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

A Strong Track Record of Capital lmprovement, Operational and Financial Performance
since Dc wASA's inception, just over 13 years ago, we have made over g1.7 billion investment in our infrastructure to reverse
deterioration that existed prior to the creation of DC WASA and to stabilize much of the water, sewer and wastewater treatment
systems, while enhancing our capacity to deliver higher quality services that are the foundatíon for building customer confidence. As
the tables below summarize, that work consisted of building a solid financial foundation, implementing aðcounting and management
systems, overcoming years of infrastructure disinvestment, and effective use of technology to improve work processes and grealy
improve service to our customers.
WASA THEN tggt
. V¡rtually no cash ¡n the bank, vendor payment delays, $2S m¡ll¡on
borowed to help fund operat¡ons
. No rate ¡ncreases for ten years, no bond rating and had never
¡ssued debt
. $263 million operating budget for FY1997, but supported by only
$235 million of revenues
. Over $35 million in delinquent customer accounts
. Qualified aud¡t op¡nions
. No insurance pol¡c¡es
. Sufiering ftom long-term d¡s¡nvestment in capital infrastructure,
employee training and other systems requ¡red to ma¡nta¡n and
operations and servic€s to customers
WASA NOW zoog
. Cont¡nu¡ng focus on sustaining solid financ¡al foundation
. Commitment to pioneer and develop creative, effective programs, and
to env¡ronmental protection
. Cash reserves that ¡nclude six months operating cash
. lnsurance Program which ¡ncludes all major coverages and a Rolling
Owner Controlled lnsurance Progrâm to help conta¡n overall
construction costs and ensure safety
. Bond Ratings of Aa3/AA"/ÁÁ-
. FY 2009 operating budget of 9363 million
. Ten-year CIP totaling $3.2 b¡llion ten-year with annual expenditures of
$216 m¡llion or greater
. Sensitive to the concems of our customers in challeng¡ng economic
t¡mes
ln order to ensure continuing progress, DC WASA must continue to make infrastructure improvements, fund environmental initiatives
while improving efficiency and effectiveness of operations to produce high quality service to our customers. This is a challenge as
the Board and management continue to grapple with the current economic climate and the increasing costs of regulatory mandates.
Performance, Seryices and Revenues
DC WASA develops its budget using a ten-year planning horizon that includes input ranging from regulatory requirements;
infrastructure needs determined by various facility master plans for major systems; Board-determined priorities; and funding and rate
adjustments aflecting our customers. The Revised Fiscal Year 2010 and Proposed Fiscal Year 2011 budgets as presented provides
resources needed to meet all regulatory requirements and support some initiatives to provide maintenance of the water, sewer and
wastewater systems. This budget will enable us to provide the necessary service to our more than 2 million customers throughout the
DC Metropolitan region, while maintaining our commitment to good environmental stewardship, and sustainable infrastructure.
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