2014 Cost-of-Service Rates and Fees Study Pinery Water and Wastewater District - November Appendix A Tap Fee Calculations

Transcription

1 Appendix A Tap Fee Calculations MWH Appendix A

2 Table 1 Pinery Water & Wastewater District Water System Tap Fee Analysis Asset Value Summary and Buy-In Tap Fee Calculation Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Asset Class 135-Water System $47,437,475 $33,268,385 $75,168,732 $47,988, Bingham Lake & Dam 622, ,211 1,070, , Sewer System Water Rights 11,368,523 11,368,523 18,448,503 18,448, WastewaterTreatPlant GIS program 133,107 69, ,431 81, Equip & Tools 14,552 7,003 18,551 7, Building-New Office 647, , , , Vehicles 510, , , , Furn./Office Equip. 146,651 31, ,957 32, Buildings 109,023 12, ,142 25, Building Maint 609, , , , Land & Right of Way 679, , , ,976 Dedicated Restricted Water Reserves (Jan 1, 2014) 3,285,845 3,285,845 3,285,845 3,285,845 Total Asset Value $65,564,276 $49,710,574 $102,042,437 $72,288,663 Less Developer Contributed Assets 15,285,662 12,493,234 21,082,443 17,103,594 Outstanding Principal on Water Related Debt 3,182,385 3,182,385 3,182,385 3,182,385 Net Asset Value $47,096,229 $34,034,955 $77,777,609 $52,002,684 Existing System Capacity (GPD) 9,500,000 9,500,000 9,500,000 9,500,000 Less Capacity Reserve for I&I (GPD) System Capacity for Customers (GPD) 9,500,000 9,500,000 9,500,000 9,500,000 GPD Required to Serve One SFE 1,156 1,156 1,156 1,156 Existing Capacity (SFEs) 8,215 8,215 8,215 8,215 Buy-In Portion of Tap Fee per SFE $5,733 $4,143 $9,468 $6,330 Existing Tap Fee (34% of existing fee) $8,336 $8,336 $8,336 $8,336 Increase / (Decrease) -$2,603 -$4,193 $1,131 -$2,006 MWH Appendix A - 1

3 Table 2 Pinery Water & Wastewater District Water System Tap Fee Analysis Additional Infrastructure Costs and Incremental Tap Fee Calculation Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Estimated Additional Storage for District (GPD) 5,000,000 5,000,000 5,000,000 5,000,000 GPD Required to Serve One SFE 1,900 1,900 1,900 1,900 Additional Capacity Provided (SFE) 2,632 2,632 2,632 2,632 Additional Capital Costs to Provide Capacity $9,350,000 $9,350,000 $9,350,000 $9,350,000 Storage Portion of Tap Fee per SFE $3,553 $3,553 $3,553 $3,553 Estimated Additional Flow to District (GPD) 1,130,000 1,130,000 1,130,000 1,130,000 GPD Required to Serve One SFE 1,156 1,156 1,156 1,156 Additional Capacity Provided (SFE) Additional Capital Costs to Provide Capacity $2,592,500 $2,592,500 $2,592,500 $2,592,500 PS and Pipeline Portion of Tap Fee per SFE $2,653 $2,653 $2,653 $2,653 Incremental Portion of Water System Fee per SFE $6,206 $6,206 $6,206 $6,206 Carrying Costs $3,130 $3,130 $3,130 $3,130 Incremental Portion of Tap Fee per SFE $9,336 $9,336 $9,336 $9,336 Existing Tap Fee (34% of existing fee) $8,336 $8,336 $8,336 $8,336 Increase / (Decrease) $1,000 $1,000 $1,000 $1,000 MWH Appendix A - 2

4 Table 3 Pinery Water & Wastewater District Water System Tap Fee Analysis Combined System Development Fee Calculation Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Buy-In Assets of Tap Fee $47,096,229 $34,034,955 $77,777,609 $52,002,684 Incremental Assets of Tap Fee $11,942,500 $11,942,500 $11,942,500 $11,942,500 Total Capacity of the System (SFE) 11,824 11,824 11,824 11,824 Total Proposed Water System Tap Fee per SFE $5,000 $3,900 $7,600 $5,450 Existing Tap Fee (34% of existing fee) $8,336 $8,336 $8,336 $8,336 Increase /(Decrease) -$3,336 -$4,436 -$736 -$2,886 MWH Appendix A - 3

5 Table 4 Pinery Water & Wastewater District Water System Tap Fee Analysis Carrying Cost Calculation Cost of Capital 10.5% NPV of Carrying Costs* $0 Unadjusted Tap Fee $ 6,206 Estimated Money Mkt. Rate 0.5% Carrying Cost/Unit $ 7,845 Inflation Estimate 2.5% * NPV is a goalseek using Proposed Fee as input variable Total Carrying Cost $ 8,237,207 Proposed W tap-start $ 14,051 Program Costs Fee Income Interest Earnings NPV Calculation YEAR Total Cash Inflated % of Cash Total Proposed Net New SFE Estimated Accumulated Accumulated Accumulated Estimated Total Net Cash Present Capital Out Cash Out New SFE Cash Out W Tap Tap Income by Year Tap Income Expenditures Income Balance Int.Earn.(Paid) Cash In Flow Value input = d x inflation calculated =e x f calculated =h - i = chng in ( c ) =h x i =sum ( e ) =sum ( j ) =l- k + n (trail) = int% x m = n + j = o - g = PV of ( p ) 2014 ($1,025,000) (1,037,733) 100.0% ($1,037,733) 14,226 $14, $569,023 ($1,037,733) $569,023 ($468,710) ($49,215) $519,809 ($517,925) ($492,703) 2015 ($3,580,000) (3,715,086) 100.0% (3,715,086) 14,581 $14, ,249 (4,752,819) 1,152,272 (3,649,762) (383,225) 200,024 (3,515,062) (3,026,144) 2016 ($712,500) (757,870) 100.0% (757,870) 14,946 $14, ,830 (5,510,689) 1,750,102 (4,143,812) (435,100) 162,730 (595,140) (463,675) 2017 ($25,000) (27,257) 100.0% (27,257) 15,319 $15, ,776 (5,537,945) 2,362,878 (3,610,168) (379,068) 233, , , $ % 0 15,702 $15, ,095 (5,537,945) 2,990,973 (2,926,040) (307,234) 320, , , $ % 0 16,095 $16, ,798 (5,537,945) 3,634,771 (2,210,409) (232,093) 411, , , ($1,125,000) (1,320,863) 100.0% (1,320,863) 16,497 $16, ,893 (6,858,808) 4,294,663 (2,796,238) (293,605) 366,288 (954,575) (498,833) 2021 ($1,125,000) (1,353,884) 100.0% (1,353,884) 16,910 $16, ,390 (8,212,692) 4,971,053 (3,535,244) (371,201) 305,189 (1,048,695) (495,943) 2022 ($1,500,000) (1,850,308) 100.0% (1,850,308) 17,332 $17, ,312 (10,063,001) 5,404,365 (5,029,836) (528,133) (94,821) (1,945,129) (832,471) 2023 ($2,700,000) (3,413,819) 100.0% (3,413,819) 17,766 $17, ,145 (13,476,820) 5,848,510 (8,156,442) (856,426) (412,281) (3,826,100) (1,481,886) 2024 ($150,000) (194,398) 100.0% (194,398) 18,210 $18, ,249 (13,671,218) 6,303,759 (8,223,885) (863,508) (408,259) (602,657) (211,235) % 0 18,665 $18, ,219 (13,671,218) 6,773,978 (7,760,747) (814,878) (344,659) (344,659) (109,326) % 0 19,132 $19, ,975 (13,671,218) 7,255,953 (7,230,143) (759,165) (277,190) (277,190) (79,570) % 0 19,610 $19, ,024 (13,671,218) 7,749,977 (6,680,405) (701,443) (207,418) (207,418) (53,884) % 0 20,100 $20, ,375 (13,671,218) 8,256,352 (6,116,308) (642,212) (135,838) (135,838) (31,935) % 0 20,603 $20, ,034 (13,671,218) 8,775,386 (5,538,044) (581,495) (62,460) (62,460) (13,289) % 0 21,118 $21, ,010 (13,671,218) 9,307,396 (4,945,316) (519,258) 12,752 12,752 2, % 0 21,646 $21, ,310 (13,671,218) 9,852,707 (4,337,769) (455,466) 89,845 89,845 15, % 0 22,187 $22, ,943 (13,671,218) 10,411,650 (3,715,034) (390,079) 168, ,864 26, % 0 22,742 $22, ,917 (13,671,218) 10,984,566 (3,076,730) (323,057) 249, ,860 35, % 0 23,310 $23, ,240 (13,671,218) 11,571,806 (2,422,468) (254,359) 332, ,880 42, % 0 23,893 $23, ,921 (13,671,218) 12,173,726 (1,751,850) (183,944) 417, ,976 48, % 0 24,490 $24, ,969 (13,671,218) 12,790,695 (1,064,467) (111,769) 505, ,199 53, % 0 25,103 $25, ,393 (13,671,218) 13,423,088 (359,899) (37,789) 594, ,603 56, % 0 25,730 $25, ,203 (13,671,218) 14,071, ,283 1, , ,014 56, % 0 26,373 $26, ,408 (13,671,218) 14,735,698 1,066,292 5, , ,739 52, % 0 27,033 $27, ,018 (13,671,218) 15,416,715 1,750,829 8, , ,772 48, % 0 27,709 $27, ,043 (13,671,218) 16,114,759 2,452,295 12, , ,305 45, % 0 28,401 $28, ,494 (13,671,218) 16,830,253 3,171,297 15, , ,351 42, % 0 29,111 $29, ,382 (13,671,218) 17,563,635 3,908,274 19, , , , % 0 29,839 $29, ,716 (13,671,218) 18,315,351 4,663,675 23, , , , % 0 30,585 $30, ,509 (13,671,218) 19,085,860 5,437,961 27, , , , % 0 31,350 $31, ,772 (13,671,218) 19,875,632 6,231,604 31, , , , % 0 32,133 $32, ,516 (13,671,218) 20,685,148 7,045,089 35, , , , % 0 32,937 $32, ,754 (13,671,218) 21,514,902 7,878,910 39, , , , % 0 33,760 $33, ,498 (13,671,218) 22,365,400 8,733,577 43, , , , % 0 34,604 $34, ,760 (13,671,218) 23,237,161 9,609,611 48, , , ,808 TOTALS ($11,942,500) ($13,671,218) ($13,671,218) 1,050 $23,237,161 ($596,220) $0 1,050 MWH Appendix A - 4

6 Table 5 Pinery Water & Wastewater District Water Supply Tap Fee Analysis Additional Infrastructure Costs and Incremental Tap Fee Calculation Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Estimated Additional Capacity for District (GPD) 705, , , ,267 GPD Required to Serve One SFE Additional Capacity Provided (SFE) 1,708 1,708 1,708 1,708 Additional Capital Costs to Provide Capacity $28,485,625 $28,485,625 $28,485,625 $28,485,625 Incremental Portion of Tap Fee per SFE $16,681 $16,681 $16,681 $16,681 Carrying Costs $8,085 $8,085 $8,085 $8,085 Incremental Portion of Water Supply Tap Fee per SFE $24,766 $24,766 $24,766 $24,766 Existing Tap Fee (66% of Existing Fee) $16,182 $16,182 $16,182 $16,182 Increase / (Decrease) $8,585 $8,585 $8,585 $8,585 MWH Appendix A - 5

7 Table 6 Pinery Water & Wastewater District Water System Tap Fee Analysis Carrying Cost Calculation Cost of Capital 10.5% NPV of Carrying Costs* $0 Unadjusted Tap Fee $ 16,681 Estimated Money Mkt. Rate 0.5% Carrying Cost/Unit $ 13,150 61% Inflation Estimate 2.5% * NPV is a goalseek using Proposed Fee as input variable Total Carrying Cost $ 13,807,164 Proposed WR tap-start $ 29,831 Program Costs Fee Income Interest Earnings NPV Calculation YEAR Total Cash Inflated % of Cash Total Proposed Net New SFE Estimated Accumulated Accumulated Accumulated Estimated Total Net Cash Present Capital Out Cash Out New SFE Cash Out WR Tap Tap Fee by Year Tap Income Expenditures Income Balance Int.Earn.(Paid) Cash In Flow Value input = d x inflation calculated =e x f calculated =h - i = chng in ( c ) =h x i =sum ( e ) =sum ( j ) =l- k + n (trail) = int% x m = n + j = o - g = PV of ( p ) 2014 ($2,707,275) (2,740,907) 100.0% ($2,740,907) 30,201 $30, $1,208,051 ($2,740,907) $1,208,051 ($1,532,856) ($160,950) $1,047,101 ($1,693,806) ($1,611,323) 2015 ($2,672,931) (2,773,790) 100.0% (2,773,790) 30,956 $30, ,238,252 (5,514,697) 2,446,304 (3,229,343) (339,081) 899,171 (1,874,618) (1,613,873) 2016 ($554,560) (589,873) 100.0% (589,873) 31,730 $31, ,269,209 (6,104,570) 3,715,512 (2,728,138) (286,455) 982, , , ($159,560) (173,963) 100.0% (173,963) 32,523 $32, ,300,939 (6,278,533) 5,016,451 (1,548,536) (162,596) 1,138, , , ($942,560) (1,053,335) 100.0% (1,053,335) 33,337 $33, ,333,462 (7,331,868) 6,349,914 (1,144,550) (120,178) 1,213, , , ($2,015,742) (2,308,959) 100.0% (2,308,959) 34,170 $34, ,366,799 (9,640,827) 7,716,713 (2,044,292) (214,651) 1,152,148 (1,156,811) (667,990) 2020 ($3,778,222) (4,436,011) 100.0% (4,436,011) 35,024 $35, ,400,969 (14,076,838) 9,117,682 (5,173,807) (543,250) 857,719 (3,578,292) (1,869,911) 2021 ($3,960,295) (4,766,028) 100.0% (4,766,028) 35,900 $35, ,435,993 (18,842,866) 10,553,675 (8,832,441) (927,406) 508,587 (4,257,441) (2,013,407) 2022 ($1,806,707) (2,228,644) 100.0% (2,228,644) 36,797 $36, ,933 (21,071,510) 11,473,608 (10,525,308) (1,105,157) (185,224) (2,413,868) (1,033,081) 2023 ($4,046,493) (5,116,294) 100.0% (5,116,294) 37,717 $37, ,931 (26,187,804) 12,416,539 (14,876,422) (1,562,024) (619,093) (5,735,387) (2,221,371) 2024 ($5,841,278) (7,570,220) 100.0% (7,570,220) 38,660 $38, ,505 (33,758,024) 13,383,044 (21,937,004) (2,303,385) (1,336,881) (8,907,100) (3,121,997) % 0 39,627 $39, ,288 (33,758,024) 14,381,332 (21,680,077) (2,276,408) (1,278,120) (1,278,120) (405,420) % 0 40,617 $40, ,023,245 (33,758,024) 15,404,577 (20,629,855) (2,166,135) (1,142,890) (1,142,890) (328,077) % 0 41,633 $41, ,048,826 (33,758,024) 16,453,403 (19,470,755) (2,044,429) (995,603) (995,603) (258,640) % 0 42,674 $42, ,075,047 (33,758,024) 17,528,450 (18,274,003) (1,918,770) (843,723) (843,723) (198,357) % 0 43,740 $43, ,101,923 (33,758,024) 18,630,373 (17,046,421) (1,789,874) (687,951) (687,951) (146,367) % 0 44,834 $44, ,129,471 (33,758,024) 19,759,844 (15,788,054) (1,657,746) (528,275) (528,275) (101,714) % 0 45,955 $45, ,157,708 (33,758,024) 20,917,552 (14,498,217) (1,522,313) (364,605) (364,605) (63,531) % 0 47,104 $47, ,186,651 (33,758,024) 22,104,203 (13,176,134) (1,383,494) (196,843) (196,843) (31,040) % 0 48,281 $48, ,216,317 (33,758,024) 23,320,520 (11,820,998) (1,241,205) (24,888) (24,888) (3,552) % 0 49,488 $49, ,246,725 (33,758,024) 24,567,244 (10,431,984) (1,095,358) 151, ,366 19, % 0 50,726 $50, ,277,893 (33,758,024) 25,845,137 (9,008,245) (945,866) 332, ,027 38, % 0 51,994 $51, ,309,840 (33,758,024) 27,154,977 (7,548,912) (792,636) 517, ,204 54, % 0 53,293 $53, ,342,586 (33,758,024) 28,497,564 (6,053,096) (635,575) 707, ,011 67, % 0 54,626 $54, ,376,151 (33,758,024) 29,873,714 (4,519,884) (474,588) 901, ,563 78, % 0 55,991 $55, ,410,555 (33,758,024) 31,284,269 (2,948,342) (309,576) 1,100,979 1,100,979 86, % 0 57,391 $57, ,445,819 (33,758,024) 32,730,088 (1,337,512) (140,439) 1,305,380 1,305,380 92, % 0 58,826 $58, ,481,964 (33,758,024) 34,212, ,589 1,568 1,483,532 1,483,532 95, % 0 60,297 $60, ,519,013 (33,758,024) 35,731,065 1,974,609 9,873 1,528,886 1,528,886 88, % 0 61,804 $61, ,556,988 (33,758,024) 37,288,053 3,539,903 17,700 1,574,688 1,574,688 1,574, % 0 63,349 $63, ,595,913 (33,758,024) 38,883,966 5,143,642 25,718 1,621,631 1,621,631 1,621, % 0 64,933 $64, ,635,811 (33,758,024) 40,519,777 6,787,472 33,937 1,669,748 1,669,748 1,669, % 0 66,556 $66, ,676,706 (33,758,024) 42,196,483 8,472,397 42,362 1,719,068 1,719,068 1,719, % 0 68,220 $68, ,718,624 (33,758,024) 43,915,107 10,199,446 50,997 1,769,621 1,769,621 1,769, % 0 69,926 $69, ,761,589 (33,758,024) 45,676,697 11,969,670 59,848 1,821,438 1,821,438 1,821, % 0 71,674 $71, ,805,629 (33,758,024) 47,482,326 13,784,151 68,921 1,874,550 1,874,550 1,874, % 0 73,466 $73, ,850,770 (33,758,024) 49,333,096 15,643,993 78,220 1,928,990 1,928,990 1,928,990 TOTALS ($28,485,625) ($33,758,024) ($33,758,024) 1,050 ($12,155,328) $0 1,050 MWH Appendix A - 6

8 Table 7 Pinery Water & Wastewater District Combined Proposed Water Tap Fee Combined Water System and Water Supply Fee Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Carrying Cost Methodology Replacement Cost Replacement Cost Less Depreciation Combined Water System Tap Fee $5,000 $3,900 $7,600 $5,450 $7,900 $5,700 Incremental Water Supply Tap Fee $16,681 $16,681 $16,681 $16,681 $21,653 $21,653 Total Proposed Water Tap Fee per SFE $21,681 $20,581 $24,281 $22,131 $29,553 $27,353 Existing Water Tap Fee $24,518 $24,518 $24,518 $24,518 $24,518 $24,518 Increase /(Decrease) -$2,837 -$3,937 -$237 -$2,387 $5,035 $2,835-12% -16% -1% -10% 21% 12% MWH Appendix A - 7

9 Table 8 Pinery Water & Wastewater District Wastewater System Tap Fee Analysis Asset Value Summary and Buy-In Tap Fee Calculation Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Asset Class 135-Water System $0 $0 $0 $0 150-Bingham Lake & Dam Sewer System 25,906,702 19,993,493 39,216,154 28,237, Water Rights WastewaterTreatPlant 21,125,910 14,385,760 31,602,851 19,571, GIS program 44,369 23,328 52,810 27, Equip & Tools 24,839 2,334 37,307 2, Building-New Office 215, , , , Vehicles 278,918 38, ,850 42, Furn./Office Equip. 48,884 10,641 59,986 10, Buildings 20,984 4,273 36,833 8, Building Maint 203,011 33, ,569 53, Land & Right of Way 67,849 67, , ,252 Restricted Wastewater Cash Reserves 1,888,777 1,888,777 1,888,777 1,888,777 Total Asset Value $49,826,128 $36,579,792 $74,084,816 $50,186,210 Less Developer Contributed Assets 17,583,756 14,188,249 24,756,706 19,825,453 Developer Contributions for WWTP Expansion 5,000,000 5,000,000 5,000,000 5,000,000 Outstanding Principal on Sewer Related Debt 6,460,000 6,460,000 6,460,000 6,460,000 Net Asset Value $20,782,372 $10,931,543 $37,868,109 $18,900,757 Existing System Capacity (GPD) 2,000,000 2,000,000 2,000,000 2,000,000 Less Capacity Reserve for IGAs (GPD) 600, , , ,000 System Capacity for Customers (GPD) 1,400,000 1,400,000 1,400,000 1,400,000 GPD Required to Serve One SFE Existing Capacity (SFEs) 5,833 5,833 5,833 5,833 Buy-In Portion of Wastewater Tap Fee per SFE $3,563 $1,874 $6,492 $3,240 Existing Tap Fee $8,589 $8,589 $8,589 $8,589 Increase / (Decrease) -$5,026 -$6,715 -$2,097 -$5,349 MWH Appendix A - 8

10 Table 9 Pinery Water & Wastewater District Wastewater System Tap Fee Analysis Additional Infrastructure Costs and Incremental Tap Fee Calculation Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Estimated Additional Capacity (GPD) 1,000,000 1,000,000 1,000,000 1,000,000 GPD Required to Serve One SFE Additional Capacity Provided (SFE) 4,167 4,167 4,167 4,167 Additional Capital Costs to Provide Capacity $6,000,000 $6,000,000 $6,000,000 $6,000,000 Incremental Portion of Wastewater Fee per SFE $1,440 $1,440 $1,440 $1,440 Carrying Costs $1,008 $1,008 $1,008 $1,008 Incremental Portion of Wastewater Tap Fee per SFE $2,448 $2,448 $2,448 $2,448 Existing Tap Fee $8,589 $8,589 $8,589 $8,589 Increase / (Decrease) -$6,141 -$6,141 -$6,141 -$6,141 MWH Appendix A - 9

11 Table 10 Pinery Water & Wastewater District Wastewater System Tap Fee Analysis Carrying Cost Calculation Cost of Capital 10.5% NPV of Carrying Costs* ($0) Unadjusted Tap Fee $ 1,440 Estimated Money Mkt. Rate 0.5% Carrying Cost/Unit $ 3, % Inflation Estimate 2.5% * NPV is a goalseek using Proposed Fee as input variable Total Carrying Cost $ 3,493,618 Proposed WW tap-start $ 5,439 Program Costs Fee Income Interest Earnings NPV Calculation YEAR Total Cash Inflated % of Cash Total Proposed Net New SFE Estimated Accumulated Accumulated Accumulated Estimated Total Net Cash Present Capital Out Cash Out New SFE Cash Out WW Tap Tap Fee by Year Tap Income Expenditures Income Balance Int.Earn.(Paid) Cash In Flow Value input = d x inflation calculated =e x f calculated =h - i = chng in ( c ) =h x i =sum ( e ) =sum ( j ) =l- k + n (trail) = int% x m = n + j = o - g = PV of ( p ) 2014 $ % $0 5,506 $5, $220,257 $0 $220,257 $220,257 $1,101 $221,358 $221,358 $210, $ % 0 5,644 $5, , , ,122 2, , , , $ % 0 5,785 $5, , , ,664 3, , , , $ % 0 5,930 $5, , , ,019 4, , , , $ % 0 6,078 $6, , ,157,743 1,162,333 5, , , , $ % 0 6,230 $6, , ,406,944 1,412,755 7, , , , $ % 0 6,386 $6, , ,662,374 1,669,438 8, , , , $ % 0 6,545 $6, , ,924,191 1,932,538 9, , , , $ % 0 6,709 $6, , ,091,917 2,101,579 10, , ,234 76, $ % 0 6,877 $6, , ,263,836 2,274,344 11, , ,291 70, ($6,000,000) (7,775,921) 100.0% (7,775,921) 7,049 $7, ,217 (7,775,921) 2,440,053 (5,324,496) (559,072) (382,855) (8,158,776) (2,859,704) 2025 $ % 0 7,225 $7, ,012 (7,775,921) 2,622,065 (5,712,928) (599,857) (417,845) (417,845) (132,541) 2026 $ % 0 7,406 $7, ,562 (7,775,921) 2,808,628 (5,567,151) (584,551) (397,988) (397,988) (114,246) 2027 $ % 0 7,591 $7, ,226 (7,775,921) 2,999,854 (5,360,618) (562,865) (371,638) (371,638) (96,545) 2028 $ % 0 7,780 $7, ,007 (7,775,921) 3,195,861 (5,142,925) (540,007) (344,000) (344,000) (80,873) 2029 $ % 0 7,975 $7, ,907 (7,775,921) 3,396,768 (4,919,160) (516,512) (315,604) (315,604) (67,147) 2030 $ % 0 8,174 $8, ,930 (7,775,921) 3,602,698 (4,689,734) (492,422) (286,492) (286,492) (55,161) 2031 $ % 0 8,379 $8, ,078 (7,775,921) 3,813,777 (4,454,566) (467,729) (256,651) (256,651) (44,720) 2032 $ % 0 8,588 $8, ,355 (7,775,921) 4,030,132 (4,213,519) (442,419) (226,064) (226,064) (35,648) 2033 $ % 0 8,803 $8, ,764 (7,775,921) 4,251,896 (3,966,445) (416,477) (194,713) (194,713) (27,786) 2034 $ % 0 9,023 $9, ,308 (7,775,921) 4,479,204 (3,713,194) (389,885) (162,577) (162,577) (20,996) 2035 $ % 0 9,248 $9, ,991 (7,775,921) 4,712,195 (3,453,612) (362,629) (129,638) (129,638) (15,151) 2036 $ % 0 9,480 $9, ,816 (7,775,921) 4,951,010 (3,187,540) (334,692) (95,876) (95,876) (10,140) 2037 $ % 0 9,717 $9, ,786 (7,775,921) 5,195,796 (2,914,816) (306,056) (61,270) (61,270) (5,865) 2038 $ % 0 9,960 $9, ,906 (7,775,921) 5,446,702 (2,635,275) (276,704) (25,798) (25,798) (2,235) 2039 $ % 0 10,209 $10, ,178 (7,775,921) 5,703,880 (2,348,744) (246,618) 10,560 10, $ % 0 10,464 $10, ,608 (7,775,921) 5,967,488 (2,055,051) (215,780) 47,827 47,827 3, $ % 0 10,725 $10, ,198 (7,775,921) 6,237,686 (1,754,015) (184,172) 86,026 86,026 5, $ % 0 10,994 $10, ,953 (7,775,921) 6,514,639 (1,445,454) (151,773) 125, ,180 7, $ % 0 11,268 $11, ,877 (7,775,921) 6,798,516 (1,129,178) (118,564) 165, ,313 8, $ % 0 11,550 $11, ,974 (7,775,921) 7,089,489 (804,995) (84,525) 206, , , $ % 0 11,839 $11, ,248 (7,775,921) 7,387,737 (472,708) (49,634) 248, , , $ % 0 12,135 $12, ,704 (7,775,921) 7,693,441 (132,114) (13,872) 291, , , $ % 0 12,438 $12, ,347 (7,775,921) 8,006, ,995 1, , , , $ % 0 12,749 $12, ,180 (7,775,921) 8,327, ,133 2, , , , $ % 0 13,068 $13, ,210 (7,775,921) 8,657, ,023 4, , , , $ % 0 13,395 $13, ,440 (7,775,921) 8,994,619 1,223,118 6, , , ,556 TOTALS ($6,000,000) ($7,775,921) ($7,775,921) 1,050 ($6,619,640) ($0) 1,050 MWH Appendix A - 10

