements. This distribution factor took into account each class's
gallon per minute (gpm) fire flow requirements in the event of a fire, along with the
duration of the required flow (e.g., 1,000 gpm for 120 minutes). The fire flow rates used
within the public fire protection distribution factor were based on industry standards and
fire flow estimates for the District. The minimum fire flow requirements are then multiplied
by the number of customers in each class of service and the assumed duration of the fire
to determine each class's prorated fire flow requirements.
F)' Development of the Cost of Service Analysis
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26
Page 33 of 312
Revenue Related Distribution Factor: The revenue related distribution factor was
developed from the projected rate revenues for FY 2026 for each customer class of service.
These same revenues were used within the revenue requirement analysis discussed
previously.
As mentioned before, in a cost of service analysis, the customer classes represent a group of
similar or homogenous customers such as residential or commercial customers. For this analysis,
however, additional cost detail was needed when distributing the costs. This meant that the
commodity and capacity distribution factors had the classes further broke down given that the
residential customer class has two tiers and commercial has a single tie he development of
the cost basis for the rates (i.e., cost basis under Proposition 218). F r discussion related to
the distribution of costs is discussed in more detail in the rate desi is provided in Section
5 of this report.
4.5 Functionalization and Allocation of
As noted, the first steps of the cost of service analy ' the fun nalization and allocation of
plant in service. In performing the functionalization nt in ce, HDR utilized the District's
historical plant (asset) records. Once the plant assets onalized, the analysis shifted to
the allocation of the assets. The allocation process inclu viewing each group of assets and
determining which cost allocators the as e related t example, the District's assets
were allocated as: commodity related, a ed, cus r related, revenue related,
public fire protection -related, or a direct ignm e below is a summary of the
allocation process for the District's plant in s ce fol g approach is based on generally
accepted cost of service met s as de d in the American Water Works Association
(AWWA) M1 Manual, Pri s o ter Rat Fees and Char es and the District's specific
system characteristics.
Source of Supply
Source of supply was allo
and peak day
49% com -re
specific demand
(comrr needs).
Water treat way
51% capacity.
allocation reflects
needs on the system.
'he basis oft relationship between average day (commodity)
the operation of the system, the source of supply assets were
pacity-related. This allocation reflects the District's system
s) in relation to the system's average day demands
Fed in the same manner as source of supply, 49% commodity and
generally considered an extension or component of supply. This
ation of the treatment facilities meeting average and peak demand
Land and Buildings
Land and buildings were allocated the same as supply and water treatment, 49% commodity and
51% capacity. This reflects the operation and purpose of a water system, which provides average
and peak demands.
011
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Storage
Storage reservoirs are typically operated to meet at least two types of needs —peak demands and
fire protection. The total storage capacity of the District's reservoirs was examined, and
consideration was given to the capacity required for fire protection under a fire event scenario.
This amount of capacity, in relation to the total storage capacity, is considered fire protection
related. The remaining balance of storage capacity is considered to be in place to meet peak
demands. This resulted in 94% of the storage reservoir costs being assigned to peak day capacity
and the remaining 6% to be assigned to the public fire protection component.
Transmission & Distribution
Transmission and distribution lines (mains) are typically assumed to
a distribution system must be in place to meet a customer's
water. This portion of the distribution main plant investment ' r
the number of customers served. This can be allocated a customer r cost or as the
number of equivalent meters on the system. Next, a por ' of the distributi tern mains is
considered to be a function of meeting peak capacity irements on the syste istribution
mains must be sized to adequately meet the maxi (peak) s demanded by customers.
This portion of the distribution main plant investmen si capacity -related and is based
on the proportion of mains sized to meet these peak s. Finally, even with the sizing of
mains to meet peak demands, distribu ' mains mus be sized for public fire flow
requirements. In other words, on the day eak dem the system, there must still
be sufficient over -sizing of mains to meet t adai. re flo uirement. This final portion
of over -sizing for distribution plant investme alto lic fire protection related. Based
on an analysis of the District's 'bution m assignment of the distribution mains was
determined to be 33% cap d, 62% hted customer meters and services -related,
and 5% fire protection re
three functions. First,
use requirements for
sid o be a function of
Additionally, pumpingi
District with the ability
Meters an
This categ
100% w
which
General
General plant por ' Ily allocated as all other assets as outlined in the above categories.
The exception t laboratory equipment. Laboratory equipment is allocated as 100%
commodity related en the purpose is the testing of water and does not vary based on the
amount of water produced or sold.
�% to pump zones. These assets provide the
nt pressure zones within the District's system.
rs, GIS equipment, etc. These assets have been allocated as
services. Also included in this category are fire hydrants,
public fire protection related.
Table 4-1 provides a summary of the basic functionalization and allocation of the District's major
water system infrastructure. A more detailed exhibit of the District's functionalization and
allocation of plant investment can be found in the Technical Appendix in Exhibit 11.
011
Development of the Cost of Service Analysis 28
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Page 35 of 312
Capacity
Customer
c
.
y E
N
y y
Plant Component c
a a
+'- +�+ �A
E E L H
, sa_o sa_o
> L o
tw
Q
U
a '" y '" WW
U 3 U 3 2
LL
Source of Supply 49% 51% 0%
0% 0% 0% 0% 0% 0%
Water Treatment 49% 51% 0%
0% 0% 0/ 0% 0% 0%
Land and Buildings 49% 51% 0%
0% 0% 0 0% 0% 0%
Storage 0% 94% 0%
0% 0% 0% 0% 0 0% 0%
Transmission/Distribution 0% 31% 0%
0% 0/ 58% 0% 0% 6%
Meters and Valves 0% 0% 0%
0% 88°/ 0% 12% 0% 0%
General Plant 5% 28% 0%
0% 0% 7% 0% 3%
4.6 Functionalization and All
' n of Op ing Expenses
As noted in the AWWA M1 Manual, ope
g (reve requirement) are generally
functionalized and allocated in a manne
ilar responding plant account. For
example, the maintenance of distribution
Ilocat in the same manner (allocation
percentages) as the plant ac istribu
nains. This approach to the allocation of the
District's water utility rev requi ent
wa d for this analysis.
For the District's wat e stu
quirement for FY 2026 was functionalized,
allocated, and distribut ed in
3, the District utilized a cash basis revenue
requirement, s co d of operation and maintenance expenses, rate funded capital,
net debt s erve ing. A
more detailed review of the functionalization and
allocatio he reven uire can
be found in the Technical Appendix in Exhibits 12 —
16.
4.7 Ma ssum ns of the
Cost of Service Analysis
A number of ke ons were used within the District's water rate study. Below is a brief
discussion of them ssumptions used:
The test period used for the water cost of service analysis was FY 2026. The revenue and
expense data was previously developed within the revenue requirement analysis
■ A cash basis methodology was utilized, which conforms to generally accepted water cost
of service approaches and methodologies
The allocation of plant in service was developed based on generally accepted cost
allocation techniques. Furthermore, it was developed using the District's water utility
specific data and characteristics
F)' Development of the Cost of Service Analysis 29
Truckee Donner PUD — Comprehensive Water Rate Study
Page 36 of 312
Consumption by class of service and pricing tier were developed for each class of service
from historical usage information provided by the District
Peak demand capacity distribution factors were estimated based on each customer
group's average to peak month relationship
' Q Development of Cost -Based Water Rates
The cost -basis and proportionality of the proposed rates are of paramount importance when
developing the Study. Given this, the District's proposed water rates ha been developed to
meet the requirements of California Constitution Article XIII D, Sectio Article XIII D). A key
component of Article XIII D is the development of rates which reflect ost of providing service
and are proportionally distributed to the identified customer clas ice. HDR would point
out that there is no single prescribed methodology for prop nally ping costs to the
various customer groups. The American Water Works Ass ion (AWW Manual clearly
delineates various methodologies which may be used to lish cost -based In addition,
Article XIII D does not prescribe a particular meth gy for e tablishing co sed rates.
Consequently, HDR developed the District's propo ater ra ased on the methodologies
provided in the AWWA M1 Manual to meet the requ n rticle XIII D and to provide an
administrative record of the steps taken to establish the is water rates.
HDR is of the opinion that the proposed �
D. HDR reaches this conclusion based on t
The revenue derived from water
the property related
collect the overall nue r it
Study.
The revenues dq
that for which th
I requirements of Article XIII
Fot ex -clued the funds required to provide
_vice). The proposed rates are designed to
the District's water utility as outlined in this
all not be used for any purpose other than
:harge is imposed. The revenues derived from the District's
ively to operate and maintain the District's water system.
T ount o e or a imposed upon a parcel or person as an incident of
perty ownersh all n exceed the proportional costs of the service attributable
parcel. This dy has focused almost exclusively on the issue of proportional
assi nt of cost customer classes of service through the development of the cost
of ser naly he proposed rates have appropriately grouped customers into
customer f service (residential, commercial, pump zones) that reflect the varying
consumptio tterns and system requirements of each customer class of service. The
grouping of customers and rates into these classes of service creates the cost basis and
proportionality expected under Article XIII D by having differing rates by customer class
of service which reflect both the level of revenue to be collected by the utility, but also
the manner in which these costs are incurred and proportionally assigned to the customer
classes of service based on their proportional impacts and burdens on the District's water
system.
011
Development of the Cost of Service Analysis 30
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The current rate structure includes a fixed charge that is the same for all customers dependent
on meter size as well as a consumption (usage) charge. The consumption charge structure for
residential customers is a two-tier increasing block rate structure and the commercial
consumption charge is a uniform rate. Given the prior discussion on the requirements of setting
rates under Proposition 218, the development of the District's cost of service analysis and
subsequent average unit costs (i.e., cost -based rate components) provides the basis for the
development of the proposed water rates for the District.
As a part of this Study, HDR developed the cost of service and water ra esign discussion to
clearly demonstrate and support the proposed water rates and tier ricing. The following
discussion provides a more detailed analysis of the costing techni d methodologies used
to support the District's proposed rate design.
4.9 Determination of Sizing and Number i Piers
The District's residential rate
structure is currently a two-
tier consumption charge. As
140,000,000
part of the Study, recent
120,000,000
consumption data was
100,000,000
reviewed to evaluate if
80,000,000
adjustments to the size or
60,000,000
number of tiers should be
recommended. After
40,000,000
reviewing the consumptio
0
data, it was determined
the current tier siz re
appropriate given e
District's histo
residential do
data. As s in t t,
the is reside
consu n data
analyzed hree separa $
years in or evaluat s 6
the u n Q 5
characteristics the o a
+ 3
residential custom class 2 I I
111111
had changed. As can be seen 1
in the chart, the consumption 0
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov
characteristics of the
District's residential Avg Consumption — — Tier 2
customer class have
remained relatively consistent over the three-year period reviewed.
Total Resid%CConsumj t by Month and Year
w 2022-2023 -2023-2024 -2024-2025
Average Residential Monthly Consumption
011
Development of the Cost of Service Analysis
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Dec
31
Page 38 of 312
The goal in establishing tier sizes for residential customers is to establish the first block at a typical
or average level of usage. In reviewing the residential customer monthly consumption data, it
was determined that the current tiers reasonably reflected those targeted consumption levels.
Provided in the chart is the average consumption by month for the District's residential
customers based on FY 2024 consumption data. As can be seen, the current block sizes
correspond to customers' average monthly use up to the summer average use (tier one) and the
additional use in the summer period (tier two). As a result of this review, HDR recommends that
the District maintain the two-tier consumption charge for residential customers.
The current rate structure for the District's commercial customers is a orm rate structure. A
tiered rate structure is typically not recommended for com al customers as total
consumption levels for commercial customers can vary signifgreater use is not
necessarily indicative of wasteful use. For that reason, establ g a ti rate structure for
commercial customers is difficult, unless the rate structure sizes are in Ily established
for each individual commercial customer. An individuall red rate structure omplex and
administratively difficult rate structure and is not s ed or r ommended e District.
While consumption levels for commercial custome vary s' cantly, the overall customer
characteristics (peak use
characteristics, timing of Total Commercial mption by Month and Year
consumption, etc.) are 120,000,000
similar. As part of the Study, 100,000,000
HDR reviewed the District's
commercial consumption 80,000,000
data for the same review 000
period as the resident'
40,0
customer class. As sho
the chart, similar he 20, 0
residential customers, -
commercial consumpt �a��e` `ion
characteristic_ also 5e4 °
a�pe� e�ox� cJac1 �`JaA PQi� �a4 ice
� a la Qe
remained- r1y I_ -2022-2023 -2023-2024
consist over the
period wed. For thes sons, HDR recommends that the District maintain their uniform
rate struc or their co rcial customers.
-2024-2025
After the numb d g of the tiers have been identified, the pricing of the tiers is the next
analytical step.
4.10 Development of the Unit Costs for Rate Designs
To begin the assignment of costs related to specific tiers, the results of the cost of service analysis
are utilized. The cost of service analysis allocates the revenue requirement to the appropriate
cost components of average demand (commodity), peak demand (capacity), and customer
(actual and weighted). Provided in Table 4 — 2 is a summary of the allocation of the FY 2026
revenue requirement from the cost of service analysis.
011
Development of the Cost of Service Analysis 32
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++ H
v
0
E
0 +_ E -a
E o 4, v u Q -
U
. > w0 L °�,—° E
0 OL
H U U U oc oc LL O Q
Net Revenue Requirement $21,481 $1,268 $767 $18,241
There is approximately $21.5 million in total costs, the total net
which is allocated between the cost components. The tot
(e.g., commodity, capacity) is proportionally distribute t'I
calculate the monthly fixed meter charge and cons on c
basis for the tiered pricing, the allocated costs are f distr
components based on the appropriate distribution fac
approach used to distribute the revenue requirement to
and rate components.
4.10.1Commodity Distribution Facto
The commodity distribution factor is based
classes of service, and if app[ tier.
rates, the following custo asse re
Residential —Tie
Residential —Tie
e
$0 79
nue re
located to e
e customer cla
$0 $1,026
ent for FY 2026,
L
component
f service to
ar levels. To prd a the cost -
d between the rate structure
ded below is a discussion of the
rious customer classes of service
rage Gal use for each of the customer
development of the pricing of the proposed
To devel e commo istrin factor for each customer class, the usage for each class
was dd by the total e of t system. This produces the percentage of the system that
each cla esponsible fo d therefore, each class's proportional contribution to commodity
related cos ter the re sibility of the commodity related costs have been identified, the
total commo late s can be distributed to each customer class and tier based on the
previously calcu ibution factors. The final step in developing the unit costs is to divide
the costs for each stomer class and tier by the total amount of consumption used in
determining each class's proportional share of the commodity related costs. This calculation
provides the value on a $ per 1,000 gallon basis, which becomes a component of the proposed
consumption rate. Provided in Table 4-3 is a summary of the commodity distribution factor and
unit cost development.
F)' Development of the Cost of Service Analysis 33
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FY 2026
Consumption
% of
Distributed
Unit Cost
(1,000 gal)
Total
Commodity Costs
($/1,000 gal)
Residential
Tier 1
446,593
43.00%
$ 7
$1.22
Tier 2
259,657
25.00%
1.22
Single Family Total
706,250
68.00%
862,32
$1.22
Commercial
332,468
32.00%
$405,941
1.22
Total
1,038,718
100.
8,268
$1.22
As can be seen, the development of the commodity dist on factor is fairly straightforward.
As an example, tier 1 consumption of the tial class of e represents 43.0% of the total
consumption on the system. As a result, commo elated costs ($1,268,268 in
total) are distributed to tier 1 of the reside I cust ich s $545,287. The total costs in
Column C are taken from Table 4-2. This ap c en for each of the customer classes
of service for each rate comp ext, to p the unit costs, the dollars in column C are
divided by the consumpti colu . This Its in the cost -based commodity component
of the proposed rates f ch custo r class.
4.10.2Capacity Distri ctor
The capacity di 'on fa tilizes the same customer classes as in the development of the
commodity cto . ereas commodity costs are related to the total volume of
water us each clas rvic tier, capacity is related to how each tier or class consumes
at differ t ways and at different times, thus creating different usage
in rent peak demands. These usage patterns drive how the District
D t the demands of customers, regardless of when they occur. To
y tier or class, peak demand factors need to be developed for each
and tier. The peak demand factors for a class of service are estimated
metered data related to peak demands for each customer class and tier.
water. omers use w
patterns, ch results
must size t stem t
determine the ibut
customer class o
due to a lack of spe
The method used to estimate customer class and tier peak demand factors is to review the
average monthly volume of water consumed and compare it to the maximum monthly usage of
water (i.e., relationship of average month to peak month). By dividing the maximum month by
the average month, a reasonable surrogate for the peak factor is determined. This factor provides
the difference between the average demand and peak demand in each tier or class. For example,
if a customer used 10.0 CCF per month on average and in the peak month 15.0 CCF was used, the
peak factor would be 1.50 (15.0 / 10.0 = 1.50). In this example, the peak factor is stating that the
F)' Development of the Cost of Service Analysis 34
Truckee Donner PUD — Comprehensive Water Rate Study
Page 41 of 312
maximum demand in a month is 1.50 times higher than the average demand per month. Using
this same calculation for each customer class and tier, the capacity distribution factors can be
developed. Shown below in Table 4-4 is a summary of the capacity distribution factors for each
customer class and tier.
Average
Peak
Distri FY 2026 Unit Cost
Demand
Peak Demand
% of C umption ($/1,000
(MGD) Factors
(MGD)
Total C is gal) gallons)
Residential
Tier 1 1.53
1.47 2.25
$23 07 446,5 $0.53
Tier 2 0.89
3.21 2.85
00 95 259,657 1.15
Residential Total 2.42
2.11 5.10
6 . 5,701 706,250 $0.76
Commercial 1.14
1.94
30.2% 1698 332,468 0.70
Total 3.56
2.06
0% 99 1,038,718 $0.74
Table 4 — 4 above shows the de
ment o
city dis ibution factors. Similar to that of
the commodity cost distrib
e resi
I tiers and commercial class of service, the
capacity -related costs ar ribute
the sa
roportional manner. For example, 30.8% of
the capacity costs are ibuted
to r 1 reside
customers based on the relationship of the
tier 1 residential peak d t
eak demand, which results in the distribution
to residential tier 1 of $2
e distributed costs are then divided through by the FY 2026
consumption the
costs for each
tier or class (e.g., $236,407 - 446,593 1,000
gallons = 1,000 s),
ecomes the capacity component of the proposed rates for
FY 202
Combinin ommodity capacity unit costs results in the basis of the tiered and uniform
rates. The su y of t Iculation is provided in Table 4 — 5 where the costs from Table 4 —
3 column D and column G are summed to calculate the cost based and proportional
consumption charg r the residential tiers and commercial uniform rate.
F)' Development of the Cost of Service Analysis 35
Truckee Donner PUD — Comprehensive Water Rate Study
Page 42 of 312
Commodity Capacity Total Unit
Costs Costs Other Costs Cost
($/1,000 gal) ($/1,000 gal) ($/1,000 gal) ($/1,000 gal)
Residential
Tier 1
$1.22
$0.53
$0.00
$1.75
Tier 2
$1.22
$1.15
Total Residential
$1.22
$0.76
$1.98
Commercial
1.22
$0.70
0.00
1.92
Total
$1.22
$0.74
$0.00
96
The results shown in Table 4— 5 above are the basis f Di 's consumption pricing for the
proposed residential tiers and commercial uniform rat analysis and costs shown above
have been developed to comply with the rent legal decis elated to developing cost -based
water rates.
The final unit cost development is for the cu er which are used to establish the
monthly fixed meter charge w aries by ze. An exercise similar to the consumption
components calculation wa and as suit, the total customer related costs plus fire
protection related costs divid y the n er of equivalent meters on the system. An
equivalent meter uses capacity of a 1 -in eter to the larger meter sizes to determine
the pricing for each me e. In r charge reflects the proportion of fixed costs
on the system based on t ity deman e customer can place on the system given the
size of them ide ble 4 — 6 is a summary of the fixed meter charge unit cost
developm
Units
Total customel'Tosts
# of Equiv. Meters
Unit Cost ($ / equivalent meter)
F) I Development of the Cost of Service Analysis
Truckee Donner PUD — Comprehensive Water Rate Study
$18,419,546
14,147
$108.50 (3/4" Meter)
36
Page 43 of 312
4.11 Summary Results of the Cost of Service Analysis
In summary form, the cost of service analysis began by functionalizing the District's revenue
requirement. The functionalized revenue requirement was then allocated to the appropriate cost
component(s). The individual allocated totals were then distributed proportionally to the
customer classes of service based on the appropriate distribution factors. The distributed
expenses for each customer class were then aggregated to determine each customer class's
overall revenue responsibility (i.e., cost to provide service). Provided below in Table 4 — 7 is the
summarized results of the District's water cost of service analysis.
Present Revenues Distribut $
Class of Service (FY 2026) Co Difference ifferi
Residential
$17,240
387 ($1,147)
6.7%
Commercial
1,964
68 (104)
5.3%
Pump Zones
966
60
6.2%
Total
$20,1
$21,4 ($1,311)
6.5%
The results of the cost of service analysis i ate t ost'iifferences exist between the
customer classes of service. It is important t d nd cost of service analysis is based
on one year's O&M expense projec tomer usage information. The cost to serve
customers is a dynamic fu an cost of ice analysis can be impacted by a number of
variables such as budge cture c ges, or ange in consumption characteristics due to
weather, or changes i w the Di s co . Given this, the results of the cost of service
analysis may change fro r rict continues to monitor water rates and cost
of service results throug e studies, future cost of service adjustments will likely be
necessary to m a tomer characteristics at that time. More details regarding the
develop of the c ser nalysis for the District's water utility can be found in the
Techni ppendix in Ex 7 - 1
4.12 ColWtant's C�clusions and Recommendations
The cost of ser al roportionally distributed the revenue requirement to each customer
class and rate stru mponent based on their respective benefits received from and burdens
placed on the water stem (proportional distribution) based on the service requirements. While
minor cost differences exist, the overall distribution of costs appears to be reasonable and
reflects the impacts each customer class of service places on the system. Given the requirements
and limitations imposed by Article XIII D, Section 6, the results of the cost of service will be used
to establish the proposed rate designs for each of the District's water customer classes of service.
More specifically, the unit costs derived from the cost of service analysis are utilized as the basis
for the rate design for each customer class, which will be discussed in more detail in Section 5.
F)' Development of the Cost of Service Analysis 37
Truckee Donner PUD — Comprehensive Water Rate Study
Page 44 of 312
5 Development of the Proposed Rate Design
5.1 Introduction
The final step of the District's water rate study is the design of rates to collect the target levels of
revenues, based on the results of both the revenue requirement and cost of service analyses. In
reviewing the District's water rates, consideration was given to the level of the rates as well as
the structure of the rates. The level of the rates reflects the amount of revenue that should be
collected while the structure of the rates is how it is collected (charged) fdr customers.
The overall revenue level for the District was established in the
(Section 3) while the proportional distribution of costs to th
developed in the cost of service analysis (Section 4). These tw all
requirement analysis
tomer classes was
the basis for the
overall revenue needs of the District's water utility as we e revenue le o be collected
from each class of service based on cost causation and nit costs for each ra ponent.
5.2
Rate Design Criteria and Conside
Prudent rate administration dictates that several criterial
rates. Some of these rate design criteria acted below:
Rates which are easy to understani
Rates which are easy for the District
Consideration of the cu
Continuity over ti
Policy considerat
Provide reven�
Promote efficient
e considered when setting utility
economic development, etc.)
h and year to year
riminatory (cost -based)
It is i ant that the D •ct proide its water customers with a proper and accurate price
signal as hat their con ption and demand requirements are costing. This goal may be
approache ugh rate I and structure. When developing the proposed rate designs, all the
above listed c m taken into consideration. However, it should be noted that it is
difficult - if not i - to design a rate that meets all the goals and objectives listed above.
A good example oft is that it may be difficult to design a rate that takes into consideration the
customer's ability to pay while at the same time being cost -based. In designing rates, there are
always trade-offs between these various goals and objectives. A key element in the development
of the District's Study is meeting the requirements imposed by Proposition 218 while reflecting
the District's goals and objectives. This is accomplished through the review of customer and
system characteristics, District rate design goals and objectives, and designing the proposed rates
based on the average unit costs as developed in the cost of service analysis.
F) I Development of the Proposed Rate Design 38
Truckee Donner PUD — Comprehensive Water Rate Study
Page 45 of 312
5.3 Overview of the Proposed Rate Structures
In discussion with District staff, it was determined that the current residential and commercial
rate structures would be maintained. At this time, these rate structures reflect the District's rate
design goals and objectives, one notably being the revenue stability of the current rate structure.
Given the demographics and seasonality of the District's customers and service area, the fixed
and variable level of revenue was maintained as described and developed in the cost of service
analysis (Section 4).
5.4 Summary of the Present and Proposed Water
The proposed rates for the District's water utility were designed to
needs discussed in Section 3 and the cost of service results — in r
provided in Section 4. The proposed water rates have been d ve ped
service based on the development of the pricing through t st of s
5.4.1 Review of the Present and Proposed
The District's proposed residential rates maintain
consists of a monthly fixed charge by meter size and
charge. Provided below in Table 5 — 1 is a summary of
District's residential water customers. _
Rate Component
total system revenue
cost development -
customer class of
is.
II ter Rates V
to structure. This structure
increasing block consumption
sent and proposed rates for the
FY 2030
$139.58
139.58
166.48
$2.25
3.05
The proposed rates ir''Table 5-1 show that the fixed meter charges are based on the results of
the unit costs as developed in the cost of service and summarized in Table 4-6. The subsequent
meter sizes are adjusted by the AWWA 1" meter equivalencies. The AWWA meter equivalencies
reflect the relationship between larger meter size capacity and the fixed costs associated with
providing that level of capacity. Also shown in Table 5 — 1 are the proposed tiered commodity
F)'I Development of the Proposed Rate Design 39
Truckee Donner PUD — Comprehensive Water Rate Study
Page 46 of 312
charges (i.e., consumption rates) for FY Residential Bill Comparison 3/4" Meter
if
Y 2028 FY 2029 FY 2030
$123.06 $131.06 $139.58
$138.90 $147.94 $157.58
X160.42 $170.82 $181.98
5.4.2 Review of the Present and Proposed erc
Similar to the residential rate structure, the comm mon
size, but the consumption charge is a uniform rate. As
generally accepted rate structure for commercial cust
characteristics within the customer class. n the resu
the resulting unit costs, the proposed rat ercia
Table 5-2 provides a summary of the pres and p
1-
2"
3"
4"
6"
8"
122.89
172.75
237.50
397.58
568.87
853.30
1,066.62
Commodity Charge $/1,000 gal $1.86 $1.92 $2.04 $2.17 $2.31 $2.46
As noted, the commercial fixed meter charges and commodity charges (i.e., consumption rates)
are based on the unit costs developed in the cost of service analysis. These unit costs are shown
F)' Development of the Proposed Rate Design 40
Truckee Donner PUD — Comprehensive Water Rate Study
Page 47 of 312
in Tables 4 - 5 and 4 - 6. Similar to the residential rates, the commercial rates for FY 2026 were
based on the cost of service analysis results and the adjustments for FY 2027 through FY 2030
reflect the adjustments as developed in the revenue requirement analysis.
5.4.3 Review of the Present and Proposed Pump Zone Rates
The pump zone rates are based on the costs associated with pumping water to higher pressure
zones to provide service. The pump zone rates are in addition to the proposed residential and
commercial rates for customers in each zone. The pump zone rates are based on the costs
distributed in the cost of service analysis and total pumped consumption t Iculate the average
pumping cost. Provided in Table 5 - 3 is a summary of the present roposed pump zone
rates.
Present
Rate Component Rate FY 2026 027 028 FY 2029 FY 2030
$/ 1,000 gal
Zone 1 $0.00 00 $0.0 $0.00 $0.00 $0.00
Zone 2 1.03 1.16 1.24 1.32 1.41
Zone 3 2.04 .16 2.45 2.61 2.78
Zone 4 3.06 4 3.67 3.91 4.16
Zone 5 4.60 4.90 5.22 5.56
Zone 6 5. 5.75 6.12 6.52 6.94
Zone 7 6.12 6.4 6.90 7.35 7.83 8.34
5.5 Summar oft posed Ra eRevenues
The rates f er f service meet the results of the revenue requirement and
cost of s analyse . vide able 5 — 4 is a summary of the revenue targets based on
the re e requirement cost o ervice analyses for the FY 2026 proposed rate adjustments.
Cost of
Present
Service
Target
Proposed
$
Class of Service
Revenues
Adjustment
Revenues
Revenues
Difference
Residential
$17,144
$18,387
$18,387
$18,400
$13
Commercial
1,958
2,068
2,068
2,055
(13)
Pump Zone
966
1,026
1,026
1,023
(3)
Water System Total
$20,068
$21,481
$21,481
$21,477
($4)
Development of the Proposed Rate Design
41
F)'
Truckee Donner
PUD — Comprehensive Water Rate Study
Page 48 of 312
The above table is provided to further demonstrate that the District's rates are cost -based and
proportional and meet the requirements of Proposition 218. As can be seen, the proposed
revenues closely reflect the proportional distribution of costs to the customer classes of service.
A more detailed analysis of the projection of the proposed revenues and rate designs are included
within the Technical Appendix of this report.
Water Rate Study Recommendations
Based on the results of the District's water rate study, HDR recommends the following:
Rate revenues for the District's water utility should b
through FY 2030
The proposed rates should be implemented to reflect ea
distribution of costs as outlined in the cost of service an!
The rates are proposed to be implemented and eff
Prior to the implementation of the fifth and fin
should complete a review of the water rates
Summary of the Water Rate Study
This completes the analysis for the Trucke
has provided a comprehensive review anc�
Adoption of the proposed water rates will
water system financial obligations for the ti
growth, capital improvement d pro
assumptions change, the se e e
current conditions.
nnually in FY 2026
class's proportional
posed rate adjust
ary 1
he District
er Public Ut istrict's water utility. This Study
Pt of pro water rates for the District.
th o m their current and projected
vi ased on the assumed customer
ases in operating expenses. Should these
may also need to be revised to reflect
F) I Development of the Proposed Rate Design
Truckee Donner PUD — Comprehensive Water Rate Study
42
Page 49 of 312
I. Technical Appendix A — Water Technical Analysis
Page 50 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement Summary
(Values in $1,000s)
Revenue
Rate Revenue at Current Rates
Miscellaneous Revenue
Total Revenue
Expenditures
Board of Directors
General Manager
Administrative Services
Conservation
Water Operations
IT/GIS
Interdepartmental Rent
Additional Expenditures
Total Expenditures
Rate Funded Capital
Net Debt Service
Transfers
Balance/(Deficiency) of Funds
Rate Adj. as a % of Rate Rev
Rate Revenue After Adjustment
Debt Service Coverage Ratio
Before Rate Adjustment
After Rate /
Average Mor
$ Change PE
Cumulative
Ending Resen
Low Interest I
Funding Avail
FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 FY 2031 F FY 2033 FY 2034 FY 2035
$20,068 $20,170 $20,246 $20,322 $20,399 $20,477 $20, 638 $20,720 $20,802 $20,886
680 683 654 639 621 627 7 723 772 828
$274
$282
$293
$305
$317
$343
$357 71
$386
$401
1,761
1,840
1,913
1,990
2,069
2,238
2,328
2,518
2,619
1,796
1,882
1,957
2,035
2,117
01
2,289
2,381
2,575
2,678
153
161
168
174
18
189
196
204
221
230
8,060
8,443
8,771
9,111
9,
9,832
10,610
11,02
11,450
11,895
1,072
1,115
1,160
1,206
1,305
1,411
1,468
1,526
1,587
608
643
669
696
752
82
814
846
880
915
0
0
0
0
0
0
0
0
0
13,723
14,366
14,931
15,518
16,127
17,420
18,105
18,817
19,557
20,325
$5,000
$7,000
$7,250
350
$7,450
$ ,
$7,800
$8,050
$8,300
$8,550
$8,800
$1,532
$1,526
$1,530
481
$2,486
89
$2,486
$2,490
$2,485
$1,911
$327
$376
$432
7
27
3
$559
$576
$593
$611
$166
3.53
1551) ($6,221) ($7,036) ($7,865) ($8,740) ($9,611) ($9,934)
27.2% 30.4% 34.2% 38.1% 42.2% 46.2% 47.6%
$21,481 W,243 $28,055 $29,151 $30,290 $31,475 $32,706 $33,987
3.00 1.85
4.37 3.28
�*24..46 $132.55
0 8.09
3 22.82
$11,573 $10,485
$0 $0
$8,809 $8,669
1.66
3.65
$141.16
8.62
31.43
$10,560
$0
$8,606
1.48
4.05
$150.34
9.18
40.61
$11,299
$0
$9,147
1.29 1.10
4.20 4.38
$155.60 $161.05
5.26 5.45
45.87 51.32
$13,458 $15,577
$0 $0
$8,220 $8,795
0.89
4.53
$166.68
5.64
56.95
$18,863
$0
$8,146
0.69 0.63
4.73 6.53
$172.52 $178.56
5.83 6.04
62.79 68.83
$22,326 $27,571
$0 $9
$8,539 $7,984
09/09/2025 Page 1 of 36
Page 51 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 1- Escalation Factors
Revenues
Customer Growth
Consumer Price Index
Standby Fees
Misc. Revenue
Consumption Growth
Flat
Expenses
Salaries & Benefits
Repairs & Maintenance
Worker's Compensation
OPEB
Materials & Supplies
Equipment
Miscellaneous
Operations & Maintenance
Professional Services
Rent
Purchased Power
Flat
One-time
Flat
Capital O&M
Investment Interest
New Long -Term Debt Assumptions
Revenue Bond
Rate
Term
Low Interest Loan
Rate
Term
0.6% 0.6%
4.0% 4.0%
-1.0% -1.0%
0.6% 0.6%
0.0% -1.0%
0.0% 0.0%
5.5% 4.0%
3.5% 4.0%
3.5% 4.0%
5.0% 4.0%
3.0% 4.0%
3.5% 4.0%
3.0% 4.0%
5.1% 4.0%
3.5% 4.0%
5.9% 4.0%
3.5% 3.5%
0.0% 0.0%
-100.0% -100.0%
0.0% 0.0%
2.0% 2.0%
2.5% 2.5%
0.6%
0.6%
4.0%
4.0%
.0%
-1.0%
-1.0%
0.6%
0.6%
0.6%
0%
-1.0%
-1.0%
0.0%
0.0%
4.0
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
3.5%
3.5%
3.5%
0.0%
0.0%
0.0%
-100.0%
-100.0%
-100.0%
0.0%
0.0%
0.0%
2.0%
2.0%
2.0%
2.5%
2.5%
2.5%
5.0%
20
3.0%
20
5.0%
20
3.0%
20
0.6%
4.0%
-1.0%
0.6%
-1.0%
0.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
3.5%
0.0%
-100.0%
0.0%
2.0%
2.5%
5.0%
20
3.0%
20
09/09/2025 Page 2 of 36
Page 52 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 2- Revenues & Expenses
Revenues
Rate Revenues
Residential
Commercial
Pump Zone Charges
Total Rate Revenues
Other Revenues
Misc Operating Revenue
Non -Potable
Misc Rents
Standby Revenue
Interest Income
Total Other Revenues
$17,143,569 $17,240,005 $17,325,496 $17,411,097
1,957,826 1,963,847 1,963,683 1,963, 582
966,118 966,118 956,459 946,899
---------------- ---------------- ---------------- ---------------
$20,067,513 $20,169,969 $20,245,638 $20,321,578
$185,500 $185,500 $185,500 $185,500
164,031 164,031 162,965 161,909
66,200 66,597 66,997 67,399
91,200 90,288 89,385 88,491
173,557 176,641 149,043 135,901
------------------ -------------- -------------
$680,488 $683,057 $653,890 $639,201
$17,498,044
1,963,541
937,432
---------------
$20,399,016
$185,500
160,865
67,803
87,606
119,213
$620,987
$17,585,099
1,963,561
928,062
----------------
$20,476,722
$185,500
159,830
68,210
86,73
126,
$17,674,732 $17,76
1,963,640 1
918,786 06
---------------- ---------
$20,557,157 855
$ $18,
15 06 157,7
68,619 69,031
85,863 85,004
160,471 199,421
-------------- ------
$659,260 $696,748
V $17,855,547
1,963,978
900,510
----------------
$20,720,035
$185,500
156,788
9,445
54
$72
$17,946,728
1,964,234
891,510
---------------
$20,802,472
$185,500
155,794
69,862
83,313
277,428
' $771,897
Page 1 of 6
Notes
$18,039,247 Calc'd in Cust Data Tab
1,964,548 Calc'd in Cust Data Tab
882,595 Calc'd in Cust Data Tab
----------------
$20,886,390
$185,500 As Flat
154,811 Calcd in Cust Data Tab
70,281 As Misc. Revenue
82,480 As Standby Fees
334,743
$827,815
09/09/2025 Page 3 of 36
Page 53 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 2- Revenues & Expenses
Budget
FY 2025
FY 2026
FY 2027
FY 2028
FY 2029
Projected
FY 2030 FY 2031
FY 2032
FY 2033
FY 2034
FY 2035
Page 2 of 6
Notes
Expenses
Board of Directors
$273,673
$281,883
$293,159
$304,885
$317,080
$329,763
$342,954
$356,6
$370,939
$385,777
$401,208
As Miscellaneous
General Manager
Admin & Ops General Exp
$746,916
$787,996
$819,516
$852,297
$886,389
$921,844
$958,718
67
$1,036,949
$1,078,427
$1,121,565
As Salaries & Benefits
Public Information
151,842
160,193
166,601
173,265
180,196
187,404
194,900
2,696
210,803
219,236
228,005
As Salaries & Benefits
Legislature & Regulations
86,231
90,974
94,613
98,397
102,333
106,426
110,68
11
119,715
124,504
129,484
As Salaries & Benefits
Office Supplies & Expenses
105,050
108,202
112,530
117,031
121,712
126,580
131,
142,386
148,081
154,004
As Materials & Supplies
Outside Service Employed
167,580
173,445
180,383
187,598
195,102
202,906
2
2
228,242
237,372
246,867
As Professional Services
Injuries & Damages
424,179
436,904
454,381
472,556
491,458
511,116
552,
574,936
597,934
621,851
As Miscellaneous
General Advertising
79,645
82,034
85,316
88,728
92,277
95,969
99, 07
103,80
07,952
112,270
116,760
As Miscellaneous
Misc General Expense
0
0
0
0
0
0
0
0
0
0
0
As Miscellaneous
Total General Manager
----------------
$1,761,443
----------------
$1,839,749
----------------
$1,913,339
----------------
$1,989,872
----------------
$2,069,467
--------------
$2,152,
--------------
$2,238,336
----------------
$2,327,869
----
$
----------------
$2,517,823
----------------
$2,618,536
Administrative Services
Customer Accounts Supervision
$179,053
$188,901
$196,457
$204,315
$212,488
, 87
$229,8
$239,020
$248,58
$258,524
$268,865
As Salaries & Benefits
Meter Reading Expenses
1,133
1,195
1,243
1,293
1,345
1,398
1,512
1,573
1,636
1,701
As Salaries & Benefits
Customer Records & Collections
622,857
657,114
683,399
710,735
739,164
31
831,459
864,717
899,306
935,278
As Salaries & Benefits
Cyst Rec&Coll Meter Reader
0
0
0
0
0
0
0
0
0
0
As Salaries & Benefits
Provision for Bad Debts
7,725
7,957
8,275
8,606
8,950
,681
10,068
10,471
10,889
11,325
As Miscellaneous
Admin and General Expenses
593,672
623,356
648,290
674,221
701,190
729,
758,407
788,744
820,293
853,105
887,229
As OPEB
Office Supplies & Expenses
90,482
93,196
96,924
100,801
104,833
109,02
13,388
117,923
122,640
127,546
132,648
As Materials & Supplies
Outside Services Employed
42,661
44,154
45,920
47,757
49,667
51,654
720
55,869
58,104
60,428
62,845
As Professional Services
Insurance Expense
226,375
233,166
242,493
252,1
0
272,772
2
295,030
306,831
319,104
331,868
As Miscellaneous
Injuries & Damages
31,708
32,659
33,966
35,32
38,207
41,324
42,977
44,696
46,484
As Miscellaneous
TotalAdministrativeServices
---------------
$1,795,666
----------------
$1,881,699
----------------
$1,956,967
---------------
$2,035,245
-------
116,65
---------
----
$2,289,
---------
$2,380,949
----------------
$2,476,187
----------------
$2,575,235
----------------
$2,678,244
Conservation
Water Conservation
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
As Salaries & Benefits
PBD: Residential
90,934
95,935
99
103,764
112,231
116,720
121,389
126,244
131,294
136,546
As Salaries & Benefits
PBC: Commercial
46,442
48,996
52,994
57,319
59,612
61,996
64,476
67,055
69,737
As Salaries & Benefits
PBC: Education & Outreach
7,416
7,824
8,462
9,153
9,519
9,900
10,296
10,708
11,136
As Salaries & Benefits
Admin & Ops General
2,954
3,116
3,241
371
3,646
3,792
3,943
4,101
4,265
4,436
As Salaries & Benefits
Office Supplies & Expenses
4,924
5,07
5,275
486
5,933
6,171
6,417
6,674
6,941
7,219
As Materials & Supplies
IT/GIS
0
0
0
0
0
0
0
0
0
As Salaries & Benefits
Injuries & Damages
304
326
339
3
366
381
396
412
429
446
As Miscellaneous
General Advertising
0
0
0
0
0
0
0
0
As Miscellaneous
Misc General Expense
0
0
0
0
0
0
0
As Miscellaneous
Total Conservation
----------------
$152,974
---------
$161,2
-----
1
----------
$174,415
--
92
----------------
$188,648
----------------
$196,194
----------------
$204,041
----------------
$212,203
----------------
$220,691
----------------
$229,519
09/09/2025 Page 4 of 36
Page 54 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 2- Revenues & Expenses
Page 3 of 6
FY 2025
FY 2026
FY 2027
FY 2028
FY 2029
FY 2030
FY 2031
FY 2032
FY 2033
FY 2034
FY 2035
Notes
Water Operations
Ops Supervision & Engineering
$675,405
$712,552
$741,054
$770,697
$801,524
$833,585
$866,929
$901,6
$937,670
$975,177
$1,014,184
As Salaries & Benefits
Construction Engineering
0
0
0
0
0
0
0
0
0
0
As Salaries & Benefits
Facilites Operations
1,799,877
1,898,870
1,974,825
2,053,818
2,135,971
2,221,410
2,310,266
2
2,498,784
2,598,735
2,702,684
As Salaries & Benefits
Power Supply
1,954,542
2,022,951
2,093,754
2,167,036
2,242,882
2,321,383
2,402,631
23
2,573,759
2,663,840
2,757,075
As Purchased Power
Distribution Operations
2,321,358
2,449,033
2,546,994
2,648,874
2,754,829
2,865,022
2,979,623
8,808
3,222,760
3,351,670
3,485,737
As Salaries & Benefits
Meters/Services Operations
475,809
501,978
522,058
542,940
564,658
587,244
610,73
63
660,569
686,992
714,472
As Salaries & Benefits
Misc. General Expense
712,809
734,193
763,561
794,103
825,868
858,902
893,
966,148
1,004,794
1,044,986
As Miscellaneous
Injuries & Damages
120,096
123,699
128,647
133,793
139,144
144,710
1
1
162,779
169,290
176,062
As Miscellaneous
TotalWaterOperations
----------
$8,059,896
----------------
$8,443,277
------------
$8,770,893
--------
$9,111,260
---------
$9,464,875
------------
$9,832,256
--- -
$ 0,21 9
-- ---
$10,610,4
--------
,022,469
----------
$11,450,499
-
$11,895,200
IT/GIS
Engineering/SCADA Ops
$174,458
$184,053
$191,415
$199,072
$207,035
$215,3
$223,929
$232,886
$251,889
$261,965
As Salaries & Benefits
Misc General Expense
121,673
128,365
133,500
138,840
144,393
15
156,176
162,423
175,676
182,703
As Salaries & Benefits
Meter Reading
55,613
57,281
59,573
61,956
64,434
69,692
72,479
7 ,
78,394
81,529
As Miscellaneous
Customer Records
135,593
143,051
148,773
154,724
160,912
49
174,0
181,005
188,2
195,775
203,606
As Salaries & Benefits
Administrative & General IT Ops
515,612
531,080
552,324
574,417
597,393
1,289
64
671,986
698,866
726,820
755,893
As Miscellaneous
Office Supplies & Expenses
20,765
21,388
22,243
23,133
24,059
21
27,063
28,145
29,271
30,442
As Materials & Supplies
Outside Services Employed
25,750
26,651
27,717
28,826
29,979
5
33,722
35,071
36,474
37,933
As Professional Services
Injuries & Damages
22,784
23,468
24,406
25,382
26,398
,552
29,694
30,882
32,117
33,402
As Miscellaneous
TotallT/GIS
----------------
$1,072,248
----------------
$1,115,337
----------------
$1,159,951
------------
$1,206,349
----------------
$1,254,603
-------
$1,304,7
------
,356,978
----------------
$1,411,257
----------------
$1,467,708
----------------
$1,526,416
---------------
-
$1,587,473
Interdepartmental Rent
$607,500
$643,090
$668,814
$695,56
3,389
$752,324
417
$813,714
$846,262
$880,113
$915,317
As Rent
Total Expenses
$13,723,400
$14,366,292
$14,930,829
$15,517,59
6,
761,346
$17,
$18,104,987
$18,816,753
$19,556,554
$20,325,497
Additional Expenditures
$0
$0
$0
$0
$0
$0
$0
$0
$0
Total Operations & Maintenance Expense
$13,723,400
$14,366,292
$14,930,829
$15,517,593
$ 462
61,346
,193
$18,104,987
$18,816,753
$19,556,554
$20,325,497
4.7%
3.
3.9%
9°
3.9%
3.9%
3.9%
3.9%
3.9%
3.9%
Rate Funded Capital
$5,000,000
$7,000,000
$7
350,000
$7,
$7,550,000
$7,800,000
$8,050,000
$8,300,000
$8,550,000
$8,800,000
FY 2023 Dep. Exp. _ $4,826,705
40.0%
1.4%
1.3%
3.3%
3.2%
3.1%
3.0%
2.9%
Debt Service
Pipeline COP Rates
$576,529
$573,1
575,581
322
$57
$575,893
$574,705
$573,333
$575,711
$574,484
$0
Financial Plan
Pipeline COP FF
360,884
359
359,806
474
360,
359,147
359,524
357,313
359,424
359,309
306,800
Financial Plan
Pipeline COP Assmt
97,925
97,150
9,142
100,4
97,360
98,421
100,104
101,490
97,207
0
Financial Plan
2022 Water COP
955,250
954,250
950,50
950,250
954,250
952,250
954,500
950,750
951,250
Utility Building Debt
0
960,000
960,000
960,000
960,000
960,000
960,000
New Low Interest Loan
0
0
0
0
0
0
0
0
Calculated @ 2.98% for 20 yrs
New Revenue Bond
0
0
0
0
0
0
0
0
0
Calculated @ 4.98% for 20 yrs
Total Debt Service
--------------
$1,990
--------------
984,437
----
87
--------------
$2,947,188
--------------
$2,941,600
--------------
$2,942,650
--------------
$2,946,900
--------------
$2,943,000
--------------
$2,951,125
--------------
$2,941,750
--------------
$2,218,050
.3%
48.3%
-0.2%
0.0%
0.1%
-0.1%
0.3%
-0.3%
-24.6%
Less Debt Service Transfers
Transfer in from DLAD Surcharge for 2006 COP debt pmt
,925
$97,
$99,142
$100,444
$97,360
$98,421
$100,104
$101,490
$97,207
$0
Transfer in from FF Reserve
360,884
359,
359,80
359,------
58,474
8,474
360,101
359,147
359,524
357,313
359,424
359,309
306,800
306,800
Total Debt Service Transfers
-------,884-
$458,809
-
$458,74
456,956
$457,616
$460,545
$456,507
$457,945
$457,417
$460,914
$456,516
$306,800
Net Debt Service
31,779
$1,525,696
29,831
$2,489,572
$2,481,055
$2,486,143
$2,488,955
$2,485,583
$2,490,211
$2,485,234
$1,911,250
09/09/2025
Page 5 of 36
Page 55 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 2- Revenues & Expenses
Transfers
In
Transfer in from employee and overhead for sidefund debt
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Transfer in from Vehicle Reserve (on CIP Calculation)
0
0
0
0
0
0
0
0
0
0
Transfer from Operating Reserve Fund
0
0
0
0
0
0
0
0
0
0
0
Out
Debt Service Payments
$0
$0
$0
$0
$0
$0
$0
$0
$0
Transfer to Vehicle Reserve
327,000
376,000
432,000
497,000
512,000
527,000
5
5
576,000
593,280
611,078
Transfer to Operating Reserve Fund
0
0
0
0
0
0
0
0
0
Total Transfers
$327,000
$376,000
$432,000
$497,000
$512,000
$527,000
3,000
$559,000
6,000
$593,280
$611,078
Total Revenue Requirement
$20,582,179
$23,267,988
$24,142,660
$25,854,165
$26,570,517
$27,324,
8,252,148
$29,199,570
3
31,185,068
$31,647,826
13.0%
3.8%
7.1%
2.8%
3.4%
3.4%
3.3%
1.5%
Balance / (Deficiency) of Funds
$165,822
($2,414,962)
($3,243,133)
($4,893,386)
($5,550,513)
($ )
($7,035,730
($7,864,967)
($8,739,
($9,610,699)
($9,933,621)
Cumulative Rate Adjust. as a % of Rate Rev
-0.8%
12.0%
16.0%
24.1%
27.2%
0.4%
38.1%
42.2%
46.2%
47.6%
Proposed Rate Adjustment
0.0%
6.5%
6.5%
6.5%
6.5%
.5%
3.5%
3.5%
3.5%
3.5%
Addt'l Rev from Proposed Adj.
$0
$1,311,048
$2,717,471
$4,225,865
$5,843,632
$7,578,
, 93,708
$9,651,728
$10,754,518
$11,903,299
$13,100,636
Net Bal/(Def) of Funds After Rate Adj.
$165,822
($1,103,914)
($525,662)
($667,522
293,119
$1,357,206
7,977
$1,786,762
$2,014,542
$2,292,600
$3,167,015
Additional Rate Increase Needed
-0.8%
5.5%
2.6%
3.
-6.6%
-8.7%
-9.7%
-11.0%
-15.2%
Debt Service Coverage Ratio
Before Rate Adjustment
3.53
3.27
3.00
1.85
1.66
1.29
1.10
0.89
0.69
0.63
After Rate Adjustment
3.53
3.93
4.37
3.28
3.65
4.
.20
4.38
4.53
4.73
6.53
Average Monthly Residential Bill (3/4" meter + 5,000 gal)
$109.73
$116.86
$ $132.55
$150.34
$155.60
$161.05
$166.68
$172.52
$178.56
$ Change Per Month
7.13
8.09
9.18
5.26
5.45
5.64
5.83
6.04
Cumulative $ Change per Month
7.13
22.82
40.61
45.87
51.32
56.95
62.79
68.83
Page 4 of 6
Notes
09/09/2025 Page 6 of 36
Page 56 of 312
Truckee Donner PUD
Water Utility
Page 5 of 6
Revenue Requirement
Exhibit 2- Revenues & Expenses
Budget I
Projected
F82025
FY 2026
FY 2027
FY 2028
FY 2029
FY 2030
FY 2031
FY 2032
FY 2033
FY 2034
FY 2035 Notes
Cash Reserves
Operating Cash Fund
Beginning Balance
$6,942,281
$7,065,629
$5,961,715
$5,436,053
$4,768,532
$5,061,651
$6,418,857
$9,082,596
$11,097,137
$13,389,737
Plus: Additions
165,822
0
0
0
293,119
1,357,206
1,557,977
1
2,014,542
2,292,600
3,167,015
Less: Uses of Funds
(42,474)
(1,103,914)
(525,662)
(667,522)
0
0
0
00)
0
0
0
Ending Balance
$7,065,629
$5,961,715
$5,436,053
$4,768,532
$5,061,651
$6,418,857
$7,976,834
,596
$11,097,137
$13,389,737
$16,556,752
Target Balance Days O&M+DS Payments)
$4,246,489
$4,346,019
$4,441,170
$5,498,025
$5,592,690
$5,697,940
$5,810,493
2
$6,044,290
$6,156,526
$5,559,228
Or180Days ofO&M
$6,861,700
$7,183,146
$7,465,414
$7,758,797
$8,063,731
$8,380,673
$8,710,
$,
$9,408,377
$9,778,277
$10,162,749
Operating Reserve Fund
Beginning Balance
$0
$0
$0
$0
$0
$0
$0
$
$0
$0
$0
Plus: Additions
0
0
0
0
0
0
0
0
0
0
0
Less: Uses of Funds
0
0
0
0
0
0
0
0
0
0
Plus: Loan Proceeds
0
0
0
0
0
0
0
0
0
0
Plus: Bond Proceeds
0
0
0
0
0
0
0
0
0
0
Less: Uses of Funds
0
(1,838,000)
(940,302)
(1,017,000)
(620,428)
(963,0
0
0
0
0
0
Ending Balance
$5,700,000
$3,862,000
$2,921,698
$1,904,698
1,284,270
$321,270
2,964
$532,964
$1,476,798
$2,401,798
$3,920,817
Target Balance: Average Annual Capital lmprov.
$8,266,059
$8,489,000
$8,718,000
$8953,00
00
$9,443,000
0
$9,960,000
$10,229,000
$10,505,000
$10,789,000 2.7%/Yr. Growth
Vehicle Reserve Fund
Beginning Balance
$728,607
$475,000
$254,149
$699,872
912,347
$1,372,
$1,871,511
$2,414,178
$2,759,094
$2,486,921
Plus: Additions
327,000
376,000
432,000
497,000
12,000
543,00
559,000
576,000
593,280
611,078
Plus:lnterest
9,314
4,983
13,723
17,889
8,487
,696
47,337
54,100
48,763
61,960
Less: Uses of Funds
(589,920)
(601,835)
0
(302,414)
0
633,562)
1,076)
(63,670)
(285,184)
(914,216)
0
Ending Balance
$475,000
$254,149
$69
$912,347
$
1,372,891
$1,871,511
$2,414,178
$2,759,094
$2,486,921
$3,159,960
Target Balance: (?)
