Zone 7 hikes its new fiscal year budget by $7.6 million

Agency says it needs more money due to less revenue as public cuts back water consumption

Zone 7 Water Agency's board of directors have approved a $124.2-million budget for the coming fiscal year, a $7.6 million increase over the current year.

The new budget for FY 2015/06 will cover operating and capital funds needed by the agency to provide a reliable supply of potable water and flood protection for its service area, which includes Pleasanton.

According to agency officials, historic drought conditions persisting throughout California continues to create challenges for Zone 7, from both a water supply and financial perspective.

"There will be less revenue due to the state's mandatory water usage reductions in 2015, and the agency's expenses will increase due to costs of replenishing its water banking programs and due to higher water purchase charges, resulting in reserves projected to decrease by another $8.1 million from the FY 2014/15 estimated reserve balance," agency officials added.


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