12 Table 11 Pinery Water & Wastewater District Wastewater System Tap Fee Analysis Combined System Development Fee Calculation Description Original Cost Net Book Value Replacement Cost Replacement Cost Less Depreciation Carrying Cost Methodology Replacement Cost Replacement Cost Less Depreciation Buy-In Assets of Tap Fee $20,782,372 $10,931,543 $37,868,109 $18,900,757 $37,868,109 $18,900,757 Incremental Assets of Tap Fee $6,000,000 $6,000,000 $6,000,000 $6,000,000 $7,058,098 $7,058,098 Total Capacity of the System (SFE) 10,000 10,000 10,000 10,000 10,000 10,000 Total Proposed Wastewater Tap Fee per SFE $2,700 $1,700 $4,400 $2,500 $4,500 $2,600 Existing Tap Fee $8,589 $8,589 $8,589 $8,589 $8,589 $8,589 Increase /(Decrease) -$5,889 -$6,889 -$4,189 -$6,089 -$4,089 -$5,989 MWH Appendix A - 11

13 Appendix B Financial Planning MWH Appendix B

14 Water Financial Plan MWH Appendix B - 1

15 Table 1 Pinery Water and Wastewater District Water Financial Plan: Model Summary Results & Balance Budget Projected Project Description Ending Fund Balance $5,075,618 $2,456,499 $3,345,216 $2,958,696 $3,694,633 $3,965,401 $5,842,851 $2,555,012 $7,508,438 $2,722,120 $7,703,105 Minimum Fund Balance - Target 2,284,899 2,293,245 2,318,427 2,353,991 2,391,669 2,434,542 2,488,345 2,555,012 2,635,230 2,722,120 2,812,759 Fund Variance 2,790, ,254 1,026, ,705 1,302,964 1,530,859 3,354, ,873, ,890,346 Debt Service Coverage - ALL DEBT Management DSC Goal Fixed Charge Coverage Ratio Minimum FC Ratio Target Adjustments/Actions: Non-Debt Funding/ Grants, etc Revenue Bond Proceeds 4,652,904 9,657,430 8,343,999 Projected Net Revenues (after debt svc.) $2,905,063 $2,449,217 $2,237,502 $892,294 $1,655,843 $1,684,036 $1,386,919 $1,187,935 $581,378 $661,563 $836,656 Proposed Adjustments to Rate Revenues 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 6.5% 6.5% 6.5% 6.5% Scenario Adjustments: Increase/Decrease O&M Totals reset all 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Increase/Decrease Capital Proj. Totals 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Increase/Decrease Revenue Totals 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Increase/Decrease Dev. Fee Totals 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% MWH Appendix B - 2

16 Table 2 Pinery Water and Wastewater District Water Financial Plan: User Charge Revenue Projections Actual Actual Budget Projected Projected Description Month in Which Increases Become Effective Prorated Revenue Realization from Increases 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Estimate of Retail Rate Revenues Expected Annual Demand Before Changes to Price 2,132,468 1,774,001 1,774,001 1,780,127 1,793,397 1,807,466 1,831,964 1,856,642 1,881,503 1,906,546 1,930,815 1,955,249 1,979,933 Avg. Price/ Unit Before Adjustments $2.40 $2.40 $2.50 $2.61 $2.72 $2.84 $2.97 $3.10 $3.32 $3.56 $3.81 Proposed Rate Adjustments 0.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 6.54% 6.50% 6.50% 6.50% Expected Avg. Price After Adjustments $2.13 $2.25 $2.40 $2.50 $2.61 $2.72 $2.84 $2.97 $3.10 $3.32 $3.56 $3.81 $4.08 Change in Demand due to Elasticity - 7,121 7,891 7,953 8,061 8,169 8,279 13,716 13,805 13,980 14,157 Expected Annual Demand After Price Adjustments 2,132,468 1,774,001 1,774,001 1,787,247 1,801,288 1,815,418 1,840,024 1,864,811 1,889,781 1,920,261 1,944,620 1,969,229 1,994,090 Demand Affected by Price Change 1,774,001 1,787,247 1,801,288 1,815,418 1,840,024 1,864,811 1,889,781 1,920,261 1,944,620 1,969,229 1,994,090 Demand Unaffected by Price Change 2,132,468 1,774, Total Projected Demand 2,132,468 1,774,001 1,774,001 1,787,247 1,801,288 1,815,418 1,840,024 1,864,811 1,889,781 1,920,261 1,944,620 1,969,229 1,994,090 Other Adjustments to Demand (Inputs) Total Demand 2,132,468 1,774,001 1,774,001 1,787,247 1,801,288 1,815,418 1,840,024 1,864,811 1,889,781 1,920,261 1,944,620 1,969,229 1,994,090 % Change -17% 0% 1% 1% 1% 1% 1% 1% 2% 1% 1% 1% Estimate of Retail Rate Revenues Expected Revenues From Existing Rates & Demand $4,534,655 $3,990,456 $4,260,000 $4,274,710 $4,289,420 $4,304,130 $4,343,356 $4,382,583 $4,421,809 $4,461,036 $4,485,552 $4,510,069 $4,534,586 Expected Revenues from Sum of Prior Year Increases n/a 0 173, , , ,318 1,068,610 1,336,517 1,786,778 2,276,871 2,812,846 Expected Revenues from Proposed Rates & Demand 0 171, , , , , , , , , ,497 Other Adjustments to Revenues 453,285 31, Total Retail Rate Revenues $4,987,940 $4,021,889 $4,260,000 $4,446,382 $4,660,377 $4,886,263 $5,153,757 $5,437,073 $5,737,112 $6,225,433 $6,733,970 $7,287,846 $7,890,929 Percent Change from Previous Year - Effective Rate Change n/a -19.4% 5.9% 4.4% 4.8% 4.8% 5.5% 5.5% 5.5% 8.5% 8.2% 8.2% 8.3% Estimate of Wholesale Rate Revenues Expected Revenues at Present Rates $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Adjustments for Increases n/a Other Adjustments to Revenues Total Wholesale Revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Grand Total User Charge Revenue $4,987,940 $4,021,889 $4,260,000 $4,446,382 $4,660,377 $4,886,263 $5,153,757 $5,437,073 $5,737,112 $6,225,433 $6,733,970 $7,287,846 $7,890,929 MWH Appendix B - 3

17 Table 3 Pinery Water and Wastewater District Water Financial Plan: Projection of Miscellaneous Revenues Description Notes - Acct # Actual Actual Budget Projected Projected Ground water protection fees 22,568 22,180 23,000 23,345 23,695 24,051 24,411 24,778 25,149 25,526 25,909 26,298 26,692 IREA rebates Other 13,405 6,963 5,000 5,075 5,151 5,228 5,307 5,386 5,467 5,549 5,632 5,717 5,803 Water Supply Project Fee 681, , , , , , , , , , , , ,184 Total $717,910 $686,610 $729,000 $731,841 $734,687 $737,541 $744,435 $751,335 $758,243 $765,157 $769,657 $774,165 $778,679 MWH Appendix B - 4

18 Table 4 Pinery Water and Wastewater District Water Financial Plan: Summary of Operating Revenues Description Actual Estimated Budget Projected Projected Retail Rates Revenue Before Adjustments $4,534,655 $3,990,456 $4,260,000 $4,274,710 $4,289,420 $4,304,130 $4,343,356 $4,382,583 $4,421,809 $4,461,036 $4,485,552 $4,510,069 $4,534,586 Total Adjustments to Rates over Previous Year 453,285 31, , , , ,401 1,054,490 1,315,302 1,764,397 2,248,418 2,777,777 3,356,343 Total Retail Rate Revenues $4,987,940 $4,021,889 $4,260,000 $4,446,382 $4,660,377 $4,886,263 $5,153,757 $5,437,073 $5,737,112 $6,225,433 $6,733,970 $7,287,846 $7,890,929 Wholesale and Contracts Rates Revenue Before Adjustments $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Adjustments to Rates over Previous Year Total Wholesale/Contract Revenues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Misc. Revenues $717,910 $686,610 $729,000 $731,841 $734,687 $737,541 $744,435 $751,335 $758,243 $765,157 $769,657 $774,165 $778,679 Total Revenues Before Scenario Adjustments $5,705,850 $4,708,499 $4,989,000 $5,178,223 $5,395,064 $5,623,804 $5,898,192 $6,188,408 $6,495,355 $6,990,590 $7,503,627 $8,062,011 $8,669,608 Scenario Adjustments Total Revenues - All Sources, w/adjustmets $5,705,850 $4,708,499 $4,989,000 $5,178,223 $5,395,064 $5,623,804 $5,898,192 $6,188,408 $6,495,355 $6,990,590 $7,503,627 $8,062,011 $8,669,608 % Change from Previous Year n/a -17% 6% 4% 4% 4% 5% 5% 5% 8% 7% 7% 8% MWH Appendix B - 5

19 Table 5 Pinery Water and Wastewater District Water Financial Plan: Projected Operating and Maintenance Expenses - Department-Wide Actual Actual Budget Projected Projected Description Notes - Acct # % Fixed General Inflation Factor n/a 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% Demand Growth 0.0% 0.7% 0.8% 0.8% 1.4% 1.3% 1.3% 1.6% 1.3% 1.3% 1.3% WATER OPERATING EXPENSES Auto expenses/vehicle maintenance 90% 44,266 43,902 50,000 51,142 52,311 53,505 54,758 56,040 57,351 58,692 60,045 61,429 62,844 Communications 90% 8,797 12,866 11,000 11,251 11,508 11,771 12,047 12,329 12,617 12,912 13,210 13,514 13,826 Employee benefits 90% 133, , , , , , , , , , , , ,377 Laboratory testing and chemicals 90% 130, , , , , , , , , , , , ,817 Legal 90% 103, , , , , , , , , , , , ,395 Outside services 90% 14,499 7,174 15,000 15,343 15,693 16,052 16,427 16,812 17,205 17,608 18,013 18,429 18,853 Payroll taxes 90% 36,717 40,362 38,924 39,813 40,723 41,653 42,628 43,626 44,646 45,691 46,744 47,821 48,923 Repairs, maintenance and supplies 90% 155, , , , , , , , , , , , ,945 Salaries and related costs 90% 513, , , , , , , , , , , , ,919 Small tools and safety items 90% 4,001 2,262 8,500 8,694 8,893 9,096 9,309 9,527 9,750 9,978 10,208 10,443 10,684 Utilities 90% 677, , , , , , , , , , , , ,515 Purchase of water from CCPWA/WISE 90% - 25,000 25,571 26,155 26,753 27,379 28,020 28,675 29,346 30,022 30,714 31,422 NONOPERATING EXPENSES Accounting and audit 90% 67,832 96,344 93,750 95,892 98, , , , , , , , ,833 Admin vehicle 90% ,020 1,043 1,068 1,093 1,118 1,144 1,171 1,198 1,225 Billing systems service 90% 5,147 8,418 13,500 13,808 14,124 14,446 14,785 15,131 15,485 15,847 16,212 16,586 16,968 Data processing 90% 22,073 36,406 30,000 30,685 31,386 32,103 32,855 33,624 34,410 35,215 36,027 36,857 37,706 Directors' fees 90% 4,125 5,850 6,000 6,137 6,277 6,421 6,571 6,725 6,882 7,043 7,205 7,371 7,541 Dues and seminars 90% 15,975 16,503 30,000 30,685 31,386 32,103 32,855 33,624 34,410 35,215 36,027 36,857 37,706 Employee benefits 90% 67,850 69,002 64,650 66,127 67,638 69,183 70,802 72,459 74,154 75,889 77,638 79,427 81,257 Insurance 90% 61,556 64,377 75,000 76,713 78,466 80,258 82,137 84,059 86,026 88,038 90,067 92,143 94,266 Legal 90% 165, , , , , , , , , , , , ,812 Miscellaneous 90% 4,378 5,516 5,250 5,370 5,493 5,618 5,750 5,884 6,022 6,163 6,305 6,450 6,599 Office expense 90% 14,036 11,857 15,000 15,343 15,693 16,052 16,427 16,812 17,205 17,608 18,013 18,429 18,853 Outside services 90% 1,725 2,009 37,500 38,357 39,233 40,129 41,069 42,030 43,013 44,019 45,034 46,071 47,133 Repairs and maintenance - Office 90% 8,127 16,772 18,750 19,178 19,616 20,065 20,534 21,015 21,507 22,009 22,517 23,036 23,567 Salaries and related costs 90% 244, , , , , , , , , , , , ,277 Payroll taxes 90% 17,306 17,580 18,885 19,316 19,758 20,209 20,682 21,166 21,661 22,168 22,679 23,202 23,736 Safety and training 90% 15,846 15,356 17,250 17,644 18,047 18,459 18,892 19,334 19,786 20,249 20,715 21,193 21,681 Security services 90% 14,099 25,111 16,500 16,877 17,262 17,657 18,070 18,493 18,926 19,368 19,815 20,271 20,739 Conservation 90% ,000 38,868 39,756 40,664 41,616 42,590 43,587 44,606 45,634 46,686 47,762 Customer communications 90% 26,041 31,795 33,750 34,521 35,310 36,116 36,962 37,827 38,712 39,617 40,530 41,464 42,420 Telephone and utilities 90% 7,090 7,049 7,500 7,671 7,847 8,026 8,214 8,406 8,603 8,804 9,007 9,214 9,427 CCPWA assessment 90% 108,592 34,148 91,000 93,079 95,205 97,380 99, , , , , , ,376 SMWSA 90% 4,913 4,928 5,000 5,114 5,231 5,351 5,476 5,604 5,735 5,869 6,004 6,143 6,284 CCPWA water purchase 90% - 10, WISE participation - operations 90% - 47, O&M Associated with CIP 90% CCPWA (assumes 20% Participation AF) 90% $ ,000 12,000 17,000 67,000 72,000 72,000 87,000 90,000 Pinery Local Water Supply Projects 90% $0 12,000 36,000 36,000 48,000 60,000 66,000 66,000 96,000 96, ,000 Pinery Water System Projects 90% $0 0 2,000 4,000 8,000 8,000 8,000 12,000 12,000 12,000 14,000 90% $ % Total Operating Expenses $2,699,717 $2,828,581 $3,179,047 $3,263,673 $3,363,954 $3,453,929 $3,549,573 $3,648,052 $3,787,410 $3,881,689 $3,997,703 $4,100,688 $4,245,689 % Change from Previous Year n/a 4.8% 12.4% 2.7% 3.1% 2.7% 2.8% 2.8% 3.8% 2.5% 3.0% 2.6% 3.5% MWH Appendix B - 6

20 Table 6 Pinery Water and Wastewater District Water Financial Plan: Projected Operating and Maintenance Expenses - Department-Wide Actual Estimated Budget Projected Description Notes - Acct # % Fixed General Inflation Factor n/a 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% Demand Growth 0.0% 0.7% 0.8% 0.8% 1.4% 1.3% 1.3% 1.6% 1.3% 1.3% 1.3% Subscription Fee (500 AF at $5.50 per kgal) 90% , , , ,622 1,014,413 1,042,812 1,071,975 1,101,922 WISE Authority Operations 90% 62,000 62,000 62,000 62,000 62,000 62,000 62,000 62,000 62,000 62,000 Operational Reserve 90% 45,000 90,000 90,000 90,000 92,838 95,758 98, , , ,281 WISE Core Infrastructure (per BV cost estimates) 90% 0 26,000 26,000 26,000 26,000 60,000 82,000 82,000 82,000 82,000 Ridgegate Line to Stroh Road (per Providence cost estimates 6/4/14) 90% , , , , , , , ,000 Stroh to Pump Station #1 Pipeline (negligable) 90% 0 2,000 3,000 3,000 3,000 5,000 5,000 5,000 5,000 5,000 Chloramines (requires additional chemical treatment) 90% 0 7,500 15,000 15,000 15,000 15,000 15,000 15,000 15,000 15, Total Operating Expenses $0 $0 $0 $107,000 $187,500 $551,028 $684,849 $829,746 $1,087,379 $1,446,174 $1,477,338 $1,509,341 $1,542,203 % Change from Previous Year 0.0% 0.0% 0.0% 0.0% 75.2% 193.9% 24.3% 21.2% 31.0% 33.0% 2.2% 2.2% 2.2% MWH Appendix B - 7

21 Table 7 Pinery Water and Wastewater District Water Financial Plan: Summary of Operating and Maintenance Expenses Actual Actual Budget Projected Projected Description Pinery Water O&M $2,699,717 $2,828,581 $3,179,047 $3,263,673 $3,363,954 $3,453,929 $3,549,573 $3,648,052 $3,787,410 $3,881,689 $3,997,703 $4,100,688 $4,245,689 WISE O&M , , , , ,746 1,087,379 1,446,174 1,477,338 1,509,341 1,542,203 Other O&M Adjustments (1,167.0) (17,334.5) Scenario-Specific Adjustments to O&M Total Operating and Maint. Expense w/ Adjustments $2,698,550 $2,811,247 $3,179,047 $3,370,673 $3,551,454 $4,004,957 $4,234,422 $4,477,798 $4,874,790 $5,327,864 $5,475,042 $5,610,029 $5,787,892 % Change from Previous Year 4% 13.1% 6.0% 5.4% 12.8% 5.7% 5.7% 8.9% 9.3% 3% 2% 3% MWH Appendix B - 8

22 Table 8 Pinery Water and Wastewater District Water Financial Plan: Capital Improvement Costs - Capital Costs Only (current dollars) Actual Actual Budget Projected Project Description Project Category Cost recovery payments General 107, , , , , , , , , , , , ,000 Water supply and treatment General 2,569,148 5,432,210 Capital salaries General 122, , , , , , , , , , , , ,084 GIS program General 9,350 5,704 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 Equipment and tools General - 4,805 Water/Sewer developer plan General - 1,258 Vehicles General 34,113 58,768 24,500 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 Furniture and office equipment General - 12,461 3,000 Computer and networking General 38,598 - Land and right of ways General - 220,809 Seal Coat of Parking Lot General 8,000 DIA Fee WISE 109,551 60,862 79,120 79,120 79,120 79,120 Western Pipeline Purchase WISE 2,203,000 Western Pipeline Modifications WISE 231,000 Turnouts from Western Pipeline WISE 387,000 Temporary Interconnect to Aurora Water WISE 30,000 Pump Station at Binney WPF WISE 740,000 Pipeline from BWPF to Western Pipeline at Smoky Hill Road/E470 WISE 826,000 South Delivery Line (Western Line to PWSD WTP) WISE 790,000 Blending Basin at Parker WTP WISE 340,000 Zone 2 Pump Station at Parker WTP WISE 510,000 Pipeline from Stroh Road to Pinery Pump Station #1 WISE 100,000 1,465,000 Chloramines Conversion WISE 750, ,000 Alluvial Wells - 5 Total CCPWA 403,947 82,765 82,765 82,765 82,765 Well Collection Pipeline (Hewins to Walker) CCPWA 192, ,845 Walker Reservoir (500 AF) CCPWA 1,870,963 1,870,963 1,870,963 RHR Storage / Diversion & Pumping Capacity CCPWA 665,893 Denver Basin Wells - 4 Total CCPWA 500, , , ,630 Stevens Pipeline CCPWA 267, ,084 Well H/A-16 Pinery Local H2O 520, ,000 Well I (Well W) REMOVED Pinery Local H2O 225,000 Well K / A-14 Pinery Local H2O 400,000 1,000,000 Shallow Well 4 Redrill Pinery Local H2O 100, ,000 Well A Redrill Pinery Local H2O New Augmentation Plan (set for Water court in 2015) Pinery Local H2O 100, ,000 Well A-6 Colorado Golf East well (pump to Betts Lake) Pinery Local H2O 800, ,000 Well L Complex (Well L & Well A-12) (pump to Pradera Lake) Pinery Local H2O 800, ,000 Stone Creek Ranch Well Facility (Dawson, Arapahoe (ASR), LFH) Pinery Local H2O 2,000,000 2,000,000 1,000,000 Stone Creek Ranch Shallow Wells (2 total) Pinery Local H2O 200, ,000 Well LDA-3 / Well A-5 Colorado Golf West Complex w/asr (pump to PPinery Local H2O 200,000 1,000,000 1,150,000 Well M (Dawson) (pump to Well Q site) Pinery Local H2O 1,000,000 ASR System, Equip Well N & I Pinery Local H2O 300,000 ASR System, Equip Well V (equip when new PS1 is constructed) Pinery Local H2O 150,000 ASR System, Equip Well C2A Pinery Local H2O 150,000 Raw Water Storage Pond North of WWTP Pinery Local H2O Future Renewable Water Supply Project Pinery Local H2O Reservor 2B Pinery Water System 1,000,000 3,000,000 Pump Station 1 Replacement CWRPDA 50,000 1,950,000 2,850, ,000 Reservoir 7B Pinery Water System Reservoir 8B Pinery Water System 1,000,000 1,000,000 Reservoir 9C Pinery Water System 1,000,000 1,000,000 Zone F Pipeline (PS #1 to PS #8) Pinery Water System 1,000,000 1,000,000 Well Redrill and Replacement/Maintenance Pinery Water System 150, , , , , , , , , ,000 Other Capital Pinery Water System 500, , , , , , , , , , ,000 16" AC Pipe Replacement (Pinery West Phase 1) Pinery Water System 370,000 Zone A Pipeline CWRPDA 50, , ,000 Zone D Pipeline - Reservoir 4 to Powell Rd Water Line (fire flow) Pinery Water System 250, ,000 Replace Existing W&S Mains, N. Pinery Parkway (County Storm ProjectPinery Water System 400,000 General General General Total $2,880,380 $6,037,423 $6,097,055 $12,545,445 $4,688,704 $1,363,704 $2,854,704 $3,813,613 $6,630,546 $6,913,311 $5,035,194 $6,384,908 $4,407,955 MWH Appendix B - 9

23 Table 9 Pinery Water and Wastewater District Water Financial Plan: Capital Improvement Costs - Capital Costs Only (inflated dollars) Actual Actual Estimated Budget Projected Project Category / Description WISE CCPWA Treatment Pinery Local H2O Pinery Water System General CWRPDA $0 $0 $3,060,551 $4,029,422 $983,790 $86,205 $1,844,417 $91,277 $0 $0 $0 $0 $ ,624,466 2,814,602 2,997, ,432 1,132,158 1,794, ,120,000 2,212, , , , ,146 2,374,227 2,687,388 2,513,929 3,556,895 3,061, ,500,000 4,342, , , , ,560 1,721,315 1,771,233 3,079,563 3,168, ,916 2,880,380 6,037, , , , , , , , , , , , ,000 2,006,550 3,017, , , , Grand Total $2,880,380 $6,037,423 $6,097,055 $12,909,263 $4,964,592 $1,485,820 $3,200,535 $4,399,603 $7,871,211 $8,444,885 $6,329,060 $8,258,345 $5,866,660 Annual Replacement Funding Budget $0 $0 500,000.0 $463,050 $476,478 $490,296 $504,515 $519,146 $534,201 $549,693 $565,634 $582,037 $598,916 Annual Inflation Rate 0.0% 0.0% 0.0% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% Future Value Factor MWH Appendix B - 10

24 Table 10 Pinery Water and Wastewater District Water Financial Plan: Debt Service Schedules on Outstanding Bonds Description Senority (select) Actual Estimated Budget Projected Revenue Bonds w/ Coverage Requirements Western water rights note st Lien 99,073 CWRPDA loan st Lien CWRPDA loan st Lien Revenue note st Lien 361, , , , , , , , , , , , ,649 Projected CWRPDA - Pump Station 1 Replacement 1st Lien - 54, , , , , , , , ,383 Projected WISE CWCB Loan 1st Lien - 83, , , , , , , , , ,392 1st Lien 1st Lien 1st Lien 1st Lien 1st Lien Total Revenue Bonds w/ Coverage $461,052 $376,419 $753,650 $837,109 $1,059,647 $1,312,148 $1,437,314 $1,492,906 $1,602,203 $1,746,874 $1,918,760 $2,005,932 $2,043,425 Other Debt Service w/o Coverage Requirements GO Series 1 Total Other Debt Service w/o Coverage $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Outstanding Debt Service $461,052 $376,419 $753,650 $837,109 $1,059,647 $1,312,148 $1,437,314 $1,492,906 $1,602,203 $1,746,874 $1,918,760 $2,005,932 $2,043,425 MWH Appendix B - 11

25 Table 11 Pinery Water and Wastewater District Water Financial Plan: Projected New Debt and Debt Service Actual Estimated Budget Projected Description Revenue Bonds w/ Coverage Requirements Net Proceeds Needed $0 $0 $0 $0 $0 $0 $4,652,904 $0 $9,657,430 $0 $8,343,999 $0 Repayment Term (yrs) Coupon Rate 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% Month of Issue Issuance Costs (% of Net Proceeds) 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% Issuance Cost , , ,440 0 Debt Service Reserve Total Debt Proceeds Required $0 $0 $0 $0 $0 $0 $4,699,433 $0 $9,754,004 $0 $8,427,439 $0 Annual Debt Service Payment (rounded) $0 $0 $0 $0 $0 $0 $272,000 $0 $564,000 $0 $487,000 $0 Prorated Debt Service Payment - Current Yr. Only $0 $0 $0 $0 $0 $0 $136,000 $0 $282,000 $0 $244,000 $0 Annual Debt Service Payment - all projected issues $0 $0 $0 $0 $0 $0 $136,000 $272,000 $554,000 $836,000 $1,080,000 $1,323,000 note: net bond proceeds needed is entered in model balancing MWH Appendix B - 12