Deferred Liability Reserve
Beginning Balance
$343,569
$350,
$357,449
,598
$371,
$379,328
$386,914
$394,653
$402,546
$410,597
$418,809
Plus: Additions
0
0
0
0
0
0
0
0
0
Plus:lnterest
6,871
7,149
7,292
7,43
7,587
7,738
7,893
8,051
8,212
8,376
Less: Uses of Funds
0
0
0
0
0
0
0
0
09/09/2025 Page 7 of 36
Page 57 of 312
Truckee Donner PUD
Water Utility
Page 6 of 6
Revenue Requirement
Exhibit 2- Revenues & Expenses
Budget
Projected
FY 2025
FY 2026
FY 2027
FY 2028
FY 2029
FY 2030 FY 2031
FY 2032 FY 2033
FY 2034
FY 2035 Notes
Facility Fee Reserve
Beginning Balance
$1,906,534
$1,831,563
$2,012,009
$1,579,476
$1,786,022
$1,465,076 $1,701,287
$1,397, $1,668,881
$1,446,995
$1,754,080
Plus: Additions
250,000
500,000
515,000
530,000
546,000
562,000 579,000
59 614,000
632,000
651,000
Plus:lnterest
35,913
39,451
30,970
35,020
28,727
33,359 27,401
28,372
34,394
27,905
Less: Uses of Funds
(360.8841
(359.0051
1978.5041
(358.4741
1895.6731
(359.1471 1910.2181
131 1864.2581
(359.3091
11.009.8191
Connection Fee Reserve
Beginning Balance
$88,057
$244,348
$405,311
$571,053
$741,686
$917,325
$1,0
$1,284,
1,475,441
$1,672,283
$1,874,736
Plus: Additions
151,500
153,015
154,545
156,091
157,652
159,228
160,820
162,42
64,053
165,693
167,350
Plus:lnterest
4,791
7,947
11,197
14,543
17,987
21,531
25,178
28,930
790
36,760
40,842
Less: Uses of Funds
0
0
0
0
0
0
0
0
0
0
Ending Balance
$244,348
$405,311
$571,053
$741,686
$917,325
$1,09
$1,284,082
$1,475,441
$1,
$1,874,736
$2,082,928
Debt Service Reserve (Restricted)
Beginning Balance
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Plus: Additions
0
0
0
0
0
0
0
0
0
0
Plus:lnterest
0
0
0
0
0
0
0
0
0
0
Less: Uses of Funds
0
0
0
0
0
0
0
0
0
0
Ending Balance
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Total Reserve Funds
Beginning
$14,365,986
$15,666,982
$12,852,633
$11,572,75
10,560,483
$1 ,
$13,457,515
$15,576,606
$18,862,905
$22,326,082
Ending
$15,666,982
$12,852,633
$11,572,750
$10,485,175
,5 ,
304
$13,4
$15,576,606
$18,862,905
$22,326,082
$27,570,809
09/09/2025 Page 8 of 36
Page 58 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 3 - Capital Improvement Plan
Annual CIP
Pipeline Rehabilitation
Tank Rehabilitation
New Pump Station
Pipeline Replacement
New Well
New Tank
Well Rehabilitation
Pump Station Replacement
Tank Replacement
Water SCADA
Facilities
Contingency
Capital Improvement Plan Update
Information Technology Projects
Vehicle Reserves Expenditures
Meter MTUs
Additional Capital Projects
Total Annual CIP
Transfer to Capital Reserve
FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 FY 2031
32 FY 2033 FY 2034 FY 2035 Notes
$0 $2,324,750 $0 $0 $0 $0 $0 $0 $0 $0
0 813,756 454,082 426,542 0 1,305,790 0 1,122,298 0 0
0 0 0 0 0 0 0 0 0 0
0 0 2,852,871 2,989,098 0 3,300,731 0 302 0 4,001,628 0
0 0 1,237,396 0 0 0 0 0 1,009,668 0 0
0 0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0 0
0 4,669,219 3,439,365 2,410,942 2,430,337 65 1,726,337 2,973,30 4,428 2,513,450 0
0 0 0 1,756,847 5,355,724 0 5,506,943 1,266,714 0 0 7,030,191
0 120,000 124,000 128,000 132,0 136,000 000 144,000 48,000 152,000 157,000
0 120,000 124,000 128,000 132 136,000 ,000 144,000 148,000 152,000 157,000
0 50,275 52,286 53,571 54,9 57,17 58,720 59,678 60,606 61,922 63,809
0 0 0 0 100,000 0 0 115,000 0 0
615,300 540,000 319,000 262,000 183,000 335,000 266,000 187,000 491,000 315,000
589,920 601,835 0 302,414 0 81,076 63,670 285,184 914,216 0
0 200,000 206,000 2 218,000 225, 232,000 239,000 246,000 253,000 261,000
3,084,111 0 0 0 0 0 0 0 0
$4,289,331 $9,439,835 $8,809,000 $8,66$ 146,862 076 $8,794,670 $8,146,184 $8,539,216 $7,984,000
$1,343,063 $0 $0 $211,694 $0 $943,834 $925,000 $1,519,019
Total Capital Improvement Projects
$5,632,394
$9,439,835
$8,669,414
00
$9,146,862
$8,431,770
$8,794,670
$9,090,018
$9,464,216
$9,503,019
Less: Outside Funding Sources
Operating Cash Fund
$42,474
$0
$0
$0
$0
$0
$681,000
$0
$0
$0
Operating Reserve Fund
0
0
0
0
0
0
0
0
0
0
Capital Improvement Reserve
0
000
940
0
8
963,000
0
0
0
0
0
Connection Fees
0
0
0
0
0
0
0
0
Vehicle Fund
589,920
60
0
302,
0
633,862
81,076
63,670
285,184
914,216
0
Facility Fee Reserve
0
8,698
0
535,572
0
550,694
0
504,834
0
703,019
Assumed Debt Issuance / Proceeds
0
0
0
0
0
0
0
0
0
0
Low Interest Loans
0
0
0
0
0
0
0
0
0
0
Revenue Bonds
0
0
0
0
0
0
0
0
0
0
Total Funding Sources
-------------
$632,394
---- -
$2,43
-------
$1,559,
---------------
1,319,414
---------------
$1,156,000
---------------
$1,596,862
---------------
$631,770
---------------
$744,670
---------------
$790,018
---------------
$914,216
---------------
$703,019
Rate Funded Capital
5,000,000
$7,000,07,2s0,000
$7,350,000
$7,450,000
$7,550,000
$7,800,000
$8,050,000
$8,300,000
$8,550,000
$8,800,000
09/09/2025 Page 9 of 36
Page 59 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 4 - Debt Service
Utility
Pipeline COP Pipeline COP Pipeline COP 2022 Water
Buildini
Rates FF Assmt COP Da&
Payment Fiscal
Date Year P&I P&I P&I P&I
o1M
P&I
2024
$573,008
$359,233
$100,297
$952,25
$1,984,788
2025
576,529
360,884
97,925
955,250
1,990,588
2026
573,196
359,005
99,736
952,500
0
1,984,437
2027
575,581
359,806
97,150
4,250
1,986,787
2028
574,322
358,474
99,142
960,
2,947,188
2029
570,555
360,101
100,444
0,5
0,00
2,941,600
2030
575,893
359,147
97,360
,25
2,942,650
2031
574,705
359,524
1
960,000
2,946,900
2032
573,333
357,313
9 0
960,000
2,943,000
2033
575,711
359,42
101,4
95 0
960,000
2,951,125
2034
574,484
359,
97,
950,
960,000
2,941,750
2035
306,
0
960,000
2,218,050
2036
,850
960,000
1,914,850
2037
952,650
960,000
1,912,650
2038
954,850
960,000
1,914,850
2039
951,250
960,000
1,911,250
Total $6,31W $4,259,020 ,089,276 $15,246,850 $11,520,000 $38,432,463
Notes
09/09/2025 Page 10 of 36
Page 60 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 5 -Revenue at Present Rates
Page 1 of 4
Residential
Meter Charge
As of 1/1/2024
5/8" x 3/4"
$96.29
12,012
12,011
12,011
12,011
12,014
12,014
12,018
12,017
12,019
12,022
12,022
12,016
3/4"
96.29
870
870
870
871
880
886
892
97
900
900
909
910
888
1"
114.85
0
0
0
0
0
0
0
0
0
0
0
0
0
Total Number of Customers
---------------
12,882
---------------
12,881
---------------
12,881
---------------
12,882
---------------
12,894
---------------
12,900
---------------
12,9
-----------
2,913
---------------
12,917
---------------
12,919
---------------
12,931
---------------
12,932
--------------
12,904
Metered Residential by Zone (Number of Customer)
Zone 1
4,117
4,117
4,117
4,118
4,125
4,127
9
4,130
4,130
4,131
4,132
4,125
Zone 2
2,705
2,704
2,704
2,704
2,706
2,707
,709
2,
2,709
2,711
2,716
2,716
2,708
Zone 3
1,802
1,802
1,802
1,802
1,803
1,804
1,806
1,808
1,808
1,808
1,811
1,811
1,806
Zone 4
2,479
2,479
2,479
2,479
2,481
2,4
2,483
2,487
,487
2,487
2,489
2,489
2,483
Zone 5
1,419
1,419
1,419
1,419
1,419
1,422
1,421
2
1,422
1,422
1,422
1,421
Zone 6
199
199
199
199
199
199
199
199
199
199
199
Zone 7
165
165
165
165
165
65
166
66
166
166
166
166
Total Number ofCustomers ByZone
---------------
12,886
---------------
12,885
---------------
12,885
---------------
12,886
---------------
12,898
--------
904
-------
---------------
12,917
---------------
12,921
---------------
12,923
---------------
12,934
---------------
12,935
--------------
12,907
Total Monthly Charge
$1,240,408
$1,240,311
$1,240,311
$1,240,408
$1,241,563
$1,
,104
$1,243,393
$1,243,778
$1,243,971
$1,245,126
$1,245,222
$14,909,736
Metered Consumption ($/1,000 gal)
88%
35%
100%
53%
_
45%
76%
91%
0 - 8,000 gal (block 1)
$1.26
31,283
28,722
27,799
29,750
22,052
44,662
4,798
52,336
43,483
41,594
44,638
25,475
446,593
8,000 + gal (block 2)
1.78
4,266
5,069
5,295
1
16,519
95
69,376
53,146
36,885
14,096
2,519
259,657
Total Consumption
---------------
35,549
---------------
33,791
--------------.
33,094
------------
29,75
---------------
61,181
- --
---------------
121,712
---------------
96,629
---------------
78,478
---------------
58,734
---------------
27,994
--------------
706,250
Total Consumption Charge
$47,010
$45,213
$44,452
$37,484
34,712
155,5
$189,433
$149,388
$118,063
$81,336
$36,583
$1,024,897
$56,758
$53,046
$50,947
$41,533
,498
,277
$176,827
$147,938
$105,448
$56,621
$44,253
$2,560
$9,143
$3,644
$552
946
($1,604)
28,303
$56,445
$56,659
$33,561
$4,874
$7,664
Additional Zone Charge ($/1,000 gal)
Zone 1
$0.00
12,245
14,337
11,735
28,116
49,952
61,327
50,142
41,371
32,031
11,557
337,240
Zone 2
0.96
7,346
6,977
, 28
6,039
14,978
24,780
28,150
22,227
18,026
13,178
6,399
160,195
Zone 3
1.91
4,720
3,738
4,092
,811
6,171
9,344
10,839
8,449
6,798
4,844
2,752
68,578
Zone 4
2.86
6,608
4,62
5,399
,625
3,
7,224
11,493
12,664
9,257
7,214
4,644
3,932
80,999
Zone 5
3.81
3,507
3
3,187
2,698
1,9
3,694
6,027
6,606
4,995
3,961
3,200
2,402
45,472
Zone 6
4.77
583
544
27
465
820
942
652
489
442
690
6,802
Zone 7
5.72
540
5
532
978
1,184
907
618
396
262
6,964
Total Zone Charge Volume
---------------
35,549
------------
33,791
--------
--------
29,750
---
43
---------------
61,181
---------------
103,393
---------------
121,712
---------------
96,629
---------------
78,478
---------------
58,734
---------------
27,994
--------------
706,250
Residential Zone Surcharges
$54,19
903
02
$40,981
$30,551
$66,165
$106,973
$120,382
$91,280
$71,887
$51,747
$36,589
$761,958
Total Residential
$1,'
$1,.-_.,$1,33
$1,318,873
$1,306,827
$1,393,984
$1,505,622
$1,553,207
$1,484,446
$1,433,920
$1,378,208
$1,318,394
$16,696,591
09/09/2025
Page 11 of 36
Page 61 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 5 -Revenue at Present Rates
Commercial
Meter Charge
5/8" x 3/4"
3/4"
1"
1 1/2"
2"
3"
4"
6"
8"
Total Number of Customers
Total Monthly Charge
Commercial Consumption
$/1,000 gal
Total Consumption
Water Consumption Charge
Additional Zone Charge ($/1,000 gal)
Zone 1
Zone 2
Zone 3
Zone 4
Zone 5
Zone 6
Zone 7
Total Zone Charge Volume
Commercial Zone Surcharges
Total Commercial
As of 1/1/2024
$96.29
96.29
114.85
161.45
221.97
371.57
531.65
797.48
996.84
$0.00
0.96
1.91
2.86
3.81
4.77
5.72
0
371
199
94
80
8
11
4
0
-------767
$103,523
19,697
19,697
$34,273
12,762
1,920
49
865
4,077
4
19
19,697
$20,075
$157,872
0
0 0
0
371
371 371
371
199
199 199
199
94
94 94
94
80
80 80
80
8
8 8
8
11
11 11
11
4
4 4
4
0
0 0
0
-------767
----------767 ----------767
----------767
$103,523
$103,523 $103,523
$103,523
17,330
16,044 15,365
15,728
17,330
16,044 15,365
15,728
$30,154
$27,916 $26,735
$27,366
14,238
13,566 13,08
2,059
1,968 1,769
1,
68
46 43
86
407
321 348
297
534
120 97
42
2
19
17
-----333
17,0
,044 5,365
Page 2 of 4
0
0
0
0
0
0
0
372
374
73
374
373
373
373
372
199
200
202
202
202
202
202
200
94
94
94
94
94
94
94
94
80
80
79
79
79
79
80
8
8
8
8
8
8
11
11
11
11
11
11
4
4
4
4
4
4
4
0
0
0
0
0
0
0
-------7---
-------771
----------772
----772
----------771
----------771
----------771
----------769
$
$103,927
$104,060
$103,838
$103,838
$103,838
$1,244,673
6
1
53,707
42,470
33,346
23,764
18,600
332,468
- -
------
841
----------------
53,707
----------------
42,470
----------------
33,346
----------------
23,764
----------------
18,600
---------------
332,468
$56,68
$76,284
$93,450
$73,897
$58,022
$41,350
$32,364
$578,495
26,782
43,097
34,249
28,291
20,034
11,605
266,193
33
3,933
3,342
2,597
2,538
1,967
29,145
901
701
486
279
58
4,022
5,078
5,600
4,064
1,891
495
704
22,824
81
116
151
92
64
398
4,250
10,024
2
4
5
3
0
1
1
29
20
29
19
18
18
19
17
231
32,576
43,841
53,707
42,470
33,346
23,764
18,600
332,468
$11,605
$19,593
$22,223
$16,641
$9,177
$6,017
$20,300
$140,591
$171,906
$199,803
$219,733
$194,473
$171,038
$151,206
$156,503
$1,963,759
09/09/2025
Page 12 of 36
Page 62 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 5 -Revenue at Present Rates
Golf Courses Non -Potable
Meter Charge ($/Month)
Total Number of Customers
Total Monthly Charge
Non -Potable Consumption (gal)
Consumption (Jan - May)
Consumption (Jun - Dec)
Total Consumption
Water Consumption Charge
Total Golf Courses Non -Potable
$531.65
$0.432
0.432
Page 3 of 4
9 9 9 9 9 9 9 9 9 9 9 9
9 9 9 9 9 9 9 9 9 9 9 9
$4,785 $4,785 $4,785 $4,785 $4,785 $4,785 $4,785 $4,785 $4,785 $4,785 $4,785 $4,785 $57,418
22 24 23 25 24 0 0 0 0 0 118
0 0 0 0 0 35,343 0 44,392 33,330 21,177 18 243,290
---- --------- --------- --------- --------- --------
55,3 44,392 33,330 21,177 18 243,408
$23,915 177 $14,399 $9,148 $8 $105,152
$28,700 $ 2 $19,184 $13,933 $4,793 $162,570
09/09/2025
Page 13 of 36
Page 63 of 312
Truckee Donner PUD
Water Utility
Revenue Requirement
Exhibit 5 -Revenue at Present Rates
Summary
Customers
Residential
Commercial
Golf Courses Non -Potable
Total Number of Customers
Consumption
Residential
Commercial
Golf Courses Non -Potable
Total Consumption
Revenues
Meter Charge
Consumption Charge
Additional Zone Charge
12,882 12,881 12,881 12,882 12,894
767 767 767 767 767
9 9 9 9 9
---------- ------------ ------------ ------------ -----------
13,658 13,657 13,657 13,658 13,670
35,549 33,791 33,094 29,750 25,943
19,697 17,330 16,044 15,365 15,728
22 24 23 25 24
55,268 51,145 49,161 45,140 41,695
$1,348,716 $1,348,620 $1,348,620 $1,348,716 $1,349,871
81,293 75,376 72,379 64,231 62,089
74,273 49,335 50,780 44,236 33,346
------------ ------------ ------------ ------------ -----------'
$1,504,282 $1,473,331 $1,471,779 $1,457,183 $1,445,306
12,900
768
9
13,677
61,181
32,576
12,910
771
9
43,841
53,670
200,905
Page 4 of4
12,917
12,919
12,931
12,932
12,904
72
772
771
771
771
769
9
9
9
9
9
9
,694
13,698
13,699
13,711
13,712
13,682
12
96,629
78,478
58,734
27,994
706,250
53,
42,470
33,346
23,764
18,600
332,468
55,360
44,392
33,330
21,177
18
243,408
230,779
91
145,155
103,676
46,612
1,282,126
$1,352,238
$1,352,498
$1,352,594
$1,353,749
$1,353,846
$16,211,828
306,798
242,463
190,484
131,834
68,955
1,708,544
142,605
107,921
81,064
57,764
56,889
902,549
- - - - -
$1,801,641
------------
$1,702,881
------------
$1,624,142
------------
$1,543,348
------------
$1,479,689
------------
$18,822,921
FY 2025 Budget
$20,195,800
Difference
($1,372,879)
Percent
-6.8%
09/09/2025
Page 14 of 36
Page 64 of 312
Truckee Donner PUD
Customer Data Projection
Revenue Requirement
Exhibit 6- Customer Data
As of 1/1/2024
As of 1/1/2025
Input
FY 2024
FY 2025
FY 2026
FY 2027
FY 2028
Projected
FY 2029 FY 2030
FY 2031
FY 2032
FY 2033
FY 2034
FY 2035
Page 1 of 4
Notes
Residential
Meter Charge
5/8" x 3/4"
$96.29
$103.03
12,016
12,088
12,161
12,234
12,307
12,381
12,455
1
12,605
12,681
12,757
12,834
As Customer Growth
3/4"
96.29
103.03
888
893
898
903
908
913
918
930
936
942
948
As Customer Growth
1"
114.85
122.89
0
0
0
0
0
0
0
0
0
0
0
As Customer Growth
Total Residential Cust.
12,904
12,981
13,059
13,137
13,215
13,294
13,37
13,45
3,535
13,617
13,699
13,782
Monthly Charge Revenue
$14,909,736
$16,049,189
$16,145,625
$16,242,061
$16,338,497
$16,436,170
$16,5 ,842
$16,633,987
$1
$16,835,514
$16,936,896
$17,039,514
Metered Consumption ($/1,000 gal)
0- 8,000 gal (block 1)
$1.26
$1.34
446,593
446,593
446,593
442,127
437,706
433,32
28,996
424,706
420,45
6,254
412,091
407,970
As Consumption Growth
8,000 +gal (block 2)
1.78
1.91
259,657
259,657
259,657
257,060
254,489
251,
249,425
246,931
244,462
17
239,597
237,201
As Consumption Growth
Total Consumption
706,250
706,250
706,250
699,187
692,195
678,421
71,637
664,921
,271
651,688
645,171
Consumption Charge Revenue
$1,024,897
$1,094,379
$1,094,379
$1,083,435
$1,072,600
$1,051,
,040,744
$1,030,337
$1,020,033
$1,009,832
$999,734
Additional Zone Charge ($/1,000 gal)
Zone 1
$0.00
$0.00
337,240
337,240
337,240
333,868
330,529
327,22
52
320,712
317,505
314,330
311,187
308,075
As Consumption Growth
Zone 2
0.96
1.03
160,195
160,195
160,195
158,593
157,007
155,437
83
152,344
150,821
149,313
147,820
146,342
As Consumption Growth
Zone3
1.91
2.04
68,578
68,578
68,578
67,892
67,213
66,541
65,217
64,565
63,919
63,280
62,647
As Consumption Growth
Zone4
2.86
3.06
80,999
80,999
80,999
80,1
7
78,593
77,029
76,259
75,496
74,741
73,994
As Consumption Growth
Zone5
3.81
4.08
45,472
45,472
45,472
45,01
44,121
43,
43,243
42,811
42,383
41,959
41,539
As Consumption Growth
Zone 6
4.77
5.10
6,802
6,802
6,802
6,734
00
6,53
6,469
6,404
6,340
6,277
6,214
As Consumption Growth
Zone 7
5.72
6.12
6,964
6,964
6,964
6,894
6,825
6,689
6,622
6,556
6,490
6,425
6,361
As Consumption Growth
Total Zone Charge Volume
706,250
706,250
706,250
699,187
,195
671,636
664,921
658,271
651,689
645,172
Additional Zone Charge Revenue
$761,958
$815,593
$815 $807,433
6
91,365
$783,450
$775,616
$767,863
$760,180
$752,580
$745,054
Total Residential Revenue
$16,696,591
$17,959,161
32,929
$18,2
$18,289,409
$18,368,549
$18,450,347
$18,532,333
$18,615,727
$18,699,308
$18,784,301
09/09/2025 Page 15 of 36
Page 65 of 312
Truckee Donner PUD
Customer Data Projection
Revenue Requirement
Exhibit 6- Customer Data
As of]
Commercial -
Meter Charge
5/803/4"
3/4"
1"
11/2"
2"
3"
4"
6"
8"
Total Commercial Cust.
Meter Charge Revenue
Commercial Consumption
$/1,000 gal
Total Consumption
Consumption Charge Revenue
Additional Zone Charge ($/1,000 gal)
Zone 1
Zone 2
Zone 3
Zone 4
Zone 5
Zone 6
Zone 7
Total Zone Charge Volume
Additional Zone Charge Revenue
Total Commercial Revenue
(2024 As of 1/1/2025 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028
$96.29 $103.03 0 0 0 0 0
96.29 103.03 372 374 376 378 380
114.85 122.89 200 202 203 204 205
161.45 172.75 94 95 96 97 98
221.97 237.50 80 80 80 80 80
371.57 397.58 8 8 8 8 8
531.65 568.87 11 11 11 11 11
797.48 853.30 4 4 4 4 4
996.84 1,066.62 0 0 0 0 0
$1.74
$0.00
0.96
1.91
2.86
3.81
4.77
5.72
769
$1,244,673
$1.86 332,468
332,468
$578,495
$0.00 266,193
1.03 29,145
2.04 4,022
3.06 22,824
4.08 10,024
5.10 29
6.12 231
332,468
$140,591
$1,963,759
774
$1,339,436
332,468
332,468
$618,390
266,193
29,145
4,022
22,824
10,024
29
231
332,46
52
778
$1,345,456
332,468
332,468
$618,390
266,193
29,145
4,022
22,824
10,024
32,468
$150,525
$2,114,37?4
-----782 -----786
$1,351,477 $1,357,497
329,143 325,852
329,143 325,852
$612,206 606,085
263,531 26
28,854 28,565
3,982 3,942
22,596 ,370
9,924 25
29
229
9,145 32
,026 $147,5
111,121
Page 2 of 4
Notes
0
0
0
0
0
0
As Customer Growth
382
384
388
390
392
394
As Customer Growth
206
207
209
210
211
212
As Customer Growth
99
100
1
102
103
104
105
As Customer Growth
80
80
80
80
80
80
As Customer Growth
8
8
8
8
8
8
As Customer Growth
11
11
11
11
11
11
As Customer Growth
4
4
4
4
4
4
As Customer Growth
0
0
0
0
0
0
As Customer Growth
794
____
798
___________
802
________
06
--______
810
_________
814
$1,369,538
5,558
$1,381,579
$1,3 7,599
$1,393,620
$1,399,640
3
316,173
313,011
309,881
306,782
303,714
As Consumption Growth
322,59
67
316,173
313,011
309,881
306,782
303,714
$600,023
$588,082
$582,200
$576,379
$570,615
$564,908
7
255,70
3,147
250,616
248,110
245,629
243,173
As Consumption Growth
27,996
27,716
27,439
27,165
26,893
26,624
As Consumption Growth
64
3,825
3,787
3,749
3,712
3,675
As Consumption Growth
46
21,706
21,489
21,274
21,061
20,850
As Consumption Growth
9,727
0
9,534
9,439
9,345
9,252
9,159
As Consumption Growth
29
29
29
29
29
29
29
AsConsumption Growth
225
223
221
219
217
215
213
As Consumption Growth
322,596
319,371
316,178
313,018
309,889
306,791
303,723
$146,067
$144,612
$143,170
$141,743
$140,330
$138,931
$137,541
1,109,608
$2,108,173
$2,106,810
$2,105,522
$2,104,308
$2,103,165
$2,102,089
09/09/2025
Page 16 of 36
Page 66 of 312
Truckee Donner PUD
Customer Data Projection
Revenue Requirement
Exhibit 6- Customer Data
Golf Courses Non -Potable
Meter Charge ($/Month)
Total Number of Customers
Total Monthly Charge
Non -Potable Consumption (gal)
Consumption (Jan - May)
Consumption (Jun - Dec)
Total Consumption
Water Consumption Charge
Total Golf Courses Non -Potable
As of 1/1/2024 As of 1/1/2025
Notes
Page 3 of 4
$531.65 $531.65 9
9
9
9
9
9
9
9
9
9
9 As Flat
9
9
9
9
9
9
9
9
9
9
9
$57,418
$57,418
$57,418
$57,418
$57,418
$57,418
$57,418
$57,418
$57,418
$57,418
$57,418
$0.432 $0.438 118
118
118
117
116
115
114 113
111
110
109 As Consumption Growth
0.432 0.438 243,290
243,290
243,290
240,857
238,448
236,064
3
231,366
2
226,761
224,493
222,248 As Consumption Growth
243,408
243,408
243,408
240,974
238,564
236,179
817
231,479
229,1
26,872
224,603
222,357
$105,152
$106,613
$106,613
$105,547
$104,491
$10
$102,412
$101,388
$100,374
70
$98,376
$97,392
$162,570
$164,031
$164,031
$162,965
$161,909
5
$159,8308,806
$157,792
$156,788
$155,794
$154,811
09/09/2025 Page 17 of 36
Page 67 of 312
Truckee Donner PUD
Customer Data Projection
Revenue Requirement
Exhibit 6- Customer Data
As of
Calculated Water Rate Revenue
Meter Charge
Residential
Commercial
Golf Courses Non -Potable
Consumption Charge
Residential
Commercial
Golf Courses Non -Potable
Total Revenue Less Zone Charges
Residential
Commercial
Golf Courses Non -Potable
Total Zone Charge Revenue
Total Revenue
As of 1/1/2025 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030
$14,909,736 $16,049,189 $16,145,625 $16,242,061 $16,338,497 $16,436,170 $16,533,842
1,244,673 1,339,436 1,345,456 1,351,477 1,357,497 1,363,518 1,369,538
57,418 57,418 57,418 57,418 57,418 57,418 57,418
----------- ---- ---- -------------------'
$16,211,828 $17,446,043 $17,548,500 $17,650,956 $17,753,413 $17,857,106 $17,960,79$
$1,024,897 $1,094,379 $1,094,379 $1,083,435 $1,072,600 $1,061,874 $1 56
578,495 618,390 618,390 612,206 606,085 600,023 3
105,152 106,613 106,613 105,547 104,491 103,446 412
----------- ---- ---- ------ ---- -----
$1,708,544 $1,819,383 $1,819,383 $1,801,187 $1,783,176 $1,765 1,747,691
$15,934,633 $17,143,569
1,823,168 1,957,826
162,570 164,031
$17,920,372 $19,265,426
$902,549 $966,118
$18,822,921 $20,231,544
$17,240,005
1,963,847
164,031
$19,367,882
$966,118
$20,334,000
$17,325,496 $17,411,097
1,963,683 1,963,582
162,965 161,909
$19,452,144 $19,536,589
$956,459 946,899
$20,408,6
$937,432
16,63 16,734,133
1, 1,381,579
57,418
66,96 3,130
$1,040,744 $1,
588,082 58
101,388 100,3
$16,835,514
1,387,599
57,418
$18,280,531
$1,020,033
`99,370
99,370
$16,936,896 $17,039,514
1,393,620 1,399,640
57,418 57,418
$18,387,933 $18,496,572
$1,009,832 $999,734
570,615 564,908
98,376 97,392
$1,730,214 $1,712,912 '81 $1,678,823 $1,662,034
74,732 $17,764,470 $17,855,547 $17,946,728 $18,039,247
1,963,640 1,963,779 1,963,978 1,964,234 1,964,548
158,806 157,792 156,788 155,794 154,811
------- ------ ------ ------ -----
$19,797,178 $19,886,041 $19,976,313 $20,066,756 $20,158,606
$918,786 $909,606 $900,510 $891,510 $882,595
0,715,963 $20,795,647 $20,876,823 $20,958,267 $21,041,200
Page 4 of 4
Notes
09/09/2025
Page 18 of 36
Page 68 of 312
Truckee Donner PUD
Water Utility
Development of Distribution Factors
Exhibit 7 - Commodity & Capacity
Water
(kgal)
25.0%
Losses
Water
Flow (MGD)
Residential
Tier 1
446,593
111,648
1.53
Tier 2
259,657
64,914
0.89
Commercial
332,468
83,117
1.14
Total
--------------
1,038,718
-----------
259,680
---------
3.56
Actual Production [31
3.79
Distribution Factor
Notes
[1] Estimated
[2] Ratio of average month to peak month
[3] 2024 TDPUD Potable Production (W18 Excel Water Production.xlsx)
[4] 2024 TDPUD Max Day Production (W19 Max Day Production.xlsx) ,
% of
Tota I
43.0%
25.0%
32.0%
100.0%
(COM)
Peaking Peak D e Daily
Factor[21 Use ( D)
1.47 2.25
3.2 2.85 0.8
1.14
3.56
Actual Peaky 7.31
% of
Tota I
30.8%
39.0%
30.2%
100.0%
(CAP -1)
.upuuLY - GM
Equiv.
Meters
13,059
0.00
1,088
14,147
Meters
% of
Tota I
92.3%
0.0%
7.7%
100.0%
(CAP -2)
09/09/2025 Page 19 of 36
Page 69 of 312
Truckee Donner PUD
Water Utility
Development of Distribution Factors
Exhibit 8 - Customer
Actual Customer
Number of %of
Billing Units Total
Residential
13,059 94.4%
Commercial
778 5.6%
Total
---------- ----------
13,837 100.0%
Distribution Factor
(AC)
Customer Service & An
Weighting
Weighted
Factor
Customer
1.00
13,059
1.00
778
13,837
iq
Meters 8 es
%of
Equiv. of
Total
Me I
94.4%
1 ,059
5.6%
1,088
---------
100
---------- ------
14,147 100.
W
. (WCMS)
09/09/2025 Page 20 of 36
Page 70 of 312
Truckee Donner PUD
Water Utility
Development of Distribution Factors
Exhibit 9 - Fire Protection and Revenue Alloc
Fire Protection
Revenue
ed
Fire Prot.
Total PFP
FY 202
Number of
Requirmt's
Duration
Requirements
% of Reven
Accounts
(gals/min) 111
(minutes) 111
(1,000 g/min)
Total Pre nt tes
Residential
13,059
1,000
120
1,567,080
84.8% , 40,005
8
Commercial
778
2,000
180
280,080
15. 1,963,847
10.2
----------
13,837
--------------
1,847,160
---- ----------------
0 $19,203
-----------
100.0%
Distribution Factor
(FP)
(RR)
Notes
[1] Based on industry standard fire pro
09/09/2025 Page 21 of 36
Page 71 of 312
Truckee Donner PUD
Water Utility
Development of Distribution Factors
Exhibit 10 - Distribution Main Analysis
Distribution Storage
hrs gpm Total
Main
Fire Flow Requirements
3 2,000 720,000
(a)
0 75
Storage Capacity
12,000,000
( b )
4"
6"
Public Fire Protection
6.0%
(FP)
8"
(a)/(b)=FP%
1
Capacity
94.0%
(CAP)
1-FP%=CAP
6"
Source
Capacity / Commodity
Average Day
(c)/(d)=COM%
Peak Day
1-((c)/(d))=CAP%
Notes
3.56
51.0% (CAP)
[1] - Provided by District
[2] - W12 Pipe Inventory GIS Total - MC Edits 06-09-2020.xlsx
[3] - Table 13-14 Page 20 of TDPUD Water Infrastructure CIP Development Final from Farr West Engineering
2" - 12" Total
40,71,
368,855
476,009
67,114
115,209
32,189
49,553
3,026
4,456
30,330
0
0
0
1,082,506
Customer %
(f) ) Total @ 2" Equivalent Cost
(f) / ( e ) = Cust.%
Capacity
(g)Costfor2"-6"
( h ) 8" - 12" @ Equivalent 6" Cost
(g+h-f)/(e)=CAP%
Fire Protection
1- CUST.% - CAP% = FP%
Installed
?plcmt $ 131
Total
$529.17
$6,483,104
551.63
1,298,956
564.87
22,997,038
632.79
233,407,996
648.75
308,810,990
734.66
49,305,937
738.51
85,082,829
798.66
25,707,776
843.58
41,802,094
888.49
2,688,504
933.41
4,159,218
1,023.24
31,034,912
0.00
0
0.00
0
0.00
0
$707,386,850 (e)
)
572,830,586
81.0% (AC)
$264,187,094
416,585,879
15.3% (CAP)
3.7% (FP)
09/09/2025 Page 22 of 36
Page 72 of 312
Truckee Donner PUD
Water Utility
Functionalization and Allocation
Exhibit 11- Plant In Service
Customer Related
Page 1 of 2
Total
Capacity -
Actual
Customer
Meters &
Revenue
Direct
Pump
Plant
Commodity
Capacity
Equiv. Meters
Customer
Acct/Svcs
Svcs
Related
ection
Assign.
Zones
2024 Rplmt
(COM)
(CAP -1)
(CAP -2)
(AC)
(WCA)
(WCMS)
(RR)
(FP)
(DA)
(PZ) Basis of Classification
Plant In Service
Land and Buildings
Land & Land Rights
$609,266
$298,540
$310,726
$0
$0
$0
$0
$0
$0
$0
$0 49% (COM)/ 51% (CAP -1)
Intangible Assets Easment Land
600,592
294,290
306,302
0
0
0
0
0
0
0 49% (COM)/ 51% (CAP -1)
Land & Land Rights
7,631
3,739
3,892
0
0
0
0
0
0 49% (COM)/ 51% (CAP -1)
Structures & Improvements
5,033,795
2,466,559
2,567,235
0
0
0
0
0 49% (COM)/ 51% (CAP -1)
Total Land and Buildings
$6,251,284
$3,063,129
$3,188,155
$0
--0
$0
$0
$0
$0
$0
$0
Source of Supply
Wells & Springs
$6,078,865
$2,978,644
$3,100,221
$0
$0
$0
0
$0
$0
$0 49% (COM)/ 51% (CAP -1)
Total Source of Supply
$6,078,865
""'---------'
$2,978,644
$3,100,221
---------------
$0
--"""""""
$0
----------
--------_"""
$0
------
$0
----------------
$0
----------------
$0
--------""""
$0
Water Treatment
Water Treatment Equipment
$611,120
$299,449
$311,671
$0
$0
$0
$0
$0
$0
$0 49% (COM)/ 51% (CAP -1)
Total Water Treatment
----_--"""'
$611,120
----------------
$299,449
""""""""
$311,671
---------------
$0
---------_""'
--------_-_
$0
----------------
$0
--------""""
$0
----------------
$0
--------""""
$0
Transmission & Distribution
Pumping Equipment
$4,680,453
$0
$0
$0
$0
$0
$0
$0
$4,680,453 100% (PZ)
Water Transmission & Distribution Lines
77,708,793
0
25,410,775
0
452
0
4,118,566
0
0 33% (CAP -1)/ 62% (WCMS)/ 5% (FP)
Total Transmission & Distribution
-------"""'
$82,389,246
----------------
$0
""""""""
$25,410,775
--------------
$0
--------"'
---------------
------_-----""
$0
_
$4,118,566
----------------
$0
--------""""
$4,680,453
Storage
Reservoirs & Tanks
$6,493,801
$0
$6,104,173
$0
$0
$0
$0
$389,628
$0
$0 94% (CAP -1)/ 6% (FP)
Total Storage
-------"""'
$6,493,801
----------------
$0
""""""""
$6,104,17
--------""""
$0
---------
$0
--------"'-----
$0
---""'--------
$0
--------"""--
$389,628
------_
$0
-------"""
$0
Meters, Valves and Misc.
Water Services
$15,514,718
$0
0
$0
0
$15,514,718
$0
$0
$0
$0 100% (WCMS)
Water Meters
7,373,176
0
0
0
7,373,176
0
0
0
0 100% (WCMS)
Backflow Devices
1,476
0
0
1,476
0
0
0
0 100% (WCMS)
Tfr WO at YE
0
0
0
0
0
0
0
0
0 100% (WCMS)
Fire Hydrants
4,377,755
0
0
0
0
0
0
4,377,755
0
0 100% (FP)
Telemetry System
0
0
0
0
0
0
0
0
0
0 100% (WCMS)
Scada System Water
7,734,333
0
0
0
0
7,734,333
0
0
0
0 100% (WCMS)
GIS Mapping Hardware
32,967
0
0
0
0
32,967
0
0
0
0 100% (WCMS)
GIS Mapping Software
198,2
0
0
0
198,244
0
0
0
0 100% (WCMS)
GIS Mapping Data
41
0
0
0
410,993
0
0
0
0 100% (WCMS)
Hirshdale Deferred Plant Payments
0
0
0
57,876
0
0
0
0 100% (WCMS)
Total Meters, Valves and Misc.
$35,
$0
$
$0
$0
$0
$31,323,782
$0
$4,377,755
$0
$0
09/09/2025 Page 23 of 36
Page 73 of 312
Truckee Donner PUD
Water Utility
Functionalization and Allocation
Exhibit 11- Plant In Service
Customer Related
Page 2 of 2
Total
Capacity -
Actual
Customer
Meters &
Revenue
Direct
Pump
Plant
Commodity
Capacity
Equiv. Meters
Customer
Acct/Svcs
Svcs
Related
ection
Assign.
Zones
2024 Rplmt
(COM)
(CAP -1)
(CAP -2)
(AC)
(WCA)
(WCMS)
(RR)
(FP)
(DA)
(PZ) Basis of Classification
Plant Before General
$137,525,854
$6,341,222
$38,114,996
$0
$0
$0
$79,503,234
5,949
$0
$4,680,453
Percent Plant Before General
100.0%
4.6%
27.7%
Percent Plant Before General w/o PZ DA
100.0%
4.8%
28.7%
0.0%
0.0%
0.0%
G&A Equipment
Structures & Improvements Hq bid
$868,050
$41,435
$249,054
$0
$0
$0
9,497
$0
$58,063
0
$0 as Plant Before General Plant - PZ
Office Furniture & Equipment E/W
22,927
1,094
6,578
0
0
13,721
0
1,534
0
0 as Plant Before General Plant - PZ
Transportation Equipment
2,825,255
134,860
810,601
0
0
1,690,814
0
188,980
0
0 as Plant Before General Plant - PZ
Tools, Shop & Garage Equipment
175,272
8,366
50,288
0
0
104,894
0
11,724
0
0 as Plant Before General Plant - PZ
Laboratory Equipment
9,862
9,862
0
0
0
0
0
0
0
0 100% (COM)
Water Power Operated Equipment
0
0
0
0
0
0
0
0
0
0 as Plant Before General Plant - PZ
Communication Equipment
794,669
37,933
228,001
0
0
0
0
53,155
0
0 as Plant Before General Plant - PZ
Misc Equipment
381,952
18,232
109,587
0
0
0
2
0
25,549
0
0 as Plant Before General Plant - PZ
Water Computer Equipment
100,199
4,783
28,748
0
0
59,
0
6,702
0
0 as Plant Before General Plant - PZ
SCADA System E/W
219,946
10,499
63,105
0
0
131,630
0
14,712
0
0 as Plant Before General Plant - PZ
Intangible Asset Software E/W
147,568
7,044
42,339
0
88,314
0
9,871
0
0 as Plant Before General Plant - PZ
Elec Trans Equip E/W
150,773
7,197
43,259
0
232
0
10,085
0
0 as Plant Before General Plant - PZ
Tools Shop & Garage Equipment E/W
44,981
2,147
12,905
0
0
0
3,009
0
0 as Plant Before General Plant - PZ
Elec Comm Equip E/W
419,287
20,014
120,299
0
0
28,046
0
0 as Plant Before General Plant - PZ
Elec Misc Equip E/W
59,607
2,845
17,102
0
35,6
0
3,987
0
0 as Plant Before General Plant - PZ
Computer Equipment E/W
1,066,270
50,897
305,926
0
0
638,125
0
71,322
0
0 as Plant Before General Plant - PZ
Total G&A Equipment
$7,286,618
$357,210
$2,087,792
$0
$0
$4,354,879
$0
$486,738
$0
$0
Total Plant
$144,812,471
$6,698,431
$40,20
$0
$0
$0
$83,858,113
$0
$9,372,687
$0
$4,680,453
Plus: Capital Works in Progresss
CWIP - Water
$0
$0
0
$0
$0
$0
$0
$0
$0 as Plant in Service
CWIP Year End Accrued Inventory
0
0
0
0
0
0
0
0 as Plant in Service
RWIP - Water
0
0
0
0
0
0
0
0
0 as Plant in Service
WO Tfr at YE
0
0
0
0
0
0
0
0
0
0 as Plant in Service
Total Plus: Capital Works in Progresss
--------------
$0
------
----------------
$0
'----'-----
$0
--
$0
----------------
$0
----------------
$0
----------------
$0
----------------
$0
----------------
$0
-------------"'
$0
Depreciation
$74,416,9A
442,221
$0
$0
$43,093,401
$0
$4,816,481
$0
$2,405,213 as Plant in Service
09/09/2025 Page 24 of 36
Page 74 of 312
Truckee Donner PUD
Water Utility
Functionalization and Allocation
Exhibit 12 - Revenue Requirement
Total
Expenses
FY 2026
Expenses
Board of Directors
$281,883
General Manager
Admin & Ops General Exp
$787,996
Public Information
160,193
Legislature & Regulations
90,974
Office Supplies & Expenses
108,202
Outside Service Employed
173,445
Injuries & Damages
436,904
General Advertising
82,034
Misc General Expense
0
Total General Manager
$1,839,749
Administrative Services
Customer Accounts Supervision
$188,901
Meter Reading Expenses
1,195
Customer Records & Collections
657,114
Cust Rec&Coll Meter Reader
0
Provision for Bad Debts
7,957
Admin and General Expenses
623,356
Office Supplies & Expenses
93,196
Outside Services Employed
44,154
Insurance Expense
233,166
Injuries & Damages
32,659
Total Administrative Services
$1,881,699
Conservation
Water Conservation
$0
PBD: Residential
95,935
PBC: Commercial
48,996
PBC: Education & Outreach
7,824
Admin & Ops General
3,116
Office Supplies & Expenses
5,072
IT/GIS
0
Injuries & Damages
313
General Advertising
0
Misc General Expense
0
Total Conservation
S
Customer Related
Weighted for:
Capacity -
Actual
Customer
Meters &
Revenue
Commodity
Capacity
Equiv. Meter,
Customer
Acct/Svcs
Svcs
Related
(COM)
(CAP -1)
(CAP -2)
(AC)
(WCA)
(WCMS)
(RR)
$0
$0
$0
$0
$0
$281,883
$
$0
$0
$0
$0
$0
$787,996
0
0
0
0
0
160,193
0
0
0
0
0
0
90,974
0
0
0
0
0
0
108
0
0
0
0
0
0
0
0
0
0
0
0
4
0
0
0
0
0
0
,034
0
0
0
0
0
0
0
0
$0
$0
$0
$0
$1,839,749
$0
$0
$0
50
$0
188,
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
623,
0
0
0
0
0
93,19
0
0
0
0
0
44,154
0
0
0
0
33,166
0
0
0
0
0
$0
$0
$0
$0
$0
0
0
0
95,935
0
0
0
0
0
48.996
0
0
0
0
0
0
0
0
$0
Direct
Assign.
(DA)
Pump
Zones
(PZ) Basis
$0 $0
$0 100% (WCMS)
$0 $0
$0 100% (WCMS)
0 0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0
0 100% (WCMS)
$0
$0
$0 $0
$0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
$0 $0
$0
$0 $0
$0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
0 0
0 100% (WCMS)
$0 $0
$0
Page 1 of 3
09/09/2025
Page 25 of 36
Page 75 of 312
Truckee Donner PUD
Water Utility
Functionalization and Allocation
Exhibit 12 - Revenue Requirement
Customer Related
Weighted for:
Total
Capacity -
Actual
Customer
Meters &
Revenue
Expenses
Commodity
Capacity
Equiv. Meter,
Customer
Acct/Svcs
Svcs
Related
FY 2026
(COM)
(CAP -1)
(CAP -2)
(AC)
(WCA)
(WCMS)
(RR)
Water Operations
Ops Supervision & Engineering
$712,552
$0
$0
$0
$0
$0
$712,552
Construction Engineering
0
0
0
0
0
0
0
Facilites Operations
1,898,870
90,640
544,809
0
0
0
1,136,406
Power Supply
2,022,951
1,294,689
0
0
0
0
0
Distribution Operations
2,449,033
565,996
222,590
0
0
0
1,311,012
Meters/Services Operations
501,978
0
0
0
0
0
501,978
Misc. General Expense
734,193
0
0
0
0
0
734
Injuries & Damages
123,699
0
0
0
0
0
Total Water Operations
$8,443,277
$1,951,325
$767,399
$0
$0
$0
41
$
IT/GIS
Engineering/SCADAOps
$184,053
$0
$0
$0
$o
$184,053
$
Misc General Expense
128,365
0
0
0
0
128,365
Meter Reading
57,281
0
0
0
0
57,281
Customer Records
143,051
0
0
0
0
143,
Administrative & General IT Ops
531,080
0
0
0
0
0
Office Supplies & Expenses
21,388
0
0
0
0
0
Outside Services Employed
26,651
0
0
0
0
0
Injuries & Damages
23,468
0
0
0
0
0
Total IT/GIS
$1,115,337
$0
$0
$0
Interdepartmental Rent
$643,090
$0
$0
$0
$643,090
$
Total Expenses
$14,366,292
$1,951,325
$767,399
$0
Additional Expenditures
$0
$0
$0
$0
0
$
Total Operations & Maintenance
$ $0
0
27,014
0
0
0
0
0
0 $178,908
0 $0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 $0
0 $0
$0 $178,908
0 $0
Direct Pump
Assign. Zones
(DA)
(PZ) Basis of Classificati
$0
$0 100% (WCMS)
0
0 100% (WCMS)
0
0 as Plant Before General Plant - PZ
0
728,262 64% (COM)/ 36% (PZ)
0
297,542 As All Other Water Operations
0
0 as Meters
0
0 100% (WCMS)
0
0 100% (WCMS)
0
$1,025,804
$0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
$0
$0 100% (WCMS)
$0
$1,025,804
$0
$0 100% (WCMS)
Page 2 of 3
09/09/2025 Page 26 of 36
Page 76 of 312
Truckee Donner PUD
Water Utility
Functionalization and Allocation
Exhibit 12 - Revenue Requirement
Rate Funded Capital
Debt Service
Pipeline COP Rates
Pipeline COP FF
Pipeline COP Assmt
2022 Water COP
New Low Interest Loan
New Revenue Bond
Total Debt Service
Less Debt Service Transfers
Transfer in from DLAD Surcharge for 2006 COP debt pmt
Transfer in from FF Reserve
Total Debt Service Transfers
Net Debt Service
Transfers
In
Transfer in from employee and overhead for sidefund debt
Transfer in from Vehicle Reserve (on CIP Calculation)
Transfer from Operating Reserve Fund
Out
Debt Service Payments
Transfer to Vehicle Reserve
Transfer to Operating Reserve Fund
Transfer to Cash Reserves
Total Transfers
Total Revenue Requirement
Less: Other Income
Misc Operating Revenue
Non -Potable
Misc Rents
Standby Revenue
Interest Income
Total Other Income
Customer Related
Weighted for:
Total
Capacity -
Actual
Customer
Meters &
Revenue
Expenses
Commodity
Capacity
Equiv. Meter,
Customer
Acct/Svcs
Svcs
Related
FY 2026
(COM)
(CAP -1)
(CAP -2)
(AC)
(WCA)
(WCMS)
(RR)
$7,000,000
$0
$0
$0
$0
$0
$7,000,000
$
$573,196
$0
$0
$0
$0
$0
$573,196
359,005
0
0
0
0
0
359,005
0
99,736
0
0
0
0
0
99,736
0
952,500
0
0
0
0
0
952
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
---------------
$1,984,437
--------------
$0
---------------
$0
---------------
$0
---------------
$0
----------
$0
----
,437
--------
$0
$99,736
$0
$0
$0
$0
$99,736
$0
359,005
0
0
0
0
359,005
0
---------------
$458,741
---------------
$0
---------------
$0
-------------
$0
-----------
$0
---------
$0
----------
58
------
$0
$1,525,696
$0
$0
$0
$0
$0
6
$0
$0
0
0
$0
376,000
0
$0 $0
0 0
0 0
$0 $0
0
0
0
$22,164,074 $1,95'
$185,500 $185,5
164,031 164,031
66,597 66,597
$0
0
0
$0
0
0
0
0
0
$0
0
0
0
$0
0 376,000
0 0
0 (1,103,914)
$0 ($727,914)
$0 $18,240,639
$0 $0
0 0
0 0
0 0
0 0
$0 $0
Direct
Assign.
(DA)
Pump
Zones
(PZ) Basis
$0 $0
$0 100% (WCMS)
$0 $0
$0 100% (WCMS)
0 0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0
0 100% (WCMS)
0 0
0 100% (WCMS)
----- ---
$0
---------------
$0
$0 $0
$0 100% (WCMS)
0 0
0 100% (WCMS)
----- ---------------
$0 $0
---------------
$0
$0 $0
$0
$0 $0
0 0
0 0
$0 $0
0 0
0 0
0 0
$0 $0
$0 $178,908
$0 $0
0 0
0 0
0 0
0 0
$0 $0
$0 $0 100% (WCMS)
0 0 100% (WCMS)
0 0 100% (WCMS)
$0 $0 100% (WCMS)
0 0 100% (WCMS)
0 0 100% )WCMS)
0 0 100% (WCMS)
$0 $0
$0 $1,025,804
$0 $0 100% (COM)
0 0 100% (COM)
0 0 100% (COM)
0 0 100% (COM)
0 0 100% (COM)
$0 $0
Page 3 of 3
09/09/2025
Page 27 of 36
Page 77 of 312
Truckee Donner PUD
Water Utility
Cost of Service Summary
Exhibit 13 - Distribution of Revenue Requirement - COM, CAP & DA
Residential
Allocation Components FY 2026 Tier 1 Tier 2
Commodity $1,268,268 $545,287 $
Capacity $767,399 $236,407 5
Direct Assignment $0 $0
Total $2,035,667 $781,694
Pump Zones Distribution Factor
039 $ 1 $0 (COM)
),295 $231,6 $0 (CAP -1)
$0 $0 (DA)
, 34 $637,639 $0
09/09/2025
Page 28 of 36
Page 78 of 312
Truckee Donner PUD
Water Utility
Cost of Service Summary
Exhibit 14 - Distribution of Revenue Requirement - Cust. Fire, Rev.
Allocation Components
Customer Related
Actual Customer
Customer Acct/Svcs
Meters & Svcs
Total Customer Related
Equiv. Meters
Revenue Related
Fire Protection
Pump Zones
Net Revenue Requirement
FY 2026 Residential Commercial
I
$0 $0
0 0
18,240,639 16,837,520
--------------- ---------------
$18,240,639 $16,837,520
$0 $0
$0 $0
$178,908 1,
$1,025,804 $0
3 Zones Distribution Factor
(AC)
$0 1w
$0 (CAP -2)
$0 (RR)
$0 (FP)
$1,025,804
$1,430,246 $1,025,804
09/09/2025 Page 29 of 36
Page 79 of 312
Truckee Donner PUD
Water Utility
Cost of Service Summary
Exhibit 15 - Summary of Cost Distribution
FY 2026
Total I Residential Commercial
Revenues at Present Rates $20,169,969
Allocated Revenue Requirement $21,481,017
--------------
Subtotal Balance/(Deficiency) of Funds ($1,311,048)
Change Over Present Rates 6.5%
$17,240,005 $1,963,44
$18,387,328/($
885
($1,147,323)038,
Zones Source
118
$1,02 ,
($59,686)
6.2%
09/09/2025 Page 30 of 36
Page 80 of 312
Truckee Donner PUD
Water Utility
Cost of Service Summary
Exhibit 16 - Average Unit Cost
FY 2026
Tota I
Commodity Costs - $ / 1000 gal
$1.22
Capacity Costs - $ / 1000 gal
$0.74
Direct Assign. Costs - $ / 1000 gal
$0.00
Total Distributed Costs - $ / 1000 gal
--------------
$1.96
Current Consumption Rates
Customer - $ / Equiv. Mtrs / month
$107.45
Fire Protection - $ / Equiv. Mtrs / month
1.05
Total -$1 Month
--------------
$108.
Current Fixed Charge (3/4")
Rate Rev $ / 1000 gal
$19.42
Allocated Rev Req $ / 1000 gal
$20.A
Basic Data
Annualized Water Flows - CCF
No. of Customers
No. of Units
Equivalent Meters
7
Residential
Tier 1 Tier 2
$1.22
$0.53
$0.00
$1.75
$1.34
0.9
$38.
446,593
13,059
NA
13,059
$V 1.22
$0.00
$1.92
$1.86
$107.45
2.08
$109.52
$103.03
$5.91
$6.22
259,657 332,468
778
NA NA
1,088
09/09/2025 Page 31 of 36
Page 81 of 312
Truckee Donner PUD
Water Utility
Rate Design
Exhibit 17 - Summary of Rate Design
Present FY 2026 FY 2027 FY FY 2029 FY 2030
Residential
5/8" x 3/4"
$103.03
$108.50
$115.55 $12
$131.06
$139.58
3/4"
103.03
108.50
115. 123.
131.06
139.58
1"
122.89
129.41
1 146.78
156.32
166.48
Commodity Charge
0 - 8,000 gal (block 1)
8,000 + gal (block 2)
1.91
2.37
2.69
2.86
3.05
Commercial
5/8" x 3/4"
3/4"
1"
1 1/2"
2"
3"
4"
6"
8"
Commodity Cl
Pump Zone Cl
Zone 1
Zone 2
Zone 3
Zone 4
Zone 5
Zone 6
Zone 7
$103.03
$115.5$123.06
$131.06
$139.58
103.03
.50
.55
123.06
131.06
139.58
122.89
41
146.78
156.32
166.48
172.
1
193.
206.34
219.75
234.04
25
266.37
283.68
302.12
321.76
.58
418.
445.90
474.88
505.75
538.62
568.87
599.0
638.00
679.47
723.64
770.67
853.30
60
957.00
1,019.21
1,085.46
1,156.01
66
,
1,196.24
1,274.00
1,356.81
1,445.00
00
03
04
06
08
5.10
6.12
$1.92 $2.04 $2.17 $2.31 $2.46
$0.00
$0.00
$0.00
$0.00
$0.00
1.09
1.16
1.24
1.32
1.41
2.16
2.30
2.45
2.61
2.78
3.24
3.45
3.67
3.91
4.16
4.32
4.60
4.90
5.22
5.56
5.40
5.75
6.12
6.52
6.94
6.48
6.90
7.35
7.83
8.34
09/09/2025 Page 32 of 36
Page 82 of 312
Truckee Donner PUD
Water Utility
Rate Design
Exhibit 18 - Residential Bill Comparison
Consumption Current Proposed $
(Gallons) Rate Rate Change Change
0
$103.03
$108.50
$5.47
5.3%
5,000
109.73
117.25
7.52
6.9%
8,000
113.75
122.50
8.75
7.7%
10,000
117.57
127.25
9.
8.2%
15,000
127.12
139.12
9.4%
20,000
136.67
150.98
10.5%
25,000
146.22
162.85
6.63
1.4%
30,000
155.77
174.72
18.95
35,000
165.32
186.5
21.27
40,000
174.87
19
.59
13.
45,000
184.42
.90
14.0%
50,000
193.97
22
28.22
14.5%
Meter Si,...Current oposec
5/8"xi1 1fl303 8.50
Commodit arge
1&,0+
00 gal 34 $1.75
gal $1.91 $2.37
09/09/2025
Page 33 of 36
Page 83 of 312
Truckee Donner PUD
Water Utility
Rate Design
Exhibit 19 - Commercial Bill Comparison
Consumption
Current
Proposed
$
(Gallons)
Rate
Rate
Change
Change
3/4" Meter
0
$103.03
$108.50
$5.47
5.3%
20,000
140.23
146.86
6.63
4.7%
40,000
177.43
185.21
7.78
4.4%
60,000
214.63
223.57
8.9
4.2%
80,000
251.83
261.93
1
4.0%
100,000
289.03
300.29
3.9%
120,000
326.23
338.65
2.42
8%
140,000
363.43
377.00
13.57
160,000
400.63
415.
14.73
3.
1" Meter
40,000
$197.29
$2
$8.84
4.5%
60,000
234.49
244.
