FPUD approves 2018-19 budget

The 2018-19 budget for the Fallbrook Public Utility District has been approved.

A 5-0 FPUD board vote June 19 passed the budget which includes $36,697,309 in revenue, $27,619,407 for operating expenses, $2,760,020 of debt service payments, and $19,894,888 for capital expenditures.

"For the most part it's held the operating expenses," said FPUD acting general manager Jack Bebee. "We're trying really hard to hold down our operating expenses."

FPUD's 2017-18 budget included $27,357,950 of operating expenses.

The 2018-19 budget includes $22,845,188 from water payments, $1,333,360 from recycled water purchases, $6,016,613 from wastewater charges, $1,234,685 from other operating revenue, and $5,267,463 from non-operating revenue.

The State Water Resources Control Board has a State Revolving Fund loan program, and last year FPUD's board authorized a State Revolving Fund application for the Santa Margarita River Conjunctive Use Project which will enhance groundwater recharge and recovery capacity within the lower Santa Margarita River basin and develop a program to increase available water supplies for Camp Pendleton and FPUD. The 2018-19 budget also includes $12,095,000 of State Revolving Fund loan proceeds.

Construction of the Conjunctive Use Project is expected to begin during Fiscal Year 2018-19. The Conjunctive Use Project expenditures during 2018-19 and 2019-20 are estimated at $48.74 million. Replacement of existing infrastructure accounts for most of the rest of FPUD's capital budget.

"We continue to ramp that up," said Bebee.

The $1,919,586 water capital appropriation for pipeline and valve replacement projects will fund the replacement of 3,400 linear feet of pipeline along Santa Margarita Drive and 2,116 feet of pipeline along De Luz Road along with the completion of the Old Stage Road and Old Highway 395 projects awarded during Fiscal Year 2017-18. FPUD has budgeted $1,264,697 for steel reservoir improvements, including the coating of the Sandia Reservoir, $698,500 for vehicles and heavy equipment, $500,000 for pump stations including the replacement of the Toyon Pump Station, and $425,000 for meter replacements.

FPUD's wastewater capital budget includes $1,725,000 for collection system improvements. The sewer system improvement projects include lining sections of sewer main and manholes, replacing sewer sections at creek and culvert crossings, lining the west well at the Green Canyon Lift Station, replacing Water Reclamation Plant equipment and facilities which were not included in the rehabilitation completed in 2015, and design and initial construction of the Overland Trail Lift Station rehabilitation.

The $65,000 recycled water capital budget will allow an expansion of the recycled distribution system to add customers in the southern part of FPUD's service area.