PUB00059

• Year: 1995
• Title: Construction Fund Annual Report 1995
• CWCB Section: Finance
• Author: CWCB
• Description: Construction Fund Annual Report 1995
• Publications - Doc Type: CF Annual Report

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2.3 Long-Term Projected Expenditures

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 $234.9 million over
the next ten years. Of this amount, approximately $174.0 million is for reimbursable projects and
$60,9 million for non-reimbursable projects, The total is distributed as follows:

Type
New storage projects
Dam rehabilitation
Water resources infrastructure
Water management
Fish and wildlife mitigation
Information management
Administration

Total

Millions
$ 73,6
44.4
53,3
21.2
11.6
18.1
--.lkl
$234,9

2.4 Long-Term Cash Sources

The long-term projection of cash sources is based on several conservative assumptions. Nev.
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 A-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,

2.5 Projected Cash Balance

With $100.8 million in cash reserved for authorized projects, projected cash sources of $140.3
million, and projected expenditures of $234,9 million, the year-end cash balance of the
Construction Fund is expected to level out to between $5 and $10 million after about the year
2001.

CWCB Annual Report, page 7