10.00
4.3%
80,000
27
282.84
11.15
4.1%
120,000
3
59.56
.47
3.9%
140,000
38
.63
3.8%
160,000
420.
15.79
3.8%
180,000
457.
4.63
16.94
3.7%
Meter 5
rrent
Proposed
5/8"
03.03
$108.50
3
103.03
108.50
1"
122.89
129.41
172.75
181.92
237.50
250.11
3
397.58
418.68
4"
568.87
599.06
6"
853.30
898.60
8"
1,066.62
1,123.23
C arge
All C ption $/1,000 gal
$1.86
$1.92
09/09/2025
Page 34 of 36
Page 84 of 312
Truckee Donner PUD
Water Utility
Rate Design
Exhibit 20 - Pump Zone Charge
Current Proposed $
Zone Rate Rate Change Change
1 $0.00
$0.00
$0.00 0.0%
2 1.03
1.09
0.06 5.8%
3 2.04
2.16
0.12 5.9
4 3.06
3.24
0.18 5
5 4.08
4.32
0.24
6 5.10
5.40
0.30
7 6.12
6.48
0.3 5.9°0
09/09/2025
Page 35 of 36
Page 85 of 312
Truckee Donner PUD
Water Utility
Rate Design
Exhibit 21- Rate Revenue Projection
Present FY 2026 FY 2027 FY 2028
Residential
Fixed
$16,049,189
$17,002,818
$18,215,764 $19,
Consumption
1,094,379
1,396,925
1,472,718 1,
Total
$17,143,569
$18,399,743
$19,688,482 ,
94%
92%
9
FY 2026 COSA
$18,387,328
r2029 FY 2030
3 1,
8 $22,
740 $22,399,240
1,725,987
62 4,125,227
93% 93%
Commercial
Fixed
$1,339,436
$1,416,881
7
$1,6
$1,734,472
$1,855,383
Consumption
618,390
637,639
67 ,
707,
746,422
786,990
Total
$1,957,826
$ 4,520
$2,3 ,368
$2,480,894
$2,642,373
68%
9%
69%
70%
70%
70%
FY 2026 COSA
$2,06 5
Pump Zone
Consumption
966,11
,022,837
$1,078,122
$1,137,220
$1,199,230
$1,264,809
FY 2026
804
Syste al
$20,067,51
21,477,100
$22,953,772
$24,532,676
$26,222,748
$28,032,409
System Tar
$21,481,017
$22,963,108
$24,547,443
$26,242,648
$28,054,883
$ Difference
$3,918
$9,336
$14,767
$19,900
$22,475
0.02%
0.04%
0.06%
0.08%
0.08%
Fixed Rev
86.7%
85.8%
86.0%
86.2%
86.3%
86.5%
Variable Rev
13.3%
14.2%
14.0%
13.8%
13.7%
13.5%
09/09/2025 Page 36 of 36
Page 86 of 312
Resolution No. 2025-3 2
RESPONDING TO TIMELY FILED WRITTEN OBJECTIONS TO THE
PROPOSED INCREASE IN WATER RATES PURSUANT TO THE
REQUIREMENTS OF AB 2257 AND MAKING DETERMINATIONS
REQUIRED BY AB 2257
WHEREAS, Truckee Donner Public Utility District ("District") operates and maintains a public
potable water system, including approximately 13 deep wells, 25 pump stations, 32 storage tanks,
and more than 220 miles of pipeline, that serves approximately 13,750 customers; and
WHEREAS, water systems are expensive to build and maintain and the District's system is more
complex and costlier than many other systems because of the District's large geographic area,
mountain terrain, winter weather, and need to size the system to have water to fight fire and meet
the maximum daily demand for water during the relatively brief peak summer season; and
WHEREAS, costs to operate the District's water system are rising due to many reasons, including
increasing system maintenance costs, increasing capital infrastructure costs and compliance with
state and federal regulations; and
WHEREAS, the District does not receive property tax and relies almost entirely on rate revenue
to fund the operation, repair, maintenance and improvement of its water system and to continue
to reliably provide water services; and
WHEREAS, the District contracted with DOWL Engineering for the development of an updated
10 -year capital improvement plan ("CIP"), which revealed that the District would require
significant increases in rate -funded capital expenditures over the next 10 years in order to address
increasing construction costs, the ongoing need to harden water system reliability, construction of
additional pipeline for system redundancy, continued maintenance of critical water system
facilities, and replacing other facilities approaching the end of their useful life; and
WHEREAS, at its regular meeting on July 16, 2025, the District's Board of Directors received a
presentation from DOWL Engineering on the draft CIP; and
WHEREAS, the District retained an independent rate consultant, HDR Engineering, Inc., to
develop a comprehensive water rate study, the 2025 Water Rate Study, for the District to provide
cost -based and proportional rates based on the District's specific system and customer
characteristics by developing a revenue requirement, cost of service, and proposed rates that
generate sufficient revenue to prudently fund the operating and capital needs of the District that
comply with the requirements of applicable law, including California Constitution, Article XIII
Page 87 of 312
D, section 6 ("Proposition 218"), using generally accepted methodologies of the American Water
Works Association; and
WHEREAS, on September 25, 2024, Governor Newsom signed into law State Assembly Bill
2257, codified as California Government Code sections 53759.1 and 53759.2 and made effective
January 1, 2025 ("AB 2257"); and
WHEREAS, AB 2257 creates an exhaustion of administrative remedies requirement that, if
implemented by a local public agency, requires ratepayers to timely submit a written objection
regarding a proposed water rate change prior to the deadline established by the local public agency
in order to have exhausted administrative remedies to thereafter potentially challenge a rate
change under Proposition 218 and applicable law; and
WHEREAS, at its regular meeting on September 3, 2025, the District's Board of Directors
reviewed the 2025 Water Rate Study prepared by HDR Engineering, Inc., established proposed
water rates for the years 2026-2030 in accordance with the 2025 Water Rate Study, determined to
begin the rate adoption process in accordance with Proposition 218, and scheduled a public
hearing for November 19, 2025; and
WHEEAS, at its regular meeting on September 17, 2025, the District's Board of Directors adopted
the CIP; and
WHEREAS, on September 23, 2025, the District, pursuant to Proposition 218, provided Notice
of Public Hearing: Proposed Water Rate Increases for 2026-2030 ("Notice") to property owners
whose properties receive water service from the District; and
WHEREAS, the Notice provided detailed instructions on how to file a protest and how to file an
objection to the proposed rates; and
WHEREAS, the Notice provided at least 45 days for property owners to review the proposed
rates, the written basis for the rates, including the 2025 Water Rate Study, and to timely submit to
the District a written objection pursuant to AB 2257 that specifies the grounds for alleging
noncompliance with Proposition 218 or applicable law on or before 5:00pm on November 7,
2025; and
WHEREAS, the Notice provided at least 45 days, to review the proposed rates, the written basis
for the rates, including the 2025 Water Rate Study, and to timely submit a protest to the proposed
rates by the close of the public hearing on November 19, 2025; and
WHEREAS, the District posted on its internet website, www.tdpud.org, the Notice, the written
basis for the rates, including the 2025 Water Rate Study, the Prop 218 Written Objection Form,
and other information pertaining to the proposed rates; and
2
Page 88 of 312
WHEREAS, the Notice stated that the District offered to mail or email the written basis to any
person upon request; and
WHEREAS, the Notice included a prominently displayed statement that provided (a) all written
objections must be submitted by 5:00pm on November 7, 2025, and that failure to timely object
or failure to submit a completed objection form bars any right to challenge the rates through a
legal proceeding; and (b) all substantive and procedural requirements, including the requirement
to fully complete a written objection form, and to timely and properly submit a written objection;
and
WHEREAS, as of 5:00pm on November 7, District received twenty (20) written objections to the
proposed water rate increases as set forth in the Notice and are attached to this Resolution in
redacted form as Exhibit A ("Objections"); and
WHEREAS, this Resolution, as required by AB 2257, sets forth in Exhibit B the District's
substantive basis for retaining the proposed rates in response to the Objections; and
WHEREAS, this Resolution, as required by AB 2257, responds in writing to the Objections,
including the grounds for which an Objection is not resulting in clarification of the proposed rates,
reduction of the proposed rates, or further review, and that the District will continue with the
protest hearing required by Proposition 218.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Truckee Donner Public
Utility District as follows:
1. The recitals set forth in this Resolution are true and correct statements, and together
with Exhibits A and B, are incorporated as operative parts of this Resolution and
findings and determinations of the Board of Directors.
2. The Board of Directors finds the District has completed all requirements of AB
2257, including completing the procedures described in paragraphs (1) to (6) of
subdivision (c) of Government Code section 53759.1. Consequently, any person
or entity that has not timely submitted a written objection, or any person or entity
that timely submitted an objection but did not properly complete a written
objection form as described in Exhibit B, is prohibited from bringing a judicial
action or proceeding alleging noncompliance with Article XIII D of the California
Constitution for the proposed rates.
3. In exercising its legislative discretion, the Board of Directors of the District
determines that: (1) the Objections and the District's responses thereto as set forth
in Exhibit B do not warrant a clarification of the proposed rates; (2) not to reduce
the proposed rates based on the Objections; (3) based on the Objections no further
review is necessary before making a determination on whether clarification or
3
Page 89 of 312
reduction is needed; and (4) to proceed with the protest hearing required under
Proposition 218, section 6 of Article XIII D of the California Constitution.
4. District staff is directed to mail a copy of this Resolution to each person who
submitted a timely Objection to the address listed on the Objection.
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility District
at a regular meeting thereof duly called and held within said District on the nineteenth day of
November 2025 by the following roll call vote
AYES:
NOES:
ABSTAIN:
ABSENT:
Attachments
Exhibit A — Written Objections (Redacted)
Exhibit B — Responses to Written Objections
TRUCKEE DONNER PUBLIC UTILITY DISTRICT:
Christa Finn, President of the Board of Directors Date
Attest:
Martina Rochefort, District Clerk/
Executive Assistant to the General Manager
El
Page 90 of 312
Exhibit A
To
Resolution No. 2025-32
Written Objections (Redacted)
Page 91 of 312
Proposition 218 Written Objection Form
REQUIREMENTS. -
(1) Each past of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 53'5.1
all objections must be timely received by the Truckee Donner Publrc Utility District by
5:00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
Jegal proceeding alleging noncompliance with Article XII I D of the California constitution
for these proposed new water rates.
GeneraNzed objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue that they
intend to pursue in a judicial action or proceeding.
(4) Late -filed, noncompliant, or incomplete written objections without an original
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement..
NAME OF PROPERTY OWNER OR RATEPAYER:
% a ,r. ■t-• - - - - ---- - -
1
Page 92 of 312
1. Describe the provr&vn(s) of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional previsions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
nec.essary.)
/ tte
raJ
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additianal pages as necessary.)
Thv'i LU cis rio CaYe{-&i td C{R
WK&/fl i kx u ��.�4—�v�. �S hc� a
(Ct. 5 k
5 + 9 £'X C e y -e.
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
Page 93 of 312
Signature:
Print Name:
Date: 11)-
I
L? •'( I
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORDINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 QQNNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. 70 BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number vo►jr rfinnr,ccl
Thi5 15
3
Page 94 of 312
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 53759.1
III objections must be timely received by the Truckee Donner Public Utility District by
5:00 p.m. on November 7, 2025. Failure to firnely submit a written objection, with.
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article XIII D of the California Constitution
for these proposed new water rates.
(3) Generalized objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue (s) that they
intend to pursue in a judicial action or proceeding.
(4) Late -filed, noncompliant, or incomplete written objections without an original
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
APN F PROPERTY:
I
Page 95 of 312
1. Describe the provision(s) olaw that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations., and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach dit]on l pages as
necessary.) t
I pro k 5+the, ,gat (_r-�CA�7g P.
2. Describe, with reference to your property and usage of water, how the proposed rates
Violate the provisions of law you cited above. (Attach additional pages as necessary.)
&VT k d P rc) sse r /-f7
po� �(
L4&JO 7YL
ra
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments_ (Attach additional pages as necessary.)
2
Page 96 of 312
Signature:
Print Name
Dates (O • L{
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNiA 96161. TO BE CONSIDERED TIMELY, AVAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5'0(l P_M_ ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
Is a5�-
3
Page 97 of 312
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to govemment code section 53759.'I
III objections must be timely received by the Truckee Donner Public Utility District by
5:00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Artide XIII D of the California Constitution
for these proposed new water rates.
Generalized objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue that they
intend t.o pursue in a judicial action or proceeding.
Late -filed, noncompliant., or incomplete written objections without an or in l
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
ran � I
I.I
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
1
Page 98 of 312
I. describe the provision(s) of few that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary.)
A ram 111areak rC &tVO,(�SCccL LW
is ,ter SLAsta.c&beW 4h 1i(\4F (5fl'LP
2.. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisio-ns of taw you cited above. (At€ach additional pages as necessacy.)
ii bQ4XC-Q 4c) ci&r bQJJe41
Ctn� h re:
koa llh ca r�e
. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages. as necessary.)
{`CtQdPC( S w ;1L 2
I nccxvriz .
N
Page 99 of 312
Signature:
Print Name-,
Date. I
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96'161. TO BE CONSIDERED TAMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, X025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
use ate- Mcre dw I#6
3
Page 100 of 312
r I
Proposition 21.8 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to govefnment code section 53759.1
all objections must be timely received by the Truckee Danger Public Utility District by
5:00 p.m. on November]. 2025_ Failure to timeiy submit a written abjectian, with
original signaturer using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article VIII D of the California Constitution
for these proposed new water rates.
(3) Generalized objections are in5ufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue (5) that they
intend to pursue in a judicial action or proceeding.
(4) Late -filed, noncompliant, or incomplete written objections without an angina
signature will not be considered as satisfying the exhaustion of administrative reniethes
requirement..
NAME OF PROPERTY OWNER OR R4TEPAI'ER:
yc&yi ext Mu I
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to
kiCArn cert
APN OFPROPERTY:
1
roposed rates)
Page 101 of 312
I
1. Describe the provision(s) of Law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regu'ations, and/or cases that are
alleged to be violated if the proposed rates are adapted. (Attach additional pages as
necessary.)
Docamwis
2. Describe, with reference to your pfoperty and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
bc)cum"-'� s enc�os-ect
3. Describe how Truckee Donner Pubic Utility thstrict may correct the alleged violations
of Law you stated above. Provide amendments to the proposed gates and the written
basis for the amendments. (Attach additional pages as necessary.
2
Page 102 of 312
4
Signature: err -v+ ---c 4/4,•�t- �`�'ki'We(A
Print Name: Ed mond ki. kCc
rmpef {' 4 Mo,kr y1 f�,YWn±pr
Date: JO - 6 = 2025
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL TI-I!S COMPLETED
OBJECTION FORM WITH AN 0RGINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNEDONNER PASS ROAD, TRUCKEE,
KEE,
CALIFORNIA 96161. TO E CONSIDERED TIMELY, MAiLED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5: PAM. ON NOVEMBER 7. 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
3
Page 103 of 312
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Page 106 of 312
a
The follow1ng
of Brack.
rates are
FLAT H4j"E R,B .ADEprlAL
V1996/97 RATE SCHEDULE
levied In addition to annual aasesscent fees on
A
shmres
FortF sit +dt i i rs ($46.00) bimontb1F. Fern will be payable, in advaiii e, on May
1 ., July 1, September I, November 1, January I and March 1,, These fees will be
considered delinquent 30 days after the billing date (sec Rules & Regulations ,
page 13, Article 111 , "Fee Stricture"); Accountts that become delinquent are
anacased a five dllar (*5.00) late charge at thirty (30) -days and. 010 t 00 Red
Tag Fee at forty five (4 5) days.
ARV&&L,*P.ME R.$D_ k ES.I DBDBNtJ.&L K TEL
Commercial and metered reoident.ial customers will be billed the following rates
based on meter size effective May 1, i995
4s -l"
meters
S 44.50
biRonthly,
25,000
gallon
bl*onthly
allotment;
meters
$ 35.6S
bimonthly,
31
, 230
gallon
bi.ontbl r
a1lataent;
1 1/2"
meters
$ 66178
bimonthly,
31,S00
gallon
bisrontkly
allatment;
2"
meters
$ 89.1'4
bimonthly,
30
000
gallon
bimonthly
allataent; and
.30
aeterr
$133.56
bimonthly,
15,000
gallon
b*mont 1F
allctm ft.
Tatar COflupton in exceso of the a l 1otment s indicated will be billed the
following excess cansuaptton rates per each additional one thousand gallon or
portion tberea! in addition to the regular bimonthly rate per meter size:
I to 20,000
ail a ..•.■F.
■,r■■
■60/1000
gallons
20.000
to 40,000 a11on ■ ..
■ ■
.70/1000
gallons
40,0110
and a o e ■ . � * . ■ F ...
* .... f I
f l
gallons
Excess consumption fees will be billed bl.onthly
RATES IN ADDITION '1'O !4 `,,, R P`B Mai U41 &8. 8
JJTR;
_k
Unit I Fees
829.00
Meter J 4*(per Board g 8/25/92)
127.00
Meter 1" (per Board Mt. 8/25/92)
1 gS ■ 0.Q
Connection Inspection Fee
50,00
Meter Boxes:
3/4" Single (when approved by GIIWC)
294.00
3/4 Double
497,00
3/41t Double/Double
440.00
10 Single (when approved by GMYC)
42700
Service Call (during office hours)
20.00
Disconnect for company reasons
2.00
Obsolete Account (min. 12 months)
10.00
Transfer Fee (change in ownership)
10.00
Returimed Check Fee
13.00
Stock Forfeiture Fee
100.00
Fire Bydrant, mater deposit
600.00
Fire hpdrant, metered water rate
2.75/1000 gallon.
Fire hydrant, no x-aetBred water rate
.00 truck load
**AFTER AHuR C1IARGE9 WILL BE DOUBLE THE ABOVE RATES*I
PRICES ARE SUBJECT TO CflANGfl
ADOPTED 4/16/96 RESOLUTION 960U4
Page 107 of 312
No
a.
1997 RATE SCHEDULE
The following rates are levied in addition to annual aeees-anent fee R an shares
of stock*
F L T A
BE -SIDE TlL:
Forty six dollars ($46.00)
bimonthl7! Fees will be payable, in advance, an
may
1, July
1. September I,
November 1, Ja ii.uary I and tarelt I. Theme fees will
'be
considered
delinquent 30 days after the billing data (see Rules & Begu1ations,
page 1 ,
Article I 1 16
"Fee Structure). ". Accounts drat become del i nquemt
ate
assessed
a five dollar
$ .d0) late charge at thirty (30) days and 410600
Red
Tag Fee
at forty five
(4 5) days 4 Late Fees, Red Tag Fees , and shut-off
f ems
become a
part of your water billing. Balances that remain unpaid into the
next
billing
period will be
charged -additional late fees. -
Ct] NCI
AI_. ND. _ E.RED ,.]R
E I DE Ti I AI. BATE:
Commercial and metered residential castoaera will be billed tie following rates
based on ■ester size effective ay 19 1996:
-1
u t
$ 4450
t`�i ontl�1.
25,000
gallon
y
iiaonthly
y
al1v sent
F 1/4"
meters
55.65
biaonth1y
31,250
gal1oi
bi.ontkly
I t/2
meters
66.79
bimonthly,
37,500
gaI1 rt
bimonthly
,
allotment;
TM
■ate.rig
$ 89.04
bimonthly.
50.000
gallon
biKonthly
allotment;, and
3"
meters
$133.56
bimonthly,
73
000
gallon
bimonthly
allotment.
Water consumption in excess of the allotments indicated will he billed the
following excess Ionuapt1on rates per each additional one thousand gal ionor
portion thereof in addition to the regular bimonthly rate per meter mire:
I to 20,000gal loma • i r. i i
f . .
■ 60/1000
gal fortis
20,000 to 40,000 gallons ■ ■
. ■ .. $
■ 70, 1000
gallons
4 0 } 0 V 0 a nd Lf ! ■ . ! ■ ■ ■ ■ ■ ■
above.....
■ F ■ ..$l.OO/1000
gal Inn
Excess coneumptio•tt fees will be billed bisonthlFf
TO WATER
Unit I Foes
Meter 3/4"(i,er Board Wtg. 8/25/92)
Meter 1" (per Board Wt * /25/92)
Connection 1napection Fee
ester toxe8;
3/4" Single (when approved by GMWC)
3/4" Double
3/4" Double/Double
1*' Single (when approved by GMW )
Service C811 (during office hours)
Disconnect for copay reasons
Obsolete Account (aino 12 months)
Transfer Fee (chanXe in ownership)
Late Fee, Both+! Water & Assessment Accts.
Red Tag Fee, Both Water & Asst. Acc to .
Returned Check Fee
Stock forfeiture Fee
Fire Hydrant, meter deposit
Fire hydrant , metered water rate
Fire hydrant, non -metered water rate
829.00
127,00
188.00
50.00
294 .00
497.00
410.00
427■00
20.00
25,00
10.00
10.00
5.00
10.0-0
13.00
100.00
•600.00
27S/l000 gallons
25.00/truck load
a' AFTER HOJ CL&R&BS WILL BE DOUBLE TRB ABOVE RATE**
PRICES ARE SUB 'EcT TO CHANGE
ADOPTED 04/22/97 RESOLUTIGN 97-OU
Page 108 of 312
# ' i-.
14630 G1enshire ]hive
R.O.GLE I liE
Box. 62
Truckee, 96160
916' 587.4949
916•S874952 (FAX)
MkTJAL11WAT`8COMPANY
- -- -
tai
RE:
Dear property Owner(s):
It has come to our attention that you are the new owner(s)
the referenced lot of the l n hir /Devonshire Subdivision of
Truckee, California.
Olenshire Mutual Water Company operates on behalf of the lot
owners in Glenshire, Devonshire, The Meadows and Cambridge
Estates. For each lot in these areas
which is appurtenant to the property. The share appurtenant
your land has been transferred �p to
into your name(s), and the enclosed
certificatei evidence of your ownership in the Glenshire Mutual
Water , Company. Any previous, certificates have been cancelled on
the books of the corporation and are no longer alid.
Whilethe share of stock is evidence of your right to receive
water for your land and vote as a shareholder to choose the Board
of Directors, it also carries the responsibility providing of � the
necessary financing to operate and maintain the water system. Each
share is subject to pay debts and expenses, either incurred a r
estimated to be incurred, and for the creation of reserves
annual and continued operation and maintenance of the
water
company. These assessments are used to keep the at r company
operational and to insure water availability at the time you
develop your lot. All shareholders are equally responsible for
the assessments even if they are not hookedto the water
up system
and using water. Water users pay an additional fee to cover
water delivery expenses.
Currently, the annual assessment is $100; 00 and is levied
each May 1st, with remittance due upon receipt .1 Non-payment of the
assessment results in forfeiture of the ownership of the stock and
right to water service. The Board of Directors may file
piiatin with the Dan
rt nt of Corporations for redemption of
these shares at the sole expense of the owner requesting the
share
issuance, but the Board of Directors are not required to
Our Articles of Incorporation authorize the company to ell water
on'y to owners of our stock. This means that each homeowner nor is
responsible for all water charges even if the honie is leased to
another party.
Page 109 of 312
Wr
14r. .
March 18, 1997
Page Two
The Water
Company can direct the bimonthly billing
statements
to
the tenant
with written instructions from the owner;
however,
this
method of
collection does not release the property
owner from
the
responsibility
of payment. The homeowner will still
be
liable
for
all unpaid
charges, including but not limited to late, red tag
and
reconnection
As the owner of this property, it is your responsibility to
keep the cOmpany informed of your current address to insure receipt
of all billings and commniunications.
In the event you sell your property, please return your share
certificate and notify us immediately of the newowner's name and
address so that we may .i ue a new certificate and apply the
7
assessment accordingly. You can instruct the title company to do
this for you through escrow procedure.
At the time you decide to build on your lot, you will be
required to complete and sign an application for water service, and
pay the required fees. Applications will not be approved without
the property owner's signature, payment of all fees and any
delinquent amounts due the water company. After the application
has been processed, and the service connection and lateral line
inspected by our operations personnel, water service will be
initiated . Services hooked up without an approved application and
.inspection will be subject to a penalty, and the connection will
have to be uncovered at the owner's expense for inspection.
Specifications for installing the hook-up and the Company
OperatingRules and Regulations will be provided at the time of
application or upon request.
We anticipate your interest in the organization4 If you have
any questions or wish additional information, please feel free to
contact
Sincerely,
GLENSHIRE I E MUTUAL WATER COMPANY,
ill Whitener
General Manager
BDW/ks
Enclosures
File 4425
INC
Page 110 of 312
I.
tcil ri f?c
y
TRUCKEE DONNER
L d Public Utility District
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
To exhaust administrative remedies pursuant to government code section 53759.1
air objections must be timely received by the Truckee Donner Public Utility District by
5-00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article XI II D of the California Constitution
for these proposed new water rates.
Generalized objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue that they
intend to pursue in a judicial action or proceeding.
Late-fil dt noncompliant, r incomplete written objections without an original
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
Crump, Christopher & Evangeli#a Trste
OWNER OOR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
t
Page 111 of 312
I - Describe the provision(s) of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
na r!,s.)
IThis proposed rate increase appears to violate multiple provisions of Law:
California Constitution., Article XIII D, $6(a)(1)-(3): Revenues may not exceed service
costs and must be proportional.
Government Code S53756: Prohibits automatic or ongoing rate adjustments not tied
to
cost -of -service.
Relevant Case Law: Howard Jarvis Taxpayers Assn. v. City of Fresno (20U5),.
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
Our property is a single-family home with moderate water consumption and
conservation measures. Despite this, the proposed . % annual increase would
raise our bill significantly. The District has not provided a detailed cost -of -service
analysis demonstrating that the cost to supply, treat, and deliver water has increased
proportionally. Some proposed revenue appears to fund capital projects or
administrative costs unrelated to our service, and the automatic -escalator violates
Government Code S53756.
3. Describe how Truckee Donner Public Utility District may correct the alleged vioatons
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
Please see attached memo dated October 16, 2025
2
Page 112 of 312
a
Signature. -FO�6
Print Name
Date:
'ii,jLitC'ZliZ .*
kL.ozL UI (Lt
Q
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SiGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
Page 113 of 312
}
F
N.
Date October 16, 2025
Truckee Donner Public Utility District
11570 Donner Pass Road Road
Truckee, California 96161
Christopeer & Evangelita Crump
Subject: Proposition 218 Protest - Objection to Proposed 6.5% Annual Water Rate Increase
Pursuant to Article XI 11 D, Section 6 of the CaliforniaCatifornia Constitution (Proposition 218) and
Government Code S53750 et. seq., We hereby submit this formal written protest and objection
to the Truckee Donner Public Utility District's proposed 6.5% annual increase in water service
rates.
This proposed rate increase appears to violate multiple provisions of Law:
• California Constitution, Article XHl 0, 86(x)(1 -()4 Revenues may not exceed service
costs and must be proportional.
• Government Code 4 Prohibits automatc or ongoing rate adjustments riot tied to
cost -of -service.
• Relevant Case Law: Froward Jarvis Taxpayers Assn. v. City of Fresno (2005),
Capistrano Taxpayers Assn. v. City of San Juan Capistrano (2015), Bighorn -Desert View
Water Agency v. Vasil (2005).
How the Proposed Rates Violate the Law as Applied to Our Property
Our property is a single4arnily home with moderate water consumption and conservation
measures. Despite this, the proposed .° annual increase would raise our bill significantly.
The District has not provided a detailed cost -of -service analysis demonstrating that the cost to
supply, treat, and deliver water has increased proportionally. Some proposed revenue appears
to fund capital projects or administrative costs unrelated to our service, and the automatic
escalator violates Government Code SS 3756.
How Tahoe Donner Public Utility May correct the alleged Violations
To bring the proposed fates into compliance with Proposition 218 and related law, the following
amendments are recommended:
Page 114 of 312
1. Publish a ComprehensiveCost-of-Service Study - Article XJ II D. 86(a)(1)-(3).
2. Remove or Revise the Automatic 6.5 Escalator - Government Code 853756_
3. Align Rates with Proportional Cost of Service •- Articie XIII D, 56(a)(3).
4, Exclude Costs Unrelated to urr nt Service Article XIII D, $6(a)(1), , (4).
.. Conduct Independent Audit and Public Hearing _ Article XIII 0, 56(a)(5).
For these reasons, we respectfully request that TDPUD rith dra or revise the proposal to
ensure compliance with Proposition 216 by providing full cost -of -service Justification, removing
automatic escalators, and ensuring proportionality by customer, class_
Srn ely,
£ v'a
hJ CctLr1
Christopher and E.anelita Crum.p
Page 115 of 312
i
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 53759.1
all objections must be timely received by the Truckee Donner Public Utility District by
5:00 p.m. on November 7, 2fl25_ Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article XIII D of the California Constitution
for these proposed new water rates.
(3) Generalized objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue (s) that they
intend to pursue in a judicial action or proceeding.
(4) Late -filed, noncompliant, or incomplete written objections without an orig�:naF
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
Vicki Henry
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
Page 116 of 312
1. Describe the provision(s) of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations,and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary.)
Violation of ArticleXIII D 6(b)(3) — Use of fees for general government purposes
The inclusion of "General Manager, "AdministrativeSeMces," and "Board of Directors"
operating costs in the water rate base (as shown in the -draft rate study) suggests that rate
revenue is being used for non -water -related overhead, contrary to constitutional limits.
Failure to comply with procedural transparency under Prop 218
The mailed notice and online materials omit key analytical tables (capital reserve
balances, depreciation hedul , and comparative cost -per -gallon metrics) necessary for
meaningful public review. Prop 218 mandates that "the agency shall provide written not -ice
containing sufficient information to identify the amount, basis, and reason for the tee"
TDPUD1s notice provides only aggregated percentage increases.
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
Unlawful compounding and pre -authorization of future rates
The Board seeks to approve five years of rate increases in one vote, binding future
ratepayers and Boards without annual public recalculation of cost of service, violating
Prop 218's requirement that each rate adjustment be independently justified.
Disproportionatefixed charge component
The Base Charge represents the "vast majority" of all residential bills (TDPUD"S own
mailer confirms this). A high fixed charge, unrelated to actual water use, penalizes
conservation and may be inconsistent with State Water Board efficiency policies and
Prop 218's proportionality clause.
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
2
Page 117 of 312
d
Signature:
Print Name:
Date:
t
225�
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORDINAL SIGNATURE TO TRUCKEE D0NNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
Sec 3:
Suspend adoption of the 2026-2030 rate . h du ;
Direct HDR Ic prepare a revised, transparent, per -class cost -of -service report and
updated capital needs assessment;
Hold a new public hearing with at least 45 days1 notice and full data disclosure;
Adopt only ,ore -year adjustments, subject to independent audit and inflation
verification.
3
Page 118 of 312
C' a',izovV\
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely,
(2) To exhaust administrative remedies pursuant to government code section 53759L1
all objections must be timely received by the Truck.Truck.ee Donner Public Utility District by
5:00 pm. on November 7, 202.5. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through
legal proceeding alleging noncompliance with Article XIII D of the California Constitution
for these proposed new water rates.
(3) Generalized objections are insufficient. To satisfy this exhaustion of adniinistcative
remedies requirements, objecting parties must present the exact issue (s) that they
intend to pursue in a judicial action or proceeding.
(4) Late -filed, noncompliant, or incomplete writt n objections without an original
signature will not be considered as ti f in the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY
ow
R OR RATEPAYER:
ject to proposed rates)
APN OF PROPERTY:
Page 119 of 312
I. Describe the prim of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, arid/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary.)
*/ S (ttt Ivareaf-es
eiGPL4.0l4/1G �
/8 4
CO
4
L7>
CtCL6 friDL4/
kow 4-
Vc&) L,jr/
. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
QflC I
kwi ko QpJQ�
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
i
2
Ulie
Page 120 of 312
R
Signature:
Print Name:
Date:
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OS,lECTfON FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED 71MELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY S:QQ P.M.. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
Page 121 of 312
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out camp�etely.
To exhaust administrative remedies pursuant to government code section 5375-9. r1
all objections must be timely received by the Truckee Donner Public Utility District by
5:00 p.m. on November , 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through
legal proceeding alleging noncompliance with Article XIII D of the Catifornia Constitution
for these proposed new water rates.
Generalized bj tion are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue that they
intend to pursue in a judlolal action or proceeding.
Late;filed, noncompliant, r incomplete written objections without an original
signature will not be considered as satisfying the hau tion of administiative remedies
r quir rn nt.
NAME OF PROPERTY OWNER OR RATEPAYER:
Janet Coombs 1
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
Page 122 of 312
1. Describe the pr i i n(s) of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary.)
Prop 218 requires voter approval for new or increased property -related fees,
including water rates.
It mandates that water rate structures be based on the cost of providing service and
can not be unjustified or inflated.
2. Describe, with reference to your property and usage of water, how the proposed rates
v�vla#e the provisions of law you cited above. (Aftach additional pages as necessary.
My property is at the bottom of TD and in Zone 2. My water use fluctuates monthly
based on my use. In the winter months it is almost nil. I am already being charged a
pump charge, base rate and commodity charge. The proposed annual increases do
not reflect the true cost of providing service.
3. Describe how Truckee Dormer Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the m nd ent . (Attach additional pages as necessary.)
2
Page 123 of 312
Signature:
J4t
Print Name:
Date: '��y�
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORDINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
1
Page 124 of 312
n
M
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 537591
all objections must be timely received by the Truckee Dormer Public Utility District by
5:00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through
legal proceeding alleging noncompliance with Article XIII D of the California Constitution
for these proposed new water rates.
Generalized objections are insufficient. To satisfy this exhaustion f administrative
remedies requirements, objecting parties must present the exact issue that they
intend to pursue in a judicial action or proceeding -
(4)
Late -filed, noncompliant, or incomplete written objections without an original
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER RATEPAYER:
David and Nancy Tattersall
OWNER OR RATEPAYERS ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
Page 125 of 312
I
1. Describe the provision(s) olaw that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be iolat d if the proposed rates are adopted. (Attach additional pages as
necessary_)
No basis has been described for why the rates should be increased so much. We
have received no detailed information supporting the rate increase.
. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
The higher rates to be applied to part time residents is clear case of discrimination.
Fart time residents will pay the same base fee as full time residents. There is no basis
for charging a higher just because you are a part time resident.
. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
2
Page 126 of 312
r.
.6
Signature:
Print Name: P
Cate:
1
dA
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTIONFORM WITH AN. 0RGINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNEDONNER PASS ROAD. TRUCKEE,
I EE,
CALIFORNIA96161. TO BE CONSIDERED TIMELY, MAILED OBJECTtONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
Page 127 of 312
Proposition 218 Written Objection Form
P
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
To exhaust administrative remedies pursuant to government code section 53759.1
all objections must be timely received by the Truckee Donner Public Utility District by
5:00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right.to challenge the new rates through a
legal proceeding alleging noncompliance with Article X1111 D of the California Constitution
for these proposed new water rates.
Generalized objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue that they
intend to pursue in a Judicial action or proceeding.
(4) Late -filed, noncompliant, or incomplete written objections without an original
signature will riot be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
Joshua Ridless 1
OWNER OR RATEPAYERS ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
1
Page 128 of 312
n
1. Describe the provision(s) of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are a c•pt ce (Attach additional pages as
necessary.)
e
. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach dditi•on 1 pages as necessary.)
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
2
2
Page 129 of 312
Signature: _
Print Name. Joshua R�dless
Date: 9/28/25
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WTH AN ORGINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS READ, TRUCKEE,
CALIFORNIA 96161. 10 BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY x:00 P.M. ON NOVEMBER 7, 2025.
1
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
3
Page 130 of 312
APN OF PROPERTY:
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 53759.1
all objections must be timely received by the Truckee Donner Public Utility District by
5:00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article III! D of the California Constitution
for these proposed new water rates.
Generalized objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements* objecting parties must present the exact issue that they
intend to pursue in a judicial action or proceeding.
(4) Late -filed, noncompliant, or incomplete written objections without an anginal
signature will not be considered as satisfying the exhaustion of administrative anted es
requErement.
NAME OF PROPERTY OWNER OR RATEPAYER:
Erika Frick
AYR'S ADDRESS: (Must be subj
1
top
rates)
Page 131 of 312
1 . Describe the provision(s) of haw that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regu'ations, andlor cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary.)
he steep increases likely violate Art. Xffl [], &(b) of the CA Constitubon (Prop 218),
which bars rates exceeding proportional service costs €ar generating excess revenue.
he lack of detailed financial data also raises concerns under Gov. Code §66413,
hich requires capital charges to reflect actual costs, and under PUC §§128111
12823, mandating fair, reasonable, non-discriminatory rates. The structure may
urther violate Art. X, §2 of the CA Constitution by discouraging beneficial water use
hrough excessive pricing. Additionally, the increases raise equal protection issues
rider federal and state Constitutions due to their disproportionate impact on certain
eographicleleva#ian-based customer groups without sufficient justffication. Though
Oce was given, it lacked the clarity and specificity reeded for meaningful public
participation, potentially violating Prop 218 and the CA Public Records Act,
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
�s a resident in Pump Zone 4, my property is subject to even higher water charges in
he district. No clear Cost -of -service data or justificafion was provided for these
lisproportionate rate hikes, which far exceed nfiation and extend years into the future
vithout basis. This lack of transparency violates Art. XIII a, §6(b) (Prop 218),
'equiring fees to match proportional service costs, and PUC §§12811, 12823,
Mandating fair, reasonable rates. Base rates for all zones have already risen sharply
n recent years, and proposed multi -year increases continue this excessive trend.
4bsent clear evidence linking hikes to actual service tests, they appear to violate
'fop 218, Gov. Code §6G413, and equal protection principles byimposing unjustified
�urdens, especially on higher -elevation customers.
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
IForm is not workirtg, Please see Box on page 3 for this answer.
2
Page 132 of 312
rj
Signature:
O x
Print Name:
Date: % 0/1
PLEASE HAND DELIVER DURING'BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKLE DOWNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TIMELY, MAILED OBJECTIONS MIDST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL.) (Please number your responses)
swer to question 3 above'.
D U should cancel all proposed rate increases.
ec•ont hikes have already far exceeded inflation with no clear cost justification. No further
nereases are warranted,
irn ndme:nt:
reeze rates at current levels through the .proposed period.
is:
increases have been excessive and unsupported by transparent data.
user hikes Iikely violate Prop 218, Gov. Code §66013, and PUG §12811, 12823.
PUD shouki focus on better fiscal management, not higher rates.
3
Page 133 of 312
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 53759.1
all objections must be timely received by the Truckee Donner Public Utility District by
5:00 p.m. on November 7, 2O25. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article XIII I U of the CaEifornia Constitution
for these proposed new water rates.
(3) Generalized objections are insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue (s) that they
intend to pursue in a judicial action or proceedpng.
(4) Late -filed, noncompliant, or incomplete written objections without an original
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
Flavio Scarra
--
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
Page 134 of 312
1. Describe the provision(s) of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary.)
I am writing to formally object to the proposed water rate increases scheduled
through 2030, which would raise the rate from 103.03 to 139.58—a substantial
increase of approximately 35%. This significant escalation will place a considerable
financial burden on all households, regardless of their actual water usage.
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of raw you cited above. (Attach additional pages as necessary)
I strongly urge you to reconsider the structure of these rate increases. Specifically, I
recommend that the policy be revised to avoid penalizing households with lower
consumption, such as those using their property as a vacation home or families who
actively conserve water. The current policy discourages conservation and
disproportionately impacts those who use less water, which may raise questions
regarding its fairness and legality.
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary. )
PIeRN Ct 1 E'.Zdr I hig: i;5P ee r4j Iaf111J1 xMIt MVG o"PFOPQIP C RIM4 c 9 I {epvc16vPiY r@gj44�I rrr<1 y+ -s rQu,ow and l 21 idr I�.i ttroi'4 F Ed,xsta to ararla 001kew thaL ocher r HEam equtable yreaLrt erl axed inc@nb Nrea water
iOii
Page 135 of 312
Signatur
Print Name:
Date,
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORDINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:0D P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (P'ease number your responses)
Page 136 of 312
J
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 53759.1
all objections mutt be timely received by the Truckee Donner Public Utility District by
5.00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article Xfll• D of the California Constitution
for these proposed new water rates.
(3) Generalized objections ace insufficient. To satisfy this exhaustion of administrative
remedies requirements, objecUng parties must present the exact issue (s) that they
intend to pursue in a judicial action or proceeding_
(4) Late -filed, noncompliant, or incomplete written objections without an original
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER -
Terrence Conway
OWNER OR RATEPAYERS ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
Page 137 of 312
1. Describe the provision(s) of Law that form the bass of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be viaPated if the proposed rates are adopted. (Attach additional pages as
necessary.)
The proposed TDPIID water rate increases violate provisions of Article Xiii D Section f tie CaIiornia Constitution
(Proposition 18) WhCIi requires that property -related charges such as water rates
Not exceed the funds .r quifed to provide the service (Section 6(b)():
Be used only for the cost of providing the service (Section (b)(2))
Be proportional to the cost 01 service attributable to each parcel (Sermon 6(b)(3); and
I Not impose fees for services not directly recehied by the parcel (Sermon (b)())
ThE coposet rate creases, I- �'jtinq et v tkc n-tas 1 "puma zone' sucrarQes. appeal to 'eato ttes.e contitutiflat
provisions b k iftin excessive and disproportionate costs onto certain customers without clear and transparent
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
l resdi in Pump Zone 4, which is ubje t to an d iition l $106 per 1,000 gallons surcharge on top of base
and commodity water rates, This surcharge is s t dul d to increase further under the proposed 2025-2030
rate plan.
These vatEan-teased charges disproportionately impact my property and others 3n higher zones by rmpasing
hundreds of dollars per year in additional costs unre#�ted to actual water usage or service quality.
The compounding 7%-5.5% annual rate increases further amplify this inequity, resulting in total rate growth far
above inflation and without sufficient demonstration that these revenues are necessary to provide service to
my property.
ITherefore, the proposed rates are not proportional to the cost of service, exceed the reasonable cost to serve
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above _ Provide amendments to the proposed rates and the written
bass for the amendments. (Attach additional pages as necessary.)
o correct es� vio a ions arid comp y'with Proposition 21w,
istrict should:
Suspend implementation of the proposed 2026-2030 water rate increases until a
revised, transparent cost -of -service study is completed and publicly reviewed.
Reevaluate the elevation -based "pimp zone" surcharges to ensure they are strictly
proportionaJ to the ac#ual incremental cost of pumping water to each zone, supported
by verifiable data,
Provide clear documentation detailing how projected revenues will be used
exclusively for water service costs, consistent with Article XIII D, Section 6(b)(2}.
Conduct meaningful community engagement and public workshops before adopting
any new long-term rate adjustments.
These actions would restore compliance with Proposition 2'18 and ensure the rate
4
2
Page 138 of 312
v I
Signature:
Print Name:
Date:
or
r•!
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE D0NNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TIMELY, MAiLED OBJECTIONS MUST
BE RECEIVED SNOT POSTMARKED) BY 5:00 PM_ ON NOVEMBER 7, 2025,
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
Page 139 of 312
Date;
To:
From.
Service Address:
Subject:
10-13-25
Board of Directors, Truckee Donner Public utility District
Michael T. Shellito
Written Objection Form in Protest of Proposed Water Rate
Increases for 2026-2030 pursuant to Government Code section
53759i and in accordance with California Proposition 218.
I hereby submit this formal written protest against the proposed water rate increases
for 2026 2030 as described In TDPUDrS Notice of Public Hearing. I do riot support the
adoption of the proposed rate schedule.
1. Describe the provision(s) of law -that form the basis of your objection, with
specific reference to statutes, rules, constitutional provisions, regulations, and/or
cases that are alleged to be violated if the proposed rates are adopted. (Attach.
additional pages as necessary.)
Pursuant to California Government Code § 53759.1 and Article XIII D, Sections 2 & 6 of
the California Constitution, I hereby object on the following legal and factual grounds:
Violation of Article XIII D § 6(b)(1)- Lack of proportionality and nexus to -cost of service
The proposed 6.5% annual increase appears uniform across all customer classes and
years without a demonstrated cost -of -service analysis per clasp or zone. Prop 218
requires fees to rio greater than the proportional cost of service attributable to each
parcel. The HOR rate study projects uniform increases regardless of consumption,
service le tin, or infrastructure depreciation schedule, which may constitute an
illegal cross -subsidy between customer classes.
Failure to demonstrate actual financial necessity The HDR 2025 draft study assumes
expenditure growth (administrative, IT, conservation, "interdepartmental rent")
exceeding inflation and without line-iterri justific.ation. The report shows expenditures
growing faster than revenues, suggesting inflated internal cost allocations andself-
created deficits rather than verifiable system costs.
Violation of Article XIII D § 6(b)(3) - Use of fees for general government purposes The
inclusion of "General Manager," "Administrative Sari ," and "Board of Directors'
operating costs in the water rate base (as shown in the draft rate study) suggests that
rate revenue is being used for non -water -related overhead, contrary to constitutional
limits.
Page 140 of 312
Failure to comply with procedural transparency under Prop 21 The mailed notice and
online materials omit key analytical tables (capital reserve balances, depreciation
schedules, and comparative cost -per -gallon metrics) necessary for meaningful public
review. Prop 218 mandates that "the agency shall provide written notice containing
sufficient information t . identify the amount, basis, and reason for the fee," TDPUD"s
notice provides only aggregated percentage increases.
Inconsistent with Prop b)•( - Excessive reserve funding The study references
"rate -funded capital" of $5-7.6 million per year, which appears to exceed current -year
depreciation and may establish unauthorized reserves beyond reasonable operational
need.
Failure to re-evaluate after material assumptions. change Section 5.7 of the HDR Draft
Report admits that "should these assumptions change, the proposed rate adjustments
may also need to be revised.." Inflation, growth, and capital project costs have already
shifted since the 2024-2025 base data. Adoption without an updated financial test
constitutes arbitrary and capricious action under administrative law.
Unlawful compounding and pre -authorization of future rates The Board seeks to
approve five years of rate increases in one vote, binding future ratepayers and Boards
without annual public recalculation of cost of service, violating Prop 218's requirement
that each rate adjustment be independently justified.
2. Describe, with reference to your property and usage of water, how the
•r • s d rates violate the provisions of law you cited above.
Disproportionate fixed charge component The Base Charge represents the "vast
majority" of all residential bills (TIDPLID's own mailer confirms this). A high fixed charge,
unrelated to actual water use, penalizes conservation and may be inconsistent with
State Water~ Board efficiency policies arid Prop 218's proportionality clause,
3. Describe how Truckee Donner Public Utility District may correct the alleged
violations of law you stated above. Provide m ndm t to the proposed rates
and the written basis for the amendments.
I request that the Board: Suspend adoption of the 2026-2-030 rate schedule; Direct
HDR to prepare a revised, transparent, per -class cost -of -service report and updated
capital needs assessment;
Hold a new public hearing with at least 45 days' notice and full data disclosure;
Adopt only one-year adjustments, subject to independent audit and inflation
verification.
iSgnature:
-3rint Name: Michael T. Shellito ito Date: 10-13-2025
Page 141 of 312
Proposition 218 Written Objection Form
REQUIREMENTS
(1) Each part of this form, must be failed out completely.
To exhaust administrative remedies pursuant to government code section 53759.1
all objections must be tirney received by the Truckee Donner Public Utility District by
500 p.m. on November 7, 2025. Failure to timely submit a written objection, with
orgina signature, using this form bars any right to challenge the new rates through
legal proceeding aIeging noncompliance with Article XIII D of the Calif rnia Constitution
-for these proposed new water rates.
Generalized objections are insufficient To satisfy this exhaustion of administrative
remedies requirements, objecting parties must present the exact issue that they
intend to pursue in a judicial action or proceeding.
Late -filed, noncompliant, or incomplete written objections
signature will not be considered as satisfying the exhaustion
requirement.
NAME OF PROPERTY WNE RATEPAYER:
Derrek Horn
without an original
of administrative remedies
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
Page 142 of 312
. Describe the provision(s) olaw that form the basis of your objection, with specific
reference to statutes, rules, consttut.ional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary..)
The proposed 2026 2030 water rate increases violate Article XIII D, Semen 6(b)(1) of the
California Constitution because -the rates are not proportional to the actual cost of service for each
parcel or customer class.
The proposed increases also violate Arlicle XIII Li, Section 6(b)(3) because system revenues are
being allocated toward administrative and overhead uses not directly tied to water service delivery.
Additionally, the District is tt mpt ng to pre -authorize uld-year compounded rate increases
without recaIcuIatrn� cost -of -service annually, which s inconsistent with Proposition 218 procedural
and transparency requirements and Government Code § 53759.1.
. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary.)
The majority of my bill is determined by the fixed Base Charge, which does not reflect my actual
-water usage, This causes me to pay more than the proportional c05t of service required lo serve
my parcel.
Because the rate structure -relies heavily on fixed charges rather than usage -based costs, I am
financially penalized despite conserving water. This vioIats the requirement that fees not exceed
the proportional cost of service for my parcel
The uniform annual increases also do not retie my property's spec demand level, elevation
zone costs, or meter capacily. and therefore lack the constilutlonally required cost -of -service
nexus.
. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
G TM Dorm rya r am amup rie ammo- W sib . J WOMW .O* A!* r.re �. �� m�. + 1494dPUJQr Try. C • O.
2
Page 143 of 312
Signature:
natur :
I er-r Horn C
Print
Date: 11/4/2025
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
(]BJECTiUN FORM WITH AN ORGINAL SIGNATURE TO YRUCl<EE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRl1CKEE,
CALIFORNIA96161_ TO BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) RY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
(added the 'Descfibe how- TDPUD may correct the violations here due to
formatting :issues)
The District should suspend adoption of the proposed five-year rate schedule and
instead adopt only a single -year rate adjustment that is tied to updated,
transparent, and independently verged cost 1 -•service calculations,
The District should revise the rate structure to reduce the fixed Base Charge and
increase the vo'umetric volumetricrate component so that charges more closely -reflect
actual usage and parcel -specific cost of service,
A revised cost -of -Service analysis must be publicly released with line -it m
operating, capital, administrative, and reserve allocation detail prior to any new
hearing and rate adoption.
Page 144 of 312
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
To exha u t administrative remedies pursuant to government code section .53759.'1
a l objections must be timely received, by the Truckee Donner Public Utility District by
5:00 ppm. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through
legal proceeding alleging noncompliance with Article Xlll D of the California Constitution
for these proposed new water rates.
Generalized objections are insufficient. To satisfy this exhaustion of -administrative
remedies requirements, objecting parties must present the exact issue(s) that they
intend to pursue in a judicia' action or proceeding.
(4) Late -filed, noncompliant, or incomplete written objections without an original
signature will not be n idr d as satisfyingthe h, ti n of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
Terrance Oliver
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
APN OF PROPERTY:
Page 145 of 312
1. Describe the provision(s) of law that form the basis of your objection, with specific
reference to statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be iolated if the proposed rates are adopted. (Attach additional pages as
necessary.)
I am concerned that proposed rate increases (e.g. water rates, utilities, or tax
assessments) will place an undue financial burden on residents in Truckee
particularly those on fixed or moderate incomes.
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional pages as necessary)
Because property values and assessments in our area have already been rising
substantially, further increases in rates will magnify housing cost pressures. Many
homeowners and renters are already stretched. A rate hike may lead to increased
pushback r public dissatisfaction, and could reduce trust in local governance if
residents feel sudden increases are not justified.
3. Describe how Truckee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the m ndr ent . (Attach additional pages as necessary).
ire xe uuw r&iue3I li�1 it tiirr. erF-Ovate z3rivi6r d ttit it rea ra�r�ar1a srr t d8rdM Iu51rRIS�Li 'd c4artir-�nrrna;eu1i+7 sia- 5 m6dhr.OLAhca
2
Page 146 of 312
Signature:
Print Name:
Date: l�
PLEASE HAND DELIVER DURING BUSINESS HOURS MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE DONNER
I E IS
PUBLIC UTILITY DISTRICT AT 11570 DONNER EI PASS ROAD* TRUCKEE,
EE,
CALIFORNIA 96161. TO BE CONSIDERE.D TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P_ 'I1 ON NOVEMBER, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
3
Page 147 of 312
Protest - For inclusion in public ount under Prop 218
I am the owner{ratepayer of the property located at:
Service Address ______________________________
-
ARN:
Name: Jennifer Sanchez
Signature-.,,
Date: 10-1 -2025
I hereby submil this formal wrilten protest against the proposed water rate increases for
2025-2030 as described in TDPUD's oti of Public Hearing.
I do not support the adoption of the proposed rate schedule. From my understanding
the proposed plan to raise our rates by more than 13% every year for the next five
years.
That's a 68% increase in five years.
The consumer price index for California hovers around 3% per year for increases in
utilities. This proposed rate is too much!
II_ Legal Objection and Grounds for Challenge
Pursuant to California Government
Code §
53759.1
and Article XIII D
Sections 2 & 6 of
the California Constitution, I hereby
object
on the
following legal and
factual grounds:
Violation of Article XIII D § 6(b)(1) - Lack of proportionality and nexus to cost of service
The proposed 6.5°ie annual increase appears uniform across all customer classes and
years without a demonstrated cost -of -service analysis per class or zone. Prop 218
requires fees to be no greater than the proportional cost of service attributable to each
parcel. The HDR rate study projects uniform increases regardless of consumption,
service elevation, or infrastructure depreciation schedule, which may constitute an
illegal cross -subsidy between customer classes.
Failure to demonstrate actual financial necessity
The HDR 2025 draft study assumes expenditure growth (administrative, IT,
conservation, "interdepartmental rent") exceeding inflation and without line -item
justification. The report shows expenditures growing faster than revenues, suggesting
Page 148 of 312
inflated internal cost allocations and self-created deficits rather than verifiable system
costs_
Violation of Article XIII D § - Use of fees for general government purposes
The inclusion of 1 Gen ral Manager7 "Administrative Services1 and r"Bo rd of Directors'
operating costs in the water rate base shown in the draft rate study) suggests that
rate revenue is being used for non -water -related overhead, contrary to con titutional
limits
_
Failure to comply with procedural transparency under Prop 218
The mild notice and online materials omit key analytical tables (capital reserve
balances, depreciation schedules, and comparative co ttper-gallon metrics) necessary
for meaningful public review. Prop 21 8 mandates that 'the agency shall provide written
notice containing sufficient information to identify the amount, basis, and reason for the
fee."r TDPUD's notice provides only aggregated percentage increases.
Inconsistent with Prop 218 § 6(b)(5) - Excessive reserve funding
The study references "'rate -funded capital" of $5-7.6 million per year, which appears to
exceed current -year depreciation and may establish unauthorized reserves beyond
reasonable operational need.
Failure to re-evaluate after m terial assumptions change
Section 5.7 of the HDR Draft Report admits that "should these assumptions change, the
proposed rate adjustments may also need to be revised Inflation, growth, and capital
project costs have already shifted since the 2024-2025 base data. Adoption without an
updated financial test constitutes arbitrary and capricious action under administrative
Unlawful compounding and pre -authorization of future rates
The Board seeks to approve five years of rate increases in one vote, binding future
ratepayers and Boards without annual public recalculation of cost of service, violating
Prop 218's requirement that each rate adjustment be independently justified.
Di proportionate fixed charge component
The Base Charge represents the "vat m. jority" of all re idential bills (TDPUD'S own
mailer confirms this). A high fixed charge, unrelated to actual water use, penalizes
conservation and may be inconsistent with State Water Board efficiency policies and
Prop 21 8's proportionality clause.
Page 149 of 312
III. Requested Remedies
ie
To cure these deficiencies, I request that the Board:
Suspend adoption of the 2026-2030 rate schedule;
Direct HDR to prepare a revised, transparent, per -class cast -of -service report and
updated capital needs cement;
Hold a new public hearing with at least 45 days' notice and full data disclosure;
Adopt only one-year adjustments, subject to independent audit and inflation verification_
IV. Signature for Legal Standing
I understand that failure to submit this objection with original signature and by 5:00 PM
on November 7, 2025 may waive my right to legal challenge. This objection is therefore
submitted in full compliance with Government Code 53759.1.
