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Ordinance No. 7,394 BA YTO WN AREA WA TER AUTHORITY Baytown Area Water Authority, "BAWA", is a water authority created by Texas Legislature to purchase and distribute surface and/or underground supplies for the City and surrounding communities. The City accounts for approximately 90% of BAWA's annual sales. BAWA is considered a component unit of the City of Baytown. H: f 14-1 B -4 0• • Em%q • � GZ • • 41 •. 1;• A - • • a • • • vx BAYTOWN AREA WATER AUTHORITY REVENUE AND EXPENDITURE SUMMARY ACTUAL BUDGET ESTIMATED PROPOSED 1993-94 1994-95 1994-95 1995-96 OPERATING REVENUES Sale of Treated Water. City of Baytown $ 4,048,446 $ 4,247,477 $ 4,263,930 $ 4,273,884 Municipal utility districts 524,062 527,330 485.815 488,917 TOTAL OPERATING REVENUE 4,572.508 4,774,807 4,749,745 4,762,801 OPERATING EXPENDITURES Raw water purchases 1,554,670 1,647,950 1,547,950 1.572.000 Contract personnel costs 490,484 522,883 535,875 553,757 Other operating expenditures 956,962 1,159,465 1,006,494 1,100,731 TOTAL OPERATING EXPENDITURES 3,002,116 3,330,298 3.090,319 3.226,488 OPERATING REVENUES OVER EXPENDITURE 1,570.392 1,444.509 1,659,426 1,536.313 NON-OPERATING ITEMS Interest income 49,902 35,000 35,000 35,000 Debt service (1,403,432) (1,450,588) (1,450,588) (1,528,680) Capital outlay (3,310) (16,165) (29,173) (17,500) TOTAL NON-OPERATING EXPENDITURES (1,356.840) (1,431,753) (1,444.761) (1,511,180) REVENUES OVER(UNDER)EXPENDITURE $ 213,552 $ 12.756 $ 214,665 $ 25,133 14-3 BAYTOWN AREA WATER AUTHORITY EXPENDITURES BY CLASSIFICATION PROPOSED BUDGET 1995-96 ACTU/LL BUDGET ES MTM BASE LEVEL rtEGUESTED 1993-% 1884-85 1994-95 191S-96 1895 86 Contract Personal Services $490,484 $522,883 $535,875 $534,917 $553,757 Supplies 1,996,895 2,142,350 1,991,875 2,065,900 2,065,900 Maintenance 68,599 139,700 138,000 96,691 96,691 Services 446,300 425,365 424,569 410,352 410,352 Contingencies - 100,000 - 99,788 99,788 CapiW Ouday 3,310 16,165 29,173 14,000 17,500 Debt Service 1,403,432 1,450,588 1,450,588 1,528,680 1,528,680 Total Expendibms $4,409,020 $4,797,051 $4,570,080 $4,750,328 $4,772,668 (11.6%) (32.0%) (0.4-) (43.3%) (8.6 A) (2.0%) ■Personal Services ■Supplies ■Maintenance ■Services D Contingency ■Capital Outlay O Debt Service 14-4 BAYTOWN AREA WATER AUTHORITY PROPOSED OPERATING RESULTS ACTUAL BUDGET ESTIMATED PROPOSED 1993-94 1994-95 1994-95 1995-96 OPERATING REVENUES Sale of Treated Water. City of Baytown $ 4,048,446 $ 4,247,477 $ 4,263,930 $ 4,273,884 Municipal utility districts 524,062 527,330 485,815 488.917 TOTAL OPERATING REVENUE 4,572,508 4,774,807 4,749,745 4,762,801 OPERATING EXPENSES Raw water purchases 1,554,670 1,647,950 1,547,950 1.572.000 Contract personnel costs 490,484 522,883 535.875 553,757 Other operating expenses 956,962 1,159,465 1,006,494 1,100,731 Depreciation 400.299 399,700 399.700 400,000 TOTAL OPERATING EXPENSES 3,402.415 3.729,998 3,490,019 3,626.488 OPERATING REVENUES OVER EXPENSES 1,170,093 1,044,809 1,259,726 1,136,313 NON-OPERATING ITEMS Interest income 49,902 35,000 35,000 35,000 Interest expense (578,432) (550,588) (550,588) (553,680) TOTAL NON-OPERATING EXPENSES (528,530) (515,588) (515,588) (518,680) NET INCOME(LOSS) $ 641,563 $ 529,221 $ 744,138 $ 617,633 RECONCILIATION OF NET INCOME(LOSS)TO REVENUES OVER(UNDER)EXPENDITURES: Net income(loss) $ 641,563 $ 529,221 $ 744,138 $ 617,633 Principal debt retirement (825,000) (900,000) (900,000) (975.000) Capital outlay (3,310) (16.165) (29,173) (17,500) - Depreciation 400,299 399,700 399,700 400,000 Revenues over(under)expenditures $ 213,552 $ 12,756 $ 214,665 $ 25,133 14-5 CITY OF BAYTOWN PROGRAM SUMMARY BA YTO WN AREA WA TER A UTHOR/TY 5101 PROGRAM DESCRIPTION Operate and maintain a 13.5 MGD design capacity surface water treatment facility with a projected flow of 11.0 MGD in FY 95-96, and a certified bacteriological laboratory. Following and complying with the Texas Natural Resource Conservation Commission Rules (TNRC) and Regulations for Public Water Supplies Adopted 1992, National Primary Drinking Water Regulations (NPDWR), Safe Drinking Water Act (SDWA), Surface Water Treatment Rule (SWTR),and the Criteria for Certified Bacteriological Laboratories. Providing BAWA's customers with high quality safe drinking water, and a consistent source of fire protection. MAJOR DIVISION GOALS 1. Maintain the water quality necessary to be classified as"Meeting Optimum Corrosion Control" by TNRCC. 2. Operate the bacteriological laboratory in a manner that exceeds the requirements as set forth by the Texas Department of Health. 3. Develop and maintain a staff of highly trained water professionals to better serve our customers and comply with new regulations. MAJOR OBJECTIVES 1. Produce 11.0 MGD of water. 2. Maintain a finished water turbidity consistently less than 0.1 NTU. 3. Provide QA/QC, and mathematical training for personnel. 4. Meet the lead/copper rule for the fourth year of monitoring. 5. Increase public relations by working with the educational systems in the area to provide more tours of the facility. 6.• Finish additional 4 million gallon ground storage tank. WORKLOAD MEASURES 1993-94 1994-95 1994-95 1995-96 ACTUAL BUDGET EST. PROJECTED 1. Customers served 8 8 7 7 2. Number of customer connections 22,228 21,790 22,500 23,500 3. Bacteriological samples received 1,388 1,300 1,400 1,400 4. Customer water quality calls 422 18 18 18 5. Average MGD of water produced 10.87 11.0 11.0 11.0 6. PR's and PO's processed 660 710 700 700 - 14-6 BAYTOWN AREA WATER AUTHORITY 5101 PRODUCTIVITY MEASURES 1993-94 1994-95 1994-95 1995-96 ACTUAL BUDGET EST. PROJECTED 1. Days without interruption of service 365 365 365 366 2. Days finished Water NTU <0.1 252 365 365 366 3. Bacteriological samples analyzed 1,388 1,300 1,400 1,400 4. Customer water quality calls investigated 422 18 18 18 5. Days above 11.0 MGD 103 285 150 285 6. PR's and PO's completed 660 710 700 700 14-7 CITY OF BAYTOWN BUDGET EXPENDITURE SUMMARY BAYTOWN AREA WATER AUTHORITY 5101 ACCOUNT ACTUAL BUDGET ESTIMATED BASE LEVEL REQUESTED NUMBER ACCOUNT TITLE 1993-94 1994-95 1994-95 1995-96 1995-96 71031 CONTRACT PERSONNEL-BAWA $ 490,484 $ 522,883 $ 535,875 $ 534,917 $ 553.757 TOTAL PERSONAL SERVICES 490,484 522,883 535,875 534,917 553,757 72001 OFFICE 2,413 2,300 2,300 2,300 2,300 72002 POSTAGE 630 700 700 700 700 72007 WEARING APPAREL 4,053 4,400 4,525 4,500 4,500 72016 MOTOR VEHICLES 3,416 4,800 3,200 3,200 3,200 72021 MINOR TOOLS 1,011 2,000 1,000 1,000 