Water Operating Fund: Lost Decade Found

Months ago San Angelo City Councilman Dwain Morrison asked for an explanation on the water operating fund and why citizens rarely got a rebate.  The resulting presentation seemed sparse.

City Council April 16, 2013 water rebate from City of San Angelo Texas

Wanting more information I perused City budgets and audited annual reports.  I looked hard, but could not find the two bits of information I desired, the Water Operating Fund balance at fiscal year start and end.  City staff kindly provided that information.

Only once in the last decade did the Water Operating Fund end/start off negative.  That was in 2004.  Every other year the Water Operating Fund was in the black. 

The City enacted water rate increases in 2007 and 2011.  Also in 2011 the City conducted a "one-time transfer of $3.5 million into general fund reserves from the water utility."  Those items are pictured below.

Given the actual Water Operating Fund balances weren't in the annual financial audit, this information could be new to City Council members.

For those who like raw data, I offer the audited figures as well as budget estimates, (which City Council members saw during the budget process):

Looking at audited vs. budget numbers one can see a lag in the two lines.  However, something changed the last two years, when the city experienced major increases in actual water operating funds vs. budget.

Another noteworthy item for the last two years are budgeted transfers out of the Water Operating Fund, $5.4 million and $6.1 million.  It's not clear how these transfers are reflected in the charts or graphs pictured here.  Such transfers likely relate to the city's debt obligations for the Hickory pipeline and planned new water treatment plant.

While my curiosity may be greater than the average citizen, I expected something along these lines in response to any City Councilperson's inquiry.  It happened the one who asked is still in the running for Mayor.  .