26 Table 12 Pinery Water and Wastewater District Water Financial Plan: Debt Service Coverage Ratio - Calculations With Development Fee Income Project Description Include in Calc? Actual Actual Estimated Budget Projected Gross Revenues User Charge Revenue Rate Related Revenues Yes $4,987,940 $4,021,889 $4,260,000 $4,446,382 $4,660,377 $4,886,263 $5,153,757 $5,437,073 $5,737,112 $6,225,433 $6,733,970 $7,287,846 $7,890,929 Wholesale/Contract Revenues Yes Scenario-Adjustments to Revenues Yes Total User Charge Revenue $4,987,940 $4,021,889 $4,260,000 $4,446,382 $4,660,377 $4,886,263 $5,153,757 $5,437,073 $5,737,112 $6,225,433 $6,733,970 $7,287,846 $7,890,929 Miscellaneous Operating Revenue Ground water protection fees Yes $22,568 $22,180 $23,000 $23,345 $23,695 $24,051 $24,411 $24,778 $25,149 $25,526 $25,909 $26,298 $26,692 IREA rebates Yes Other Yes 13,405 6,963 5,000 5,075 5,151 5,228 5,307 5,386 5,467 5,549 5,632 5,717 5,803 Water Supply Project Fee Yes 681, , , , , , , , , , , , ,184 Total Miscellaneous Operating Revenue $717,910 $686,610 $729,000 $731,841 $734,687 $737,541 $744,435 $751,335 $758,243 $765,157 $769,657 $774,165 $778,679 Other Income (Non-Operating) Impact/Development Fee Yes 397, , , , , ,870 1,330,484 1,369,068 1,408,771 1,449, , , ,147 Ready to serve fees - Water Yes 42,270 27,996 25,000 22,500 20,250 18,225 16,403 14,762 13,286 11,957 10,762 9,686 8,717 Late charges Yes 33,952 28,548 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 Cherry Creek Project Water Authority Yes 61,417 33,893 55,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Other income Yes 38,824 51,099 30, Insurance proceeds No Proceeds from asset disposition No Loan proceeds - CWRPDA No Loan proceeds - CWCB No Reimbursable projects Yes Contributions in aid of construction Yes , , , Transfer from Sewer Utility No Total Gross Revenues $6,279,362 $5,481,791 $6,837,760 $6,657,000 $6,848,603 $6,209,399 $7,327,579 $7,654,739 $7,999,912 $8,534,673 $8,529,180 $9,113,523 $9,747,972 Operating and Maintenance Expenses 2,698,550 2,811,247 3,179,047 3,370,673 3,551,454 4,004,957 4,234,422 4,477,798 4,874,790 5,327,864 5,475,042 5,610,029 5,787,892 Other Adjustments (Rate Stabilization Fund) Total Expenses $2,698,550 $2,811,247 $3,179,047 $3,370,673 $3,551,454 $4,004,957 $4,234,422 $4,477,798 $4,874,790 $5,327,864 $5,475,042 $5,610,029 $5,787,892 Net Revenues Available for Debt $3,580,812 $2,670,544 $3,658,713 $3,286,327 $3,297,149 $2,204,442 $3,093,157 $3,176,941 $3,125,122 $3,206,809 $3,054,138 $3,503,495 $3,960,080 Debt Service Subject to Coverage Requirement (1st Liens): Annual Debt Service for Coverage - 1st Liens 461, , , ,109 1,059,647 1,312,148 1,437,314 1,492,906 1,738,203 2,018,874 2,472,760 2,841,932 3,123,425 Minimum Coverage Required Min. Coverage Amount Needed - 1st Liens 576, , ,063 1,046,387 1,324,559 1,640,186 1,796,642 1,866,132 2,172,754 2,523,592 3,090,950 3,552,414 3,904,281 Debt Service Coverage on 1st Liens Debt Service Subject to Coverage Requirement (2nd Liens): Net Revenue Available After Payment of Sr. Liens 3,119,760 2,294,125 2,905,063 2,449,217 2,237, ,294 1,655,843 1,684,036 1,386,919 1,187, , , ,656 Outstanding Debt Subject to Coverage Minimum Coverage Required Min. Coverage Amount Needed - 2nd Liens $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt Service Coverage on 2nd Liens Total Net Revenue Required for Coverage Reqmt. $942,063 $1,046,387 $1,324,559 $1,640,186 $1,796,642 $1,866,132 $2,172,754 $2,523,592 $3,090,950 $3,552,414 $3,904,281 Surplus/(Shortage of Net Revenue) $3,580,812 $2,670,544 $2,716,651 $2,239,940 $1,972,590 $564,257 $1,296,514 $1,310,809 $952,368 $683,217 ($36,811) ($48,920) $55,800 Total Coverage - ALL DEBT Management Coverage Goal MWH Appendix B - 13

27 Table 13 Pinery Water and Wastewater District Water Financial Plan: Other Funding for Capital Projects Project Description Category (select) Actual Actual Estimated Budget Projected Impact/Development Fee dev. Fees 397, , , , , ,870 1,330,484 1,369,068 1,408,771 1,449, , , ,147 Ready to serve fees - Water other 42,270 27,996 25,000 22,500 20,250 18,225 16,403 14,762 13,286 11,957 10,762 9,686 8,717 Late charges other 33,952 28,548 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 Cherry Creek Project Water Authority other 61,417 33,893 55,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 60,000 Other income other 38,824 51,099 30,000 Insurance proceeds other - 50,460 Proceeds from asset disposition other 15,576 11,083 7,500 Loan proceeds - CWRPDA bonds - - 1,805,895 2,715,927 98, , , Loan proceeds - CWCB bonds - - 2,754,496 3,626, ,411 77,585 1,659,975 2,444,169 2,533,142 2,697, ,789 1,018,943 1,615,123 Reimbursable projects other - - Contributions in aid of construction other 735, , ,583 Transfer from Sewer Utility other - 2,400, , , , , ,822 1,740,622 Total $589,088 $834,834 $4,610,756 $9,311,151 $5,054,877 $761,239 $3,676,914 $4,414,557 $5,164,599 $5,471,413 $2,019,163 $3,811,077 $2,693,488 note: use this table to enter things like contributions, participation agreement payments, and any external cash provided. Also, special financing, tax supports, etc. MWH Appendix B - 14

28 Table 14 Pinery Water and Wastewater District Water Financial Plan: 113,769,853 Cash Fund Activity and Balance $104,350,405 Project Description Actual Estimated Budget Projected Rate of Return on Avg. Fund Balance 2.5% 2.5% 0.2% 0.2% 0.5% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% Override 2.5% 2.5% 0.2% 0.23% 0.50% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% Beginning Fund Balance 8,870,317 $9,147,372 $5,493,614 $5,075,618 $2,456,499 $3,345,216 $2,958,696 $3,694,633 $3,965,401 $5,842,851 $2,555,012 $7,508,438 $2,722,120 Operating Fund 8,800,187 CD 347,185 Investments n/a Sources of Funds Retail Rate Revenues 4,987,940 4,021,889 4,260,000 4,446,382 4,660,377 4,886,263 5,153,757 5,437,073 5,737,112 6,225,433 6,733,970 7,287,846 7,890,929 Wholesale/Contract Revenues Other Revenues 717, , , , , , , , , , , , ,679 Projected Debt Proceeds 0 0 2,754,496 5,432,374 3,601, ,644 1,659,975 2,444,169 7,766,775 3,247,286 10,065,793 1,018,943 10,042,563 Total Other Capital Inflows 192, , ,540 3,420, , , , , , , ,084 1,832,808 91,217 Total Development Fees 397, , , , , ,870 1,330,484 1,369,068 1,408,771 1,449, , , ,147 Interest/Investment Earnings 22,098 13,851 12,000 8,552 14,468 31,363 33,101 38,110 48,797 41,780 50,067 50,898 51, Total Sources of Funds $6,317,036 $5,557,184 $9,611,756 $14,497,926 $10,464,410 $6,416,406 $9,608,207 $10,641,075 $16,408,183 $12,503,783 $19,326,861 $11,923,987 $19,842,401 Uses of Funds Operating and Maintenance Expenses $2,698,550 $2,811,247 $3,179,047 $3,370,673 $3,551,454 $4,004,957 $4,234,422 $4,477,798 $4,874,790 $5,327,864 $5,475,042 $5,610,029 $5,787,892 Debt Service Payments - Outstanding Bonds 461, , , ,109 1,059,647 1,312,148 1,437,314 1,492,906 1,602,203 1,746,874 1,918,760 2,005,932 2,043,425 Debt Service Payments - Projected Issues , , , ,000 1,080,000 Capital Project Costs 2,880,380 6,037,423 6,097,055 12,909,263 4,964,592 1,485,820 3,200,535 4,399,603 7,871,211 8,444,885 6,329,060 8,258,345 5,866,660 Costs of Bond Issuance , , ,440 Year - End Adjustments (14,147) Total Uses of Funds $6,039,982 $9,210,942 $10,029,752 $17,117,045 $9,575,693 $6,802,926 $8,872,271 $10,370,307 $14,530,733 $15,791,622 $14,373,435 $16,710,305 $14,861,416 Total Change in Fund Balance $277,055 ($3,653,758) ($417,996) ($2,619,119) $888,717 ($386,519) $735,937 $270,768 $1,877,450 ($3,287,839) $4,953,426 ($4,786,318) $4,980,985 Available Fund Balance (net of required reserves) $6,233,779 $2,099,385 $2,790,719 $163,254 $1,026,789 $604,705 $1,302,964 $1,530,859 $3,354,507 $0 $4,873,208 $0 $4,890,346 Ending Fund Balance $9,147,372 $5,493,614 $5,075,618 $2,456,499 $3,345,216 $2,958,696 $3,694,633 $3,965,401 $5,842,851 $2,555,012 $7,508,438 $2,722,120 $7,703,105 MWH Appendix B - 15

29 Table 15 ($495,978) ($497,208) Pinery Water and Wastewater District -4% -6% Water Financial Plan: Minimum Fund Balances/Restricted Reserves Project Description Actual Estimated Budget Projected Debt Service Reserve Requirements - Prj. Issues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Externally Restricted Wells Fargo Debt Service Reserve $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 $1,037,738 Operation Reserve for CWRPDA 2002 Loan Internally Restricted Groundwater Protection 216, , , , , , , , , , , , ,768 Rate Stabilization Fund 500, , , , , , , , , , , , ,000 Medical Benefits Reserve 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 Water Project Fee Reserve 1,128,694 1,609, , , , , , , , , , , ,000 CWCB Loan Debt Reserve 8,346 33,528 69, , , , , , , ,860 CWRPDA Loan Debt Reserve (N/A per Kevin C.) Total $2,913,593 $3,394,229 $2,284,899 $2,293,245 $2,318,427 $2,353,991 $2,391,669 $2,434,542 $2,488,345 $2,555,012 $2,635,230 $2,722,120 $2,812,759 MWH Appendix B - 16

30 Table 16 Pinery Water and Wastewater District Water Financial Plan: Cash-Needs Revenue Requirements Actual Actual Estimated Budget Projected Project Description Operating and Maintenance Expenses $2,698,550 $2,811,247 $3,179,047 $3,370,673 $3,551,454 $4,004,957 $4,234,422 $4,477,798 $4,874,790 $5,327,864 $5,475,042 $5,610,029 $5,787,892 Annual Debt Service - Outstanding Debt 461, , , ,109 1,059,647 1,312,148 1,437,314 1,492,906 1,602,203 1,746,874 1,918,760 2,005,932 2,043,425 Annual Debt-Service - Projected Issues , , , ,000 1,080,000 Capital Projects 2,880,380 6,037,423 6,097,055 12,909,263 4,964,592 1,485,820 3,200,535 4,399,603 7,871,211 8,444,885 6,329,060 8,258,345 5,866,660 Bond Issuance Costs , , ,440 Other 0 (14,147) Change in Fund Balance 277,055 (3,653,758) (417,996) (2,619,119) 888,717 (386,519) 735, ,768 1,877,450 (3,287,839) 4,953,426 (4,786,318) 4,980,985 Total Revenue Requirement $6,317,036 $5,557,184 $9,611,756 $14,497,926 $10,464,410 $6,416,406 $9,608,207 $10,641,075 $16,408,183 $12,503,783 $19,326,861 $11,923,987 $19,842,401 Wholesale/Contract Revenues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Other Revenues 717, , , , , , , , , , , , ,679 Projected Debt Proceeds 0 0 2,754,496 5,432,374 3,601, ,644 1,659,975 2,444,169 7,766,775 3,247,286 10,065,793 1,018,943 10,042,563 Total Other Capital Inflows 192, , ,540 3,420, , , , , , , ,084 1,832,808 91,217 Total Development Fees 397, , , , , ,870 1,330,484 1,369,068 1,408,771 1,449, , , ,147 Interest/Investment Earnings 22,098 13,851 12,000 8,552 14,468 31,363 33,101 38,110 48,797 41,780 50,067 50,898 51, Total Non-Rate Related Revenue/Income $1,329,096 $1,535,295 $5,351,756 $10,051,544 $5,804,033 $1,530,143 $4,454,450 $5,204,002 $10,671,072 $6,278,350 $12,592,891 $4,636,141 $11,951,473 Required User Charge Revenue $4,987,940 $4,021,889 $4,260,000 $4,446,382 $4,660,377 $4,886,263 $5,153,757 $5,437,073 $5,737,112 $6,225,433 $6,733,970 $7,287,846 $7,890,929 To Linked Locator $327,303 $238,600 $49,276 ($430,842) ($517,979) ($533,631) ($875,881) ($1,121,305) ($1,213,831) ($1,164,114) ($1,020,388) MWH Appendix B - 17

31 Wastewater Financial Plan MWH Appendix B - 18

32 Table 1 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Model Summary Results & Balance Budget Projected Project Description Ending Fund Balance $4,487,823 $2,119,603 $2,258,063 $1,942,979 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,782,700 $803,777 $530,393 Minimum Fund Balance - Target 1,780,393 1,780,393 1,780,393 1,780,393 1,780,393 1,780,393 1,780,393 1,780,393 1,780, , ,393 Fund Variance 2,707, , , , , ,384 0 Debt Service Coverage - ALL DEBT Management DSC Goal Fixed Charge Coverage Ratio Minimum FC Ratio Target Adjustments/Actions: Non-Debt Funding/ Grants, etc Revenue Bond Proceeds ,645,990 Projected Net Revenues (after debt svc.) $748,350 $384,286 $439,755 $366,622 $568,852 $653,463 $746,950 $839,281 $848,488 $936,197 $1,252,341 Proposed Adjustments to Rate Revenues 3.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% Scenario Adjustments: Increase/Decrease O&M Totals reset all 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Increase/Decrease Capital Proj. Totals 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Increase/Decrease Revenue Totals 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Increase/Decrease Dev. Fee Totals 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% MWH Appendix B - 19

33 Table 2 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: User Charge Revenue Projections Actual Estimated Budget Projected Description Month in Which Increases Become Effective Prorated Revenue Realization from Increases 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Estimate of Retail Rate Revenues Expected Annual Demand Before Changes to Price 980, , , , , ,151 1,000,184 1,009,217 1,018,250 1,027,283 1,032,929 1,038,575 1,044,220 Avg. Price/ Unit Before Adjustments $1.92 $1.98 $2.06 $2.14 $2.22 $2.31 $2.41 $2.50 $2.60 $2.71 $2.81 Proposed Rate Adjustments 3.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% 4.00% Expected Avg. Price After Adjustments $1.89 $2.33 $1.98 $2.06 $2.14 $2.22 $2.31 $2.41 $2.50 $2.60 $2.71 $2.81 $2.93 Change in Demand due to Elasticity Expected Annual Demand After Price Adjustments 980, , , , , ,151 1,000,184 1,009,217 1,018,250 1,027,283 1,032,929 1,038,575 1,044,220 Demand Affected by Price Change 980, , , ,151 1,000,184 1,009,217 1,018,250 1,027,283 1,032,929 1,038,575 1,044,220 Demand Unaffected by Price Change 980, , Total Projected Demand 980, , , , , ,151 1,000,184 1,009,217 1,018,250 1,027,283 1,032,929 1,038,575 1,044,220 Other Adjustments to Demand (Inputs) Total Demand 980, , , , , ,151 1,000,184 1,009,217 1,018,250 1,027,283 1,032,929 1,038,575 1,044,220 Estimate of Retail Rate Revenues Expected Revenues From Existing Rates & Demand $1,855,419 $1,887,335 $1,883,495 $1,889,999 $1,896,503 $1,903,006 $1,920,350 $1,937,693 $1,955,037 $1,972,380 $1,983,220 $1,994,059 $2,004,899 Expected Revenues from Sum of Prior Year Increases n/a 56, , , , , , , , , ,305 Expected Revenues from Proposed Rates & Demand 56,505 77,868 81,261 84,802 88,997 93,393 97, , , , ,568 Other Adjustments to Revenues Total Retail Rate Revenues $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 Percent Change from Previous Year - Effective Rate Change n/a 1.7% 2.8% 4.4% 4.4% 4.4% 4.9% 4.9% 4.9% 4.9% 4.6% 4.6% 4.6% Estimate of Wholesale Rate Revenues Expected Revenues at Present Rates $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Adjustments for Increases n/a Other Adjustments to Revenues Total Wholesale Revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Grand Total User Charge Revenue $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 MWH Appendix B - 20

34 Table 3 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Summary of Operating Revenues Actual Estimated Budget Projected Description Retail Rates Revenue Before Adjustments $1,855,419 $1,887,335 $1,883,495 $1,889,999 $1,896,503 $1,903,006 $1,920,350 $1,937,693 $1,955,037 $1,972,380 $1,983,220 $1,994,059 $2,004,899 Total Adjustments to Rates over Previous Year , , , , , , , , , ,254 1,051,874 Total Retail Rate Revenues $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 Wholesale and Contracts Rates Revenue Before Adjustments $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Adjustments to Rates over Previous Year Total Wholesale/Contract Revenues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Misc. Revenues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Revenues Before Scenario Adjustments $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 Scenario Adjustments Total Revenues - All Sources, w/adjustmets $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 % Change from Previous Year n/a 2% 3% 4% 4% 4% 5% 5% 5% 5% 5% 5% 5% MWH Appendix B - 21

35 Table 4 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Projected Operating and Maintenance Expenses - Department-Wide Actual Estimated Budget Projected Description Notes - Acct # % Fixed General Inflation Factor n/a 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% 2.3% Demand Growth 0.0% 0.3% 0.3% 0.3% 0.9% 0.9% 0.9% 0.9% 0.5% 0.5% 0.5% SEWER OPERATING EXPENSES Auto expenses/vehicle maintenance 90% 13,088 14,314 14,500 14,831 15,170 15,517 15,880 16,251 16,632 17,021 17,413 17,814 18,225 Cherry Creek Basin fees 90% 12,360 13,100 13,000 13,297 13,601 13,911 14,237 14,570 14,911 15,260 15,612 15,971 16,339 Communications 90% 3,022 5,852 3,500 3,580 3,662 3,745 3,833 3,923 4,015 4,108 4,203 4,300 4,399 Employee benefits 90% 80,584 86, , , , , , , , , , , ,688 Laboratory testing and chemicals 90% 80,805 63,876 81,000 82,850 84,743 86,679 88,708 90,784 92,908 95,081 97,273 99, ,808 Outside services 90% 4,372 5,076 6,000 6,137 6,277 6,421 6,571 6,725 6,882 7,043 7,205 7,371 7,541 Repairs and maintenance - System 90% 80,029 51, , , , , , , , , , , ,101 Repairs and maintenance - Plant 90% 43,408 59, Salaries and related costs 90% 271, , , , , , , , , , , , ,441 Payroll taxes 90% 21,088 21,467 21,600 22,093 22,598 23,114 23,656 24,209 24,775 25,355 25,939 26,537 27,149 Sludge disposal 90% 54,261 71,227 75,000 76,713 78,466 80,258 82,137 84,059 86,026 88,038 90,067 92,143 94,266 Small tools and safety items 90% 1,005 1,729 6,000 6,137 6,277 6,421 6,571 6,725 6,882 7,043 7,205 7,371 7,541 Utilities 90% 176, , , , , , , , , , , , ,776 NONOPERATING EXPENSES 90% Accounting and audit 90% 22,611 32,115 31,250 31,964 32,694 33,441 34,224 35,025 35,844 36,682 37,528 38,393 39,278 Admin vehicle 90% Billing systems service 90% 1,716 2,806 4,500 4,603 4,708 4,815 4,928 5,044 5,162 5,282 5,404 5,529 5,656 Data processing 90% 7,358 12,135 10,000 10,228 10,462 10,701 10,952 11,208 11,470 11,738 12,009 12,286 12,569 Directors' fees 90% 1,375 1,950 2,000 2,046 2,092 2,140 2,190 2,242 2,294 2,348 2,402 2,457 2,514 Dues and seminars 50% 5,325 5,501 10,000 10,242 10,490 10,744 11,035 11,333 11,639 11,952 12,254 12,563 12,880 Employee benefits 90% 22,617 23,001 21,550 22,042 22,546 23,061 23,601 24,153 24,718 25,296 25,879 26,476 27,086 Insurance 90% 20,519 21,459 25,000 25,571 26,155 26,753 27,379 28,020 28,675 29,346 30,022 30,714 31,422 Legal 0% 55,003 62,561 57,500 58,992 60,523 62,092 64,055 66,075 68,153 70,291 72,259 74,279 76,354 Miscellaneous 90% 1,459 1,839 1,750 1,790 1,831 1,873 1,917 1,961 2,007 2,054 2,102 2,150 2,200 Office expense 90% 4,679 3,952 5,000 5,114 5,231 5,351 5,476 5,604 5,735 5,869 6,004 6,143 6,284 Outside services 90% ,500 12,786 13,078 13,376 13,690 14,010 14,338 14,673 15,011 15,357 15,711 Repairs and maintenance - Office 90% 2,709 5,591 6,250 6,393 6,539 6,688 6,845 7,005 7,169 7,336 7,506 7,679 7,856 Salaries and related costs 90% 81,474 76,993 82,288 84,167 86,090 88,057 90,118 92,227 94,385 96,592 98, , ,426 Payroll taxes 90% 5,769 5,860 6,295 6,439 6,586 6,736 6,894 7,055 7,220 7,389 7,560 7,734 7,912 Safety and training 90% 5,282 5,119 5,750 5,881 6,016 6,153 6,297 6,445 6,595 6,750 6,905 7,064 7,227 Security services 90% 4,700 8,370 5,500 5,626 5,754 5,886 6,023 6,164 6,309 6,456 6,605 6,757 6,913 Conservation 90% Customer communications 90% 8,680 10,598 11,250 11,507 11,770 12,039 12,321 12,609 12,904 13,206 13,510 13,821 14,140 Telephone and utilities 0% 2,363 2,350 2,500 2,565 2,631 2,700 2,785 2,873 2,963 3,056 3,142 3,230 3,320 O&M Associated with CIP 90% Pinery Wastewater Projects 90% 15,000 16,000 16,365 16,749 17,141 17,542 17,952 18,366 18,789 19,222 90% % Total Operating Expenses $1,096,723 $1,153,262 $1,267,308 $1,311,460 $1,342,281 $1,373,152 $1,405,870 $1,439,355 $1,473,625 $1,508,698 $1,543,861 $1,579,840 $1,616,652 % Change from Previous Year n/a 5.2% 9.9% 3.5% 2.4% 2.3% 2.4% 2.4% 2.4% 2.4% 2.3% 2.3% 2.3% MWH Appendix B - 22

36 Table 5 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Summary of Operating and Maintenance Expenses Actual Actual Budget Projected Description Pinery Water O&M $1,096,723 $1,153,262 $1,267,308 $1,311,460 $1,342,281 $1,373,152 $1,405,870 $1,439,355 $1,473,625 $1,508,698 $1,543,861 $1,579,840 $1,616,652 Unused O&M Other O&M Adjustments (3,976.0) (17,334.5) Scenario-Specific Adjustments to O&M Total Operating and Maint. Expense w/ Adjustments $1,092,747 $1,135,928 $1,267,308 $1,311,460 $1,342,281 $1,373,152 $1,405,870 $1,439,355 $1,473,625 $1,508,698 $1,543,861 $1,579,840 $1,616,652 % Change from Previous Year 4% 11.6% 3.5% 2.4% 2.3% 2.4% 2.4% 2.4% 2.4% 2% 2% 2% MWH Appendix B - 23

37 Table 6 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Capital Improvement Costs - Capital Costs Only (current dollars) Project Description Project Category Actual Estimated Budget Projected Wastewater Treatment Plant General 122, ,528 - Capital salaries General 40,677 49,489 52,361 52,361 52,361 52,361 52,361 52,361 52,361 52,361 52,361 52,361 52,361 GIS program General 3,117 1,901 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 Equipment and tools General - 1,602 Water/Sewer developer plan General Vehicles General 34,113 58,768 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 Furniture and office equipment General - 4,154 Computer and networking General 12,866 - Land and right of ways General - 220,809 Pipe Bursting Project (increase main size from 6" to 8") General , ,000 Collection System Lining, New Manholes, pipeline repairs; new services General ,500 85,000 85,000 85,000 85,000 85,000 85,000 85,000 85,000 85,000 85,000 Structural Repairs to UV Room General 25, ,000 Additional Filter Train General 3,000,000 Aeration General 3,000,000 Seal Coat of Parking Lot General 8,000 General General Total $213,351 $490,669 $189,361 $344,861 $294,861 $644,861 $144,861 $144,861 $144,861 $144,861 $144,861 $144,861 $6,144,861 MWH Appendix B - 24

38 Table 7 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Capital Improvement Costs - Capital Costs Only (inflated dollars) Actual Estimated Budget Projected Project Category / Description Collection System Pump Station Treatment LAND,CIP,WATER RIGHTS, CAP INT General Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $ , , , , , , , , , , , ,366 8,178, Grand Total $213,351 $490,669 $189,361 $354,862 $312,211 $702,607 $162,410 $167,120 $171,967 $176,954 $182,085 $187,366 $8,178,353 Annual Replacement Funding Budget $0 $0 $126,500 $293,265 $248,828 $637,385 $95,297 $98,061 $100,905 $103,831 $106,842 $109,940 $113,129 Annual Inflation Rate 0.0% 0.0% 0.0% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% 2.9% Future Value Factor MWH Appendix B - 25

