Title: Water...The Tie That Binds
Full Citation
Permanent Link: http://ufdc.ufl.edu/WL00004742/00001
 Material Information
Title: Water...The Tie That Binds
Physical Description: Book
Language: English
Publisher: West Coast Regional Water Supply Authority 1995 Annual Report
Spatial Coverage: North America -- United States of America -- Florida
Abstract: Jfake Varn Collection - Water...The Tie That Binds
General Note: Box 28, Folder 20 ( Water...The Tie That Binds - 1995 ), Item 1
Funding: Digitized by the Legal Technology Institute in the Levin College of Law at the University of Florida.
 Record Information
Bibliographic ID: WL00004742
Volume ID: VID00001
Source Institution: Levin College of Law, University of Florida
Holding Location: Levin College of Law, University of Florida
Rights Management: All rights reserved by the source institution and holding location.

Full Text

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ReprtofIne nd t Accuntnt

As the new chairman of the West Coast Regional Water Supply
Authority Board of Directors, it is my pleasure to present the 1995
Annual Report.

Water is the tie that binds the many communities in the Tampa
Bay region. Since 1974, our members have recognized the
benefits of meeting the area's water needs through a cooperative
alliance. This past year has demonstrated the value of the Authority
to our community. Indeed, 1995 was marked by significant
progress towards the development and implementation of a long-
term water plan that will provide for the needs of the region and
protect our beautiful Tampa Bay environment. By developing a
diversity of water sources, the Authority can better manage its
systems to ensure the well-being of Tampa Bay's residents,
economy and natural resources.

The Authority also took the unprecedented step in 1995 of
taking a more regional approach to water conservation. The past
several years have seen each of the member governments taking
aggressive, yet independent steps toward increased efficiency, wise
water use and public education. The result has been a significant
decrease in per capital consumption in many jurisdictions. Now, the
Authority is embarked on a comprehensive regional assessment
that is designed to gauge potential water savings and cost-
effectiveness of these various programs. This assessment will
frame an extensive regional water conservation strategy and plan
for the future.

In early 1995, the Authority hired Jerry L. Maxwell as its general
manager under a multi-year contract. Jerry's strong background in
city, county and utility administration coupled with the Board's
determination to resolve water issues has played an important part
in moving the Authority closer to regional water supply solutions.

With all that it accomplished in 1995, the Authority enters 1996
with great momentum and expectation that the new year can be
one of progress and continued consensus. The Board of Directors
commends the Authority staff for their dedicated effort, expresses
its appreciation to the public for its cooperation in working towards
a long-term water plan, and renews its commitment to meet the
challenge of providing for our water needs in the years ahead while
protecting our fragile environment.

Board of Directors

Chairman or the Board
Commissioner Ed Turanchik
Hil'-.-,Ol i 'ou.i C-'ufih

S V" \ice Chaiman
Mayor David J. Fischer
-n Of St. Petersburg

I t...
_. k... .. *.,
-:. -* .




Commissioner Charles E. Rainey
F'Fn llj Criunt\


Providing the 225 million gallons of fresh water each day to meet the
demands of our members and their 1.8 million customers requires an
outstanding team of scientists, engineers, environmentalists, plant
operators and support staff. In 1995, the Authority's 103 staff members
successfully met the ongoing needs of our member governments while
designing a plan to meet the needs of future generations.

After some three years of intensive research and study, the
Resource Development Plan was concluded with Board approval of the
new Master Water Plan. This 10-year plan is a focused blueprint for
implementation of systems management and rotational flexibility in the
Tampa Bay area. It is one of the most significant planning projects ever
undertaken with our members and demonstrates what can be
accomplished working as a team. I applaud the Board for its vision in
creating a truly interconnected system that will benefit the entire region.

As always, the Authority is committed to serving its member
governments. Significant capital improvements made in 1995 enable the
Authority to continue providing its members with high-quality drinking
water at the lowest possible cost while providing some flexibility for
systems management. Internally, refinements were made in all divisions
that effectively reduced operating expenses and strengthened the
Authority's financial responsibility.

The Authority's commitment to partnerships was also strengthened
in 1995. Partnership is the ideal on which the Authority was founded and
remains the cornerstone of our activity. Cooperative initiatives such as the
Master Water Plan, Florida Yards & Neighborhoods and operational
progress on the Tampa/Hillsborough Interconnect illustrate the strides
made possible through shared ideas, shared technology and shared
resources. From its member governments to the Southwest Florida
Water Management District, the Authority will continue to build on
partnerships that benefit the region as a whole.

As 1995 came to a close, the Authority set its sights on goals for the
future. We will continue providing the same high-quality water our
members have come to depend on, and we will do so in the most
economically and environmentally sound manner. A strong focus on
demand management will put increased emphasis on conservation and
preservation of this vital natural resource. Continued study of new
technologies will ensure the Authority's leadership position in researching
and developing new source alternatives.

