Bella Collina Community Development District

September 2025

Water, Wastewater, and Irrigation Rate Study Miscellaneous Charge Study

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BACKGROUND & CONSIDERATIONS
Water, Wastewater, and Irrigation Rate Study

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System Background

The Water, Wastewater and Irrigation systems are owned and operated by the Bella Collina Community Development District
Water Treatment Plants
Hillcrest Water Plant 15601A Vetta Drive
Pine Island Water Plant 17500 Cavallo Drive
Sewer Treatment Plant
17500 Cavallo Drive

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System Background

Systems are operated in accordance with Consumptive Use Permits (CUP)
Pine Island (Bella Collina East) 50115-16
Hillcrest (Bella Collina West) 2900-9
The CUPs impose the following elements:
The location where water is extracted from for use – ground and surface water
The volume of water that can be extracted from the ground and surface for use within the Bella Collina CCD
Aspects of system configuration and operations for providing water (potable and irrigation) and wastewater treatment in accordance to state and federal regulation

Issues Driving the Rate Study

Fiscally responsible to perform a comprehensive rate study
Utility financial needs
Increasing operating cost
Ongoing capital expenditures
Installation of a new surface water irrigation system
Maintain reserves for future capital projects
Enterprise self sufficiency – Water vs. Wastewater vs. Irrigation

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Continue to promote resource conservation – CUP Usage Compliance

Basic Principles of Rate Setting

Rates must be fair, just, equitable, and non-discriminatory.
There should be a direct relationship between the cost of the service and the customer receiving benefit of that service.
Customers should pay for what they use.
Rates must recover the appropriate cost of service.

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Rates must provide the revenue required to provide for the health, safety, and welfare of the customers being served.

Rate Study Objectives

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Full cost recovery of utility expenditures
Cost-based rate structure
Equity among customer classes
Administrative efficiency
5-Year financial plan and continued financial health of Utility Systems
Consistency with common industry standards

The primary goals and objectives of the water, wastewater, and Irrigation rate study include:

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PROCESS
Water, Wastewater, and Irrigation Rate Study

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General Rate Study Methodology

Customer Accounts	Usage/Flow Volumes

Revenue Reconciliation Analysis

Revenue Under Existing Rates

Other Revenues

Rate Design & Financial Plan
Total Revenue Requirements

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Operation & Maintenance Expense

Debt Service

Capital Expenditures

Rate-Setting Considerations

Common industry standards Existing rate structure Impact on existing customers Water conservation goals Current growth conditions
Comparability with neighboring utilities

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Impact on future economic development

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PROCEDURES AND ANALYSES
Water, Wastewater, and Irrigation Rate Study

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Existing Rate Structure

The Existing Water, Wastewater, and Irrigation Water Rates Utilize a 2-Component Rate Structure as Follows:
Base Charges – Minimum amount applied per metered connection

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Volumetric Rates – Applied per 1,000 gallons of metered/billable flow

Existing Rate Structure

Monthly Base Charge:
Based on Meter Size
Water Volumetric Charges:
Inclining Block rate structure
Block allowances are per ERC. All residential customers are 1 ERC, commercial customer ERCs are assigned by the District or District Engineer.
Wastewater Volumetric Charges:
Same gallonage rate for all customers
Residential billed usage capped at 10,000 gallons per month

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Commercial usage is not capped

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What Was Done?

Fiscal Requirements/Operating Analysis
O&M	R&R, Reserve Funds, Transfers	Pay-as-you-go Capital

Capital Improvement Analysis

Other Fiscal Needs and Revenue Analysis

Proforma through FY 2030 with Annual Adjustments to Revenues and Expenses
Inflation	Customer Growth	Labor	Fuel/Electricity	Other

Developed Interactive Computer Model

Rate Structure Modifications

Adjust Rate Factors Between Blocks

Elimination of Wastewater Cap

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Adjust Block Allowances for Irrigation Rates

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1. Adjust Rate Factors Between Blocks

Description	
Existing	
Proposed	
Existing	Proposed (10/2025)	Proposed Pine Island
(7/2026)	Proposed Hillcrest Res
(7/2026)	Proposed Hillcrest Com
(7/2026)	
	Water	Irrigation	
Block 1	1.0000	1.0000	1.1934	1.1547	1.1547	1.1547	1.1547	
Block 2	1.2376	1.2500	1.8564	3.0000	3.0000	7.7500	3.0000	
Block 3	1.8564	3.0000	2.7017	4.3674	7.7500	N/A	7.7500	
Block 4	2.7901	7.7500	N/A	N/A	N/A	N/A	N/A	

2. Eliminate Wastewater Cap

District currently has a wastewater cap for all residential customers at 10,000 gallons per month
Typically used to account for water that is used for irrigation or other outdoor uses and does not enter wastewater system
District customers have a separate irrigation meter
Elimination of the cap for residential customers provides the following:
Promotes water conservation
Improves fairness

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Ensures system sustainability

3. Adjust Block Allowances for Irrigation Rates

Assign Irrigation block allowances based on lot size for residential customers
Promotes responsible irrigation water use
Ensures equity among customers
Align with the irrigation usage allowances included in the District’s CUP
Annual irrigation usage allowances:
All lots in Hillcrest are approximately 39,300 gallons,
Lots in Pine Island have annual allowances from 107,500 gallons to 286,600 gallons

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Block allowances for non-residential customers and master-metered residential customers will be assigned by the District and/or District Engineer.

