South San Joaquin Irrigation District isn’t singing the budget blues.
While every jurisdiction from cities to the state government are dealing with falling revenue, furloughs to reduce labor costs , and pulling back on major expenses while scrambling to find new ways to generate taxes and fees the SSJID is doing the opposite.
The proposed 2011 SSJID budget - finished two months ahead of schedule - includes:
•A $2.4 million increase in revenue.
•The 22nd consecutive year of unchanged irrigation rates.
•$13.5 million invested in capital improvement projects.
•Negotiated cost-of-living increases for SSJID employees.
•The generation of $5.8 million in excess revenue after all expenses are paid in 2011 that will go to the undistributed reserve that is closing in on $60 million to allow the district to fund its entrance into the retail power business. That compares to $1.6 million in excess revenue after all expenses are taken into account for 2010.
•A plan and funding to reduce the power costs of all retail users in Manteca, Ripon, and Escalon by 15 percent should they get the go ahead from the San Joaquin County Local Agency Formation Commission in early 2011.
The budget includes a projected $31,185,668 in revenues against $26,858,958 in expenses. The $5,850,469 increase in net assets will be possible after spending $13.5 million on capital improvements and funding $2.6 million of the district’s continuing efforts to enter the retail power business thanks to the district’s share of net Tri-Dam Project operation receipts from the sale of hydroelectric power.
This year the district is undertaking $22.6 million in capital improvement projects.
“The result of these investments has been a virtual elimination of leaks and emergency repairs,” SSJID General Manager Jeff Shields noted in a report to the board. “This in turn reflects major savings in overtime costs and improved customer service.”
It is a reason why labor costs are dropping $70,000 despite the cost of living increases.
The $3.5 million ag water conservation project starts in January with $1.25 million of that amount budgeted to be spent in 2011. Work is expected to start work in January on a state-of-the-art pressurized irrigation line for Division 9 south of Manteca.
The district is also investing in a new microwave communications network to provide secure, uninterrupted, communication capacity for all operations at the Nick DeGroot Water Treatment Plant, the Robert O. Schulz Solar Farm, 28 irrigation pumps, the main supply canal gates security as well as telephone and internet capability. When completed the SSJID will have microwave communication capability from Woodward Reservoir to Tracy.
The board will review the budget during Tuesday’s 9 a.m. meeting at the district office, 1101 E. Highway 120.