1995 certainly was a year of achievement for the Authority. Thanks
to the dedication of the Board and the efforts of our talented staff, the
West Coast Regional Water Supply Authority fulfilled its mission while
strengthening its commitment to the tie that binds the Tampa Bay




A Blueprint for Regional Supply

The Master Water Plan is a framework for accomplishing systems management
and rotational flexibility in the Tampa Bay area. Through the construction of key
interconnects and the development of additional diversified sources of supply, the
Master Water Plan will meet the identified needs of our member governments for the
next 20 years.
.,,*.- I.x-r* A w ,-' -. 'I-. *.. *.I *..- t
With six new supply elements and three pipeline interties, the Master Water Plan .. .
creates a truly interconnected system between facilities in Pasco, Pinellas and
Hillsborough counties. The Plan proposes to bring an additional 50 million gallons per
day of new water on line in the first six years and another 35 million gallons per day in
the last four years. The Plan includes an al:'lundarnce of i:up:1', capaot, in excess o.f I
consumer demand to create system flexibility, tri-t i r respcI:nsi- e to .o':ricer ns. Icr
environmental stress. A major component of trhe M.laster Water Pla', s aggreis,.. ."
,e manr n-,inagemerit tlha[ is expec ed t, '- .
reI CLJ I:.er caaI Lut t:, 1 ,lll t rii l',n cial.rlons
pe- i,, 1a the ear 2 .0. an: 1 Cmnllll
.all'nris i per Ca :I, 0035 PluS, the plan
,iri tair s alternative water sijprp initi,-ii..e.5 -
such 3a. ,ra'.,kislh an1d seawater
iesaiiriation ari- -i ptur'l,:1 exC eSS Liit h
water fliwv: n lthe Hill ,b).orujh Roi er. i

Water PFlan wiii i.n- ,r:,. Sn-.te S C- ,teli
i r t -,r t I e n s u re-i I t t aLi s i .t ,e
i i--
SuICI.i. Of hiqh-,.lUaiw., water to meet tl-e 7- -
Tarnilra Ba, i-I,."n 'Ci, r~nt ani ii tLire -
-,-te ar-, at tre i,' esI 'C ,st ,Q ,Cii'

thler r-te paeis )+t.
ili~ifltC.'r CJ'C'*.E rir11,Ei1 5 .Ri-.C_ iii til f



The Authority and its member governments produce nearly 225 million gallons of
water per day for public consumption. That production is approved via permits from the
Southwest Florida Water Management District (SWFWMD), a regulatory agency of the
State of Florida. SWFWMD places strict guidelines on groundwater withdrawals, and
the Authority is in full compliance with all permit requirements.

Years of reduced rainfall combined with continued population growth and water
use have compelled the Authority to seek creative solutions to the water needs of our
members and their customers. The Authority recognizes its role in establishing
alternatives for future water development and use. To ensure the sustainability of
Tampa Bay's natural resources, initiatives such as brackish and seawater desalination,
reclaimed water recovery, surface and stormwater use, and wellfield rehydration are
continually explored.

Wild life and plant life abound at Authority and member facilities


All of the Authority's water use permits require mitigation of adverse impacts
caused by wellfield production. While mitigation is important to environmental
management, the Authority takes the concept a step further. Environmental
enhancement includes mitigation, augmentation and restoration. At Model Dairy, the
Authority sponsored a mitigation project that restored and created 85 acres of wetland
to offset construction impacts of a regional potable water pipeline and to give back to
the ecosystem what 60 years of logging, dairy operations, rim-ditching and draining of
wetlands had removed.

The Authority's "Good Neighbor" policy also goes beyond typical mitigation and
exemplifies the Authority's commitment to the Tampa Bay region. It allows the Authority
to mitigate for possible adverse impacts on domestic wells, without regard to cause,
within a prescribed area surrounding each of our wellfields. More than 375 domestic
wells were mitigated last year under one of the most generous and extensive domestic
well mitigation programs in the nation. In 1995, the Authority adopted the Ranch
Operators Assistance Program (ROAP). Designed specifically for ranchers, this program
allows the Authority to address the special mitigation needs of livestock operations in
the vicinity of Authority-managed wellfields.

Some 500 ecological and 375 hydrological monitoring stations constantly report
conditions throughout the tri-county area. By investigating techniques such as
wellfield rehydration and dechannelization, the Authority will continue its commitment
to environmental management while protecting our precious water resource for
future generations.



Cross Bar

North Pasco *


Cypress Creek

Cypress Bridge

Cosme- i Section 21
Odessa Wellfield
Wellfie d Northwest
Regional Wellfield

SMorris Bridge

Tampa Bypass

Regional Wellfield



PS Existing Transmission Main Production Well

Regional Transmission Main A Water Treatment Plant
3SWater Supply (Under Construction) A WaterTreatment Plant

A Facilities Existing Wellfield (Under Construction)

PS Existing & ....... Master Water Plan ...... Proposed
P ro Transmission Main Regional System
Proposed Transmission Main
SRegional .A Master Water Plan
LY Water Supply See legend at left
,ThpitB 3 h Facilities for existing facilities.



" I 'A N

... .- .

Koni i, CPA _Pirect.o .