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3. Adjust Block Allowances for Irrigation Rates

Service Area / Lot Size	Block 1	Block 2	Block 3	
HILLCREST	
Residential by lot size	
All lots	0 - 4,000	Above 4,000	N/A	
Note: Block allowances for combined lots = # of combined lots X block allowance for individual lot size of separate lot.	
Non-Residential & Master-Metered Residential	
Case-by-Case basis (set by District)	See District	See District	See District	
PINE ISLAND	
Residential by lot size	
< 3/4 Acre Lot	0 - 4,000	4,001 - 9,000	Above 9,000	
>3/4 Acre < 1 Acre Lot	0 - 11,000	11,001 - 23,000	Above 23,000	
> 1 Acre Lot	0 - 12,000	12,001 - 24,000	Above 24,000	
Note: Block allowances for combined lots = # of combined lots X block allowance for individual lot size of separate lot.	
Non-Residential & Master-Metered Residential	
Case-by-Case basis (set by District)	See District	See District	See District	

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Existing and Projected Customers and Flows - Water

	Existing	Estimated	Projected for Fiscal Year	
Description	2023	2024	2026	2027	2028	2029	2030	
WATER	
PINE ISLAND		22%	18%	10%	9%	9%	8%	
Customers	172	210	308	340	372	404	436	
Usage (1,000 gallons) (3)								
Block 1 (0 - 5,000 Gallons)	8,529	10,413	14,508	16,015	17,522	19,029	20,536	
Block 2 (5,000 - 10,000 Gallons)	3,689	4,504	6,275	6,927	7,579	8,231	8,883	
Block 3 (10,000 - 20,000 Gallons)	3,326	4,061	5,361	5,918	6,475	7,032	7,589	
Block 4 (Above 20,000 Gallons)	3,932	4,801	5,633	6,218	6,803	7,388	7,973	
HILLCREST		37%	14%	9%	8%	7%	7%	
Customers	122	167	209	227	245	263	281	
Usage (1,000 gallons) (3)								
Block 1 (0 - 5,000 Gallons)	5,286	7,236	8,603	9,344	10,085	10,826	11,567	
Block 2 (5,000 - 10,000 Gallons)	2,580	3,532	4,200	4,562	4,924	5,286	5,648	
Block 3 (10,000 - 20,000 Gallons)	2,693	3,318	3,737	4,059	4,381	4,703	5,025	
Block 4 (Above 20,000 Gallons)	521	713	714	775	836	897	958	

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Existing and Projected Customers and Flows - Wastewater

	Existing	Estimated	Projected for Fiscal Year	
Description	2023	2024	2026	2027	2028	2029	2030	
WASTEWATER	
PINE ISLAND		22%	18%	10%	9%	9%	8%	
Customers	172	210	308	340	372	404	436	
Usage (1,000 gallons) (1) (3)								
Block 1	12,193	14,887	20,742	22,897	25,052	27,207	29,362	
Block 2 (Above Cap)	7,244	8,844	11,026	12,172	13,318	14,464	15,610	
HILLCREST		39%	14%	9%	8%	8%	7%	
Customers	116	161	203	221	239	257	275	
Usage (1,000 gallons) (1) (3)								
Block 1	9,274	12,872	15,418	16,785	18,152	19,519	20,886	
Block 2 (Above Cap)	535	743	796	867	938	1,009	1,080	

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Existing and Projected Customers and Flows - Irrigation

	Existing	Estimated	Projected for Fiscal Year	
Description	2023	2024	2026	2027	2028	2029	2030	
IRRIGATION	
PINE ISLAND		22%	18%	10%	9%	9%	8%	
Customers	172	210	308	340	372	404	436	
Usage (1,000 gallons) (2) (3)								
Block 1	14,329	17,495	23,093	25,492	27,891	30,290	32,689	
Block 2	11,933	14,569	18,163	20,050	21,937	23,824	25,711	
Block 3	47,572	58,082	55,371	61,124	66,877	72,630	78,383	
HILLCREST		37%	14%	9%	8%	7%	7%	
Customers	122	167	209	227	245	263	281	
Usage (1,000 gallons) (2) (3)								
Block 1	8,504	11,640	9,066	9,847	10,628	11,409	12,190	
Block 2	5,096	6,976	25,191	27,361	29,531	31,701	33,871	
Block 3	15,950	21,833	2,965	3,220	3,475	3,730	3,985	

Note: (1) FY 2023 - FY 2025 sewer cap for residential customers. FY 2026 and after recommended residential sewer cap removed once surface water irrigation online.
FY 2023 - FY 2025 based on current usage blocks for irrigation. FY 2026 - FY 2030 based on proposed usage blocks discussed in Section 5 of the report.
Adjustments made for Non-Residential and Multi-Family Master Metered customers to block allowances per ERC and correct application of sewer cap.	