39 Table 8 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Debt Service Schedules on Outstanding Bonds 33% Actual Actual Budget Projected Description Senority (select) Revenue Bonds w/ Coverage Requirements Western water rights note st Lien - - CWRPDA loan st Lien 340, , , , , , , , , , , , ,248 CWRPDA loan st Lien - - CWRPDA loan st Lien 467, , , , , , , , , , , ,437 - Total Revenue Bonds w/ Coverage $808,635 $781,599 $810,572 $812,193 $808,395 $809,338 $809,920 $810,328 $806,849 $809,739 $807,919 $814,971 $342,248 Other Debt Service w/o Coverage Requirements GO Series 1 Total Other Debt Service w/o Coverage $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Outstanding Debt Service $808,635 $781,599 $810,572 $812,193 $808,395 $809,338 $809,920 $810,328 $806,849 $809,739 $807,919 $814,971 $342,248 MWH Appendix B - 26

40 Table 9 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Projected New Debt and Debt Service Actual Actual Budget Projected Description Revenue Bonds w/ Coverage Requirements Net Proceeds Needed $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $6,645,990 Repayment Term (yrs) Coupon Rate 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% Month of Issue Issuance Costs (% of Net Proceeds) 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% Issuance Cost ,460 Debt Service Reserve Total Debt Proceeds Required $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $6,712,450 Annual Debt Service Payment (rounded) $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $388,000 Prorated Debt Service Payment - Current Yr. Only $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $194,000 Annual Debt Service Payment - all projected issues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $194,000 note: net bond proceeds needed is entered in model balancing MWH Appendix B - 27

41 Table 10 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Debt Service Coverage Ratio - Calculations With Development Fee Income Project Description Include in Calc? Actual Estimated Budget Projected Projected Gross Revenues User Charge Revenue Rate Related Revenues Yes $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 Wholesale/Contract Revenues Yes Scenario-Adjustments to Revenues Yes Total User Charge Revenue $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 Miscellaneous Operating Revenue Total Miscellaneous Operating Revenue $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Other Income (Non-Operating) Impact/Development Fee Yes 125, , ,560 69,458 71,472 73, , , , , , , ,729 Ready to serve fees - Sewer Yes 27,174 25,062 25,000 22,500 20,250 18,225 16,403 14,762 13,286 11,957 10,762 9,686 8,717 Late charges Yes 33,952 28,548 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 Other income Yes Insurance proceeds Yes 0 16, Proceeds from asset disposition Yes 15,576 11,083 7, Loan proceeds Yes Canyons revenue Yes 229, , , , , , , , , , , , ,522 Developer contributions (sewer) Yes , , , Transfer to the Water Fund No Unused No Total Gross Revenues $2,287,473 $2,404,201 $2,826,230 $2,507,939 $2,590,431 $2,549,112 $2,784,642 $2,903,146 $3,027,424 $3,157,718 $3,200,269 $3,331,008 $3,405,241 Operating and Maintenance Expenses 1,092,747 1,135,928 1,267,308 1,311,460 1,342,281 1,373,152 1,405,870 1,439,355 1,473,625 1,508,698 1,543,861 1,579,840 1,616,652 Other Adjustments (Rate Stabilization Fund) Total Expenses $1,092,747 $1,135,928 $1,267,308 $1,311,460 $1,342,281 $1,373,152 $1,405,870 $1,439,355 $1,473,625 $1,508,698 $1,543,861 $1,579,840 $1,616,652 Net Revenues Available for Debt $1,194,726 $1,268,274 $1,558,922 $1,196,479 $1,248,150 $1,175,960 $1,378,772 $1,463,791 $1,553,799 $1,649,020 $1,656,407 $1,751,168 $1,788,589 Debt Service Subject to Coverage Requirement (1st Liens): Annual Debt Service for Coverage - 1st Liens 808, , , , , , , , , , , , ,248 Minimum Coverage Required Min. Coverage Amount Needed - 1st Liens 1,010, ,999 1,013,215 1,015,241 1,010,494 1,011,673 1,012,400 1,012,910 1,008,561 1,012,174 1,009,899 1,018, ,310 Debt Service Coverage on 1st Liens Debt Service Subject to Coverage Requirement (2nd Liens): Net Revenue Available After Payment of Sr. Liens 386, , , , , , , , , , , ,197 1,252,341 Outstanding Debt Subject to Coverage Minimum Coverage Required Min. Coverage Amount Needed - 2nd Liens $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Debt Service Coverage on 2nd Liens Total Net Revenue Required for Coverage Reqmt. $1,010,794 $976,999 $1,013,215 $1,015,241 $1,010,494 $1,011,673 $1,012,400 $1,012,910 $1,008,561 $1,012,174 $1,009,899 $1,018,714 $670,310 Surplus/(Shortage of Net Revenue) $183,932 $291,275 $545,707 $181,238 $237,656 $164,287 $366,372 $450,881 $545,238 $636,847 $646,508 $732,455 $1,118,279 Total Coverage - ALL DEBT Management Coverage Goal MWH Appendix B - 28

42 Table 11 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Other Funding for Capital Projects Project Description Category (select) Actual Estimated Budget Projected Projected Impact/Development Fee dev. Fees 125, , ,560 69,458 71,472 73, , , , , , , ,729 Ready to serve fees - Sewer other 27,174 25,062 25,000 22,500 20,250 18,225 16,403 14,762 13,286 11,957 10,762 9,686 8,717 Late charges other 33,952 28,548 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 22,500 Other income other - - Insurance proceeds other - 16,820 Proceeds from asset disposition other 15,576 11,083 7,500 Loan proceeds bonds 0 - Canyons revenue other 229, , , , , , , , , , , , ,522 Developer contributions (sewer) other 257, , ,414 Transfer to the Water Fund other (2,400,000) - (587,552) (504,057) (592,699) (680,044) (681,822) (1,740,622) - Total $432,054 $516,866 $886,230 ($1,916,628) $477,636 $344,269 ($116,844) ($29,137) ($113,233) ($195,709) ($277,152) ($1,332,928) $348,468 note: use this table to enter things like contributions, participation agreement payments, and any external cash provided. Also, special financing, tax supports, etc. MWH Appendix B - 29

43 Table 12 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Cash Fund Activity and Balance Actual Actual Budget Projected Projected Project Description Rate of Return on Avg. Fund Balance 2.5% 2.5% 0.1% 0.1% 0.5% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% Override 2.5% 2.5% 0.1% 0.1% 0.5% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% 1.0% Beginning Fund Balance 3,742,037 $3,920,302 $3,925,834 $4,487,823 $2,119,603 $2,258,063 $1,942,979 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,782,700 $803,777 Operating Fund 3,771,509 CD 148,793 Sources of Funds Retail Rate Revenues 1,855,419 1,887,335 1,940,000 2,024,567 2,112,795 2,204,842 2,313,934 2,428,225 2,547,958 2,673,383 2,795,598 2,923,313 3,056,773 Wholesale/Contract Revenues Other Revenues Projected Debt Proceeds ,712,450 Total Other Capital Inflows 306, , ,670 (1,986,085) 406, ,725 (318,650) (236,795) (326,913) (415,586) (418,560) (1,478,437) 198,739 Total Development Fees 125, , ,560 69,458 71,472 73, , , , , , , ,729 Interest/Investment Earnings 5,525 3,463 3,000 2,356 10,917 20,901 18,524 17,715 17,715 17,715 17,727 12,868 6, Total Sources of Funds $2,292,998 $2,407,664 $2,829,230 $110,295 $2,601,348 $2,570,012 $2,215,614 $2,416,804 $2,452,440 $2,495,390 $2,536,173 $1,603,254 $10,124,328 Uses of Funds Operating and Maintenance Expenses $1,092,747 $1,135,928 $1,267,308 $1,311,460 $1,342,281 $1,373,152 $1,405,870 $1,439,355 $1,473,625 $1,508,698 $1,543,861 $1,579,840 $1,616,652 Debt Service Payments - Outstanding Bonds 808, , , , , , , , , , , , ,248 Debt Service Payments - Projected Issues ,000 Capital Project Costs 213, , , , , , , , , , , ,366 8,178,353 Costs of Bond Issuance ,460 Year - End Adjustments (6,063) Total Uses of Funds $2,114,733 $2,402,132 $2,267,241 $2,478,515 $2,462,887 $2,885,097 $2,378,200 $2,416,803 $2,452,440 $2,495,390 $2,533,866 $2,582,177 $10,397,712 Total Change in Fund Balance $178,265 $5,532 $561,989 ($2,368,220) $138,460 ($315,085) ($162,586) $1 ($0) ($1) $2,308 ($978,923) ($273,384) Available Fund Balance (net of required reserves) $2,139,909 $2,145,441 $2,707,430 $339,210 $477,670 $162,586 ($0) $0 $0 ($0) $2,307 $273,384 $0 Ending Fund Balance $3,920,302 $3,925,834 $4,487,823 $2,119,603 $2,258,063 $1,942,979 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,782,700 $803,777 $530,393 MWH Appendix B - 30

44 Table 13 Sources 2,829,230 2,478,515 2,601,348 2,885,097 2,378,200 2,416,804 2,452,440 2,495,390 2,536,173 2,582,177 10,397,712 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Minimum Fund Balances/Restricted Reserves Actual Actual Estimated Budget Projected Project Description Debt Service Reserve Requirements - Prj. Issues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Externally Restricted Wells Fargo Debt Service Reserve Operation Reserve for CWRPDA 2002 Loan 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 Internally Restricted Groundwater Protection Rate Stabilization Fund 500, , , , , , , , , , , , ,000 Medical Benefits Reserve 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 30,393 Total $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $1,780,393 $530,393 $530,393 MWH Appendix B - 31

45 Table 14 Pinery Water and Wastewater District Status Quo Wastewater Financial Plan: Cash-Needs Revenue Requirements Actual Estimated Budget Projected Projected Project Description Operating and Maintenance Expenses $1,092,747 $1,135,928 $1,267,308 $1,311,460 $1,342,281 $1,373,152 $1,405,870 $1,439,355 $1,473,625 $1,508,698 $1,543,861 $1,579,840 $1,616,652 Annual Debt Service - Outstanding Debt 808, , , , , , , , , , , , ,248 Annual Debt-Service - Projected Issues ,000 Capital Projects 213, , , , , , , , , , , ,366 8,178,353 Bond Issuance Costs ,460 Other 0 (6,063) Change in Fund Balance 178,265 5, ,989 (2,368,220) 138,460 (315,085) (162,586) 1 (0) (1) 2,308 (978,923) (273,384) Total Revenue Requirement $2,292,998 $2,407,664 $2,829,230 $110,295 $2,601,348 $2,570,012 $2,215,614 $2,416,804 $2,452,440 $2,495,390 $2,536,173 $1,603,254 $10,124,328 Wholesale/Contract Revenues $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Other Revenues Projected Debt Proceeds ,712,450 Total Other Capital Inflows 306, , ,670 (1,986,085) 406, ,725 (318,650) (236,795) (326,913) (415,586) (418,560) (1,478,437) 198,739 Total Development Fees 125, , ,560 69,458 71,472 73, , , , , , , ,729 Interest/Investment Earnings 5,525 3,463 3,000 2,356 10,917 20,901 18,524 17,715 17,715 17,715 17,727 12,868 6, Total Non-Rate Related Revenue/Income $437,579 $520,329 $889,230 ($1,914,272) $488,553 $365,170 ($98,319) ($11,421) ($95,517) ($177,994) ($259,425) ($1,320,059) $7,067,556 Required User Charge Revenue $1,855,419 $1,887,335 $1,940,000 $2,024,567 $2,112,795 $2,204,842 $2,313,934 $2,428,225 $2,547,958 $2,673,383 $2,795,598 $2,923,313 $3,056,773 To Linked Locator MWH Appendix B - 32

46 Appendix C Cost of Service MWH Appendix C

47 Water Cost of Service MWH Appendix C - 1

48 Cash-Needs Revenue Requirements 2015 Description Operating and Maintenance Expenses $3,370,673 Annual Debt Service - Outstanding Debt 837,109 Annual Debt-Service - Projected Issues 0 Capital Projects 12,909,263 Bond Issuance Costs 0 Adjustments to Working Capital 0 Change in Fund Balance (2,458,649) Total Revenue Requirement $14,658,396 (Less) Non-User Charge Revenue Wholesale/Contract Revenues $0 Other Revenues 731,841 Projected Debt Proceeds 5,432,374 Total Other Capital Inflows 3,531,608 Total Development Fees 457,926 Interest/Investment Earnings 58,265 Total User-Charge Requirement $4,446,382 Summary Revenue Requirements Summary Level Amount Operating Costs $3,370,673 Cash Needs Capital Costs 11,287,723 Non-Rate Revenues 10,212,014 Total $4,446,382 MWH Appendix C - 2

49 CUSTOMER DEMANDS FOR THE TEST YEAR Water Demand Month System Total Demands (Kgal) Residential Commercial Large Irrigation Pinery Golf Irrigation Customer Classes CGC & Pradera Golf Irrigation Ready-to-Serve Class 7 Class 8 Class 9 Class 10 January 23,917 20, , February 26,810 22, , March 23,639 19, , April 21,819 18, , May 29,922 22, ,762 3, June 109,157 74,342 2,285 5,993 8,957 17, July 198, ,747 3,977 14,561 27,742 40, August 156, ,105 2,783 17,138 1,430 17, September 137,928 99,321 3,133 12,318 7,590 15, October 68,597 51,041 2,483 6,996 1,845 6, November 40,439 32,015 1,809 2,405 3, December 28,194 22,223 1, , Total 864, ,767 21,102 60,680 59, , Average Month 72,048 50,897 1,759 5,057 4,947 9, Average-Day Demand 2, , Max Month 198, ,105 3,977 17,138 27,742 40, % of Max Month 104% 59% 2% 9% 14% 20% 0% 0% 0% 0% 0% System Max Mo. To Avg. Mo Est. Max-Day= 6, System Est. Max-Hr. Factor 4.00 Est. Max-Hr = 9, Water Demand and Peaking Factor Summary Customer Class Avg. Day (Kgal) Max Month to Avg. Month Max-Day Demand (Kgal) Max-Hr Factor Max-Hr. Demand (Kgal) Residential 1, , ,600 Commercial Large Irrigation Pinery Golf Irrigation CGC & Pradera Golf Irrigation Linked to golf course water pumping table is average of all golf courses' peaking factors Ready-to-Serve Class Class Class Class Total 2, , ,918 MWH Appendix C - 3

50 Customer Counts by Meter Size Meter Size Customer Class Bills per Year 5/8" x 3/4" 1" 11/2" 2" 3" 4" 6" 8" Total Count Total Equiv. Meters Equivalent Meter Ratio Residential 12 4, ,164 4,164 Commercial Large Irrigation Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-Serve Class Class Class Class Total Count 4, ,252 4,430 MWH Appendix C - 4

51 CUSTOMER CHARACTERISTICS BY COST GROUP Joint Customer Class # of Customer Accounts # of Eq. Meters Total Annual Usage (Kgal) Avg. Day Usage (Kgal) Max-Day Usage (Kgal) Max-Day Units Above Avg. Day (Kgal) Max-Hr. Usage (Kgal) Max-Hr Units Above Max-Day (Kgal) Residential 4,164 4, ,767 1,673 3,610 1,937 5,600 1,990 Commercial , Large Irrigation , Pinery Golf Irrigation , CGC & Pradera Golf Irrigation , Ready-to-Serve Totals 4,252 4, ,575 2,369 5,569 3,200 7,918 2,349 Percentage of Units in Group Residential 98% 94% 71% 71% 65% 61% 71% 85% Commercial 1% 2% 2% 2% 2% 2% 2% 3% Large Irrigation 1% 2% 7% 7% 9% 11% 10% 12% Pinery Golf Irrigation 0% 1% 7% 7% 8% 9% 6% 0% CGC & Pradera Golf Irrigation 0% 2% 13% 13% 15% 17% 11% 0% Ready-to-Serve 0% 0% 0% 0% 0% 0% 0% 0% Total 100% 100% 100% 100% 100% 100% 100% 100% MWH Appendix C - 5

52 ALLOCATION FACTORS Parameter Allocations for Base Extra-Capacity Method Parameter/Characteristic Base Max-Day Max-Hour Customer Meter BASE 100% 0% 0% 0% 0% MAX-DAY 43% 57% 0% 0% 0% MAX-HOUR 30% 40% 30% 0% 0% CUSTOMER 0% 0% 0% 100% 0% METER 0% 0% 0% 0% 100% INDIRECT 66% 17% 12% 1% 4% MWH Appendix C - 6

53 Assignment of Functional Components to Allocation Factors These Functional Costs are Further Allocated to the Following Customer Usage Characteristics System Function/Name Allocation Type Base Max-Day Max-Hour Customer Meter Supply BASE 100% 0% 0% 0% 0% Treatment MAX-DAY 43% 57% 0% 0% 0% Transmission & Distribution MAX-HOUR 30% 40% 30% 0% 0% Storage MAX-HOUR 30% 40% 30% 0% 0% Pumping MAX-HOUR 30% 40% 30% 0% 0% Administration CUSTOMER 0% 0% 0% 100% 0% Metering METER 0% 0% 0% 0% 100% Indirect INDIRECT 66% 17% 12% 1% 4% MWH Appendix C - 7

54 ALLOCATION OF NET UTILITY PLANT IN SERVICE Allocation of Net Asset Accounts to Functional Components Description Asset # Contributed System Original Cost Year Acquired Annual Depreciation Expense Est. Useful Life (yrs) Beginning Acc. Depreciation 2014 Cost-of-Service Rates and Fees Study End Acc. Depreciation Net Book Value - End of Test Year Supply Treatment Transmission & Distribution Storage Pumping WATER SYSTEM 126 N 135-Water System 777, , , , ,158 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 127 N 135-Water System 326, , , ,582 62,057 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 128 N 135-Water System 407, , , ,918 85,563 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 129 N 135-Water System 201, , , ,887 46,268 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 130 N 135-Water System 373, , , ,351 93,452 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 131 N 135-Water System 131, , ,436 96,069 35,533 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 132 N 135-Water System 59, , ,290 42,487 17,383 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 133 N 135-Water System 131, , ,283 87,907 43,305 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 134 N 135-Water System 340, , , , ,211 0% 0% 100% 0% 0% 0% 0% 0% 100% MISTY PINES 135 N 135-Water System 232, , , ,240 99,760 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 136 N 135-Water System 435, , , , ,455 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL REDRILLING 137 N 135-Water System 154, , ,751 84,836 69, % 0% 0% 0% 0% 0% 0% 0% 100% TRANSMISSION LINES 138 N 135-Water System 594, , , , ,557 0% 0% 100% 0% 0% 0% 0% 0% 100% PUMP WC N 135-Water System 41, ,458 41, % 0% 0% 0% 100% 0% 0% 0% 100% TRANSMISSION LINE 141 N 135-Water System 4, ,121 2,205 1,963 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL INTER LINE 142 N 135-Water System 532, , , % 0% 0% 0% 0% 0% 0% 0% 100% CHLORINATOR 143 N 135-Water System 12, ,840 12, % 100% 0% 0% 0% 0% 0% 0% 100% WELLS 144 N 135-Water System 45, ,950 23,850 21, % 0% 0% 0% 0% 0% 0% 0% 100% WATER SYSTEM 145 N 135-Water System 5, ,698 2,808 2,703 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL REDRILL #1 146 N 135-Water System 28, ,139 14,717 14, % 0% 0% 0% 0% 0% 0% 0% 100% WATER SYSTEM 147 N 135-Water System 710, , , , ,926 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 148 N 135-Water System 642, , , , ,897 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER SYSTEM 149 N 135-Water System 283, , , , ,410 0% 0% 100% 0% 0% 0% 0% 0% 100% CLORINATIOR 150 N 135-Water System 6, ,679 6, % 100% 0% 0% 0% 0% 0% 0% 100% METER UPGRADE 151 N 135-Water System 4, ,594 1,675 2,403 0% 0% 0% 0% 0% 0% 100% 0% 100% WATER SYSTEM 152 N 135-Water System 93, , ,597 38,473 55,355 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL C2A 153 N 135-Water System 37, ,507 15,251 21, % 0% 0% 0% 0% 0% 0% 0% 100% WTR SYS 155 N 135-Water System 9, ,721 3,911 5,621 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL N 135-Water System 34, ,299 13,982 20, % 0% 0% 0% 0% 0% 0% 0% 100% WELL 157 N 135-Water System 10, ,252 4,470 6, % 0% 0% 0% 0% 0% 0% 0% 100% WELL N 135-Water System 33, ,908 13,569 19, % 0% 0% 0% 0% 0% 0% 0% 100% METERS 159 N 135-Water System 4, ,793 1,890 2,955 0% 0% 0% 0% 0% 0% 100% 0% 100% WELLS A CLORINATOR 160 N 135-Water System % 100% 0% 0% 0% 0% 0% 0% 100% SLEEVES UNDER SH N 135-Water System 12, ,462 4,703 7,358 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL 4 VAULT 162 N 135-Water System 3, ,373 3, % 0% 0% 0% 0% 0% 0% 0% 100% DISTRICT MAPPING 163 N 135-Water System 15, ,087 15, % 0% 0% 0% 0% 0% 0% 100% 100% FIRE HYDRANT ADDITONS 164 N 135-Water System 6, ,521 2,657 4,163 0% 0% 100% 0% 0% 0% 0% 0% 100% METERS 165 N 135-Water System 18, ,293 18, % 0% 0% 0% 0% 0% 100% 0% 100% PS #4 LOAD BANK 167 N 135-Water System 7, ,671 7, % 0% 0% 0% 100% 0% 0% 0% 100% SUPPLY TREATMENT WATER PLUS 169 N 135-Water System 3, ,079 3, % 100% 0% 0% 0% 0% 0% 0% 100% WELL N 135-Water System 78, ,818 78, % 0% 0% 0% 0% 0% 0% 0% 100% HIGH PRARIE FARMS Y 135-Water System 157, , ,049 58, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY FILING Y 135-Water System 81, , ,548 30, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY FILING 8B-2ND AMEND 173 Y 135-Water System 81, , ,400 30, % 0% 100% 0% 0% 0% 0% 0% 100% METERS 174 N 135-Water System 5, ,800 5, % 0% 0% 0% 0% 0% 100% 0% 100% RADIO SYSTEM/COMMUNICATIONS 175 N 135-Water System 7, ,521 7, % 0% 0% 0% 0% 0% 0% 100% 100% TIMBERS FILING 22 (CONTRIB) 176 Y 135-Water System 302, , ,710 99, % 0% 100% 0% 0% 0% 0% 0% 100% METERS 177 N 135-Water System 78, ,718 78, % 0% 0% 0% 0% 0% 100% 0% 100% COPER/LEAD TRMT(95) 178 N 135-Water System 7, ,655 7, % 100% 0% 0% 0% 0% 0% 0% 100% WELL 7 (95) 179 N 135-Water System 12, ,028 12, % 0% 0% 0% 0% 0% 0% 0% 100% WELL 7 (96) 180 N 135-Water System 30, ,756 30, % 0% 0% 0% 0% 0% 0% 0% 100% HYDRANTS & VALVES 181 N 135-Water System 61, , ,032 51,131 10,846 0% 0% 100% 0% 0% 0% 0% 0% 100% MISC SUPPLY/TRMT PROJS 182 N 135-Water System 16, ,465 16, % 50% 0% 0% 0% 0% 0% 0% 100% WELL N 135-Water System 19, ,511 19, % 0% 0% 0% 0% 0% 0% 0% 100% PUMP STATION/WELLS 184 N 135-Water System 7, ,284 2,432 4, % 0% 0% 0% 0% 0% 0% 0% 100% FILING Y 135-Water System 77, , ,512 24, % 0% 100% 0% 0% 0% 0% 0% 100% 1998 COMPUTER SYSTEM UPGRADE 186 N 135-Water System 15, ,059 15, % 0% 0% 0% 0% 100% 0% 0% 100% 1998 MISC WATER PROJECTS 187 N 135-Water System 42, , ,880 33,009 9,582 0% 0% 0% 0% 0% 0% 0% 100% 100% WELL UPGRADE 188 N 135-Water System 7, ,155 2,315 5, % 0% 0% 0% 0% 0% 0% 0% 100% DEMOCRAT ROAD WATERLINE 189 N 135-Water System 632, , , , ,749 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER PROJECTS UPGRADES-MISC 190 N 135-Water System 41, ,167 11,994 29,363 0% 0% 0% 0% 0% 0% 0% 100% 100% WELL "J" PUMP REPLACEMENT 191 N 135-Water System 9, ,523 2,710 6, % 0% 0% 0% 0% 0% 0% 0% 100% PUMP STATION #5 192 N 135-Water System 932, , , , ,034 0% 0% 0% 0% 100% 0% 0% 0% 100% RESERVOIR #6 193 N 135-Water System 1,402, , , ,806 1,024,180 0% 0% 0% 100% 0% 0% 0% 0% 100% RESERVOIR #7 194 N 135-Water System 1,263, , , , ,529 0% 0% 0% 100% 0% 0% 0% 0% 100% SCADA (98) 195 N 135-Water System 7, ,370 7, % 0% 0% 0% 0% 0% 0% 100% 100% SCADA (99) 196 N 135-Water System 43, ,572 43, % 0% 0% 0% 0% 0% 0% 100% 100% SCADA (00) 197 N 135-Water System 28, ,960 28, % 0% 0% 0% 0% 0% 0% 100% 100% MWH Appendix C - 8 METERS (98) 198 N 135-Water System 40, ,214 40, % 0% 0% 0% 0% 0% 100% 0% 100% METERS (99) 199 N 135-Water System 13, ,379 13, % 0% 0% 0% 0% 0% 100% 0% 100% METERS (00) 200 N 135-Water System 33, ,286 33, % 0% 0% 0% 0% 0% 100% 0% 100% Administration Metering Indirect Check Total