The Finance nnd 'dmini nsible
o -nde'dexIsting
terins, port *g, J,
purchasing, inventory and fixeessets, riman pt
human resources. ,

non-proit are
through the sale

inistration Division
riety of options. 0
nLie bohds, all
take ay contr
undin- options in om our
rs and
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Dr. Donald J. Polmann, PE. D

The Rez.JurI. e Panni tsr
S 1- d 0 oI, new wat 0

r and ttLire w ite-r I.upp ting I, r)
ecological imn pa: i.. ., .., _-sten, h.d,/a:h[ .'.',va I
the quahty of potable .'.-te-r suppliedi to the
.. .ln" it::er governments.

roe Planning

' P .6-, p rC L t ,cnd collect iL r capitalr
iroVemenrprojticts. A pa reftndinq B ra regional
system bond ,iellde a r present value savings of
$980,000 for t-e Auri memrnbers: AdditionalSvings
a aln-t.: 1 I4ilon nniriiually were realized th
retnremWrts that reduced: operating expen
JT ierAtat.:., on ci arn inmpicved month t
wi mpr. e the Autho.' ay

uthi derpanmen)t t bette control e N
ely perfect subsequent b.ldgets n
iB J improvement Plan. '

ti,,e ar Administration Division
h ap ualhfied audit opinion prtr onr
rough sound planning and solid
t,"e Authority can contintle to p ovi,:,e
~t. -iuafty water at the lowest possible

more than t
overr nm
plan that Is
the environs
Resource Plannin
er/ampa Bypass Ca
d-and submitteci ti
Shich will be ei
Supes, I c
ound wat,'

reefits old
.td SWieWb&

vh Re..ure Pla ed
-tates Environmenr, tal Pi crit
l telti Rel,. :iratioi:n e atioli Project. This
di, ,i' aion prgrarr ii an: ce r.'P : r-ali :, s.a t -E.tiii.; i
tur t facilities, and is just one example
io B ent to optimization c:f :..r



--, i




Jonathan M. K

From new water supplI
existing systems, the Reso
translates plans into actual
responsible for properly a
design and construction.
In 1995, Resource De
key project which has sp.
planning and engineering
Cypress Bridge Wellfield
1995 and will be complete
million construction project
facilities specifically built f
voting members. Cypress
per day of new drinking w
adding a degree of flexibili
management. Another 2 r
continue to directly serve

Cypress Bridge is jus
Capital Improvement Pla
Resource Development.
developed in the previ
Transmission Main, ic
be delivered t

.ua I i

. Director

to improvremrents of
elopment Division
This division is
as well as engineering,

t moved forward on a
ian 10 years in the
construction on
and B began early in
ring of 1996. This $25
the first supply
ose of serving all five
gs 6 million gallons
regional system,
sed systems
s per day will
f Pasco County.

ent of an $85 million
ng implemented by
CIP elements
ude the West Pasco
ional system flow to
ce area, and the
e projects, and
reliability of one of



Bruce E. Kennedy, i

Resource Management har
operation and maintenance of a
used in the supply, treatment. tr
water to the Authority's

The irw qIest,' I nt c
Manageent'it e unir PtE
- ~rhbers and their c
SManagpment met an,,
played a significant
working with Resour~
construction contra'
the new 66-inc
supply wells a
Sfacidaes was- a th
* ae-sifi ,ive and.
1 yr-Qtd ypss Cr
were reftiished t
inch Cypres3OCtek Wate
impn ove capacity, redu:ce
reduce enei'-,, use. Pr'eS- ul
StIrlI-, gNe..:.rth PaS:uCo .:-beyll
The:.e ,: ,ml t:IinLi-le: .:i':t. itie n r-i
:" .' 1 t 'l[.:. I' 'l.:.ll Ir ri

Man: =l- lecog
member governments, but by r(

Facility for excellence in

I -


e start-up,
es and equipment
sion and delivery of

OWveof Res

iand testing
t~aa ,

R Yodifications
Arnpinten-ran-ce. The 20-
iumps and moto6).
i~F, and th 72-
cleaned to
I 6 thus

y :OStis.
.1: 11:"' in

y our
sas well.

Coopers Coopers & Lybrand L.L.P.
&L iand a professional services firm

Report of Independent Accountants

Board of Directors
West Coast Regional Water Supply Authority
We have audited the accompanying balance sheets of West Coast Regional Water Supply Authority
(the Authority) as of September 30, 1995 and 1994, and the related statements of revenues, expenses
and changes in retained earnings, and cash flows for the years then ended. These financial statements
are the responsibility of the Authority's management. Our responsibility is to express an opinion on
these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing standards, and Government
Auditing Standards, issued by the Comptroller General of the United States. Those standards require
that we plan and perform the audit to obtain reasonable assurance about whether the financial state-
ments are free of material misstatement. An audit includes examining, on a test basis, evidence sup-
porting the amounts and disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits provide a reasonable basis for our
In our opinion, the financial statements referred to above present fairly, in all material respects, the fi-
nancial position of the Authority as of September 30, 1995 and 1994, and the results of its operations
and its cash flows for the years then ended, in conformity with generally accepted accounting

Tampa, Florida 6
December 29, 1995

West Coast Regional Water Supply Authority
Balance Sheets
September 30, 1995 and 1994

Current assets:
Cash and cash equivalents
Accounts receivable from sale of water
Other current assets
Total current assets
Restricted assets:
Cash and cash equivalents
Contributions due from members
Total restricted assets

Property, plant and equipment, net
Bond issue costs, net of accumulated amortization of $1,150,115
and $1,134,039 for 1995 and 1994, respectively

Current liabilities:
Credits due water customers
Accounts payable and accrued expenses
Total current liabilities
Liabilities payable from restricted assets:
Construction funds, accounts payable
Sinking funds:
Accrued interest
Current portion of long-term debt
Advance from water customers

Long-term debt, net of bond discount and unamortized loss
on bond refundings
Deferred revenue
Advance from water customers
Total liabilities

Contingencies (Note 9)
Fund equity:
Contributed capital
Retained earnings:
Reserved for debt service

Total fund equity

The accompanying notes are an integral part of these financial statements.