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Proposed Annual Rate Adjustments

Fiscal Year	Water	Wastewater	Irrigation	
2026	N/A	N/A	N/A	
2027	3.50%	3.50%	3.50%	
2028	3.50%	3.50%	3.50%	
2029	3.50%	3.50%	3.50%	
2030	3.50%	3.50%	3.50%	

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Projected Operating Results: FY 2025 – FY 2030

	For the Fiscal Year Ended September 30,	
Description	2025	2026	2027	2028	2029	2030	
Annual Rate Adjustments	3.24%	N/A	3.50%	3.50%	3.50%	3.50%	
							
Operating Revenues							
Charges for Services	$	1,381,714	$	1,598,325	$ 1,752,966	$	1,973,216	$	2,206,610	$	2,454,579	
Other Revenues	147,756	120,958	110,685	104,755	102,805	103,784	
Total Operating Revenues	1,529,470	1,719,283	1,863,651	2,077,971	2,309,416	2,558,363	
							
Operating Expenses							
Administrative Costs	120,401	126,422	132,743	139,379	146,348	153,662	
Operatings and Maintenance Costs	735,036	962,626	1,027,692	1,082,381	1,139,972	1,200,615	
Transfer to Capital Reserves	424,376	517,738	543,624	570,805	599,345	629,312	
Total Operating Expenses	1,279,813	1,606,786	1,704,059	1,792,565	1,885,665	1,983,589	
							
Net Income (Loss)	249,657	112,497	159,592	285,406	423,751	574,774	
							
Fund Balance							
Unrestricted	$	649,657	$	762,154	$	921,746	$	1,207,152	$	1,630,902	$	2,205,677	
Capital Reserve	2,567,979	2,604,702	2,641,426	2,678,117	2,714,734	2,751,236	
Total Fund Balances	$	3,217,635	$	3,366,855	$ 3,563,172	$	3,885,269	$	4,345,637	$	4,956,913	
							
Days Cash on Hand	277	255	290	361	463	594	

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Existing and Proposed Rates: Water and Wastewater

Description	Existing FY 2025
(10/2024)	Proposed FY 2026
(10/2025)	Proposed FY 2026
(7/2026)	Proposed FY 2027
(10/2026)	Proposed FY 2028
(10/2027)	Proposed FY 2029
(10/2028)	Proposed FY 2030
(10/2029)	
WATER	
Base Charge by Meter Size:								
3/4 Inch	$	9.75	$	9.75	$	10.38	$	10.74	$	11.12	$	11.51	$	11.91	
1.0 Inch	$	24.35	$	24.38	$	25.95	$	26.86	$	27.80	$	28.77	$	29.78	
1.5 Inch	$	48.76	$	48.75	$	51.90	$	53.72	$	55.60	$	57.55	$	59.56	
2.0 Inch	$	77.85	$	77.85	$	83.04	$	85.95	$	88.96	$	92.07	$	95.29	
3.0 Inch	$	142.39	$	142.39	$	155.70	$	161.15	$	166.79	$	172.63	$	178.67	
4.0 Inch	$	237.29	$	237.29	$	259.50	$	268.58	$	277.98	$	287.71	$	297.78	
								
Usage Charge Per 1,000 Gallons (Per ERC):								
Block 1 (0 - 5,000 Gallons)	$	1.81	$	1.81	$	1.83	$	1.89	$	1.96	$	2.03	$	2.10	
Block 2 (5,000 - 10,000 Gallons)	$	2.24	$	2.26	$	2.29	$	2.37	$	2.45	$	2.54	$	2.63	
Block 3 (10,000 - 20,000 Gallons)	$	3.36	$	3.62	$	5.49	$	5.68	$	5.88	$	6.09	$	6.30	
Block 4 (Above 20,000 Gallons)	$	5.05	$	14.03	$	14.18	$	14.68	$	15.19	$	15.72	$	16.27	
WASTEWATER	
Base Charge by Meter Size:								
3/4 Inch	$	18.03	$	18.03	$	18.80	$	19.46	$	20.14	$	20.84	$	21.57	
1.0 Inch	$	46.51	$	46.52	$	47.00	$	48.65	$	50.35	$	52.11	$	53.93	
1.5 Inch	$	90.18	$	90.15	$	94.00	$	97.29	$	100.70	$	104.22	$	107.87	
2.0 Inch	$	144.28	$	144.24	$	150.40	$	155.66	$	161.11	$	166.75	$	172.59	
3.0 Inch	$	263.83	$	263.83	$	282.00	$	291.87	$	302.09	$	312.66	$	323.60	
4.0 Inch	$	439.68	$	439.68	$	470.00	$	486.45	$	503.48	$	521.10	$	539.34	
								
