- Your News
By ANDREA AGARDY
The commissioners of the Tullahoma Utilities Board (TUB) approved the operating budgets for the utilities’ four departments last week. TUB’s budget runs on the fiscal year, and will go into effect starting July 1.
In total, TUB’s budget for the upcoming fiscal year includes revenues in the amount of $46,929,009, up from the current year’s total of $42,539,378.
On the expenditures side, the utility’s budget for fiscal year 2013 totals $46,715,808, up from $42,041,843 this year. The difference between the revenues and expenditures for 2013 — amounting to $213,201 — will be held in reserves, according to Ernie Hobbs, TUB’s communications and marketing specialist.
Jason Ray, TUB’s acting administrative manager, provided the highlights of the spending plan to the board members at last Tuesday’s meeting, starting his presentation with figures for the electric department.
The spending plan projects electric department revenues totaling $30,146,861, which Ray pointed out is an increase of less than 1 percent over the current fiscal year.
The electric department’s list of revenue sources includes a new line item in 2013, a $115,000 appropriation from reserves, which Ray said was necessary to cover the cost of the new Automated Metering Information (AMI) system currently being installed throughout the city.
Turning his attention to expenditure side of the electric department’s budget, Ray said the 2013 budget includes “a very minor increase,” with expenditures totaling $30,111,266.
Revenue for the water department totals $5,227,010 for 2013, up $1,533,010 from 2012. According to the budget documents, a majority of that increase is coming in the form of reserve funds for capital projects, a line item totaling $1,430,010. Ray explained the funds were pulled from reserve to cover expenses associated with the AMI system as well as the upcoming project to repaint the Short Springs water tank, a project for which $750,000 has been budgeted in 2013.
On the other side of the balance sheet, TUB’s water department is projecting expenditures in the amount of $5,123,594 for the next year, Ray reported.
Moving on to the sewer department, Ray cited projected revenues in the amount of $4,971,927, offset by expenditures totaling $4,917,396.
Revenue for TUB’s most recent offering, LightTUBe television, telephone and Internet service – referred to by officials as the fiber department, total $6,583,211, with expenditures in the amount of $6,563,552. By comparison, the 2012 fiscal year budget for the same department lists a revenue total of $6,247,502 and expenditures of $6,217,570.
The budget projects the fiber’s video sales for the 2013 fiscal year will increase by more than $500,000 to a total of $2,135,245, while Internet sales are expected to increase by more than $450,000 to $1,691,675. As far as phone service sales go, the 2013 budget’s total revenue of $1,296,791 is nearly a quarter of a million dollars below the 2012 figure of $1,543,660, according to the budget document.
On the expenditure side of the fiber department’s budget, TUB has decided to beef up its line item for advertising and marketing the LightTUBe service in the coming fiscal year. In 2012, $50,000 was allocated for this purpose, an amount that increases to $75,000 in the new budget.