$ 14,719,426



$ 203,744,117

$ 7,941,583



$ 7,827,172




$ 2,210





$ 203,744,117





West Coast Regional Water Supply Authority
Statements of Revenues, Expenses and Changes in Retained Earnings
for the years ended September 30, 1995 and 1994

Revenue from sale of water
Operating expenses
Operating income before depreciation and amortization
Depreciation and amortization
Operating income
Non-operating revenues (expenses):
Interest income
Interest expense
Net income
Retained earnings, beginning of year
Retained earnings, end of year
The accompanying notes are an integral part of these financial statements.

West Coast Regional Water Supply Authority
Statements of Cash Flows
for the years ended September 30, 1995 and 1994

Cash flows from operating activities:
Operating income
Adjustments to reconcile operating income to net cash provided by
operating activities:
Depreciation and amortization
Loss (gain) on sale of property, plant and equipment
Increase in deferred revenue
Change in assets and liabilities:
Increase in accounts receivable
Decrease in inventory
Increase in other current assets
Increase (decrease) in credits due water customers
Increase in accounts payable and accrued expenses
Increase (decrease) in advance from water customers
Total adjustments

Net cash provided by operating activities
Cash flows from capital and related financing activities:
Contributions in aid of construction
Acquisition and construction of capital assets
Principal paid on revenue bond maturities and other long-term debt
Interest paid on bonds and other long-term debt
Refund of contribution
Other capital and related financing cash payments

Net cash flows used in capital and related financing activities

Cash flows from investing activities:
Purchase of investments
Proceeds from sale and maturities of investments
Interest on investments
Net cash flows provided by investing activities

Net (decrease) increase in cash and cash equivalents
Cash and cash equivalents at beginning of year

Cash and cash equivalents at end of year

The accompanying notes are an integral part of these financial statements.

$ 25,118,399

$ 10,671,335

$ 26,377,615

$ 9,123,775


$ 7,543,398








$ 44,999,231


$ 7,846,204








$ 44,918,716

West Coast Regional Water Supply Authority
Statements of Cash Flows, continued

Noncash activities:
During the year ended September 30, 1995, the Authority partially refunded certain Capital Improvement Revenue Bonds, Series 1989B,
with Refunding Revenue Bonds, Series 1995, in the amount of $19,485,000 including accrued interest of approximately $93,000.
During the year ended September 30, 1995, approximately $2,020,000 of interest expense on the compound interest serial and capital
appreciation bonds was accreted to the respective principal balances.

On November 1, 1993, two of the Authority's members paid off their portion of the Authority's 1992 3% Bond Anticipation Note (BAN) in
the amount of $20,208,946. The members made their payments directly to the holder of the BAN. Such amount has been recorded as a
decrease in the BAN with a corresponding increase in contributed capital in the accompanying financial statements.
During the year ended September 30, 1994, approximately $892,000 of interest expense on the compound interest serial and capital
appreciation bonds was accreted to the respective principal balances.

West Coast Regional Water Supply Authority
Notes to Financial Statements

1. Organization:
The West Coast Regional Water Supply Authority (the Authority) was organized under the laws of the State of Florida on October 25, 1974
by an inter-local agreement pursuant to Chapter 74-114 of the Florida Statutes between the counties of Hillsborough, Pasco and Pinellas
and the cities of St. Petersburg and Tampa, Florida (the members). The purpose of the Authority is to develop regional water supplies
and to supply water to its members at a wholesale price.
2. Summary of Significant Accounting Policies:
The accounting policies of the Authority conform to generally accepted accounting principles applicable to a proprietary fund of a
governmental unit. The following is a summary of significant accounting policies.
Basis of Accounting The Authority uses the accrual basis of accounting in preparation of its annual financial statements. The
accounting and reporting policies of the Authority conform with the accounting rules prescribed by the Government Accounting Standards
Board (GASB). The Authority has elected under GASB No. 20, "Accounting and Financial Reporting for Proprietary Funds and Other
Governmental Entities That Use Proprietary Fund Accounting," to apply all applicable GASB pronouncements, as well as all applicable
Financial Accounting Standards Board (FASB) Statements and Interpretations issued on or before November 30, 1989, except for those
that conflict with or contradict GASB pronouncements.
Deferred Revenue Under the provisions of water contracts, rates are established to recover costs essentially on a cash basis (see Note
3). Since costs are defined to include certain items that are not financial statement expenses (e.g., bond principal repayments) and
exclude certain items that are financial statement expenses (e.g., depreciation), the provisions of Statement of Financial Accounting
Standards (SFAS) No. 71 are applied to match revenues and related expenses. Under SFAS 71, current recoveries for net expenses that
are expected to be incurred in the future are deferred until the related expenses are recognized.
Property, Plant and Equipment Property, plant and equipment are stated at cost. Depreciation is computed using the straight-line
method over the estimated useful lives of the assets as follows:
Life in Years
Wells and wellfield improvements 50
Pump station and pump equipment 50
Transmission mains 15 75
Other equipment 4 20
Maintenance, repairs and minor renewals are charged to expense as incurred, while expenditures that materially increase values, change
capacity or extend useful lives are capitalized. Property, plant and equipment are removed net of accumulated depreciation upon
retirement or disposition. Related gains or losses are charged to operations.
Inventory Inventory is stated at average cost.
Bond Issue Costs Bond issue costs are amortized over the life of the bonds using the bonds outstanding method.
Accretion of Bond Interest Interest on the compound interest serial and capital appreciation bonds (which is not paid until maturity) is
recorded annually on the bonds outstanding method.
Investments Authorized by Law Pursuant to the inter-local agreement establishing the Authority, the Authority is authorized to invest in
certificates of deposit, obligations of the U.S. Treasury or the State of Florida, and repurchase agreements.
Cash Equivalents For purposes of the Statement of Cash Flows, cash equivalents are defined as short-term, highly liquid investments
that are both readily convertible to known amounts of cash and have original maturities of three months or less.
Capitalization of Interest Interest costs incurred are capitalized as part of the cost of constructing fixed assets in accordance with the
provisions of Statement of Financial Accounting Standards No. 34, unless the proceeds of the related debt are externally restricted to
financing the construction, in which case the provisions of SFAS No. 62 are applied.
Prior Year Reclassifications Certain prior year amounts have been reclassified to conform with current year presentations.

