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Sewer and Water Utility Fund
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<br />The sewer and water combined utility income, losses, and cash flows are summarized as follows:
<br />
<br />Year
<br />
<br /> Total
<br />Operating Net Cash Inflow Increase
<br />Income Income (Outflow) (Decrease)
<br />(Loss) (Loss) From Operations in Cash Flow
<br />
<br />1990 $ (103,612) $ (81,120) $ (41,197) $ 25,818
<br />1991 (95,018) (76,639) (11,603) (33,983)
<br />1992 (93,792) (72,877) 30,822 91,612
<br />1993 (72,598) (44,518) 121,058 381,240
<br />
<br />1994 Water (4,563) 29,924 54,814 703,061
<br />Sewer (10,868) (2,470) 12,545 225,072
<br />Combined (15,431) 27,454 67,359 928,133
<br />
<br />1995 Water (43,089) 64,756 (49,055) 924,359
<br />S ewer (71,816) (38,372) 57,584 333,808
<br />Combined (114,905) 26,384 8,529 1,258,167
<br />
<br />1996 Water 8,062 155,790 (430,403) (5,967)
<br />Sewer (40,955) 2,863 (260,620) (242,213)
<br />Combined (32,893) 158,653 (691,023) (248,180)
<br />
<br />1997 Water 40,093 151,026 758,599 313,445
<br />Sewer 1,792 30,850 407,239 285,279
<br />Combined 41,885 181,876 1,165,838 598,724
<br />
<br />The preceding table reflects that the combined sewer and water utility bypassed a break-even point in 1994
<br />and the operations produced operating income in 1997 for the first time. The improvement in operating
<br />results is the natural evolution of the utilities as they have reached enough volume to cover base operating
<br />costs and now have the ability to provide additional resources to the City.
<br />
<br />The primary difference between the operating income (loss) and net income (loss) is interest earned on
<br />investments. The primary difference between the net income (loss) and cash flow from operations is
<br />depreciation expense of the system. Total increase (decrease) in cash flow includes financing, investing, and
<br />capital acquisition activities. The utilities are producing a healthy positive cash flow from operations,
<br />excluding the interfund loans.
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