55 Description Asset # Contributed System Original Cost Year Acquired Annual Depreciation Expense Est. Useful Life (yrs) Beginning Acc. Depreciation 2014 Cost-of-Service Rates and Fees Study End Acc. Depreciation Net Book Value - End of Test Year Supply Treatment Transmission & Distribution Storage Pumping DEMOCRAT ROAD 16" WATERLINE 201 N 135-Water System 4, ,087 1,174 3,176 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL N 135-Water System 225, , ,482 61, , % 0% 0% 0% 0% 0% 0% 0% 100% BILLING SYSTEM 203 N 135-Water System 29, ,617 29, % 0% 0% 0% 0% 50% 50% 0% 100% MISC WATER PROJECTS UPGRADE N 135-Water System 33, , ,778 22,440 10,805 0% 0% 0% 0% 0% 0% 0% 100% 100% OFFSITE WATER LINES-CDG 205 N 135-Water System 285, , ,437 77, ,597 0% 0% 0% 100% 0% 0% 0% 0% 100% OFFSITE WATER STORAGE TANK #6-CDG 206 N 135-Water System 720, , , , ,742 0% 0% 0% 100% 0% 0% 0% 0% 100% WATER LINE-JORDAN ROAD-CDG 207 N 135-Water System 89, , ,464 24,261 65,595 0% 0% 100% 0% 0% 0% 0% 0% 100% WATER LINE-OLD SCHOOLHOUSE 208 N 135-Water System 14, ,559 3,844 10,395 0% 0% 100% 0% 0% 0% 0% 0% 100% MISC WELLS (STA 14+23/6+77/20+16) 209 N 135-Water System 84, , ,638 56,849 27, % 0% 0% 0% 0% 0% 0% 0% 100% PONDEROSA HIGH SCHOOL WATER LINE 210 N 135-Water System 207, , ,822 55, ,320 0% 0% 100% 0% 0% 0% 0% 0% 100% TRINITY LUTHERAN CHURCH 211 Y 135-Water System 104, , ,011 28, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY Y 135-Water System 274, , ,630 74, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 23A 213 Y 135-Water System 290, , ,599 78, % 0% 100% 0% 0% 0% 0% 0% 100% WELL 9-SHALLOW (99) 214 N 135-Water System 20, ,716 5,126 15, % 0% 0% 0% 0% 0% 0% 0% 100% WELL 9-SHALLOW (00) 215 N 135-Water System 67, , ,541 16,892 50, % 0% 0% 0% 0% 0% 0% 0% 100% WELL 9 ( N 135-Water System 276, , ,656 69, , % 0% 0% 0% 0% 0% 0% 0% 100% MISC WATER PROJECTS 217 N 135-Water System 191, , ,041 47, ,612 0% 0% 0% 0% 0% 0% 0% 100% 100% WELL I-DEEP (99) 218 N 135-Water System 2, , % 0% 0% 0% 0% 0% 0% 0% 100% WELL I - DEEP (00) 219 N 135-Water System 301, , ,458 75, , % 0% 0% 0% 0% 0% 0% 0% 100% GROUND WATER PROTECTION 220 N 135-Water System 3, , % 0% 0% 0% 0% 0% 0% 0% 100% WELL I (01) 221 N 135-Water System 342, , ,843 85, , % 0% 0% 0% 0% 0% 0% 0% 100% PINERY Y 135-Water System 191, , ,039 47, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 23B 223 Y 135-Water System 395, , ,007 98, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 24A 224 Y 135-Water System 223, , ,314 55, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 24B - PHASE Y 135-Water System 370, , ,100 92, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY GLEN 226 Y 135-Water System 1,545, , , , % 0% 100% 0% 0% 0% 0% 0% 100% Well "N" Deep (99) 227 N 135-Water System 267, , ,208 61, , % 0% 0% 0% 0% 0% 0% 0% 100% Well "N" Deep (00) 228 N 135-Water System 861, , , , , % 0% 0% 0% 0% 0% 0% 0% 100% Hwy. 83 Sleeve (01) 229 N 135-Water System 82, , ,228 18,868 63,168 0% 0% 100% 0% 0% 0% 0% 0% 100% Meters-Residential (02) 230 N 135-Water System 13, ,894 13, % 0% 0% 0% 0% 0% 100% 0% 100% Meters-Comercial (02) 231 N 135-Water System 3, ,534 3, % 0% 0% 0% 0% 0% 100% 0% 100% Well #9 (02) 232 N 135-Water System 4, ,020 3, % 0% 0% 0% 0% 0% 0% 0% 100% Well "N" (02) 233 N 135-Water System 16, ,467 3,797 12, % 0% 0% 0% 0% 0% 0% 0% 100% Misc. Water Projs. (02) 234 N 135-Water System 165, , ,702 94,959 70,187 0% 0% 0% 0% 0% 0% 0% 100% 100% Well #4 (02) 235 N 135-Water System 194, , ,754 44, , % 0% 0% 0% 0% 0% 0% 0% 100% Pump Stn. #1 Remodel 236 N 135-Water System 12, ,043 9,904 3,015 0% 0% 0% 0% 100% 0% 0% 0% 100% Well B-Pump Stn.#2 Remodel 237 N 135-Water System 597, , , , ,531 0% 0% 0% 0% 100% 0% 0% 0% 100% PRV # N 135-Water System 6, ,476 6, % 0% 100% 0% 0% 0% 0% 0% 100% Hwy. 83 Sleeve (02) 242 N 135-Water System 7, ,666 1,824 6,107 0% 0% 100% 0% 0% 0% 0% 0% 100% SCADA (01) 252 N 135-Water System 28, ,457 28, % 0% 0% 0% 0% 0% 0% 100% 100% Residential Meters (01) 253 N 135-Water System 81, ,707 81, % 0% 0% 0% 0% 0% 100% 0% 100% Well N (01) 254 N 135-Water System 237, , ,773 54, , % 0% 0% 0% 0% 0% 0% 0% 100% Pump Station #2 (01) 255 N 135-Water System 197, , , ,724 46,177 0% 0% 0% 0% 100% 0% 0% 0% 100% Pump Stn. #2 Remodel (01) 256 N 135-Water System 3, ,667 2, % 0% 0% 0% 100% 0% 0% 0% 100% Well #4 (01) 257 N 135-Water System 18, ,812 4,175 13, % 0% 0% 0% 0% 0% 0% 0% 100% Pump Stn. #3 Remodel (01) 258 N 135-Water System 2, ,877 2, % 0% 0% 0% 100% 0% 0% 0% 100% Pump Stn. #1 Remodel 259 N 135-Water System 4, ,197 3,501 1,066 0% 0% 0% 0% 100% 0% 0% 0% 100% Pump Station #5 (02) 260 N 135-Water System 300, , , ,000 70,000 0% 0% 0% 0% 100% 0% 0% 0% 100% Meters-Commercial (03) 262 N 135-Water System 50, , ,175 50, % 0% 0% 0% 0% 0% 100% 0% 100% Meters-Residential (03) 263 N 135-Water System % 0% 0% 0% 0% 0% 100% 0% 100% Pump Stn.#8, Storage Tanks #8 & #9 264 N 135-Water System 1,882, , , ,282 1,487,015 0% 0% 0% 75% 25% 0% 0% 0% 100% Chambers Pkwy.-Constr.Plans/PWMD (03) 265 N 135-Water System 1,144, , , , ,532 0% 0% 100% 0% 0% 0% 0% 0% 100% SCADA (03) 267 N 135-Water System 66, , ,475 66, % 0% 0% 0% 0% 0% 0% 100% 100% Well 7 Upgrade (01) 268 N 135-Water System 5, ,054 3, % 0% 0% 0% 0% 0% 0% 0% 100% Well 7 Upgrade (02) 269 N 135-Water System 37, ,069 7,813 29, % 0% 0% 0% 0% 0% 0% 0% 100% Well 7 Upgrade (03) 270 N 135-Water System 298, , ,734 62, , % 0% 0% 0% 0% 0% 0% 0% 100% Pump Station #3 Remodel 271 N 135-Water System 1, % 0% 0% 0% 100% 0% 0% 0% 100% Pump Station #8 (02) 274 N 135-Water System 28, ,371 5,936 22,331 0% 0% 0% 0% 100% 0% 0% 0% 100% Pump Station #8 (03) 275 N 135-Water System 25, ,813 5,319 20,010 0% 0% 0% 0% 100% 0% 0% 0% 100% Well P (02) 276 N 135-Water System 220, , ,958 46, , % 0% 0% 0% 0% 0% 0% 0% 100% Reservoir #9 (03) 277 N 135-Water System 8, ,708 1,887 7,100 0% 0% 0% 100% 0% 0% 0% 0% 100% Well P (03) 278 N 135-Water System 314, , ,759 66, , % 0% 0% 0% 0% 0% 0% 0% 100% PRV 14 (03) 279 N 135-Water System 23, , ,250 12,434 11,250 0% 0% 100% 0% 0% 0% 0% 0% 100% Water Main to Well O (03) 280 N 135-Water System 69, , ,202 14,592 54, % 0% 0% 0% 0% 0% 0% 0% 100% Pinery West (03) 281 Y 135-Water System 52, , ,934 10, % 0% 100% 0% 0% 0% 0% 0% 100% Water Developer Plans 282 Y 135-Water System 16, ,068 3, % 0% 100% 0% 0% 0% 0% 0% 100% Misc. Water Projects (03) 283 N 135-Water System 98, , ,648 51,558 46,648 0% 0% 0% 0% 0% 0% 0% 100% 100% Bayou Gulch Regl.Park Impvts.-Ph.I (Contrib) 302 Y 135-Water System 38, ,282 8, % 0% 100% 0% 0% 0% 0% 0% 100% METERS 306 N 135-Water System 24, , ,883 15,517 8,983 0% 0% 0% 0% 0% 0% 100% 0% 100% TIMBERS 24B PHASE Y 135-Water System 121, , ,599 22, % 0% 100% 0% 0% 0% 0% 0% 100% TIMBERS 26A, 28A, 28B 308 Y 135-Water System 342, , ,377 62, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 1A 309 Y 135-Water System 37, ,020 6, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 1B 310 Y 135-Water System 364, , ,871 66, % 0% 100% 0% 0% 0% 0% 0% 100% MWH Appendix C - 9 PINERY 1C 311 Y 135-Water System 249, , ,350 45, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 1D 312 Y 135-Water System 195, , ,555 35, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY 1E 313 Y 135-Water System 389, , ,958 70, % 0% 100% 0% 0% 0% 0% 0% 100% Administration Metering Indirect Check Total

56 Description Asset # Contributed System Original Cost Year Acquired Annual Depreciation Expense Est. Useful Life (yrs) Beginning Acc. Depreciation 2014 Cost-of-Service Rates and Fees Study End Acc. Depreciation Net Book Value - End of Test Year Supply Treatment Transmission & Distribution Storage Pumping PINERY 1G 314 Y 135-Water System 429, , ,509 78, % 0% 100% 0% 0% 0% 0% 0% 100% BUFFALO RANCH 315 Y 135-Water System 17, ,843 3, % 0% 100% 0% 0% 0% 0% 0% 100% WELL O 326 N 135-Water System 688, , , , , % 0% 0% 0% 0% 0% 0% 0% 100% RESERVIOR #2 327 N 135-Water System 99, , ,466 18,462 81,335 0% 0% 0% 100% 0% 0% 0% 0% 100% RESERVOIR #3 328 N 135-Water System 169, , ,938 31, ,997 0% 0% 0% 100% 0% 0% 0% 0% 100% ALTITUDE VALVE VAULT 329 N 135-Water System 132, , ,452 24, ,586 0% 0% 100% 0% 0% 0% 0% 0% 100% N. PINERY PKWY - 16" WATER 330 N 135-Water System 81, , ,147 14,774 66,549 0% 0% 100% 0% 0% 0% 0% 0% 100% PRV #1,3 AND N 135-Water System 72, , ,582 23,004 49,639 0% 0% 100% 0% 0% 0% 0% 0% 100% WELL N 135-Water System 21, ,469 3,890 17, % 0% 0% 0% 0% 0% 0% 0% 100% PUMP STATION #8 336 N 135-Water System 1, ,433 0% 0% 0% 0% 100% 0% 0% 0% 100% RESERVIOR #9 337 N 135-Water System 11, ,897 2,132 9,602 0% 0% 0% 100% 0% 0% 0% 0% 100% SCADA 338 N 135-Water System 21, ,584 4,014 17,491 0% 0% 0% 0% 0% 0% 0% 100% 100% MISC WATER PROJECTS 339 N 135-Water System 132, , ,495 25, ,182 0% 0% 0% 0% 0% 0% 0% 100% 100% METERS-RESIDENTIAL 343 N 135-Water System 46, , ,469 26,599 20,340 0% 0% 0% 0% 0% 0% 100% 0% 100% METERS-COMMERCIAL 344 N 135-Water System % 0% 0% 0% 0% 0% 100% 0% 100% TIMBERS 26B CONTRIB. 345 Y 135-Water System 108, , ,252 18, % 0% 100% 0% 0% 0% 0% 0% 100% TIMBERS 26C (WTR.ONLY) CONTRIB. 347 Y 135-Water System 134, , ,240 22, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY WEST 1F CONTRIB. 348 Y 135-Water System 571, , ,705 97, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY WEST 1H CONTRIB. 349 Y 135-Water System 162, , ,369 27, % 0% 100% 0% 0% 0% 0% 0% 100% PINERY W. 1I PHASE I CONTRIB. 350 Y 135-Water System 399, , ,902 67, % 0% 100% 0% 0% 0% 0% 0% 100% NE ELEM.WTR.LINE-CONTRIB 351 Y 135-Water System 29, ,370 4, % 0% 100% 0% 0% 0% 0% 0% 100% VISTENCIA (SCOTR RD. FLG. 1A) CONTRIB. 352 Y 135-Water System 209, , ,448 35, % 0% 100% 0% 0% 0% 0% 0% 100% TIMBERS RES.4 PHASE Y 135-Water System 800, , , , % 0% 0% 100% 0% 0% 0% 0% 100% MISC. WATER PROJS. (05) 354 N 135-Water System 140, , ,109 23, ,801 0% 0% 0% 0% 0% 0% 0% 100% 100% SCADA (05) 355 N 135-Water System 2, ,258 0% 0% 0% 0% 0% 0% 0% 100% 100% RESERVOIR #2 357 N 135-Water System 1, ,429 0% 0% 0% 100% 0% 0% 0% 0% 100% RESERVOIR #3 358 N 135-Water System 1, ,429 0% 0% 0% 100% 0% 0% 0% 0% 100% RESERVOIR #4 (05) 359 N 135-Water System 996, , , , ,960 0% 0% 0% 100% 0% 0% 0% 0% 100% WELL Q (05) 360 N 135-Water System 576, , ,513 98, , % 0% 0% 0% 0% 0% 0% 0% 100% RESERVOIR #4 (01-04) 361 N 135-Water System 123, , ,480 20, ,257 0% 0% 0% 100% 0% 0% 0% 0% 100% WELL Q (02-04) 362 N 135-Water System 681, , , , , % 0% 0% 0% 0% 0% 0% 0% 100% TIMBERS DEV IMPROVEMENTS 368 Y 135-Water System 33, ,080 5, % 0% 100% 0% 0% 0% 0% 0% 100% Water system N 135-Water System 1,459, , , ,573 1,185,481 0% 0% 100% 0% 0% 0% 0% 0% 100% Developer contributed water 379 Y 135-Water System 1,366, , , , % 0% 0% 0% 0% 0% 0% 0% 100% water system N 135-Water System 147, , ,312 24, ,717 0% 0% 100% 0% 0% 0% 0% 0% 100% Developer contributed water 389 Y 135-Water System 3,440, , , , % 0% 0% 0% 0% 0% 0% 0% 100% Developer contributed water 396 Y 135-Water System 320, , ,066 44, % 0% 0% 0% 0% 0% 0% 0% 100% SCADA N 135-Water System 34, , ,363 18,777 15,362 0% 0% 0% 0% 0% 0% 0% 100% 100% Residential meters N 135-Water System 15, , ,969 8,518 6,969 0% 0% 0% 0% 0% 0% 100% 0% 100% Residential meters N 135-Water System 6, ,439 3,136 3,833 0% 0% 0% 0% 0% 0% 100% 0% 100% Pump Station No N 135-Water System 47, , ,074 14,238 33,222 0% 0% 0% 0% 100% 0% 0% 0% 100% Security - water 410 N 135-Water System 39, , ,848 17,805 21,762 0% 0% 0% 0% 0% 0% 0% 100% 100% Residential meters N 135-Water System 11, , ,907 4,069 7,557 0% 0% 0% 0% 0% 0% 100% 0% 100% SCADA N 135-Water System 24, , ,025 8,435 15,666 0% 0% 0% 0% 0% 0% 0% 100% 100% Chambers Pipeline Project 420 N 135-Water System 12, ,571 0% 0% 100% 0% 0% 0% 0% 0% 100% WISE Project N 135-Water System 14, , ,544 4,961 9, % 0% 0% 0% 0% 0% 0% 0% 100% Weather station 422 N 135-Water System 3, ,185 1,974 0% 0% 0% 0% 0% 0% 0% 100% 100% Hydrant - Windfront 423 N 135-Water System 7, ,296 6,108 0% 0% 100% 0% 0% 0% 0% 0% 100% Hydrant - Rivera Ct 424 N 135-Water System 4, ,928 0% 0% 100% 0% 0% 0% 0% 0% 100% Pump station #1 conversion 425 N 135-Water System 19, , ,241 4,538 14,911 0% 0% 0% 0% 100% 0% 0% 0% 100% Well C2A 436 N 135-Water System 167, , ,997 39, , % 0% 0% 0% 0% 0% 0% 0% 100% Residential meters N 135-Water System 2, ,989 0% 0% 0% 0% 0% 0% 100% 0% 100% Badger meters 440 N 135-Water System 539, , , , ,641 0% 0% 0% 0% 0% 0% 100% 0% 100% Water system soft costs - salaries 441 N 135-Water System 163, , ,339 27, ,159 0% 0% 0% 0% 0% 0% 0% 100% 100% Misc water projects 442 N 135-Water System 133, , ,306 22, ,882 0% 0% 0% 0% 0% 0% 0% 100% 100% SCADA N 135-Water System 43, , ,479 10,798 32,393 0% 0% 0% 0% 0% 0% 0% 100% 100% Well maint/pump replacement 444 N 135-Water System 39, , ,861 9,769 29, % 0% 0% 0% 0% 0% 0% 0% 100% Misc Distribution system 445 N 135-Water System 20, , ,114 5,190 15,569 0% 0% 100% 0% 0% 0% 0% 0% 100% Well V 446 N 135-Water System 898, , , , , % 0% 0% 0% 0% 0% 0% 0% 100% Pump station #4 447 N 135-Water System 632, , ,720 94, ,741 0% 0% 0% 0% 100% 0% 0% 0% 100% Pump station #5 448 N 135-Water System 13, ,324 2,207 11,036 0% 0% 0% 0% 100% 0% 0% 0% 100% Well C2A 449 N 135-Water System 14, ,472 2,453 12, % 0% 0% 0% 0% 0% 0% 0% 100% WISE projects 455 N 135-Water System 4, , % 0% 0% 0% 0% 0% 0% 0% 100% Chatfield storage 456 N 135-Water System 1, , % 0% 0% 0% 0% 0% 0% 0% 100% Chambers pipeline 457 N 135-Water System 16, , ,671 2,786 13,928 0% 0% 100% 0% 0% 0% 0% 0% 100% Well O N 135-Water System 46, , ,564 4,691 42, % 0% 0% 0% 0% 0% 0% 0% 100% Pump Station Nos. 2, 4 & N 135-Water System 33, , ,127 3,382 30,438 0% 0% 0% 0% 100% 0% 0% 0% 100% Meters - Residential (2012) 460 N 135-Water System 107, , ,385 16,155 91,545 0% 0% 0% 0% 0% 0% 100% 0% 100% Meters - Commercial (2012) 461 N 135-Water System 65, , ,289 9,866 55,910 0% 0% 0% 0% 0% 0% 100% 0% 100% Badger meters (2012) 462 N 135-Water System 604, , ,201 90, ,422 0% 0% 0% 0% 0% 0% 100% 0% 100% Water system soft costs - salaries (2012) 463 N 135-Water System 162, , ,424 16, ,437 0% 0% 0% 0% 0% 0% 0% 100% 100% Misc water projects N 135-Water System 294, , ,817 29, ,061 0% 0% 0% 0% 0% 0% 0% 100% 100% SCADA N 135-Water System 86, , ,308 12,925 73,245 0% 0% 0% 0% 0% 0% 0% 100% 100% MWH Appendix C - 10 Well A N 135-Water System 4, , % 0% 0% 0% 0% 0% 0% 0% 100% Well maint/pump replacement N 135-Water System 42, , ,117 6,350 35, % 0% 0% 0% 0% 0% 0% 0% 100% Well N N 135-Water System 80, , ,681 8,043 72, % 0% 0% 0% 0% 0% 0% 0% 100% Administration Metering Indirect Check Total

57 Description Asset # Contributed System Original Cost Year Acquired Annual Depreciation Expense Est. Useful Life (yrs) Beginning Acc. Depreciation 2014 Cost-of-Service Rates and Fees Study End Acc. Depreciation Net Book Value - End of Test Year Supply Treatment Transmission & Distribution Storage Pumping Dawson Well I N 135-Water System 736, , ,542 73, , % 0% 0% 0% 0% 0% 0% 0% 100% Misc distribution system N 135-Water System 74, , ,736 11,207 63,505 0% 0% 100% 0% 0% 0% 0% 0% 100% Well Q N 135-Water System 3, , % 0% 0% 0% 0% 0% 0% 0% 100% Well C2A N 135-Water System % 0% 0% 0% 0% 0% 0% 0% 100% Well L N 135-Water System 9, , % 0% 0% 0% 0% 0% 0% 0% 100% Well C2A N 135-Water System 5, , % 0% 0% 0% 0% 0% 0% 0% 100% Misc distribution system N 135-Water System 160, , , ,045 0% 0% 100% 0% 0% 0% 0% 0% 100% Pump station #1 conversion 492 N 135-Water System 16, ,173 0% 0% 0% 0% 100% 0% 0% 0% 100% SCADA Water N 135-Water System 32, , ,634 31,040 0% 0% 0% 0% 0% 0% 0% 100% 100% Misc water projects N 135-Water System 284, , , ,349 0% 0% 0% 0% 0% 0% 0% 100% 100% Water system soft costs - salaries (2013) 495 N 135-Water System 121, , , ,719 0% 0% 0% 0% 0% 0% 0% 100% 100% Meters - Commercial (2013) 496 N 135-Water System 55, , ,780 52,811 0% 0% 0% 0% 0% 0% 100% 0% 100% Valve upgrades 497 N 135-Water System 11, ,871 0% 0% 100% 0% 0% 0% 0% 0% 100% BINGHAM LAKE & DAM 123 N 150-Bingham Lake & D 350, , , , ,000 0% 0% 0% 100% 0% 0% 0% 0% 100% BINGHAM LAKE 124 N 150-Bingham Lake & D 15, ,091 8,528 6,783 0% 0% 0% 100% 0% 0% 0% 0% 100% AERATION SYSTEM 125 N 150-Bingham Lake & D 8, ,796 8, % 0% 0% 100% 0% 0% 0% 0% 100% Bingham Lake & Dam (03) 284 N 150-Bingham Lake & D 113, , ,532 23,798 89,528 0% 0% 0% 100% 0% 0% 0% 0% 100% Bingham Lake & Dam (02) 301 N 150-Bingham Lake & D 25, ,921 5,439 20,463 0% 0% 0% 100% 0% 0% 0% 0% 100% BINGHAM LAKE LAND 333 N 150-Bingham Lake & D 80, ,000 0% 0% 0% 100% 0% 0% 0% 0% 100% BINGHAM LAKE 334 N 150-Bingham Lake & D 18, ,920 3,281 14,781 0% 0% 0% 100% 0% 0% 0% 0% 100% BINGHAM LAKE (05) 363 N 150-Bingham Lake & D 2, ,752 0% 0% 0% 100% 0% 0% 0% 0% 100% Bingham Lake N 150-Bingham Lake & D 8, ,904 0% 0% 0% 100% 0% 0% 0% 0% 100% WATER RIGHTS 82 N 170-Water Rights 93, , % 0% 0% 0% 0% 0% 0% 0% 100% WATER RIGHTS 83 N 170-Water Rights 469, , % 0% 0% 0% 0% 0% 0% 0% 100% WATER RIGHTS 84 N 170-Water Rights 4,500, ,500, % 0% 0% 0% 0% 0% 0% 0% 100% WATER RIGHTS 85 N 170-Water Rights 275, , % 0% 0% 0% 0% 0% 0% 0% 100% WTR.RIGHTS-WESTERRA REATA 364 Y 170-Water Rights 96, % 0% 0% 0% 0% 0% 0% 0% 100% WATER RIGHTS-EVANS 365 N 170-Water Rights 166, , % 0% 0% 0% 0% 0% 0% 0% 100% WATER RIGHTS- 366 N 170-Water Rights 3,642, ,642, % 0% 0% 0% 0% 0% 0% 0% 100% 2006 Water Rights 374 N 170-Water Rights 327, , % 0% 0% 0% 0% 0% 0% 0% 100% CO Golf - water rights 383 Y 170-Water Rights 264, % 0% 0% 0% 0% 0% 0% 0% 100% Reata Water Rights 394 Y 170-Water Rights 1,000, % 0% 0% 0% 0% 0% 0% 0% 100% Water rights N 170-Water Rights 183, , % 0% 0% 0% 0% 0% 0% 0% 100% Water rights N 170-Water Rights 216, , % 0% 0% 0% 0% 0% 0% 0% 100% Water rights N 170-Water Rights 132, , % 0% 0% 0% 0% 0% 0% 0% 100% GIS Program 377 N 180-GIS program 20, , ,296 15,341 5,114 0% 0% 0% 0% 0% 0% 0% 100% 100% GIS N 180-GIS program 5, ,220 3,806 2,049 0% 0% 0% 0% 0% 0% 0% 100% 100% GIS N 180-GIS program 42, , ,033 23,262 19,033 0% 0% 0% 0% 0% 0% 0% 100% 100% GIS N 180-GIS program 41, , ,397 18,510 22,623 0% 0% 0% 0% 0% 0% 0% 100% 100% GIS N 180-GIS program 1, % 0% 0% 0% 0% 0% 0% 100% 100% GIS N 180-GIS program 6, ,027 0% 0% 0% 0% 0% 0% 0% 100% 100% GIS N 180-GIS program 9, ,648 0% 0% 0% 0% 0% 0% 0% 100% 100% GIS N 180-GIS program 5, ,561 0% 0% 0% 0% 0% 0% 0% 100% 100% Groundwater Monitor (02) 244 N 190-Equip & Tools 1, ,889 1, % 0% 0% 0% 0% 0% 0% 0% 100% Instrument (power crane) 245 N 190-Equip & Tools 5, ,419 5, % 0% 0% 0% 0% 0% 0% 100% 100% John Deere Z915B Mower 478 N 190-Equip & Tools 4, ,644 0% 0% 0% 0% 0% 0% 0% 100% 100% Electric power savers 479 N 190-Equip & Tools 2, ,359 0% 0% 0% 0% 100% 0% 0% 0% 100% OFFICE REMODEL 45 N 191-Building-New Offic 11, ,212 9,948 1,106 0% 0% 0% 0% 0% 100% 0% 0% 100% OFFICE REMODEL 46 N 191-Building-New Offic 47, , ,651 39,839 7,967 0% 0% 0% 0% 0% 100% 0% 0% 100% New Office Bldg. (02) 290 N 191-Building-New Offic 471, , , , ,563 0% 0% 0% 0% 0% 100% 0% 0% 100% New Office Bldg. (03) 291 N 191-Building-New Offic 96, , ,713 33,947 63,043 0% 0% 0% 0% 0% 100% 0% 0% 100% Building improvements 400 N 191-Building-New Offic 16, , ,947 6,047 10,445 0% 0% 0% 0% 0% 100% 0% 0% 100% Building improvement - downstairs remodel 430 N 191-Building-New Offic 3, ,826 0% 0% 0% 0% 0% 100% 0% 0% 100% CRANE 21 N 192-Vehicles 3, ,000 3, % 0% 0% 0% 0% 0% 0% 100% 100% TRUCK RACK 26 N 192-Vehicles 2, ,344 2, % 0% 0% 0% 0% 0% 0% 100% 100% 1994 CHEV TRUCK 27 N 192-Vehicles 13, ,278 13, % 0% 0% 0% 0% 0% 0% 100% 100% 1998 GMC TRUCK 31 N 192-Vehicles 15, ,219 15, % 0% 0% 0% 0% 0% 0% 100% 100% TOOL BOXES & RADIOS 36 N 192-Vehicles 4, ,515 4, % 0% 0% 0% 0% 0% 0% 100% 100% CATERPILLAR 416C BACKHOE 37 N 192-Vehicles 45, ,750 45, % 0% 0% 0% 0% 0% 0% 100% 100% BLADE FOR CASE TRACTOR 38 N 192-Vehicles 1, ,575 1, % 0% 0% 0% 0% 0% 0% 100% 100% 97 DUMP TRUCK 44 N 192-Vehicles 16, ,303 16, % 0% 0% 0% 0% 0% 0% 100% 100% Ford F-150 (2003) 293 N 192-Vehicles 13, ,126 13, % 0% 0% 0% 0% 0% 0% 100% 100% Tool Boxes (2 Alum.) Single Lids 295 N 192-Vehicles % 0% 0% 0% 0% 0% 0% 100% 100% Jeep Liberty (2003) Stone White 296 N 192-Vehicles 13, ,479 13, % 0% 0% 0% 0% 0% 0% 100% 100% Kawasaki (2004) 299 N 192-Vehicles 15, ,182 15, % 0% 0% 0% 0% 0% 0% 100% 100% Bobcat (2003) 300 N 192-Vehicles 31, , ,525 31, % 0% 0% 0% 0% 0% 0% 100% 100% BOBCAT ACCESSORIES 335 N 192-Vehicles 3, ,818 3, % 0% 0% 0% 0% 0% 0% 100% 100% Ford F150 4x4 (2005) 340 N 192-Vehicles 19, ,151 19, % 0% 0% 0% 0% 0% 0% 100% 100% Ford F150 4x4 (2005) 341 N 192-Vehicles 19, ,151 19, % 0% 0% 0% 0% 0% 0% 100% 100% Escape Hybrid 4WD (4DR) N 192-Vehicles 20, ,794 20, % 0% 0% 0% 0% 0% 0% 100% 100% Ford F150 (2007) 391 N 192-Vehicles 13, ,477 13, % 0% 0% 0% 0% 0% 0% 100% 100% Dodge Dakota (2008) 392 N 192-Vehicles 14, ,439 14, % 0% 0% 0% 0% 0% 0% 100% 100% 2008 GMC Truck - Sierra 4WD Ext Cab 402 N 192-Vehicles 15, ,192 15, % 0% 0% 0% 0% 0% 0% 100% 100% MWH Appendix C Chevy Truck #1GCHK34K38E N 192-Vehicles 16, ,454 16, % 0% 0% 0% 0% 0% 0% 100% 100% 2008 Chevy Truck #1GCHK34K38E N 192-Vehicles 21, ,939 21, % 0% 0% 0% 0% 0% 0% 100% 100% Polaris Rgr 700 EF - 4XAHH68A N 192-Vehicles 17, ,228 17, % 0% 0% 0% 0% 0% 0% 100% 100% Administration Metering Indirect Check Total