Usage Charge Per 1,000 Gallons:								
Residential (All flow after 7/1/2026)	$	7.57	$	7.57	$	6.14	$	6.35	$	6.57	$	6.80	$	7.04	
Non-Residential and Master Metered (All flow)	$	7.57	$	7.57	$	6.14	$	6.35	$	6.57	$	6.80	$	7.04	

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Existing and Proposed Rates: Irrigation

Description	Existing FY 2025
(10/2024)	Proposed FY 2026
(10/2025)	Proposed FY 2026
(7/2026)	Proposed FY 2027
(10/2026)	Proposed FY 2028
(10/2027)	Proposed FY 2029
(10/2028)	Proposed FY 2030
(10/2029)	
IRRIGATION	
Base Charge by Meter Size:								
3/4 Inch	$	9.75	$	9.75	$	10.38	$	10.74	$	11.12	$	11.51	$	11.91	
1.0 Inch	$	24.35	$	24.35	$	25.95	$	26.86	$	27.80	$	28.77	$	29.78	
1.5 Inch	$	48.76	$	48.76	$	51.90	$	53.72	$	55.60	$	57.55	$	59.56	
2.0 Inch	$	77.85	$	77.85	$	83.04	$	85.95	$	88.96	$	92.07	$	95.29	
3.0 Inch	$	142.39	$	142.39	$	155.70	$	161.15	$	166.79	$	172.63	$	178.67	
4.0 Inch	$	237.29	$	237.29	$	259.50	$	268.58	$	277.98	$	287.71	$	297.78	
								
PINE ISLAND (Residential and Non-Residential)								
Usage Charge Per 1,000 Gallons (Per ERC or Lot Size):								
Block 1	$	2.16	$	2.09	$	1.18	$	1.22	$	1.26	$	1.30	$	1.35	
Block 2	$	3.36	$	3.26	$	3.06	$	3.17	$	3.28	$	3.39	$	3.51	
Block 3	$	5.05	$	7.91	$	7.91	$	8.18	$	8.47	$	8.77	$	9.08	
								
HILLCREST								
Usage Charge Per 1,000 Gallons (Per ERC or Lot Size):								
Residential								
Block 1	$	2.16	$	2.09	$	1.18	$	1.22	$	1.26	$	1.30	$	1.35	
Block 2	$	3.36	$	3.26	$	7.91	$	8.18	$	8.47	$	8.77	$	9.08	
Block 3	$	5.05	$	7.91	N/A	N/A	N/A	N/A	N/A	
Non-Residential and Master Metered Residential								
Block 1	$	2.16	$	2.09	$	1.18	$	1.22	$	1.26	$	1.30	$	1.35	
Block 2	$	3.36	$	3.26	$	3.06	$	3.17	$	3.28	$	3.39	$	3.51	
Block 3	$	5.05	$	7.91	$	7.91	$	8.18	$	8.47	$	8.77	$	9.08	

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Existing and Proposed Rates: Irrigation Blocks

Service Area / Lot Size	Block 1	Block 2	Block 3	
HILLCREST	
Residential by lot size	
All lots	0 - 4,000	Above 4,000	N/A	
Note: Block allowances for combined lots = # of combined lots X block allowance for individual lot size of separate lot.	
Non-Residential & Master-Metered Residential	
Case-by-Case basis (set by District)	See District	See District	See District	
PINE ISLAND	
Residential by lot size	
< 3/4 Acre Lot	0 - 4,000	4,001 - 9,000	Above 9,000	
>3/4 Acre < 1 Acre Lot	0 - 11,000	11,001 - 23,000	Above 23,000	
> 1 Acre Lot	0 - 12,000	12,001 - 24,000	Above 24,000	
Note: Block allowances for combined lots = # of combined lots X block allowance for individual lot size of separate lot.	
Non-Residential & Master-Metered Residential	
Case-by-Case basis (set by District)	See District	See District	See District	

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Typical Monthly Bill Comparison – Water & Wastewater Combined (2025 Adjustment)

