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2012-12-31 Management Ltr.
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2012-12-31 Management Ltr.
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City of Centerville <br />March 20, 2013 <br />Page 12 <br /> <br />Sewer Fund <br /> <br />The results of operations and cash position of the Sewer fund for the past three years are as follows: <br /> <br />201020112012 <br />PercentPercentPercent <br />TotalTotalTotal <br />Operating revenues$ 319,947100.0%$ 337,785100.0%$ 375,103100.0% <br />Operating expenses 422,596132.1 438,610129.8 433,792115.6 <br />Operating loss (102,649) (32.1) (100,825)(29.8) (58,689) (15.6) <br />Nonoperating revenues 60,83219.0 14,7084.4 18,8435.0 <br />Loss before contributions <br /> and transfers (41,817) (13.1) (86,117)(25.4) (39,846) (10.6) <br />Capital contributions from <br />other funds/developers - - 36,723 10.9 94,062 25.1 <br />Change in net position$ (41,817) (13.1)%$ (49,394)(14.5)%$ 54,21614.5% <br />Cash and temporary <br />investments$ 169,273$ 222,280$ 905,212 <br />Sewer Fund Operations <br /> <br /> $1,000,000 <br /> $800,000 <br /> $600,000 <br /> $400,000 <br /> $200,000 <br /> $- <br /> $(200,000) <br />201020112012 <br />Operating revenuesOperating expensesNonoperating revenues <br />Change in net positionCash and temporary investments <br /> <br /> <br />The Sewer fund operated at a loss in 2012 but cash flow was positive. The significant increase in cash from the prior year is due <br />to the repayment of the advances to other funds in prior years. The fund currently is owed $1,579,520 from other funds. A large <br />percentage of total expense in this fund comes from depreciation. The City needs to continue monitoring cash flow and review <br />rates annually to aim towards an operating income. <br /> <br />
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