58 Description Asset # Contributed System Original Cost Year Acquired Annual Depreciation Expense Est. Useful Life (yrs) Beginning Acc. Depreciation 2014 Cost-of-Service Rates and Fees Study End Acc. Depreciation Net Book Value - End of Test Year Supply Treatment Transmission & Distribution Storage Pumping Ford 150 Truck N 192-Vehicles 16, , ,364 16, % 0% 0% 0% 0% 0% 0% 100% 100% Ford 150 Truck (1) N 192-Vehicles 25, , ,134 15,695 9,987 0% 0% 0% 0% 0% 0% 0% 100% 100% Ford 150 Trucks (2) N 192-Vehicles 38, , ,254 17,017 21,272 0% 0% 0% 0% 0% 0% 0% 100% 100% Caterpillar Backhoe 430D 4WD 482 N 192-Vehicles 50, ,906 0% 0% 0% 0% 0% 0% 0% 100% 100% 2 Sets of Tool Boxes for New Trucks 483 N 192-Vehicles 3, ,781 0% 0% 0% 0% 0% 0% 0% 100% 100% 2 Ford F-150 Trucks (2013) 484 N 192-Vehicles 40, , ,358 36,934 0% 0% 0% 0% 0% 0% 0% 100% 100% New Office Furn/Panel Sys./Workstatins/Tables 250 N 194-Furn./Office Equip. 27, ,430 27, % 0% 0% 0% 0% 100% 0% 0% 100% Server Upgrade (02) 261 N 194-Furn./Office Equip. 9, ,321 9, % 0% 0% 0% 0% 100% 0% 0% 100% Computers 367 N 194-Furn./Office Equip. 9, ,887 9, % 0% 0% 0% 0% 100% 0% 0% 100% Office equipment 378 N 194-Furn./Office Equip. 2, ,159 2, % 0% 0% 0% 0% 100% 0% 0% 100% Office/comp equip N 194-Furn./Office Equip. 19, ,668 19, % 0% 0% 0% 0% 100% 0% 0% 100% Office furniture N 194-Furn./Office Equip. 5, ,547 5, % 0% 0% 0% 0% 100% 0% 0% 100% 2 computers 415 N 194-Furn./Office Equip. 1, ,695 1, % 0% 0% 0% 0% 100% 0% 0% 100% Office furniture N 194-Furn./Office Equip. 3, , ,594 2, % 0% 0% 0% 0% 100% 0% 0% 100% Computer networking N 194-Furn./Office Equip. 19, , ,568 15,947 3,190 0% 0% 0% 0% 0% 100% 0% 0% 100% Computer networking N 194-Furn./Office Equip. 38, , ,433 19,299 19,299 0% 0% 0% 0% 0% 100% 0% 0% 100% Lenovo ThinkPad T N 194-Furn./Office Equip. 1, ,349 0% 0% 0% 0% 0% 100% 0% 0% 100% Phone System (NEC SV8100) 481 N 194-Furn./Office Equip. 8, ,553 0% 0% 0% 0% 0% 100% 0% 0% 100% SHOP BUILDING 14 N 196-Buildings 46, ,309 46, % 0% 0% 0% 0% 100% 0% 0% 100% LANDSCAPING 15 N 196-Buildings 12, ,818 0% 0% 0% 0% 0% 100% 0% 0% 100% OFFICE BUILDING 18 N 196-Buildings 50, ,133 50, % 0% 0% 0% 0% 100% 0% 0% 100% MAINTENANCE BLDG #98 8 N 197-Building Maint 11, ,625 9,375 1,875 0% 0% 0% 0% 0% 0% 0% 100% 100% MAINTENANCE BLDG (99) 9 N 197-Building Maint 46, , ,283 38,351 7,670 0% 0% 0% 0% 0% 0% 0% 100% 100% MAINTENANCE BLDG (00) 10 N 197-Building Maint 458, , , ,294 76,459 0% 0% 0% 0% 0% 0% 0% 100% 100% MAINTENANCE BLDG (01) 11 N 197-Building Maint 93, , ,306 77,507 15,501 0% 0% 0% 0% 0% 0% 0% 100% 100% LAND 1 N 98-Land & Right of Wa 115, ,240 0% 0% 0% 0% 0% 0% 0% 100% 100% LAND 2 N 98-Land & Right of Wa 12, ,020 0% 0% 0% 0% 0% 0% 0% 100% 100% LAND 3 N 98-Land & Right of Wa 13, ,982 0% 0% 0% 0% 0% 0% 0% 100% 100% LAND & RIGHT OF WAY 4 N 98-Land & Right of Wa 8, ,519 0% 0% 0% 0% 0% 0% 0% 100% 100% LAND & RIGHT OF WAY 5 N 98-Land & Right of Wa 4, ,938 0% 0% 0% 0% 0% 0% 0% 100% 100% LAND & RIGHT OF WAY 6 N 98-Land & Right of Wa % 0% 0% 0% 0% 0% 0% 100% 100% LAND (PUMP STATION 3) 7 N 98-Land & Right of Wa 1, ,847 0% 0% 0% 0% 0% 0% 0% 100% 100% Land & Right of Way (03) 292 N 98-Land & Right of Wa 37, ,613 0% 0% 0% 0% 0% 0% 0% 100% 100% Land/right of way N 98-Land & Right of Wa 2, ,250 0% 0% 0% 0% 0% 0% 0% 100% 100% Land/right of way N 98-Land & Right of Wa 6, ,906 0% 0% 0% 0% 0% 0% 0% 100% 100% Reata easement N 98-Land & Right of Wa 31, ,000 0% 0% 0% 0% 0% 0% 0% 100% 100% Reata easement N 98-Land & Right of Wa 3, ,250 0% 0% 0% 0% 0% 0% 0% 100% 100% Land & right of way N 98-Land & Right of Wa 441, ,617 0% 0% 0% 0% 0% 0% 0% 100% 100% Administration Metering Indirect Check Total TOTALS 62,278,431 1,495,377 14,358,325 15,853,701 33,931,495 MWH Appendix C - 12

59 ALLOCATION OF UTILITY PLANT IN SERVICE TO COST SHARING GROUPS AND CLASSES GRAND TOTAL System Function Base Max-Day Max-Hour Customer Meter Totals Supply $16,522,536 $0 $0 $0 $0 $16,522,536 Treatment Transmission & Distribution 1,695,025 2,289,794 1,680, ,665,733 Storage 1,596,566 2,156,787 1,583, ,336,629 Pumping 599, , , ,004,778 Administration , ,688 Metering ,191,590 1,191,590 Indirect 1,817, , ,508 38, ,070 2,773,541 TOTALS $22,231,052 $5,724,745 $4,202,477 $475,560 $1,297,660 $33,931,495 System Function Base Max-Day Max-Hour Customer Meter Totals Residential $15,704,818 $3,464,879 $3,560,491 $465,718 $1,219,804 $24,415,710 Commercial 542, , ,918 3,132 20, ,062 Large Irrigation 1,560, , ,068 5,704 27,007 2,761,830 Pinery Golf Irrigation 1,526, , ,494 2,051,227 CGC & Pradera Golf Irrigation 2,897, , ,851 3,899,665 Ready-to-Serve TOTALS $22,231,052 $5,724,745 $4,202,477 $475,560 $1,297,660 $33,931,495 System Function Base Max-Day Max-Hour Customer Meter Totals Residential 46% 10% 10% 1% 4% 72% Commercial 2% 0% 0% 0% 0% 2% Large Irrigation 5% 2% 2% 0% 0% 8% Pinery Golf Irrigation 4% 2% 0% 0% 0% 6% CGC & Pradera Golf Irrigation 9% 3% 0% 0% 0% 11% Ready-to-Serve 0% 0% 0% 0% 0% 0% TOTALS 66% 17% 12% 1% 4% 100% System Function Base Max-Day Max-Hour Customer Meter Totals Residential 64% 14% 15% 2% 5% 100% Commercial 68% 14% 15% 0% 3% 100% Large Irrigation 56% 23% 19% 0% 1% 100% Pinery Golf Irrigation 74% 25% 0% 0% 0% 100% CGC & Pradera Golf Irrigation 74% 25% 0% 0% 1% 100% Ready-to-Serve 0% 0% 0% 0% 0% 0% MWH Appendix C - 13

60 COST OF CAPITAL AND SUMMARY OF CAPITAL COSTS TO CLASSES Allocation of Capital Costs to Classes Residential Commercial Large Irrigation Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-Serve Totals Ownership Status % % % % % % Total Fixed Asset Allocation $24,415,710 $803,062 $2,761,830 $2,051,227 $3,899,665 $0 $33,931,495 Percentage of Total 71.96% 2.37% 8.14% 6.05% 11.49% 0.00% Capital Costs for Owners Total Cash-Needs Capital Costs - Owners $8,122,182 $267,148 $918,756 $682,366 $1,297,271 $0 $11,287,723 Total Capital Costs by Class $8,122,182 $267,148 $918,756 $682,366 $1,297,271 $0 $11,287,723 % of Total 72.0% 2.4% 8.1% 6.0% 11.5% 0.0% 100.0% MWH Appendix C - 14

61 CALCULATION OF CAPITAL UNIT COSTS BY COST SHARING GROUP AND CLASS Joint System Function Base Max-Day Max-Hour Customer Meter Residential $5,224,398 $1,152,634 $1,184,441 $154,927 $405,783 Commercial 180,503 38,558 40,225 1,042 6,821 Large Irrigation 519, , ,340 1,898 8,984 Pinery Golf Irrigation 507, , ,826 CGC & Pradera Golf Irrigation 963, , ,269 Ready-to-Serve TOTALS $7,395,429 $1,904,406 $1,398,005 $158,201 $431,682 Joint Units 864,575 3,200 2,349 4,252 4,430 Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters $ / Unit $8.55 $ $ $37.21 $97.44 MWH Appendix C - 15

62 TOTAL ALLOCATED CAPITAL COSTS System Function Base Max-Day Max-Hour Customer Meter Totals Residential $5,224,398 $1,152,634 $1,184,441 $154,927 $405,783 $8,122,182 Commercial 180,503 38,558 40,225 1,042 6, ,148 Large Irrigation 519, , ,340 1,898 8, ,756 Pinery Golf Irrigation 507, , , ,366 CGC & Pradera Golf Irrigation 963, , ,269 1,297,271 Ready-to-Serve TOTALS $7,395,429 $1,904,406 $1,398,005 $158,201 $431,682 $11,287,723 TOTAL ALLOCATED CAPITAL COSTS % System Function Base Max-Day Max-Hour Customer Meter Totals Residential 46% 10% 10% 1% 4% 72% Commercial 2% 0% 0% 0% 0% 2% Large Irrigation 5% 2% 2% 0% 0% 8% Pinery Golf Irrigation 4% 2% 0% 0% 0% 6% CGC & Pradera Golf Irrigation 9% 3% 0% 0% 0% 11% Ready-to-Serve 0% 0% 0% 0% 0% 0% TOTALS 66% 17% 12% 1% 4% 100% MWH Appendix C - 16

63 FUNCTIONALIZED OPERATING AND MAINTENANCE EXPENDITURES Description Test Year Requirement Supply Treatment Transmission & Distribution Storage Pumping Administration WATER OPERATING EXPENSES 100% Auto expenses/vehicle maintenance $51,142 20% 20% 20% 20% 20% 100% Communications 11, % 0% 100% Employee benefits 204, % 100% Laboratory testing and chemicals 158, % 100% Legal 132, % 0% 100% Outside services 15, % 100% Payroll taxes 39, % 100% Repairs, maintenance and supplies 214,798 25% 25% 25% 25% 100% Salaries and related costs 545, % 100% Small tools and safety items 8,694 25% 25% 25% 25% 0% 100% Utilities 782,477 50% 50% 100% Purchase of water from CCPWA/WISE 25, % 100% NONOPERATING EXPENSES 100% Accounting and audit 95, % 100% Admin vehicle % 100% Billing systems service 13, % 100% Data processing 30, % 100% Directors' fees 6, % 100% Dues and seminars 30, % 100% Employee benefits 66, % 0% 100% Insurance 76, % 100% Legal 176,441 0% 100% 100% Miscellaneous 5, % 100% Office expense 15, % 100% Outside services 38, % 100% Repairs and maintenance - Office 19, % 100% Salaries and related costs 252, % 100% Payroll taxes 19, % 100% Safety and training 17,644 25% 25% 25% 25% 0% 100% Security services 16,877 25% 25% 25% 25% 0% 100% Conservation 38, % 100% Customer communications 34, % 100% Telephone and utilities 7, % 100% CCPWA assessment 93, % 100% SMWSA 5, % 100% CCPWA water purchase 0 100% 100% WISE participation - operations 0 100% 100% O&M Associated with CIP 100% CCPWA (assumes 20% Participation AF) 0 100% 100% Pinery Local Water Supply Projects 12, % 100% Pinery Water System Projects 0 25% 25% 25% 25% 100% WISE O&M 100% Subscription Fee (500 AF at $5.50 per kgal) 0 100% 100% WISE Authority Operations 62, % 100% Operational Reserve 45, % 100% WISE Core Infrastructure (per BV cost estimates) 0 0% 75% 25% 100% Ridgegate Line to Stroh Road (per Providence cost estimates 6/4/14) 0 0% 75% 25% 100% Stroh to Pump Station #1 Pipeline (negligable) 0 0% 100% 100% Chloramines (requires additional chemical treatment) 0 0% 100% 100% Metering Indirect Check Total Total 3,370,673 MWH Appendix C - 17

64 ALLOCATION OF OPERATING EXPENDITURES TO COST SHARING GROUPS AND CLASSES GRAND TOTAL System Function Base Max-Day Max-Hour Customer Meter Totals Supply $805,841 $0 $0 $0 $0 $805,841 Treatment 99, , ,273 Transmission & Distribution 22,358 30,203 22, ,732 Storage 22,358 30,203 22, ,732 Pumping 139, , , ,970 Administration , ,188 Metering ,037 24,037 Indirect 527, ,799 99,689 11,281 30, ,902 TOTALS $1,616,539 $518,570 $282,276 $898,469 $54,819 $3,370,673 System Function Base Max-Day Max-Hour Customer Meter Totals Residential $1,141,981 $313,862 $239,154 $879,874 $51,530 $2,626,402 Commercial 39,455 10,499 8,122 5, ,859 Large Irrigation 113,456 58,678 35,000 10,777 1, ,051 Pinery Golf Irrigation 110,988 46, ,325 CGC & Pradera Golf Irrigation 210,657 88, , ,035 Ready-to-Serve TOTALS $1,616,539 $518,570 $282,276 $898,469 $54,819 $3,370,673 System Function Base Max-Day Max-Hour Customer Meter Totals Residential 34% 9% 7% 26% 2% 78% Commercial 1% 0% 0% 0% 0% 2% Large Irrigation 3% 2% 1% 0% 0% 6% Pinery Golf Irrigation 3% 1% 0% 0% 0% 5% CGC & Pradera Golf Irrigation 6% 3% 0% 0% 0% 9% Ready-to-Serve 0% 0% 0% 0% 0% 0% TOTALS 48% 15% 8% 27% 2% 100% MWH Appendix C - 18

65 CALCULATION OF OPERATING UNIT COSTS BY COST SHARING GROUP AND CLASS Joint System Function Base Max-Day Max-Hour Customer Meter Residential $1,141,981 $313,862 $239,154 $879,874 $51,530 Commercial 39,455 10,499 8,122 5, Large Irrigation 113,456 58,678 35,000 10,777 1,141 Pinery Golf Irrigation 110,988 46, CGC & Pradera Golf Irrigation 210,657 88, , Ready-to-Serve TOTALS $1,616,539 $518,570 $282,276 $898,469 $54,819 Joint Units 864,575 3,200 2,349 4,252 4,430 Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters $ / Unit $1.87 $ $ $ $12.37 MWH Appendix C - 19

66 TOTAL ALLOCATED O&M COSTS System Function Base Max-Day Max-Hour Customer Meter Totals Residential $1,141,981 $313,862 $239,154 $879,874 $51,530 $2,626,402 Commercial 39,455 10,499 8,122 5, ,859 Large Irrigation 113,456 58,678 35,000 10,777 1, ,051 Pinery Golf Irrigation 110,988 46, ,325 CGC & Pradera Golf Irrigation 210,657 88, , ,035 Ready-to-Serve TOTALS $1,616,539 $518,570 $282,276 $898,469 $54,819 $3,370,673 TOTAL ALLOCATED O&M COSTS % System Function Base Max-Day Max-Hour Customer Meter Totals Residential 34% 9% 7% 26% 2% 78% Commercial 1% 0% 0% 0% 0% 2% Large Irrigation 3% 2% 1% 0% 0% 6% Pinery Golf Irrigation 3% 1% 0% 0% 0% 5% CGC & Pradera Golf Irrigation 6% 3% 0% 0% 0% 9% Ready-to-Serve 0% 0% 0% 0% 0% 0% TOTALS 48% 15% 8% 27% 2% 100% MWH Appendix C - 20

67 SUMMARY ALLOCATION OF REVENUE REQUIREMENTS Joint System Function Base Max-Day Max-Hour Customer Meter Residential $6,366,380 $1,466,496 $1,423,595 $1,034,801 $457,313 Commercial 219,958 49,057 48,347 6,958 7,687 Large Irrigation 632, , ,339 12,674 10,125 Pinery Golf Irrigation 618, , ,185 CGC & Pradera Golf Irrigation 1,174, , ,988 8,192 Ready-to-Serve TOTALS $9,011,968 $2,422,976 $1,680,281 $1,056,670 $486,501 Joint Units 864,575 3,200 2,349 4,252 4,430 Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters $ / Unit $10.42 $ $ $ $ MWH Appendix C - 21

68 TOTAL ALLOCATED COSTS System Function Base Max-Day Max-Hour Customer Meter Totals Residential $6,366,380 $1,466,496 $1,423,595 $1,034,801 $457,313 $10,748,584 Commercial 219,958 49,057 48,347 6,958 7, ,008 Large Irrigation 632, , ,339 12,674 10,125 1,137,807 Pinery Golf Irrigation 618, , , ,691 CGC & Pradera Golf Irrigation 1,174, , ,988 8,192 1,599,306 Ready-to-Serve TOTALS $9,011,968 $2,422,976 $1,680,281 $1,056,670 $486,501 $14,658,396 TOTAL ALLOCATED COSTS % System Function Base Max-Day Max-Hour Customer Meter Totals Residential 43% 10% 10% 7% 3% 73% Commercial 2% 0% 0% 0% 0% 2% Large Irrigation 4% 2% 1% 0% 0% 8% Pinery Golf Irrigation 4% 1% 0% 0% 0% 6% CGC & Pradera Golf Irrigation 8% 3% 0% 0% 0% 11% Ready-to-Serve 0% 0% 0% 0% 0% 0% TOTALS 61% 17% 11% 7% 3% 100% MWH Appendix C - 22

69 TOTAL ALLOCATED NON-RATE REVENUES Customer Class Base Max-Day Max-Hour Customer Meter Total Residential $4,916,729 $1,132,569 $1,099,437 $55,777 $24,650 $7,229,162 Commercial 169,873 37,887 37, ,887 Large Irrigation 488, , , ,345 Pinery Golf Irrigation 477, , ,796 CGC & Pradera Golf Irrigation 906, , ,227,824 Ready-to-Serve TOTALS $6,959,906 $1,871,255 $1,297,674 $56,956 $26,223 $10,212,014 MWH Appendix C - 23

70 TOTAL ALLOCATED NON-RATE REVENUES Customer Class Base Max-Day Max-Hour Customer Meter Total Residential $4,916,729 $1,132,569 $1,099,437 $55,777 $24,650 $7,229,162 Commercial 169,873 37,887 37, ,887 Large Irrigation 488, , , ,345 Pinery Golf Irrigation 477, , ,796 CGC & Pradera Golf Irrigation 906, , ,227,824 Ready-to-Serve TOTALS $6,959,906 $1,871,255 $1,297,674 $56,956 $26,223 $10,212,014 MWH Appendix C - 24

71 Allocated Net Costs of Service Customer Class Base Max-Day Max-Hour Customer Meter Total Residential $1,449,650 $333,927 $324,158 $979,024 $432,663 $3,519,423 Commercial 50,085 11,171 11,009 6,583 7,273 86,121 Large Irrigation 144,023 62,429 47,440 11,991 9, ,462 Pinery Golf Irrigation 140,890 49, , ,895 CGC & Pradera Golf Irrigation 267,412 94, ,881 7, ,482 Ready-to-Serve TOTALS $2,052,062 $551,721 $382,607 $999,714 $460,278 $4,446,382 MWH Appendix C - 25

72 UNIT COST SUMMARY Residential Revenue Requirement/Group Base Max-Day Max-Hour Customer Meter Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters Operating & Maintenance Costs Joint $1.87 $ $ $ $12.37 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $1.87 $ $ $ $12.37 Capital Costs Joint $8.55 $ $ $37.21 $97.44 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $8.55 $ $ $37.21 $97.44 Non-Rate Revenue Subtotal $8.05 $ $ $13.40 $5.92 Total $2.37 $ $ $ $ MWH Appendix C - 26

73 Commercial Revenue Requirement/Group Base Max-Day Max-Hour Customer Meter Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters Operating & Maintenance Costs Joint $1.87 $ $ $ $12.37 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $1.87 $ $ $ $12.37 Capital Costs Joint $8.55 $ $ $37.21 $97.44 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $8.55 $ $ $37.21 $97.44 Non-Rate Revenue Subtotal $8.05 $ $ $13.40 $5.92 Total $2.37 $ $ $ $ MWH Appendix C - 27

74 Large Irrigation Revenue Requirement/Group Base Max-Day Max-Hour Customer Meter Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters Operating & Maintenance Costs Joint $1.87 $ $ $ $12.37 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $1.87 $ $ $ $12.37 Capital Costs Joint $8.55 $ $ $37.21 $97.44 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $8.55 $ $ $37.21 $97.44 Non-Rate Revenue Subtotal $8.05 $ $ $13.40 $5.92 Total $2.37 $ $ $ $ MWH Appendix C - 28