Signature
Service Address --
APN:
Name: Jennifer Sanchez
Page 150 of 312
L
IF
APN OF PROPERTY:
TRUCKEE DONNER
Public Utility District
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
To exhaust administrative remedies pursuant to government code section 53759.1
all objections must be timely received by the Truckee Dormer Public Utility District by
5:00 p.m. on November 7, 2025. FailureFaiLure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article XIII I D of the California Constitution
for these proposed new water rates.
Generalized objections are insufficient. To satisfy this exhaustion of adrrinistrative
remedies requirements, objecting parties must present the exact issue (s) that they
intend to pursue in a Judicial action or proceeding.
Late -filed, noncompliant, or incomplete written objections without an original
signature will not be considered as satisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
1 5,vth s ,0 I1iPE
OWNER OR RATEPAYER'S ADDRESS: (Must be subject to proposed rates)
I
Page 151 of 312
1. Describe the provision(s) olaw that form the basis of your objection, with specific
reference to -statutes, rules, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as.
necessary.)
TM 4)t1
vL�1, ,tn
na &-rAS4'
.0 lb PL4L
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions cf law you cited above. (Attach additional pages as necessary.)
tv'k, tv'J c
-;'-''-- _
3. Describe how Truckee Donner Public Utility Dstdct may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments. (Attach additional pages as necessary.)
1,.ii'
Page 152 of 312
sp
Signature: _
Print Name:
.date:
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLE'TED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE .DQNNER
PUBLIC UTtLITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TIMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) Please number rraur resoonsesl
Page 153 of 312
Oyu/�L� oK
I
Proposition 218 Written Objection Form
REQUIREMENTS:
(1) Each part of this form must be filled out completely.
{2) To exhaust administrative remedies pursuant to government code section 5359.1
all objections must be timely received by the Truckee Donner Public Utift District by
5:00 p.m, on November 7, 2025. Failure to timely submi# a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal proceeding alleging noncompliance with Article XIII D o�the California Constitution
for these proposed new water rates.
(3) Generalized objections are insufficient To satisfy this exhaustion of adni administrative
remedies requirements, objecting parties must. present the exact issue (s) that they
intend to pursue in a judicial action or proceeding.
Late -filed, noncompliant, or incomplete written objections without an original
signature will not be consideredsatisfying the exhaustion of administrative remedies
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER
IJennifer Wilson
OWNER OR RATEPAYER'S ADDRESS:
APN OF PROPERTY;
roposed rates)
Page 154 of 312
I - Describe the provision(s) of law that farm the basis of your objection, with specWic
reference to statutes, rues, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted. (Attach additional pages as
necessary.)
Article XIIII D. of the California Constitution and its progeny of caselaw
CA. Constitution Article XIIII D, section 6
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Affach additional pages as necessary.)
Proportionality: proposed assessment is the same as that for larger homes, despite a
clear diff erence in property size and presumed benefit. This is a violation of the
proportionality requirement, as the increase in fees exceeds the proportional share of
the actual special benefit received. The burden of proof is on the town to demonstrate
its proposed tiered water fees are proportional to the cost of sei'ui+ce attnbu#able to
each custonl8r's parcel.
Genera] v. Special Benefits: fails to separate and quantify the general and special
benefits recewed to each parcel. Assessments can only be imposed for a special
benefit conferred directly upon a specific parcel of property, not general governmental
services that benefit the public at large.
3. Describe how Truckee Donner Public Uthity District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis or the amendments. (Attach additional pages as necessary)
TDPUD needs to comply with Prop 218, and connect water usage and the services
required to the increase in tees. TDPUD must comply with substantive and
procedura' requirements justifying their cost and need to 'ocal property owners and
taxpayers. Truckee must demonstrate that the increase in the tiered rates are based
on the actual cost of providing water at different usage levels. Patz v. City of S.D.
There is likewise no demonstrablelink to encouraging conservation.
2
Page 155 of 312
u
Signalure:
Print Name:
Date:
��' lNl �i✓ l �"
Ti -?f Gt,!'f Fig ..-
PLEASE HAND DELFVER DURING BUSINESS HOURS OR SAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE DONNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNIA 96161. TO BE CONSIDERED TrMELY, MAILED OBJECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:0a P.W ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
# Exceeds the cost of providing the service: ..
an individuall who otten IS far
under my allotment. of water under the current fee structure, -
this !
effect, punishing those who are more conservativewitt their
, !a"`1
Conservative use ot a water resource should inure
conscientiouswith the use of this precious resource.
Improper use of fps: There is not a proper demonstration that the use of tees
will be. used for specific use_
Page 156 of 312
t I 'Jf.
it
Proposition 218 Witten Objection Form
REQUIREMENTS:
(1) Each dart of this form must be filled out completely.
(2) To exhaust administrative remedies pursuant to government code section 53759.1
all objections must be timely received by the Truckee Danner Public Utility District by
5:00 p.m. on November 7, 2025. Failure to timely submit a written objection, with
original signature, using this form bars any right to challenge the new rates through a
legal praceeding alleging noncompliance with Article XlII D of the California Constitution
for these proposed new water rates.
(3) Generalized objections are hint. To satisfy this exhaustionadministrative
i `
r strti
remedies requirements, objecting parties must present the exact issue (s) that they
intend to Pursue in a judicial action or proceeding.
Late --filed, noncompliant, or incomplete writt n objections without an orig.naI
signature wilT not be considered as satisfying the exhaustion of administrative
requirement.
NAME OF PROPERTY OWNER OR RATEPAYER:
Whitney K. McBride
i f Am a ---- -
-
APN OF PROPERTY:
rates)
Page 157 of 312
1. Describe the provision(s) of law that form the basis of your objection, with specific
reference to statu#es, rules, constitutional provisions, regulations, and/or cases that are
alleged to be violated if the proposed rates are adopted (Attath additional pages as
necessary.)
Article X6111 D, of the California Gonstitubon and its progeny of caselaw
CA. Constitution Article X1111 D, section 6
2. Describe, with reference to your property and usage of water, how the proposed rates
violate the provisions of law you cited above. (Attach additional paces as necessaru �
Proportionality: proposed assessment is the same as that for larger homes, despite a
clear difference in property size and presumed benefit. This is a violation of the
proportionality requirement, as the increase in fees exceeds the proportional share of
the actual special benefit received. The burden of proof is on the town to demonstrate
its proposed tiered water fees are proportional to the cost of service attributable to
each customer's parcel.
general v. Special BeneMs: fails to separate and quantify the general and special
benefits received to each parcel. Assessments can only be imposed for a special
benefit conferred directly upon a specific parcel of properly, not genera! govemmental
Pervices that benefit the public at large.
.,, ueSGnoe now u rucKee Donner Public Utility District may correct the alleged violations
of law you stated above. Provide amendments to the proposed rates and the written
basis for the amendments _ (Attach additionai pages as necessarv.]
TDPUD needs to comply with Prop 218, and connect water usage and the services
required to the increase in fees. TDPUD muse comply with substantive and
procedural requirements justifying their cost and need to local property owners and
taxpayers. Truckee must demonstrate that the increase in the tiered rates are based
on the actual cost of providing water at different usage levels. Patz V. City of S_D_
There is likewise no demonstrable link to encouraging conservation.
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r
Signature:
Print Name:
L
PLEASE HAND DELIVER DURING BUSINESS HOURS OR MAIL THIS COMPLETED
OBJECTION FORM WITH AN ORGINAL SIGNATURE TO TRUCKEE DINNER
PUBLIC UTILITY DISTRICT AT 11570 DONNER PASS ROAD, TRUCKEE,
CALIFORNiA 9fi1fi1_ TO BE CONSIDERED TIMELY, MAILED OBjECTIONS MUST
BE RECEIVED (NOT POSTMARKED) BY 5:00 P.M. ON NOVEMBER 7, 2025.
ADDITIONAL PAGE (OPTIONAL) (Please number your responses)
Exceeds the cost of providing the service: As an individual who
under my allotment of water under the current fee structure, this increase
effect, punishing those who are more conservative with their water usage.
Conservative use water resource should inure a benefit to those who are
conscientious with the use of this precious resource.
Improper use of fees: There is not a proper demonstration that the use of fees will
be used for specific use.
Page 159 of 312
Exhibit B
To
Resolution No. 2025-32
Responses to Written Objections
1. Hilly Objection (First Hilly Objection - 52)
Procedural Requirements
The First Hilly Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The First Hilly Objection states in Box #1, "I protest the proposed rate increase", in Box
#2 that "There was no charge for water when I bought this house and The rates have already
skyrocketed. This is excessive and unfair", and on the Additional Page that, "This is a protest
letter!". The First Hilly Objection does not comply with the District's substantive requirements
for properly submitting a written objection because it: (1) states generalized objections; (2) does
not describe the provision(s) of law that form the basis of the objection, with specific reference
to statutes, rules, constitutional provisions, regulations, and/or cases that are alleged to be
violated if the proposed rates are adopted; and (3) does not describe, with reference to the
objector's property and usage of water, how the proposed rates violate the provisions of law the
objector cited.
District's Response
The First Hilly Objection states a policy -based objection, i.e. — that rates should not be
increased as proposed because the rates have already skyrocketed and that it is excessive and
unfair and does not state any legal basis for objecting to the proposed rates. Because the First
Hilly Objection is noncompliant it does not satisfy the exhaustion of administrative remedies.
Because the First Hilly Objection states, "I protest the proposed rate increase" and "This is a
Protest letter!" it will be counted as a protest to the proposed rates.
Conclusion and Reservation of Rights
With respect to the First Hilly Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
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The District reserves all rights, claims, and defenses in the event of litigation with respect
to the First Hilly Objection. Any and all of the District's responses to the other Objections set
forth in this Exhibit B may also be applicable to the First Hilly Objection and used to defend
against any action based on the First Hilly Objection.
2. Hilly Objection (Second Hilly Objection - 64)
Procedural Requirements
The Second Hilly Objection was timely received prior to the District's November 7,
2025, deadline to submit objections to exhaust administrative remedies and was submitted using
the District's Proposition 218 written objection form.
Substantive Requirements
The Second Hilly Objection states in Box #1, "I protest the proposed rate increase", in
Box #2 that "we started in prosser/truckee w/no water charge and the proposed 5 year hike is
unsupportable for my income", and on the Additional Page that, "This is a protest letter!". The
Second Hilly Objection does not comply with the District's substantive requirements for properly
submitting a written objection because it: (1) states generalized objections; (2) does not describe
the provision(s) of law that form the basis of the objection, with specific reference to statutes,
rules, constitutional provisions, regulations, and/or cases that are alleged to be violated if the
proposed rates are adopted; and (3) does not describe, with reference to the objector's property
and usage of water, how the proposed rates violate the provisions of law the objector cited.
District's Response
The Second Hilly Objection states a policy -based objection, i.e. — that rates should not be
increased as proposed because the proposed rates are unsupportable for the objector's income
and does not state any legal basis for objecting to the proposed rates. Because the Second Hilly
Objection is noncompliant it does not satisfy the exhaustion of administrative remedies. Because
the Second Hilly Objection states, "I protest the proposed rate increase" and "This is a Protest
letter!" it will be counted as a protest to the proposed rates.
Conclusion and Reservation of Rights
With respect to the Second Hilly Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
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District reserves all rights, claims, and defenses in the event of litigation with respect to
the Second Hilly Objection. Any and all of the District's responses to the other Objections set
forth in this Exhibit B may also be applicable to the Second Hilly Objection and used to defend
against any action based on the Second Hilly Objection.
3. Moyer Objection
Procedural Requirements
The Moyer Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Moyer Objection states in Box #1, "A rate increase for Seniors on Social Security is
unsustainable with limited income.", in Box #2 that "Seniors will be forced to choose between
utilities and basic necessities, ie. food healthcare etc.", and on the Additional Page, " Just one
more reason Truckee is not a place to retire. I plan to move." The Moyer Objection does not
comply with the District's substantive requirements for properly submitting a written objection
because it: (1) states generalized objections; (2) does not describe the provision(s) of law that
form the basis of the objection, with specific reference to statutes, rules, constitutional
provisions, regulations, and/or cases that are alleged to be violated if the proposed rates are
adopted; and (3) does not describe, with reference to the objector's property and usage of water,
how the proposed rates violate the provisions of law the objector cited.
District's Response
The Moyer Objection states a policy -based objection, i.e. — that rates should not be
increased as proposed because the rate increase is not sustainable for seniors on Social Security
with a limited income and that seniors will be forced to choose between utilities and basic
necessities. Because the Moyer Objection is noncompliant it does not satisfy the exhaustion of
administrative remedies.
Conclusion and Reservation of Rights
With respect to the Moyer Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Moyer Objection. Any and all of the District's responses to the other Objections set forth
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in this Exhibit B may also be applicable to the Moyer Objection and used to defend against any
action based on the Moyer Objection.
4. Krampert Objection
Procedural Requirements
The Krampert Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Krampert Hilly Objection states in Box #'s 1, 2, and 3, "Documents enclosed". The
documents enclosed with the Objection include, (1) Three (3) Share Certificates of the Glenshire
Mutual Water Company, one was signed in 1996 and two were signed in 1997; (2) a 1996/1997
Rate Schedule; (3) a 1997/1998 Rate Schedule; and (4) a two -page letter to the objector from the
Glenshire Mutual Water Company. The Krampert Objection does not comply with the District's
substantive requirements for properly submitting a written objection because it: (1) does not
present the exact issue(s) that the objector intends to pursue in a judicial action or proceeding; (3)
is incomplete; (2) does not describe the provision(s) of law that form the basis of the objection,
with specific reference to statutes, rules, constitutional provisions, regulations, and/or cases that
are alleged to be violated if the proposed rates are adopted; and (4) does not describe, with
reference to the objector's property and usage of water, how the proposed rates violate the
provisions of law the objector cited.
District's Response
The Krampert Objection does not state any objection or provide any legal basis for the
objection; it only provides documents that do not pertain to the proposed rates and is incomplete.
Because the Krampert Objection is noncompliant it does not satisfy the exhaustion of
administrative remedies.
Conclusion and Reservation of Rights
With respect to the Krampert Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Krampert Objection. Any and all of the District's responses to the other Objections set
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forth in this Exhibit B may also be applicable to the Krampert Objection and used to defend
against any action based on the Krampert Objection.
5. Crump Objection
Procedural Requirements
The Crump Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Crump Objection generally describes the provisions of law that form the basis for the
Objection as including: (1) California Constitution, Article XIII D, $6(a)(1)-(3); (2) Revenues
may not exceed service costs and must be proportional. Government Code S53756: Prohibits
automatic or ongoing rate adjustments not tied to cost -of -service. (4) Relevant case law stated in
the Objection: Howard Jarvis Taxpayers Assn. v. City of Fresno (2005), Capistrano Taxpayers
Assn. v. City of San Juan Capistrano (2015), Bighorn -Desert View Water Agency V. Verjil
(2005).
The Crump Objection describes how the proposed rates violate the law cited above with
respect to the Frick property as follows: Our property is a single-family home with moderate
water consumption and conservation measures. Despite this, the proposed 6.5% annual increase
would raise our bill significantly. The District has not provided a detailed cost -of -service
analysis demonstrating that the cost to supply, treat, and deliver water has increased
proportionally. Some proposed revenue appears to fund capital projects or administrative costs
unrelated to our service, and the automatic escalator violates Government Code S53756.
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses, to provide water
service. There are no costs included that do not provide a benefit to water service.
Both operating and capital costs are incurred to maintain the system and provide
water service.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
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provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the rate study.
6. A public hearing is scheduled for November 19, 2025 as required.
7. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
8. Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) is not violated because there
is no unlawful transfer of funds, the rates include administrative costs required to
provide water service and no other costs and water rates are otherwise compliant with
Proposition 218.
9. Capistrano Taxpayers Assn. v. City of San Juan Capistrano (2015) is not violated
because the District calculated the cost of water service for tiered consumption.
10. Bighorn -Desert View Water Agency v. Verjil (2005) is not violated because the
District understands that its water service is a property -related service as defined
Proposition 218 and the proposed new water rates are being adopted in accordance
with the procedural and substantive requirements of Proposition 218.
Conclusion and Reservation of Rights
With respect to the Crump Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Crump Objection. Any and all of the District's responses to the other Objections set forth
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in this Exhibit B may also be applicable to the Crump Objection and used to defend against any
action based on the Crump Objection.
6. Henry Objection
Procedural Requirements
The Henry Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Henry Objection generally describes the provisions of law that form the basis for the
Objection as including: Article XIII D § 6(b)(3) because " The inclusion of "General Manager,"
"Administrative Services," and "Board of Directors" operating costs in the water rate base (as
shown in the draft rate study) suggests that rate revenue is being used for non -water -related
overhead, contrary to constitutional limits. Failure to comply with procedural transparency under
Prop 218 The mailed notice and online materials omit key analytical tables (capital reserve
balances, depreciation schedules, and comparative cost -per -gallon metrics) necessary for
meaningful public review. Prop 218 mandates that "the agency shall provide written notice
containing sufficient information to identify the amount, basis, and reason for the fee."
TDPUD's notice provides only aggregated percentage increases."
The Henry Objection describes how the proposed rates violate the law cited above with
respect to the Henry property as follows: "Unlawful compounding and pre -authorization of
future rates "The Board seeks to approve five years of rate increases in one vote, binding future
ratepayers and Boards without annual public recalculation of cost of service, violating
Prop 218's requirement that each rate adjustment be independently justified. Disproportionate
fixed charge component The Base Charge represents the "vast majority" of all residential bills
(TDPUD's own mailer confirms this). A high fixed charge, unrelated to actual water use,
penalizes conservation and may be inconsistent with State Water Board efficiency policies and
Prop 218's proportionality clause."
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
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3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The cost of service analysis provides the basis for the fixed charge and tiered
consumption charges for the proposed water rates, and specifically the average unit
costs. The development of the average unit costs, and proposed rates, reflects industry
standard cost of service principles based on the District's specific costs and customer
characteristics to meet the proportionality requirements of Proposition 218.
7. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
8. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
9. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
10. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
11. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
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more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
12. A public hearing is scheduled for November 19, 2025 as required.
13. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
14. The holding in Moore v. City of Lemon Grove (2015) 237 Ca1.App.4th 363 is not
violated because all revenue from the proposed rates for administrative costs are related to
water service and are well documented in the 2025 Water Rate Study.
15. The holding in Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) 127
Cal.App.4th 914 is not violated because there is no unlawful transfer of funds, the
rates include administrative costs required to provide water service and no other costs
and water rates are otherwise compliant with Proposition 218.
16. The holding in Griffith v. Pajaro Valley Water Management Agency (2014) 220
Cal.App.4th 586 is not violated because the Districts rates and charges may fund efforts to
identify and design future projects, identifying and funding futures needs of the District is
part of the present-day services, and costs of planning for such future needs may be
recovered from charges imposed in current users.
Conclusion and Reservation of Rights
With respect to the Henry, in exercising its legislative discretion, the District's Board of
Directors determines pursuant to subdivision (d) of Government Code section 53759.1: (1) the
objection and the District's response thereto do not warrant a clarification of the proposed rates;
(2) not to reduce the proposed rates based on the objection; (3) based on the objection no further
review is necessary before making a determination on whether clarification or reduction is
needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D of
the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Henry Objection. Any and all of the District's responses to the other Objections set forth in
this Exhibit B may also be applicable to the Henry Objection and used to defend against any
action based on the Henry Objection.
7. Reid Objection
Procedural Requirements
Page 168 of 312
The Reid Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Reid Objection states in Box # 1 that "The basis of my objection is that you're
attempting to set rate increases for 5 years. You don't know what future economic, financial, +
revenue conditions will be in 5 years out so how can you claim to know how much the increases
should be?? You [cant]", and in Box #2 "I OBJECT. I shouldn't have to be in law school to
object." The Reid Objection does not comply with the District's substantive requirements for
properly submitting a written objection because it: (1) is incomplete; (2) does not describe the
provision(s) of law that form the basis of the objection, with specific reference to statutes, rules,
constitutional provisions, regulations, and/or cases that are alleged to be violated if the proposed
rates are adopted; and (3) does not describe, with reference to the objector's property and usage
of water, how the proposed rates violate the provisions of law the objector cited.
District's Response
The Reid Objection states policy -based objections and does not provide any legal basis
for the objection, is incomplete, does not describe the provision(s) of law that form the basis of
the objection, with specific reference to statutes, rules, constitutional provisions, regulations,
and/or cases that are alleged to be violated if the proposed rates are adopted, and does not
describe, with reference to the objector's property and usage of water, how the proposed rates
violate the provisions of law the objector cited. Because the Reid Objection is noncompliant it
does not satisfy the exhaustion of administrative remedies.
The District responds further as follows:
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
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4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
7. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
8. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
Conclusion and Reservation of Rights
With respect to the Reid Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Reid Objection. Any and all of the District's responses to the other Objections set forth in
this Exhibit B may also be applicable to the Reid Objection and used to defend against any
action based on the Reid Objection.
8. Coombs Objection
Procedural Requirements
The Coombs Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
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Substantive Requirements
The Coombs Objection generally describes the provisions of law that form the basis for
the Objection as including: Prop 218 requires voter approval for new or increased property -
related fees, including water rates. It mandates that water rate structures be based on the cost of
providing service and cannot be unjustified or inflated.
The Coombs Objection describes how the proposed rates violate the law cited above with
respect to the Coombs property as follows: My property is at the bottom of TD and in Zone 2.
My water use fluctuates monthly based on my use. In the winter months it is almost nil. I am
already being charged a pump charge, base rate and commodity charge. The proposed annual
increases do not reflect the true cost of providing service.
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the rate study specifically
outlines the costs, both operating and capital expenses to provide water service.
3. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates.
4. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefitting customers.
5. The cost of service analysis provides the basis for the fixed charge and tiered
consumption charges for the proposed water rates, and specifically the average unit
costs. The development of the average unit costs, and proposed rates, reflects industry
standard cost of service principles based on the District's specific costs and customer
characteristics to meet the proportionality requirements of Proposition 218.
6. Proposition 218 requires a protest vote to implement water rates. If there is not a
majority protest received prior to the close of the public hearing on November 13,
2025, the District Board may adopt the proposed rates as outlined in the customer
notification.
7. Proposition 218 does not require voter approval for new or increased property related
fees, including water rates. Proposition 218 has a majority protest procedure for
water rates. The District can't adopt the proposed new rates if a majority of the
property owners or customers protest the proposed new rates. The proposed new
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rates are based on the cost of service as demonstrated in the comprehensive 2025
Water Rate Study.
8. The proposed new rates are based on the cost of service as demonstrated in the
comprehensive 2025 Water Rate Study.
Conclusion and Reservation of Rights
With respect to the Coombs Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Coombs Objection. Any and all of the District's responses to the other Objections set forth
in this Exhibit B may also be applicable to the Coombs Objection and used to defend against any
action based on the Coombs Objection.
9. Tattersall Objection
Procedural Requirements
The Tattersall Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Tattersall Objection states in Box # 1 that "No basis has been described for why the
rates should be increased so much. We have received no detailed information supporting the rate
increase.", and in Box #2 "The higher rates to be applied to part time residents is a clear case of
discrimination. Part time residents will pay the same base fee as full time residents. There is no
basis for charging a higher just because you are a part time resident." The Tattersall Objection
does not comply with the District's substantive requirements for properly submitting a written
objection because it: (1) is incomplete; (2) does not describe the provision(s) of law that form the
basis of the objection, with specific reference to statutes, rules, constitutional provisions,
regulations, and/or cases that are alleged to be violated if the proposed rates are adopted; and (3)
does not describe, with reference to the objector's property and usage of water, how the proposed
rates violate the provisions of law the objector cited.
District's Response
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The Tattersall Objection does not describe the provision(s) of law that form the basis of
the objection, with specific reference to statutes, rules, constitutional provisions, regulations,
and/or cases that are alleged to be violated if the proposed rates are adopted, and does not
describe, with reference to the objector's property and usage of water, how the proposed rates
violate the provisions of law the objector cited. Because the Tattersall Objection is noncompliant
it does not satisfy the exhaustion of administrative remedies.
The District responds further as follows:
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
7. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
8. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
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inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
Conclusion and Reservation of Rights
With respect to the Tattersall Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Tattersall Objection. Any and all of the District's responses to the other Objections set
forth in this Exhibit B may also be applicable to the Tattersall Objection and used to defend
against any action based on the Tattersall Objection.
10. Ridless Objection
Procedural Reauirements
The Ridless Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Ridless Objection does not state an objection or provide any information. Box #'s 1,
2, and, 3, and the Additional Page are empty. The Ridless Objection does not comply with the
District's substantive requirements for properly submitting a written objection because it: (1)
does not present the exact issue(s) that the objector intends to pursue in a judicial action or
proceeding; (2) is incomplete; (3) does not describe the provision(s) of law that form the basis of
the objection, with specific reference to statutes, rules, constitutional provisions, regulations,
and/or cases that are alleged to be violated if the proposed rates are adopted; and (4) does not
describe, with reference to the objector's property and usage of water, how the proposed rates
violate the provisions of law the objector cited.
District's Response
The Ridless Objection does not state any objection or provide any legal basis for the
objection, is incomplete, does not describe the provision(s) of law that form the basis of the
objection, with specific reference to statutes, rules, constitutional provisions, regulations, and/or
cases that are alleged to be violated if the proposed rates are adopted, and does not describe, with
reference to the objector's property and usage of water, how the proposed rates violate the
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provisions of law the objector cited. Because the Ridless Objection is noncompliant it does not
satisfy the exhaustion of administrative remedies.
Conclusion and Reservation of Rights
With respect to the Ridless Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Ridless Objection. Any and all of the District's responses to the other Objections set forth
in this Exhibit B may also be applicable to the Ridless Objection and used to defend against any
action based on the Ridless Objection.
11. Frick Objection
Procedural Requirements
The Frick Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Frick Objection generally describes the provisions of law that form the basis for the
Objection as including: (1) proposed rated likely violate Proposition 218 because they exceed the
proportional service costs or generate excess revenue; (2) there is a lack of financial data that
raises concerns under Gov. Code §66013, which requires capital charges to reflect actual costs,
and under PUC §§12811, 12823, mandating fair, reasonable, non-discriminatory rates; (3) the
proposed rates may further violate Art. X, §2 of the CA Constitution by discouraging beneficial
water use through excessive pricing; (4) the proposed rates raise equal protection issues under
federal and state Constitutions due to their disproportionate impact on certain
geographic/elevation-based customer groups without sufficient justification; and (5) the
notice lacked the clarity and specificity needed for meaningful public participation, potentially
violating Prop 218 and the CA Public Records Act.
The Frick Objection generally describes how the proposed rates violate the law cited
above with respect to the Frick property as follows: (1) As a resident in Pump Zone 4, my
property is subject to even higher water charges in the district; (2) No clear cost -of -service data
or justification was provided for these disproportionate rate hikes, which far exceed inflation and
extend years into the future without basis (3) This lack of transparency violates Art. XIII D,
§6(b)(Prop 218), requiring fees to match proportional service costs, and PUC §§12811,12823,
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mandating fair, reasonable rates; (4) Base rates for all zones have already risen sharply in recent
years, and proposed multi -year increases continue this excessive trend; and (5) Absent clear
evidence linking hikes to actual service costs, they appear to violate Prop 218, Gov. Code
§66013,and equal protection principles by imposing unjustified burdens, especially on higher -
elevation customers.
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
7. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years.
8. Government Code Section 66013 applies to mitigation fees and not to rates; it does
not apply to this proposed rate increase.
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9. Public Utility Code Sections 12811 and 12823 apply to municipal utility districts and
not to public utility districts; they do not apply to the District or this proposed rate
increase.
10. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
11. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
12. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
Conclusion and Reservation of Rights
With respect to the Frick Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Frick Objection. Any and all of the District's responses to the other Objections set forth in
this Exhibit B may also be applicable to the Fick Objection and used to defend against any action
based on the Frick Objection.
12. Scara Objection
Procedural Requirements
The Scara Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
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The Scara Objection states in Box # 1 that rates should not be increased as proposed
because they will place a considerable financial burden on all households regardless of their
actual water usage, and in Box #2 that the proposed rates should be revised to avoid penalizing
households with lower consumption, such as those using their property as a vacation home or
those who actively conserve water and the current policy discourages conservations and
disproportionately impacts those who use less water, which may raise questions regarding
fairness and legality. The Scara Objection does not comply with the District's substantive
requirements for properly submitting a written objection because it: (1) does not present the
exact issue(s) that the objector intends to pursue in a judicial action or proceeding; (2) is
incomplete; (3) does not describe the provision(s) of law that form the basis of the objection,
with specific reference to statutes, rules, constitutional provisions, regulations, and/or cases that
are alleged to be violated if the proposed rates are adopted; and (4) does not describe, with
reference to the objector's property and usage of water, how the proposed rates violate the
provisions of law the objector cited.
District's Response
The Scara Objection states policy -based objections and does not provide any legal basis
for the objection, is incomplete, does not describe the provision(s) of law that form the basis of
the objection, with specific reference to statutes, rules, constitutional provisions, regulations,
and/or cases that are alleged to be violated if the proposed rates are adopted, and does not
describe, with reference to the objector's property and usage of water, how the proposed rates
violate the provisions of law the objector cited. Because the Scara Objection is noncompliant it
does not satisfy the exhaustion of administrative remedies.
Conclusion and Reservation of Rights
With respect to the Scara Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Scara Objection. Any and all of the District's responses to the other Objections set forth in
this Exhibit B may also be applicable to the Scara Objection and used to defend against any
action based on the Scara Objection.
13. Conway Objection
Procedural Requirements
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The Conway Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Conway Objection generally describes the provisions of law that form the basis for
the Objection as including: "Article XIII D Section 6 of the California Constitution (Proposition
218) which requires that property -related charges such as water rates: Not exceed the funds
required to provide the service (Section 6(b)(1)); Be used only for the cost of providing the
service (Section 6(b)(2)); Be proportional to the cost of service attributable to each parcel
(Section 6(b)(3)); and Not impose fees for services not directly received by the parcel (Section
6(b)(5)). The proposed rate increases, including elevation -based "pump zone" surcharges, appear
to violate these constitutional provisions by shifting excessive and disproportionate costs onto
certain customers without clear and transparent."
The Conway Objection describes how the proposed rates violate the law cited above with
respect to the Henry property as follows: "I reside in Pump Zone 4, which is subject to an
additional $3.06 per 1,000 gallons surcharge on top of base and commodity water rates. This
surcharge is scheduled to increase further under the proposed 2025-2030 rate plan. These
elevation -based charges disproportionately impact my property and others in higher zones by
imposing hundreds of dollars per year in additional costs unrelated to actual water usage or
service quality. The compounding 7%-6.5% annual rate increases further amplify this inequity,
resulting in total rate growth far above inflation and without sufficient demonstration that these
revenues are necessary to provide service to my property. Therefore, the proposed rates are not
proportional to the cost of service, exceed the reasonable cost to serve"
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
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4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
7. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
8. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
9. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
10. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
11. A public hearing is scheduled for November 19, 2025 as required.
12. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
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13. The holding in Moore v. City of Lemon Grove (2015) 237 Cal.App.4th 363 is not
violated because all revenue from the proposed rates for administrative costs are related to
water service and are well documented in the 2025 Water Rate Study.
14. The holding in Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) 127
Cal.App.4th 914 is not violated because there is no unlawful transfer of funds, the
rates include administrative costs required to provide water service and no other costs
and water rates are otherwise compliant with Proposition 218.
15. The holding in Griffith v. Pajaro Valley Water Management Agency (2014) 220
Ca1.App.4th 586 is not violated because the Districts rates and charges may fund efforts to
identify and design future projects, identifying and funding futures needs of the District is
part of the present-day services, and costs of planning for such future needs may be
recovered from charges imposed in current users.
Conclusion and Reservation of Rights
With respect to the Conway Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Conway Objection. Any and all of the District's responses to the other Objections set forth
in this Exhibit B may also be applicable to the Conway Objection and used to defend against any
action based on the Conway Objection.
14. Shellito Objection
Procedural Requirements
The Shellito Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Shellito Objection generally describes the provisions of law that form the basis for
the Objection as including: (1) California Government Code § 53759.1 and Article XIII D, Sections
2 & 6 of the California Constitution, specifically Article XIII D § 6(b)(1) due to lack of
proportionality and nexus to cost of service because the proposed 6.5% annual increase appears
uniform across all customer classes and years without a demonstrated cost -of -service analysis per
class or zone and failure to demonstrate actual financial necessity; (2) Article XIII D § 6(b)(3) due to
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use of fees for general government purposes because the inclusion of "General Manager,"
"Administrative Services," and "Board of Directors" operating costs in the water rate base suggests
that rate revenue is being used for non -water -related overhead, contrary to constitutional limits; (3)
failure to comply with procedural transparency under Prop 218 because the mailed notice and online
materials omit key analytical tables (capital reserve balances, depreciation schedules, and comparative
cost -per -gallon metrics) necessary for meaningful public review; (4) Prop 218 § 6(b)(5) due to
excessive reserve funding, citing Griffith v. Pajaro Valley Water Management Agency (2014) 220
Ca1.App.4th 586, and failure to re-evaluate after material assumptions change; and (5) Proposition
218 Omnibus Implementation Act [53750 - 53758] due to unlawful compounding and pre -
authorization of future rates.
The Shellito Objection generally describes with reference to the Shellito property and usage of
water, how the proposed rates violate the provisions of law cited above as follows:
"Disproportionate fixed charge component The Base Charge represents the "vast Majority" of all
residential bills (TDPUD's own mailer confirms this). A high fixed charge, unrelated to actual
water use, penalizes conservation and may be inconsistent with State Water Board efficiency
policies and Prop 218's proportionality clause."
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
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6. The cost of service analysis provides the basis for the fixed charge and tiered
consumption charges for the proposed water rates, and specifically the average unit
costs. The development of the average unit costs, and proposed rates, reflects industry
standard cost of service principles based on the District's specific costs and customer
characteristics to meet the proportionality requirements of Proposition 218.
7. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
8. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
9. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
10. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
11. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
12. A public hearing is scheduled for November 19, 2025 as required.
13. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
14. The holding in Moore v. City of Lemon Grove (2015) 237 Cal.App.4th 363 is not
violated because all revenue from the proposed rates for administrative costs are related to
water service and are well documented in the 2025 Water Rate Study.
15. The holding in Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) 127
Cal.App.4th 914 is not violated because there is no unlawful transfer of funds, the
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rates include administrative costs required to provide water service and no other costs
and water rates are otherwise compliant with Proposition 218.
16. The holding in Griffith v. Pajaro Valley Water Management Agency (2014) 220
Cal.App.4th 586 is not violated because the Districts rates and charges may fund efforts to
identify and design future projects, identifying and funding futures needs of the District is
part of the present-day services, and costs of planning for such future needs may be
recovered from charges imposed in current users.
Conclusion and Reservation of Rights
With respect to the Shellito Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Shellito Objection. Any and all of the District's responses to the other Objections set forth
in this Exhibit B may also be applicable to the Shellito Objection and used to defend against any
action based on the Shellito Objection.
15. Horn Objection
Procedural Requirements
The Horn Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Horn Objection generally describes the provisions of law that form the basis for the
Objection as including Article XIII D Section 6 of the California Constitution and Government
Code § 53759.1 because "The proposed 2026-2030 water rate increases violate Article XIII D,
Section 6(b)(1) of the California Constitution because the rates are not proportional to the actual
cost of service for each parcel or customer class. The proposed increases also violate Article XIII
D, Section 6(b)(3) because system revenues are being allocated toward administrative and
overhead uses not directly tied to water service delivery. Additionally, the District is attempting
to pre -authorize multi -year compounded rate increases without recalculating cost -of -service
annually, which is inconsistent with Proposition 218 procedural and transparency requirements
and Government Code § 53759.1."
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The Horn Objection describes how the proposed rates violate the law cited above with respect to
the Horn property as follows: "The majority of my bill is determined by the fixed Base Charge,
which does not reflect my actual water usage. This causes me to pay more than the proportional
cost of service required to serve my parcel. Because the rate structure relies heavily on fixed
charges rather than usage -based costs, I am financially penalized despite conserving water. This
violates the requirement that fees not exceed the proportional cost of service for my parcel. The
uniform annual increases also do not reflect my property's specific demand level, elevation zone
costs, or meter capacity, and therefore lack the constitutionally required cost -of -service nexus."
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The cost of service analysis provides the basis for the fixed charge and tiered
consumption charges for the proposed water rates, and specifically the average unit
costs. The development of the average unit costs, and proposed rates, reflects industry
standard cost of service principles based on the District's specific costs and customer
characteristics to meet the proportionality requirements of Proposition 218.
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7. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
8. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
9. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
10. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
11. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
12. A public hearing is scheduled for November 19, 2025 as required.
13. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
14. The holding in Moore v. City of Lemon Grove (2015) 237 Ca1.App.4th 363 is not
violated because all revenue from the proposed rates for administrative costs are related to
water service and are well documented in the 2025 Water Rate Study.
15. The holding in Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) 127
Cal.App.4th 914 is not violated because there is no unlawful transfer of funds, the
rates include administrative costs required to provide water service and no other costs
and water rates are otherwise compliant with Proposition 218.
16. The holding in Griffith v. Pajaro Valley Water Management Agency (2014) 220
Cal.App.4th 586 is not violated because the Districts rates and charges may fund efforts to
identify and design future projects, identifying and funding futures needs of the District is
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part of the present-day services, and costs of planning for such future needs may be
recovered from charges imposed in current users.
17. Government Code § 53759.1 sets forth the requirements to exhaust administrative
remedies and not procedural or transparency requirements for the adoption of a
schedule of fees with automatic adjustments for a period not to exceed five years.
Conclusion and Reservation of Rights
With respect to the Horn Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Horn Objection. Any and all of the District's responses to the other Objections set forth in
this Exhibit B may also be applicable to the Horn Objection and used to defend against any
action based on the Horn Objection.
16. Oliver Objection
Procedural Requirements
The Oliver Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Oliver Objection states in Box # 1 that the proposed rates "will place an undue
financial burden on residents in Truckee particularly those on fixed or moderate incomes", and in
Box #2 "that because property values and assessments in our area have already been rising
substantially, further increases in rates will magnify housing cost pressures. Many homeowners
and renters are already stretched. A rate hike may lead to increased pushback or public
dissatisfaction and could reduce trust in local governance if residents feel sudden increases are
not justified". The Oliver Objection does not comply with the District's substantive requirements
for properly submitting a written objection because it: (1) does not present the exact issue(s) that
the objector intends to pursue in a judicial action or proceeding; (2) is incomplete; (3) does not
describe the provision(s) of law that form the basis of the objection, with specific reference to
statutes, rules, constitutional provisions, regulations, and/or cases that are alleged to be violated
if the proposed rates are adopted; and (4) does not describe, with reference to the objector's
property and usage of water, how the proposed rates violate the provisions of law the objector
cited.
Page 187 of 312
District's Response
The Oliver Objection states policy -based objections and does not provide any legal basis
for the objection, is incomplete, does not describe the provision(s) of law that form the basis of
the objection, with specific reference to statutes, rules, constitutional provisions, regulations,
and/or cases that are alleged to be violated if the proposed rates are adopted, and does not
describe, with reference to the objector's property and usage of water, how the proposed rates
violate the provisions of law the objector cited. Because the Oliver Objection is noncompliant it
does not satisfy the exhaustion of administrative remedies.
Conclusion and Reservation of Rights
With respect to the Oliver Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Oliver Objection. Any and all of the District's responses to the other Objections set forth in
this Exhibit B may also be applicable to the Oliver Objection and used to defend against any
action based on the Oliver Objection.
17. Sanchez Objection
Procedural Requirements
The Sanchez Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies. The Sanchez Objection was
not submitted using the District's Proposition 218 Written Objection Form. The Sanchez states at
the very top of the first page, "Protest — For inclusion in public count under Prop 218". It does
not state that it is an objection. However, it later addresses the legal objection and grounds for
challenge and requested remedies, similar to eh information requested on the District's Objection
Form.
Substantive Requirements
The Sanchez Objection generally describes the provisions of law that form the basis for
the Objection as including: (1) California Government Code § 53759.1 and Article XIII D, Sections
2 & 6 of the California Constitution, specifically Article XIII D § 6(b)(1) due to lack of
proportionality and nexus to cost of service because the proposed 6.5% annual increase appears
uniform across all customer classes and years without a demonstrated cost -of -service analysis per
class or zone and failure to demonstrate actual financial necessity; (2) Article XIII D § 6(b)(3) due to
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use of fees for general government purposes because the inclusion of "General Manager,"
"Administrative Services," and "Board of Directors" operating costs in the water rate base suggests
that rate revenue is being used for non -water -related overhead, contrary to constitutional limits; (3)
failure to comply with procedural transparency under Prop 218 because the mailed notice and online
materials omit key analytical tables (capital reserve balances, depreciation schedules, and comparative
cost -per -gallon metrics) necessary for meaningful public review; (4) Prop 218 § 6(b)(5) due to
excessive reserve funding, citing Griffith v. Pajaro Valley Water Management Agency (2014) 220
Ca1.App.4th 586, and failure to re-evaluate after material assumptions change; and (5) Proposition
218 Omnibus Implementation Act [53750 - 53758] due to unlawful compounding and pre -
authorization of future rates.
The Sanchez Objection does not describe how the proposed rates violate the law cited
above with respect to the Sanchez property.
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The cost of service analysis provides the basis for the fixed charge and tiered
consumption charges for the proposed water rates, and specifically the average unit
costs. The development of the average unit costs, and proposed rates, reflects industry
30
Page 189 of 312
standard cost of service principles based on the District's specific costs and customer
characteristics to meet the proportionality requirements of Proposition 218.
7. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
8. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
9. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
10. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
11. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
12. A public hearing is scheduled for November 19, 2025 as required.
13. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
14. The holding in Moore v. City of Lemon Grove (2015) 237 Ca1.App.4th 363 is not
violated because all revenue from the proposed rates for administrative costs are related to
water service and are well documented in the 2025 Water Rate Study.
15. The holding in Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) 127
Cal.App.4th 914 is not violated because there is no unlawful transfer of funds, the
rates include administrative costs required to provide water service and no other costs
and water rates are otherwise compliant with Proposition 218.
31
Page 190 of 312
16. The holding in Griffith v. Pajaro Valley Water Management Agency (2014) 220
Cal.App.4th 586 is not violated because the Districts rates and charges may fund efforts to
identify and design future projects, identifying and funding futures needs of the District is
part of the present-day services, and costs of planning for such future needs may be
recovered from charges imposed in current users.
The Sanchez Objection does not comply with the District's procedural requirements for
properly submitting a written objection because it: (1)it does not state that it is an objection.
The Sanchez Objection does not comply with the District's substantive requirements for
properly submitting a written objection because it does not describe, with reference to the
Sanchez property and usage of water, how the proposed rates violate the provisions of law cited.
Conclusion and Reservation of Rights
With respect to the Sanchez Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Sanchez Objection. Any and all of the District's responses to the other Objections set forth
in this Exhibit B may also be applicable to the Sanchez Objection and used to defend against any
action based on the Sanchez Objection.
18. Delatorre Objection
Procedural Requirements
The Delatorre Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Delatorre Objection states in Box # 1 that, "The rate increase is based on ONE
opinion or analysis. TDPUD needs to do own study", and in Box #2, "My home is 45 years old
and your asking me to fund new homes. There needs to have a GRANDFATHER clause." The
Delatorre Objection does not comply with the District's substantive requirements for properly
submitting a written objection because it: (1) does not present the exact issue(s) that the objector
intends to pursue in a judicial action or proceeding; (2) is incomplete; (3) does not describe the
provision(s) of law that form the basis of the objection, with specific reference to statutes, rules,
constitutional provisions, regulations, and/or cases that are alleged to be violated if the proposed
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rates are adopted; and (4) does not describe, with reference to the objector's property and usage
of water, how the proposed rates violate the provisions of law the objector cited.
District's Response
The Delatorre Objection states policy -based objections and does not provide any legal
basis for the objection, is incomplete, does not describe the provision(s) of law that form the
basis of the objection, with specific reference to statutes, rules, constitutional provisions,
regulations, and/or cases that are alleged to be violated if the proposed rates are adopted, and
does not describe, with reference to the objector's property and usage of water, how the proposed
rates violate the provisions of law the objector cited. Because the Delatorre Objection is
noncompliant it does not satisfy the exhaustion of administrative remedies.
The District responds further as follows:
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
33
Page 192 of 312
7. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
8. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
9. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
10. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
11. A public hearing is scheduled for November 19, 2025 as required.
12. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
Conclusion and Reservation of Rights
With respect to the Delatorre Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Delatorre Objection. Any and all of the District's responses to the other Objections set
forth in this Exhibit B may also be applicable to the Delatorre Objection and used to defend
against any action based on the Delatorre Objection.
19. Wilson Objection
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Procedural Requirements
The Wilson Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The Wilson Objection states in Box # 1 that the provisions of law that form the basis of
the objection are, "Article XIIII D, of the California Constitution and progeny of caselaw, CA.
Constitution Article XIIII D, section 6".
The Wilson Objection states in Box #2, "Proportionality: proposed assessment is the
same as that for larger homes, despite a clear difference in property size and presumed
benefit. This is a violation of the proportionality requirement, as the increase in fees exceeds
the proportional share of the actual special benefit received. The burden of proof is on the
town to demonstrate its proposed tiered water fees are proportional to the cost of service
attributable to each customer's parcel.
General v. Special Benefits: fails to separate and quantify the general and special
benefits received to each parcel. Assessments can only be imposed for a special benefit
conferred directly upon a specific parcel of property, not general governmental services that
benefit the public at large. Exceeds the cost of providing the service: As an individual who often is
far under my allotment of water under the current fee structure, this increase is, in effect, punishing
those who are more conservative with their water usage. Conservative use of a water resource should
inure abenefit to those who are conscientious with the use of this precious resource. Improper use of
fees: There isnot aproper demonstration that the use of fees will be used for specific use."
The Wilson Objection states in Box# 3, "TDPUD needs to comply with Prop 218,
and connect water usage and the services required to the increase in fees. TDPUD must
comply with substantive and procedural requirements justifying their cost and need to
local property owners and taxpayers. Truckee must demonstrate that the increase in the
tiered rates are based on the actual cost of providing water at different usage levels. Patz
v. City of S.D. There is likewise no demonstrable link to encouraging conservation."
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
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service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
6. The cost of service analysis provides the basis for the fixed charge and tiered
consumption charges for the proposed water rates, and specifically the average unit
costs. The development of the average unit costs, and proposed rates, reflects industry
standard cost of service principles based on the District's specific costs and customer
characteristics to meet the proportionality requirements of Proposition 218.
7. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
8. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
9. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
10. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
36
Page 195 of 312
11. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
12. A public hearing is scheduled for November 19, 2025 as required.
13. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
14. The holding in Moore v. City of Lemon Grove (2015) 237 Cal.App.4th 363 is not
violated because all revenue from the proposed rates for administrative costs are related to
water service and are well documented in the 2025 Water Rate Study.
15. The holding in Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) 127
Cal.App.4th 914 is not violated because there is no unlawful transfer of funds, the
rates include administrative costs required to provide water service and no other costs
and water rates are otherwise compliant with Proposition 218.
16. The holding in Griffith v. Pajaro Valley Water Management Agency (2014) 220
Cal.App.4th 586 is not violated because the Districts rates and charges may fund efforts to
identify and design future projects, identifying and funding futures needs of the District is
part of the present-day services, and costs of planning for such future needs may be
recovered from charges imposed in current users.
17. The holding in Patz v. City of San Diego 113 Cal.App.5th 225 (2025) is not violated
because the District has demonstrated that the proposed rates bare a reasonable
relationship to the proportional cost of service attributable to the parcel and
specifically that the rates were not designed primarily to encourage water
conservation rather than to reflect actual costs of service and the tiered structure is
applied to all residential customers.
18. The Objection sates that that the law that forms the basis of the objection is, "Article
XIIII section 6 of the California Constitution". There is no "Article XIIII section 6.
Article XIV of the California Constitution pertains to labor relations and has nothing
to do with the District's proposed water rates. If the reference to "Article XIIII D.
section 6" is a typographical error and the reference was intended to be to "Article
XIII D, section 6 of the California Constitution", then the District is complying with
Article XIII D, section 6 of the California Constitution which pertains to property
related fees and the District's proposed water rates as set forth above.
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19. The District is proposing to increase water rates pursuant to Article XIIII D, Section 6
of the California Constitution. The District to not proposing to adopt or increase any
assessment pursuant to Article XIIII D Sections 4 and 5 of the California Constitution
and the provisions of Sections 4 and 5 do not have anything whatsoever to do with the
District's proposed water rates. There is no requirement under Article XIII D, Section
6 of the California Constitution for the District to separate and/or quantify the general
and special benefits received to or by each parcel or that rates for water service must
only be imposed or increased for a special benefit conferred directly upon a specific
parcel of property and not for general governmental services that benefit the public at
large.
Conclusion and Reservation of Rights
With respect to the Wilson Objection, in exercising its legislative discretion, the District's
Board of Directors determines pursuant to subdivision (d) of Government Code section 53759.1:
(1) the objection and the District's response thereto do not warrant a clarification of the proposed
rates; (2) not to reduce the proposed rates based on the objection; (3) based on the objection no
further review is necessary before making a determination on whether clarification or reduction
is needed; and (4) to proceed with the protest hearing required under section 6 of Article XIII D
of the California Constitution.
The District reserves all rights, claims, and defenses in the event of litigation with respect
to the Wilson Objection. Any and all of the District's responses to the other Objections set forth
in this Exhibit B may also be applicable to the Wilson Objection and used to defend against any
action based on the Wilson Objection.
20. McBride Objection
Procedural Requirements
The McBride Objection was timely received prior to the District's November 7, 2025,
deadline to submit objections to exhaust administrative remedies and was submitted using the
District's Proposition 218 written objection form.
Substantive Requirements
The McBride Objection states in Box # 1 that the provisions of law that form the basis of
the objection are, "Article XIIII D, of the California Constitution and progeny of caselaw, CA.
Constitution Article XIIII D, section 6".
The McBride Objection states in Box #2, "Proportionality: proposed assessment is the
same as that for larger homes, despite a clear difference in property size and presumed
benefit. This is a violation of the proportionality requirement, as the increase in fees exceeds
the proportional share of the actual special benefit received. The burden of proof is on the
town to demonstrate its proposed tiered water fees are proportional to the cost of service
attributable to each customer's parcel.
Page 197 of 312
General v. Special Benefits: fails to separate and quantify the general and special
benefits received to each parcel. Assessments can only be imposed for a special benefit
conferred directly upon a specific parcel of property, not general governmental services that
benefit the public at large. Exceeds the cost of providing the service: As an individual who often is
far under my allotment of water under the current fee structure, this increase is, in effect, punishing
those who are more conservative with their water usage. Conservative use of a water resource should
inure abenefit to those who are conscientious with the use of this precious resource. Improper use of
fees: There isnot aproper demonstration that the use of fees will be used for specific use."
The McBride Objection states in Box# 3, "TDPUD needs to comply with Prop 218,
and connect water usage and the services required to the increase in fees. TDPUD must
comply with substantive and procedural requirements justifying their cost and need to
local property owners and taxpayers. Truckee must demonstrate that the increase in the
tiered rates are based on the actual cost of providing water at different usage levels. Patz
v. City of S.D. There is likewise no demonstrable link to encouraging conservation."
District's Response
1. A comprehensive water rate study developed by HDR Engineering, Inc, 2025 Water
Rate Study, was completed and the study, including a technical appendix with the rate
study exhibits, is available on the District's website - www.tdpud.org.
2. The revenue requirement analysis completed as part of the 2025 Water Rate Study
specifically outlines the costs, both operating and capital expenses to provide water
service, and does not generate excess revenue. Further, the revenues are specifically
identified and used to fund water service and are not used for other District purposes.
3. The cost of service analysis completed as part of the 2025 Water Rate Study
specifically addresses the issue of proportionality for the District's water customers to
meet the requirements of Proposition 218. In this case the customer classes are for
residential customers, non-residential customers, and pump zone based on the cost to
provide service and develop the proposed fixed and consumption charges for each
class.
4. The cost of service analysis provided the basis for the fixed charge and tiered
consumption charges for the proposed water rates for each customer class of service.
The fixed charge is based on the capacity of each meter size to reflect the demands
and impacts on the system. The proposed rates by tier are based on the costs to
provide service at the identified tier sizes.
5. Pump zone charges are based on the cost of pumping water to each zone and reflect
the additional costs for each pump zone as the water is pumped through and to the
next pump zone to the benefiting customers.
39
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6. The cost of service analysis provides the basis for the fixed charge and tiered
consumption charges for the proposed water rates, and specifically the average unit
costs. The development of the average unit costs, and proposed rates, reflects industry
standard cost of service principles based on the District's specific costs and customer
characteristics to meet the proportionality requirements of Proposition 218.
7. The 2025 Water Rate Study outlines the cost basis for the proposed rates for each of
the proposed five -years that reflect the funding of the District's water utility operating
and capital costs over the specified time period.
8. There is not an automatic escalator/inflator, the rate revenue adjustments in each year
reflect the costs to provide water service in each of the proposed rate years as outlined
in the 2025 Water Rate Study.
9. There are no violations of the United States Constitution or California Constitution
based on the cost of service completed to provide proportional rates by class of
service and all customers in the same rate classification and at similar elevations are
treated the same. Customers in high elevations pay more because it costs more to
provide water service to them because of the specific pumping costs associated with
pumping water to their elevation that are incurred to serve those customers.
10. Notice of the proposed new rates sent more than 45 days prior to the public hearing as
required by Proposition 218.
11. All customers in the same rate classification and at similar elevations are treated the
same. As noted in the cost of service analysis, and the specific costs incurred by the
District to provide service, customers in high elevations pay more because it costs
more to provide water service to them because of the pumping costs associated with
pumping water to their elevation. Accordingly, there is no violation of equal
protection principles.
12. A public hearing is scheduled for November 19, 2025 as required.
13. Government Code Section 53756 authorizes the adoption of a schedule of fees with
automatic adjustments for a period not to exceed five years provided that any
inflation adjustment does not exceed the cost of providing the service. There is not an
automatic escalator/inflator, the rate revenue adjustments in each year reflect the costs
to provide water service in each of the proposed rate years.
14. The holding in Moore v. City of Lemon Grove (2015) 237 Cal.App.4th 363 is not
violated because all revenue from the proposed rates for administrative costs are related to
water service and are well documented in the 2025 Water Rate Study.
15. The holding in Howard Jarvis Taxpayers Assn. v. City of Fresno (2005) 127
Cal.App.4th 914 is not violated because there is no unlawful transfer of funds, the
Page 199 of 312
rates include administrative costs required to provide water service and no other costs
and water rates are otherwise compliant with Proposition 218.
16. The holding in Griffith v. Pajaro Valley Water Management Agency (2014) 220
Cal.App.4th 586 is not violated because the Districts rates and charges may fund efforts to
identify and design future projects, identifying and funding futures needs of the District is
part of the present-day services, and costs of planning for such future needs may be
recovered from charges imposed in current users.
17. The holding in Patz v. City of San Diego 113 Cal.App.5th 225 (2025) is not violated
because the District has demonstrated that the proposed rates bare a reasonable
relationship to the proportional cost of service attributable to the parcel and
specifically that the rates were not designed primarily to encourage water
conservation rather than to reflect actual costs of service and the tiered structure is
applied to all residential customers.
18. The Objection sates that that the law that forms the basis of the objection is, "Article
XIIII section 6 of the California Constitution". There is no "Article XIIII section 6.
Article XIV of the California Constitution pertains to labor relations and has nothing
to do with the District's proposed water rates. If the reference to "Article XIIII D.
section 6" is a typographical error and the reference was intended to be to "Article
XIII D, section 6 of the California Constitution", then the District is complying with
Article XIII D, section 6 of the California Constitution which pertains to property
related fees and the District's proposed water rates as set forth above.
19. The District is proposing to increase water rates pursuant to Article XIIII D, Section 6
of the California Constitution. The District to not proposing to adopt or increase any
assessment pursuant to Article XIIII D Sections 4 and 5 of the California Constitution
and the provisions of Sections 4 and 5 do not have anything whatsoever to do with the
District's proposed water rates. There is no requirement under Article XIII D, Section
6 of the California Constitution for the District to separate and/or quantify the general
and special benefits received to or by each parcel or that rates for water service must
only be imposed or increased for a special benefit conferred directly upon a specific
parcel of property and not for general governmental services that benefit the public at
large.