	Monthly Flow	Monthly Charges	Difference	
Meter Size	(Gal)	Existing (10/2024)	Proposed (10/2025)	$Amount	
COMBINED WATER AND WASTEWATER BILL	
Residential:	
3/4 Inch	0	$	27.78	$	27.78	$	-	
3/4 Inch	1,000	$	37.16	$	37.16	$	-	
3/4 Inch	2,000	$	46.54	$	46.54	$	-	
3/4 Inch	3,000	$	55.92	$	55.92	$	-	
3/4 Inch	4,000	$	65.30	$	65.30	$	-	
3/4 Inch	5,000	$	74.68	$	74.68	$	-	
3/4 Inch	6,000	$	84.49	$	84.51	$	0.02	
3/4 Inch	7,000	$	94.30	$	94.34	$	0.04	
3/4 Inch	8,000	$	104.11	$	104.17	$	0.06	
3/4 Inch	10,000	$	123.73	$	123.83	$	0.10	
3/4 Inch	11,000	$	127.09	$	127.45	$	0.36	
3/4 Inch	12,000	$	130.45	$	131.07	$	0.62	
3/4 Inch	13,000	$	133.81	$	134.69	$	0.88	
3/4 Inch	14,000	$	137.17	$	138.31	$	1.14	
3/4 Inch	15,000	$	140.53	$	141.93	$	1.40	
3/4 Inch	16,000	$	143.89	$	145.55	$	1.66	
3/4 Inch	17,000	$	147.25	$	149.17	$	1.92	
3/4 Inch	18,000	$	150.61	$	152.79	$	2.18	
3/4 Inch	19,000	$	153.97	$	156.41	$	2.44	
3/4 Inch	20,000	$	157.33	$	160.03	$	2.70	
3/4 Inch	25,000	$	182.58	$	230.18	$	47.60	
3/4 Inch	30,000	$	207.83	$	300.33	$	92.50	
3/4 Inch	35,000	$	233.08	$	370.48	$	137.40	
3/4 Inch	40,000	$	258.33	$	440.63	$	182.30	

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Typical Monthly Bill Comparison – Water & Wastewater Combined (2026 Adjustment)

	Monthly Flow	Monthly Charges	Difference	
Meter Size	(Gal)	Existing (10/2025)	Proposed (7/2026)	$Amount	
COMBINED WATER AND WASTEWATER BILL	
Residential:	
3/4 Inch	0	$	27.78	$	29.18	$	1.40	
3/4 Inch	1,000	$	37.16	$	37.15	$	(0.01)	
3/4 Inch	2,000	$	46.54	$	45.12	$	(1.42)	
3/4 Inch	3,000	$	55.92	$	53.09	$	(2.83)	
3/4 Inch	4,000	$	65.30	$	61.06	$	(4.24)	
3/4 Inch	5,000	$	74.68	$	69.03	$	(5.65)	
3/4 Inch	6,000	$	84.51	$	77.46	$	(7.05)	
3/4 Inch	7,000	$	94.34	$	85.89	$	(8.45)	
3/4 Inch	8,000	$	104.17	$	94.31	$	(9.86)	
3/4 Inch	10,000	$	123.83	$	111.17	$	(12.66)	
3/4 Inch	11,000	$	127.45	$	122.80	$	(4.65)	
3/4 Inch	12,000	$	131.07	$	134.43	$	3.36	
3/4 Inch	13,000	$	134.69	$	146.06	$	11.37	
3/4 Inch	14,000	$	138.31	$	157.69	$	19.38	
3/4 Inch	15,000	$	141.93	$	169.32	$	27.39	
3/4 Inch	16,000	$	145.55	$	180.95	$	35.40	
3/4 Inch	17,000	$	149.17	$	192.58	$	43.41	
3/4 Inch	18,000	$	152.79	$	204.21	$	51.42	
3/4 Inch	19,000	$	156.41	$	215.84	$	59.43	
3/4 Inch	20,000	$	160.03	$	227.47	$	67.44	
3/4 Inch	25,000	$	230.18	$	329.08	$	98.90	
3/4 Inch	30,000	$	300.33	$	430.69	$	130.36	
3/4 Inch	35,000	$	370.48	$	532.31	$	161.83	
3/4 Inch	40,000	$	440.63	$	633.92	$	193.29	

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Typical Monthly Bill Comparison – Irrigation (2025 Adjustment) Pine Island & Hillcrest