75 Pinery Golf Irrigation Revenue Requirement/Group Base Max-Day Max-Hour Customer Meter Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters Operating & Maintenance Costs Joint $1.87 $ $0.00 $ $12.37 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $1.87 $ $0.00 $ $12.37 Capital Costs Joint $8.55 $ $0.00 $37.21 $97.44 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $8.55 $ $0.00 $37.21 $97.44 Non-Rate Revenue Subtotal $8.05 $ $0.00 $13.40 $5.92 Total $2.37 $ $0.00 $ $ MWH Appendix C - 29

76 CGC & Pradera Golf Irrigation Revenue Requirement/Group Base Max-Day Max-Hour Customer Meter Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters Operating & Maintenance Costs Joint $1.87 $ $0.00 $ $12.37 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $1.87 $ $0.00 $ $12.37 Capital Costs Joint $8.55 $ $0.00 $37.21 $97.44 Retail Pinery Golf Irrigation CGC & Pradera Golf Irrigation Ready-to-serve Subtotal $8.55 $ $0.00 $37.21 $97.44 Non-Rate Revenue Subtotal $8.05 $ $0.00 $13.40 $5.92 Total $2.37 $ $0.00 $ $ MWH Appendix C - 30

77 UNIT COSTS BY CLASS Unit Costs Customer Class Base Max-Day Max-Hour Customer Meter Total Unit Type Kgal Kgal/Day Kgal/Day No. Accounts No. Eq. Meters Residential No. of Units 610,767 1,937 1,990 4,164 4,164 Unit Cost $2.37 $ $ $ $ Total Cost of Service $1,449,650 $333,927 $324,158 $979,024 $432,663 $3,519,423 Commercial No. of Units 21, Unit Cost $2.37 $ $ $ $ Total Cost of Service $50,085 $11,171 $11,009 $6,583 $7,273 $86,121 Large Irrigation No. of Units 60, Unit Cost $2.37 $ $ $ $ Total Cost of Service $144,023 $62,429 $47,440 $11,991 $9,579 $275,462 Pinery Golf Irrigation No. of Units 59, Unit Cost $2.37 $ $0.00 $ $ Total Cost of Service $140,890 $49,757 $0 $235 $3,013 $193,895 CGC & Pradera Golf Irrigation No. of Units 112, Unit Cost $2.37 $ $0.00 $ $ Total Cost of Service $267,412 $94,438 $0 $1,881 $7,751 $371,482 GRAND TOTALS $2,052,062 $551,721 $382,607 $999,714 $460,278 $4,446,382 % of Total 46% 12% 9% 22% 10% 100% MWH Appendix C - 31

78 Summary of Costs by Billing Factor Customer Class Volume Costs Meter Costs Customer Costs Total Residential $2,107,736 $432,663 $979,024 $3,519,423 Commercial 72,265 7,273 6,583 86,121 Large Irrigation 253,892 9,579 11, ,462 Pinery Golf Irrigation 190,647 3, ,895 CGC & Pradera Golf Irrigation 361,850 7,751 1, ,482 Ready-to-Serve GRAND TOTALS $2,986,390 $460,278 $999,714 $4,446,382 % of Total 67% 10% 22% 100% MWH Appendix C - 32

79 Cost of Service Rates Customer Class $/Kgal $/Equiv. Meter/Mo. $/Bill/Mo. Total Base Charge per Month Residential $3.45 $8.66 $19.59 $28.25 Commercial $28.25 Large Irrigation $28.25 Pinery Golf Irrigation $28.25 CGC & Pradera Golf Irrigation $28.25 Ready-to-Serve $0.00 MWH Appendix C - 33

80 Summary Revenues at Proposed Rates Customer Class Commodity Charge Service Charge Total Residential $2,107,736 $1,411,536 $3,519,272 Commercial 72,265 13,855 86,120 Large Irrigation 253,892 21, ,462 Pinery Golf Irrigation 190,647 3, ,895 CGC & Pradera Golf Irrigation 361,850 2, ,906 Ready-to-Serve Total $2,986,390 $1,452,265 $4,438,654 MWH Appendix C - 34

81 Water Class COS Customer Class Class Cost-of Service Revenues under Existing Rates Difference % Difference Residential $3,519,423 $3,479,749 ($39,674) -1.14% Commercial 86, ,075 $15, % Large Irrigation 275, ,536 ($99,926) % Pinery Golf Irrigation 193, ,976 ($49,919) % CGC & Pradera Golf Irrigation 371, ,559 ($123,923) % GRAND TOTALS $4,446,382 $4,148,895 ($297,487) -7.17% MWH Appendix C - 35

82 Wastewater Cost of Service MWH Appendix C - 36

83 Revenue Requirements Description 2015 Operating and Maintenance Expenses $1,314,628 Annual Debt Service - Outstanding Debt 812,193 Annual Debt-Service - Projected Issues 0 Capital Projects 353,483 Bond Issuance Costs 0 Other 0 Change in Fund Balance 190,819 Total Revenue Requirement $2,671,122 (Less) Non-User Charge Revenue Wholesale/Contract Revenues $0 Other Revenues 0 Projected Debt Proceeds 0 Total Other Capital Inflows 474,875 Total Development Fees 99,938 Interest/Investment Earnings 84,691 Total User-Charge Requirement $2,011,619 Summary Level Amount Operating Costs $1,314,628 Cash Needs Capital Costs 1,356,494 Non-Rate Revenues $659,504 MWH Appendix C - 37

84 Customer Demand Characteristics Month Customer Classes System Total Demands (Kgals) Residential Commercial Contract/ Wholesale January 20,759 19, February 22,620 21, March 20,304 19, April 18,638 17, May 23,220 21, June 73,102 70,210 2, July 109, ,221 3, August 113, ,189 2, September 97,222 93,358 2, October 51,446 48,098 2, November 32,982 30,330 1, December 23,253 21,336 1, Annual Inflow & Infiltration Total Billed Flows + Inflow & Inf. 606, ,481 20,214 9,291 Using billed SEWER use as indicated in the Pinery's billing data. Adjustments to Billed Flows Total Treated Flows (Est.) 606, ,481 20,214 9,291 Average Month 50,582 48,123 1, Average-Day Demand 1,663 1, Max Month 113, ,189 3, % of Max Month 101% 97% 3% 1% Conversion Factor units required to convert above flows to MG Treated Flows in MG MWH Appendix C - 38

85 Customer Service Units by Cost Sharing Group Joint Customer Class FLOW Equivalent Bills Collection Flows Residential 577,481 48, ,481 Commercial 20,214 1,152 20,214 Contract/ Wholesale 9, ,291 Totals 606,986 49, ,986 Percentage of Units in Group Residential 95% 98% 95% Commercial 3% 2% 3% Contract/ Wholesale 2% 0% 2% Total 100% 100% 100% MWH Appendix C - 39

86 Allocation Factors Parameter/Characteristic FLOW Customer COLLECTION FLOW COLLECTION 0% 0% 100% TREATMENT 100% 0% 0% CUSTOMER 0% 100% 0% INDIRECT 71% 1% 28% MWH Appendix C - 40

87 Allocation of Functional System Components to Cost Sharing Groups and Customer Characteristics These Functional Costs are Further Allocated to the Following Customer Usage Characteristics System Function/Name Allocation Type FLOW Customer COLLECTION FLOW Collection System COLLECTION 0% 0% 100% Interceptors COLLECTION 0% 0% 100% Treatment TREATMENT 100% 0% 0% Indirect INDIRECT 71% 1% 28% Admin CUSTOMER 0% 100% 0% Non-Rate Revenues TREATMENT 100% 0% 0% Metering CUSTOMER 0% 100% 0% MWH Appendix C - 41

88 Allocation of Net Plant in Service & Depreciation Expense to Functional Components and Cost Sharing Groups Description Asset # Contributed System Original Cost Year Acquired Book Depreciation Expense Est. Useful Life (Avg. Yrs.) Beginning Acc. Depreciation End Acc. Depreciation Net Book Value - End of Test Year SEWER SYSTEM 86 N 155-Sewer System 246, , , , , % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 87 N 155-Sewer System 4, ,299 2,393 2, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 88 N 155-Sewer System 4, ,998 2,091 2, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 89 N 155-Sewer System 78, , ,324 33,901 44, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 90 N 155-Sewer System 15, ,853 6,153 8, % 0% 0% 0% 0% 0% 0% 100% DISTRICT MAPPING 92 N 155-Sewer System 13, ,243 13, % 0% 0% 0% 0% 0% 0% 100% HIGH PRARIE FARMS 3 93 Y 155-Sewer System 280, , , , % 0% 0% 0% 0% 0% 0% 100% PINERY FILING Y 155-Sewer System 83, , ,227 30, % 0% 0% 0% 0% 0% 0% 100% PINERY FILING 8B-2ND AMEND 95 Y 155-Sewer System 81, , ,595 30, % 0% 0% 0% 0% 0% 0% 100% TIMBERS FILING 22 (CONTRIB) 97 Y 155-Sewer System 432, , , , % 0% 0% 0% 0% 0% 0% 100% FILING Y 155-Sewer System 63, , ,449 19, % 0% 0% 0% 0% 0% 0% 100% 1998 COMPUTER SYSTEM UPGRADE 99 N 155-Sewer System 7, ,738 7, % 0% 0% 0% 100% 0% 0% 100% 1998 MISC SEWER PROJECTS 100 N 155-Sewer System 26, , ,521 20,867 6,059 0% 0% 0% 100% 0% 0% 0% 100% CHERRY CREEK SEWER INTERCEPTOR 101 N 155-Sewer System 20, , ,729 14,746 5,594 0% 100% 0% 0% 0% 0% 0% 100% SEWER PROJECT UPGRADES-MISC N 155-Sewer System 36, , ,614 26,437 10,028 0% 0% 0% 100% 0% 0% 0% 100% CHERRY CREEK SWRINTERCEPTOR-CDG 103 N 155-Sewer System 143, , ,469 96,627 46,523 0% 100% 0% 0% 0% 0% 0% 100% OFFSITE SEWER LINES-CDG 104 N 155-Sewer System 261, , ,426 70, , % 0% 0% 0% 0% 0% 0% 100% SEWERLINE FROM SSMH-CDG 105 N 155-Sewer System 109, , ,311 29,496 79, % 0% 0% 0% 0% 0% 0% 100% TRINITY LUTHERAN CHURCH 106 Y 155-Sewer System 104, , ,012 28, % 0% 0% 0% 0% 0% 0% 100% PINERY Y 155-Sewer System 415, , , , % 0% 0% 0% 0% 0% 0% 100% PINERY 23A 108 Y 155-Sewer System 283, , ,998 76, % 0% 0% 0% 0% 0% 0% 100% PINERY Y 155-Sewer System 510, , , , % 0% 0% 0% 0% 0% 0% 100% PINERY 23B 110 Y 155-Sewer System 451, , , , % 0% 0% 0% 0% 0% 0% 100% PINERY 24A 111 Y 155-Sewer System 381, , ,762 95, % 0% 0% 0% 0% 0% 0% 100% PINERY 24B-PHASE I 112 Y 155-Sewer System 850, , , , % 0% 0% 0% 0% 0% 0% 100% PINERY GLEN 113 Y 155-Sewer System 1,542, , , , % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 115 N 155-Sewer System 488, , , ,569 92, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 117 N 155-Sewer System 199, , , ,347 45, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 118 N 155-Sewer System 355, , , ,775 88, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 119 N 155-Sewer System 16, ,666 12,005 4, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 120 N 155-Sewer System 142, , ,426 95,269 46, % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 121 N 155-Sewer System 10, , % 0% 0% 0% 0% 0% 0% 100% SEWER SYSTEM 122 N 155-Sewer System 89, , ,659 56,451 33, % 0% 0% 0% 0% 0% 0% 100% WWTP Master Plan (99) 239 N 155-Sewer System 22, ,879 22, % 0% 100% 0% 0% 0% 0% 100% WWTP Master Plan (00) 240 N 155-Sewer System 159, , , % 0% 100% 0% 0% 0% 0% 100% Pinery West Metro.Dist.Constr.Plans (03) 266 Y 155-Sewer System 1,468, , , , % 0% 0% 0% 0% 0% 0% 100% Bayou Gulch Regl.Park Impvt.s-Ph.I (Conrib) 303 Y 155-Sewer System 38, ,281 8, % 0% 0% 0% 0% 0% 0% 100% Sewer Developer Plans 304 N 155-Sewer System 16, ,068 3,391 12, % 0% 0% 0% 0% 0% 0% 100% TIMBERS 24B PHASE Y 155-Sewer System 259, , ,905 47, % 0% 0% 0% 0% 0% 0% 100% TIMBERS 26A, 28A, 28B 317 Y 155-Sewer System 527, , ,273 95, % 0% 0% 0% 0% 0% 0% 100% PINERY 1A 318 Y 155-Sewer System 77, , ,572 14, % 0% 0% 0% 0% 0% 0% 100% PINERY 1B 319 Y 155-Sewer System 290, , ,021 52, % 0% 0% 0% 0% 0% 0% 100% PINERY 1C 320 Y 155-Sewer System 249, , ,350 45, % 0% 0% 0% 0% 0% 0% 100% PINERY 1D 321 Y 155-Sewer System 195, , ,555 35, % 0% 0% 0% 0% 0% 0% 100% PINERY 1E 322 Y 155-Sewer System 340, , ,059 61, % 0% 0% 0% 0% 0% 0% 100% PINERY 1G 324 Y 155-Sewer System 705, , , , % 0% 0% 0% 0% 0% 0% 100% BUFFALO RANCH 325 Y 155-Sewer System 17, ,843 3, % 0% 0% 0% 0% 0% 0% 100% TIMBERS 26B CONTRIB. 369 Y 155-Sewer System 68, , ,304 11, % 0% 0% 0% 0% 0% 0% 100% PINERY WEST 1F CONTRIB. 370 Y 155-Sewer System 716, , , , % 0% 0% 0% 0% 0% 0% 100% PINERY WEST 1H CONTRIB. 371 Y 155-Sewer System 275, , ,327 46, % 0% 0% 0% 0% 0% 0% 100% PINERY W. 1I PHASE I CONTRIB. 372 Y 155-Sewer System 1,025, , , , % 0% 0% 0% 0% 0% 0% 100% VISTENCIA (SCOT RD. FLG. 1A) CONTRIB. 373 Y 155-Sewer System 145, , ,854 24, % 0% 0% 0% 0% 0% 0% 100% Sewer system N 155-Sewer System 5,769, , , ,424 4,904, % 0% 0% 0% 0% 0% 0% 100% Developer contributed sewer 380 Y 155-Sewer System 462, , ,079 69, % 0% 0% 0% 0% 0% 0% 100% Reata (CO Golf) 382 Y 155-Sewer System 1,661, , , , % 0% 0% 0% 0% 0% 0% 100% Developer contributed sewer 385 Y 155-Sewer System 3,129, , , , % 0% 0% 0% 0% 0% 0% 100% Developer contributed sewer 399 Y 155-Sewer System 298, , ,837 32, % 0% 0% 0% 0% 0% 0% 100% Security -sewer 411 N 155-Sewer System 39, , ,848 17,805 21,762 0% 0% 0% 100% 0% 0% 0% 100% Reata Y 155-Sewer System 103, , ,212 9, % 0% 0% 0% 0% 0% 0% 100% Reata Y 155-Sewer System 45, ,283 3, % 0% 0% 0% 0% 0% 0% 100% Sewer pipe lining 426 N 155-Sewer System 44, , ,106 4,597 40, % 0% 0% 0% 0% 0% 0% 100% TOBYNE CAPITAL LEASE 48 N 175-WastewaterTreatPlant 120, , , ,000 9,000 0% 0% 100% 0% 0% 0% 0% 100% Collection System Interceptors Treatment Indirect Admin Metering Non-Rate Revenues Check Total MWH Appendix C - 42

89 SLUDGE STORAGE 49 N 175-WastewaterTreatPla 40, , ,521 37,551 3,043 0% 0% 100% 0% 0% 0% 0% 100% PRETREATMENT - MISC EQUIP 50 N 175-WastewaterTreatPla 1, ,179 1, % 0% 100% 0% 0% 0% 0% 100% SHELVING 51 N 175-WastewaterTreatPla % 0% 100% 0% 0% 0% 0% 100% SLUDGE STORAGE 52 N 175-WastewaterTreatPla 20, , ,511 17,511 2,500 0% 0% 100% 0% 0% 0% 0% 100% WWTP PROJECTS - MISC 53 N 175-WastewaterTreatPla 4, ,303 3, % 0% 100% 0% 0% 0% 0% 100% HEADWORKS (97) 54 N 175-WastewaterTreatPla 4, ,623 4, % 0% 100% 0% 0% 0% 0% 100% LABORATORY UPGRADE 55 N 175-WastewaterTreatPla 14, ,961 11,668 2,476 0% 0% 100% 0% 0% 0% 0% 100% PUMP UPGRADES 56 N 175-WastewaterTreatPla 4, ,806 4, % 0% 100% 0% 0% 0% 0% 100% 1997 NITROFICATION BASIN PROJECT 57 N 175-WastewaterTreatPla 50, , ,929 39,476 11,461 0% 0% 100% 0% 0% 0% 0% 100% 1998 NITROFICATION BASIS PROJECT 58 N 175-WastewaterTreatPla 5, ,664 3,917 1,136 0% 0% 100% 0% 0% 0% 0% 100% SFT CSTS-INT,LGL,ENG 59 N 175-WastewaterTreatPla 1,791, , ,683 1,007, ,577 0% 0% 100% 0% 0% 0% 0% 100% PRETRMT.-EFFLUENT P.S. 60 N 175-WastewaterTreatPla 79, , ,843 34,423 44,609 0% 0% 100% 0% 0% 0% 0% 100% PRETREATMENT-MACH&EQUIP 61 N 175-WastewaterTreatPla 149, , , % 0% 100% 0% 0% 0% 0% 100% SECOND TRT-FOUNDATION 62 N 175-WastewaterTreatPla 718, , , , ,536 0% 0% 100% 0% 0% 0% 0% 100% SECOND TRT-MACH&EQUIP 63 N 175-WastewaterTreatPla 562, , , % 0% 100% 0% 0% 0% 0% 100% RAS/WAS P.S.FOUNDTN 64 N 175-WastewaterTreatPla 61, , ,530 26,758 34,682 0% 0% 100% 0% 0% 0% 0% 100% RAS/WAS P.S.-BLDG 65 N 175-WastewaterTreatPla 94, , ,072 51,433 43,042 0% 0% 100% 0% 0% 0% 0% 100% RAS/WAS P.S.-MACH&EQUIP 66 N 175-WastewaterTreatPla 274, , , % 0% 100% 0% 0% 0% 0% 100% AWT OPER BLDG-FOUNDT 67 N 175-WastewaterTreatPla 383, , , , ,587 0% 0% 100% 0% 0% 0% 0% 100% AWT OPER BLDG-BLDG 68 N 175-WastewaterTreatPla 421, , , , ,834 0% 0% 100% 0% 0% 0% 0% 100% ATW OPER BLDG-MACH & EQUIP 69 N 175-WastewaterTreatPla 827, , , % 0% 100% 0% 0% 0% 0% 100% AWR OPER BLDG-PERS P 70 N 175-WastewaterTreatPla 42, ,885 42, % 0% 100% 0% 0% 0% 0% 100% SLUDGE D.B.-FOUNDATI 71 N 175-WastewaterTreatPla 40, ,849 17,660 22,890 0% 0% 100% 0% 0% 0% 0% 100% SLUDGE D.B.-BLDG 72 N 175-WastewaterTreatPla 211, , , ,322 96,506 0% 0% 100% 0% 0% 0% 0% 100% SLUDGE D.B.-MACH&EQUIP 73 N 175-WastewaterTreatPla 374, , , % 0% 100% 0% 0% 0% 0% 100% SLUDGE D.B.-PERS PRO 74 N 175-WastewaterTreatPla 22, ,780 22, % 0% 100% 0% 0% 0% 0% 100% SLUDGE H.T.-FONDATI 75 N 175-WastewaterTreatPla 48, , ,139 26,349 22,051 0% 0% 100% 0% 0% 0% 0% 100% SLUDGE H.T.-MACH & EQUIP 76 N 175-WastewaterTreatPla 43, ,397 43, % 0% 100% 0% 0% 0% 0% 100% PIPE RDS,LNDSCP, STRC 77 N 175-WastewaterTreatPla 761, , , , ,825 0% 0% 100% 0% 0% 0% 0% 100% WASTEWATER PLANT 78 N 175-WastewaterTreatPla 1, % 0% 100% 0% 0% 0% 0% 100% WASTEWATER PLANT 80 N 175-WastewaterTreatPla 15, ,600 7,990 7,594 0% 0% 100% 0% 0% 0% 0% 100% 1994 MISC ADDITIONS 81 N 175-WastewaterTreatPla 8, ,762 3,965 4,174 0% 0% 100% 0% 0% 0% 0% 100% Misc. WWTP Projs. (02) 241 N 175-WastewaterTreatPla 45, , ,743 26,004 19,221 0% 0% 100% 0% 0% 0% 0% 100% GIS Survey (00) 285 N 175-WastewaterTreatPla 4, ,834 4, % 0% 0% 0% 0% 0% 0% 100% GIS Survey (01) 286 N 175-WastewaterTreatPla 59, ,139 59, % 0% 0% 0% 0% 0% 0% 100% GIS Survey (02) 287 N 175-WastewaterTreatPla 88, ,124 88, % 0% 0% 0% 0% 0% 0% 100% GIS Survey (03) 288 N 175-WastewaterTreatPla 58, ,012 58, % 0% 0% 0% 0% 0% 0% 100% Misc. WWTP Projects (03) 289 N 175-WastewaterTreatPla 27, , ,059 14,434 13,060 0% 0% 100% 0% 0% 0% 0% 100% Wastewater treatment plant 381 N 175-WastewaterTreatPla 4,510, , , ,546 3,833,761 0% 0% 100% 0% 0% 0% 0% 100% Wastewater Expansion 2MGD - Phase N 175-WastewaterTreatPla 8,109, , , ,943 7,298,489 0% 0% 100% 0% 0% 0% 0% 100% WWTP Expansion to #2 MG - Ph N 175-WastewaterTreatPla 558, , ,913 39, ,178 0% 0% 100% 0% 0% 0% 0% 100% WWTP expansion 450 N 175-WastewaterTreatPla 148, , ,457 6, ,746 0% 0% 100% 0% 0% 0% 0% 100% Misc WWTP projects 451 N 175-WastewaterTreatPla 50, , ,522 2,536 48,184 0% 0% 100% 0% 0% 0% 0% 100% Wastewater treatment plant N 175-WastewaterTreatPla 122, , ,226 3, ,901 0% 0% 100% 0% 0% 0% 0% 100% Misc WWTP projects 486 N 175-WastewaterTreatPla 132, , , ,970 0% 0% 100% 0% 0% 0% 0% 100% SCADA Sewer 487 N 175-WastewaterTreatPla 11, ,573 0% 0% 100% 0% 0% 0% 0% 100% GIS Program 377 N 180-GIS program 6, ,432 5,114 1, % 0% 0% 0% 0% 0% 0% 100% GIS N 180-GIS program 1, ,073 1, % 0% 0% 0% 0% 0% 0% 100% GIS N 180-GIS program 14, , ,344 7,754 6, % 0% 0% 0% 0% 0% 0% 100% GIS N 180-GIS program 13, , ,799 6,170 7, % 0% 0% 0% 0% 0% 0% 100% GIS N 180-GIS program % 0% 0% 0% 0% 0% 0% 100% GIS N 180-GIS program 2, , % 0% 0% 0% 0% 0% 0% 100% GIS N 180-GIS program 3, , % 0% 0% 0% 0% 0% 0% 100% GIS N 180-GIS program 1, , % 0% 0% 0% 0% 0% 0% 100% LAB PROBE 47 N 190-Equip & Tools 7, ,318 7, % 0% 100% 0% 0% 0% 0% 100% Jetter 243 N 190-Equip & Tools 13, ,300 13, % 0% 0% 0% 0% 0% 0% 100% Instrument (power crane) 245 N 190-Equip & Tools 1, ,806 1, % 0% 0% 0% 0% 0% 0% 100% John Deere Z915B Mower 478 N 190-Equip & Tools 1, ,548 0% 0% 100% 0% 0% 0% 0% 100% Electric power savers 479 N 190-Equip & Tools % 0% 100% 0% 0% 0% 0% 100% OFFICE REMODEL 45 N 191-Building-New Office 3, ,071 3, % 0% 0% 0% 100% 0% 0% 100% OFFICE REMODEL 46 N 191-Building-New Office 15, , ,217 13,280 2,656 0% 0% 0% 0% 100% 0% 0% 100% New Office Bldg. (02) 290 N 191-Building-New Office 157, , ,784 55, ,188 0% 0% 0% 0% 100% 0% 0% 100% New Office Bldg. (03) 291 N 191-Building-New Office 32, , ,238 11,316 21,014 0% 0% 0% 0% 100% 0% 0% 100% Building improvements 400 N 191-Building-New Office 5, ,649 2,016 3,482 0% 0% 0% 0% 100% 0% 0% 100% Building improvement - downstairs remodel 430 N 191-Building-New Office 1, % 0% 0% 0% 100% 0% 0% 100% CRANE 21 N 192-Vehicles 1, ,000 1, % 0% 0% 100% 0% 0% 0% 100% TRACTOR 23 N 192-Vehicles 28, ,250 28, % 0% 0% 100% 0% 0% 0% 100% TRUCK RACK 26 N 192-Vehicles % 0% 0% 100% 0% 0% 0% 100% 1994 CHEV TRUCK 27 N 192-Vehicles 4, ,426 4, % 0% 0% 100% 0% 0% 0% 100% 1996 VAC TRUCK 28 N 192-Vehicles 21, ,556 21, % 0% 0% 100% 0% 0% 0% 100% 1996 VAC EQUIP. 29 N 192-Vehicles 17, ,254 17, % 0% 0% 100% 0% 0% 0% 100% 1998 GMC TRUCK 31 N 192-Vehicles 5, ,073 5, % 0% 0% 100% 0% 0% 0% 100% MWH Appendix C - 43