Conclusion and Reservation of Rights
With respect to the McBride Objection, in exercising its legislative discretion, the
District's Board of Directors determines pursuant to subdivision (d) of Government Code section
53759.1: (1) the objection and the District's response thereto do not warrant a clarification of the
proposed rates; (2) not to reduce the proposed rates based on the objection; (3) based on the
objection no further review is necessary before making a determination on whether clarification
or reduction is needed; and (4) to proceed with the protest hearing required under section 6 of
Article XIII D of the California Constitution.
41
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The District reserves all rights, claims, and defenses in the event of litigation with respect
to the McBride Objection. Any and all of the District's responses to the other Objections set forth
in this Exhibit B may also be applicable to the McBride Objection and used to defend against
any action based on the McBride Objection.
42
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4TRUCKEE DONNER
Public Utility District
Ordinance No. 2025 - 03
SETTING WATER UTILITY RATES
FOR FY26, FY27, FY28, FY29 AND FY30
WHEREAS, the District retained HDR Engineering to conduct a water rate study; and
WHEREAS, HDR Engineering completed the water rate study and recommended an option to
fairly allocate the cost of service to the District's customers through increased rates; and
WHEREAS, HDR Engineering completed the rate design; and
WHEREAS, public workshops were held on August 20, 2025 and September 3, 2025 to receive
comments and review the proposed water rate increases; and
WHEREAS, a notice of a public hearing for the proposed water rate increases was publicly
advertised on November 7th and November 14th, 2025; and
WHEREAS, a public hearing was held on November 19, 2025 to receive public comments on
the proposed electric rate increases; and
NOW, THEREFORE, BE IT ENACTED, by the Board of Directors of the Truckee Donner Public
Utility District as follows:
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Section 1. If no protest is made pursuant to Public Utilities Code Section 16078, then the terms
of this ordinance shall be effective 30 days after adoption by the Board of Directors of the
District. Effective December 19, 2025, the following monthly water rates shall be implemented
with the first bills after January 1, 2026, as applicable.
Metered Residential Water Rates — The domestic water rates for single family properties,
individual condominium units and townhouse units equipped with a meter shall consist of
three components, a base charge, a commodity charge and a pump zone charge.
Metered Residential 2026 2027 2028 2029 2030
Base Charge
$
$
$
$
Up to 3/4" $ 108.50
115.55
123.06
131.06
139.58
$
$
$
$
1" $ 129.41
137.82
146.78
156.32
166.48
More than 1" charged as
Commercial
Consumption (per 1,000 gal)
$
$
$
$
0-8000 al (block 1) $ 1.75
1.86
1.98
$
2.11
$
2.25
$
$
8000 + gal (block 2)
$ 2.37
2.53
2.69
2.86
3.05
Pump Zone Charges
$
$
$
$
Zone 1
$ -
-
-
-
-
$
$
$
$
Zone 2
$ 1.09
1.16
1.24
1.32
1.41
$
$
$
$
Zone 3
$ 2.16
2.30
2.45
2.61
2.78
$
$
$
$
Zone 4
$ 3.24
3.45
3.67
3.91
4.16
$
$
$
$
Zone 5
$ 4.32
4.60
4.90
5.22
5.56
$
$
$
$
Zone 6
$ 5.40
5.75
6.12
6.52
6.94
$
$
$
$
Zone 7
$ 6.48
6.90
7.35
7.83
8.34
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Metered Commercial Water Rates - The commercial water rates for for all other multiple
dwelling units, trailer parks, public use, dedicated irrigation and commercial establishments
shall consist of three components, a base charge, a commodity charge and a pump zone
charge.
Metered Commercial 2026 2027 2028 2029 2030
Base Charge
$ $
$
Up to 3/4" $ 108.50
115.55
123.06 131.06 139.58
$ $ $
$
1" $ 129.41
137.82
146.78 156.32 166.48
$ $ $
$
1.5"
$ 181.92
193.75
$
206.34 219.75 234.04
$ $ $
2"
$ 250.11
266.37
283.68 302.12 321.76
$
$
$
$
3"
$ 418.68
445.90
474.88
$
505.75
$
538.62
$
$
4"
$ 599.06
638.00
679.47
723.64
770.67
$
$ $
$
6"
$ 898.60
957.00
1,019.21 1,085.46
$ $
1,156.01
$
$
8"
$ 1,123.23
1,196.24
1,274.00 1,356.81
$ $
1,445.00
$
Consumption (per 1,000 gal)
$
$/1,000 al
$ 1.92
2.04
2.17 2.31
2.46
Pump Zone Charges
$
$
$
$
Zonel________________
$ -
-
-
-
-
$
$
$
$
Zone 2
$ 1.09
1.16
1.24
1.32
1.41
$
$
$
$
Zone 3
$ 2.16
2.30
2.45
2.61
2.78
$
$
$
$
Zone 4
$ 3.24
3.45
3.67
3.91
4.16
$
$
$
$
Zone 5
$ 4.32
4.60
4.90
5.22
5.56
$
$
$
$
Zone 6
$ 5.40
5.75
6.12
6.52
6.94
$ $
$
$
Zone 7
$ 6.48 6.90 7.35
7.83
8.34
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Section 2. Placement of a given customer account into a pump zone for billing purposes shall be
based upon that customer's relationship to the 6170 Pressure Zone. The 6170 Pressure Zone is
deemed to be Pump Zone 1 and all customers located withing that pressure zone and other areas
where water can be supplied from 6170 Pressure Zone solely without pumping shall also be
considered part of Pump Zone 1.
For all other areas, a given customer shall be re-classified to the next highest pump zone for each
time the water must be pumped from the 6170 Pressure Zone to supply that customer.
Section 3. It is the District's goal that all customers are equipped with a water meter and billed
volumetrically based upon their usage. However, circumstances exist whereby a customer refuses
to undertake the necessary actions or improvements to allow that customer to be billed on a
volumetric basis.
In those cases, the customer shall be subject to a "non -conforming bulk rate" and shall be charged
a monthly bill for service based on the base charge, commodity charge and pump zone charge
corresponding to that customer's location and class (residential or commercial). For determining the
commodity charge and pump zone charge, the customer shall be charged a volume equal to the 9th
percentile of usage for all customers with the same class and meter size. This determination of the
90th percentile shall occur annually in January and shall be based upon the metered usage data for
the prior calendar year.
Section 4. The Clerk of the District shall immediately cause a copy of this ordinance to be
published in newspaper of general circulation and posted in three places within the District.
Section 5. The provisions of other ordinances shall remain in effect to the extent that they do not
conflict with this ordinance.
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility District at a
meeting duly called and held within the District on the nineteenth day of November 2025 by the
following roll call vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Christa Finn, President of the Board
Page 4 of 5
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ATTEST:
Brian Wright, General Manager
Page 5of5
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AGENDA ITEM #8
MEETING DATE: November 19, 2025
TO: Board of Directors
FROM: Michael Salmon, Chief Financial Officer
SUBJECT: Continued Public Hearing for Budget for Fiscal Years 2026 & 2027
and Consideration of Adopting Resolution 2025-29 approving FY26-
27 Budget
c3
_tom
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
a. Continue Public Hearing originally opened on November 5, 2025, regarding the FY26
and FY27 Budgets; and
b. Adopt Resolution 2025-29 approving the Budget for FY26 and FY27.
BACKGROUND:
The District prepares a budget on a biennial basis. After holding three board meeting
budget workshops (open to the public), this is the formally noticed Public Hearing and
Resolution for Board consideration of adoption of the FY2026-27 budget. Budget
development included utilizing the current budget, actual and forecast trends, as well as
the strategic plan as the foundational basis.
A review of the Board approved (6/18/2025) Budget 2026-27 workshops and the
approval schedule is as follows:
• July 16, 2025 (completed) — Workshop #1 - Discussion of Goals, Objectives, and
Key Assumptions;
• August 20, 2025 (completed) — Workshop #2 — Purchased Power Plan, Operating &
Capital Budgets for Electric and Water Utilities;
• August 20, 2025 (completed) — Action Item — Board authorized Public Hearing
Notice of 11/1/2023 Public Hearing on Budget 2024 & 2025 Approval;
• October 15, 2025 (completed) — Workshop #3 — Operating and Capital Budgets for
operating cost centers, Revenue/Rates, Reserves & Financial Master Plan drafts;
• November 5, 2025 (6pm start) — Public Hearings and Action Item — Review, Public
Hearing and approval by Ordinance Electric Rates 2026 & 2027
• November 5, 2025 (6pm start) — Public Hearings and Action Item — Review, Public
Hearing and approval by Resolution of Budget 2026 & 2027
• November 19, 2025 (6pm start) — Continued Public Hearing and Action Item —
Review, Public Hearing and approval by Resolution of Budget 2026 & 2027
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District's Mission
The Mission of the Truckee Donner Public Utility District is to provide reliable, high
quality utility and customer services while managing District resources in a safe, open,
responsible, and environmentally sound manner at the lowest practical cost.
Values of the District
Safety — Safety is our way
Safety is our first priority. We are committed to the health and safety of our employees,
customers, and the community through the continuous practice of prevention,
education, and awareness.
Communication — Send and receive
Foster positive engagement by creating a strong communicative environment that
includes; active listening, transparency, clear, concise, and the timely transmission of
information, with empathy and respect. This also includes providing and receiving
honest feedback.
Integrity — Honest and ethical
Highest quality service to the public and employees, utilizing honesty and ethics as our
base principles.
Accountability — Own it
A strong performing team with the obligation and willingness to accept responsibility for
our actions, maintaining a sense of humility and inclusiveness.
Timeliness — Meet our goals and commitments
A highly effective agency and responsive organization meeting goals and expectations
in a timely manner.
Work Life Balance — Work hard, play hard
We value every employee and foster a healthy work -life balance culture, allowing
employees to bring their best selves to work every day.
Strategic Plan
The Board adopted Strategic Plan includes four key initiatives as follows:
❑ Community Broadband
❑ Service Reliability and Safety
❑ Net Carbon Reduction
❑ Local Watershed Stewardship
Reference Documents
The following useful background financial and other information items are on the
District's website, tdpud.org.
1. 2024 Annual Comprehensive Financial Report
2. 2024 and 2025 Budget (Current Budget)
3. District Code Title 3 Finance and Accounting
4. Strategic Plan
This budget process is essential in planning operational and capital expenses that are
in alignment with the District's Mission, Values, and Strategic Plan.
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ANALYSIS AND BODY:
The Public Hearing was advertised in the Sierra Sun on October 24 and 31, 2025 for
the November 5, 2025 regularly scheduled board meeting at 6:00pm or soon thereafter.
Key changes since the 3rd board meeting budget workshop on October 15, 2025, are
as follows:
a. Insurance costs increased for FY26 from $564,000 to $760,000 (+$196,000) and for
FY27 from $588,000 to $800,000 (+$212,000). The increase is primarily due to the
general liability renewal increase noticed October 16, 2025. This change increased
operating expenses for electric and water by $98,000 and $106,000 each, respectively,
for FY26 and FY27.
b. Electric capital reserve use in FY26 was increased by $100,000 to $6.1 M and capita
reserve funding in FY27 was reduced by $100,000 to $700,000.
c. Water capital reserve use in FY26 was increased by $100,000 to $2.85M and capital
reserve use in FY27 was increased by $100,000 to $1.4M.
Overview
Over the last six months, staff have developed the current draft of the FY26 and FY27
Budget. This comprehensive and collaborative process has evolved over the summer
and fall and has included review and refinement across all operation departments. The
District continues to experience significant cost pressures, and we have exercised
conservatism where appropriate and reviewed all line items in determining key
operational needs and strategic goals. While there are many comparisons of 'Budget to
Budget' herein, staff did assess trends of actual costs across all areas.
Attachments to the staff report:
1 Summary Budget and By Fund by Budget Year Schedules
2 Electric Utility — Summary Revenue and Expenses and by Cost Center Schedules
3 Water Utility — Summary Revenue and Expenses and by Cost Center Schedules
4 Capital Expenditures
5 Overheads, Rent, and Debt Service
6 Personnel
7 Financial Master Plan
8 Purchased Power Cost Details
9 Resolution 2025-29 Adopting Budget F26 and FY27
1. Summary Budget and By Fund by Budget Year Schedules
Attachement 1 page 3 provides top-level budget information for FY26 and FY27 for
both the electric and water utilities. Combined operating revenues are $68.2M and
$72.5M for FY26 and FY27, respectively. Pages 4 through 7 provide informative
summary budget information by fund for both years for both utilities.
2. Electric Utility Budget
The current draft of Budget 2026 (B26) and Budget 2027 (B27) for the Electric Utility is
provided as Attachment 2. The B26 net total revenue requirement from rates is
$44.4M, which equates to an increase from B25 of $2.4M or 6% and B27 reflects an
increase in revenue requirement from rates of 6%. Key budget components are as
Page 3 of 16
Page 209 of 312
follows:
B26 Purchased Power Costs of $14.4M are $1.0M or 7% less than B25. For B27, the
cost increases $557k or 4% to B26. The decrease is driven primarily by favorable
energy market conditions compared to the period of preparing the current budget in
summer/fall of 2023. Details were outlined and reviewed in workshop #2 and details
are provided in Attachment 8, discussed later in this report.
B26 Operating Expenses of $18.9M are $2.1 M or 13% greater than B25. For B27, the
cost increases $804k or 4% to B26. Details for the B26 increase are outlined below as
the primary components of rates revenue requirement drivers. B26 Capital
expenditures of $18.9M are partially offset by utilization of capital reserves of $6.9M, for
a net of $11.9M from current year rate revenues. The $6.9M includes vehicle reserve
use of $755k related to vehicle procurement. The use of funds for the FY26 Budget
(FY27 is similar) is summarized in the following graphic.
TDPUD - Electric Utility - 2026 Budget of $53.8 Million - Use of Funds Distribution - per $100
BK 15403837 A
K11
Tills NOTE IS L[WLYFNDEN
k Of EY9. vU�41C wNo �wivwYE
C.
Capital Expenditures, DebtService, $0.80 Purchased Power, $26.80 Operations, $32.48
$34.07 To Reserves, $3.26 Conservation, $2.59
The electric utility's retail customer rates are and will remain in 2026 and 2027
(assuming the current draft recommended increases of 5% and 5% respectively) below
the majority of comparator benchmark utilities. Based on staff's discussions with other
public utilities in California, many utilities are anticipating material rate increases in near
term. In summary, regional electric utilities are all experiencing material cost
pressures, particularly related to wildfire system hardening, grid modernization, and
operating costs (labor and vendors).
The District's current YTD September average retail cost per kWh for all customers is
$0.2375. The District's current YTD September average residential cost per kWh for
primary, secondary, and combined, are $0.2178, $0.2606, and $0.2398
respectively. The District's combined residential average is 35% below the BLS San
Francisco Oakland Hayward (SFOH) December 2024 of $.370 per kWh. The BLS
ceased publishing this SFOH metric in December 2024. The BLS CPI Electricity for the
USA indicates an August 2025 year -over -year inflation rate of 6.2%. The District's
electric rates remain one of the few cost items in the region that are below the average
cost in other areas of California. The current electric cost of service and rates
consultant, HDR Engineering, provides the below benchmarking residential average bill
comparison chart.
Page 4 of 16
Page 210 of 312
Rate Comparison
800 kWh
$350
$300
$250
ZNMET ge
Sz00
$150
$100
$50
Sa
Current Year 1 Proposed Roseville Electric Lodi Electric PSREC* Liberty PG&E
Utility
TDPUD Other Utilities
*Plumas-Sierra Rural Electric COOP
As discussed above, the B26 net revenue requirement from rates of $44.4M is an
increase over B25 of $2.4M or 6%. The details of the key changes are provided below:
2a. Purchase Power Costs, -$1.0M, -7%
Demand is relatively consistent. However, growth is occurring, weather does influence
the volume, and electrification momentum continues. Costs can be volatile, as we saw
in the second half of 2022 and January 2023. However, costs have been relatively
stable and lower than the budget in 2024 and YTD 2025. The YTD September 2025
cost of $10.7 million is $909,000 or 8% under budget and the FY25 forecast of $14.6
million is $900k or 6% under budget. For FY26 and FY27, staff developed a detailed
purchased power estimate based on trends in current cost trends, customer growth,
and utilized a three-year average trend for kWh volume.
For FY26, the $14.4M is $1.0M or 7% less than the FY25 budget. This decrease is
driven by multiple factors including customer growth, demand growth, power cost per
MW increases, power source mix shifts, transmission cost increases, and energy
imbalance market (EIM) costs. For FY27, an average increase of 4% was applied.
The budget for FY26 is 180,000 MWH purchased and the budget for FY27 is
181,500. Both a 3 -year and 5 -year average were analyzed and adjusted for customer
growth and demand trends in developing these MWH volume estimates for
budget. Attachment 8 provides a detailed schedule of purchased power budget.
2b. Rate Reserve Funding, -$389k, -72%
The FY26 rate reserve funding of $151 K reflects a decrease of $389K as compared to
the FY25 budget. This decrease is driven by a related decrease in the rate reserve
requirement of $519k. This decrease provides a reset and relief from the rate reserve
utilization in April 2023 of $2.4M. Accordingly, the FY26 rate reserve funding
replenishment requirement to achieve the policy target of 50% of budget is $151,000
and replenishment from utilization will be complete. Further, by ordinance approved by
the Board in 2023, a Power Cost Adjustment (PCA) quarterly rate adjustment tool,
Page 5 of 16
Page 211 of 312
common with many utilities, addresses the variability in purchased power costs. The
PCA provides a mechanism to address wholesale power cost increases (or decreases)
without directly drawing from reserves.
2c. AB32 Funds, $0k, 0%
AB32 Cap & Trade cash funds have been consistently utilized as a non -rate funding
source, thereby reducing the rates' revenue requirement. Consistent with budget,
utilization in FY24 was $500k and FY25 was $450,000. The Financial Master Plan
anticipates the utilization amount to be $450,000 for B26 (no change to B25) and
$400,000 for B27.
2d. Labor Costs, +$990k,10%
The rate of pay for personnel increase for 2025 was 5.5% overall, plus an additional
17% for electrical -specific positions represented by IBEW 1245. These increases were
driven by compensation survey information as well as negotiations with IBEW. The
budgeted increases for B26 and B27 are 4.0% and 4.0% respectively, in accordance
with the three-year IBEW 1245 Memorandum of Understanding adopted in 2025.
Certain positions had or will have step increases within the range, consistent with
approved salary schedules. Staff has evaluated the resources of the District in relation
to the mission, values, and strategic goals of the organization. Regarding personnel
impact, staff is recommending one additional Full -Time Equivalents (FTE) (split 50%
electric and 50% water) as compared to current staffing levels. An organizational chart
and position details are provided in Attachment 6. Overall, the budget represents a
decrease in staffing from 83 FTE in Budget FY25 to 81 FTE in Budget FY26 and FY27.
A summary of the changes from B25 to B26 in number of FTE are as follows:
83 Budget 2025
(4) drop of 1 Electric crew (1 Forman, 3 Journeyman Lineman)
+1 Electric Utility Director split to two positions
+1 for new position, placeholder is 'HR Specialist(Represented)', cost center 2
General Management
= 81 Budget 2026 and 2027
The above items impact gross wages, as well as, certain labor overhead components
(payroll taxes, pension, workers' compensation insurance). Both are included in the
impact amount noted.
2e. Vendor Costs, +$1.2M, +17%
Inflation level of —5% equates to $331 k for vendor operating expenses of the electric
utility. Staff have reviewed expenses by account and activity code for reasonableness
based on three-year averages, adjusting for anomalies, and other known factors and
estimates. Conservation expenses have been increased $370k to align with the
regulatory requirements for percent of revenues. Wildfire defensible space contractor
work for B26 of $2.1 M is 3% over B25. Electric fleet rental expense of $197k has been
added to B26 and $205k in B27 based on anticipated operational fleet needs prior to
delivery of fleet purchases (beyond normal lead times). This item increases electric
operating costs (vendor costs). However, the item is recommended/drafted to be
funded with vehicle reserve funds. These rentals are separate from the occasional fleet
rental required during an extended fleet repair period, which is charged to standard fleet
Page 6 of 16
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costs and spread throughout all operations for both utilities via a Transportation
Overhead cost charge.
With the upcoming 2027 100 -year District anniversary, expense of $30,000 has been
budgeted in B26 and $45,000 in B27, with electric's 50% portion of $15k and $23k,
respectively. Insurance costs have increased in B26 by $332,000 to $760k, with
electric's share of the increase at $161,000. This cost includes property, general
liability, excess crime, and vehicles. Insurance premium renewals in the last 3 cycles
average 29%, 13% and 47% respectively, with the latter driven primarily by a general
liability renewal effective 10/1/2025 increase of 79% over last year's renewal.
2f. Fleet R&M & Fuel Costs, +$42k, +7%
Fuel and oil cost for B26 of $260,000 are $54,000 or 26% greater than B25 based on
recent cost trends plus anticipated CA CARB LCFS and CA refinery closures impacts.
Repairs and Maintenance (R&M) costs are $56,000 or 38%, greater than B25 due to
current cost trends. B26 includes $59,000 in equipment rentals due to the repair lead
times (B27 $62k), generally consistent with the current budget. In total, vehicle
operation, maintenance, repairs, fuel, deprecation and other fleet costs for B26 total
$1.83M and equate to an increase of $180k or 11% to B25. The B27 total of $1.91 M
reflects an increase of 4% to B26. Transportation Overhead was refined for B26 with
respect to fleet -related labor hours across the district. The electric utility's operating
expense share of fleet costs equates to an increase in Transportation Overhead of
$42,000 for B26 as compared to B25.
2g. Labor Overheads Inflation, +$395k, 8%
An increase of $149,000 for Medical premiums reflects an increase of 5% for 2026,
below industry trends. An FY26 increase of $196,000 for CaIPERS Unfunded Actuarial
Liability (UAL) required payment as compared to FY25. The July 2026 UAL payment
for Classic plan is $1.823M and for Pepra plan is $14k. The change for electric
operating expense labor overhead is $395k due to electric's portion increasing greater
than water's portion, due to electric rate of pay increase discussed previously greater
than water's.
2h. Capital and Reserves, net +$2.8M greater cash outflow
In addition to the annual operating expenses detailed previously, there are numerous
capital -related and other reserve item components of the annual budget which impact
rates. The timing of capital projects between years can have a material impact on year-
to-year comparison. The changes from B25 to B26 are detailed below.
• ($2.1 M) increase in net capital expenditures. Capital expenditures B26 of
$18.32M are offset by $6.86M in capital reserves utilization for a net outflow of
$11.5M, as compared to a B25 net outflow of $9.4M ($22.5m capex, less $6.5m
debt proceeds spend, less $6.6M reserve use)
• ($500,000) decrease in facility fees utilized for capital expenditures (none for
B26 as compared to $500K for B25)
• ($ 81,000) decrease in vehicle reserve funding to $844,000 for B26 as
compared to $925,000 for B25
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• $113,000 in LCFS funding utilized ($0 in B25)
• ($312,000) operating reserve decrease compared to B25. B26 +$614k as
compared to +$878k for B25
2i. Customer Growth, -$396k, -0.6%
Customer account growth increases retail electricity sales, growth assumption for
electric accounts is 0.6%. Presented as a negative amount, as the account growth
reduces the rate increase necessary to cover the revenue requirement.
2j. Other Revenue (non -rates), -$106k, -9%
Numerous miscellaneous revenues, including standby and pole contacts, and water's
rent expense paid to electric. B26 of $1.3M is 106k or 9% greater than
B25. Presented as a negative amount, as the increase in non -rate revenue sources
reduces the rate increase necessary to cover the revenue requirement.
3. Water Utility Budget
The use of funds for the FY26 Budget (FY27 is similar) is summarized in the following
graphic:
TDPUD - Water Utility - 2026 Budget of $27 Million - Use of Funds Distribution - per $100
■ Capital Expenditures ■ Debt Service To Reserves ■ Operations
* Operations, includes Pumping related Electricicty costs of $6.59
The current draft of Budget 2026 (B26) and Budget 2027 (B27) for the Water Utility is
provided as Attachment 3. B26 operating revenues of $22.4M are $1.89M or 9%
greater than B25. This increase is due to an average rate increase of 6.5%, customer
growth of 0.6%, and an increase in 3 -year average billed water volume. B26 Operating
Expenses of $14.2M are $0.51 M or 4% greater than B25 and for B27 the cost
increases $689k or 5% to B26. Capital expenditures for B26 of $9.7M are $1.65M
more than the $8.1 M in B25. At the September 3rd water rates board workshop, Cost
of Service and Rate Design consultant, HDR Engineering, provided the following
residential bill comparison for benchmark analysis.
Page 8 of 16
Page 214 of 312
FY 2026 Average Residential Customer Monthly Bill Comparison
S1ea.ao
5160.00
5140.00
$120.00
$100.00 II I F' :!� [ 3 ::
eo.00 II, '1
.I: III
�1
$60.00
k3 3 ;
4o.ao �; f Z
II 13 ;
Sza.00 � �13 s
A —v ofOthe, TDPUD- Prtspft TDPUD-Proposed Northeta, (SD TOhoOCity PUS Olympic Valley NorthTohooPUD SUOthTOhOGPUD Alp, 5prings
Dlstrlm (2026) PS0 CWD
Assumes 3/4" meter and 5,000 gallons per month
The three hatch -marked utilities receive property tax dollars, as well as, rate
revenues. The District does not receive any property tax funds.
Below is a discussion of water's cost components and other items.
3a. Water Power Costs, -$64k, -3%
$64,000 decrease in power costs (electricity primarily) costs to operate wells, pumps
and motors. This decrease is a combination of the District's electricity service, as well
as, Liberty's electricity service costs. The decrease to B25 is driven by less rate
increase than anticipated for electricity, a decline in electricity kWh volume, partially
offset by an estimated cost increase of 5%. In B26, water's cost for power costs is
$1.91 M and represents 14% of annual water utility operating costs.
3b. Labor Cost, +$342k, +4%
The rate of pay for water utility personnel increases in 2025 was 5.5%. The rate of pay
increases for B26 and B27 are estimated at 4.0% and 4.0%, consistent with the current
MOU. Certain positions had or will have step increases within the range, consistent
with approved salary schedules. The above items impact gross wages, as well as,
labor overhead. The water utility's share of labor overhead decreased as compared to
electric utility due to the latter receiving a greater rate of pay increase, driving greater
labor overhead costs on the electric utility labor cost side as compared to water utility.
3c. Vendor Costs, +$345k, +8%
The US economy's current year -over -year inflation rate as of August 2025 is 2.9%. An
inflation level of 3% equates to $113k for vendor operating expenses of the electric
utility. Staff have reviewed expenses by account and activity code for reasonableness
based on three-year averages, adjusting for anomalies, and other known factors and
estimates. Insurance costs have increased in B26 by $332,000 to $760k, with electric's
share of the increase at $161,000. This cost includes property, general liability, excess
crime, and vehicles. Insurance premium renewals in the last 3 cycles average 29%,
13% and 47% respectively, with the latter driven primarily by a general liability renewal
effective 10/1/2025 increase of 79% over last year's renewal. IT vendor costs allocated
to water increased $43k or 10% to $481,000 for B26 due to various water systems
items.
Page 9 of 16
Page 215 of 312
3d. Fleet R&M & Fuel Costs, +$64k, +9%
Fuel and oil costs for B26 of $260,000 are $54,000 or 26% greater than B25 based on
recent cost trends plus anticipated CA CARB LCFS and CA refinery closures
impacts. Repairs and Maintenance (R&M) costs are $56,000 or 38%, greater than B25
due to current cost trends. B26 includes $59,000 in equipment rentals due to the repair
lead times (B27 $62k), generally consistent with the current budget. In total, vehicle
operation, maintenance, repairs, fuels, deprecation and other fleet costs for B26 total
$1.83M and equate to an increase of $180k or 11% to B25. The B27 total of $1.91 M
reflects an increase of 4% to B26. Transportation Overhead was refined for B26 with
respect to fleet -related labor hours across the district. The water utility's operating
expense share of fleet costs equates to an increase in transportation overhead of
$64,000 for B26 as compared to B25.
3e. Capital, Reserves, and Other, net -$42k less use of cash funds
In addition to the annual operating expenses detailed previously, there are numerous
capital -related and other reserve components of the annual budget which impact
rates. The timing of capital projects between years can have a material impact on year-
to-year comparison. The changes from B25 to B26 are detailed below.
• $ 191,000 in more net capital expenditures for B26 versus B25. B26 capital
expenditures of $9.7M, less 3.5M in capital reserves utilization for a net outflow
of $6.5M, as compared to a B25 net outflow of $6.3M ($8.1 M less $1.8M in
capital reserves utilization for a net outflow of $6.3M)
• ($151,000) operating reserve increase anticipated for B26 of $50,000 as
compared to negative $101,000 for B25
• $ 157,000 increase in vehicle reserve funding to $484,000 for B26
• ($250,000) decrease in capital reserve funding to $0 for B26
• ($ 7,000) decrease in debt service. B26 total is $1.98M
• ($ 3,000) increase in other revenues (not rate related)
• $ 21,000 decrease in investment income
3f. Customer Growth, - $124k, -0.6%
Customer account growth increases retail water sales, with an estimated growth rate of
0.6%. Presented as a negative amount, as the account growth reduces the rate
increase necessary to cover the revenue requirement.
4. Capital Expenditures
The District has reviewed the current 10 -year capital improvement plans (CIP) and
updated them as necessary for current planned projects timing and inflation. Capital
expenditures are required to address the aging depreciation of system assets and are
critical to achieving the mission of the district. Capital expenditures were reviewed in
detail during Workshop #2 last month. The water utility performed a comprehensive
system analysis as part of the CIP update in 2025.
The 10 -year capital improvement plans for the electric system, water system, facilities,
vehicles, and information technology can be referenced in Attachment 4.
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Electric's capital expenditures total $18.3M and $14.2M for B26 and B27, respectively.
Water capital expenditures total $9.7M and $8.9M for B26 and B27, respectively.
5. Overheads, Rent, and Debt Service
There are four overhead charges applied throughout the District's financials. The
calculation methodologies and application to B26 and B27 are consistent with prior
years:
• Labor Overhead — distributes the cost of all payroll related costs (taxes, insurance,
pension) and non-productive compensation costs across all our operations/work
orders/capital projects
• Transportation Overhead — distributes the cost of our Fleet across all our
operations/work orders/capital projects
• Administrative Overhead — distributes Purchasing/Warehousing common costs
across operations/work orders/capital projects
• Construction Overhead — distributes administrative overhead costs to all capital
projects
5a. Labor Overhead
The District's payroll costs include the cost of salaries and wages (rate of pay x hours)
aka compensation, as well as, numerous other costs directly associated with
compensation. For the District (as an employer), these other costs include the
employer's cost portion of payroll taxes, health insurance, pension, OPEB, and workers'
compensation insurance. The District's financials account for the above costs in two
main categories; Labor and Labor Overhead.
Labor is the direct cost (compensation) for productive labor time costs. Labor includes
the cost of hours charged to operations, capital projects and service work orders. Labor
cost charging is specific to the hours and personnel charging their time, and includes
overtime and standby compensation costs.
Labor Overhead captures the cost of all the other costs referenced above, as well as
the cost of non-productive labor costs (vacation, sick, administrative, and holiday pay).
Overhead cost components are accumulated for the District as a whole, then
proportionally distributed to all operations, capital, and service work orders based on
where the labor costs are charged.
For Budget 2025, the labor overhead rate was 94% and the rate has decreased in B26
to 91% and B27 to 92%. Therefore, for every dollar of productive labor cost in B26,
overhead charged is 91 cents. There are numerous drivers of the overhead cost
components, including rate of pay increases, position additions/deletions, health
insurance costs and plan changes, and turnover impacts on pension costs (traditional
to PEPRA), the pension UAL required payments, and paid time off accrual rates.
Labor Overhead for B26 of $11.2M increased 9% to B25, whereas total recommended
labor is an increase of 12%. Therefore, the effective Labor Overhead rate decreased
3%. The five largest cost components for Labor Overhead are as follows:
• $3.9M Pension Costs — up 15% to B25 due to increase in UAL required annual
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payment and increase in pensionable wages
• $3.OM Medical/Dental insurance costs (employees and retirees,net) — up 1 % to B25
due primarily to premium renewal cost increase of 5% partially offset by fewer
participants
• $2.OM Non-productive labor costs — up 12% to B25 primarily due to rate of pay
increases
• $0.99M FICA/Medicare payroll taxes, employer portion — up 4% to B25 due to
payroll increases
• $0.48M Other Post Employment Benefits (OPEB) Retirees cost — up 13% to B25
due to benefit changes approved by the Board
Of note, $0.23M Workers Compensation insurance — down 35% due primarily to a
favorable decrease in experience modification factor
5b. Transportation Overhead — distributes the cost of our Fleet across all our
operations/work orders/capital projects.
The Transportation Overhead (TO) amount for B26 of $1.8m increased $182K or 11%
to B25. This was driven primarily by inflation impacts on fuel and repair and
maintenance costs. TO applicable labor hours was refined for this budget cycle,
resulting in 12% fewer labor hours subject to TO. The resulting overhead rate charged
per applicable transportation hour for B26 of $22.21 compares to $17.67 for B25,
representing a 26% increase. B27 rate is $23.12, up 4% to B26.
5c. Administrative Overhead — distributes Purchasing/Warehousing common costs
across operations and work orders/capital projects
The Administrative Overhead (AO) amount for B26 of $440k increased $6K or 1 % to
B25. The overhead rate charged per applicable labor hour for B26 of 3.6% compares
to 4.0% for B25. The rate decrease is due to the cost being spread over a greater
percentage increase in overall labor dollars the AO % applies to. B27 rate is also 3.6%.
5d. Construction Overhead — distributes construction project administrative overhead
costs to all capital projects
The Construction Overhead (CO) amount for B26 of $447k increased $114K or 34% to
B25. This was driven primarily by cost increases driven by rate of pay changes and
increased capital project planning efforts by electric engineering team. Capital labor for
B26 of $2.1 M increased 28% over B25. The resulting overhead rate charged per
applicable labor hour capital projects for B26 is 20.9% and was 20.0% in B25. The rate
for B27 is 21.35%.
5e. Interdepartmental Rent
The electric utility owns the District's main building and common shared equipment
assets. The depreciation cost and the operating costs for the building and common
facilities are jointly shared by the water utility, 50% Electric and 50% Water, consistent
for many years. Water's rent to Electric for B26 is $663,000 and equates to an increase
of 9% compared to B25. At a total cost level, the building facilities' annual operating
costs of $874K increased 1 % in B26 compared to B25. Depreciation costs of $452K for
Page 12 of 16
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B26 increased by 30% compared to B25. This increase in depreciation cost is due
primarily to an increase in jointly shared asset capital additions.
5f. Debt Service Schedule, Electric Utility
The electric utility's debt service for B26 and B27 is $429k and $431 k,
respectively. The electric utility's 2022 debt issuance proceeds of $6.5M are forecast to
be expended in FY25.The electric utility has no new debt issuance currently
planned. For the purposes of long-term financial planning only, the electric utility has
$1.452M in new debt service starting in FY28, to reflect potential new facility
infrastructure improvements, electric's portion.
5g. Debt Service Schedule, Water Utility
The water utility's net debt service for B26 and B27 is $1.53M and $1.53M,
respectively. The water utility has no new debt issuance currently planned. For the
purposes of long-term financial planning only, the water utility has $0.96M in new debt
service starting in FY28, to reflect potential new facility infrastructure improvements,
water's portion.
Attachment 5 provides detailed calculation schedules for overheads, rent, and debt
service.
6. Personnel
Personnel is at the core of operational and strategic success and a significant cost and
investment for the District. The District has reviewed the organizational structure over
the last 12-18 months and has developed several strategic recommended changes to
align the structure with the evolving landscape of public utility maintenance and
operations, consistent with the District's Mission, Values, and Strategic Plan.
As compared to the current budget for B24 and B25, there was one position addition
resulting from the split of the Electric Utility Directors duties into two positions.
B26 includes the addition of one position (Human Resources support) and includes not
staffing a 3rd electric line crew, which was budgeted but not filled. A summary of the
changes from B25 to B26 in number of FTE are as follows:
83 Budget 2025
(4) drop of 1 Electric crew (1 Forman, 3 Journeyman Lineman)
+1 Electric Utility Director split to two positions
+1 for new position, placeholder is 'HR Specialist(Represented)', cost center 2
General Management
= 81 Budget 2026 and 2027
Attachment 6 provides detailed position information and an organizational chart.
7. Financial Master Plan
The Financial Master Plan (FMP) is a tool to help the Board and staff understand how
the proposed budget impacts long-term goals. The FMP includes revenues and
expenditures for the current budget cycle years, as well as the following eight years, for
a 10 -year horizon view of the financial position, in particular reserve balances, for the
District. Further, the FMP is reviewed during the budget cycle to ensure that the
proposed budget is consistent with long-term goals. The FMP makes assumptions on
customer growth and inflation. Further, the FMP incorporates the 10 -year capital
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improvement plans of the utilities.
For the purposes of long-term financial planning only, to reflect potential new facility
infrastructure improvements, the electric and water utility have, starting in FY28, new
debt of $1.452M and $0.96M, respectively. The pro forma new debt service amounts
reflect an approximate $39M debit issuance, with debt service split 60% electric 40%
water. The pro forma debt has no impact on current proposed electric rates
(FY26/FY27) or water rates (FY26-FY30).
The key measure of financial stability for the District in the FMP is reserve balances.
Reserve balances and relationship to goals (highlighted) and related rate change
recommendations are summarized below:
ELECTRIC
FY26
FY27
FY28
FY29
FY30
FY31
FY32
FY33
FY34
FY35
Operating Cash Flow
Operating revenue
$
45,740
$48,500
$50,853
$53,322
$55,389
$57,536
$ 59,767 $
62,086
$ 64,494 $
66,996
Operating Purchase Power Costs
(14,412)
(14,969)
(15,568)
(16,191)
(16,839)
(17,513)
(18,214)
(18,943)
(19,701)
(20,489)
Operating Expenses
(18,858)
(19,662)
(20,449)
(21,267)
(22,118)
(23,002)
(23,922)
(24,879)
(25,674)
(26,909)
Other revenue/(expenses)
(44)
(22)
(9)
11
31
54
73
100
117
143
Net Income FMP
$
12,426
$13,847
$14,827
$15,875
$16,463
$17,075
$ 17,704 $
18,384
$ 19,036 $
19,741
Transfer fromt(to) funds
6,620
757
853
(975)
303
(3,057)
(2,697)
(4,003)
(3,416)
(5.748)
Debt Issuance Costs
-
-
-
-
-
-
-
-
-
-
Debt principal payments
(160)
(170)
(1,632)
(1,637)
(1,647)
(1,657)
(1,667)
(1,677)
(1,692)
(1,702)
2022 Debt proceeds use -$0,000
-
-
-
-
-
-
-
-
-
Capital projects
(18,320)
(14,244)
(13,601)
(12,847)
(14,584)
(12,044)
(12,644)
(12,467)
(13,400)
(11,188)
Change in Operating Cash
$
566
$ 190
$ 447 $ 416 $ 535
$ 308
$ 695 $
217
$ 527 $
1,102
FY26
FY27
FY28
FY29
FY30
FY31
FY32
FY33
FY34
FY35
Op Reserve %ofOpExp(Goal 50%)
51%
50%
50%
50%
50%
50%
51%
50%
50%
52%
Rate Reserve %of PPE (Goal 50%)
51%
51%
51%
51%
51%
51%
51%
51%
50%
50%
Capital Reserves%Capx (Goall00%)
80%
76%
70%
76%
74%
91%
104%
124%
139%
164%
Cash & Reserve Balances
Operating Reserve (Gen Fd) Balance
$
9,566
$ 9,756
$10,203
$10,620
$11,154
$11,462
$ 12,157 $
12,374
$ 12,902 $
14,004
Rate Reserve Balance
7,300
7,579
7,879
8,191
8,515
8,852
9,203
9,568
9,947
10,341
Capital Reserve Balance
8,357
9,266
8,798
10,718
10,486
13,748
17,092
21,419
25,354
31,688
Capital Vehicle Reserve Balance
2,417
1,532
1,605
1,162
1,635
1,913
1,855
2,160
2,387
2,748
Deferred Liability
2,434
2,495
2,557
2,621
2,687
2,754
2,823
2,894
2,966
3,040
Facility Fee Reserve Balance
457
650
796
946
1,100
1,264
1,439
1,624
1,821
2,029
Cash& Reserve Balances
$
30,531
$31,278
$31,838 $34,258
$35,577
$39,993
$ 44,569 $ 50,039
$ 55,377 $ 63,850
RecommendedlProposed rate change
5.00%
5.00%
4.00%
4.00%
3.00%
3.00%
3.00%
3.00%
3.00%
3.00%
Net Rate Increase in active FMP
5.00%
5.00%
4.00%
4.00%
3.00%
3.00%
3.00%
3.00%
3.00%
3.00%
FY26
FY27
FY28
FY29
FY30
FY31
FY32
FY33
FY34
FY35
Electric's Operating and Rate Reserves are at or above the policy target goal of 50% of
the respective budget, all years. Electric's Capital Reserve balances are slightly below
the policy target goal (100% of average annual capital expenditures) in FY26 through
FY31, and at or above goal for FY32-FY35.
Page 14 of 16
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WATER
Operating Cash Flow
Operating revenue
Operating expenses
Other revenue and expenses
Net income
Transfers tomf(to) funds
Debt Issuance Costs
Debt principal payments
Debt proceeds (new debt) - $0,000
Capital expenditures
Change in Operating Cash
OpGF Reserve%ofOpExp Goal 50%
Capital Reserves%CapxGoal 100%
Cash & Reserve Balances
Operating Cash Balance (GenFd)
Capital Reserve Balance
Vehicle Reserve Balance
Deferred Liability
Facility Fee Balance
Cash & Reserve Balances
Debt service coverage
(1.25 required until 2036)
Chance to Proposed FY26 & FY27
FY26 FY27 FY20 FY29 FY30 FY31 FY32 FY33 FY34 FY35
$ 22,432 $ 23,982 $ 25,671 $ 27,481 $ 29,420 $ 30,820 $ 31,870 $ 33,171 $ 34,525 $ 35,935
(14,328) (15,025) (15,636) (16,272) (16,914) (17,581) (18,276) (18,997) (19,747) (20,526)
(806) (763) (709) (662) (610) (556) (496) (438) (370) (265)
$ 7,298 $ 8,194 $ 9,326 $ 10,547 S 11,896 $ 12,483 $ 13,098 $ 13,736 $ 14,408 $ 15,144
3,426 2,148 1,822 603 28 (1,499) (1,694) (2,593) (1,299) (2,322)
(1,000) (1,045) (2,050) (2,085) (2,130) (2,180) (2,225) (2,285) (2,330) (1.665)
(9.7151 (8.9391 (8.8021 (8.7431 (9.4881 (8.3651 (8.944) 18.3001 (8.9231 (8.1481
FY26 FY27 FY28 FY29 FY30 FY31 FY32 FY33 FY34 FY35
50% 50% 50% 50% 50% 50% 50% 51% 58% 71%
39% 27% 12% 15% 19% 43% 63% 94% 109% 136%
$ 7,110 $
7,488 $
7,764 $ 8,086 $ 8,392 $
8,831 $
9,066 $
9,624 $ 11,480 $ 14,489
2,993
1,668
210
115
618
2,633
4,299
7,606
9,796
12,541
428
770
895
1,355
1,314
1,791
2,311
2,659
2,458
3,103
128
131
134
137
140
144
148
152
156
160
2,086
1,777
2,100
1,913
2,283
2,138
2,568
2,531
3,030
3,091
4.55 4.99 3.74 4.15 4.60 4.79 4.99 5.18 5.42 7.501
�Vrate�chanaes 6.5% 6.5°/, 6.5% 6.5% 6.5% 3.5% 3.50% 3.50°/ 3.50% 3.50%I
Water's Operating Reserves are at or above the policy target goal of 50% of the
respective budget, all years. Water's capital reserve balances are significantly below
the policy target goal (100% of average annual capital expenditures) in FY26 through
FY31, and starting to improve beginning in FY32.
Key notes regarding reserves:
• The Operating Reserve is the general fund balance and is intended for
unanticipated operating cost items or operating cost increases, or an
unanticipated loss of revenues. The primary source of incoming funds is
customer rates for electric and water utility service provided.
• The Capital Reserve is funded with rates, via transfers from General Fund to
Capital Reserve. This reserve is intended to fund any year-to-year 'spikes' in
capital expenditures, in addition to serving as a funding source for any
unplanned capital needs.
• Both of the above referenced reserves (and the Rate Reserve for electric) are an
important component of the overall financial strength of the District, serving as
key funding reserves, in addition to essential components of debt ratings or other
review of the District's financial position.
Attachment 7 provides the detailed Financial Master Plan for the 10 -year period.
Attachment 8 provides details regarding Purchased Power, previously discussed.
Attachment 9 is Resolution 2025-29 for the board's consideration for adopting Budget
FY26 and FY27.
GOALS AND OBJECTIVES:
Page 15 of 16
Page 221 of 312
District Code 1.05.020 Obiectives:
1. Responsibly serve the public.
2. Provide a healthy and safe work environment for all District employees.
3. Provide reliable and high quality water supply and distribution system to meet
current and future needs.
4. Provide reliable and high quality electric supply and distribution system to meet
current and future needs.
5. Manage the District in an environmentally sound manner.
6. Manage the District in an effective, efficient and fiscally responsible manner.
District Code 1.05.030 Goals:
1. Manage for Financial Stability and Resiliency
2. Environmental Stewardship: Create a sustainable resilient environment for all our
communities.
3. Engage with our customers and communities in a welcoming and transparent way to
identify opportunities.
4. Modernize the utility and add value to our communities through collaboration and
innovation.
5. Developing an inclusive culture drives organizational integration and success.
FISCAL IMPACT:
The staff recommended adoption of Resolution 2025-29 for Budget 2026 and 2027 is a
balanced budget consistent with the District's mission, values, strategic plan, goals and
objectives.
ATTACHMENTS:
1. 1 Summary and By Fund Schedules
2. 2 Electric Summary and Schedules
3. 3 Water Summary and Schedules
4. 4 Capital Expenditures
5. 5 Overheads Rent Debt
6. 6 Personnel
7. 7 Financial Master Plan
8. 8 Purchased Power
9. Res2025-29 FY26 and FY27 Budget
Page 16 of 16
Page 222 of 312
TRUCKEE DONNER
Public Utility District
FY2026 and FY2027 Budget
Public Hearing
and Resolution 2025-29
November 5, 2025
1 - Summary and By Fund Schedules - page 1 of 7 Page 223 of 312
this page 2 is intentionally left blank
1 - Summary and By Fund Schedules - page 2 of 7 Page 224 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
Budget - Super Summary
Information is Budget Basis (cash flows). Excludes certain non -cash items, such as Depreciation. Combined Amounts are informational only, pre-inter-utlity eliminations.
Electric Utility
FY26 FY27
Water Utility
FY26 FY27
TRUCKEE DONNER
Public Utility District
Combined
FY26 FY27
Operating Revenues
$ 45,740,000
$ 48,500,000
$ 22,432,000
$ 23,982,000
$ 68,172,000
$ 72,482,000
Operating Expenses (OE)
33,270,000
34,631,000
14,328,000
15,025,000
47,598,000
49,656,000
OE Purchased Power
14, 412, 000
14, 969, 000
-
-
14, 412, 000
14, 969, 000
OE All Other
18, 858, 000
19, 662, 000
14, 328, 000
15, 025, 000
33,186, 000
34, 687, 000
Operating Net
$ 12,470,000
$ 13,869,000
$ 8,104,000
$ 8,957,000
$ 20,574,000
$ 22,826,000
27%
29%
36%
37%
30%
31%
Other Inflows
Investment Income (Operating Fund only)
225,000
239,000
178,000
178,000
403,000
417,000
AB32 Cap&Trade Funds use
.. .....................
450,000
400,000
-
-
450,000
400,000
Donner Lake Surcharge -2006 COPs
-
-
100,000
97,000
100,000
97,000
Fac.Fee Funds use, Debt Service
............................................................................................................................................................
-
.............................................................................................................................
-
359,000
............................................................................................................................
360,000
359,000
.............................................................................................................................
360,000
Fac.Fee Funds use, Capital Projects
-
-
-
619,000
-
619,000
LCFS Funds use
113,000
35,000
-
-
113,000
35,000
............................................................................................................................................................
Reserve Use, Capital Reserve
.............................................................................................................................
6,100,000
-
............................................................................................................................
2,850,000
1,400,000
.............................................................................................................................
8,950,000
1,400,000
Reserve Use, Vehicle Reserve
952,000
2,043,000
602,000
-
1,554,000
2,043,000
Other Outflows
Debt Service
(429,000)
(431,000)
(1,984,000)
(1,987,000)
(2,413,000)
(2,418,000)
Capital Expenditures ......................
(18,320,000)
(14,244,000)
(9,715,000)
(8,939,000)
(28,035,000)
(23,183,000)
Reserve Funding, Capital
-
(700,000)
-
-
-
(700,000)
Reserve Funding, Vehicle
(844,000)
(925,000)
(484,000)
(327,000)
(1,328,000)
(1,252,000)
..
Reserve Funding, Rate Reserve (RR)
-
(96,000)
-
..............
-
-
(96,000)
Reserve Funding, RR Replenish
(151,000)
-
-
-
(151,000)
-
Net Budget, Operating
$ 566,000
$ 190,000
$ 10,000
$ 358,000
$ 576,000
$ 548,000
Net Budget is the Change in Operating Reserve/General Fund
Electric
Utility
Water
Utility
Combined
Informational Subtotals/Nets in above:
FY26
FY27
FY26
FY27
FY26
FY27
Capital Reserve, Net Use (Funding)
6,100,000
(700,000)
2,850,000
1,400,000
8,950,000
700,000
Vehicle Reserve, Net Use (Funding)
108,000
1,118,000
118,000
(327,000)
226,000
791,000
Other Inflows, total
7,840,000
2,717,000
4,089,000
2,654,000
11,929,000
5,371,000
OtherOutlfows,total
(19,744,000)
(16,396,000)
(12,183,000)
(11,253,000)
(31,927,000)
(27,649,000)
Other Inflows/Outlfows, Net
(11,904,000)
(13,679,000)
(8,094,000)
(8,599,000)
(19,998,000)
(22,278,000)
1 - Summary and By Fund Schedules - page 3 of 7 Page 225 of 312
Truckee Donner Public Utility District
ELECTRIC Utility by Fund
2026 Budget (year 1) PH 11/5/2025
Operating
Reserve
Rate
Deferred
Capital
Vehicles
Facility
COP Debt
Electric Utility
(General)
Reserve
Liability
Reserve
Reserve
Fees
Project
AB32 Cap &
All Funds
Fund
Fund
Fund
Fund
Fund
Fund
Fund
LCFS Fund
Trade Fund
Combined
Undesignated
Designated
Restricted
Restricted
Restricted
Restricted
Sources
$ 46,725,000 $
325,000__$
59,000__$
353,000__$
979,000__$
201,000__$
-
$ 33,000__$
359,000
$ 49,034,000
Operating Revenue, Rates
44,430,000
44,430,000
Operating Revenue, Other
1,310,000
1,310,000
45,740 000
subtotal, operating revenue
45,740,000
888,000
Investment Income 225,000 174,000 59,000 353,000 59,000 6,000 0 3,000 9,000
LCFS / AB32 Auction Sales
30,000
350,000
380,000
Facility Fees collected
195,000
195,000
Vehicle sales proceeds
76,000
76,000
Bond Proceeds
-
0
From other Fund:
GF to Rate Reserve Replenish
151,000
151,000
GF to Rate Reserve
0
0
GF to Capital Reserve
0
0
GF to Capital Reserve, Vehicles
844,000
844,000
LCFS Funds to GF
113,000
113,000
AB32 Funds to GF
450,000
450,000
Vehicle Reserve, Rental Expense
197,000
197,000
Uses $
46,159,000 $
- $
- $
6,100,000 $
952,000 $
- $
- $ 113,000 $
450,000
$ 53,774,000
Operating expenses
18,858,000
18,858,000
Purchased Power
14,412,000
14,412,000
33, 270, 000
subtotal
33, 270, 000
To other Fund:
GF to Rate Reserve Replenish
151,000
151,000
GF to Rate Reserve
0
0
GF to Capital Reserves
0
0
GF to Capital Reserve, Vehicles
844,000
844,000
LCFS / AB32 funds to GF
113,000
450,000
563,000
Debt Service
429,000
429,000
Capital Expenditures
11,465,000
6,100,000
755,000
0
0
18,320,000
Vehicle Reserve, Rental Expense
197,000
197,000
Sources less Uses Budget NET $
566,000 $
325,000 $
59,000 $
5,747,000 $
27,000 $
201,000 $
- $ (80,000) $
(91,000)
$(4,740,000)
Beginning Fund Balance, Budgeted
9,000,000
6,975,000
2,375,000
14,104,000
2,390,000
256,000
- 116,000
350,000
$ 35,566,000
Ending Fund Balance, Budgeted $
9,566,000 $
7,300,000 $
2,434,000 $
8,357,000 $ ...............................
2,417,000 $
457,000 $
- $ 36,000 $
259,000
$ 30,826,000
variance to Goal $
137,000
94,000
334,000
(2,760,000)
(1,443,000)
variance to Goal %
1%
1%
16%
-20%
-4%
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Operating
Reserve
(General)
Fund
Truckee Donner Public Utility District
ELECTRIC Utility by Fund
2027 Budget (year 2) PH 11/5/2025
Rate Deferred Capital Vehicles Facility COP Debt
Reserve Liability Reserve Reserve Fees Project
Fund Fund Fund Fund Fund Fund
Undeslgnated Designated Restricted Restricted
Sources $ 49,379,000 $ 279,000 $ 61,000 $ 909,000 $ 1,158,000 $ 193,000 $ - $
Operating Revenue, Rates
47,145,000
Operating Revenue, Other
1,355,000
subtotal
48,500,000
Investment Income
239,000
183,000
61,000
209,000
49,000
11,000
AB32 Auction Sales
Facility Fees collected
182,000
Vehicle sales proceeds
184,000
Bond Proceeds
-
From other Fund:
GF to Rate Reserve Replenish
0
GF to Rate Reserve
96,000
GF to Capital Reserve
700,000
GF to Capital Reserve, Vehicles
925,000
LCFS Funds to GF
35,000
AB32 Funds to GF
400,000
Vehicle Reserve, Rental Expense
205,000
Uses $
49,189,000 $
- $
- $
- $
2,043,000 $
- $
Operating expenses
19,662,000
Purchased Power
14,969,000
subtotal
34, 631, 000
To other Fund:
GF to Rate Reserve Replenish
0
GF to Rate Reserve
96,000
GF to Capital Reserves
700,000
GF to Capital Reserve, Vehicles
925,000
LCFS / AB32 funds to GF
Debt Service
431,000
Capital Expenditures
12,406,000
0
1,838,000
0
Vehicle Reserve, Rental Expense
205,000
Sources less Uses Budget NET $
190,000 $
279,000 $
61,000 $
909,000 $
(885,000) $
193,000 $
Beginning Fund Balance, Budgeted
9,566,000
7,300,000
2,434,000
8,357,000
2,417,000
457,000
Ending Fund Balance, Budgeted $
9,756,000 $
7,579,000 $
2,495,000 $
..............................................................................................
