EID has been cutting expenses and employees
EID’s financial metrics in the past decade show a history of rising revenues and rising costs during the tenure of Ane Deister as general manager, which ended on Dec.31, 2007. Following that the history is of dropping revenues and major cost cutting, first by Interim GM Tom Gallier, then on a more comprehensive scope by current GM Jim Abercrombie.
Here’s the numeric top-level summary for what has occurred since the term of Ane Deister as General Manager. Capital Improvement budget data cover four years under the new management (2009-2012), actual expense and revenue data are available for two years (2009-2010). An additional year expense and revenue data will become available when EID’s 2011 Comprehensive Annual Financial Report is published. Except for the five-year CIP numbers, all dollar citations are per year.
• Five-year Capital Improvement Plan (CIP) costs have dropped by $302 million (78 percent).
• The current CIP budget is about 1/5 (22 percent) as much as the 2008 CIP.
• Operating costs have been cut by $5 million (11 percent).
• Capital contributions (developer charges and new hookups) dropped by $17 million (92 percent), to $1.5 million.
• This had peaked at $47 million in 2004.
• Revenue from property taxes has dropped by $1.3 million (12 percent).
• Staff has been cut by about 30 percent. At the end of 2010 this was 79 employees (26 percent).
• Operating revenues increased $5.4 million (13 percent). $3.1 million was from increased hydroelectric revenues, $2.3 million from the 2010 rate increase.
Where critics claim “EID’s spending is out of control and getting worse,” they’re contradicting reality.
The truth is that EID’s spending has steadily and dramatically decreased between 2008 and now, while revenues also have fallen. Additional notes are posted in the sierrafoot.org section titled “What’s wrong with FIXEID.”
At Monday’s rate hearing in Cameron Park the public generally demonstrated a troubling degree of incivility and disregard of factual reality, much like that in the fixeid.org Web content. Many in the public belied claims that are simply untrue, some cited “old news” from many years ago that is no longer relevant.
Public meetings should be forums for calm and reasoned discussions. We need constructive cooperation, not identity-politics witch hunts to accuse and blame individuals or groups.
El Dorado Hills