The Pagosa Area Water & Sanitation District board hears draft 2024 budget — The #PagosaSprings Sun

Near Pagosa Springs. Photo credit: Greg Hobbs

Click the link to read the article on the Pagosa Springs Sun website (Josh Pike). Here’s an excerpt:

Discussion of the budget opened with PAWSD Business Manager Aaron Burns stating that the budget presentation was planned to include explanations of debt service coverage and projections — that PAWSD would have approximately $2,622,985 in excess debt service coverage in 2024 — a budget summary, a detailed examination of budget line items and discussion of 2024 capital projects. Burns noted that PAWSD’s actual expenses in a year are often lower than the budgeted expenses, which he partially attributed to difficulties in finding contractors or employees to complete the projects…

The board and District Engineer/ Manager Justin Ramsey then discussed the decision by the board at the September meeting to move forward with constructing workforce housing on a parcel adjacent to Running Iron Ranch. Ramsey noted that the funding in the budget would support initial work on creating such housing. PAWSD board member Glenn Walsh suggested that the board had not decided on the exact format for this housing, but that he believed the board was committed to “doing something really smart that helps our employees.”


Burns then reviewed the operating budget considerations, noting that the district is budgeting for 38 full- time equivalents — up one from last year — and the budget includes a 6 percent “across-the-board” wage increase. He stated that the workers’ compensation experience modification for the district decreased from 1.42 to 0.78 in 2024 and that the health insurance expenses are projected to increase by 5 percent, which he noted is less than expected…

Burns explained that the district’s annual debt service coverage ratio in the water fund dipped to a low of 0.86 in 2023 due to payments on loans for the Snowball plant expansion unex- pectedly beginning in 2023, but that the district would correct the coverage ratios in 2024 due to the ongoing rate study for the district.

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