	Monthly Flow	Monthly Charges	Difference	
Meter Size	(Gal)	Existing (10/2024)	Proposed (10/2025)	$Amount	
IRRIGATION BILL - PINE ISLAND and HILLCREST	
Residential:	
3/4 Inch	0	$	9.75	$	9.75	$	-	
3/4 Inch	1,000	$	11.91	$	11.84	$	(0.07)	
3/4 Inch	2,000	$	14.07	$	13.93	$	(0.14)	
3/4 Inch	3,000	$	16.23	$	16.02	$	(0.21)	
3/4 Inch	4,000	$	18.39	$	18.11	$	(0.28)	
3/4 Inch	5,000	$	20.55	$	20.20	$	(0.35)	
3/4 Inch	6,000	$	22.71	$	22.29	$	(0.42)	
3/4 Inch	7,000	$	24.87	$	24.38	$	(0.49)	
3/4 Inch	8,000	$	27.03	$	26.47	$	(0.56)	
3/4 Inch	10,000	$	31.35	$	30.65	$	(0.70)	
3/4 Inch	11,000	$	34.71	$	33.91	$	(0.80)	
3/4 Inch	12,000	$	38.07	$	37.17	$	(0.90)	
3/4 Inch	13,000	$	41.43	$	40.43	$	(1.00)	
3/4 Inch	14,000	$	44.79	$	43.69	$	(1.10)	
3/4 Inch	15,000	$	48.15	$	46.95	$	(1.20)	
3/4 Inch	20,000	$	64.95	$	63.25	$	(1.70)	
3/4 Inch	25,000	$	90.20	$	102.80	$	12.60	
3/4 Inch	30,000	$	115.45	$	142.35	$	26.90	
3/4 Inch	35,000	$	140.70	$	181.90	$	41.20	
3/4 Inch	40,000	$	165.95	$	221.45	$	55.50	
3/4 Inch	45,000	$	191.20	$	261.00	$	69.80	
3/4 Inch	50,000	$	216.45	$	300.55	$	84.10	
3/4 Inch	55,000	$	241.70	$	340.10	$	98.40	
3/4 Inch	60,000	$	266.95	$	379.65	$	112.70	
3/4 Inch	65,000	$	292.20	$	419.20	$	127.00	
3/4 Inch	70,000	$	317.45	$	458.75	$	141.30	
3/4 Inch	75,000	$	342.70	$	498.30	$	155.60	

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Typical Monthly Bill Comparison – Irrigation (2026 Adjustment) Pine Island

	Monthly Flow	Monthly Charges	Difference	
Meter Size	(Gal)	Existing (10/2025)	Proposed (7/2026)	$Amount	
IRRIGATION BILL - PINE ISLAND 3/4 Acre Lot	
Residential:	
3/4 Inch	0	$	9.75	$	10.38	$	0.63	
3/4 Inch	1,000	$	11.84	$	11.56	$	(0.28)	
3/4 Inch	2,000	$	13.93	$	12.74	$	(1.19)	
3/4 Inch	3,000	$	16.02	$	13.91	$	(2.11)	
3/4 Inch	4,000	$	18.11	$	15.09	$	(3.02)	
3/4 Inch	5,000	$	20.20	$	16.27	$	(3.93)	
3/4 Inch	6,000	$	22.29	$	17.45	$	(4.84)	
3/4 Inch	7,000	$	24.38	$	18.62	$	(5.76)	
3/4 Inch	8,000	$	26.47	$	19.80	$	(6.67)	
3/4 Inch	10,000	$	30.65	$	22.16	$	(8.49)	
3/4 Inch	11,000	$	33.91	$	23.34	$	(10.57)	
3/4 Inch	12,000	$	37.17	$	26.40	$	(10.77)	
3/4 Inch	13,000	$	40.43	$	29.46	$	(10.97)	
3/4 Inch	14,000	$	43.69	$	32.52	$	(11.17)	
3/4 Inch	15,000	$	46.95	$	35.58	$	(11.37)	
3/4 Inch	20,000	$	63.25	$	50.88	$	(12.37)	
3/4 Inch	25,000	$	102.80	$	75.87	$	(26.93)	
3/4 Inch	30,000	$	142.35	$	115.39	$	(26.96)	
3/4 Inch	35,000	$	181.90	$	154.92	$	(26.98)	
3/4 Inch	40,000	$	221.45	$	194.44	$	(27.01)	
3/4 Inch	45,000	$	261.00	$	233.97	$	(27.03)	
3/4 Inch	50,000	$	300.55	$	273.49	$	(27.06)	
3/4 Inch	55,000	$	340.10	$	313.02	$	(27.08)	
3/4 Inch	60,000	$	379.65	$	352.54	$	(27.11)	
3/4 Inch	65,000	$	419.20	$	392.07	$	(27.13)	
3/4 Inch	70,000	$	458.75	$	431.59	$	(27.16)	
3/4 Inch	75,000	$	498.30	$	471.12	$	(27.18)	

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Typical Monthly Bill Comparison – Irrigation (2026 Adjustment) Hillcrest

	Monthly Flow	Monthly Charges	Difference	
Meter Size	(Gal)	Existing (10/2025)	Proposed (7/2026)	$Amount	
IRRIGATION BILL - HILLCREST RESIDENTIAL	
Residential:	
3/4 Inch	0	$	9.75	$	10.38	$	0.63	
3/4 Inch	1,000	$	11.84	$	11.56	$	(0.28)	
3/4 Inch	2,000	$	13.93	$	12.74	$	(1.19)	
3/4 Inch	3,000	$	16.02	$	13.91	$	(2.11)	
3/4 Inch	4,000	$	18.11	$	15.09	$	(3.02)	
3/4 Inch	5,000	$	20.20	$	23.00	$	2.80	
3/4 Inch	6,000	$	22.29	$	30.90	$	8.61	
3/4 Inch	7,000	$	24.38	$	38.81	$	14.43	
3/4 Inch	8,000	$	26.47	$	46.71	$	20.24	
3/4 Inch	10,000	$	30.65	$	62.52	$	31.87	
3/4 Inch	11,000	$	33.91	$	70.43	$	36.52	
3/4 Inch	12,000	$	37.17	$	78.33	$	41.16	
3/4 Inch	13,000	$	40.43	$	86.24	$	45.81	
3/4 Inch	14,000	$	43.69	$	94.14	$	50.45	
3/4 Inch	15,000	$	46.95	$	102.05	$	55.10	
3/4 Inch	20,000	$	63.25	$	141.57	$	78.32	
3/4 Inch	25,000	$	102.80	$	181.10	$	78.30	
3/4 Inch	30,000	$	142.35	$	220.62	$	78.27	
3/4 Inch	35,000	$	181.90	$	260.15	$	78.25	
3/4 Inch	40,000	$	221.45	$	299.67	$	78.22	