3. Rate-Making Policies and Procedures:
Water contracts provide rate formulas for determination of the billings for water sold. The formulas were established to pass through to
the water customers all wellfield operating expenditures, including certain capital costs and debt service. Depreciation, amortization of
bond costs and accretion of bond interest are not included in water rates.
Estimated billing rates are used during the year which are based on budgeted costs as approved by the Authority's Board of Directors
(the Board), including administrative costs that are allocated to water production and distribution operations. At September 30, billings
are adjusted to equal actual expenditures as defined in the agreements.
Advances totaling $3,203,755 and $3,187,298 and as of September 30, 1995 and 1994, respectively, have been made by water
customers to fund the operating, renewal and replacement, debt service, capital replacement, and self-insurance reserves and to acquire
certain assets included in the water rate budget for the year then ended, but for which amounts have not yet been expended.
4. Restricted Assets:
Restricted assets are established to the extent required by bond resolutions for the Authority's long-term debt (Note 7) and administrative
action. Bond proceeds, water revenue and interest income maintain the various funds at their required limits. Amounts not needed to
fund requirements may be used for any lawful purpose. Components and descriptions of the various funds follow:

1995 1994
Construction funds $ 26,279,001 $ 25,909,291
Sinking funds 5,704,261 5,646,004
Operating reserve funds 155,441 155,300
Renewal and replacement funds 2,005,833 1,129,055
Debt service reserve funds 3,502,793 3,537,300
Other 694,713 714,594
$ 38,342,042 $ 37,091,544

Construction Funds Construction funds account for unexpended debt proceeds and interest income thereon from the Refunding
Revenue Bond Series 1989A, the Capital Improvement Revenue Bond Series 1989B, the 1992 Bond Anticipation Notes, the 1992-1995
Contributions in Aid of Construction, and the North Pasco Note.
Sinking Funds Sinking funds include funds for payment of the next debt service payment due on outstanding debt.
Operating Reserve Funds The operating reserve funds provide reserves for operating expenses related to the Capital Improvement
Revenue Bond Series 1979.
Renewal and Replacement Funds Renewal and replacement funds are required for renewal and replacement of facilities constructed
with the proceeds from the Capital Improvement Revenue Bonds Series 1979 and the 1985 and 1992 Refunding Revenue Bonds.
Debt Service Reserve Funds The debt service reserve funds are required to maintain one year's maximum debt service for the
Revenue Bond Series 1979, 1989B and 1995 and various specified levels for the Refunding Revenue Bond Series 1985.
Bond resolutions place certain limitations on investments permitted by the various funds.
5. Cash, Cash Equivalents and Investments:
Cash, cash equivalents, and investments are recorded at cost (which approximates market value) and consist of:

1995 1994
Cash $ 8,629,213 $ 9,362,157
State Board of Administration (SBA) Investment Pool 23,841,610 16,890,400
Certificates of deposit 16,962,811 15,420,190
U.S. Treasury Securities (principally Treasury Bills) 1,512,156 3,211,377
Interest receivable 40,128 34,592
$ 50,985,918 $ 44,918,716

All of the Authority's deposits with financial institutions are made with depository institutions that are members of the State of Florida's
collateral pool and, therefore, are considered to be insured pursuant to Governmental Accounting Standards Board Statement No. 3.
The Authority's investments are categorized below to give an indication of the level of risk assumed by the entity at year-end. Category 1
includes investments that are insured or registered or securities held by the Authority or its agent in the Authority's name. Category 2
includes uninsured and unregistered investments for which the securities are held by the broker's or dealer's trust department or agent in
the Authority's name. Category 3 includes uninsured and unregistered investments for which the securities are held by the broker or
dealer, or by its trust department or agent but not in the Authority's name.

