Sonora, CA — The T.U.D. Board of Directors heard a mid-year budget report last night, and the drought is causing a deficit.
The water fund revenue is projected to be down $799,000, compared to estimates, due to customers purchasing less water. The district has had less supply this fiscal year due to the drought, so customers have been conserving. Main water line breaks and leaks are also up this year, by about 45%. General Manager Tom Scesa did note in a report to the board that there are still some unknowns that could impact the final bottom line, such as additional drought funds, and power sales to PG&E.
The Board voted last night to accept the mid-year budget report, and will make formal decisions regarding how to close the gap at future meetings. Different options were brought up, and at the next meeting the board will vote whether to have a board workshop focused just on financial issues.
The Board accepted the mid-year report, 4-1. Board member Kent Johnson was in opposition. He brought up concerns that the millions of dollars in unfunded pension and healthcare liabilities were not included in the report.