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Comparison With Other Utilities: Water & Wastewater

Description	Water	Wastewater	Total	
	15,000 gallons	15,000 gallons		
Bella Collina Existing	$	46.80	$	93.73	$	140.53	
Bella Collina Proposed (10/2025)	$	48.20	$	93.73	$	141.93	
Bella Collina Proposed (7/2026)	$	58.42	$	110.90	$	169.32	
	
Neighboring Utility Systems:	
Bay Laurel Center CDD	$	55.75	$	70.03	$	125.78	
City of Mount Dora, FL	$	59.59	$	158.89	$	218.48	
City of Clermont, FL	$	41.85	$	66.86	$	108.71	
City of Winter Garden, FL	$	29.58	$	56.23	$	85.82	
Town of Oakland, FL	$	62.71	$	135.90	$	198.61	
City of Leesburg, FL	$	37.41	$	57.69	$	95.10	
City of Eustis, FL	$	56.88	$	67.10	$	123.98	
City of Tavares, FL	$	55.42	$	82.92	$	138.34	
The Villages CDD	$	39.36	$	50.75	$	90.11	
City of Groveland, FL	$	65.01	$	111.74	$	176.75	
Average of Neighboring Utilities	$	50.36	$	85.81	$	136.17	

34

Comparison With Other Utilities: Irrigation

Description	Irrigation	
20,000 gallons	
Bella Collina Existing	$	63.15	
Bella Collina Proposed (10/2025)	$	63.25	
Bella Collina Proposed Pine Island (7/2026)	$	50.88	
Bella Collina Proposed Hillcrest (7/2026)	$	141.57	
	
Neighboring Utility Systems:	
Bay Laurel Center CDD	$	85.97	
City of Mount Dora, FL	$	106.42	
City of Clermont, FL	$	74.10	
City of Winter Garden, FL	$	45.90	
Town of Oakland, FL	$	110.00	
City of Leesburg, FL	$	45.87	
City of Eustis, FL	$	76.60	
City of Tavares, FL	$	76.57	
City of Groveland, FL	$	64.88	
Average of Neighboring Utilities	$	76.26	

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Comparison With Other Utilities: Water, Wastewater and Irrigation

Findings

The Utility has good administrative management that continues to look for ways of improving service and reducing costs.

The Utility is a well-maintained and operated system.

The Utility has numerous improvements that will be needed within the next 10-years including the new surface water irrigation system.

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Proposed adjustments are just, equitable, and result in typical service charges that are in line with other nearby utilities.

Recommendations

Adopt the proposed annual rate adjustments with the first increase effective October 1, 2025. Once the new irrigation system is operational, adopt the rate structure modifications effective July 1, 2026. The annual adjustment for water, wastewater and irrigation is 3.5% for FY 2027 through FY 2030.

Continue funding a capital reserve fund for ongoing and anticipated capital improvements.

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Continue to provide for a comprehensive review of the Utility Rates a minimum of every 5 years.

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PROCEDURE AND ANALYSIS
Miscellaneous Charge Study

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What Was Done?

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Identified Existing Miscellaneous Charges

Identified Additional Miscellaneous Charges

Developed Standard Unit Cost Rates:
Labor
Capital Equipment
Supplies

Calculated Charges:
Preliminary
Service
Administrative
Other

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Standard Unit Costs and Factors

Description	Cost	
Labor	
Professional Personnel	$ 150.00 per hour	
Administrative Personnel	$	75.00 per hour	
Service Personnel	$ 100.00 per hour	
	
Capital Equipment	
Truck Usage - Average Cost	$	28.00 per trip	
Truck (mpg & miles)	$	0.700 per mile	
Average Miles per trip	40.00 per trip	
After Hours Call Out Private Vehicle Miles	40.00 per trip	
	
Supplies	
Meter, 3/4"	$ 700.00 per unit	
Meter Box and Appurtenances	$	45.00 per unit	
Meter Connections	$	20.00 per unit	
Backflow Preventor	$ 150.00 per unit	

