Hist and Proj Operating Receipts FY 2011 2 17 2010 - DC Water

Wholesale - DC WASA's wholesale customers are responsible for a proportionate share of operating and maintenance expenses
(associated only with shared facilities primarily at Blue Plains) based on their respective share of wastewater volume discharged. ln
addition, each user is responsible for a proportionate share of related indirect costs. FY 2010 wholesale revenues are projected at
$68.6 million an increase of $2.9 million over FY 2009. ln FY 2011 wholesale revenues are projected to increase by $Z.t million to
$70.6 million.
Stormwater- DC WASA's FY 2010 and FY 2011 receipts include $1.5 million from the District's stormwater rate that will be used to
fund DC WASA's services provided on behalf of the District's stormwater permit compliance activities. The stormwater rate was
implemented in July 2001, and appears as a separate line item on DC WASA's retail customers' bills. ln FY 2004, the District
received a new stormwater permit which has significantly increased compliance costs for all participating agencies. ln November
2008 the District's -Department of the Environment (DDOE) implemented a new stormwater rate to cover the compliance costs. ln FY
2009 this District fee converted to the impervious area structure and currently has a rate of $2.57 per ERU. This fee increased to
ensure that the District of Columbia can comply with the separate storm sewer system (MS4) permit issued by the U.S.
Environmental Protection Agency (US EPA). The FY 2009 - 2018 financial plan assumes that all incremental costs borne by DC
WASA for stormwater permit compliance activities will be covered by the stormwater rate, and that no DC WASA funds will be
advanced to pay for these activities.
Other major assumptions underlying the revenue projections contained in the FY 2009 - 2018 financial plan include:
. From FY 2009 -
FY 2018, actuals (which were 3% below estimates) to a one percent reduction in water sales is assumed for all
customer categories, based on historical trends in consumption levels and a review of the regional economic forecast and
employment trends.
. Two percent average revenue increase between FY 2009 and 2013 from wholesale customers, in line with operating and
maintenance expense increases for joint use facilities.
. Based on the current interest rate environment, interest projections conservatively assume a 0.410 percent and 2.31 percent
earnings rate in FY 2010 and FY 2011 respectively on operating funds. lnterest rate for FY 2012 and FY 2013 is assumed to be
4.0 percent. Beyond FY 2013 interest rates are assumed at 5.0 percent.
. The majority of other non-operating revenues, totaling $19.8 million in FY 2010, are projected to increase within the ten year plan,
and include such items as:
* Reimbursement from Arlington County and Falls Church for debt service issued for pre-1997 Washington Aqueduct capital
improvements - $0.4 million
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