TOWN OF CARY, NORTH CAROLINA
UTILITY SYSTEM OPERATIONS SUB-FUND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND NET ASSETS
BUDGET AND ACTUAL (NON-GAAP)
For the Year Ended June 30, 2007
With Comparative Totals For the Year Ended June 30, 2006
Schedule 10
2007 2006
Variance
Positive
Budget Actual (Negative) Actual
REVENUES
  Operating Revenues
    Charges for Services  
      Water $21,053,977 21,319,448 265,471 18,937,272
      Sewer 19,063,439 21,310,253 2,246,814 17,955,104
TOTAL CHARGES FOR SERVICES 40,117,416 42,629,701 2,512,285 36,892,376
   Other Operating Revenues
     Connection Fees 505,985 609,697 103,712 548,700
     Inspection Fees 980,161 891,929 (88,232) 1,086,455
     Reconnection Fees 63,351 47,103 (16,248) 61,394
     Pretreatment Program Fees 145,000 137,764 (7,236) 143,305
     Miscellaneous Revenues 195,531 223,281 27,750 200,954
TOTAL OTHER OPERATING REVENUES 1,890,028 1,909,774 19,746 2,040,808
TOTAL OPERATING REVENUES 42,007,444 44,539,475 2,532,031 38,933,184
NON-OPERATING REVENUES
    Investment Earnings 1,115,852 1,948,527 832,675 1,526,185
      Market Adjustment --- 296,027 296,027 (106,536)
    Investment Earnings, net 1,115,852 2,244,554 1,128,702 1,419,649
TOTAL REVENUES 43,123,296 46,784,029 3,660,733 40,352,833
EXPENDITURES
ADMINISTRATIVE 
  Utility Administration      
    Personnel Services 733,006 736,817 (3,811) 664,090
    Operations & Maintenance 205,546 163,118 42,428 95,152
          TOTAL 938,552 899,935 38,617 759,242
  Customer Accounting
    Personnel Services 1,347,975 1,252,528 95,447 1,052,670
    Operations & Maintenance 533,001 436,871 96,130 332,732
    Capital Outlays 30,000 --- 30,000 33,562
          TOTAL 1,910,976 1,689,399 221,577 1,418,964
   Administrative costs paid to General Fund 1,758,778 1,758,778 --- 1,620,531
TOTAL ADMINISTRATIVE  4,608,306 4,348,112 260,194 3,798,737
WATER CONSERVATION
    Personnel Services $243,007 234,678 8,329 159,566
    Operations & Maintenance 108,661 77,375 31,286 53,364
    Capital Outlays --- --- --- 13,457
       
TOTAL WATER CONSERVATION 351,668 312,053 39,615 226,387
PRETREATMENT
    Personnel Services 292,483 307,234 (14,751) 231,714
    Operations & Maintenance 49,521 28,044 21,477 27,212
    Capital Outlays --- --- --- 13,207
       
TOTAL PRETREATMENT 342,004 335,278 6,726 272,133
FIELD OPERATIONS
 Water Distribution and Sewage Collection
    Personnel Services 3,907,497 3,650,096 257,401 3,262,679
    Operations & Maintenance 1,648,867 1,813,382 (164,515) 1,027,933
    Capital Outlays 285,560 114,340 171,220 355,169
       
TOTAL FIELD OPERATIONS 5,841,924 5,577,818 264,106 4,645,781
UTILITY SYSTEMS MAINTENANCE
 Water and Sewer Pumping 
    Personnel Services 1,131,250 1,096,179 35,071 911,474
    Operations & Maintenance 1,019,020 991,825 27,195 778,384
    Capital Outlays 27,000 --- 27,000 179,042
       