9,266,000 $
1,532,000 $
650,000 $
variance to Goal $
327,000
373,000
395,000
(2,736,000)
variance to Goal %
3%
5%
19%
-20%
Electric Utility
AB32 Cap &
All Funds
LCFS Fund Trade Fund
Combined
Restricted Restricted
23,000 $ 356,000
$ 52,358,000
0 1,000 6,000 759,000
22,000 350,000 372,000
182,000
184,000
0
0
96,000
700,000
925,000
35,000
400,000
19,662,000
14,969,000
34,631,000
0
96,000
700,000
925,000
35,000 400,000 435,000
431,000
0 14,244,000
205,000
IL,VVV • YY,VVV 1p VV I,VVV
36,000 259,000 $ 30,826,000
$ 24,000 $ 215,000 $ 31,517,000
(752, 000)
-2%
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Truckee Donner Public Utility District
WATER Utility by Fund
2026 Budget (year 1) PH 11/5/2025
GF and
Operating
Deferred
Capital
Vehicles
Facility
Designated
General
Liability
Reserves
Reserve
Fees
Funds,
Fund
Fund
Fund
Fund
Fund
Combined
Sources
23,069,000
3,000
143,000
555,000
645,000
24,415,000
Operating Revenue, Rates
22,084,000
22,084,000
Operating Revenue, Other
348,000
348,000
subtotal
22, 432, 000
22, 432, 000
Investment Income
178,000
3,000
143,000
11,000
335,000
Facility Fees collected
645,000
645,000
Vehicle sales proceeds
60,000
60,000
From other Fund:
GF to Capital Reserves
0
0
GF to Capital Reserve, Vehicles
484,000
484,000
DL billing surcharge for 2006 COPs DS
100,000
100,000
FF portion of 2006 COPs to GF for DS
359,000
359,000
Uses
23,059,000
-
2,850,000
602,000
359,000
26,870,000
Operating expenses
13,665,000
13,665,000
Interdept Rent
663,000
663,000
subtotal
14, 328, 000
14, 328, 000
To other Fund:
GF to Capital Reserves
0
0
GF to Capital Reserve, Vehicles
484,000
484,000
FF portion of 2006 COPs
359,000
359,000
Debt Service
1,984,000
1,984,000
Capital Expenditures
6,263,000
2,850,000
602,000
0
9,715,000
Vehicle Reserve, Rental Expense
0
0
Sources less Uses Budget NET $
10,000 $
3,000
$ (2,707,000) $
(47,000) $
286,000 $
2,455,000
Beginning Fund Balance, Budgeted $
7,100,000 $
125,000
$ 5,700,000 $
475,000 $
1,800,000 $
15,200,000
Ending Fund Balance, Budgeted $
7,110,000 $
128,000
$ 2,993,000 $
..........................................................................................
428,000 $
2,086,000 $
12,745,000
variance to Goal $
(54,000)
(5,416,000)
(4,080,000)
variance to Goal %
-1%
-61%
-24%
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1 - Summary and By Fund Schedules - page 6 of 7 Page 228 of 312
Truckee Donner Public Utility District
WATER Utility by Fund
2027 Budget (year 2) PH 11/5/2025
GF and
Operating
Deferred
Capital
Vehicles
Facility
Designated
General
Liability
Reserves
Reserve
Fees
Funds,
Fund
Fund
Fund
Fund
Fund
Combined
Sources
24,617,000
3,000
75,000
342,000
670,000
25,707,000
Operating Revenue, Rates
23,637,000
23,637,000
Operating Revenue, Other
345,000
345,000
subtotal
23, 982, 000
23, 982, 000
Investment Income
178,000
3,000
75,000
15,000
271,000
Facility Fees collected
670,000
670,000
Vehicle sales proceeds
0
0
From other Fund:
GF to Capital Reserves
0
0
GF to Capital Reserve, Vehicles
327,000
327,000
DL billing surcharge for 2006 COPs DS
97,000
97,000
FF portion of 2006 COPs to GF for DS
360,000
360,000
Uses
24,259,000
-
1,400,000
-
979,000
26,638,000
Operating expenses
14,336,500
14,336,500
Interdept Rent
688,500
688,500
subtotal
15, 025, 000
15, 025, 000
To other Fund:
GF to Capital Reserves
0
0
GF to Capital Reserve, Vehicles
327,000
327,000
FF portion of 2006 COPs
360,000
360,000
Debt Service
1,987,000
1,987,000
Capital Expenditures
6,920,000
1,400,000
0
619,000
8,939,000
Vehicle Reserve, Rental Expense
0
0
Sources less Uses Budget NET $
358,000 $
3,000
$ (1,325,000) $
342,000 $
(309,000) $
931,000
Beginning Fund Balance, Budgeted $
7,110,000 $
128,000
$ 2,993,000 $
428,000 $
2,086,000 $
12,745,000
Ending Fund Balance, Budgeted $
7,468,000 $
131,000
$ 1,668,000 $
..........................................................................................
770,000 $
1,777,000 $
11,814,000
variance to Goal $
304,000
(6,399,000)
(5,011,000)
variance to Goal %
4%
-72%
-30%
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1 - Summary and By Fund Schedules - page 7 of 7 Page 229 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
ELECTRIC OPERATIONS REVENUE STATEMENT
OPERATING REVNUE BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
and OTHER INFLOWS FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Residential Sales
$ 23,297,100 $
20,485,098
$ 24,696,000
$ 1,398,900
6%
$ 26,216,200
$ 1,520,200
6%
Commercial Sales
16,931,500
15,693,592
17,988,700
1,057,200
6%
19,096,200
1,107,500
6%
Interdepartmental Sales
1,769,000
1,492,169
1,745,300
(23,700)
-1%
1,832,600
87,300
5%
subtotal, Rates Revenue
44,430,000
2,432,400
6%
47,145,000
2,715,000
6%
41,997,600
37,670,860
Miscellaneous Operating Revenue
160,900
244,291
182,000
21,100
13%
184,000
2,000
1%
Standby Revenue
15,000
16,039
15,000
0
0%
15,000
0
0%
Pole Replacements and Contacts
420,000
454,313
450,000
30,000
7%
467,500
17,500
4%
Interdepartmental Rent
607,500
596,625
663,000
55,500
9%
688,500
25,500
4%
subtotal, Other Revenue
1,310,000
106,600
9%
1,203,400
1,311,268
1,355,000
45,000
3%
TOTAL OPERATING REVENUE
43,201,000
38,982,128
45,740,000
2,539,000
6%
48,500,000
2,760,000
6%
Interest Income (General Fund Only)
225,000
279,285
225,000
0
0%
239,000
14,000
6%
Transfer in from Vehicle Reserve Fund-Capex
1,369,500
(208,025)
755,000
(614,500)
-45%
1,838,000
1,083,000
143%
Transfer in from Vehicle Reserve Fund -Expense
197,000
205,000
Transfer in from Capital Reserve Fund
7,200,000
0
6,100,000
(1,100,000)
-15%
0
(6,100,000)
-100%
Transfer in from Facility Fees Fund
500,000
0
0
(500,000)
-100%
0
0 -
Transfer in from LCFS Fund
0
0
113,000
113,000
-
35,000
(78,000)
-69%
Transfer in from Rate Reserve
0
0
0
0
-
0
0 -
Transfer in from AB32 Reserve Fund
450,000
450,000
450,000
0
0%
400,000
(50,000)
-11%
TOTAL ELECTRIC REVENUE & OTHER $ IN
$ 52,945,500 $
39,503,388
$ 53,580,000
$ 634,500
1%
$ 51,217,000
$ (2,363,000)
-4%
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2 - Electric Utility Summary and Schedules - page 1 of 9 Page 230 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
SUMMARY OF ELECTRIC REVENUES AND EXPENSES
BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
ELECTRIC REVENUES & OTHER INFLOWS
$52,945,500
$39,503,388
$53,580,000
$634,500
1%
$51,217,000
($2,363,000)
-4%
ELECTRIC OPERATING EXPENSES
Board of Directors
353,667
167,570
369,000
15,333
4%
366,600
(2,400)
-1%
General Management
1,925,824
1,763,840
1,983,999
58,175
3%
2,097,197
113,198
6%
Administrative Services
1,624,192
1,693,916
1,833,352
209,160
13%
1,937,673
104,321
6%
Conservation
1,068,733
865,910
1,393,550
324,817
30%
1,398,939
5,389
0%
Electric Operations
8,951,943
8,429,706
10,504,616
1,552,673
17%
10,993,928
489,312
5%
Information Technology (IT)
1,928,360
1,994,692
1,911,247
(17,113)
-1%
1,962,859
51,612
3%
Purchased Power
15,450,000
12,982,373
14,412,000
(1,038,000)
-7%
14,969,000
557,000
4%
Building Maintenance (cost is 100%distributed)
866,381
861,103
862,236
(4,145)
0%
904,804
42,568
5%
TOTAL OPERATING EXPENSES
$33,270,000
$1,100,900
3%
$32,169,100
$28,759,111
$34,631,000
$1,361,000
4%
Operating Expenses (excluding Purch.Power)
16,719,100
15,776,738
18,858,000
2,138,900
13%
19,662,000
804,000
4.3%
Debt Service
432,000
425,556
429,000
(3,000)
-1%
431,000
2,000
0%
Transfer to Rate Reserve (standard)
164,000
164,000
0
(164,000)
-100%
96,000
96,000
-
Transfer to Rate Reserve (replenishment)
376,000
376,000
151,000
(225,000)
-60%
0
(151,000)
-100%
Transfer to Electric Vehicle Reserve
925,000
925,000
844,000
(81,000)
-9%
925,000
81,000
10%
Transfer to Electric Capital Fund
2,000,000
2,000,000
0
(2,000,000)
-100%
700,000
700,000
0%
TOTAL EXPENSES & TRANSFERS
36,066,100
32,649,667
34,694,000
(1,372,100)
-4%
36,783,000
2,089,000
6%
NET AVAILABLE FOR CAPITAL
$16,879,400
$6,853,721
$18,886,000
$2,006,600
12%
$14,434,000
($4,452,000)
-24%
Capital Expenditures
(22,501,100)
(7,593,471)
(18,320,000)
4,181,100
-19%
(14,244,000)
4,076,000
-22%
Bond Debt Proceeds utilized
6,500,000
-
-
(6,500,000)
-100%
-
0
-
Net Change in General Fund, Electric
$ 878,300 $
(739,750) $
566,000
(312,300)
-36%
$ 190,000
(376,000)
-66%
comments:
10/23/2025 4:16 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx Rev-Exp Sum-Elec
2 - Electric Utility Summary and Schedules - page 2 of 9 Page 231 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
Electric Utility - Operating Expenses - by Type
$ in thousands
Budget Year
FY25
change
FY26
change
FY27
Gross Wages (Recommended Labor)
$ 7,789
15.6%
$ 9,004
2.9%
$ 9,269
excludes BoD $24k
less to WorkOrders/Capital labor
(1,562)
27.9%
(1,999)
-1.0%
(1,980)
less to Labor Overhead, non-productive labor
(1,096)
16.5%
(1,277)
3.4%
(1,321)
vacation/sick/admin/hol.
plus board of directors compensation
12
0.0%
12
0.0%
12
50%E/50%W, $24k TL (ccl)
Net Operating Expense Labor (wages)
5,142
11.6%
5,740
4.2%
5,981
Overheads charged to Operating Expense
5,587
8.1%
6,038
5.7%
6,383
Construction OH n/a for Op Exp
Labor Overhead
4,793
8.5%
5,201
5.9%
5,506
Transporation Overhead
592
7.0%
633
4.1%
659
Administrative Overhead
202
1.1%
204
6.4%
217
Purchased Power(E) / Power Costs (W)
15,450
-6.7%
14,412
3.9%
14,969
Transfers In (Out), net
(629)
12.1%
(705)
5.8%
(747)
Const and Admin OH, primarily
Building Rent
-
-
-
-
-
n/a for Electric
Vendor Expenses
6,619
17.6%
7,785
3.3%
8,045
a. Strategic Initiatives
120
0.0%
120
0.0%
120
electric cost portion (ccl)
b. Wildfire Mitigation, veg.mgmt.contractor
2,060
3.0%
2,122
4.0%
2,207
Veg Mgmt Contractor (cc6)
c. Conservation
621
60.4%
996
-1.9%
978
(cc4)
d. 100 Year Anniversary
-
-
15
51.0%
23
50%E/50%W (cc2.921.657)
e. FERC/Regulatory Consulting/Legal
-
-
100
0.0%
100
f. Vendor expenses, all other
3,818
16.1%
4,431
4.2%
4,618
Total Operating Expenses
$ 32,169
3.4%
$ 33,270
4.1%
$ 34,631
check
$0
$0
$0
(L) primarily Paid Time Off aka Non -Productive wages for Holiday, Vacation, and Sick
(LO) Labor Overhead primary components are non-productive wages, pension costs, and health insurance costs.
a. vendor cost estimates in budget for moving forward on Strategic Initiatives of the District
b. vendor cost budget, excludes Labor and Labor Overhead performing WDS efforts
c. vendor cost budget, increased to reflect electric revenue portion related to Conservation regulatory charges
10/23/2025 4:16 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx I Opex-Elec
2 - Electric Utility Summary and Schedules - page 3 of 9 Page 232 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
ELECTRIC EXPENDITURE DETAIL
BOARD OF BUDGET PRIOR 12 MOS BUDGET $BUDGET % BUDGET BUDGET $BUDGET % BUDGET
DIRECTORS FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Outside Services Employed $160,900 $15,370 $160,000 ($900) -1% $161,500 $1,500 1%
This account is utilized to reflect costs associated with the District's general counsel attendance at board meetings and his performance of research on legal issues
presented at the board level.
Miscellaneous General Expenses 192,767 152,200 209,000 16,233 8% 205,100 (3,900) -2%
This account covers compensation and benefits paid to directors, election, annual employee recognition dinner, training and conferences attended by directors, minor
office supplies and equipment.
TOTAL $353,667 $167,570 $369,000 $15,333 4% $366,600 ($2,400) -1%
10/23/20254:16 PMI:\BUDGET\CYB\Central\Summary Budget Sheets.xlsxCC#1-Elec
2 - Electric Utility Summary and Schedules - page 4 of 9 Page 233 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
ELECTRIC EXPENDITURE DETAIL
GENERAL BUDGET PRIOR 12 MOS BUDGET $BUDGET % BUDGET BUDGET $BUDGET % BUDGET
MANAGEMENT FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Public Information $151,845 $164,651 $251,396 $99,551 66%
This account includes the activities of the PIO plus the website and newsletter.
Administrative & General - Salaries 746,922 732,202 688,030 (58,892) -8%
This account is used to charge general administrative staff time other than safety and board related activities.
Legislature & Regulations 175,284 206,925 159,782 (15,502) -9%
This account is for legislation and regulation tracking labor.
Office Supplies & Expenses 105,055 89,018 120,500 15,445 15%
This account is used to cover cell phone use, computer expenses, dues & memberships including LAFCO and NCPA, industry meetings, office supplies, postage,
training, assessment, personnel expenses and safety.
Outside Services Employed 204,660 113,502 154,500 (50,160) -25%
This account is used to charge the costs of general counsel to review contracts and agreements, property issues, insurance claims, bid issues, capital contract issues
and union matters.
Injuries & Damages 424,148 394,014 483,741 59,593 14%
This account includes labor for department safety meetings and training and the organization's wellness program, and addition of Safety and Risk Coordinator postion
FTE starting in Budget 2022 (split 50%E/50%W).
General Advertising Expenses 117,910 63,528 126,050 8,140 7%
This account is used for the cost of publishing ordinances, surplus material, and other legal ad requirements.
Misc General Expenses 0 0 0 0 -
This account is used to perform board related activities such as preparing meeting minutes, resolutions and ordinances; it is also charged with dues and
memberships in electric utility organizations.
$263,510
$12,114
745,298
57,268
169,591
9,809
132,508 12,008
174,580 20,080
480,618 (3,123)
131,092 5,042
0 0-
TOTAL $1,925,824 $1,763,840 $1,983,999 $58,175 3% $2,097,197 $113,198 6%
($161,984)
-8%
10/23/20254:16 PMI:\BUDGET\CYB\Central\Summary Budget Sheets.xlsxCC#2-Elec
2 - Electric Utility Summary and Schedules - page 5 of 9 Page 234 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
ELECTRIC EXPENDITURE DETAIL
ADMINISTRATIVE BUDGET PRIOR 12 MOS
BUDGET
$ BUDGET
% BUDGET
BUDGET
$ BUDGET % BUDGET
SERVICES FY25 ENDING 7.2025
FY26
CHANGE
CHANGE
FY27
CHANGE CHANGE
Meters/Services Operations Expenses $0 $217
$0
$0
-
$0
$0 -
This account is used by the meter readers to charge their time to perform meter connects, disconnects and service transfers.
Customer Installation Expense 0 0
0
0-
0
0 -
This account includes charges for GO165 inspections for the electric department as well as investigations of energy diversion.
Customer Account Operations Expense -Salaries 179,057 195,173
198,301
19,244
11%
206,848
8,547 4%
This account includes the management staff supervision of the customer service and billing functions.
Meter Reading Expense 9,270 0
0
(9,270)
-100%
0
0 -
This account is used to charge meter reading expenses which includes meter reader labor, overheads, and the hardware and software that supports the meter readers; it also includes their clothing allowance, uniform expenses, vehicle expenses and
training.
Customer Records & Collections Expense 622,869 617,909 647,438 24,569 4% 690,669 43,231 7%
This account includes the major expenses involved in serving our customers. Included are answering and directing phone calls, answering customer questions, customer account setup expenses, taking and processing customer payments, creating
connect, disconnect and transfer paperwork for the crews, creating and reviewing bills, expenses related to the printing and mailing of the bills, account collection expense, billing software and hardware support, standby billing expenses, billing equipment
maintenance expenses, printed billing and collection forms, billing postage and customer service staff training.
Customer Records & Collections - Meter Readers 13,222 1,824 0 (13,222)
-100% 0 0 -
This account includes the meter readers labor and overheads to deliver 48 hour notices and perform disconnect and reconnects relating to non-payment of utility bills.
Provision for Bad Debts 12,275 6,066 10,500 (1,775)
-14% 10,920 420
4%
This account represents the amount of uncollectable bills for the year.
Administrative & Operations General -Salaries 393,686 472,723 454,019 60,333
15% 484,203 30,184
7%
This account includes most of the labor for the administration department except meter reading and customer account related expenses. It includes preparation of the budget and financial statements, accounts payable and payroll, construction
accounting, cash management activities and processing the daily mail.
Office Supplies & Expenses 99,140 107,052 102,250 3,110
3% 106,340 4,090
4%
This account includes bank charges, answering service charges, phone charges, computer and network operating expenses, software maintenance and support for the accounting
system, printed forms and material, office equipment leases and equipment
maintenance expenses.
Outside Services Employed 42,767 47,117 48,500 $5,733
13% 47,783 ($717)
-1%
This account includes any professional services hired from the outside such as audit or accounting services, trust services for our certificates of participation and community facilities districts and arbitrage calculation services for the same.
Insurance 220,195 233,987 355,000 134,805
61% 372,500 17,500 5%
This account Includes annual insurance premiums for property, liability, umbrella liability, directors & officers liability, difference in conditions, boiler & machinery coverage insurance.
Injuries & Damages (Safety) 31,710 11,849 17,344 (14,366)
-45% 18,410 1,066 6%
This account Includes costs for safety training, Department of Transportation Drug and Alcohol training, worker's compensation expenses for employees who have been injured and
safety related equipment.
TOTAL $1,624,191 $1,693,916 $1,833,352 $209,161
13% $1,937,673 $104,321 6%
$69,725
4%
10/23/20254:16 PMI:\BUDGET\CYB\Central\Summary Budget Sheets.xlsxCC#3-Elec
2- Electric Utility Summary and Schedules - page 6 of 9 Page 235 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
ELECTRIC EXPENDITURE DETAIL
BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
CONSERVATION FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
PBC - Residential
$277,285
$309,606
$341,826
$64,541
23%
$358,271
$16,445
5%
PBC - Commercial
240,401
95,121
228,660
(11,741)
-5%
243,614
14,954
7%
PBC - Education & Outreach
41,326
5,920
37,574
(3,752)
-9%
40,493
2,919
8%
PBC - Income Qualified
52,429
85,282
105,416
52,987
101%
109,565
4,149
4%
PBC - Research & Development
140,366
98,970
264,699
124,333
89%
299,666
34,967
13%
PBC - Renewables
165,000
165,000
270,000
105,000
64%
279,000
9,000
3%
PB: SB1-CA Solar Initiative
0
0
0
0-
0
0 -
LCFS: Residential
37,272
35,207
0
(37,272)
-100%
0
0 -
LCFS: Commercial
33,003
12,158
0
(33,003)
-100%
0
0 -
LCFS: Income Qualified
30,179
3,213
113,130
82,951
275%
34,697
(78,433)
-69%
Public Benefits - Research & Development
0
0
0
0 -
0
0 -
ADMIN and Ops General (Payroll)
26,577
38,246
7,878
(18,699)
-70%
8,261
383
5%
Office Supplies & Expenses
22,155
13,787
21,510
(645)
-3%
22,372
862
4%
This account includes office supplies, dues, memberships and meeting and training expenses.
Injuries & Damages (Safety)
2,740
3,400
2,857
117
4%
3,000
143
5%
Safety meetings
930.1
0
TOTAL
$1,068,733
$865,910
$1,393,550
$324,817
30%
$1,398,939
$5,389
0%
($202,823)
-19%
10/23/20254:16 PMI:\BUDGET\CYB\Central\Summary Budget Sheets.xlsxCC#4-Elec
2 - Electric Utility Summary and Schedules - page 7 of 9 Page 236 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
ELECTRIC EXPENDITURE DETAIL
ELECTRIC BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
OPERATIONS FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Operations/PM Sup & Engineering $1,238,327 $1,375,139 $2,078,506 $840,179 68% $2,202,225 $123,719 6%
This account is utilized by the electric superintendent and electric engineer for supervision, engineering and management of District electric operations and electric projects. It also includes design and engineering labor of District
electric projects.
Substation Operations/PM 480,107 209,167 3,870,505 3,390,398 706% 3,984,097 113,592 3%
This account Includes all work done on, and within, substations including snow removal, maintenance, repairs and associated materials and employee training.
Distribution Operations/PM 3,448,266 4,097,006 3,858,000 409,734 12% 4,012,440 154,440
This account Includes all maintenance work such as mandated programs (including wildfire mitigation), pole testing, tree trimming, pole clearing, small tools and employee training.
Meter Operations/PM 267,013 171,664 0 (267,013) -100% 0 0 -
This account includes connecting and disconnecting meters, checking the operation of demand meters, meter audits where we verify the wiring and accuracy of commercial meter installations, rebuilding of old commercial meter
installations and training of meter technicians.
Customer Installation Operations/PM 143,154 0 0 (143,154) -100% 0 0 -
This account primarily includes the inspection of new residential services including checks of wiring code compliance. It is also used to do field investigations of customer high bill complaints, voltage irregularities and energy
diversion.
Misc General Operations/PM 846,956 833,785 0 (846,956) -100% 0 0 -
This account includes testing of transformer oil to determine PCB content, GIS mapping of the electric system, SCADA repairs and maintenance, cell phones qne pages. It also includes computer hardware and software
maintenance, clothing allowance, DMV physicals, meals, uniforms, land fill charges, meeting expenses, advertising, new employee testing, employee development and training, and Underground Service Alert marking of utilities.
Maintenance of Distribution Lines 1,651,477 1,080,246 0 (1,651,477) -100% 0 0 -
This account primarily includes labor and material material for recloser repair, distribution line repair, damage tree clearing, standby labor and storm damage repair.
Professional Services 376,980 245,167 0 (376,980) -100% 0 0 -
This account includes payments to Energy Source and Power Supply consultants. It also includes UAMPS expenditures.
4%
Injuries & Damages (Safety) 334,458 283,940 0 (334,458) -100% 0 0 -
This account Includes labor for safety meetings, safety equipment and safety meeting/training expenses.
Regulatory Commission Expense 165,205 133,594 697,605 532,400 322% 795,166 97,561 14%
This account includes staff labor and legal fees for any FERC activity.
TOTAL $8,951,943 $8,429,706 $10,504,616 $1,552,673 17% $10,993,928 $489,312 5%
($522,237)
-6%
10/23/20254:16 PMI:\BUDGET\CYB\Central\Summary Budget Sheets.xlsxCC#6-Elec
2 - Electric Utility Summary and Schedules - page 8 of 9 Page 237 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
ELECTRIC EXPENDITURE DETAIL
BUDGET PRIOR 12 MOS BUDGET $BUDGET %BUDGET BUDGET $BUDGET %BUDGET
INFORMATION TECHNOLOGY IT FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Engineering & SCADA Operations _
$213,674
$263,661
$274,550
$60,876
28%
$287,281
$12,731
5%
Management and Engineering support.
GIS/Engineering Operations
308,833
211,086
274,074
(34,759)
-11%
222,396
(51,678)
-19%
supports engineering and SCADA.
Meter Reading
157,789
142,257
158,862
1,073
1%
165,904
7,042
4%
supports meter technology and AMI.
Customer Records
203,385
198,890
194,066
(9,319)
-5%
202,570
8,504
4%
supports Customer Information and Customers.
Administrative & General IT Ops
957,580
1,082,453
922,585
(34,995)
-4%
993,759
71,174
8%
infrastructure that supports data transport, storage and
Office Supplies & Expenses
38,563
34,328
37,440
(1,123)
-3%
38,938
1,498
4%
meeting and training expenses.
Outside Services Employed
25,750
31,617
25,000
(750)
-3%
26,000
1,000
4%
This account is for outside professional services contracted to maintain hardware, software and data.
Safety
22,786
30,400
24,670
1,884
8%
26,011
1,341
5%
This account includes department labor for safety meetings, safety equipment and training expenses.
TOTAL
$1,928,360
$1,994,692
$1,911,247
($17,113)
-1%
$1,962,859
$51,612
3%
$66,332
3%
10/23/20254:16 PMI:\BUDGET\CYB\Central\Summary Budget Sheets.xlsxCC#9-Electric
2 - Electric Utility Summary and Schedules - page 9 of 9 Page 238 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
WATER OPERATIONS REVENUE STATEMENT
OPERATING REVNUE BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
and OTHER INFLOWs FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Residential Sales
$ 17,930,200 $
17,581,271
$ 19,507,600
$ 1,577,400
9%
$ 20,879,400
$1,371,800
7%
Commercial Sales
2,269,400
2,315,633
2,576,400
307,000
14%
2,757,600
181,200
7%
subtotal, Rates Revenue
20,199,600
19,896,904
22,084,000
1,884,400
9%
23,637,000
1,553,000
7%
Misc. Operating Revenue
188,000
279,269
198,400
10,400
6%
199,000
600
0%
Miscellaneous Rents
66,200
0
54,500
(11,700)
-18%
54,800
300
1%
Standby Revenue
91,200
99,441
95,100
3,900
4%
91,200
(3,900)
-4%
subtotal, Other Revenue
345,400
378,710
348,000
2,600
1%
345,000
(3,000)
-1%
TOTAL OPERATING REVENUE
20,545,000
20,275,614
22,432,000
1,887,000
9%
23,982,000
1,550,000
7%
Interest Income (General Fund only)
198,991
324,396
178,000
(20,991)
-11%
178,000
0
0%
Transfer in from Facilities Fees - for Debt 2006 COP
360,884
360,884
359,000
(1,884)
-1%
360,000
1,000
0%
Transfer in from Facilities Fees - for capital projects
1,259,000
624,235
0
(1,259,000)
100%
619,000
619,000
-
Tnfx In DLAD billing surcharge - 2006 COPs (not in OpRev)
97,925
98,504
100,000
2,075
2%
97,000
(3,000)
-3%
Transfer in from Capital Reserve Fund
1,400,000
0
2,850,000
1,450,000
104%
1,400,000
(1,450,000)
-51%
Transfer in from Vehicle Reserve Fund
392,600
270,000
602,000
209,400
53%
0
(602,000)
100%
TOTAL WATER REVENUE & OTHER $ IN
$ 24,254,400 $
21,953,633
$ 26,521,000
$ 2,266,600
9%
$ 26,636,000
$ 115,000
0%
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx Op Rev-Wtr
3 - Water Utility Summary and Schedules - page 1 of 9 Page 239 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
SUMMARY OF WATER REVENUES AND EXPENSES
BUDGET
PRIOR 12 MOS
BUDGET
$ BUDGET
% BUDGET
BUDGET
$ BUDGET
% BUDGET
FY25
ENDING 7.2025
FY26
CHANGE
CHANGE
FY27
CHANGE
CHANGE
WATER REVENUES & OTHER INFLOWS
$24,254,400
$21,953,633
$26,521,000
$2,266,600
9%
$26,636,000
$115,000
0%
WATER OPERATING EXPENSES
Board of Directors
273,673
164,661
289,000
15,327
6%
286,600
(2,400)
-1%
General Management
1,761,443
1,447,320
1,820,615
59,172
3%
1,926,738
106,123
6%
Administrative Services
1,795,666
1,780,398
2,037,098
241,432
13%
2,152,218
115,120
6%
Conservation
152,974
63,013
150,648
(2,326)
-2%
173,009
22,361
15%
Water Operations
8,059,896
8,116,008
8,295,774
235,878
3%
8,661,563
365,789
4%
Information Technology (IT)
1,072,248
1,167,802
1,071,865
(383)
0%
1,136,372
64,507
6%
Interdepartmental Rent (Appendix I)
607,500
596,625
663,000
55,500
9%
688,500
25,500
4%
TOTAL OPERATING EXPENSES
$13,723,400
$13,335,827
$14,328,000
$604,600
4%
$15,025,000
$697,000
5%
Debt Service (Appendix IX)
1,990,600
3,215,064
1,984,000
(6,600)
0%
1,987,000
3,000
0%
Transfer to Vehicle Reserve Fund
327,000
279,950
484,000
157,000
48%
327,000
(157,000)
-32%
Transfer to Capital Reserve
250,000
1,015,747
0
(250,000)
-100%
0
0
-
TOTAL EXPENSES & TRANSFERS
$16,291,000
$17,846,588
$16,796,000
$505,000
3%
$17,339,000
543,000
3%
NET AVAILABLE FOR CAPITAL
$7,963,400
$4,107,045
$9,725,000
$1,761,600
22%
$9,297,000
($428,000)
-4%
Capital Expenditures
(8,064,700)
(5,972,524)
(9,715,000)
(1,650,300)
20%
(8,939,000)
776,000
-8%
Bond Debt Proceeds Utilized
-
-
-
0
-
-
0
-
Net Change in General Fund, Water
$ (101,300)
$ (1,865,479)
$ 10,000
111,300
-110%
$ 358,000
348,000
3480%
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx Rev-Exp Sum-Wtr
3 - Water Utility Summary and Schedules - page 2 of 9 Page 240 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
Water Utility - Operating Expenses - by Type
$ in thousands
Budget Year
FY25
change
FY26
change
FY27
Gross Wages (Recommended Labor)
$ 5,001
7.6%
$ 5,380
6.3%
$ 5,718
excludes BoD $24k
less to WorkOrders/Capital labor
(164)
-1.6%
(162)
46.7%
(237)
less to Labor Overhead, non-productive labor
(660)
15.6%
(763)
6.8%
(815)
vacation/sick/admin/hol.
plus board of directors compensation
12
0.0%
12
0.0%
12
50%E/50%W, $24k TL (ccl)
Net Operating Expense Labor (wages)
4,189
6.6%
4,467
4.7%
4,678
Overheads charged to Operating Expense
4,517
9.3%
4,938
6.1%
5,239
Construction OH n/a for Op Exp
Labor Overhead
3,691
9.6%
4,044
6.4%
4,303
Transporation Overhead
672
9.5%
736
4.1%
766
Administrative Overhead
154
3.2%
158
7.0%
170
Purchased Power(E) / Power Supply(W)
1,909
-3.4%
1,845
5.0%
1,938
electricty costs primarily (VE)
Transfers In (Out), net
(1,722)
4.2%
(1,794)
4.1%
(1,868)
Fleet Alloc primarily
Building Rent
608
9.1%
663
3.8%
689
paid to electric utility
Vendor Expenses (VE)
4,224
-0.4%
4,209
3.4%
4,350
a. Strategic Initiatives
40
0.0%
40
0.0%
40
water cost portion (ccl)
b.
-
C.
-
-
d. 100 Year Anniversary
-
-
15
51.0%
23
50%E/50%W (cc2.921.657)
e. Vendor expenses, all other
4,184
-0.7%
4,154
3.2%
4,288
Total Operating Expenses
$ 13,723
4.4%
$ 14,328
4.9%
$ 15,025
check
$ 0
$ 0
$ 0
(L) primarily Paid Time Off aka Non -Productive wages for Holiday, Vacation, and Sick
(LO) Labor Overhead primary components are non-productive wages, pension costs, and health insurance costs.
a. vendor cost estimates in budget for moving forward on Strategic Initiatives of the District
b.
c.
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx I Opex-Water
3 - Water Utility Summary and Schedules - page 3 of 9 Page 241 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
WATER EXPENDITURE DETAIL
BOARD OF BUDGET PRIOR 12 MOS BUDGET $BUDGET % BUDGET BUDGET $BUDGET % BUDGET
DIRECTORS FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Outside Services Employed $80,900 $12,805 $80,000 ($900) -1% $81,500 $1,500 2%
This account is utilized to reflect costs associated with the District's general counsel attendance at Board meetings and his performance of research on legal issues
presented at the Board level.
Miscellaneous General Expenses 192,773 151,855 209,000 16,227 8% 205,100 ($3,900) -2%
This account covers compensation and benefits paid to Directors, election, annual employee recognition dinner, training and conferences attended by Directors, minor
office supplies and equipment.
TOTAL $273,673 $164,661 $289,000 $15,327 6% $286,600 ($2,400) -1%
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx CC#1-Water
3 - Water Utility Summary and Schedules - page 4 of 9 Page 242 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
WATER EXPENDITURE DETAIL
GENERAL BUDGET PRIOR12MOS BUDGET $BUDGET % BUDGET BUDGET $BUDGET % BUDGET
MANAGEMENT FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Public Information $151,842 $119,487
$203,657
$51,815
34%
$213,471
$9,814
5%
This account includes the activities of the PIO plus the website and newsletter.
Administrative & General- Salaries 746,916 593,726
688,018
(58,898)
-8%
745,291
57,273
8%
This account is used to charge general administrative staff time other than safety and board related activities.
Legislature & Regulations 86,231 77,658
107,104
20,873
24%
114,613
7,509
7%
This account is for legislation and regulation tracking labor.
Office Supplies & Expenses 105,050 92,112
120,500
15,450
15%
132,507
12,007
10%
This account is used to cover cell phone use, computer expenses, dues & memberships including LAFCO, industry
meetings, office supplies, postage, training, assessment, personnel expenses and safety
.
Outside Services Employed 167,580 139,331
148,500
(19,080)
-11%
168,340
19,840
13%
This account is used to charge the costs of general counsel to review contracts and agreements, property issues,
insurance claims, bid
issues, capital contract
issues and union matters.
Injuries & Damages (Safety) 424,179 388,541
483,736
59,557
14%
480,652
(3,084)
-1%
This account includes labor for department safety meetings and training and the organization's wellness program,
and addition of Safety and Risk Coordinator
postion FTE starting
in Budget 2022 (split 50%E/50%W).
General Advertising Expenses 79,645 36,465 69,100 (10,545) -13% 71,864 2,764 4%
This account is used for the cost of publishing ordinances, surplus material, and other legal ad requirements.
Misc General Expenses 0 0 0 0- 0 0 -
Used to perform board related activities such as preparing meeting minutes, resolutions and ordinances; it is also charged with dues and memberships in electric utility industry organizations.
TOTAL $1,761,443 $1,447,320 $1,820,615 $59,172 3% $1,926,738 $106,123 6%
($314,123)
-18%
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx CC#2-Water
3 - Water Utility Summary and Schedules - page 5 of 9 Page 243 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
WATER EXPENDITURE DETAIL
ADMINISTRATIVE BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
SERVICES FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Meters/Services Operations Expenses $0 $0 $0 $0 - $0 $0 -
This account is used by the meter readers to charge their time to perform meter connects, disconnects and service transfers. It is also used for investigating customer high bill complaints.
Customer Account Operations Expense -Salaries 179,053 195,079 198,296 19,243 11% 206,844 8,548 4%
This account includes the management staff supervision of the customer service and billing functions.
Meter Reading Expense 1,133 0 0 (1,133) -100% 0 0 -
This account is used to charge meter reading expenses which includes meter reader labor, overheads, and the hardware and software that supports the meter readers; it also includes their clothing allowance, uniform expenses,
vehicle expenses and training.
Customer Records & Collections Expense 622,857 611,687 647,428 24,571 4% 690,660 43,232 7%
This account includes the major expenses involved in serving our customers. Included are answering and directing phone calls, answering customer questions, customer account setup expenses, taking and processing customer
payments, creating connect, disconnect and transfer paperwork for the crews, creating and reviewing bills, expenses related to the printing and mailing of the bills, account collection expense, billing software and hardware support,
standby billing expenses, billing equipment maintenance expenses, printed billing and collection forms, billing postage and customer service staff training.
Provision for Bad Debts 7,725 4,048 4,500 (3,225) -42% 4,680 180 4%
This account represents the amount of uncollectable bills for the year.
Administrative & Operations General -Salaries 593,672 576,040 663,781 70,109 12% 704,284 40,503 6%
This account includes most of the labor for the administration department except meter reading and customer account related expenses. It includes preparation of the budget and financial statements, accounts payable and payroll,
construction accounting, cash management activities, processing the daily mail.
Office Supplies & Expenses 90,482 97,889 93,250 2,768 3% 96,980 3,730 4%
This account includes bank charges, answering service charges, phone charges, computer and network operating expenses, software maintenance and support for the accounting system, printed forms and material, office equipment
leases and equipment maintenance expenses.
Outside Services Employed 42,661 40,318 50,500 $7,839 18% 49,862 (638) -1%
This account includes any professional services hired from the outside such as audit or accounting services, trust services for our certificates of participation and community facilities districts and arbitrage calculation services for the
same.
Insurance 226,375 243,961 362,000 135,625 60% 380,500 18,500 5%
This account Includes annual insurance premiums for property, liability, umbrella liability, directors & officers liability, difference in conditions, boiler & machinery coverage insurance.
Injuries & Damages (Safety) 31,708 11,378 17,343 (14,365) -45% 18,408 1,065 6%
This account Includes costs for safety training, Department of Transportation Drug and Alcohol training, worker's compensation expenses for employees who have been injured and safety related equipment.
TOTAL $1,795,666 $1,780,398 $2,037,098 $241,432 13% $2,152,218 $115,120 6%
($15,268)
-1%
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx CC#3-Water
3 - Water Utility Summary and Schedules - page 6 of 9 Page 244 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
WATER EXPENDITURE DETAIL
BUDGET
PRIOR 12 MOS
BUDGET
$ BUDGET
% BUDGET
BUDGET
$ BUDGET
% BUDGET
CONSERVATION
FY25
ENDING 7.2025
FY26
CHANGE
CHANGE
FY27
CHANGE
CHANGE
PB Water Conservation - Residential
$90,934
$45,017
$97,794
6,860
8%
$124,367
26,573
27%
This account includes water conservation & efficiency
PB Water Conservation - Commercial
$46,442
$7,616
$36,066
(10,376)
-22%
$32,030
(4,036)
-11%
This account includes water conservation & efficiency
PB Water Conservation - Education & Outreach
$7,416
$734
$3,680
(3,736)
-50%
$2,814
(866)
-24%
This account includes water conservation & efficiency
Admin & General Salaries
2,954
8,376
10,396
7,442
252%
10,982
586
6%
This account includes the administrative salaries to perform
Office Supplies & Expenses
0
0
2,390
2,390
-
2,484
94
4%
This account includes office supplies, dues, memberships and
Injuries & Damages (Safety)
5,228
1,271
322
(4,906)
-94%
332
10
3%
Safety meetings
TOTAL
$152,974
$63,013
$150,648
($2,326)
-2%
$173,009
$22,361
15%
($89,961)
-59%
10/23/2025 4:17 PM I:\BUDGeT\cYB\Central\Summary Budget Sheets.xlsx CC#4-Water
3 - Water Utility Summary and Schedules - page 7 of 9 Page 245 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
WATER EXPENDITURE DETAIL
WATER BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
OPERATIONS FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Operations Supervision & Engineering $675,405 $771,420 $686,918 $11,513 2% $726,626 $39,708 6%
This account is utilized by the water manager, superintendent and engineer for supervision, engineering and management of District water system.
Facilities Operations (source of supply Ops) 1,799,877 2,472,748 1,914,806 114,929 6% 1,973,106 58,300 3%
This account includes the operation of wells, pump stations, water treatment, water quality, DHS reports and fees and water quality reports. It also includes snow removal
and related employee training.
Power Supply 1,954,542 1,636,716
1,858,439
(96,103)
-5%
1,951,679
93,240
5%
This account includes the cost of electrical power for the operation of the wells and pump stations.
Distribution Operations/PM 2,321,358 2,112,574
2,454,188
132,830
6%
2,567,242
113,054
5%
This account includes the labor and materials to operate the water distribution system.
Meters/Service Operation 475,809 396,899
502,090
26,281
6%
522,147
20,057
4%
Misc General Operations/PM 712,809 591,038
753,810
41,001
6%
788,815
35,005
5%
This account includes a variety of items such as environmental compliance, GIS mapping of the water system, SCADA
repairs and maintenance,
cell phones, pagers,
computer hardware and software, clothing allowance, DMV physicals, meals, uniforms, land fill charges, meeting expenses,
advertising and
testing for new employees,
training, and Underground Service Alert marking of utilities and associated fees and costs.
Maintenance of Operations Sup & Engineering 0 0
0
0 -
0
0 -
Used by water manager, superintendent and engineer for supervision, engineering and management of District water system.
Maintenance of Sources 0 0
0
0-
0
0 -
This account includes the maintenance and repair of pumps, motors, electrical control equipment and building repair.
Maintenance of Distribution Lines 0 0
0
0
-
0
0
-
This account includes the maintenance and repair of distribution line leaks, broken fire hydrants, etc.
Injuries & Damages 120,096 134,613
125,523
5,427
5%
131,948
6,425
5%
This account includes labor for safety meetings, equipment and training expenses.
Maintenance of District Office Building (Div 1) 866,381 861,103
862,236
(4,145)
0%
904,804
42,568
5%
TOTAL $8,926,277 $8,977,111 $9,158,010 231,733 3% $9,566,367 $408,357 4%
$50,834
1%
Total, excluding Maintenance of D.O.B. $8,059,896 $8,116,008 $8,295,774 235,878 2.9% $8,661,563 365,789 4.4%
$56,112
1%
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx CC#7-Water
3 - Water Utility Summary and Schedules - page 8 of 9 Page 246 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
WATER EXPENDITURE DETAIL
BUDGET PRIOR 12 MOS BUDGET $ BUDGET % BUDGET BUDGET $ BUDGET % BUDGET
INFORMATION TECHNOLOGY (IT) FY25 ENDING 7.2025 FY26 CHANGE CHANGE FY27 CHANGE CHANGE
Engineering & SCADA Operations
$174,458
$250,610
$213,322
$38,864
22%
$223,464
$10,142
5%
_
Management and Engineering support.
GIS/Engineering Operations
121,673
79,154
106,677
(14,996)
-12%
111,430
4,753
4%
supports engineering and SCADA.
Meter Reading
55,613
62,543
55,888
275
0%
58,352
2,464
4%
supports meter technology and AMI.
Customer Records
135,593
132,587
129,376
(6,217)
-5%
135,047
5,671
4%
supports Customer Information and Customers.
Administrative & General IT Ops
515,612
577,271
496,773
(18,839)
-4%
535,103
38,330
8%
infrastructure that supports data transport, storage and
Office Supplies & Expenses
20,765
18,484
20,160
(605)
-3%
20,966
806
4%
meeting and training expenses.
Outside Services Employed
25,750
16,782
25,000
(750)
-3%
26,000
1,000
4%
This account is for outside professional services contracted to maintain hardware, software and data.
Safety
22,784
30,371
24,669
1,885
8%
26,010
1,341
5%
This account includes department labor for safety meetings, safety equipment and training expenses.
TOTAL
$1,072,248
$1,167,802
$1,071,865
($383)
0%
$1,136,372
$64,507
6%
$95,554
9%
10/23/2025 4:17 PM I:\BUDGET\CYB\Central\Summary Budget Sheets.xlsx CC#9-Water
3 - Water Utility Summary and Schedules - page 9 of 9 Page 247 of 312
Truckee Donner Public Utility District
TDPUD Capital Budget 2026 & 2027 and Forecast 2028-2035 (11/5/2025 PH)
Capital Expenditures Summary
ELECTRIC Division, by Funding Source
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
10 YR TOTALS
Electric Department Expenditures:
Facility Fees
0
0
0
0
0
0
0
0
0
0
0
Operating (Rates)
16,675,000
11,887,000
12,960,000
11,630,000
13,790,000
11,347,000
11,624,000
11,909,000
12,203,000
10,516,000
124,541,000
0
subtotal (see subschedule for projects)
16,675,000
11,887,000
12,960,000
11,630,000
13,790,000
11,347,000
11,624,000
11,909,000
12,203,000
10,516,000
124,541,000
Information Technology projects
890,000
519,000
262,000
183,000
674,000
335,000
266,000
187,000
716,000
315,000
4,347,000
funded from Operating (Rates) (see subschedule for projects)
Vehicle Reserves Expenditures
755,000
1,838,000
379,000
1,034,000
120,000
362,000
754,000
371,000
481,000
357,000
6,451,000
funded from Vehicle Reserves (via Rates) (see subschedule for projects)
Capital Expenditures, electric
18,320,000
14,244,000
13,601,000
12,847,000
14,584,000
12,044,000
12,644,000
12,467,000
13,400,000
11,188,000
135,339,000
Excluding Land/Bldg related
15, 405, 000
11, 644, 000
13, 501, 000
12, 747, 000
14, 484, 000
11, 944, 000
12, 544, 000
12, 367, 000
13, 300, 000
11, 088, 000
129, 024, 000
Electric Division Total $
18,320,000 $
14,244,000
$ 13,601,000
$ 12,847,000
$ 14,584,000
$ 12,044,000
$ 12,644,000
$ 12,467,000
$ 13,400,000
$ 11,188,000
$
135,339,000
excludes Contributed Capital
WATER Division by Funding Source
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
10 YR TOTALS
Water Department Expenditures:
Facility Fees
0
619,000
0
535,572
0
550,694
0
504,834
0
703,019
2,913,119
Operating (Rates) and/or Capital Rsv. use
8,423,000
8,001,000
8,238,000
8,024,428
8,180,000
7,398,306
8,614,000
7,323,166
7,293,000
7,129,981
78,624,881
subtotal (see subschedule for projects) $
8,423,000 $
8,620,000 $
8,238,000 $
8,560,000 $
8,180,000 $
7,949,000 $
8,614,000 $
7,828,000 $
7,293,000 $
7,833,000
$ 81,538,000
Information Technology projects
690,000
319,000
262,000
183,000
674,000
335,000
266,000
187,000
716,000
315,000
3,947,000
funded from Operating (Rates) (see subschedule for projects)
Vehicle Reserves Expenditures
602,000
0
302,000
0
634,000
81,000
64,000
285,000
914,000
0
2,882,000
funded from Vehicle Reserves (via Rates) (see subschedule for projects)
Capital Expenditures, subtotal
9,715,000
8,939,000
8,802,000
8,743,000
9,488,000
8,365,000
8,944,000
8,300,000
8,923,000
8,148,000
88,367,000
Water Division Total $
9,715,000 $
8,939,000 $
8,802,000 $
8,743,000 $
9,488,000 $
8,365,000 $
8,944,000 $
8,300,000 $
8,923,000 $
8,148,000
$ 88,367,000
excludes Contributed Capital
10/24/2025 11:24 AM l:\BUDGET\CYB\Capital\Capital Plan for Budget.xlsm 10yr Summary
4 - Capital Expenditures - page 1 of 10 Page 248 of 312
Truckee Donner Public Utility District
TDPUD Capital Budget
2026 & 2027 and Forecast
2028-2035
(11/5/2025 PH)
ELECTRIC Department
ow
10 YR Total
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
ref
Major Work Category (MWC)
Emergency
1
*Storm Damage, Car v. Poles/Padmounted Equipment, transformer
$ 1,719,582 $
150,000
154,500
$
159,135 $
163,909 $
168,826 $
173,891 $
179,108 $
184,481
$ 190,016 $
195,716
or cable/wire failures, dig -ins
Planned Pole Replacements
2
1,146,388
100,000
103,000
106,090
109,273
112,551
115,927
119,405
122,987
126,677
130,477
* Pole replacements resulting from failed inspections
System Reliability/Capacity/Wildfire
3
Mitigation
68,783,276
6,000,000
6,180,000
6,365,400
6,556,362
6,753,053
6,955,644
7,164,314
7,379,243
7,600,620
7,828,639
*Rebuild and Hardening of -6 miles of OH per year
Capital Maintenance & System Upgrades
*System Capacity Projects
*Protection Device Upgrades
4
*Installation of Reclosers, switches, and SCADA controlled
5,379,553
300,000
500,000
515,000
530,450
546,364
562,754
579,637
597,026
614,937
633,385
equipment
*Replacement of Copper Conductors
Major Projects
*Glenshire/Truckee Feeder Tie Project
5
*Freeway, River, Railroad Crossing Rebuilds
2,340,523
100,000
300,000
-
-
300,000
309,000
318,270
327,818
337,653
347,782
*Transmission Rebuiild
*Undererounding Proiects
6
*Battery Energy Storage System (BESS)
4,000,000
-
-
2,000,000
2,000,000
-
-
-
-
-
-
Martis Valley Substation Rebuild
7
3,000,000
3,000,000
-
-
-
-
-
-
-
-
-
*2026 Scope of Rebuild Project
SCADA & Grid Technology
8
*Pole Line Sensors
6,477,146
1,000,000
1,030,000
1,060,900
1,092,727
1,125,509
220,000
226,600
233,398
240,400
247,612
*SCADA Hardware Upgrades
*Field Device Communications
New Business/Joint Projects
g
*Town of Truckee School St./E St.Undergrounding
5,129,553
50,000
500,000
515,000
530,450
546,364
562,754
579,637
597,026
614,937
633,385
*Town of Truckee Jibboom St. Project
*Town of Truckee East/West River St. Future Proiects
Capital Equipment/Tools
10
573,194
50,000
51,500
53,045
54,636
56,275
57,964
59,703
61,494
63,339
65,239
*Procurement of specialized tools or tools over $1ok
Meter Replacement & AMI Upgrades
11
*Annual Meter Replacement Costs
70,000
10,000
10,000
20,000
20,000
-
-
-
-
-
10,000
12
*AMI Meter Replacments Begininning in 2030
10,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
SCADA Reliability Improvement Projects (SRIP) -
13
Fiber [IT portion of Project]
6,750,000
2,750,000
200,000
1,800,000
200,000
1,800,000
14
15
CONTINGENCY
2,856,786
250,000
258,000
265,430
272,193
281,059
289,065
297,326
305,526
314,422
323,765
16
-
17
District Building EV Charging Infrastructure upgrades
300,000
300,000
-
-
-
-
-
-
-
-
-
18
District Building Tire Storage Unit with Racking
15,000
15,000
-
-
-
-
-
-
-
-
-
19
District Building Other/Contingency
1,000,000
100,000
100,000
100,000
100,000
100,000
100,000
100,000
100,000
100,000
100,000
20
Land/Building (Capital Reserve)
5,000,000
2,500,000
2,500,000
-
-
-
-
-
-
-
-
21
Land/Buildinq (2022 Debt Proceeds Use)
-
-
-
-
-
-
-
-
-
-
-
22
Land/Building (current rates)
-
-
-
-
-
-
-
-
-
-
-
23
ELECTRIC DEPARTMENT TOTAL:
$ 124,541,000 $
I
16,675,000
$ 11,887,000 $
12,960,000 $
11,630,000 $
13,790,000 $
11,347,000 $
11,624,000 $
11,909,000
$ 12,203,000 $
10,516,000
10YR TOTALS
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
Operating (Rates)
124,541,000
16,675,000
11,887,000
12,960,000
11,630,000
13,790,000
11,347,000
11,624,000
11,909,000
12,203,000
10,516,000
ELECTRIC DEPARTMENT TOTAL:
$ 124,541,000 $
16,675,000
$ 11,887,000 $
12,960,000 $
11,630,000 $
13,790,000
$
11,347,000 $
11,624,000 $
11,909,000
$ 12,203,000 $
10,516,000
Electric System subtotal (rows 1-16
118,226,000
13,760,000
9,287,000
12,860,000
11,530,0001
13,690,000 I
11,247,0001
11,524,0001
11,809,0001
12,103,0001
10,416,000
4 - Capital Expenditures - page 2 of 10
Page 249 of 312
Truckee Donner Public Utility District
TDPUD Capital Budget 2026 & 2027 and Forecast 2028-2035 (11/5/2025 PH)
Funding 1 Oyr Total 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035
ref Source Project Type
Oh W :1'
17
terWater Uti ity projects
-
-
-
-
-
-
-
-
-
-
-
18
Rates
Water SCADA
1,381,000
120,000
124,000
128,000
132,000
136,000
140,000
144,000
148,000
152,000
157,000
19
Rates
Generator
-
20
Rates
Facilities (asphalt overlay/replace)
1,381,000
120,000
124,000
128,000 s
132,000 s
136,000 s
140,000 s
144,000 s
148,000 s
152,000 s
157,000
21
Rates
Facilities (bldg roof/hardening)
1,141,000
100,000
103,000
106,000 s
109,000 s
112,000 s
115,000 s
118,000 s
122,000 s
126,000 s
130,000
22
Rates
Equipment
295,000
25,000
26,000
27,000 s
28,000 s
29,000 s
30,000 s
31,000 s
32,000 s
33,000 s
34,000
23
Rates
CONTINGENCY
572,979
50,275
52,286
53,571 s
54,939 s
57,173 s
58,720 s
59,678 s
60,606 s
61,922 s
63,809
24
Rates
25
Rates
Capital Improvement Plan full update
215,000
100,000 s
115,000
26
Rates
Meter Rebuild
27
Rates
Meter MTUs and Rebuilds
2,292,000
200,000
206,000
212,000 s
218,000 s
225,000 s
232,000 s
239,000 s
246,000 s
253,000 s
261,000
28
29
ORD
Pipeline Replacement
30
ORD
New Tank
-
31
ORD
Well Replacement
-
32
ORD
Pump Station Replacement
-
33
-
-
-
-
-
-
-
WATER DEPARTMENT TOTAL:
$
81,538,000 $
8,423,000 $
8,620,000 $
8,238,000 $
8,560,000 $
8,180,000 $
7,949,000 $
8,614,000 $
7,828,000 $
7,293,000 $
7,833,000
by Funding Source Totals
10
YR TOTALS
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
FF
Facility Fees
2,913,119 s
619,000 s
535,572 s
550,694 s
504,834 s
703,019
Rates
Operating (Rates/CapReserves)
78,624,881 s
8,423,000 s
8,001,000 s
8,238,000 s
8,024,428 s
8,180,000 s
7,398,306 s
8,614,000 s
7,323,166 s
7,293,000 s
7,129,981
ORD
Operating (Rates) Debt Issuance
-
0
WATER DEPARTMENT TOTAL:
$
81,538,000 i $
8,423,000 i $
8,620,000 i $
8,238,000 i $
8,560,000 $
8,180,000 i $
7,949,000 i $
8,614,000 i $
7,828,000 i $
7,293,000 i $
7,833,000
Note - this
schedule excludes Contributed Capital,
IT and Vehicle projects.
4 - Capital Expenditures - page 3 of 10 Page 250 of 312
Water Division: 2024 - 2033 Capital Improvement Projects List
WATER DEPARMENT - TOTALS by YEAR
and Funding Source
TDPUD Capital Budget 2026 & 2027 and Forecast 2028-2035 (11/5/2025 PH) Year
Note - this schedule excludes Contributed Capital and Vehicle projects.