1,000 72026 CLEANING&JANITORIAL 1,088 1,500 1,500 1,500 1,500 72031 CHEMICAL 401,035 444,600 400,000 450.000 450,000 72041 EDUCATIONAL 889 700 700 700 700 72051 UNTREATED WATER 1,554,670 1,647,950 1,547,950 1,572,000 1.572,000 72061 MISCELLANEOUS 27,690 33,400 30,000 30,000 30,000 TOTAL SUPPLIES 1,996,895 2,142,350 1,991,875 2,065,900 2,065,900 73011 BUILDINGS 2,359 24,000 24,000 3,000 3,000 73022 SANITARY SEWERS - 1,200 - - - 73024 STANDPIPES&RESERVOIRS 5,134 - - - - 73025 STREET,SIDEWALK&CURB - 500 500 500 500 73027 HEATING&COOLING SYSTEM 4,338 3,500 3,000 1,000 1,000 73042 MACHINERY AND EQUIPMENT 35,862 85,500 85,500 66,800 66,800 73043 MOTOR VEHICLES 4,239 4,000 4,000 4,391 4,391 73045 RADIO&TESTING EQUIPMENT 95 1,000 1,000 1,000 1,000 73061 MISCELLANEOUS 16,409 20,000 20,000 20,000 20,000 TOTAL MAINTENANCE 68,436 139.700 138,000 96,691 96,691 74001 COMMUNICATIONS 7,353 10,000 8,500 8,500 8,500 74002 ELECTRIC SERVICE 355,342 342,000 342,000 342,000 342,000 74011 HIRE OF EQUIPMENT 366 4,000 4,000 4,000 4,000 74012 INSURANCE 35,920 39,665 39,269 24,872 24,872 74021 SPECIAL SERVICES 24,675 7,000 7,000 7,000 7,000 74022 AUDITS 8,720 7,000 7,000 7,000 -7,000 74036 ADVERTISING 349 500 100 600 600 74041 TRAVEL&REIMBURSABLES 2,840 4,000 4,000 4,000 4,000 74042 EDUCATION&TRAINING 6,152 6,500 8,000 7,500 7,500 74051 RENTS 4,141 4,000 4,000 4,000 4,000 74071 ASSOCIATION DUES 443 600 600 650 650 74087 MISCELLANEOUS - 100 100 230 230 TOTAL SERVICES 446.301 425,365 424,569 410,352 410,352 14-8 CITY OF BAYTOWN BUDGET EXPENDITURE SUMMARY BAYTOWN AREA WATER AUTHORITY 5101 ACCOUNT ACTUAL BUDGET ESTIMATED BASE LEVEL REQUESTED NUMBER ACCOUNT TITLE 1993-94 1994-95 1994-95 1995-96 1995-96 TOTAL OPERATING FUND 3,002,116 3,230,298 3,090,319 3,107,860 3,126,700 82011 BUILDINGS - 15,000 15,123 - - TOTAL BUILDINGS - 15,000 15,123 - - 84041 OFFICE FURNITURE&EQUIPMENT 3,310 - - 2,000 2,000 84042 MACHINERY AND EQUIPMENT - - - 12,000 15,500 84043 MOTOR VEHICLES - 16,165 14,050 - - TOTAL MACHINERY&EQUIPMENT 3,310 16,165 14,050 14,000 17,500 TOTAL CAPITAL OUTLAY 3,310 31,165 29,173 14,000 17,500 99001 MANAGERS CONTINGENCIES - 85,000 - 99,788 99,788 TOTAL CONTINGENCIES - 85,000 - 99,788 99,788 91511 BAWA DEBT SERVICE 1,403,432 1,450.588 1,450.588 1.528.680 1,528,680 TOTAL TRANSFERS TO OTHER FUNDS 1,403.432 1,450.588 1,450.588 1,528,680 1,528,680 TOTAL ACCOUNT $ 4.408.858 $ 4,797,051 $ 4,570,080 $ 4,750,328 $ 4,772,668 14-9 CITY OF BAYTOWN BAYTOWN AREA WATER AUTHORITY STATEMENT OF BONDED INDEBTEDNESS Amount Requirements Amount Amount of Outstanding Fiscal Year 1995-96 Outstanding Revenue Bonds Issue October, 1995 Principal Interest Total September, 1996 Series 1978 11,200,000 5,775,000 975,000 340,813 1,315,813 4,800,000 Series 1979 2,500,000 2,500,000 - 159,375 159.375 2,500,000 Series 1994 815,000 815,000 - 48,493 48,493 815,000 Total 9,090,000 975,000 548,680 1,523,680 8,115 000 DEBT REQUIREMENTS TO MATURITY Fiscal 2/01 8/01 Total Total Year Principal Interest Interest Interest Requirement 1996 975,000 274,340 274,340 548,680 1,523,680 1997 1,050,000 246,309 246,309 492,618 1,542,618 1998 1,150,000 215.859 215,859 431,718 1,581,718 1999 1,250,000 181,934 181,934 363,868 1,613.868 2000 1,350.000 144,434 144,434 288,868 1,638,868 