TOTAL UTILITY SYSTEMS MAINTENANCE 2,177,270 2,088,004 89,266 1,868,900
WATER RECLAMATION FACILITIES
     North Cary Water Reclamation Facility
       Personnel Services 1,133,912 1,126,976 6,936 1,082,407
       Operations & Maintenance 4,708,519 3,775,555 932,964 3,586,318
       Capital Outlays 15,000 8,250 6,750 17,210
          TOTAL 5,857,431 4,910,781 946,650 4,685,935
    South Cary Water Reclamation Facility
      Personnel Services 1,349,583 1,307,347 42,236 1,259,044
      Operations & Maintenance 2,014,146 1,708,495 305,651 1,514,205
      Capital Outlays --- --- --- 30,203
          TOTAL 3,363,729 3,015,842 347,887 2,803,452
TOTAL WATER RECLAMATION
    FACILITIES 9,221,160 7,926,623 1,294,537 7,489,387
WATER TREATMENT PLANT
    Personnel Services $1,525,968 1,498,620 27,348 1,453,298
    Operations & Maintenance 3,441,000 3,340,901 100,099 3,049,018
    Reimbursement from Apex (1,075,916) (909,524) (166,392) (876,090)
         TOTAL WATER TREATMENT PLANT 3,891,052 3,929,997 (38,945) 3,626,226
DEBT SERVICE
  Long-term Debt Principal Payment 6,647,064 6,647,064 --- 6,096,084
  Interest Expense 6,656,909 4,732,116 1,924,793 4,569,096
         TOTAL CARY DEBT SERVICE 13,303,973 11,379,180 1,924,793 10,665,180
  Morrisville Debt Payment 370,950 370,950 --- 339,775
         TOTAL DEBT SERVICE 13,674,923 11,750,130 1,924,793 11,004,955
REVERSION (50,000) --- (50,000) ---
TOTAL EXPENDITURES 40,058,307 36,268,015 3,790,292 32,932,506
      Revenues Over Expenditures 3,064,989 10,516,014 7,451,025 7,420,327
OTHER REVENUES (EXPENDITURES)
 Transfers Out, net
    Transfer to General Fund, net --- --- --- (149,932)
    Transfer to Water Project Sub-Fund (1,000,000) (1,000,000) --- (868,539)
    Transfer to Utility System Capital Reserve Fund (623,713) --- 623,713 ---
  Bond Issuance Costs & Expenses (700,000) (525,820) 174,180 (8,002)
  Bond Proceeds --- 258,903 258,903 ---
  Proceeds from Sale of Assets 27,000 52,949 25,949 7,771
  Miscellaneous Revenues 43,153 21,259 (21,894) 20,231
  Reserve for Future Capital Expenditures
  Reversion (PUT ABOVE IN EXP)
  Appropriation from Fund Balance (811,429) --- 811,429 ---
      TOTAL OTHER EXPENDITURES (3,064,989) (1,192,709) 1,872,280 (998,471)
      Revenues Over Expenditures
        (Including Other Expenditures),
        Before Special Item $          --- 9,323,305 9,323,305 6,421,856
SPECIAL ITEM - Morrisville Merger --- 4,381,668
      Revenues Over Expenditures
        (Including Other Expenditures) 9,323,305 10,803,524
   
ADJUSTMENT TO ACCRUAL BASIS
  Add (Deduct)
         Revenue adjustments:
     Sewer Capacity Charges $          --- (454,690)
     Fee Credits Used
     Fee Credit Adjustment --- 5,000
     Contributed Assets 7,338,173 10,446,348
         Expenditure adjustments:
     Capital Outlays 122,590 643,459
     Depreciation (8,847,248) (7,551,849)
     Decrease in Compensated Absences Liability (70,061) (80,604)
     Durham Water Expense (61,970) ---
     Jordan Capacity Payment 103,498 100,264
     Morrisville Jordan Capacity Payment 23,554 22,295
     Internal Service Fund Allocation 375,483 309,936
     Construction-in-Progress write-off --- ---
         Debt related adjustments:
     Issuance of long-term debt (258,903) ---
     Long-term Debt Principal Payment 6,647,064 6,096,084
     Morrisville Debt Payment 370,950 339,775
     Bond Premium Amortization 11,784 10,115
     Bond Discount Amortization (4,095) (4,048)
     Deferred Bond Issue Costs 449,805 (66,775)
     Deferred Loss on Refunding (78,135) (65,218)
          ***Interest adjustments***** to be hidden
     Capitalized Interest 729,281 949,059
    (Increase) Decrease Debt Interest Payable 147,902 (153,727)
         Other adjustments:
     Loss on Disposal of Assets    (19,076) ---
     Miscellaneous --- ---
                      Total Adjustments before Special Item 6,980,596 10,545,424
                           SPECIAL ITEM - Morrisville Merger --- 34,999,037
                      Total Accrual Adjustment 6,980,596 45,544,461
CHANGE IN NET ASSETS 16,303,901 56,347,985
NET ASSETS - Beginning of Year 265,401,148 180,207,000
Reclassification Between Utility Sub-Funds (7,683,887) 28,846,163
NET ASSETS - End of Year $274,021,162 265,401,148