Pepper’s Ferry adopts FY 13-14 budget



The board of directors for Pepper’s Ferry Regional Wastewater Treatment Authority adopted a $4.9 million fiscal year 2013-14 budget Thursday.

The unanimous vote followed a public hearing in which no comments were offered. Executive Director Clarke Wallcraft said no written or other verbal comments were received prior to the hearing.

The budget includes a $1 million transfer to capital improvements to cover replacement of the switchgear and plant generators as set forth in the facility’s 10-year Capital Improvements Plan. The budget does not include any contingency, as is the case in the current budget, but Wallcraft noted debt service is reduced by nearly $1.5 million in the ’13-’14 FY budget.

“The UV (Ultraviolet treatment system) and safety projects will be paid for in their entirety” at the end of the current fiscal year, he told the board in explanation of the reduced debt service. The decision was made early in the UV project to pay it off quickly rather than finance long-term. As a result, the current $5.27 million budget is higher than it typically would have been, Wallcraft said last spring.

During development of the current budget, Wallcraft expressed concern that the Authority would have no “cushion” in the budget if the year was dry and income was down. Since the Authority’s income is affected by the amount of flow into the plant, including storm water, a lack of rainfall can drastically reduce flows and, therefore, revenue. Likewise a wet year can result in a boost in income.

Given the amount of rainfall thus far, Wallcraft told the board Thursday the plant is having a good year. He said income as of March 31 is almost $573,457.

The ’13-’14 FY budget also creates a $100,000 account “to begin offsetting certain (Virginia Retirement System) unfunded retirement liabilities,” according to Wallcraft.

Under the newly-approved budget, Authority members are expected to pay the following member costs throughout the next fiscal year, based on their flows: Dublin, $333,875; Montgomery County Public Service Authority, $183,862; Pulaski County Sewerage Authority (Fairlawn), $202,147; town of Pulaski, $2,067,814; Pulaski County Public Service Authority, $483,371, and Radford, $1,511,322.


 Posted May 10, 2013




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