Review of 2026 Central Brown County Water Authority (CBCWA) Budget

VILLAGE OF ALLOUEZ 2026 BUDGET UPDATE Supplying clean, abundant, affordable water – for life, for business, for growth 2025 ACCOMPLISHMENTS • Outreach to pipeline neighbors • Updated website • Progress on DIP and Lake MI shoreline protection • Emergency planning tabletop exercise with all stakeholders • Creating NR854 Water Supply Service Area Plan • Updating the Risk and Resiliency Plan • Increased several reserve funds to help keep rates stable 2026 BUDGET PRIMARY INFLUENCES • Increasing Member water consumption • Projected increase in MPU wholesale rate and pass- through costs • CIP needs and costs – reserve funds available to assist • Continuing to advance strategic priorities • Annual debt service stable • Investment income helpful • $4.4M settlement receivable due Dec 31, 2026 2026 BUDGET WATER USE AND PROJECTIONS • 2025 expected to be 5th year in row of increased consumption • Continued growth… 2026 BUDGET WATER USE AND PROJECTIONS • Projected 2025 Allouez Water Use as of Sept 30: 400,444 kgal Projected Actual 2020 410,000 396,973 2021 405,000 377,854 2022 405,000 360,058 2023 385,000 370,180 2024 370,000 373,792 2025 375,000 in progress 2026 395,000 future Allouez Water Use History and Projection (1,000s of gallons) 2026 BUDGET EXPENSES AND REVENUES • Total expenses budgeted to increase by 0.7% above 2025 • 2025 expenses: $12,486,827 • 2026 expenses: $12,575,646 • Member revenues (rate funded) estimated to increase by 1.1% above 2025 • 2025 member revenues: $12,208,050 • 2026 member revenues: $12,342,870  Does not include $4.4M settlement receivable 2026 BUDGET RATES • Charter Member Rate • $4.26/1,000 gal • Was $4.42 = 3.6% decrease • Customer Member Rate • $2.45/1,000 gal • Was $2.45 = no change 2026 BUDGET MEMBER CHARGES Annual Year End Adjusted Allocation True-Up Total 2023 1,879,490$ (142,951)$ 1,736,539$ 2024 1,785,620$ (8,336)$ 1,777,284$ 2025 1,657,500$ 127,742$ 1,785,242$ * 2026 1,689,020$ Change 31,520$ * Projected 2025 Allouez Water Purchase - Estimated and Actual To be determined OTHER NEWS AND UPDATES • Increases to reserves in 2025 • Due to several years of solid investment performance and positive performance on budget vs actuals • Board moved $2.1M from unrestricted cash to various reserves • Primary purpose – to reduce future borrowing • $4.4M receivable due in 2026 • Result of 2013 lawsuit settlement • Generally intended for condition assessments, repairs, replacements, etc. on the 48-inch transmission main • Will be revisited in Strategic Plan discussions (early 2026) OTHER NEWS AND UPDATES • Looking ahead to 2026 • Update the Strategic Plan • Continued asset management planning – phase 2 • Construct storage building jointly with Ledgeview • Further understand current condition of various pipeline segments • Monitor MPU rate case and construction request • Meter testing and calibration improvements • Continue public communication focus and strengthen our brand • Continue to pursue potential new customers Thank you! YOUR QUESTIONS? Nic Sparacio General Manager manager@cbcwa.com 920.639.0078 Facebook.com/cbcwaH2O