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Preliminary Charges

Description	Existing Charge	Proposed Charge	
PRELIMINARY CHARGES	
Monthly Customer Billing Charge		$	5.50	$	5.50	
Application Fee	
Developer/Builder		$	50.00	$	50.00	
Customer		$	25.00	$	25.00	
Plan Review Charge		$	-	$	640.00 + Cost	
Inspection Charge		$	-	$	50.00 + Cost	
Meter Installation/Service Initiation Charge	(2)			
Residential Service 3/4" Meter		$	975.00	$	1,285.00	
Residential Service 1.0" Meter		$	1,080.00	$	1,080.00	
Commercial and all other sizes		At Cost	At Cost	

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Service Charges

Description	Existing Charge	Proposed Charge	
SERVICE CHARGES	
Connection/Disconnection of Service	$	85.00	$	135.00	
After Hours Connection/Reconnection of Service	$	130.00	$	295.00	
Premises Visit (in lieu of disconnecting)	$	-	$	110.00	
Meter Re-read / Leak Inspection Fee	$	10.00	$	140.00	
Meter Accuracy Test Fee	$	100.00	$	380.00 + Cost	
Meter Change-Out Fee	$	-	$	115.00 + Cost	
Meter Tampering Fee	$	100.00	$	980.00	
Data Logger	$	-	$	155.00	
Wastewater System Clean-Out	$	250.00	$	420.00	
Missing or Damaged Equipment Fees	
Padlock	$	20.00	$	20.00	
Locking Device	$	20.00	$	20.00	
Meter, any other than hydrant	At Cost	At Cost	
Meter Box - Lid Replacement	$	30.00	$	30.00	
Meter Box - Full Replacement	$	155.00	$	155.00	
Hydrant Meter	$	500.00	$	500.00	
Grinder Pump Start-Up Reschedule Fee	$	250.00	$	250.00	
Wastewater Grinder Pump Fee	$	6,855.00	$	6,855.00	

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Administrative Charges

Description	Existing Charge	Proposed Charge	
ADMINISTRATIVE CHARGES	
Account Transfer Fee	$	-	$	75.00	
Late Payment Charge (3)	1.5% of the unpaid balance	$	15.00	
Returned Check Fee (4)	
Face Amount <= $50	$	25.00	$	25.00	
Face Amount > $50 and <= $300	$	30.00	$	30.00	
Face Amount > $300	$	40.00	$	40.00	
Illegal Water Use (Fine plus actual usage)	
First Offense	$	500.00	$	980.00	
Repeat Offense	$	2,000.00	$	2,000.00	

Findings and Recommendations

The District currently has a comprehensive list of miscellaneous charges.

Some of the existing miscellaneous charges need to be updated.

Adopt the miscellaneous charges proposed, with an effective date of October 1, 2025.

Adopt provisions for a comprehensive review of the miscellaneous charges a minimum of every 5 years.

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Update the District’s Uniform Service Policy to include language for new and modified charges.

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Questions?

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Disclaimer

Willdan Financial Services (“Willdan”) is registered as a "municipal advisor" pursuant to Section 15B of the Securities Exchange Act and rules and regulations adopted by the United States Securities and Exchange Commission ("SEC") and the Municipal Securities Rulemaking Board ("MSRB"). The MSRB has made available on its website (www.msrb.org) a municipal advisory client brochure that describes the protections that may be provided by MSRB rules and how to file a complaint with the appropriate regulatory authority. As part of its SEC registration Willdan is required to disclose to the SEC information regarding criminal actions, regulatory actions, investigations, terminations, judgments, liens, civil judicial actions, customer complaints, arbitrations and civil litigation involving Willdan. Pursuant to MSRB Rule G-42, Willdan is required to disclose any legal or disciplinary event that is material to Client's evaluation of Willdan or the integrity of its management or advisory personnel. Willdan has determined that no such event exists. Copies of Willdan’s filings with the United States Securities and Exchange Commission can currently be found by accessing the SEC's EDGAR system Company Search Page which is currently available at: https://www.sec.gov/edgar/searchedgar/companysearch.html and searching for either Willdan Financial Services or for our CIK number which is 0001782739.

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For the avoidance of doubt and without limiting the foregoing, in connection with any revenue projections, cash-flow analyses, feasibility studies and/or other analyses Willdan may provide the municipality with respect to financial, economic or other matters relating to a prospective, new or existing issuance of municipal securities of the municipality, (A) any such projections, studies and analyses shall be based upon assumptions, opinions or views (including, without limitation, any assumptions related to revenue growth) established by the municipality, in conjunction with such of its municipal, financial, legal and other advisers as it deems appropriate; and (B) under no circumstances shall Willdan be asked to provide, nor shall it provide, any advice or recommendations or subjective assumptions, opinions or views with respect to the actual or proposed structure, terms, timing, pricing or other similar matters with respect to any municipal financial products or municipal securities issuances, unless formally engaged to provide such information.