Financial Information


Monthly Financial Reports

During the monthly meeting, the financial status of the District for the preceding month is presented to the Board by the bookkeeper. Discussion is held to determine if any corrective actions are required. Any corrected financial reports are published following the board meeting. Financial Reports for the previous years are available on the Archives page.

The 2021 Financial Reports, by actual month, are below:

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Financial Audit

For year ending December 31, 2020 the District will not perform an audit since there has been no significant construction or other capital improvement projects. The District has passed a resolution requesting the exemption from audit and have asked the District's independent auditor, Anton Collins Mitchell LLP, and Bookkeeper complete the necessary filings to submit to the State.

The Archives have links to previous years' reports.

Annual Budget

The District utilizes a process to develop the debt service budget and the enterprise service or operating budget that complies with the requirements of State of Colorado. There are two separate funds used to report the finances of the District. On an annual basis, the Board develops budgets for each fund. The budgets are developed, available for public review, discussed and approved in a special budget hearing that is announced in advance, and finally filed with the appropriate government entities. A summary on how each is developed and approved is described below Budget Information section.

2021 Budget Information

The 2021 budget information has been developed and was presented for final approval at the November 9, 2020 Board Meeting and Budget Hearing.

With the bonds being paid off in December 2020, there is no longer a Debt Service Fund, and, therefore, an associated Debt Service Budget.The proposed 2021 Operating Budget and associated Resolutions and other documents are available. The Long Range Plan funding assumptions is also available.

The water rates to support the Operating Budget are found in Water Rates and the accompaning announcement letter.

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Debt Service Fund

This fund is used to pay the interest and principal on the bonds that were issued to form the District and build the initial distribution system within the District's Service Area. Effective with the repayment of all bonds (principal and interest), the District no longer is required to establish a Debt Service Fund and to initiate a mill levy on property values.

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Enterprise Service Fund

This fund is used to pay for all costs associated with the operations of the District. The necessary revenue primarily comes through the sale of treated water to members of the District and, secondarily, fees associated with provided services. No property tax revenue can be used to pay any operating costs.

The operating budget process is:

  1. Review of all expenses incurred during the last year to determine what is likely to be needed during the upcoming budget year.
  2. An assessment of the status of the District's infrastructure and what actions may be required and associated cost estimates.
  3. A determination of any new costs that were not incurred in the past year, looking at any historical data to assist in the estimation of cost.
  4. Obtain the cost of purchased water for the new budget year from the City of Lafayette Department of Public Works.
  5. Review the Long Term Plan for continued applicability and to change any cost estimates. This is used to ensure that adequate capital reserves are maintained to fund capital improvements.
  6. Review water usage patterns and any District growth to determine the likely amount of water that will be purchased.
  7. Revise any assumptions and guiding principals used to influence the water rates and District fees.
  8. Review the overall financial health of the District and ensure that adequate operating reserves are maintained as operating reserves. The District is bared from borrowing money, and would have to levy a special assessment on District members to pay for any shortfall if such provisions had not been made.
  9. Set the water rates and fees, via a Hearing during a Regular Meeting, to generate the required revenue to cover the projected costs, creating next year's budget.
  10. Announce and hold the Budget Hearing as part of a Regular Meeting and review and approve the budget.
  11. The final the Budget and Budget Statement are sent to required government agencies.
  12. Announce the new fees and water rates and implement them for January of the new budget year.

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District Fees

The District has adopted the following fees for the identified services and obligations. The number in parenthesis is the Rules and Regulations Article and subsection defining the fee or charge. Any changes in the fees are determined during the annual budget process, and, whenever possible, are announced in December's billing to be effective the beginning of the next calendar year. Any immediate change in any obligations to the District initiated by the City of Lafayette will be implemented immediately.

Fee Description Unit Amount
District Water Tap Fee - 5/8" Meter (7-2-2.A) One-time per tap $2,000
District Water Tap Fee - 3/4" Meter (7-2-2.B) One-time per tap $2,500
Infrastructure Equity Fee (7-2-1) One-time per tap Calculated amount (by the District) as identified in 7-2-1
Lafayette Water Tap Fee - 5/8" Meter One-time per tap $39,521.00 (to be confirmed)
Lafayette Water Tap Fee - 3/4" Meter One-time per tap

$42,641.00 (to be confirmed)