90 TOOL BOXES & RADIOS 36 N 192-Vehicles 1, ,505 1, % 0% 0% 100% 0% 0% 0% 100% CATERPILLAR 416C BACKHOE 37 N 192-Vehicles 15, ,250 15, % 0% 0% 100% 0% 0% 0% 100% BLADE FOR CASE TRACTOR 38 N 192-Vehicles % 0% 0% 100% 0% 0% 0% 100% 97 DUMP TRUCK 44 N 192-Vehicles 16, ,303 16, % 0% 0% 100% 0% 0% 0% 100% 2002 Chevy Truck (White) 246 N 192-Vehicles 23, ,660 23, % 0% 0% 100% 0% 0% 0% 100% Ford F-150 (2003) 293 N 192-Vehicles 4, ,375 4, % 0% 0% 100% 0% 0% 0% 100% Tool Boxes (2 Alum.) Single Lids 295 N 192-Vehicles % 0% 0% 100% 0% 0% 0% 100% Jeep Liberty (2003) Stone White 296 N 192-Vehicles 4, ,493 4, % 0% 0% 100% 0% 0% 0% 100% BOBCAT ACCESSORIES 335 N 192-Vehicles 1, , % 0% 0% 100% 0% 0% 0% 100% Escape Hybrid 4WD (4DR) N 192-Vehicles 6, ,931 6, % 0% 0% 100% 0% 0% 0% 100% Skidsteer Loader - WWTP 390 N 192-Vehicles 33, , ,250 20,643 13,291 0% 0% 100% 0% 0% 0% 0% 100% Ford F150 (2007) 391 N 192-Vehicles 4, ,492 4, % 0% 0% 100% 0% 0% 0% 100% Dodge Dakota (2008) 392 N 192-Vehicles 4, ,813 4, % 0% 0% 100% 0% 0% 0% 100% 2008 GMC Truck - Sierra 4WD Ext Cab 402 N 192-Vehicles 5, ,064 5, % 0% 0% 100% 0% 0% 0% 100% 2008 Dodge Dakota - unit N 192-Vehicles 16, ,644 16, % 0% 0% 100% 0% 0% 0% 100% 2008 Chevy Truck #1GCHK34K38E N 192-Vehicles 5, ,485 5, % 0% 0% 100% 0% 0% 0% 100% Ford 150 Truck N 192-Vehicles 5, ,455 5, % 0% 0% 100% 0% 0% 0% 100% Ford Explorer N 192-Vehicles 22, , ,538 22, % 0% 0% 100% 0% 0% 0% 100% Ford 150 Trucks (2) N 192-Vehicles 4, , ,891 2,364 0% 0% 0% 100% 0% 0% 0% 100% Caterpillar Backhoe 430D 4WD 482 N 192-Vehicles 16, ,635 0% 0% 0% 100% 0% 0% 0% 100% 2 Ford F-150 Trucks (2013) 484 N 192-Vehicles 7, ,518 0% 0% 0% 100% 0% 0% 0% 100% New Office Furn/Panel Sys./Workstatins/Tables 250 N 194-Furn./Office Equip. 9, ,143 9, % 0% 0% 0% 100% 0% 0% 100% Server Upgrade (02) 261 N 194-Furn./Office Equip. 3, ,107 3, % 0% 0% 0% 100% 0% 0% 100% Computers 367 N 194-Furn./Office Equip. 3, ,296 3, % 0% 0% 0% 100% 0% 0% 100% Office equipment 378 N 194-Furn./Office Equip % 0% 0% 0% 100% 0% 0% 100% Office/comp equip N 194-Furn./Office Equip. 6, ,556 6, % 0% 0% 0% 100% 0% 0% 100% Office furniture N 194-Furn./Office Equip. 1, ,849 1, % 0% 0% 0% 100% 0% 0% 100% 2 computers 415 N 194-Furn./Office Equip % 0% 0% 0% 100% 0% 0% 100% Office furniture N 194-Furn./Office Equip. 1, % 0% 0% 0% 100% 0% 0% 100% Computer networking N 194-Furn./Office Equip. 6, , ,189 5,316 1,063 0% 0% 0% 0% 100% 0% 0% 100% Computer networking N 194-Furn./Office Equip. 12, , ,144 6,433 6,433 0% 0% 0% 0% 100% 0% 0% 100% Lenovo ThinkPad T N 194-Furn./Office Equip % 0% 0% 0% 100% 0% 0% 100% Phone System (NEC SV8100) 481 N 194-Furn./Office Equip. 2, ,518 0% 0% 0% 0% 100% 0% 0% 100% LANDSCAPING 15 N 196-Buildings 4, ,273 0% 0% 0% 0% 100% 0% 0% 100% OFFICE BUILDING 18 N 196-Buildings 16, ,711 16, % 0% 0% 0% 100% 0% 0% 100% MAINTENANCE BLDG #98 8 N 197-Building Maint 3, ,875 3, % 0% 0% 0% 100% 0% 0% 100% MAINTENANCE BLDG (99) 9 N 197-Building Maint 15, , ,761 12,784 2,557 0% 0% 0% 0% 100% 0% 0% 100% MAINTENANCE BLDG (00) 10 N 197-Building Maint 152, , , ,431 25,486 0% 0% 0% 0% 100% 0% 0% 100% MAINTENANCE BLDG (01) 11 N 197-Building Maint 31, , ,769 25,836 5,167 0% 0% 0% 0% 100% 0% 0% 100% LAND 1 N 98-Land & Right of Way 38, ,413 0% 0% 0% 100% 0% 0% 0% 100% LAND 2 N 98-Land & Right of Way 4, ,007 0% 0% 0% 100% 0% 0% 0% 100% LAND 3 N 98-Land & Right of Way 4, ,661 0% 0% 0% 100% 0% 0% 0% 100% LAND & RIGHT OF WAY 4 N 98-Land & Right of Way 2, ,840 0% 0% 0% 100% 0% 0% 0% 100% LAND & RIGHT OF WAY 5 N 98-Land & Right of Way 1, ,646 0% 0% 0% 100% 0% 0% 0% 100% LAND & RIGHT OF WAY 6 N 98-Land & Right of Way % 0% 0% 100% 0% 0% 0% 100% LAND (PUMP STATION 3) 7 N 98-Land & Right of Way % 0% 0% 100% 0% 0% 0% 100% Land & Right of Way (03) 292 N 98-Land & Right of Way 12, ,538 0% 0% 0% 100% 0% 0% 0% 100% Land/right of way N 98-Land & Right of Way % 0% 0% 100% 0% 0% 0% 100% Land/right of way N 98-Land & Right of Way 2, ,302 0% 0% 0% 100% 0% 0% 0% 100% TOTALS 47,937, ,820 12,281,516 13,246,337 20,502,766 MWH Appendix C - 44

91 Allocation of Plant in Service to Customer Classes GRAND TOTAL System Function FLOW Customer COLLECTION FLOW Totals Collection System $0 $0 $5,738,606 $5,738,606 Interceptors ,117 52,117 Treatment 14,401, ,401,385 Indirect 92,793 1,156 37, ,260 Admin 0 179, ,398 Non-Rate Revenues Metering N/A TOTALS $14,494,178 $180,554 $5,828,034 $20,502,766 System Function FLOW Customer COLLECTION FLOW Totals Residential $13,789,630 $176,305 $5,544,739 $19,510,674 Commercial 482,689 4, , ,980 Contract/ Wholesale 221, , ,111 TOTALS $14,494,178 $180,554 $5,828,034 $20,502,766 System Function FLOW Customer COLLECTION FLOW Totals Residential 67% 1% 27% 95% Commercial 2% 0% 1% 3% Contract/ Wholesale 1% 0% 0% 2% TOTALS 71% 1% 28% 100% System Function FLOW Customer COLLECTION FLOW Totals Residential 71% 1% 28% 100% Commercial 71% 1% 29% 100% Contract/ Wholesale 71% 0% 29% 100% MWH Appendix C - 45

92 Calculation of Cost of Capital Allocation of Capital Costs to Customer Classes Residential Commercial Contract/ Wholesale Ownership Status % % % Totals Total Fixed Asset Allocation $19,510,674 $680,980 $311,111 $20,502,766 Percentage of Total 95.16% 3.32% 1.52% Capital Costs for Owners Total Cash-Needs Capital Costs - Owners $1,290,856 $45,055 $20,584 $1,356,494 Total Capital Costs by Class $1,290,856 $45,055 $20,584 $1,356,494 % of Total 95.2% 3.3% 1.5% 100.0% MWH Appendix C - 46

93 Calculation of Unit Costs of Capital by Class Joint System Function FLOW Customer COLLECTION FLOW Residential $912,343 $11,665 $366,848 Commercial 31, ,841 Contract/ Wholesale 14, ,902 TOTALS $958,957 $11,946 $385,592 Joint Units 606,986 49, ,986 Unit Type KGAL per Equiv Bill KGAL $ / Unit $1.58 $0.24 $0.64 MWH Appendix C - 47

94 Calculation of Unit Costs of Capital by Class TOTAL ALLOCATED CAPITAL COSTS System Function FLOW Customer COLLECTION FLOW Totals Residential $912,343 $11,665 $366,848 $1,290,856 Commercial 31, ,841 45,055 Contract/ Wholesale 14, ,902 20,584 TOTALS $958,957 $11,946 $385,592 $1,356,494 TOTAL ALLOCATED CAPITAL COSTS % System Function FLOW Customer COLLECTION FLOW Totals Residential 67% 1% 27% 95% Commercial 2% 0% 1% 3% Contract/ Wholesale 1% 0% 0% 2% TOTALS 71% 1% 28% 100% MWH Appendix C - 48

95 Allocation of Operating Expenses to Functional Components Description 2015 Collection System Interceptors Treatment Indirect Admin Metering Non-Rate Revenues Check Total SEWER OPERATING EXPENSES Auto expenses/vehicle maintenance $14,868 50% 50% 0% 0% 0% 0% 0% 100% Cherry Creek Basin fees 13,329 0% 0% 100% 0% 0% 0% 0% 100% Communications 3,589 0% 0% 0% 0% 100% 0% 0% 100% Employee benefits 102,535 33% 33% 34% 0% 0% 0% 0% 100% Laboratory testing and chemicals 83, % 100% Outside services 6,152 0% 100% 100% Repairs and maintenance - System 164,055 50% 50% 100% Repairs and maintenance - Plant 0 100% 0% 100% Salaries and related costs 289,147 33% 33% 34% 100% Payroll taxes 22,147 33% 33% 34% 100% Sludge disposal 76, % 100% Small tools and safety items 6,152 33% 33% 34% 100% Utilities 208,658 0% 0% 100% 100% NONOPERATING EXPENSES Accounting and audit 32, % 100% Admin vehicle % 100% Billing systems service 4,614 0% 100% 100% Data processing 10, % 0% 100% Directors' fees 2, % 100% Dues and seminars 10, % 100% Employee benefits 22, % 100% Insurance 25, % 100% Legal 59, % 100% Miscellaneous 1, % 100% Office expense 5, % 100% Outside services 12, % 100% Repairs and maintenance - Office 6, % 100% Salaries and related costs 84, % 100% Payroll taxes 6, % 100% Safety and training 5,896 33% 33% 34% 0% 100% Security services 5,639 33% 33% 34% 0% 100% Conservation 0 100% 100% Customer communications 11,535 50% 50% 100% Telephone and utilities 2, % 100% O&M Associated with CIP Pinery Wastewater Projects 15, % 100% Adjustments 0 Total $1,314,628 MWH Appendix C - 49

96 Allocation of Operating Expenses to Customer Classes GRAND TOTAL System Function FLOW Customer COLLECTION FLOW Totals Collection System $0 $0 $246,862 $246,862 Interceptors , ,862 Treatment 534, ,809 Indirect Admin 0 290, ,714 Non-Rate Revenues Metering 0 10, ,382 N/A TOTALS $534,809 $301,096 $478,724 $1,314,628 System Function FLOW Customer COLLECTION FLOW Totals Residential $508,812 $294,010 $455,453 $1,258,276 Commercial 17,810 7,012 15,943 40,765 Contract/ Wholesale 8, ,328 15,587 TOTALS $534,809 $301,096 $478,724 $1,314,628 System Function FLOW Customer COLLECTION FLOW Totals Residential 39% 22% 35% 96% Commercial 1% 1% 1% 3% Contract/ Wholesale 1% 0% 1% 1% TOTALS 41% 23% 36% 100% MWH Appendix C - 50

97 Calculation of Operating Unit Costs by Class Joint Class FLOW Customer COLLECTION FLOW Residential $508,812 $294,010 $455,453 Commercial 17,810 7,012 15,943 Contract/ Wholesale 8, ,328 TOTALS $534,809 $301,096 $478,724 Joint Units 606,986 49, ,986 Unit Type KGAL per Equiv Bill KGAL $ / Unit $0.88 $6.09 $0.79 MWH Appendix C - 51

98 Calculation of Operating Unit Costs by Class TOTAL ALLOCATED O&M COSTS Class FLOW Customer COLLECTION FLOW Totals Residential $508,812 $294,010 $455,453 $1,258,276 Commercial 17,810 7,012 15,943 40,765 Contract/ Wholesale 8, ,328 15,587 TOTALS $534,809 $301,096 $478,724 $1,314,628 TOTAL ALLOCATED O&M COSTS % Class FLOW Customer COLLECTION FLOW Totals Residential 39% 22% 35% 96% Commercial 1% 1% 1% 3% Contract/ Wholesale 1% 0% 1% 1% TOTALS 41% 23% 36% 100% MWH Appendix C - 52

99 Summary Allocation of Gross Revenue Requirements to Classes Joint System Function FLOW Customer COLLECTION FLOW Residential $1,421,155 $305,675 $822,302 Commercial 49,746 7,291 28,784 Contract/ Wholesale 22, ,230 TOTALS $1,493,766 $313,041 $864,315 Joint Units 606,986 49, ,986 Unit Type KGAL per Equiv Bill KGAL $ / Unit $2.46 $6.33 $1.42 MWH Appendix C - 53

100 Summary Allocation of Gross Revenue Requirements to Classes TOTAL ALLOCATED COSTS System Function FLOW Customer COLLECTION FLOW Totals Residential $1,421,155 $305,675 $822,302 $2,549,132 Commercial 49,746 7,291 28,784 85,820 Contract/ Wholesale 22, ,230 36,171 TOTALS $1,493,766 $313,041 $864,315 $2,671,123 $2,671,122 TOTAL ALLOCATED COSTS % $0 System Function FLOW Customer COLLECTION FLOW Totals Residential 53% 11% 31% 95% Commercial 2% 0% 1% 3% Contract/ Wholesale 1% 0% 0% 1% TOTALS 56% 12% 32% 100% MWH Appendix C - 54

101 Allocation of Non-Rate Revenues TOTAL ALLOCATED NON-RATE REVENUES Customer Class FLOW COLLECTION FLOW Total Residential 638,024 - $638,024 Commercial 21,480-21,480 Contract/ Wholesale TOTALS $659,504 $0 $659,504 $0 MWH Appendix C - 55

102 Summary Unit Costs Residential Revenue Requirement/Group FLOW Customer COLLECTION FLOW Unit Type KGAL per Equiv Bill KGAL Operating & Maintenance Costs Joint $0.88 $6.09 $0.79 Retail Only Wholesale Only Subtotal $0.88 $6.09 $0.79 Capital Costs Joint $1.58 $0.24 $0.64 Retail Only Wholesale Only Subtotal $1.58 $0.24 $0.64 Non-Rate Revenue Joint $0.00 $0.00 $0.00 Retail Only Wholesale Only Subtotal $1.10 $0.00 $0.00 Total $1.36 $6.33 $1.42 MWH Appendix C - 56

103 Summary Unit Costs Commercial Revenue Requirement/Group FLOW Customer COLLECTION FLOW Unit Type KGAL per Equiv Bill KGAL Operating & Maintenance Costs Joint $0.88 $6.09 $0.79 Retail Only Wholesale Only Subtotal $0.88 $6.09 $0.79 Capital Costs Joint $1.58 $0.24 $0.64 Retail Only Wholesale Only Subtotal $1.58 $0.24 $0.64 Non-Rate Revenue Joint $0.00 $0.00 $0.00 Retail Only Wholesale Only Subtotal $1.06 $0.00 $0.00 Total $1.40 $6.33 $1.42 MWH Appendix C - 57

104 Summary Unit Costs Contract/ Wholesale Revenue Requirement/Group FLOW Customer COLLECTION FLOW Unit Type KGAL per Equiv Bill KGAL Operating & Maintenance Costs Joint $0.88 $6.09 $0.79 Retail Only Wholesale Only Subtotal $0.88 $6.09 $0.79 Capital Costs Joint $1.58 $0.24 $0.64 Retail Only Wholesale Only Subtotal $1.58 $0.24 $0.64 Non-Rate Revenue Joint $0.00 $0.00 $0.00 Retail Only Wholesale Only Subtotal $0.00 $0.00 $0.00 Total $2.46 $6.33 $1.42 MWH Appendix C - 58

105 Summary of Unit Costs by Class and Embedded Unit Costs by Class Unit Costs COLLECTION Customer Class FLOW Customer FLOW Unit Type KGAL per Equiv Bill KGAL Total Residential No. of Units 577,481 48, ,481 Unit Cost $1.36 $6.33 $1.42 Total Cost of Service $783,132 $305,675 $822,302 $1,911,108 Commercial No. of Units 20,214 1,152 20,214 Unit Cost $1.40 $6.33 $1.42 Total Cost of Service $28,266 $7,291 $28,784 $64,340 Contract/ Wholesale No. of Units 9, ,291 Unit Cost $2.46 $6.33 $1.42 Total Cost of Service $22,865 $76 $13,230 $36,171 GRAND TOTALS $834,262 $313,041 $864,315 $2,011,619 % of Total 41.5% 15.6% 43.0% 100% MWH Appendix C - 59

106 Summary of Costs by Billing Factor Customer Class Volume Costs Meter Costs Customer Costs Total Residential $1,605,434 $0 $305,675 $1,911,108 Commercial $57,049 $0 $7,291 $64,340 Contract/ Wholesale $36,095 $0 $76 $36,171 GRAND TOTALS $1,698,578 $0 $313,041 $2,011,619 % of Total 84% 0% 16% 100% 2014 Cost-of-Service Rates and Fees Study MWH Appendix C - 60

107 Cost of Service Rates Customer Class $/Kgals $/Unit/Mo. Residential $2.78 $6.33 Commercial $2.82 $6.33 Contract/ Wholesale $3.88 $6.33 MWH Appendix C - 61

108 Summary Revenues at Proposed Rates Customer Class Commodity Charge Service Charge Total Residential $1,605,397 $305,739 $1,911,136 Commercial $57,003 $7,292 $64,296 Contract/ Wholesale $36,049 $76 $36,125 $1,698,450 $313,107 $2,011,557 ($62) MWH Appendix C - 62

109 Wastewater Class COS Customer Class Class Cost-of Service Revenues under Existing Rates Difference % Difference Residential $1,911,108 $1,833,337 -$77, % Commercial 64,340 98,125 $33, % Contract/ Wholesale 36,171 50,786 $14, % GRAND TOTALS $2,011,619 $1,982,248 ($29,371) -1.48% MWH Appendix C - 63

110 Appendix D Rate Design MWH Appendix D

111 Residential Rates Under COS and Existing Rate Structure Existing Rates 2015 Rates - COS Threshold (kgal) Rate Threshold (kgal) Rate Base n/a $27.05 n/a $27.76 Tier 1 3 $ $2.21 Tier 2 20 $ $3.21 Tier 3 30 $ $4.04 Tier 4 50 $ $5.26 Tier 5 60 $ $7.18 Tier 6 >60 $14.07 >60 $14.42 MWH Appendix D - 1

112 Commercial Rates Under Existing Rate Structure Existing Rates 2015 Rates - Existing Rate 1" Threshold Rate 1" Threshold Rate Base n/a $43.72 n/a $45.85 Tier 1-3 kgal 6 $ $2.16 Tier 2-20 kgal 40 $ $3.13 Tier 3-30 kgal 60 $ $3.94 Tier 4-50 kgal 100 $ $5.13 Tier 5 - >50 kgal >100 $7.01 >100 $7.01 MWH Appendix D - 2

113 Irrigation Rates Under Existing Rate Structure with a 15% Increase Existing Rates 2015 Rates Base Usage (kgal) Base Usage (kgal) Large Irrigators $27.05 $2.62 $27.76 $3.01 Pradera & CO GC $27.05 $2.18 $27.76 $2.51 Pinery GC $27.05 $2.42 $27.76 $2.76 MWH Appendix D - 3

114 Wastewater Rate Structure Options Existing Rates 2015 Rates Uniform Volume Rate Flat Charge Residential <3 kgal $27.84 $29.02 $6.35 $39.68 >3 kgal $40.90 $42.64 $6.35 $39.68 Volume per kgal - - $ Commercial 1" Service Charge $84.08 $56.98 $12.66 $ Volume per kgal $4.27 $2.53 $ MWH Appendix D - 4

115 Existing Rate COS Month Residential Water Bill Existing Typical Kgal Rates Proposed Rates Change ($) Change (%) January 4 $36.66 $37.59 $ % February 4 $36.66 $37.59 $ % March 4 $36.66 $37.59 $ % April 3 $33.53 $34.39 $ % May 4 $36.66 $37.59 $ % June 16 $74.22 $76.02 $ % July 21 $90.68 $92.86 $ % August 25 $ $ $ % September 12 $61.70 $63.21 $ % October 5 $39.79 $40.80 $ % November 4 $36.66 $37.59 $ % December 4 $36.66 $37.59 $ % Annual 106 $ $ $ % Winter Average 4 $36.66 $37.59 $ % Summer Average 15 $71.09 $72.82 $ % MWH Appendix D - 5

116 Existing Rate COS January February March April May June July August September October November December Annual Winter Average Summer Average Month Residential - Combined Water and Sewer Bill Impact (NEW SERVICE CHARGE)* Typical Kgal Existing Rates Proposed Rates Change ($) Change (%) 4 $77.56 $ $ % 4 $77.56 $ $ % 4 $77.56 $ $ % 3 $74.43 $ $ % 4 $77.56 $ $ % 16 $ $ $ % 21 $ $ $ % 25 $ $ $ % 12 $ $ $ % 5 $80.69 $ $ % 4 $77.56 $ $ % 4 $77.56 $ $ % $1, $1, $ % * - Based on Proposed Service Charge of $39.68 for all Residential Customers 4 $77.56 $ $ % 15 $ $ $ % MWH Appendix D - 6

117 Other Scenarios MWH Appendix D - 7

118 Residential Existing Water Rate Structure 2015 Rates Existing Rates 2015 Rates - 3-yr Phase In 2015 Rates - 2-yr Phase In Threshold (kgal) Rate Threshold (kgal) Rate Threshold (kgal) Rate Base n/a $27.05 n/a $27.76 n/a $27.76 Tier 1 3 $ $ $2.30 Tier 2 20 $ $ $3.33 Tier 3 30 $ $ $4.19 Tier 4 50 $ $ $5.45 Tier 5 60 $ $ $7.45 Tier 6 >60 $14.07 >60 $15.19 >60 $14.96 The longer the phase in timeline, the more residential customers will subsidize the large irrigators and golf customers. MWH Appendix D - 8

119 Residential Bill Impact Existing Water Rate Structure yr Phase In Rates 2014 Cost-of-Service Rates and Fees Study 2-yr Phase In MWH Appendix D - 9

120 Residential Bill Impact & Frequency Existing Water Rate Structure yr Phase In Rates 2-yr Phase In MWH Appendix D - 10

121 ResidentialWater Rate Structure 2015 Rates Reduced Tiers Existing Rates 2015 Rates - 3-yr Phase In 2015 Rates - 2-yr Phase In Threshold (kgal) Rate Threshold (kgal) Rate Threshold (kgal) Rate Base n/a $27.05 n/a $27.76 n/a $27.76 Tier 1 3 $ $ $2.33 Tier 2 20 $ $ $3.38 Tier 3 30 $ $ $4.25 Tier 4 50 $ $ $5.83 Tier 5 60 $7.01 >40 $11.83 >40 $11.66 Tier 6 >60 $14.07 n/a - n/a - MWH Appendix D - 11

122 Residential Bill Impact Reduced Tiers 2015 Rates 3-yr Phase In 2-yr Phase In MWH Appendix D - 12

123 Residential Bill Impact & Frequency Reduced Tiers 2015 Rates 3-yr Phase In 2-yr Phase In MWH Appendix D - 13

124 Commercial Water Rate Structure 2015 Rates Existing Rates 2015 Rates - 3-yr Phase In 2015 Rates - 2-yr Phase In 1" Threshold Rate 1" Threshold Rate 1" Threshold Rate Base n/a $43.72 n/a $45.85 n/a $45.85 Tier 1-3 kgal 6 $ $ $2.13 Tier 2-20 kgal 40 $ $ $3.09 Tier 3-30 kgal 60 $ $ $3.89 Tier 4-50 kgal 100 $ $ $5.06 Tier 5 - >50 kgal >100 $7.01 >100 $7.21 >100 $6.92 MWH Appendix D - 14

125 Commercial Water Rate Structure 2015 Rates 3-yr Phase In 2-yr Phase In MWH Appendix D - 15

126 Commercial Water Rate Structure 2015 Rates Reduced Tiers Existing Rates 2015 Rates - 3-yr Phase In 2015 Rates - 2-yr Phase In 1" Threshold Rate 1" Threshold Rate 1" Threshold Rate Base n/a $43.72 n/a $45.85 n/a $45.85 Tier 1-5 kgal 6 $ $ $2.19 Tier 2-10 kgal 40 $ $ $3.18 Tier 3-20 kgal 60 $ $ $4.00 Tier 4 - >20 kgal 100 $5.13 >40 $5.43 >40 $5.21 Tier 5 - n/a >100 $ MWH Appendix D - 16

127 Commercial Water Rate Structure 2015 Rates Reduced Tiers 3-yr Phase In 2-yr Phase In MWH Appendix D - 17

128 Irrigation Water Rate Structure 2015 Rates Existing Rates 2015 Rates - 3-yr Phase In 2015 Rates - 2-yr Phase In Base Usage (kgal) Base Usage (kgal) Base Usage (kgal) Large Irrigators $27.05 $2.62 $27.76 $3.29 $27.76 $3.52 Pradera & CO GC $27.05 $2.18 $27.76 $2.60 $27.76 $2.73 Pinery GC $27.05 $2.42 $27.76 $2.89 $27.76 $3.03 MWH Appendix D - 18

129 Irrigation Water Bill Impact 2015 Rates 3-yr Phase In 2-yr Phase In MWH Appendix D - 19

130 Golf Course Water Bill Impact yr Phase In Rates 2-yr Phase In MWH Appendix D - 20