CWCB Annual Report December 1996

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1 2.3 J Long-Term Projected Expenditures g P In December 1993 the Board prepared its first Long-Term Financial Projection for the Construction Fund. The projection allows the Board to balance recommended expenditures against the projected revenue stream. The long-term schedule of projected expenditures from the fund is based on the list of existing ' authorized appropriations and new projects identified in a statewide survey of water users initiated in 1993. The list of projected future projects is updated periodically through an aggressive marketing program. Based on these projects, expenditures from the fund are projected to be$213.9 million over the next ten years. Of this amount, approximately$161.7 million is for reimbursable projects and$52.2 million for non-reimbursable projects. The total is distributed as follows: Type of Expenditure Millions New Storage Projects $ 72.2 Dam Rehabilitation 37.9 Water Resources Infrastructure 54.1 ' Water Management 18.4 Fish and Wildlife Mitigation 6.7 Information Management 10.8 ' Administration 13.8 Total $213.9 I 2.4 Long-Term Cash Sources tThe long-term projection of cash sources is based on several conservative assumptions. New loans were assumed to be amortized at an average interest rate of 3.5-percent over 30 years. The Mineral Lease Fund cash was assumed to decrease by 5-percent per year. Interest from the State Treasurer was estimated to be 3.4-percent of the average cash balance of the Construction Fund and this reflects the effect of the 15-percent management fee pursuant to SB 92-26. Recovery on existing loans, which historically has been about 99-percent, was assumed to be 95-percent in the future. Based on the above assumptions, the existing cash sources to the fund are projected to be $140.3 million over the next ten years. 1 1 1 CWCB FY96 Annual Report,page 7