Main Expansion Review/Observation Fee (7-3) One-time per extension Actual Cost
Observation/Inspection Fee (7-4) Per construction event Actual Cost
Tap (Connected) Service Charge (7-5-1) Monthly per active tap (includes 5,000 gallons of water) $57.42
Non-Connected Service Fee (7-5-2) Monthly per inactive tap $19.95
Inclusion/Exclusion Processing Fee (7-6-1) One-time per property $500
Disconnection/Reconnection Charges (7-7) Per event Actual Cost
Meter Testing Fee (7-8) Requested meter test when meter works properly Actual Cost
Construction Water Charge (7-9) One-time prior to installation of meter Estimated
Cure Charges (7-10) Per curative action taken by District Actual Cost
Civil Fines Pass-Through (7-11) Any act or omission that causes District to be fined Actual Cost
Delinquency Charges; Collection Costs; Liens Interest (7-12) Unpaid balances 1%
Delinquency Charges; Collection Costs; Liens Penalty (7-12) On unpaid indebtedness after 60 days from invoice  
Unauthorized Connection (9-6-1) Per incident $1,000
Unauthorized Use of Water (9-6-2) Per incident $1,000
Interference, Failure to Permit Inspection (9-6-3) Per Incident $150
Tampering (9-6-4) Per incident $2,000
Easement Violations (9-6-5) Per incident $150
Unauthorized Entry (9-6-6) Per incident $25
Violation of Stop Work Order (9-6-7) Per incident $500
Failure to Provide Record Drawings (9-6-8) Per tap installed $100
Violation of Suspension/Termination Order (9-6-9) Per incident $100
False Official Statement (9-6-10) Per occurrence $500
Failure to Notify of Excavations (9-6-11) Per occurrence $25
Failure to Comply with Irrigation Restrictions (9-6-12) Per violation $250 first
$500 second
Flow regulator third and subsequent violations
Water Usage Offenses (9-6-13) Per offense $100 first
$250 second
$500 third and subsequent
Civil Damages (9-7) Per civil filing Actual Cost
Water Delivery Service Change Fee Per service status change Actual cost
Actual Charges include any and all of the following in performance of activities associated with non-District-wide work District Operator labor
Equipment purchased or rented
and other such expenses
Billed costs without any District markup

The Archive page maintains records of the fees for previous years.

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Water Rates

The District has adopted these 2021 Water Rates on December 14, 2020 during the Regular Meeting and effective January 1, 2021. The 2021 Water Rate Annoucement Letter is available.

Normally, any changes in the water rates are determined during the annual budget process, whenever possible. Any immediate change in the cost of water initiated by the City of Lafayette will be implemented following a Water Rate Hearing.

 The water rates have been developed using the following principles:

  1. The Connected and Non-connected Service fees should be kept as low as possible, with higher levels of water consumption having a higher marginal rate, if necessary, to meet revenue requirements.

  2. The 2021 rate structure is the same as the 2020 water rate, including Non-Connected Service Fee. See the Archives for a discussion on setting the 2016 base rate structure elements.

  3. The progressive rate structure that has been phased in over a number of years to meet future revenue needs and promote conservation is maintained.

  4. The District will support any rate changes initiated by the City of Lafayette during the year, unless special circustances are recognized during the Water Rate Hearing..

The Archive page maintains records of the water rates for previous years.

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Long Range Plan

The District's Long Range Plan identifies specific capital improvement projects over twenty (20) years. The improvements have been either required by the Intergovernmental Agreement with the City of Lafayette, or identified by the Directors. It is critical that adequate funds are set aside over time to do the projects, as the District is unable to borrow money (except for issuing bonds). Special assessments have been deemed inappropriate and too costly, so are not viewed as a source of funding.

Each project's cost has been estimated and the amortized annual dollars have been determined for the scheduled implementation date. During the annual budget process, each project  is re-evaluated and any revisions to the cost estimate or schedule are made. The necessary revenue that must be accumulated each year for each project is added to the operating budget for the current year. The revenue collected is added to the Capital Reserve fund, which is invested in ColoTrust.

Government Filings

During the course of conducting the financial business of the District, certain documents must be filed with various government entities. The following provides those documents.

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Budget Message

The Budget Message announces the adoption of the operating budget (Enterprise Fund) for the year.

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Debt Service Message

The Debt Service Message announces the adoption of the mill levy for the year retiring the bonds issued to form the District. With the repayment of all bonds, no Debt Service Message is created.

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Boulder County Tax Levy Letter

With the repayment of the bonds, there is no longer a reason to identify a  mill levy that the District requests the county to levy on all District properties, and therefore, no longer a reason for the letter.

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