New Debt Financed Facility Capital Other
Rates Rates Fees Reserve Sources
OR ORD FF CR OS
Total
2026
7,807,725
0
0f
0
0
7,807,725
2027
7,365,714
0
619,000
0
0
7,984,714
2028
7,583,429
0
0
0
0
7,583,429
2029
7,250,489
0
535,572
0
0
7,786,061
2030
7,484,827
0
0
0
0
7,484,827
2031
6,682,586
0
550,694
0
0
7,233,280
2032
7,878,322
0
0
0
0
7,878,322
2033
6,451,560
0
504,834
0
0
6,956,394
2034
6,515,078
0
0
0
0
6,515,078
2035
6,327,172
0
703,019
0
0
7,030,191
10 yr Total
71,346,902
0
2,913,119
0
0
74,260,021
FUNDING UNIT CONSTRUCTION
FACILITY TYPE DESCRIPTION LENGTH, FT DIAM, IN YEAR SOURCE JUSTIFICATION QUANTITY UNITS COST COST
2026 PROJECTS
Pipeline Rehabilitation
Northwoods / Zermatt, Northwoods I Driving Range, Skybowl Condos, and Hwy
89 / Rainbow Intertie Pipeline Construction (Slipline) las revised 8/121
3600++
Various
2026
TDPUD
Rates
Life -Cycle Replacement
5166
feet
$ 450.00
$ 2,324,750
Tank Rehabilitation
Donner Trails (0.16 MG)
NA
NA
2026
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 302,493.78
$ 302,494
Tank Rehabilitation
The Strand 2 (0.32 MG)
NA
NA
2026
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 511,261.72
$ 511,262
Pump Station Replacement
Martiswoods Pump Station Replacement
NA
NA
2026
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 2,291,013.31
$ 2,291,013
Pump Station Replacement
InnsBruck Pump Station Replacement
NA
NA
2026
TDPUC
Rates
Life -Cycle Replacement
1
EA
$ 2,378,205.96
$ 2,378,206
2026 Total $ 7,807,725
2027 PROJECTS (Airport Well Replacement Option)
Pipeline Replacement
TBD
TBD
TBD
2027
TDPUD
Rates
Life -Cycle Replacement
1
LS
$ 2,852,871.09
$ 2,853,267
Tank Rehabilitation
Sierra Meadows (0.25 MG)
NA
NA
2027
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 454,081.71
$ 454,082
New Well
New Airport Well (or Tank) FacFees portion
NA
NA
2027
TDPUD
FF
Life -Cycle Replacement
1
EA
$ 618,697.68
$ 619,000
New Well
New Airport Well (or Tank)
NA
NA
2027
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 618,697.68
$ 619,000
Pump Station Replacement
Sitzmark Hydro Station Replacement
NA
NA
2027
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 1,732,257.62
$ 1,732,258
Pump Station Replacement
Northside Pump Station Replacement
NA
NA
2027
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 1,707,107.00
$ 1,707,107
2027 Total $ 7,984,714
10/24/2025 11:24 AM I:\BUDGET\CYB\Capital\Capital Plan for Budget.xlsm Water 10yr Detail Page 4 of 10
4 - Capital Expenditures - page 4 of 10 Page 251 of 312
Water Division: 2024 - 2033 Capital Improvement Projects List
FUNDING UNIT CONSTRUCTION
FACILITY TYPE DESCRIPTION LENGTH, FT DIAM, IN YEAR SOURCE JUSTIFICATION QUANTITY UNITS COST COST
2028 PROJECTS
Pipeline Replacement
TBD
TBD
TBD
2028
TDPUD
Rates
Life -Cycle Replacement
1
LS
$ 2,989,097.51
$ 2,989,098
Tank Rehabilitation
Somerset 2 (0.21 MG)
NA
NA
2028
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 426,542.48
$ 426,542
Tank Replacement
New Somerset 1 Tank (0.28 MG)
NA
NA
2028
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 1,756,847.34
$ 1,756,847
Pump Station Replacement
Roundhill Hydro Station Replacement
NA
NA
2028
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 1,343,996.11
$ 1,343,996
Pump Station Replacement
West Palisades Hydro Station Replacement
NA
NA
2028
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 1,066,945.62
$ 1,066,946
2028 Total $ 7,583,429
2029 PROJECTS
Pipeline Replacement
TBD
TBD
TBD
2029
TDPUD
Rates
Life -Cycle Replacement
1
LS
$
Tank Replacement
New InnsBruck Tank (1 MG) Fac Fee portion
NA
NA
2029
TDPUD
FF
Life -Cycle Replacement
1
EA
$ 535,572.41
$ 535,572
Tank Replacement
New InnsBruck Tank (1 MG)
NA
NA
2029
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 4,820,151.70
$ 4,820,152
Pump Station Replacement
Alder Creek Pump Station Replacement
NA
NA
2029
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 2,430,337.18
$ 2,430,337
2029 Total I $ 7,786,061
2030 PROJECTS
Pipeline Replacement
TBD
TBD
TBD
2030
TDPUD
Rates
Life -Cycle Replacement
1
LS
$ 3,300,731.22
$ 3,300,731
Well Rehabilitation
TBD
NA
NA
2030
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 441,240.67
$ 441,241
Tank Rehabilitation
Prosser Annex (0.215 MG)
NA
NA
2030
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 484,513.47
$ 484,513
Tank Rehabilitation
Gateway (0.45 MG)
NA
NA
2030
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 821,277.00
$ 821,277
Pump Station Replacement
TBD
NA
NA
2030
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 2,437,065.21
$ 2,437,065
2030 Total I $ 7,484,827 I
2031 PROJECTS
Pipeline Replacement
TBD
TBD
TBD
2031
TDPUD
Rates
Life -Cycle Replacement
1
LS
$ -
Tank Replacement
New Herringbone Tank (1 MG) Fac Fee Portion
NA
NA
2031
TDPUD
FF
Life -Cycle Replacement
1
EA
$ 550,694.33
$ 550,694
Tank Replacement
New Herringbone Tank (1 MG)
NA
NA
2031
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 4,956,249.01
$ 4,956,249
Pump Station Replacement
Pinnacle Hydro Station Replacement
NA
NA
2031
TDPUC
Rates
Life -Cycle Replacement
1
EA
$ 1,726,336.72
$ 1,726,337
2031 Totall $ 7,233,280
2032 PROJECTS
Pipeline Replacement
TBD
TBD
TBD
2032
TDPUD
Rates
Life -Cycle Replacement
1
LS
$ 3,638,302.35
$ 3,638,302
Tank Replacement
New Strand 1 Tank (0.42 MG)
NA
NA
2032
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 1,266,714.27
$ 1,266,714
Pump Station Replacement
Ski Lodge Pump Station Replacement
NA
NA
2032
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 2,973,305.52
$ 2,973,306
2032 Total I $ 7,878,322
2033 PROJECTS
Pipeline Replacement
TBD
TBD
TBD
2033
TDPUD
Rates
Life -Cycle Replacement
1
LS
$ -
Tank Rehabilitation
Wolfe Estates (0.23 MG)
NA
NA
2033
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 564,896.97
$ 564,897
Tank Rehabilitation
Prosser Heights (0.21 MG)
NA
NA
2033
TDPUD
Rates
Life -Cycle Maintenance
1
EA
$ 557,400.82
$ 557,401
New Well
this is an ADD, not replacement Fac Fee Portion
NA
NA
2033
TDPUD
FF
Life -Cycle Replacement
1
EA
$ 504,834.32
$ 504,834
New Well
this is an ADD, not replacement
NA
NA
2033
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 504,834.32
$ 504,834
Pump Station Replacement
TBD
NA
NA
2033
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 2,412,213.54
$ 2,412,214
Pump Station Replacement
TBD
NA
NA
2033
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 2,412,213.54
$ 2,412,214
2033 Total $ 6,956,394 I
2034 PROJECTS
Pipeline Replacement TBD TBD TBD 2034 TDPUD Rates Life -Cycle Replacement
mp Station Replacement TBD NA NA 2034 TDPUD Rates Life -Cycle Replacement
10/24/2025 11:24 AM l:\BUDGET\CYB\Capital\Capital Plan for Budget.xlsm Water 10yr Detail
4 - Capital Expenditures - page 5 of 10
LS I $ 4,001,627.97 $ 4,001,628
EA $ 2,513,449.84 $ 2,513,450
2034 Total $ 6,515,078
Page 5 of 10
Page 252 of 312
Water Division: 2024 - 2033 Capital Improvement Projects List
FUNDING UNIT CONSTRUCTION
FACILITY TYPE DESCRIPTION LENGTH, FT DIAM, IN YEAR SOURCE JUSTIFICATION QUANTITY UNITS COST COST
2035 PROJECTS
Pipeline Replacement
TBD
TBD
TBD
2035
TDPUD
Rates
Life -Cycle Replacement
1
LS
$ -
Tank Replacement
New Ski Lodge Tank (1 MG) FacFees
NA
NA
2035
TDPUD
FE
Life -Cycle Replacement
1
EA
$ 703,019.07
$ 703,019
Tank Replacement
New Ski Lodge Tank (1 MG) Rates
NA
NA
2035
TDPUD
Rates
Life -Cycle Replacement
1
EA
$ 6,327,171.63
$ 6,327,172
2035 Total
$ 7,030,191
10/24/2025 11:24 AM I:\BUDGET\CYB\Capital\Capital Plan for Budget.xlsm Water 10yr Detail Page 6 of 10
4 - Capital Expenditures - page 6 of 10 Page 253 of 312
TDPUD Capital Budget 2026 & 2027 and Forecast 2028-2035
(11/5/2025 PH)
Capital Projects Expenditure
Plan - Information
Technology
Project Name
Split
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
E W
Hardware Refresh
50% 50%
160,000
165,000
350,000
190,000
195,000
190,000
350,000
190,000
195,000
190,000
Enterprise Software
50% 50%
100,000
100,000
100,000
Data Center UPS
50% 50%
50,000
50,000
50,000
50,000
50,000
50,000
Radio System
50% 50%
50,000
50,000
50,000
50,000
100,000
50,000
50,000
50,000
100,000
50,000
Hyperconverged Infrastructure
50% 50%
400,000
450,000
500,000
(HCI) Replacement
GIS Upgrade
50% 50%
400,000
425,000
450,000
Security Projects
50% 50%
50,000
100,000
100,000
100,000
Enterprise Security Platform
50% 50%
200,000
100,000
50,000
50,000
50,000
100,000
50,000
50,000
50,000
50,000
(Video and Access Control)
SCADA Reliability Improvement
100% 0%
«« row funded by Electric Capital Reserves, see Electric schedule
Projects (SRIP) - Fiber
ESCADA System Build Out
100% 0%
200,000
200,000
Contingency
50% 50%
70,000
73,000
74,000
76,000
78,000
80,000
82,000
84,000
87,000
90,000
Total
Annual Totals
1,580,000
838,000
524,000
366,000
1,348,000
670,000
532,000
374,000
1,432,000
630,000
Electric
Electric Total
890,000
519,000
262,000
183,000
674,000
335,000
266,000
187,000
716,000
315,000
Water
Water Total
690,000
319,000
262,000
183,000
674,000
335,000
266,000
187,000
716,000
315,000
10 year total
8,294,000
SCADA Reliability Improvement
to bid '26 in Oct'25
<<<<funded by Electric Capital
Projects (SRIP) - Fiber
2,750,000
2,000,000
2,000,000
Reserves LISTED IN E CAPEX
Electric
4,347,000
Water
3,947,000
10/24/2025 11:24 AM I:\BUDGET\CYB\Capital\Capital Plan for Budget.xlsm IT Page 7 of 10
4 - Capital Expenditures - page 7 of 10 Page 254 of 312
TDPUD Capital Budget 2026 & 2027 and Forecast 2028-2035 (11/5/2025 PH)
Capital Projects Expenditure Plan - Vehicles
Project Name 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035
E Electricfleet(rounded) 755,000 1,838,000 379,000 1,034,000 120,000 362,000 754,000 371,000 481,000 357,000
W Waterfleet(rounded) 602,000 - 302,000 - 634,000 81,000 64,000 285,000 914,000 -
Total
$ 1,357,000 $ 1,838,000 $ 681,000 $ 1,034,000 $ 754,000 $ 443,000 $ 818,000 $ 656,000 $ 1,395,000 $ 357,000
Electric Division 755,000 1,838,000 379,000 1,034,000 120,000 362,000 754,000 371,000 481,000 357,000
Water Division 602,000 - 302,000 - 634,000 81,000 64,000 285,000 914,000 -
10 year total 9,333,000
Eletric Fleet includes support pool vehicles. Electric 6,451,000
Water 2,882,000
Current fleet count, 84
Current average age of fleet, 10.7 years old (9.9 last budget cycle)
For 10 -year plan, the average age at replacement year is 16.3
Future years include 5.0% inflation factor applied to current replacement cost estimates.
See next page for details by year
10/24/2025 11:24 AM l:\BUDGET\CYB\Capital\Capital Plan for Budget.xlsm Vehicles
4 - Capital Expenditures - page 8 of 10 Page 255 of 312
TDPUD Capital Budget 2026 & 2027 and Forecast 2028-2035 (11/5/2025 PH Total
1,356,510
1,838,000
681,539
1,033,984
753,566
443,032
817,302
655,803 1,395,392 356,817
Capital
Projects Expenditure
Plan - Vehicles Electric
754,675
1,838,000
379,125
1,033,984
119,704
361,956
753,632
370,619 481,176 356,817
Vehicle
Fleet
Expenditures
detail
by year - 10 year Water
601,835
-
302,414
-
633,862
81,076
63,670
285,184 914,216 -
2026
2027
2028
2029
2030
2031
2032
2033 2034 2035
E
Admin
107
LD
14 Jeep Cherokee
91,355
W
Admin
108
LD
15 Jeep Cherokee
91,355
E
Admin
109
LD
15 Jeep Cherokee
91,355
E
Admin
110
LD
15 Jeep Cherokee
91,355
W
Admin
111
LD
15 Jeep Cherokee
91,355
E
Elec
230
LD
18 Chevrolet K1500
65,000
E
Elec
286
OR
87 Sherman Reilly wire puller/tugger lile for like $1
223,000
72 Small Spool Trailer - Like for like
E
Elec
288
OR
Replace with CRT -472/52-24k
192,610
conductor reel trailer
W
Water
320
MD
ACF
10 International Dump Truck 12 Yard - currently 6:
260,000
W
Water
326
LD
ACF
16 Ford F-550 - Recommend 2026 - replace with Ii
159,125
E
Elec
231
LD
18 Chevrolet K1500 - Defer to FY26/27 - like for lil
275,000
E
Elec
210
MD
ACF
11 International/ Altec 3050A Digger Derrick - Rel
560,000
E
Elec
MD
ACF
New 4x4 55ft. boom Line Truck Digger Derrick - V�
560,000
E
Elec
207
LD
ACF
13 GMC Sierra 2500HD - replace with 2026 Ford I
275,000
E
Elec
293
OR
06 Pole Trailer - Surplus 279 and 293 at replacem
35,000
E
Elec
296
OR
08 Trailer,Mini X
23,000
E
Elec
295
OR
08 John Deere 35D Mini Excavator
110,000
E
Elec
288
OR
04 Underground wire puller/tugger Duct Dawg - DE
196,415
W
Water
310
LD
18 Chevy K1500 - Recommend 2028
91,355
E
Elec
208
LD
ACF
18 Chevy 2500
91,355
W
Admin
135
LD
07 Chevy Colorado - could be EV
91,355
E
Support
501
LD
07 Chevy Silverado 1500 - could be EV
91,355
W
Water
LD
New WATER placeholder
119,704
E
Elec
290
OR
04 Trailer,Snowcat
159,000
E
Electric
121
LD
19 Jeep Grand Cherokee
91,355
E
Elec
223
MD
ACF
14 Int'I 7500 Bucket Truck 4WD
354,123
E
Electric
233
LD
ACF
19 Chevrolet K2500
119,704
E
Electric
235
LD
ACF
19 Chevrolet K2500
119,704
E
Electric
237
LD
ACF
19 Chevrolet K2500
119,704
E
Elec
285
OR
14 Overhead Wire Puller
70,394
E
Elec
205
LD
ACF
06 Chevy Silverado 3500 - Defer to 2030 per SW
119,704
W
Water
315
OR
15 John Deere 410 L
245,000
W
Water
360
OR
15 Caterpillar 926M
250,000
W
Water
330
MD
ACF
13 International Dump Truck 4x4
138,862
E
Elec
292
OR
06 Spool Trailer
46,700
W
Water
395
OR
16 Compact Excavator Caterpillar 305.5E2
81,076
E
Elec
225
OR
ACF
16 International /Navistar 7400
315,256
W
Water
385
OR
16 HALLMARK Trailer
8,950
W
Water
389
OR
14 EH Wachs Trailer
54,720
E
Elec
564
MD
17 Lift King LKM 1242
95,967
E
Elec
239
LD
ACF
20 Ram 3500 Foreman Truck
103,616
E
Elec
241
LD
ACF
20 Ram 3500 Foreman Truck
103,616
E
Elec
240
LD
ACF
22 Ram 3500 Foreman Truck
103,616
E
Elec
213
MD
ACF
20 Freightliner 108 SD Bucket AN550C
346,817
E
Elec
243
OR
ACF
21 Chevrolet K3500 Service Body
56,646
Fleet Capex page 9 of 10
4 - Capital Expenditures - page 9 of 10
Page 256 of 312
TDPUD Capital Budget 2026 & 2027 and Forecast 2028-2035 (11/5/2025 PH Total
1,356,510
1,838,000
681,539
1,033,984
753,566
443,032
817,302
655,803
1,395,392
356,817
Capital Projects Expenditure Plan - Vehicles Electric
754,675
1,838,000
379,125
1,033,984
119,704
361,956
753,632
370,619
481,176
356,817
Vehicle Fleet Expenditures detail by year - 10 year Water
601,835
-
302,414
-
633,862
81,076
63,670
285,184
914,216
-
2026
2027
2028
2029
2030
2031
2032
2033
2034
2035
W Water 355 MD 18 Caterpillar 918M
189,872
E Elec 298 OR 2013 Hallmark Trailer
6,745
W Water 357 OR 18 Snowquip LM98SC
95,312
E Electric 215 MD ACE 18 International/ Navistar 7500 SEA 4x4 Bucket AN550C
307,228
W Water 367 MD ACE International /Navistar - VacCon
499,193
W Water 331 OR ACE 22 Ford F550 Service Crane Body
138,341
W Water 332 OR ACE 22 Ford F550 Service Crane Body
138,341
W Water 333 OR ACE 22 Ford F550 Service Crane Body
138,341
E Admin 123 LD 14 Chevy Van
27,834
E Elec 245 OR Multihog MX120
156,342
E Elec 299 OR ACE 22 Ford F550 SB40 Troubleman Truck
124,000
E Elec 124 LD ACE 24 Silverado EV
86,500
E Elec 125 LD ACE 24 Silverado EV
86,500
E Electric 213 MD ACE 20 Freightliner 108 SD Bucket Truck 4x4
346,817
E Elec 274 OR 15 Load Trail
10,000
Fleet Capex page 10 of 10
4 -Capital Expenditures - page 10 of 10 Page 257 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
APPENDIX 5.A
LABOR BENEFIT COSTS % LABOR OVERHEAD
VALUE OF BENEFITS
Medical/Dental insurance (EE)
Self -funded vision benefit
Long term disability insurance
Life insurance
Longevity
Wellness
FICA
Fed Med
Worker's compensation
Retirement.Pension/Match
OPEB Retiree Med/Den Net (Retiree)
OPEB CERBT Contribution
Value of non-productive labor (vacation,
admin leave,sick leave, holiday)
TOTAL VALUE OF BENEFITS
PRODUCTIVE LABOR
Recommended labor (Appendix II) (excludes Boo)
Less value of non-productive labor (above)
TOTAL PRODUCTIVE LABOR
% of Recommended Labor
PAYROLL OVERHEAD
Value of Benefits / Productive Labor
OTHER METRICS
Total Labor and Benefits
Benefits as a percent of Total Labor and Benefits
Benefits excluding non-productive, % of
Recommended Labor
Current Year
BUDGET
FY25
$ 2,972,382
77,713
64,799
76,088
17,482
37,500
766,404
185,344
350,539
3,391,582
425,291
130,000
1,814,472
$ 10,309,596
2026 Budget
(year 1) PH
Y2Y Change
11/5/2025
Amount Pctp
FY26
17,079
1%
$ 2,989,461
2,639
3%
80,352
8,143
13%
72,942
1,001
1%
77,089
130,015
744%
147,497
500
1%
38,000
20,294
3%
786,698
22,905
12%
208,249
(123,327)
-35%
227,212
533,281
16%
3,924,863
55,748
13%
481,039
5,000
4%
135,000
225,502
12%
2,039,974
898,780
9%
$ 11,208,376
$ 12,791,371 1,581,561 12% $ 14,372,932
(1,814,472) (225,502) 12% (2,039,974)
$ 10,976,899 1,356,059 12% $ 12,332,958
85.8% 85.8%
2027 Budget
(year 2) PH
Y2Y Change
11/5/2025
Amount
Pctp
FY27
149,473
5%
$ 3,138,934
402
1%
80,754
6,033
8%
78,975
6,376
8%
83,465
5,900
4%
153,397
0
0%
38,000
60,155
8%
846,853
8,553
4%
216,802
18,990
8%
246,202
283,772
7%
4,208,635
19,241
4%
500,280
5,000
4%
140,000
83,920
4.1%
2,123,894
647,815
5.8%
$ 11,856,191
591,270 4.1% $ 14,964,202
(83,920) 4.1% (2,123,894)
507,350 4.1% $ 12,840,308
85.8%
93.92% (0.0304) -3.2% 90.88% 0.0145 1.6% 92.34%
$ 21,286,495 2,254,839 11% $ 23,541,334 1,155,165 4.9% $ 24,696,499
48.43% (0.0082) -1.7% 47.61% 0.0040 0.8% 48.01%
66.41% (0.0262) -4.0% 63.79% 0.0125 2.0% 65.04%
10/23/2025 4:19 PM l:\BUDGET\CYB\Central\Employee Benefit Calcs.xlsx Value of Benefits
5 - Overheads Rent Debt - page 1 of 7 Page 258 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
APPENDIX 5.B
TRANSPORTATION OVERHEAD
This appendix assumes that the cost of operating, maintaining and replacing District vehicles and equipment
will be recognized as an overhead charged against direct labor that uses the vehicles.
FY25 Y2Y Change
FY26 Y2Y Change
FY27
TRANSPORTATION & EQUIPMENT EXPENSE
Vehicle operation, repair, fuels & misc expenses
$ 1,071,488 $
1,209,497
$ 1,258,954
Vehicle rentals (veh resery funded)
65,000
49,200
52,200
Insurance
25,800
51,000
53,000
Replacement (depreciation expense)
486,600
520,000
540,800
TOTAL TRANSPORTATION EXPENSE
$ 1,648,888 11% $
1,829,697 4%
$ 1,904,954
DIRECT LABOR HOURS
General Manager x no longer applicable 9,015 x x
Administrative Services x no longer applicable 130 x x
Conservation x no longer applicable 150 x x
Electric Operations/capital 46,271 43,910 43,910
Water Operations/capital 33,502 33,221 33,221
IT Power Supply/capital 4,232 5,254 5,254
TOTAL DIRECT LABOR HOURS 93,300 -12% 82,385 0% 82,385
TRANSPORTATION/EQUIPMENT OVERHEAD PER HOUR COST
$17.67 26% $22.21 4%
FY25 FY26
Transportation Overhead - Clearings - Activity Code 958 - 2.7.950
Transportation Overhead - Charging - Activity Code 957 - % applied to VehicleUse Productive Payroll Hours - Ops/WorkOrders/Capital
$23.12
FY27
?025 4:20 PM I:\BUDGET\CYB\Central\Appendices.xlsx APPENDIX 5B
5 - Overheads Rent Debt - page 2 of 7 Page 259 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
APPENDIX 5.C
ADMINISTRATIVE OVERHEAD
FY25 FY26
FY27
COMMON SUPPLY COSTS:
Purchasing/Warehousing of Common Supplies
Labor
$176,331
$178,307
$189,070
Accounts Payable
45,629
52,345
54,439
Overhead:
Labor
165,612
162,048
174,579
Administrative
6,945
6,740
6,945
394,517
399,440
425,033
Warehousing Operating Costs
Utilities & Building Maintenance
33,818
33,243
34,573
Miscellaneous (insurance)
6,180
7,000
8,000
Subtotal
39,998
40,243
42,573
TOTAL PURCHASING/WAREHOUSING/COMMON SUPPLIE $434,515
TOTAL PRODUCTIVE LABOR $10,976,899
ADMINISTRATIVE OVERHEAD 3.96%
FY25
$439,683
$12,332,958
3.57%
FY26
$467,606
$12,840,308
3.64%
FY27
Administrative Overhead - Clearings - Activity Code 941 - 1.3.963 & 1.7.935.10
Administrative Overhead - Charging - Activity Code 941 - % applied to Productive Payroll Dollars - Ops/WorkOrders/Capital
10/23/2025 4:20 PM I:\BUDGET\CYB\Central\Appendices.xlsx APPENDIX 5C
5 - Overheads Rent Debt - page 3 of 7 Page 260 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
APPENDIX 5.D
CONSTRUCTION OVERHEAD
FY26
Step I General direction and general construction costs from budget:
Electric Operations $ 505,068
Water Operations - 45% of 7.680.150 (bulk of Constr is contract) 168,668
Total $ 673,736
Step 2 Determine capitalized labor as a percent of total labor:
Capitalized
Labor exclds CFD $ 2,135,482 27 15%
Total Electric & Water Labor $ 7,864,701
Step 3 Determine construction overhead to be capitalized:
Total General direction & construction costs $ 673,736
% of labor to be capitalized 27.15%
General direction & construction costs to capitalize $ 182,938
Construction accounting costs to capitalize 262,215
$ 445,153
Step 4 Calculate construction overhead to be applied to capital improvements:
Capital FY 2025 Budget
Overhead $333,249 19 96/ $445,153 20.85%
Capital Labor $1,669,547 $2,135,482
CONSTRUCTION OVERHEAD = 19.96% 20.85%
FY25 FY26
Construction Overhead - Clearings - Activity Code 946
Construction Overhead - Charging - Activity Code Range 960-964 -
FY27
$ 535,207
179,357
$ 714,564
$ 2,190,931 26.95%
$ 8,130,586
$ 714,564
$467,679 21.35%
$2,190,931
21.35%
FY27
10/23/2025 4:20 PM I:\BUDGET\CYB\Central/Appendices.xlsx APPENDIX 5D
5 - Overheads Rent Debt - page 4 of 7 Page 261 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
APPENDIX 5.E
INTERDEPARTMENTAL RENT
FY25 FY26 FY27
DISTRICT HEADQUARTERS:
Building operation/PM/repair
Depreciation of jointly used assets
TOTAL COSTS
866,531 1%
348,469 30%
$1,215,000 9%
873,935 4% 911,661
452,065 3% 465,339
$1,326,000 4%
The Electric Utility owns the district headquarters.
The Water Utility pays the Electric Utility rent for the use of the District headquarters and jointly used assets.
The rent is calculated as 50% of the above costs, as presented below:
Water Utility % 50% 50%
Water department share @ 50% (rounded) $ 607,500 $ 663,000 $
Monthly rent paid to Electric Dept. $ 50,625 $ 55,250 $
FY25 FY26
$1,377,000
50%
688,500
57,375
FY27
10/23/2025 4:20 PM I:\BUDGET\CYB\Central\Appendices.xlsx APPENDIX 5E
5 - Overheads Rent Debt - page 5 of 7
Page 262 of 312
APPENDIX 5.F
ELECTRIC DEBT SCHEDULE
Principal and Interest Payments
(placeholder only)
(2022 - 2047,
25yr COPs)
New Facilities
2022 COP DEBT SERVICE
- Electric
Debt Service
Electric
YEAR
Principal
Interest
(electric portion)
TOTAL
2024
145,000
284,181
429,181
2025
155,000
276,931
431,931
2026
160,000
269,181
429,181
2027
170,000
261,181
431,181
2028
180,000
252,681
1,452,000
1,884,681
2029
185,000
243,681
1,452,000
1,880,681
2030
195,000
234,431
1,452,000
1,881,431
2031
205,000
224,681
1,452,000
1,881,681
2032
215,000
214,431
1,452,000
1,881,431
2033
225,000
203,681
1,452,000
1,880,681
2034
240,000
192,431
1,452,000
1,884,431
2035
250,000
180,431
1,452,000
1,882,431
5 - Overheads Rent Debt - page 6 of 7 Page 263 of 312
APPENDIX 5.G
WATER DEBT SCHEDULE
Principal and Interest Payments
Pipeline
(2022-2052, 30yr
COPS)
201512016
COP Debt
2022 COP
DEBT SERVICE
- Water
DL
Pipeline DS
2022 COP
YEAR
Rates
FF
Surcharge
TL
Principal
Interest
Principal
Interest
DS TL
2021
1,252,412
356,179
96,216
800,852
153,241
153,241
2024
573,008
359,233
100,297
1,032,538
680,000
352,538
240,000
712,250
952,250
2025
576,529
360,884
97,925
1,035,338
710,000
325,338
255,000
700,250
955,250
2026
573,196
359,005
99,736
1,031,938
735,000
296,938
265,000
687,500
952,500
2027
575,581
359,806
97,150
1,032,538
765,000
267,538
280,000
674,250
954,250
2028
574,322
358,474
99,142
1,031,938
795,000
236,938
295,000
660,250
955,250
2029
570,555
360,101
100,444
1,031,100
820,000
211,100
305,000
645,500
950,500
2030
575,893
359,147
97,360
1,032,400
850,000
182,400
320,000
630,250
950,250
2031
574,705
359,524
98,421
1,032,650
880,000
152,650
340,000
614,250
954,250
2032
573,333
357,313
100,104
1,030,750
910,000
120,750
355,000
597,250
952,250
2033
575,711
359,424
101,490
1,036,625
950,000
86,625
375,000
579,500
954,500
2034
574,484
359,309
97,207
1,031,000
980,000
51,000
390,000
560,750
950,750
2035
306,800
306,800
295,000
11,800
410,000
541,250
951,250
(placeholder only)
Total, including
Water Debt Service Totals
New Facilities
Placeholder
Debt DS - RATES
Debt Service
DS - RATES
Principal
Interest
Service
FUNDED
(water portion)
FUNDED
800,852
153,241
153,241
920,000
1,064,788
1,984,788
1,525,258
-
1,525,258
965,000
1,025,588
1,990,588
1,531,779
-
1,531,779
1,000,000
984,438
1,984,438
1,525,696
-
1,525,696
1,045,000
941,788
1,986,788
1,529,831
-
1,529,831
1,090,000
897,188
1,987,188
1,529,572
960,000
2,489,572
1,125,000
856,600
1,981,600
1,521,055
960,000
2,481,055
1,170,000
812,650
1,982,650
1,526,143
960,000
2,486,143
1,220,000
766,900
1,986,900
1,528,955
960,000
2,488,955
1,265,000
718,000
1,983,000
1,525,583
960,000
2,485,583
1,325,000
666,125
1,991,125
1,530,211
960,000
2,490,211
1,370,000
611,750
1,981,750
1,525,234
960,000
2,485,234
705,000
553,050
1,258,050
951,250
960,000
1,911,250
5 - Overheads Rent Debt - page 7 of 7 Page 264 of 312
TRUCKEE DONNER
Public Utility District
Organization Chart for Budget 2026 and 2027
version date 11/5/2025
Accounts / Community
Electric (14,980 FY26 115,120 FY27)
Water (13,830 FY26 1 13,910 FY27)
Board of Directors
Elected Officials (5)
Auditors Legal Counsel
...................................................................................
General Manager
1 FTE
Director of Electric
Engineering & Operations Water Utility Director District Clerk I Executive Assistant Human Resources Director Information Technology Director Chief Financial Officer
21 FTE 16 FTE 3 FTE 3 FTE 7 FTE 23 FTE
See Page 2 for details. See Page 3 for details. See Page 5 for details. See Page 5 for details. See Page 5 for details. See Page 4 for details.
Director of
Electric Power Supply Employee Full Time Equivalents (FTE)
1 FTE 81 Total FTE for 2026 Budget
81 Total FTE for 2027 Budget
All FTE counts are essentially Head Count (ie excludes overtime) for Org.Chart purposes
Elected Officials
as of FY 2025 (Term)
Board President
Christa Finn (2022-2026)
Vice President
Tony Laliotis (2022-2026)
Board of Director
Jeff Bender (2024-2028)
Board of Director
Courtney Murrell (2024-2028)
Board of Director
Steve Randall (2024-2028)
Terms for directors run
December of starting year through December of even years, four year terms.
Appointed Officials - Current
General Manager Brian C. Wright
Appointed District Clerk Brian C. Wright
District Clerk Martina Rochefort
Treasurer Michael R. Salmon
Assistant Treasurer Melanie Rives
Organization by Employment Classification
1=V7R 1=V97
Director of Strategic
Affairs and PIO
4 FTE
See Page 5 for details.
Rep
Unrep
Total
Rep
Unrep Total
Electric
14
8
22
14
8
22
Water
15
3
18
15
3
18
CFO
19
4
23
19
4
23
GM/Other
3
15
18
3
15
18
Total
51
30
81
51
30
81
Mix
63%
37%
100%
63%
37%
100%
Rep - Represented by union
IBEW 1245 Memorandum
of Understanding
(MOU) positions
Unrep - Unrepresented
positions
Budget 2025-83
FTEs
10/23/2025 cure
e\auoaer\cve\cmo-al\oracnavroraadarcac. Org Chart - Page 1 of 5
6 -Personnel -page 1 of 9 Page 265 of 312
TRUCKEE
DONNER
Public
Utility
District
Organization Chart for Budget 2026 and 2027 (version 11/5/2025)
ELECTRIC OPERATIONS
B26 B27 1 combined position (EUD) for Budget 2025
Unrepresented 8 8
Represented 14 14
FTE Total 22 22 Director of Electric
Engineering & Operations
1 FTE
Electric Engineering Electric Operations
Manager Manager
1 FTE 1 FTE
Senior Elecric Engineer
1 FTE
Elecric Engineer I/Il
1 FTE
TBD
1 FTE
Director of Electric Power
Supply
1 FTE
Veg Mgmt Manager
1 FTE
Foreman, Power Services Troubleman Substation Foreman Electrician
2 FTE 2 FTE Lineman/Inspector 1 FTE
R R 2 FTE R
R
L
Lead
Lineman
2 FTE
Electrician
1 FTE
R
Journeyman 3 crews for a total of 12 for Budget 2025 (2 Crews Fy26/Fy27)
Lineman
4 FTE
R < budget is for four(4) Journeyman Lineman, the actual staffing mix may include Apprentice JL
10/23/2025 422 PM
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6 - Personnel - page 2 of 9 Page 266 of 312
TRUCKEE DON
Public Utility District
Organization Chart for Budget 2026 and 2027 (version 11/5/2025)
WATER OPERATIONS
B26 B27
Unrepresented 3.0 3.0
Represented 15.0 15.0
FTE Total 18.0 18.0
Foreman, Water
2 FTE
R
Water
Leadmen
2 FTE
R
Water Service
Technician
7 FTE
R
Water
Utility Director
1 FTE
Water Operations
Manager
1 FTE
P&M Controls
Electrician
1 FTE
R
Water Helper
(Seasonal, non -benefit) (2p)
1.0 FTE
R
Water System Engineer
1 FTE
Maintenance Program
Lead
1 FTE
R
Senior Water
Quality Inspector
1 FTE
R
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6 - Personnel - page 3 of 9 Page 267 of 312
Organization Chart for Budget 2026 and 2027 (version 11/5/2025)
Chief Financial Officer
B26 B27
Unrepresented 4.0 4.0
Represented 19.0 19.0
FTE Total 23.0 23.0
Chief Financial Officer
1 FTE
Finance & Accounting Contract Administrator Customer Service
Manager 1 FTE Manager
General Services
Manager
1 FTE R 1 FTE 1 FTE
General Accounting Facilities Maintance Vehicle Maintenance
Work Order Supervisor Conservation Specialist Customer Billing and
Supervisor Billing Clerk Foreman Foreman
(and CSR assist) CSR Supervisor
1 FTE 1 FTE
1 FTE 1 FTE 1 FTE
R R 1 FTE 1 FTE R R R
R R
Accounting Specialist Customer Service Facilites Maintenance Vehicle Mechanic
Lead Work Order Specialist Representative Coordinator
1 FTE 1 FTE 4 FTE 1 FTE 1 FTE
R R R R R
Accounting Specialist Buyer
1 FTE 1 FTE
R R
Warehouse/Utility Clerk
1 FTE
R
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6 - Personnel - page 4 of 9 Page 268 of 312
TRUCKEE DONNER
Public Utility District
Organization Chart for Budget 2026 and 2027 (version 11/5/2025)
GENERAL MANAGER AND OTHER DIRECTORS
B26 B27
Unrepresented 15.0 15.0
Represented 3.0 3.0 New Position GENERAL MANAGER
for Fy26/Fy27
27 1 FTE
FTE Total 18.0 18.0 Y Y
District Clerk / Excecutive Stategic Affairs, L&R, PLO
Assistant Director
1 FTE 1 FTE
this chart does not reflect all GM direct reports,
refer to Page 1 for GM direct report information
Human Resources
Director
1 FTE
Communications Special Projects
Specialist Administrator Risk & Compliance HR Specialist
1 FTE 1 FTE Coordinator 1 FTE
(cost share with cc4 1 FTE R
Conservation)
Administrative Tech
1 FTE Mangement Analyst
R 1 FTE
(cost share with cc4
Conservatio)
Records Coordinator/Tech
1 FTE
R
Information Technology
(IT) Director
1 FTE
IT Security &
Applications Manager
1 FTE
IT/SCADA Engineer
1 FTE
Business Intelligence
Architect
1 FTE
GIS Coordinator
1 FTE
SR Network and
Systems Administrator
1 FTE
Network and Systems
Administrator
1 FTE
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TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
BUDGETED POSITIONS BY HOME DEPARTMENT
Full Time Equivalents (FTE)
Payroll Dollars (base pay, including paid time off)
Before any allocations/shares to other Departments, Capital, and or Overhead(s)
Budget FTE and Dollars I POSITIONS by DEPARTMENT
2025 2026 2027
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
2.00
2.00
3.00
9.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
2.00
2.00
2.00
6.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
2.00
2.00
2.00
6.00
ELECTRIC OPERATIONS
Electric Utility Director
Electric Power Supply Director
Electric Engineering and Operations Director
Electric Engineering Manager
Electric Engineer II
Electric Engineer
Electric Operations Manager
Assistant Electric Operations Manager
Foreman, Electrician
Electrician/Meter Technician
Vegetation Management Manager
Substation Lineman/Inspector
Troubleman
Foreman, Power Services
Lead Lineman
Journeyman Linemen
Standby/Overtime
Compensation Study/Contingency Factor
25.00 22.00 22.00 FTE Total
(3.00) - FTE Change
$ 4,611,696 $ 5,482,351 $ 5,649,478 Payroll Dollars
$ 870,655 $ 167,127 Change, Dollars
18.9% 3.0% Change, Percentage
ELECTRIC OPERATIONS
WATER OPERATIONS
1.00
1.00
1.00
Water Utility Director
1.00
1.00
1.00
Water System Engineer
1.00
1.00
1.00
Water Operations Manager
1.00
1.00
1.00
Water SR Quality Inspector
2.00
2.00
2.00
Water Foremen
2.00
2.00
2.00
Water Leadmen
7.00
7.00
7.00
Water Service Technicians
-
-
-
Water Service Technicians - in Training
1.00
1.00
1.00
Water Helper I (two part-time, summer) (non -benefited)
1.00
1.00
1.00
P&M Controls Electrician (position from Electric Ops)
1.00
1.00
1.00
Maintenance Program Lead
Standby/Overtime
Compensation Study Factor
18.00
$ 2,680,413 $
18.00
18.00
FTE Total
-
-
FTE Change
2,872,258 $
2,995,796
Payroll Dollars
191,845 $
123,538
Change, Dollars
7.2%
4.3%
Change, Percentage
WATER OPERATIONS
0/23/2025 4:20 PM Appendices.xlsx APPENDIX 6
6 -Personnel -page 6 of 9 Page 270 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
BUDGETED POSITIONS BY HOME DEPARTMENT
Full Time Equivalents (FTE)
Payroll Dollars (base pay, including paid time off)
Before any allocations/shares to other Departments, Capital, and or Overhead(s)
Budget FTE and Dollars I POSITIONS by DEPARTMENT
2025 2026 2027
GENERAL MANAGEMENT
1.00
1.00
1.00
General Manager
1.00
1.00
1.00
District Clerk / Executive Assistant
1.00
1.00
1.00
Director of Strategic Affairs and PIO
1.00
Contract Administrator (moved to cc3 Administration)
1.00
1.00
1.00
Record Coordinator/Tech
1.00
1.00
1.00
Administrative Tech
1.00
1.00
1.00
Communications Coordinator
1.00
1.00
1.00
Human Resources Director
1.00
1.00
1.00
Risk & Compliance Coordinator
1.00
1.00
HR Specialist (title/position TBD, placeholder)
9.00 9.00 9.00 FTE Total
9.00 - - FTE Change
$ 1,461,865 $ 1,575,372 $ 1,654,135 Payroll Dollars GENERAL MANAGEMENT
$ 113,507 $ 78,763 Change, Dollars
7.8% 5.0% Change, Percentage
ADMINISTRATIVE SERVICES
1.00
1.00
1.00
Chief Financial Officer
1.00
1.00
1.00
Finance & Accounting Manager
0.50
0.50
0.50
Management Analyst 1/2
-
-
-
Senior Accountant/Accounting Analyst
1.00
1.00
1.00
General Accounting Supervisor
1.00
1.00
1.00
Work Order Accounting Supervisor
1.00
1.00
1.00
Work Order Clerk
1.00
1.00
1.00
Accounting Specialist Lead
1.00
1.00
1.00
Acg Specialist - Payroll and Accounts Payable Clerk
1.00
1.00
1.00
Buyer/Clerk
1.00
1.00
1.00
Warehouse/Utility Worker
1.00
1.00
Contract Administrator (moved from General Admin)
1.00
1.00
1.00
Customer Services Manager
1.00
1.00
1.00
Customer Billing and CSR Supervisor
1.00
1.00
1.00
Billing Clerk
4.00
4.00
4.00
Customer Service Representatives (4)
Overtime
16.50
$ 1,869,948 $
17.50
17.50
FTE Total
1.00
-
FTE Change
2,074,574 $
2,190,946
Payroll Dollars
204,626 $
116,372
Change, Dollars
10.9%
5.6%
Change, Percentage
ADMINISTRATIVE SERVICES
0/23/2025 4:20 PM Appendices.xlsx APPENDIX 6
6 -Personnel -page 7 of 9 Page 271 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
BUDGETED POSITIONS BY HOME DEPARTMENT
Full Time Equivalents (FTE)
Payroll Dollars (base pay, including paid time off)
Before any allocations/shares to other Departments, Capital, and or Overhead(s)
Budget FTE and Dollars I POSITIONS by DEPARTMENT
2025 2026 2027
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
5.00 5.00
5.00 -
$ 646,571 $ 697,816 $
$ 51,245 $
7.9%
GENERAL SERVICES
1.00 General Services Manager
1.00 Facilities Maintenance Foreman
1.00 Facilities Maintenance Coordinator
1.00 Vehicle Mechanic Foreman
1.00 Vehicle Mechanic
Standby/Overtime
Compensation Study Factor
5.00 FTE Total
- FTE Change
725,727 Payroll Dollars GENERAL SERVICES
27,911 Change, Dollars
4.0% Change, Percentage
CONSERVATION
1.00 1.00 1.00 Program Manager, CSR & Conservation
0.50 0.50 0.50 Management Analyst 1/2
1.00 1.00 1.00 Conservation Specialist (positiong moved from AdminSvcs Dept for B'2:
- - - Overtime
Compensation Study Factor
2.50 2.50 2.50 FTE Total
2.50 - - FTE Change
$ 311,381 $ 331,300 $ 347,546 Payroll Dollars CONSERVATION
$ 19,919 $ 16,246 Change, Dollars
6.4% 4.9% Change, Percentage
IT/GIS
1.00
1.00
1.00
IT Director/CIO
1.00
1.00
1.00
IT/SCADA Engineer
1.00
1.00
1.00
Sr Network & System Administrator (recl. from NSA)
1.00
1.00
1.00
Network & System Administrator (+1 FTE)
1.00
1.00
1.00
GIS Coordinator
1.00
1.00
1.00
BI Analyst (recl. From DA & Admin)
1.00
1.00
1.00
IT Security & Applications Manager
Compensation Study Factor
7.00
7.00
7.00
FTE Total
7.00
-
-
FTE Change
$ 1,209,498 $
1,339,261 $
1,400,574
Payroll Dollars
IT/GIS
$
129,763 $
61,313
Change, Dollars
10.7%
4.6%
Change, Percentage
0/23/2025 4:20 PM Appendices.xlsx APPENDIX 6
6 -Personnel -page 8 of 9 Page 272 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
BUDGETED POSITIONS BY HOME DEPARTMENT
Full Time Equivalents (FTE)
Payroll Dollars (base pay, including paid time off)
Before any allocations/shares to other Departments, Capital, and or Overhead(s)
Budget FTE and Dollars I POSITIONS by DEPARTMENT
2025 2026 2027
83.00 81.00
(2.00)
$ 12,791,371 $ 14,372,932
$ 1,581,561
12.4%
DISTRICT TOTAL(excluding Board of Directors)
81.00 FTE Total
- FTE Change DISTRICT TOTAL (excluding
$ 14,964,202 Payroll Dollars
$ 591,270 Change, Dollars Board of Directors)
4.1% Change, Percentage
0/23/2025 4:20 PM Appendices.xlsx APPENDIX 6
6 -Personnel -page 9 of 9 Page 273 of 312
ELECTRIC
Operating Cash Flow
Operating revenue
Operating Purchase Power Costs
Operating Expenses
Other revenue/(expenses)
Net Income FMP
Transfer from/(to) funds
Debt Issuance Costs
Debt principal payments
2022 Debt proceeds use- $0,000
Capital projects
Change in Operating Cash
Op Reserve % of OpExp (Goal 50%)
Rate Reserve % of PPE (Goal 50%)
Capital Reserves % Capx (GoaI100%)
Cash & Reserve Balances
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
Financial Master Plan Summary
FY26 through FY35
(in thousands)
FY26 FY27 FY28 FY29 FY30 FY31
Attachment 7
FY32 FY33 FY34 FY35
$ 45,740 $ 48,500 $ 50,853 $ 53,322 $ 55,389 $ 57,536 $ 59,767 $ 62,086 $ 64,494 $ 66,996
(14,412) (14,969) (15,568) (16,191) (16,839) (17,513) (18,214) (18,943) (19,701) (20,489)
(18,858) (19,662) (20,449) (21,267) (22,118) (23,002) (23,922) (24,879) (25,874) (26,909)
(44) (22) (9) 11 31 54 73 100 117 143
$ 12,426 $13,847 $14,827 $15,875 $16,463 $17,075 $ 17,704 $ 18,364 $ 19,036 $ 19,741
6,620
757
853
(975)
303
(3,067)
(2,697)
(4,003)
(3,416)
(5,748)
(160)
(170)
(1,632)
(1,637)
(1,647)
(1,657)
(1,667)
(1,677)
(1,692)
(1,702)
(18,320)
(14,244)
(13,601)
(12,847)
(14,584)
(12,044)
(12,644)
(12,467)
(13,400)
(11,188)
$ 566
$ 190
$ 447
$ 416
$ 535
$ 308
$ 695
$ 217
$ 527
$ 1,102
FY26
FY27
FY28
FY29
FY30
FY31
FY32
FY33
FY34
FY35
51%
50%
50%
50%
50%
50%
51%
50%
50%
52%
51%
51%
51%
51%
51%
51%
51%
51%
50%
50%
80%
76%
70%
76%
74%
91%
104%
124%
139%
164%
Operating Reserve (Gen Fd) Balance
$ 9,566
$ 9,756
$10,203
$10,620
$11,154
$11,462
$ 12,157
$ 12,374
$ 12,902
$ 14,004
Rate Reserve Balance
7,300
7,579
7,879
8,191
8,515
8,852
9,203
9,568
9,947
10,341
Capital Reserve Balance
8,357
9,266
8,798
10,718
10,486
13,748
17,092
21,419
25,354
31,688
Capital Vehicle Reserve Balance
2,417
1,532
1,605
1,162
1,635
1,913
1,855
2,160
2,387
2,748
Deferred Liability
2,434
2,495
2,557
2,621
2,687
2,754
2,823
2,894
2,966
3,040
Facility Fee Reserve Balance
457
650
796
946
1,100
1,264
1,439
1,624
1,821
2,029
Cash & Reserve Balances
$ 30,531
$ 31,278
$ 31,838
$ 34,258
$ 35,577
$ 39,993
$ 44,569
$ 50,039
$ 55,377
$ 63,850
Recommended/Proposed rate change
5.00%
5.00%
4.00%
4.00%
3.00%
3.00%
3.00%
3.00%
3.00%
3.00%
Net Rate Increase in active FMP
5.00%
5.00%
4.00%
4.00%
3.00%
3.00%
3.00%
3.00%
3.00%
3.00%
FY26
FY27
FY28
FY29
FY30
FY31
FY32
FY33
FY34
FY35
10/23/2025 4:25 PM I:\BUDGET\CYB\Central\Financial Master Plan.xlsx Electric Viewl
7 - Financial Master Plan - page 1 of 3 Page 274 of 312
WATER
Operating Cash Flow
Operating revenue
Operating expenses
Other revenue and expenses
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH) Attachment 7
Financial Master Plan Summary
FY26 through FY35
(in thousands)
FY26 FY27 FY28 FY29 FY30 FY31 FY32 FY33 FY34 FY35
$ 22,432 $ 23,982 $ 25,671 $ 27,481 $ 29,420 $ 30,620 $ 31,870 $ 33,171 $ 34,525 $ 35,935
(14,328) (15,025) (15,636) (16,272) (16,914) (17,581) (18,276) (18,997) (19,747) (20,526)
(806) (763) (709) (662) (610) (556) (496) (438) (370) (265)
Net income
$
7,298
$
8,194
$
9,326
$
10,547
$ 11,896
$
12,483
$ 13,098
$
13,736
$
14,408
$ 15,144
Transfers from/(to) funds
3,426
2,148
1,822
603
28
(1,499)
(1,694)
(2,593)
(1,299)
(2,322)
Debt Issuance Costs
-
-
-
-
-
-
-
-
-
-
Debt principal payments
(1,000)
(1,045)
(2,050)
(2,085)
(2,130)
(2,180)
(2,225)
(2,285)
(2,330)
(1,665)
Debt proceeds (new debt) - $0,000
-
-
-
-
-
-
-
-
-
-
Capital expenditures
(9,715)
(8,939)
(8,802)
(8,743)
(9,488)
(8,365)
(8,944)
(8,300)
(8,923)
(8,148)
Change in Operating Cash
$
9
$
358
$
296
$
322
$ 306
$
439
$ 235
$
558
$
1,856
$ 3,009
FY26
FY27
FY28
FY29
FY30
FY31
FY32
FY33
FY34
FY35
OpGF Reserve% of OpExp Goal 50%
50%
50%
50%
50%
50%
50%
50%
51%
58%
71%
Capital Reserves % CapxGoal 100%
39%
27%
12%
15%
19%
43%
63%
94%
109%
136%
Cash & Reserve Balances
Operating Cash Balance (GenFd)
$
7,110
$
7,468
$
7,764
$
8,086
$ 8,392
$
8,831
$ 9,066
$
9,624
$
11,480
$ 14,489
Capital Reserve Balance
2,993
1,668
210
115
618
2,633
4,299
7,606
9,796
12,541
Vehicle Reserve Balance
428
770
895
1,355
1,314
1,791
2,311
2,659
2,458
3,103
Deferred Liability
128
131
134
137
140
144
148
152
156
160
Facility Fee Balance
2,086
1,777
2,100
1,913
2,283
2,138
2,568
2,531
3,030
3,091
Cash & Reserve Balances
$
12,745
$
11,814
$
11,103
$
11,606
$ 12,747
$
15,537
$ 18,392
$
22,572
$
26,920
$ 33,384
Debt service coverage
4.55
4.99
3.74
4.15
4.60
4.79
4.99
5.18
5.42
7.50
(1.25 required until 2036)
.nange to vroposea r YLn tk r Yzi U.u% U.u%
Recommended FY26&FY27 & draft 6.5% 6.5% 6.5% 6.5% 6.5% 3.5% 3.50% 3.50% 3.50% 3.50°
rate changes
FY26 FY27 FY28 FY29 FY30 FY31 FY32 FY33 FY34 FY3!
10/23/2025 4:25 PM I:\BUDGET\CYB\Central\Financial Master Plan.xlsx Water Viewl
7 - Financial Master Plan - page 2 of 3 Page 275 of 312
ATTACHMENT 7
TDPUD Budget FY2026 and FY2027
(11/5/2025 PH)
Financial
Master Plan - RESERVE BALANCES -
Actual
I Forecast I Goal
Actual
Actual Forecast Forecast BUDGET
BUDGET
BUDGET BUDGET
12/31/2023
12/31/2024 2025 12/31/2025 2026 12/31/2026
2027 12/31/2027 2027
Balance
Balance Change Balance Change
Balance
Change Balance Policy Goal
ELECTRIC UTILITY
(A)
General Fund
$ 7,775,783
$ 10,672,049
$ (1,672,049)
$ 9,000,000
$ 566,000
$ 9,566,000
$
190,000
$ 9,756,000
$ 9,831,000
(A)
(B)
Rate Reserve
5,301,196
5,996,206
978,794
6,975,000
325,000
7,300,000
279,000
7,579,000
7,485,000
(B)
(C)
Capital Reserve
10,672,016
11,009,923
3,094,077
14,104,000
(5,747,000)
8,357,000
909,000
9,266,000
65%
14,211,000
(C)
(D)
Vehicle Reserve
1,478,862
1,932,621
457,379
2,390,000
27,000
2,417,000
(885,000)
1,532,000
400,000
(D)
(E)
Facility Fees
349,579
653,845
(397,845)
256,000
201,000
457,000
193,000
650,000
(E)
(F)
Deferred Liability
2,169,608
2,267,444
107,556
2,375,000
59,000
2,434,000
61,000
2,495,000
2,205,000
(F)
Total Reserves
$ 27.747.044
$ 32.532.088
$ 2.567.912
$ 35.100.000
$ (4.569.000)
$ 30.531.000
$
747,000
$ 31.278.000
$ 34.132.000
(G) AB32 Cap&Trade
445,980 481,113 1 (131,113) 350,000 1 (91,000) 259,000 1 (44,000) 215,000
NA I (G)
WATER UTILITY
(H)
General Fund
$ 8,183,055
$ 6,994,900
$
105,100
$ 7,100,000
$ 10,000
$ 7,110,000
$ 358,000
$ 7,468,000
$ 7,513,000
(H)
(J)
Capital Reserve
3,059,077
4,356,937
1,343,063
5,700,000
(2,707,000)
2,993,000
(1,325,000)
1,668,000
18%
9,102,000
(J)
(K)
Vehicle Reserve
451,654
728,607
(253,607)
475,000
(47,000)
428,000
342,000
770,000
200,000
(K)
(L)
Facility Fees
2,034,180
1,906,534
(106,534)
1,800,000
286,000
2,086,000
(309,000)
1,777,000
(L)
(M)
Deferred Liability
113,826
120,249
4,751
125,000
3,000
128,000
3,000
131,000
I ' ,
125,000
(M)
$
1.092.773
$ 15,200,000
$ (2.455.000)
$ 12,745,000
$ (931.000)
$ 11,814,000
$ 16,940,000
Total Reserves $ 13.841.792 $ 14,107,227
(A) DC 3.01.04 - Electric General Fund cash reserve equal to one half of the annual budgeted operating expenses, excluding depreciation and purchased power*
* the addition of the words to exclude 'purchased power' is a recommended 2021 change to District Code wording for Electric's General Fund cash reserve goals
(B) DC 3.01.04 -Electric Rate Reserve minimum cash reserve equal to six months of the budgeted cost of purchased power
(C) DC 3.01.05 -Electric Capital Reserve goal equal to the average annual budget for capital replacement
(D) no specific DC for Electric Vehicle Reserve goal, staff recommends a goal of $200,000 minimum balance to enable ability to address unplannned / unexpected needs.
(E) Electric Facility Fees managed by facility fee restrictions for use.
(F) DC 3.01.04 - Electric Deferred Liability reserve intent is to provide reserves for unfunded liabilities such as pension costs; reserve goal established by Board annually.
(G) AB32 Cap & Trade funds are restricted; use of funds lowers rates revenue requirement.
(H) DC 3.01.04 - Water General Fund cash reserve equal to one half of the annual budgeted operating expenses, excluding depreciation
(J) DC 3.01.05 -Water Capital Reserve goal equal to the average annual budget for capital replacement
(K) no specific DC for Water Vehicle Reserve goal, staff recommends a goal of $200,000 minimum balance to enable ability to address unplannned / unexpected needs.
(L) Water Facility Fees managed by facility fee restrictions for use.
(M) DC 3.01.04 - Water Deferred Liability reserve intent is to provide reserves for unfunded liabilities such as pension costs; reserve goal established by Board annually.
