December 3, 2015
The Civic Federation Supports the Metropolitan Water Reclamation District’s tentative budget of $1.21 billion for being reasonable and balanced while maintaining ample reserves and for its fiscal responsibility in properly funding pensions and prefunding retiree health benefits.
The FY2016 budget includes the maximum property tax increase allowed under state law for the third year in a row, with the total levy increasing by 3.3%, or $18.5 million, to $577.8 million. The Civic Federation is concerned that after a maximum levy in FY2014 and FY2015 and proposed maximum levy in FY2016, the District’s financial projections show maximum levies through FY2020 as necessary to balance its budget.
The Civic Federation has long recommended that all governments develop long-term financial and strategic plans, and the MWRD continues to use long-term financial planning through five-year financial forecasting and a Strategic Business Plan to guide operations and future projects. We encourage the District to keep to its strategic plan and continue to work to balance expenditure controls and other revenue sources with the need for broad-based property tax.
The Metropolitan Water Reclamation District’s Fiscal Year begins January 1, 2016 and ends December 31, 2016.