2001 1,250,000 103,934 103,934 207,868 1.457,868 2002 1,250.000 64,090 64,090 128.180 1,378.180 2003 815,000 24,246 - 24,246 839,246 2004 - - - - Total 9,090,000 1,255,145 1,230,899 2,486,044 11,576,044 B.A.W.A. Debt Service Requirements $2,000 S1,500 -o e 3 $1,000 0 S500 so 1996 1997 1998 1999 2000 2001 2002 2003 2004 Prinicpal ® Interest Debt extinguished in FY 2003 14-10 CITY OF BAYTOWN BAYTOWN AREA WATER AUTHORITY STATEMENT OF BONDED INDEBTEDNESS Fiscal Interest Principal Interest Interest Annual Principal Total Year Rate Due 5/01 Due 5/01 Due 11/01 Requirement OutstandingOutstanding Revenue Bond,Series 1978 Date of Issue-September 1, 1991 Term-22 Years 1995 5,775,000 6,861,413 1996 5.75% 975,000 170,406 170,406 1,315,813 4,800,000 5,541600 1997 5.80% 1,050,000 142.375 142,375 1.334,750 3,750,000 4,210,850 1998 5.90% 1,150,000 111,925 111.925 1,373,850 2,600,000 2,837,000 1999 6.00% 1,250,000 78,000 78,000 1,406,000 1,350,000 1,431,000 2000 6.00% 1,350,000 40,500 40,500 1,431,000 - - 5,775,000 543,206 543,206 6,861,413 Revenue Bond,Series 1979 Date of Issue-September 1, 1979 Term-23 Years 1995 2,500,000 3.535,937 1996 6.38% - 79,688 79,688 159,375 2,500,000 3,376,562 1997 7.30% - 79,688 79,688 159,375 2,500,000 3.217.187 1998 7.30% - 79,688 79,688 159,375 2,500,000 3,057,812 1999 7.30% - 79,688 79,688 159,375 2,500,000 2,898,437 2000 7.30% - 79,688 79,688 159,375 2,500,000 2.739.062 2001 7.30% 1,250,000 79,688 79,688 1.409.375 1,250,000 1,329,687 2002 7.30% 1,250,000 39,844 39.844 1,329,687 - - 2,500,000 517,969 517,969 3,535,937 Revenue Bond,Series 1994 Date of Issue-November 1, 1994 Term-9 Years 1994 815,000 1,227,186 1995 5.95% - 24,246 24,246 48,493 815,000 1.178,694 1996 5.95% - 24,246 24,246 48,493 815,000 1,130,201 1997 5.95% - 24,246 24,246 48,493 815,000 1,081,709 1998 5.95% - 24.246 24,246 48,493 815,000 1,033,216 1999 5.95% - 24,246 24.246 48,493 815.000 984,724 2000 5.95% - 24,246 24,246 48.493 815,000 936,231 2001 5.95% - 24,246 24,246 48,493 815,000 887,739 2002 5.95% - 24,246 24.246 48,493 815,000 839,246 2003 5.95% 815,000 24,246 - 839,246 - - 815,000 218,216 193,970 1,227,186 14-11 B -4 0• • • • • ' f � GZ • • • � f •. `• • SCHEDULE OF CAPITAL OUTLAY PROPOSED BUDGET 1995-96 ACCOUNT BASE INCREASED DEPARTMENT NUMBER DESCRIPTION LEVEL LEVEL SAWA FUND 510 5101 BAWA 84041 SECRETARY DESK&COMPUTER TABLE 2,000 84042 POTASSIUM PERMANGANATE FEEDER(1)@ 12,000 $7,000&Zn 0-pO4 TANK(1)@ 5,000 84042 SLUDGE GALLEY POWER VENT 3,500 BAWA FUND BASE LEVEL S BAWA FUND INCREASED LEVEL S3.500 GRAND TOTAL $17.500 14-13 CITY OF BAYTOWN SCHEDULE OF SUPPLEMENTAL REQUEST PROPOSED BUDGET 1995-96 ACCOUNT INCREASED DEPARTMENT NUMBER DESCRIPTION LEVEL BAWA FUND 510 5101 BAWA 84042 SLUDGE GALLEY POWER VENT 3,500 71031 MERIT 18,840 SUPPLEMENTAL REQUESTS TOTAL FOR BAWA FUND $22,340 14-14 CITY OF BAYTOWN SCHEDULE OF OPERATING CUTS PROPOSED BUDGET 1995-96 ACCOUNT BASE DEPARTMENT NUMBER DESCRIPTION LEVEL BAWA FUND 510 74012 INSURANCE 16,778 5101 BAWA TOTAL OPERATING CUTS FOR BAWA FUND U6. 778 14-15 CITY OF BAYTOWN SCHEDULE OF CAPITAL OUTLAY CUTS PROPOSED BUDGET 1995-96 ACCOUNT DEPARTMENT NUMBER DESCRIPTION AMOUNT BAWA FUND 510 5101 BAWA 84051 35 TON AIR CONDITIONER 60,000 TOTAL CAPITAL CUTS FOR BAWA FUND 5N 000 14-16