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Management Letter <br />-Water and Sewer Enterprise <br />Fund: <br />• Water operations for the past <br />three years is as follows: <br />$900,000 <br />$850,000 <br />$800,000 <br />$900,00a <br />$850,000 Water Operations <br />$800,000 Revenue and <br />$750,000 Expenses <br />$700,000 <br />$650,000 <br />$600,000 <br />$550,000 <br />$500,000 <br />$450,000 l Operating Expenses <br />O <br />$400,000 perating Revenue <br />$350,000 <br />$300,000 <br />$250,000 <br />$200,000 <br />S150,000 <br />$100,000 <br />$50,000 <br />$ - <br />$750,000 <br />$700,000 <br />$650,000 <br />$600,000 <br />$550,000 <br />$500,000 <br />$450,000 <br />$400,000 <br />$350,000 <br />$300,000 <br />$250,000 <br />$200,000 <br />$150,000 <br />$100,000 <br />$50,000 <br />- <br />$ - <br />2004 2005 <br />2006 <br />• The City increased water rates <br />effective January 1, 20078 <br />Member of HLB International 14 LS&M Tautges Redpath, Ltd. <br />