1 2 3 Total
U.S. Treasury Bills $ 0 $ 1,512,156 $ 0 $ 1,512,156
Total $ 0 $ 1,512,156 $ 0 $ 1,512,156

6. Property, Plant and Equipment:
Property, plant and equipment are recorded at cost and are summarized as follows:
1995 1994
Land $ 10,777,248 $ 9,138,405
Wells and wellfield improvements 55,577,543 55,395,077
Pump station and pump equipment 20,877,680 20,874,781
Transmission mains 39,383,460 39,383,460
Other equipment 6,557,732 6,354,561
133,173,663 131,146,284
Less accumulated depreciation and amortization (29,458,259) (26,145,755)
103,715,404 105,000,529
Construction in progress 42,087,973 19,988,800
$ 145,803,377 $ 124,989,329

Land recorded by the Authority includes $2,686,133 for the Cypress Creek Wellfield property. Under current agreements, the legal title to
a portion of this land, recorded at approximately $1,763,000, will remain with Southwest Florida Water Management District and will not
pass to the Authority. However, the perpetual, equitable interest in this land, including the associated permanent groundwater rights,
easements and rights-of-way, and the title to certain other land (recorded at approximately $770,000), will be conveyed to the Authority
upon the satisfaction of the related indebtedness (see Note 7). Accordingly, both parcels have been recorded as assets of the Authority.
Interest is capitalized under the provisions of Statement of Financial Accounting Standards No. 62. Interest expense incurred was
$7,833,859 and $8,257,013 for the years ended September 30, 1995 and 1994, respectively. Interest capitalized was $0 and $51,698 for
the years ended September 30, 1995 and 1994, respectively. Interest income capitalized was $0 and $51,698 for the years ended
September 30, 1995 and 1994, respectively.
The following is an analysis of the leased property under capital leases by major classes included in property, plant and equipment above:
Class of Property 1995 1994
Land $ 2,533,000 $ 2,533,000
Wells and wellfields 11,231,255 11,231,255
Transmission mains 15,581,618 15,581,618
29,345,873 29,345,873
Less accumulated amortization (10,851,154) (9,769,643)
$ 18,494,719 $ 19,576,230

Depreciation expense was $2,247,925 and $2,334,708 for the years ended September 30, 1995 and 1994, respectively. Commitments on
construction type contracts at September 30, 1995 were approximately $24,240,000.
7. Long-Term Debt:
Long-term debt for the years ended September 30, 1995 and 1994 consists of:
1995 1994
Capital Improvement Revenue Bonds. Series 1979
6.3% term bonds, due October 1, 2010, $8,510,000 of which is
subject to mandatory redemption from 2001 through 2009, interest
payable semiannually $ 9,780,000 $ 9,780,000

5.40% to 6.25% series bonds, due annually at varying amounts
through 2000, interest payable semiannually 3,575,000 4,060,000

Total Series 1979 13,355,000 13,840,000

Refunding Revenue Bonds. Series 1985 (partially refunded in
fiscal 1990):
8.25% to 9.7% compound interest serial bonds, due semiannually
at varying amounts from 1994 through 1999, including compound
interest due at maturity (maturity value $11,500,000) 9,698,918 11,301,004

Refunding Revenue Bonds Series 1989A:
5.85% to 6.75% current interest serial bonds, due semiannually at
varying amounts through 1999, interest payable semiannually 710,000 840,000

7% term bonds, due 2004, $11,765,000 of which is subject to mandatory
redemption from 2000 through 2003, interest payable semiannually 15,245,000 15,245,000

7% term bonds, due 2007, $7,705,000 of which is subject to mandatory
redemption from 2005 through 2007, interest payable semiannually 11,970,000 11,970,000

7.15% capital appreciation bonds, due semiannually at varying amounts
from 2008 through 2013, including capital appreciation due at maturity
(maturity value $27,185,000) 9,264,882 8,636,344
Total Series 1989A 37,189,882 36,691,344

Capital Improvement Revenue Bonds. Series 1989B
(partially refunded in 1995):
6.2% to 6.75% current interest serial bonds, due annually at varying
amounts from 1993 through 2000, interest payable semiannually

7% term bonds, due 2009, $2,070,000 of which is subject to mandatory
redemption from 2001 to 2008, interest payable semiannually

7.1% capital appreciation bonds, due annually at varying amounts from
2010 to 2019, including capital appreciation due at maturity
(maturity value $3,700,000)

Total Series 1989B

Refunding Revenue Bonds. Series 1992
2.75% to 6.00% serial bonds, due annually at varying amounts through
2006, interest payable semiannually

6% term bonds, due 2009, subject to mandatory redemption from 2007
through 2009, interest payable semiannually

6% term bonds, due 2013, subject to mandatory redemption from 2010
through 2013, interest payable semiannually

Total Series 1992

$ 965,000




$ 4,485,000

$ 5,715,000




$ 4,790,000







Refunding Revenue Bonds. Series 1995
4.00% to 5.60% serial bonds, due annually at varying amounts through
2011, interest payable semiannually

5.75% term bonds due 2015, subject to mandatory redemption from
2012-2015, interest payable semiannually

5.75% term bonds due 2019, subject to mandatory redemption from
2016-2019, interest payable semiannually

Total Series 1995

6.1% Cypress Creek Wellfield obligation, due $173,317 monthly,
including interest, through 2009

5.0% Starkey Wellfield obligation, due $4,547 monthly, including
interest, through 1999

6.95% 1990 Revenue Notes, principal and interest of $156,078 payable
semiannually, final installment due December 1, 1995
6.15% Series 1991 Revenue Notes, payable in ten semiannual
installments beginning January 1, 1993

Less current maturities

Less unamortized bond discount
Less unamortized loss on bond refundings








$ 97,130,880





$ 100,996,918

Maturities of long-term debt for the years subsequent to September 30,1995 are as follows:
1997 $ 5,587,354
1998 $ 4,796,625
1999 $ 4,735,329
2000 $ 3,845,261
Thereafter $89,022,796

