Oro Valley utility reports revenues tracking to budget; public water-rate meeting set for June

Mary Rautz, the utility’s finance presenter, told commissioners that revenues through April were tracking to budget and that the utility expects to meet fiscal-year targets. She reported potable water sales at about $12,000,000, reclaimed-water sales at about $1,200,000, groundwater-preservation fees near $2,000,000 and service fees at $731,000, with total revenues through April roughly $16,000,000.

Rautz said personnel expenses are running below budget due to vacancies and that O&M spending to date is near projections. Capital spending through the reporting period was about $950,000, with approximately $800,000 expected to be spent before June.

Commissioners discussed how the utility changed its project sequencing — designing in one fiscal year and bidding and building the next — to reduce year-to-year carry-forwards and provide clearer reporting. "Designing, bidding, building in one year is ... impossible," a commissioner said, praising the change in process for improving budget projections.

The commission was reminded that a town council public meeting on the proposed water-rate increase is scheduled for June 5; the utility’s regular commission meetings for June and July were later canceled by vote at the meeting. Staff said they will present a financial update and partner-cost details for current projects at the next meeting.