District Code (DC)
10/23/2025 4:25 PM I:\BUDGET\CYB\Central\Financial Master Plan.xlsx Reserves
7 - Financial Master Plan - page 3 of 3 Page 276 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
Purchased Power Costs
($ in thousands)
$18,000
$16,000
$14,000
$12,000
$10,000
$8,000
$6,000
$4,000
$2,000
$0
$15,615
$14,924 $14,582 $15,144
$14,300
$13,394
2020 2021 2022 2023 2024 B 2024 A 2025 B 2025 F 2026 B 2027 B
8 - Purchased Power - page 1 of 2 Page 277 of 312
TDPUD Budget FY2026 and FY2027 (11/5/2025 PH)
Purchased Power Detail
$ 170,000 Renewables(cc4/908.768)
$ 14,412,000 Puchased Power (GL 555)
$ 14,582,000 Puchased Power (Total)
Total
Enviro.Compliance/other
NVE - Transmission
NVE - EIM
TCID
Stampede
UAMPS, Net Total
POOL
TRANS -JORDAN
OUT SCHED
PX
PV WIND
NEBO
HORSE BUTTE
VEYO
FALLON/TDPUD
RED MESA
Other Costs UAMPS
MWH
Budaet 2026
MWH
Cost
$/MWH
180,000 $
14,582,000
$
81.01
$
116,000
$
0.64
$
848,000
$
4.71
$
236,000
$
1.31
9,600 $ 476,000 $ 49.58
170,400 $ 12,906,000 $ 75.74
45,278
$
2,846,988
$
62.88
12,000
$
1,071,037
$
89.25
$
30,000
$
0.17
5,770
$
609,176
$
105.58
395
$
27,117
$
68.65
27,215
$
2,360,600
$
86.74
41,136
$
3,203,821
$
77.88
9,386
$
939,479
$
100.09
13,220
$
575,213
$
43.51
16,000
$
839,569
$
52.47
$
403,000
$
2.24
Actual 2022
181,953
Actual 2023
179,867
3yr average
Actual 2024
172,684
178,168
LTM 6/2025
172,115
Budget 2026
180,000 1.0%
Budget 2027
181,500 0.8%
Budget 2027
MWH Cost /MWH
181,500 $ 15,144, 000 $ 83.44
<LTM trend, adj. for billing €
<LTM trend, adj. for billing €
< not currently planned source
<MWH-3yrAvg, $ current trend
MWH used UAMPS current trends and 3yr
average analysis, adjusting for known mix
changes
8 - Purchased Power - page 2 of 2 Page 278 of 312
Resolution No. 2025-29
ADOPTING THE BUDGET AND OVERHEAD RATES
FOR FY26 and FY27
WHEREAS The Board of Directors adopted a Mission Statement, Values, and Strategic Plan for the
District; and
WHEREAS District staff used the above aforementioned to prepare a draft FY26 and FY27 Budget;
and
WHEREAS the Board of Directors, Staff, and the public participated in budget workshops in the
months of July, August, and October of 2025; and
WHEREAS on October 15, 2025, the Board of Directors received a draft FY26 and FY27 Budget;
and
WHEREAS on November 5, 2025, a public hearing was held regarding draft FY26 and FY27 Budget
and was continued to November 19, 2025; and
WHEREAS the Board of Directors accepts the organization changes as outlined in the FY26 and
FY27 Budget; and
WHEREAS the budget for District operations and capital spending for the years FY26 and FY27
describes accounting overhead allocation rates for labor, transportation, administration, and
construction costs; and
NOW THEREFORE BE IT RESOLVED by the Board of Directors of Truckee Donner Public
Utility District as follows:
A. The FY26 and FY27 Budget is hereby adopted;
B. The General Manager and Staff are authorized to implement the biennial FY26 and FY27
Budget;
C. The following Budget overhead allocation rates are adopted;
Overhead Type
FY26
FY27
Labor
90.88%
92.34%
Transportation
$ 22.21
$ 23.12
Administration
3.57%
3.64%
Construction
20.85%
21.35%
1
Page 279 of 312
D. Approve the budgeted transfers needed to balance the FY26 and FY27 Budget.
PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the
District on the 19th of November 2025 by the following roll call vote:
AYES:
ABSTAIN:
NOES:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Christa Finn, Board President
ATTEST:
Brian Wright, General Manager
2
Page 280 of 312
TRUCKEE DONNER
Public Utility District
MEETING DATE: November 19, 2025
TO: Board of Directors
AGENDA ITEM #9
FROM: Neil Kaufman, System Engineer
Chad Reed, Water Utility Director
SUBJECT: Consideration of Closeout of the 6170 Tank A Interior Coating
Rehabilitation Construction Contract
_tom
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
Adopt Resolution 2025-30 accepting the 6170 Tank A Interior Coating Rehabilitation
project as complete and authorize the filing of the Notice of Completion.
BACKGROUND:
In June 2025, the Board awarded a construction contract for the 6170 Tank A Interior
Coating Rehabilitation project to Resource Development Company (RDC). The original
bid price was $498,650. The Board also established a ten percent change order
allowance of $49,850 for a total authorization not to exceed $548,500.
RDC began work in July 2025 and completed the project in early October 2025. The
tank is now back in service.
The bid schedule for the project covered five items.
Item
Amount
Mobilization
$22,200
Welding repairs
$8,750
Exterior coating repairs after welding repairs
$13,000
Interior recoating
$448,700
All Other Work Required by the Contract Documents
$6,000
Total
$498,650
The work performed is complete and staff recommends acceptance by the District.
Page 1 of 3
Page 281 of 312
Resolution 2025-30 and the Notice of completion have been included with this staff
report as Attachment 1.
ANALYSIS AND BODY:
Based on the inspection reports prior to the project, it was believed that welding repairs
would not be necessary. However, the second and third bid items were included as a
contingency in the event more damage was revealed after removal of the interior
coating. After the interior coating was removed, it was confirmed that welding repairs
would not be necessary. There were no change order requests during the
project. Therefore, the final contract price is:
Item
Amount
Mobilization
$22,200
Welding repairs
$0
Exterior coating repairs after welding repairs
$0
Interior recoating
$448,700
All Other Work Required by the Contract Documents
$6,000
Total
$476,900
GOALS AND OBJECTIVES:
District Code 1.05.020 Objectives:
1. Responsibly serve the public.
3. Provide reliable and high quality water supply and distribution system to meet
current and future needs.
6. Manage the District in an effective, efficient and fiscally responsible manner.
District Code 1.05.030 Goals:
1. Manage for Financial Stability and Resiliency
4. Modernize the utility and add value to our communities through collaboration and
innovation.
FISCAL IMPACT:
The final contract price is $476,900, which is below the Board's authorized
amount. This item was included in the total capital funding for FY 25, and was
presented in the mid -year review. Staff projects the FY 25 capital funding to be within
budget, which included $952,000 for storage tank rehabilitation.
In addition to the amount paid to RDC, the District incurred additional outside expenses
for construction inspection on this project which were previously approved by the Board
and were within the allowed budget.
Page 2 of 3
Page 282 of 312
ATTACHMENTS:
1. Resolution 2025-30 Closeout 6170A Tank and Notice of Completion
Page 3 of 3
Page 283 of 312
Resolution No. 2025-30
AUTHORIZING THE ACCEPTANCE OF THE 6170 TANK A
INTERIOR COATING REHABILITATION PROJECT AND
DIRECTING FILING OF THE NOTICE OF COMPLETION
WHEREAS, the Board of Directors of the Truckee Donner Public Utility District made the determination to
undertake the 6170 Tank A Interior Coating Rehabilitation project; and
WHEREAS, Farr Construction Corporation (dba Resource Development Company) was selected by the
District to perform the work in June 2025; and
WHEREAS, Farr Construction Corporation (dba Resource Development Company) has completed all of the
Work included in the Project; and
NOW THEREFORE BE IT RESOLVED by the Board of Directors of the District as follows
1. That the District hereby accepts the 6170 Tank A Interior Coating Rehabilitation project as complete.
2. That the Clerk of the District be directed to file with the County of Nevada the Notice of Completion, a
copy of which is attached hereto.
3. That 35 days following the filing of the Notice of Completion, the monies retained from the contractor
payments be released to the contractor if no claims have been made to the District by material suppliers or
laborers.
PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the District on
the 19th day of November 2025, by the following roll call vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Christa Finn, President of the Board
ATTEST:
Brian Wright, General Manager
Page 284 of 312
RECORDING REQUESTED BY:
Truckee Donner Public Utility District
WHEN RECORDED, RETURN TO:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
Brian Wright, General Manager
11570 Donner Pass Road
Truckee, CA 96161-4947
THE UNDERSIGNED DECLARES
DOCUMENTARY TRANSFER TAX - NONE
NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN:
1. That the name and address of the public entity for whom the improvement project was done, as owner
thereof, is the Truckee Donner Public Utility District, 11570 Donner Pass Road, Truckee, CA 96161.
2. Nature of interest or estate of owner: beneficial interest of a public utility of electric and water facilities.
3. That on November 19, 2025 the hereinafter described improvements were accepted as complete
pursuant to Resolution 2025-30 of the Truckee Donner Public Utility District, the awarding authority.
4. That the subject improvements of the notice are generally described and identified as follows:
6170 Tank A Interior Coating Rehabilitation project.
5. That the name and address of the contractor for such project was: Farr Construction Corporation (dba
Resource Development Company), 1050 Linda Way, Sparks, Nevada 89431.
Dated:
I certify under penalty of perjury under the laws of the State of
California that the foregoing is true and correct.
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
Brian Wright, General Manager
MAIL TAX STATEMENTS TO:
SAME AS ABOVE
Legal References: CC-3093,CCP-2003 (oath), 2015.5 (unsworn statement)
Page 285 of 312
AGENDA ITEM #10
MEETING DATE: November 19, 2025
TO: Board of Directors
FROM: Michael Salmon, Chief Financial Officer
SUBJECT: Consideration to Approve a 12 -month Term Extension to the
Memorandum of Understanding with Grays Crossing F, LLC Related
to APN 043-010-007-000
c3
_tom
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
Authorize the General Manager to execute a 12 -month extension to the Memorandum
of Understanding with Grays Crossing F, LLC regarding APN# 043-010-007-000.
BACKGROUND:
At the January 5, 2022, Board of Directors regular meeting, the Board authorized the
General Manager to execute a Memorandum of Understanding (MOU) with Grays
Crossing F, LLC (Developer) regarding APN# 043-010-007-000 (Attachment 1);
accepting full payment for all installment special tax amounts past due, in exchange for
waiving current Penalty and Interest amounts due.
The MOU's Term is specified as follows:
6. Term. The term of this Agreement shall be eighteen (18) months ("Initial
Term"). In the event of expiration of any appeals period(s) applicable to the Town's
final approval of the Entitlements without legal challenge has not occurred within
eighteen (18) months of the Effective Date, the Developer shall have an additional six
(6) months to avail itself of the benefits described in Section 2 above ("Extended
Term"). The Initial Term and Extended Term are hereinafter collectively referred to as
the "Term").
The MOU was signed on June 7, 2022, providing a 24 -month expiration date of June 6,
2024.
On June 5, 2024, the Board approved an 18 -month extension (initial 18 months + initial
additional 6 months + amendment #1 additional 18 months = 42 months total) to the
MOU, providing for an amended expiration date of December 6, 2025.
ANALYSIS AND BODY:
Page 1 of 3
Page 286 of 312
The Developer has indicated that the planning and approval process for the Town of
Truckee has taken longer than anticipated. The developer anticipates final review by
the Town of Truckee Planning Commission in Q1 of 2026 and has requested an
additional extension to the term of the MOU.
Staff believes that an amendment to the MOU, which provides a term extension of
another 12 months, would benefit both the developer and the Gray's Crossing
Community Services District (CFD). This 2nd amendment keeps the initial term of 18
months, then adds 48 months (instead of the original addition of 6
months). Accordingly, with this 2nd amendment to the Term section of the MOU
(paragraph 6), the new expiration date of the MOU is December 6, 2026. The
amendment #2 paragraph 6 of wording, would be as follows:
The Parties hereby agree to amend paragraph 6. Term of Agreement in its entirety to read as
follows:
6. Term. The terra of this Agreement shall be eighteen (18) months ("initial Term"). In
the event expiration of any appeals period(s) applicable to the Town's final approval
of the Entitlements without legal challenge has not occurred within eighteen (18)
months of the Effective Date, Developer shalt have an additional fourtyr-eight (48)
months to avail itself of the benefits described in Section 2 above ("Extended
Term"). The initial Term and Extended Term are hereinaftercollectivelyreferred to as
the "Term").
Except as amended by this Amendment, all other provisions of the Agreement remain in
full force and effect. From and after the date of this Amendment. whenever the term
"Agreement" appears in the Agreement, it shaLL mean the Agreement as amended by this
Amendment.
GOALS AND OBJECTIVES:
District Code 1.05.020 Objectives:
1. Responsibly serve the public.
6. Manage the District in an effective, efficient and fiscally responsible manner.
District Code 1.05.030 Goals:
1. Manage for Financial Stability and Resiliency
3. Engage with our customers and communities in a welcoming and transparent way to
identify opportunities.
4. Modernize the utility and add value to our communities through collaboration and
innovation.
FISCAL IMPACT:
There is no direct fiscal impact to the District. The Gray's Crossing CFD would benefit if
this parcel, through this MOU, makes payment on delinquent tax assessments.
ATTACHMENTS:
GC - Parcel F - TDPUD MOU (executed)
Page 2 of 3
Page 287 of 312
Page 3 of 3
Page 288 of 312
DocuSign Envelope ID: C67BB620-6AFE-4C35-A8FO-38C8CA391239
GRAY'S CROSSING PARCEL F AGREEMENT
This GRAY'S CROSSING PARCEL F AGREEMENT ("Agreement") dated for reference
purposes only as of May 19, 2022, is made by and between the TRUCKEE DONNER PUBLIC
UTILITY DISTRICT, a public utility district ("District") and GRAY'S CROSSING F, LLC,
a Delaware limited liability company ("Developer"). District and Developer are collectively
referred to herein as the "Parties".
RECITALS
A. An affiliate of Developer has entered into a binding purchase and sale agreement
("PSA") for that certain property located in the Town of Truckee ("Town"), County of Nevada,
State of California, known as Assessor's Parcel Number 043-010-007-000 and described in Exhibit
A attached hereto ("Property").
B. Such PSA would require Developer at the close of escrow to assume all existing
delinquent Mello -Roos special tax liabilities associated with Community Facilities District No.
04-01 (Gray's Crossing) (the "CFD") and applicable to the Property.
C. District's Board of Directors, formed the CFD under the provisions of the Mello -
Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Part 1, Division 2, Title
5, of the Government Code of the State of California. District is authorized to levy special taxes
upon land within the CFD, including the Property, and has issued one or more series of bonds to
provide financing for infrastructure and other public capital improvements to be owned and
operated by District.
D. Developer intends to pursue the Entitlements (as defined below) for the Property
that would enable Developer to develop the Property and pay the Principal Amount (as defined
below).
E. District acknowledges that Developer would not close escrow and acquire the
Property but for District's agreement to waive all applicable penalties and interest upon payment
of the Principal Amount pursuant to the terms and conditions set forth below.
NOW, THEREFORE, based on the terms and conditions herein set forth, the Parties agree
as follows:
AGREEMENT
1. Pursuit of Entitlements. Following execution of this Agreement and acquisition of
the Property, Developer intends to seek project level entitlements to develop the Property as
desired by Developer from the Town (collectively, "Entitlements"). Obtaining the Entitlements is
not a covenant of Developer.
2. Forgiveness of Penalties and Interest. Upon expiration of any appeals period(s)
applicable to the Town's final approval of the Entitlements without legal challenge, Developer
shall, within ninety (90) days of the expiration of such appeals period(s), pay to District all amounts
1
Page 289 of 312
DocuSign Envelope ID: C67BB620-6AFE-4C35-A8FO-38C8CA391239
necessary to both (a) satisfy the judgment(s) obtained by or on behalf of the District related to the
delinquent special taxes less the applicable penalties and interest associated therewith that are
forgiven pursuant to the remainder of this Section 2 ("Principal Amount") and (b) any currently
due special taxes. Upon such payment, District shall immediately waive all applicable penalties
and interest to the maximum extent permitted by law. As December 31, 2021, the Principal
Amount totals $1,706,214 and applicable penalties and interest total $1,863,834. The Parties
acknowledge that the Principal Amount as well as the applicable penalties and interest will
increase before Developer's payment pursuant to the terms and conditions of this Agreement.
District hereby agrees that in exchange for Developer's payment of the Principal Amount and any
currently due special taxes, District shall waive all applicable penalties and interest accruing with
respect to special taxes that were delinquent at the time of Developer's acquisition of the Property
until such time as the Principal Amount and any currently due special taxes are paid pursuant to
the terms and conditions of this Agreement. Developer hereby represents to District that as of the
Effective Date, Developer is not responsible for any portion of the delinquencies or applicable
penalties and interest attributable thereto as described herein.
3. District Findings. By its approval of this Agreement, the Board of Directors of
District hereby finds and determines that: (a) the waiver of all applicable penalties and interest
described herein shall apply only to the Property and the special tax applicable to the Property that
was delinquent at the time of the Developer's acquisition of the Property; (b) such waiver shall
only be available to the Property at such time as the Principal Amount and currently due special
taxes and all other costs (excluding all applicable penalties and interest) are paid in full, which
shall occur within the time periods described in Sections 6 below; (c) the Property will have been
sold or otherwise transferred to new owners unrelated to the owner(s) responsible for the
delinquencies as of the Effective Date; and (d) said waiver is in the best interest of the owners of
the bonds in that it will result in the curing of a significant special tax delinquency and facilitate
development of the Property thereby reducing the likelihood of future special tax delinquencies.
4. Limitations. Nothing contained in this Agreement is intended in any way to limit
District's ability to continue to diligently pursue foreclosure proceedings until the delinquent
special taxes applicable to the Property are paid.
5. Effective Date. This Agreement shall become effective upon the date of the last
signature below.
6. Term. The term of this Agreement shall be eighteen (18) months ("Initial Term"). In
the event expiration of any appeals period(s) applicable to the Town's final approval of the
Entitlements without legal challenge has not occurred within eighteen (18) months of the Effective
Date, Developer shall have an additional six (6) months to avail itself of the benefits described in
Section 2 above ("Extended Term"). The Initial Term and Extended Term are hereinafter
collectively referred to as the "Term").
7. Waiver. Waiver by a party of any of the covenants or agreements herein contained
on the part of the other party to be kept or performed shall not be construed as constituting a waiver
of the same or of any other covenant as to breach or default subsequently arising or as the waiver
of a subsequent breach of any of the covenants hereunder.
2
Page 290 of 312
DocuSign Envelope ID: C67BB620-6AFE-4C35-A8FO-38C8CA391239
8. Remedies Cumulative. The rights and remedies of each party under this Agreement
are cumulative and not exclusive of any rights or remedies to which such party is entitled by law.
The exercise by a party of any right or remedy under this Agreement or under applicable law will
not preclude such party from exercising any other right or remedy under this Agreement or to
which the Parties are entitled by law.
9. Binding on Heirs and Successors. This Agreement shall be binding on and shall
inure to the benefit of the heirs, executors, administrators, successors and assigns of the Parties
hereto.
10. Costs of Dispute. In the event of a dispute arising from or relating to the terms of
this Agreement or the breach hereof, the party prevailing in such dispute shall be entitled to recover
all expenses, including, without limitation, reasonable attorneys' fees and expenses, incurred in
ascertaining such party's rights, in preparing to enforce, and in enforcing such party's rights under
this Agreement, whether or not it was necessary for such party to institute adjudicatory
proceedings. Expenses shall include but not be limited to, court costs as well as consultants' and
experts' fees and costs.
11. Notices. Except as otherwise expressly provided by law, any and all notices or
other communication required or permitted by this Agreement or by law to be served on or given
to either party hereto by the other party hereto shall be in writing and shall be deemed duly served
and given when personally delivered to the party to whom it is directed, sent by facsimile
transmission, sent via electronic message to the party's email address(es) set forth below, or when
deposited in the United States mail, first-class postage prepaid, addressed as follows. If not sent
via electronic message originally, any notice or other communication must also be sent via
electronic message to the party's email address(es) set forth below.
District: Truckee Donner PUD
11570 Donner Pass Rd
Truckee, CA 96161
Attn: Michael Salmon (MichaelSalmon@tdpud.org)
Developer: GRAY'S CROSSING F, LLC,
P8 GC I, LLC
13051 Fairway Drive
Truckee, CA 961616
Attn: Hayes Parzybok (hwp@paradigm8.com)
Brian Helm (bhelm@paradigm8.com)
Either party may change their address for the purpose of this paragraph by giving written
notice of such change to the other party in the manner provided in this paragraph.
12. Time. Time is of the essence of this Agreement and each and all of its provisions
in which performance is a factor.
13. No Joint Venture or Partnership. Nothing contained in this Agreement is intended
or should be construed to create a partnership or joint venture relationship between the Parties.
3
Page 291 of 312
DocuSign Envelope ID: C67BB620-6AFE-4C35-A8FO-38C8CA391239
14. Entire Agreement. This instrument contains the entire agreement of the Parties
relating to the rights granted and obligations assumed in this Agreement. Any oral representations
or modifications concerning this instrument not contained herein shall be of no force or effect
unless contained in a subsequent written modification signed by the party to be charged.
15. Counterparts. This Agreement may be executed in multiple counterparts, each of
which shall be deemed an original, but all of which, together, shall constitute but one and the same
instrument. An electronic, digital, or facsimile signature shall be deemed an original signature.
16. Further Assurances. Each party agrees that it will execute and acknowledge such
documents reasonably requested by the other to carry out the terms, purposes, and intent of this
Agreement.
17. Governing Law. This Agreement shall be construed and interpreted in accordance
with the laws of the State of California.
18. Interpretation. Notwithstanding the fact that one or more provisions of this
Agreement may have been drafted by one of the Parties to this Agreement, such provisions shall
be interpreted as though they were the product of a joint drafting effort and no provision shall be
interpreted against a party on the ground that said party was solely or primarily responsible for
drafting the language to be interpreted.
19. Exhibits and Recitals. The exhibits attached to this Agreement and the Recitals are
made a part of this Agreement by this reference.
The Parties hereto have executed this Agreement on the dates written opposite the
signatures of the Parties below.
District
TRUCKEE DONNER PUBLIC UTILITY DISTRICT,
a public utility district
6/9/2022 DocuSigned by:
Dated: , 2022
CS
Brian Wright
By:
Its: General Manager
4
Page 292 of 312
DocuSign Envelope ID: C67BB620-6AFE-4C35-A8F0-38C8CA391239
6/7/2022
Dated: , 2022 Developer
GRAY'S CROSSING F, LLC,
a Delaware limited liability company
By: P8 Management, Inc., a Nevada
corporation
its Manager
Lt
DocuSignedd by; l�e� Pk v �d o� :
A4C34CDFE746457...
By:
Hayes Parzybok
Its: CEO
5
Page 293 of 312
DocuSign Envelope ID: C67BB620-6AFE-4C35-A8FO-38C8CA391239
Exhibit A
Legal Description of Property
Real property in the Town of Truckee, County of Nevada, State of California, described as
follows:
Lot F as shown on the Map entitled "Gray's Crossing Phase 3 - Final Map No. 02-007" filed May
10, 2007 in Book 8 of Subdivisions, Page 168, Nevada County Records.
APN: 043-010-007-000
6
Page 294 of 312
TRUCKEE DONNER
Public Utility District
MEETING DATE: November 19, 2025
TO: Board of Directors
AGENDA ITEM #11
FROM: Neil Kaufman, System Engineer
Chad Reed, Water Utility Director
SUBJECT: Consideration of Closeout of the District 2025 Pipeline Replacement
Construction Contract
c3_tom4L
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
Adopt Resolution 2025-31 accepting the District Pipeline Replacement — 2025 project
as complete and authorize the filing of the Notice of Completion.
BACKGROUND:
In February 2025, the Board awarded the construction contract for the District Pipeline
Replacement — 2025 project to Heavy Equipment of Truckee, California. The project
covered replacement of approximately 4,500 feet of pipeline along three streets in the
Sierra Meadows area. The original bid price was $1,976,713.33. The Board also
established a ten percent change order allowance of $197,836.67 for a total
authorization not to exceed $2,174,500.
In May 2025, Heavy Equipment began work on the project and completed the project in
the allowed time and under budget. District staff recently performed a final walkthrough
on the project.
ANALYSIS AND BODY:
The work performed is complete and staff recommends acceptance by the
District. Attached is a Resolution 2025-31 and the Notice of Completion (Attachment
1) accepting the project and directing that a Notice of Completion be filed.
There were three change order requests during the course of the project. These
issues covered:
• Installation of some additional elbows on Red Fir Road;
• Sectioning in a segment of new pipeline instead of a hot tap at the intersection of
Sugar Pine Road and Martis Valley Road; and
Page 1 of 3
Page 295 of 312
• Additional temporary paving at the intersection of Sugar Pine Road and Martis
Valley Road and at the intersection of Star Pine Road and Martis Valley Road
The contract is based on a unit price bid. "Actual vs Bid" (Attachment 2) shows the
differences between bid totals and the amounts actually constructed. This analysis
results in a $99,493.72 credit to the District. This difference results mainly from minor
overestimates in bid quantities for the amount of paving and for the total length of
service laterals.
GOALS AND OBJECTIVES:
District Code 1.05.020 Objectives:
1. Responsibly serve the public.
3. Provide reliable and high quality water supply and distribution system to meet
current and future needs.
5. Manage the District in an environmentally sound manner.
6. Manage the District in an effective, efficient and fiscally responsible manner.
District Code 1.05.030 Goals:
1. Manage for Financial Stability and Resiliency
4. Modernize the utility and add value to our communities through collaboration and
innovation.
FISCAL IMPACT:
The original bid price was $1,976,713.33. Once adjustments are made for the items
described above, the final contract price is $1,915,269.61, which is below the Baord's
authorized amount .
Item
Original bid price
dditional elbows on Red Fir Road
Pipeline section — Sugar Pine Road & Martis
emporary paving
Reconciliation of bid vs. actual quantities
otal
Amount
$1,976,713.33
$2,000.00
Valley Road$32,000.00
$4,050.00
($99,493.72)
$1.915.269.61
The funding source for this project is the Water Department Capital Funds. This item
was included in the total capital funding for fy25, and was presented in the mid -year
review. Staff is projecting the total capital funding will be within the budgeted amount.
In addition to the amount paid to Heavy Equipment, the District has incurred additional
outside expenses for pre -construction environmental surveys, construction inspection,
and geotechnical testing. All of these additional services were previously authorized by
the Board.
ATTACHMENTS:
1. Resolution 2025-31 and Notice of Completion
Page 2 of 3
Page 296 of 312
Bid vs Actual 2025 Pipeline Replacement
Page 3 of 3
Page 297 of 312
Resolution No. 2025-31
AUTHORIZING THE ACCEPTANCE OF THE DISTRICT PIPELINE
REPLACEMENT -2025 PROJECT AND DIRECTING FILING OF
THE NOTICE OF COMPLETION
WHEREAS, the Board of Directors of the Truckee Donner Public Utility District made the determination to
undertake the District Pipeline Replacement -2025 project; and
WHEREAS, Heavy Equipment Inc. was selected by the District to perform the work; and
WHEREAS, Heavy Equipment Inc. has completed all of the Work included in the Project; and
NOW THEREFORE BE IT RESOLVED by the Board of Directors of the District as follows:
1. That the District hereby accepts the District Pipeline Replacement -2025 project as complete.
2. That the Clerk of the District be directed to file with the County of Nevada the Notice of Completion, a
copy of which is attached hereto.
3. That 35 days following the filing of the Notice of Completion, the monies retained from the contractor
payments be released to the contractor if no claims have been made to the District by material suppliers or
laborers.
PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the District on
the 19th day of November 2025, by the following roll call vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Il IUIe]:/. UJ 3U[sill IIN11rda]6.111[s I
By
Christa Finn, President of the Board
ATTEST:
Brian Wright, General Manager
Page 298 of 312
RECORDING REQUESTED BY:
Truckee Donner Public Utility District
WHEN RECORDED, RETURN TO:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
Brian Wright, General Manager
11570 Donner Pass Road
Truckee, CA 96161-4947
THE UNDERSIGNED DECLARES
DOCUMENTARY TRANSFER TAX - NONE
NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN:
1. That the name and address of the public entity for whom the improvement project was done, as owner
thereof, is the Truckee Donner Public Utility District, 11570 Donner Pass Road, Truckee, CA 96161.
2. Nature of interest or estate of owner: beneficial interest of a public utility of electric and water facilities.
3. That on November 19, 2025 the hereinafter described improvements were accepted as complete
pursuant to Resolution 2025-31 of the Truckee Donner Public Utility District, the awarding authority.
4. That the subject improvements of the notice are generally described and identified as follows:
District Pipeline Replacement -2025 project.
5. That the name and address of the contractor for such project was: Heavy Equipment Inc., Hansen
Bros. Enterprises, PO Box 11050, Truckee, California 96162.
Dated:
I certify under penalty of perjury under the laws of the State of
California that the foregoing is true and correct.
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Brian Wright, General Manager
MAIL TAX STATEMENTS TO:
SAME AS ABOVE
Legal References: CC-3093,CCP-2003 (oath), 2015.5 (unsworn statement)
Page 299 of 312
Analysis of Bid Quantities vs. Actual Quantities Constructed
District Pipeline Replacement - 2025
Contractor: Heavy Equipment
Bid Item
Description
Bid Amounts
Actual Amounts
Quantity Units
Unit Price
Subtotal
Quantity Units
1 Unit Price
Subtotal
1
Mobilization
1
LS
$ 2,132.33
$ 2,132.33
1
LS
$ 2,132.33
$ 2,132.33
1A
8" Water Main
2,285
FT
$ 200.00
$ 457,000.00
2,285
FT
$ 200.00
$ 457,000.00
1 B
2" PE Water Service Lateral
780
FT
$ 100.00
$ 78,000.00
581
FT
$ 100.00
$ 58,100.00
1C
Single Water Service (SS)
5
EA
$ 2,500.00
$ 12,500.00
5
EA
$ 2,500.00
$ 12,500.00
1D
Double Water Service (DS)
12
EA
$ 2,500.00
$ 30,000.00
12
EA
$ 2,500.00
$ 30,000.00
1E
Connect to Existing Single Water Service
2
EA
$ 1,000.00
$ 2,000.00
2
EA
$ 1,000.00
$ 2,000.00
1F
Fire Hydrant Assembly
2
EA
$ 25,000.00
$ 50,000.00
2
EA
$ 25,000.00
$ 50,000.00
1 G
Cross/Valve/Fire Hydrant Assembly at Station 2+66
1
LS
$ 32,000.00
$ 32,000.00
1
LS
$ 32,000.00
$ 32,000.00
1H
Cross/Valve Assembly at Station 11+88
1
LS
$ 15,000.00
$ 15,000.00
1
LS
$ 15,000.00
$ 15,000.00
11
Tee/Valve Assembly at Station 14+18
1
LS
$ 15,000.00
$ 15,000.00
1
LS
$ 15,000.00
$ 15,000.00
1J
Tee/Valve Assembly at Station 18+78
1
LS
$ 15,000.00
$ 15,000.00
1
LS
$ 15,000.00
$ 15,000.00
1K
Cross/Valve Assembly at Station 22+63
1
LS
$ 25,000.00
$ 25,000.00
1
LS
$ 25,000.00
$ 25,000.00
1L
Connection to Existing 8" DI Pipe at Station 0+00
1
LS
$ 4,000.00
$ 4,000.00
1
LS
$ 4,000.00
$ 4,000.00
1M
Connection to Existing 8" Steel Pipe at Station 22+84.47
1
LS
$ 4,000.00
$ 4,000.00
1
LS
$ 4,000.00
$ 4,000.00
1 N
Rock Excavation
40
HRS
$ 500.00
$ 20,000.00
12
HRS
$ 500.00
$ 6,000.00
1O
AC Pavement and Base - (trench restoration) — Placer County
3,200
SF
$ 9.00
$ 28,800.00
3200
SF
$ 9.00
$ 28,800.00
1P
Additional '/2" Thickness of AC Pavement (trench restoration) — Placer County
3,200
SF
$ 0.63
$ 2,016.00
9600
SF
$ 0.63
$ 6,048.00
1Q
AC Pavement and Base - (trench restoration) — Town of Truckee
17,000
SF
$ 9.00
$ 153,000.00
11,130
SF
$ 9.00
$ 100,170.00
1 R
Additional '/2" Thickness of AC Pavement (trench restoration) — Town of Truckee
17,000
SF
$ 0.63
$ 10,710.00
33,750
SF
$ 0.63
$ 21,262.50
1S
All Other Work Required by the Contract Documents
1
LS
$ 20,000.00
$ 20,000.00
1
LS
$ 20,000.00
$ 20,000.00
2A
8" Water Main
1,519
FT
$ 200.00
$ 303,800.00
1,517
FT
$ 200.00
$ 303,400.00
2B
2" PE Water Service Lateral
600
FT
$ 100.00
$ 60,000.00
446
FT
$ 100.00
$ 44,600.00
2C
Double Water Service (DS)
14
EA
$ 2,500.00
$ 35,000.00
14
EA
$ 2,500.00
$ 35,000.00
2D
Double Water Service with One Lot Vacant (DSV)
1
EA
$ 2,000.00
$ 2,000.00
1
EA
$ 2,000.00
$ 2,000.00
2E
Connect to Existing Single Water Service
1
EA
$ 2,500.00
$ 2,500.00
1
EA
$ 2,500.00
$ 2,500.00
2F
Fire Hydrant Assembly
3
EA
$ 25,000.00
$ 75,000.00
3
EA
$ 25,000.00
$ 75,000.00
2G
Tee/Valve/Fire Hydrant Assembly at Station 5+80
1
LS
$ 15,000.00
$ 15,000.00
1
LS
$ 15,000.00
$ 15,000.00
2H
Connection to Existing 6" Steel Pipe at Station 0+00
1
LS
$ 5,000.00
$ 5,000.00
1
LS
$ 5,000.00
$ 5,000.00
21
Connection to New Valve/Cross Assembly at Station 0+29
1
LS
$ 5,000.00
$ 5,000.00
1
LS
$ 5,000.00
$ 5,000.00
2J
Connection to Existing 8" Steel Pipe at Station 15+18.35
1
LS
$ 15,000.00
$ 15,000.00
1
LS
$ 15,000.00
$ 15,000.00
2K
Rock Excavation
30
HRS
$ 500.00
$ 15,000.00
14
HRS
$ 500.00
$ 7,000.00
2L
Asphalt Cement Dike
30
LF
$ 100.00
$ 3,000.00
19
LF
$ 100.00
$ 1,900.00
2M
AC Pavement and Base (trench restoration)
13,000
SF
$ 9.00
$ 117,000.00
14,584
SF
$ 9.00
$ 131,251.50
2N
Additional 1/2 Thickness of AC Pavement (trench restoration)
13,000
SF
$ 0.63
$ 8,190.00
29,167
SF
$ 0.63
$ 18,375.21
2O
All Other Work Required by the Contract Documents
1
LS
$ 20,000.00
$ 20,000.00
1
LS
$ 20,000.00
$ 20,000.00
3A
6" Water Main
667
FT
$ 300.00
$ 200,100.00
650
FT
$ 300.00
$ 195,000.00
3B
2" PE Water Service Lateral
180
FT
$ 50.00
$ 9,000.00
188
FT
$ 50.00
$ 9,400.00
3C
Single Water Service (SS)
1
EA
$ 2,500.00
$ 2,500.00
1
EA
$ 2,500.00
$ 2,500.00
3D
Double Water Service (DS)
3
EA
$ 2,500.00
$ 7,500.00
3
EA
$ 2,500.00
$ 7,500.00
3E
Double Water Service With One Lot Vacant (DSV)
1
EA
$ 2,000.00
$ 2,000.00
1
EA
$ 2,000.00
$ 2,000.00
3F
Connection to New 6" Gate Valve at Station 0+00
1
LS
$ 5,000.00
$ 5,000.00
1
LS
$ 5,000.00
$ 5,000.00
3G
Connection to Existing 8" Steel Pipe at Station 6+66.30
1
LS
$ 15,000.00
$ 15,000.00
0
LS
$ 15,000.00
$ -
3H
Rock Excavation
10
HRS
$ 500.00
$ 5,000.00
0
HRS
$ 500.00
$ -
31
AC Pavement and Base (trench restoration)
5,500
SF
$ 9.00
$ 49,500.00
4,663
SF
$ 9.00
$ 41,967.00
3J
Additional '/2" Thickness of AC Pavement (trench restoration)
5,500
SF
$ 0.63
$ 3,465.00
13,989
SF
$ 0.63
$ 8,813.07
3K
All Other Work Required by the Contract Documents
1
LS
$ 20,000.00
$ 20,000.00
1
LS
$ 20,000.00
$ 20,000.00
Total Amount of Bid
$ 1,976,713.33 $ 1,877,219.61
Credit To The District $ (99,493.72)
Page 300 of 312
TRUCKEE DONNER
Public Utility District
MEETING DATE: November 19, 2025
TO: Board of Directors
FROM: Martina Rochefort, District Clerk/Executive Assistant
SUBJECT: Approval of November 5, 2025 Board Meeting Minutes
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
Consider approval of November 5, 2025 Board Meeting Minutes
BACKGROUND:
ANALYSIS AND BODY:
GOALS AND OBJECTIVES:
District Code 1.05.020 Objectives:
1. Responsibly serve the public.
6. Manage the District in an effective, efficient and fiscally responsible manner.
FISCAL IMPACT:
There is no fiscal impact associated with this item.
ATTACHMENTS:
1. Minutes 2025-11-05 DRAFT
Page 1 of 1
Page 301 of 312
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
REGULAR BOARD MEETING MINUTES
TDPUD BOARD ROOM, 11570 DONNER PASS ROAD, TRUCKEE, CA
6:00 PM, WEDNESDAY, NOVEMBER 5, 2025
Call to Order
Meeting was called to order at 6:02 p.m.
f�#:Z.7I[€1II
Directors Present: Courtney Murrell, Steve Randall, Jeff Bender, Vice President Tony
Laliotis and President Christa Finn
Staff in attendance: Brian Wright, General Manager; Scott Crow, Chief Information
Officer/IT Director/Assistant General Manager; Mike Salmon, Chief Financial Officer; Chad
Reed, Water Utility Director; Steven Poncelet, Public Information and Strategic Affairs
Director; Jillian Steward, Director of Human Resources & Risk Management; Grant Sacks,
Customer Service Manager; Steven Keates, Sustainability & Resource Strategies Sr.
Analyst; Scott Botn, Risk Manager; Zander Thomassian, Network & Systems Administrator;
Martina Rochefort, District Clerk/Executive Assistant
Other Steve Gross, General Counsel
3. Pledge of Allegiance
Director Murrell led the Pledge of Allegiance.
4. Changes to the agenda
No changes were made to the agenda.
5. Public Comment
No public comment was received.
DIRECTOR UPDATE
6. Directors Laliotis and Murrell thanked the crews for their work on the Northwoods
pole replacement project.
DEPARTMENT UPDATES
7. Department updates were presented by Chad Reed, Water Utility Director; Mike
Swanson, Director of Electric Operations & Engineering; Steven Poncelet, Public
Information & Strategic Affairs Director, Jillian Steward, Director of Human Resources
& Risk Management and Brian Wright, General Manager
PUBLIC HEARING
8. Consideration to Adopt Ordinance 2025-02 Setting Electric Utility Rates for FY26
and FY27, including new Customer Generator rates and new Commercial Electric
Vehicle Charger rates
a) Conduct a Public Hearing for the purpose of receiving input on the adoption
Page 302 of 312
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
REGULAR BOARD MEETING MINUTES
TDPUD BOARD ROOM, 11570 DONNER PASS ROAD, TRUCKEE, CA
6:00 PM, WEDNESDAY, NOVEMBER 5, 2025
of proposed electric rates for FY26 and FY27, including new Customer
Generator rates and new Commercial Electric Vehicle Charger rates; and
b) Adopt Ordinance 2025-02 setting electric rates for FY26 and FY27,
including new Customer Generator rates and new Commercial Electric Vehicle
Charger rates; taking effect 30 days from adoption and implemented with the
first bill printed after January 1st of each year beginning in 2026, as applicable.
Public Hearing opened at 6:42 p.m.
Michael Salmon, Chief Financial Officer, presented the item.
No public comment was received.
Public Hearing closed at 7:12 p.m.
ACTION: Motion made by Director Laliotis to adopt Ordinance 2025-02
setting electric rates for FY26 and FY27 including new
Customer Generator rates and new Commercial Electric Vehicle
Charger rates; taking effect 30 days from adoption and
implemented with the first bill printed after January 1St of each
year beginning in 2026, as applicable, seconded by Director
Murrell.
AYES: Murrell, Randall, Bender, Laliotis and Finn
NAYS: none
ABSTAIN: none
ABSENT: none
Motion passed.
9. Conduct a Public Hearing regarding Budget FY26 & FY27 and Consideration of
Adopting Resolution 2025-29 approving Budget for FY26 and FY27
a. Conduct a public hearing on the FY26 and FY27 Budgets; and
b. Adopt Resolution 2025-29 approving the Budget for FY26 and FY27.
Public Hearing opened at 7:14 p.m.
CFO presented the item.
No public comment was received. Discussion was held.
Public Hearing closed at 7:26 p.m.
Director Murrell asked if it was possible to delay the approval of the budget until the water
rates are approved. Discussion was held.
I•�
Page 303 of 312
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
REGULAR BOARD MEETING MINUTES
TDPUD BOARD ROOM, 11570 DONNER PASS ROAD, TRUCKEE, CA
6:00 PM, WEDNESDAY, NOVEMBER 5, 2025
ACTION: Motion made by Director Randall to keep the public hearing
open to November 19, seconded by Director Murrell.
AYES:
Murrell, Randall, Bender, Laliotis and Finn
NAYS:
none
ABSTAIN:
none
ABSENT:
none
Motion passed.
Public Hearing reopened at 7:53 p.m.
President Finn continued the item until November 19, 2025.
CONSENT CALENDAR
10. Consideration of a Contract Amendment for Water Department Construction
Inspection Services
Authorize the General Manager to execute a contract amendment with CME
Associates, Inc., in the amount of $75,000 for additional construction
inspection services, resulting in a total not -to -exceed amount of $325,000.
11. Consideration to Increase the Contract Amount for the Well 20 Rehabilitation
Project
Authorize the General Manager to execute a contract amendment with
Kaweah Pump INC., DBA Odell's Pump and Motor, for the Well 20
Rehabilitation Project increasing the amount by $15,000 resulting in a total not -
to -exceed amount of $123,838.
12. Consider Approval of the Treasurer's Report, November 2025
Approve the Treasurer's Report for November 2025 which includes:
a. Fund Balances for the Month of August 2025
b. Disbursements for the Month of September 2025
13. Approval of Board Meeting Minutes
Consider approval of October 15, 2025 Meeting Minutes
No public comment was received.
ACTION: Motion made by Director Bender to approve the Consent
Calendar as presented, seconded by Director Laliotis.
AYES: Murrell, Randall, Bender, Laliotis and Finn
3
Page 304 of 312
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
REGULAR BOARD MEETING MINUTES
TDPUD BOARD ROOM, 11570 DONNER PASS ROAD, TRUCKEE, CA
6:00 PM, WEDNESDAY, NOVEMBER 5, 2025
NAYS: none
ABSTAIN: none
ABSENT: none
Motion passed.
ACTION ITEMS
14. Consideration of an Appeal to the Board of Directors for Award of Property
Damage Claim
Review the details of the appeal to the Board of Directors pertaining to the
Claim for Reimbursement of Property Damages submitted by Mr. Derrek Horn
and make a determination as to the District's responsibility for reimbursement
of claimed damages.
General Manager presented the item. Mr. Horn also presented on his claim.
No public comment was received. Discussion was held.
ACTION: Motion made by Director Murrell to deny the appeal and full
cost of replacement of the driveway and to reimburse the
claimant for 25% or $2500 (whichever is less) of the total cost
of the removal and replacement of the asphalt driveway by a
licensed professional contractor based on the submitted
estimate of repairs. Motion failed for lack of a second.
Discussion was held.
ACTION: Motion made by Director Laliotis to deny the appeal and
reimburse the claimant for 35% or $3,500.00 (whichever is less)
of the total cost of the removal and replacement of the asphalt
driveway by a licensed professional contractor based on the
submitted estimate of repairs.
Director Laliotis amended his motion to include the option for
claimant to choose reimbursement of complete cost of labor
and materials for one-time driveway sealing, seconded by
Director Bender.
AYES: Randall, Bender, Laliotis and Finn
NAYS: Murrell
ABSTAIN: none
ABSENT: none
Motion passed.
Meeting recessed at 8:53 p.m.
Meeting reconvened at 9:02 p.m.
C!
Page 305 of 312
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
REGULAR BOARD MEETING MINUTES
TDPUD BOARD ROOM, 11570 DONNER PASS ROAD, TRUCKEE, CA
6:00 PM, WEDNESDAY, NOVEMBER 5, 2025
15. Consideration for a Professional Services Contract to Conduct the District's
FY2025 Annual Audit
Authorize the Board President to execute a contract with Baker Tilly to conduct
the FY25 annual audit, in an amount not to exceed $70,000, with an option to
extend two years to FY26 at $75,000 and FY27 at $80,000, not to exceed.
CFO presented the item.
No public comment was received. Discussion was held.
ACTION: Motion made by Director Bender to authorize the Board
President to execute a contract with Baker Tilly to conduct the
FY2025 Annual Audit, in an amount not to exceed $70,000, with
an option to extend two years to FY26 at $75,000 and FY27 at
$80,000 not to exceed, seconded by Director Finn.
AYES: Murrell, Randall, Bender, Laliotis and Finn
NAYS: none
ABSTAIN: none
ABSENT: none
Motion passed.
Director Bender recused himself for a real property interest on items 16 and 17 and
departed the meeting at 9:11 p.m.
16. Consideration of Authorizing the General Manager to Execute the Agreement
Regarding APN# 043-010-005-000.
a. Determine that the waiver of current Penalty and Interest for APN# 043-010-
005-000 agreement complies with the requirements of Government Code
section 53340(f); and
b. Authorize the General Manager to execute the Agreement regarding APN#
043-010-005-000; accepting full payment for all installment special tax
amounts past due, in exchange for waiving current Penalty and Interest
amounts.
CFO presented the item. No public comment was received. Discussion was held.
ACTION: Motion made by Director Laliotis to authorize the General
Manager to execute the Agreement regarding APN 043-010-005-
000; accepting full payment for all installment special tax
amounts past due, in exchange for waiving current Penalty and
Interest amounts as presented, seconded by Director Randall.
AYES: Murrell, Randall, Laliotis and Finn
NAYS: none
ABSTAIN: none
ABSENT: none
Motion passed.
5
Page 306 of 312
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
REGULAR BOARD MEETING MINUTES
TDPUD BOARD ROOM, 11570 DONNER PASS ROAD, TRUCKEE, CA
6:00 PM, WEDNESDAY, NOVEMBER 5, 2025
17. Consideration of Authorizing the General Manager to Execute the Agreement
Regarding APN# 019-770-002-000.
a. Determine that the waiver of current Penalty and Interest for APN# 019-770-
002-000 agreement complies with the requirements of Government Code
section 53340(f); and
b. Authorize the General Manager to execute the Agreement regarding APN#
019-770-002-000; accepting full payment for all installment special tax
amounts past due, in exchange for waiving current Penalty and Interest
amounts
CFO presented the item. No public comment was received. Discussion was held.
ACTION: Motion made by Director Laliotis to authorize the General
Manager to execute the Agreement regarding APN 019-770-002-
000; accepting full payment for all installment special tax
amounts past due, in exchange for waiving current Penalty and
Interest amounts as presented, seconded by Director Randall.
AYES: Murrell, Randall, Laliotis and Finn
NAYS: none
ABSTAIN: none
ABSENT: none
Motion passed.
Director Bender rejoined the meeting at 9:24 p.m.
18. Consideration of Approval of a 2025 Q3 Power Cost Adjustment of $0.0105 credit
per kWh Billed in December 2025, January 2026, and February 2026.
Approve Power Cost Adjustment for 2025 Q3 of $0.0105 credit per kWh billed
in December 2025, January 2026 and February 2026 and authorize the
transfer of $237,900 from the electric operating fund to the electric rate reserve
fund.
CFO presented the item. No public comment was received. Discussion was held.
ACTION: Motion made by Director Randall to approve Power Cost
Adjustment for 2025 Q3 of $0.0105 credit per kWh billed in
December 2025, January 2026 and February 2026 and authorize
the transfer of $237,900 from the electric operating fund to the
electric rate reserve fund as presented, seconded by Director
Laliotis.
AYES: Murrell, Randall, Laliotis and Finn
NAYS: none
ABSTAIN: none
ABSENT: none
6
Page 307 of 312
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
REGULAR BOARD MEETING MINUTES
TDPUD BOARD ROOM, 11570 DONNER PASS ROAD, TRUCKEE, CA
6:00 PM, WEDNESDAY, NOVEMBER 5, 2025
Motion passed.
Open Session recessed at 9:31 p.m.
General Counsel noted the Board will not hear item 19 in Closed Session.
CLOSED SESSION
19. Closed Session Pursuant to Government Code§ 54956.9(d)(2) — Conference with
Legal Counsel, Exposure to Litigation, One
20. Closed Session Pursuant to Government Code Section 54957 Public General
Manager's Performance Plan Review
Open Session reconvened at 9:44 p.m.
President Finn noted there was no reportable action taken in Closed Session.
ADJOURNMENT
Meeting adjourned at 9:44 p.m.
II 4uI'1 14=8'I.] I►I4:1 U1 ]I['11. 1141Wd916111:1[01
Christa Finn, President
Respectfully Submitted,
Martina Rochefort, District Clerk
rA
Page 308 of 312
TRUCKEE DONNER
Public Utility District
MEETING DATE: November 19, 2025
TO: Board of Directors
AGENDA ITEM #13
FROM: Neil Kaufman, System Engineer
Chad Reed, Water Utility Director
SUBJECT: Consideration of the Hirschdale Pipeline Construction Contract
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
Authorize the General Manager to execute a construction contract to Brady General
Engineering for the Hirschdale Pipeline Construction Contract in an amount of
$366,298.93, plus a ten percent change order allowance of $36,700 for a total
authorization not to exceed $403,000.
BACKGROUND:
The District operates two separate water systems in the Truckee area: the Hirschdale
System and the Truckee Main System. The Hirschdale System provides potable water
services to approximately 25 service connections located to the east of the Truckee
Main System with a direct distance of about 1,700 feet separating the two systems.
There is a single groundwater well that supplies water to the Hirschdale System. When
this well must be taken out of service to perform maintenance, it is necessary for the
District to implement temporary measures such as using potable water trucks or an
above -ground pipe to supply water to the Hirschdale area. In addition, the District
operates and maintains a water treatment system located at the Hirschdale Well head
for the removal of arsenic and manganese, in accordance with State and federal water
quality standards. The operation and maintenance of the groundwater well and
treatment system add additional operating costs to the delivery of water to the
Hirschdale community.
The Water Department has identified the need to construct a pipeline to connect the
Hirschdale Water System to the main Truckee Water System. This pipeline will provide
a second source of water to the Hirschdale area and allow the District to supply
Hirschdale in a more cost-effective manner while implementing service reliability and
safety.
The planned route for the pipeline crosses two parcels of private land located between
Glenshire and Hirschdale. This route is significantly shorter than following the public
Page 1 of 4
Page 309 of 312
roadways along Glenshire Drive and Hirschdale Road. Both parcels were owned by
the same party and, in early 2022, the District had reached a verbal agreement
regarding the planned pipeline alignment across the properties.
This project does not involve maintenance or replacement of existing facilities and it
does not qualify for an exemption under the California Environmental Quality Act
(CEQA). In August 2022, a Request for Proposal (RFP) to select a consultant to
perform a CEQA review was issued. Three proposals were received in response to
the RFP. In October 2022, the District awarded a contract to Inland Ecosystems to
perform the CEQA review. This work was conducted during 2022 and early 2023 and
the Board of Directors approved the CEQA Initial Study/Mitigated Negative Declaration
for the project in May 2023.
During the summer of 2023, bid documents for construction of the pipeline were
prepared with the intent of building the project in the fall of 2023. However, the
ownership of the property changed hands during the summer of 2023 before the
easement agreement was finalized. It should be noted that finalizing the easement
agreement was put on hold until the CEQA process could be completed in case the
CEQA review determined that the proposed pipeline route should be adjusted.
ANALYSIS AND BODY:
The easement agreement with the current owner of the two private parcels was
finalized in September 2025. The bid documents from 2023 were updated with the
intent to begin construction in May 2026. The District began advertising for bids in
September 2025. The bid opening was held at 2:00 pm on November 5, 2025. Sixteen
bids were received. It should be noted that three of the bidders had minor mathematical
errors in their bids ($4, $400, $8,055). These errors were corrected using the
procedure described in the bid documents. The corrected values are given in the table
below.
SUMMARY OF BIDS
Bidder
Location
Bid Amount
Responsive
Brady General Engineering
Nevada City, CA
$366,298.93
Yes
Ruppert Inc.
Truckee, CA
$402,905.83
Yes
Hansen Brothers
Grass Valley, CA
$404,056.36
Yes
C&D Contractors
Nevada City, CA
$465,909.00
Yes
AM -X Construction &
Excavation
Truckee, CA
$478,739.00
Yes
Heavy Equipment
Truckee, CA
$486,380.00
No
Longo Inc.
Tahoe City, CA
$486,665.00
Yes
N&T Digmore
Redding, CA
$488,038.00
No
Page 2 of 4
Page 310 of 312
Burdick Excavating
Carson City, NV
$500,005.00
Yes
LaFleur Engineering
Roseville, CA
$528,314.00
Yes
Rapid Construction
Carson City, NV
$543,345.00
Yes
RK Contractors
Reno, NV
$548,903.00
Yes
Veteran Pipeline Construction
Sacramento, CA
$578,587.44
Yes
Laurel Ag-Water
Lodi, CA
$761,060.60
Yes
Aventus NV
Boulder City, NV
$984,951.98
Yes
Resource Development
Sparks, NV
$1,328,128.00
Yes
Staff has determined two of the bids to be non -responsive. Heavy Equipment did not
acknowledge Addendum No. 3. N&T Digmore did not sign and submit all the required
documentation in the bid packet.
In addition to the construction contract, the District will retain outside consultants to
perform construction inspection, environmental services and geotechnical testing for
this project. The costs of this work are anticipated to be:
• Construction Inspection — CME — Estimated at $50,000
• Environmental Services — Inland Ecosystems — Estimated at $5,000
• Geotechnical Testing — Estimated at $10,000
The CME and Inland Ecosystems contracts will be presented to the Board of Directors
on December 3, 2025, as part of the annual procurement process. The District will be
issuing a new request for proposals for geotechnical testing services in early 2026.
GOALS AND OBJECTIVES:
District Code 1.05.020 Obiectives:
1. Responsibly serve the public.
3. Provide reliable and high quality water supply and distribution system to meet
current and future needs.
5. Manage the District in an environmentally sound manner.
6. Manage the District in an effective, efficient and fiscally responsible manner.
District Code 1.05.030 Goals:
1. Manage for Financial Stability and Resiliency
3. Engage with our customers and communities in a welcoming and transparent way to
identify opportunities.
4. Modernize the utility and add value to our communities through collaboration and
innovation.
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FISCAL IMPACT:
As noted above, Brady General Engineering is the low bidder at $366,298.93. It is
recommended that a ten percent change order allowance of $36,701.07 be established,
for a total authorization not to exceed $403,000.
This item is included in the 7.8 million dollar total capital plan slated to occur during
FY26, and is included in the total capital funding budget for FY 26.
Waters capital expenditure forecast for FY 25 was prepared for the mid -year financial
update and currently remains at 4.79 million. Water Capital Expenditure budget for
FY25 is 8.1 million, YTD September 2025 actual expenditures are 3.3 million and the
forecast for FY25 is 4.8 million. Waters capital reserve balance is 4.7 million as of
September 30, 2025 and is forecast to be 5.7 million as of December 31st 2025.
ATTACHMENTS:
None
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