Long-Term Debt

On May 3, 1995, the Authority issued $19,485,000 of Refunding Revenue Bonds, Series 1995, to accomplish the advance refunding and
defeasance of a portion of the Revenue Bonds, Series 19898. As a result of the refunding, the Authority will reduce aggregate debt
service payments by approximately $2,308,460 over the next 24 years and obtain an economic gain between the present value of the old
and the new debt service payments of $979,800.
The principal and interest on the 1979 and 1989B Capital Improvement Revenue Bonds, the 1985, 1989A, 1992 and 1995 Refunding
Revenue Bonds and the 1990 and 1991 Revenue Notes are payable from and collateralized by prior liens on revenues derived from water
contracts between the Authority and water users as follows:
Contracts With Contract Date
1979 Bonds Pinellas County April, 1979
1985 Bonds Hillsborough County November 10, 1981
1989A Bonds Hillsborough County November 10, 1981
1989B Bonds Hillsborough County November 10, 1981
1995 Bonds Hillsborough County November 10, 1981
1990 Note City of Tampa December 19, 1990
1991 Note Pasco County January 23, 1990
1992 Bonds City of New Port Richey, Pasco County December 15, 1981

Pursuant to the water contracts, the water users have agreed to pay the debt service and fixed operating costs of the related facilities.
Bond and note covenants require the Authority to fund, among other accounts, sinking funds and debt service reserves with pledged
revenues. These funding requirements are described in Note 4.
The covenants also require that the Authority not issue any other obligations payable from the specified pledged revenues, nor voluntarily
create or cause to be created any debt, lien, pledge, assignment, encumbrances or other charges having priority to or being on a parity
with the lien of the specific bonds except under conditions specified in the resolutions.
Cypress Creek Wellfield Obligation Under agreements with Pinellas County and the City of St. Petersburg, and Pasco County (the
Parties) dated November 22, 1976 and March 22, 1977, respectively, the Authority was given the right on January 1, 1977 to operate the
Cypress Creek Wellfield. Title to wellfield real and personal property (except for certain land as explained in Note 6) will transfer to the
Authority upon payment of the Cypress Creek Wellfield Obligation, which represents the Parties' wellfield construction costs and interest
expense on construction funds, and performance of certain covenants under the agreements.
Advance Refunding The Authority has advance refunded certain bond issues by the issuance of refunding bonds. The proceeds of the
refunding bonds were used to purchase U.S. Government securities that were placed in an irrevocable trust for purposes of generating
resources for all future debt service payments of the refunded debt. As a result, the refunded bonds are considered defeated and the
related liability is not reflected in the accompanying financial statements.
At September 30, 1995, the principal amount outstanding of the 1983 defeated bonds (refunded in 1988), 1984 defeated bonds
(refunded in 1985), 1985 defeated bonds (refunded in 1989), 1988 defeated bonds (refunded in 1992) and 1989B defeated bonds
(refunded in 1995) is approximately $118,341,000 (including accreted interest through maturity).
8. Employee Benefits:
Retirement Plan Description and Provisions All full-time Authority employees are participants in the statewide Florida Retirement
System (the System) under the authority of Article X, Section 14 of the State Constitution and Florida Statutes, Chapters 112 and 121. The
payroll for Authority employees covered by the System for the years ended September 30, 1995 and 1994 was approximately $3,004,000
and $3,009,000, respectively. The Authority's total payroll was $3,170,000 and $3,067,000 for the same periods. The Authority's
contributions to the plan were $531,371 and $542,104, which represented approximately 17.7% and 18.0% of the covered payroll,
respectively. There were no employee contributions to the plan.
Total annual covered payroll of the entire System for its fiscal year ended June 30, 1994, (the latest fiscal year for which data is available)
was approximately $14.5 billion. Total annual employer contributions to the System for the 1994 fiscal year were $2.9 billion. The
Authority's contributions were approximately .02% of the requirement for all employers.
Employees who retire at or after age 62 with 10 years of creditable service (eight years for elected officials), 10 years of special risk
service and age 55, or 30 years of service regardless of age, are entitled to a retirement benefit, payable for life, equal to 1.5% to 3.3%
per year of creditable service, depending on the class of employee (regular, special risk, etc.).
Benefits vest after ten years (eight years for elected officials) of credited service. Early retirement may be taken any time after vesting;
however, there is a 5% benefit reduction for each year prior to normal retirement age or date.
Disability and survivor benefits are also offered. Benefits are established by state statute. The Plan provides for a constant 3% cost-of-
living adjustment for retirees, as required by state law.

