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First and Second Quarters Fiscal Year 2023/24 Water, Wastewater and Electric Utility Department Financial Reports (EU & PW)
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MEETING DATE:
February 21, 2024
PREPARED BY:
Public Works and Electric Utility Departments
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RECOMMENDED ACTION:
Receive utility financial reports for the first and second quarters of Fiscal Year 2023/24.
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BACKGROUND INFORMATION:
In accordance with the Lodi Municipal Code, quarterly financial reports are to be prepared for the Water, Wastewater, and Electric Utilities. Quarterly update presentations have been included in this report and a highlight of activities and progress is outlined below for each utility.
Electric Utility Financial Highlights
* REVENUE is stable tracking at 54 percent of budget.
* Energy sales are tracking at 53 percent of budget. Typically, energy sales tend to track higher during the early, warmer months of the fiscal year (i.e., July-September). While overall revenue is stable, there has been a slight reduction in energy consumption as compared to the prior year due to the mild weather when compared to last year.
* Impact fee revenue receipts are higher than anticipated and staff have reflected this trend as part of the proposed midyear adjustments.
* EXPENSES are tracking at 41 percent of budget halfway through the year.
* Non-power operating expenses are tracking at 39 percent of budget.
* Power supply costs are tracking at 42 percent of budget. As noted above, power supply costs are lower than anticipated due to both lower energy consumption as well as market energy costs starting to come down, when compared to recent prior years. Staff have reflected these changes as part of the proposed midyear adjustments.
* Capital outlay expenses are tracking at 25 percent of budget. Approximately $3.2 million of the capital budget includes work by Electric Utility staff on the State of California Natural Gas Power Plant, all costs for which will be ...
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