Description of Funding Policy This is a cost-sharing, multi-employer plan available to governmental units within the state, and actuarial
information with respect to an individual participating entity is not available. Participating employers are required, by statute, to pay
monthly contributions at actuarially determined rates that, expressed as percentages of annual covered payroll, are adequate to
accumulate sufficient assets to pay benefits when due.
The amount shown below as "pension benefit obligation" is a standardized measure of the present value of pension benefits, adjusted for
the effect of projected salary increases, estimated to be payable in the future as a result of employee service to date. The measure is the
actuarial present value of credited projected benefits and is intended to help users assess the System's funding status on a going-
concern basis, assess progress in accumulating sufficient assets to pay benefits when due, and make comparisons among public
employee retirement systems. The measure is independent of, and should not be confused with, the actuarial funding method used to
determine contributions to the System.
In accordance with the Governmental Accounting Standards Board Statement No. 5, an actuarial valuation to determine the pension
benefit obligation as of June 30, 1994 was updated by the System's consulting actuaries. Significant actuarial assumptions used include
(a) a rate of return on the investment of present and future assets of 8% per year compounded annually; (b) projected salary increases of
5.5% per year compounded annually, attributable to inflation; (c) additional projected salary increases of 2% per year attributable'to
seniority/merit; and (d) post-retirement benefit increases of 3% per year.
There were no significant changes made to benefit provisions since the last evaluation.
At June 30, 1994 (the latest year for which data is available) the pension benefit obligation was approximately $44.3 billion. The System's
net assets available for benefits on that date were approximately $33.1 billion (market value of approximately $36.9 billion), resulting in an
unfunded pension benefit obligation of approximately $11.2 billion.
Trend Information Ten-year historical trend information, presenting the System's progress in accumulating sufficient assets to pay
benefits when due, is presented in the System's June 30, 1994 annual financial report.
GASB 16 Effective October 1, 1993, the Authority adopted Governmental Accounting Standards Board Statement No. 16 (GASB 16),
"Accounting for Compensated Absences." This standard requires the accrual of compensated absences by state and local governmental
entities. As the Authority has been accruing compensated absences in accordance with Financial Accounting Standards Board
Statement 43, the impact of adopting GASB 16 was not significant.
9. Contingencies:
The Authority is a party to various lawsuits, claims, and legal actions arising in the ordinary course of business. These actions relate
primarily to eminent domain, construction claims, disputes and personnel matters. Losses, if any, that may be incurred in connection with
these matters are not deemed to be significant to the Authority's financial statements, or would be recoverable under various water supply
The Authority has filed two actions in the Circuit Court of Pinellas County for the replacement of its 84-inch and 66-inch Cypress Creek
Transmission Mains and its 60-inch Cross Bar Transmission Main seeking total damages of $55 million from various parties. The
transmission mains have experienced two explosive ruptures and numerous other delamination type failures and are believed to be totally
defective. An internal/external inspection of the pipeline as well as destructive testing has shown massive defects of numerous pipes.
Pending the resolution of this matter and replacement of the defective pipe, this pipeline is being operated at a substantially reduced
pressure and monitored closely to mitigate the risk of further explosive failure. The ultimate outcome of this action cannot be predicted at
this time.



Existing Tri-Coun

Water Supply Fac

Regional System
Other WCRWSA Facilities
D Member Facilities

1995 Water Year
Average Production MGD
Major Water Supply Facilities
Regional Wellfelds
Cypress Creek Wellfleld 25.9
Cross Bar Ranch Wellfield 24.4
Cypress Bridge Wellfield 1.5
Northwest Hillsborough Wellfeld 8.7
Non-Regional Wellfields
Starkey Wellfield 11.9
North Pasco Wellfleld 2.2
South-Central Hillsborough Wellfield 18.1
Surface Water Supply
Tampa Bypass Canal 2.7

+City of St. Petersburg
Cosme-Odessa Wellfield 11.1
Section 21 Wellfeld 9.1
South Pasco Wellfield 12.9
+Pinellas County
Eldridge-Wilde Wellfield 24.9
*City of Tampa
Hillsborough River System 63.2
Morris Bridge Wellfield 3.5
Total 220.1
Co-managed by WCRWSA


Master Water Plan


1 Regional System
SOther WCRWSA Facilities
E Member Facilities
"% Sources & Facilities
(#14) Water Supply Element
#42 Facilities Improvement Element

Phase 1 Cypress Bridge Permit Increase 14A
1995-2000 Tampa Bypass Canal Linear Wellfield 49
North-Central Hillborough Intertie 57
Industrial/Agricultural Exchange
(Lithia 5, Alafia 7) 24A
South-Central Hillsborough Intertle 48
East Hillsborough Basin Phase 1
(Brandon Urban Wellfield) 4A

Phase 2 East Hillsborough Basin Phase 2
2000-2005 (Cone Ranch & Dispersed Wells) 4B
Hillsborough Bay Resource Exchange 54
Loop 72" Transmission Main Phase A 43

Developmental Brackish Water Desalination
Alternatives Hillborough River High Water
Seawater Desalination

MWP9_-? .CDR

Master Water Plan 1996 2005

The Plan includes an aggressive conservation
program that is expected to reduce per capital
use by 10 mgd in 2000 and 17 mgd in 2005.

Supply Projected Phase Cumulative
Phases Elements Capacity Capacity Capacity
(mgd) (mgd) (mgd)
Phase 0 Cypress Bridge Transmission Main 6
1995-1997 Tampa/Hillsborough Interconnect 8
Morris Bridge Transmission Main 6 20 20

Cypress Bridge Permit Increase 4
Phase 1 Tampa Bypass Canal Linear Wellfleld .
1995-2000 (& North-Central Hillsborough Intertie) 10
Industrial/Agricultural Exchange
(& South-Central Hillsborough Intertie) 12
Brandon Urban Wellfleld 12
Phase 2 Cone Ranch & Dispersed Wells 12
2000-2005 Hillsborough Bay Resource Exchange
(& Loop 72 Transmission Phase A) 35 47 105


Brackish Water Desalination
Hillsborough River High Water
Seawater Desalination



* Estimate of capacity. Permit application will be based upon optimized
capacity within the limits of sound environmental practice.

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