Operating and capital budgets, and six-year plan for capital projects
LOTT prepares a two-part budget that includes an Operating Budget and a Capital Budget. The Operating Budget contains all the costs necessary to operate LOTT facilities and provide related services. The Capital Budget includes costs to build new facilities and upgrade, replace, or rehabilitate existing facilities. Capital costs are based on LOTT’s Capital Improvements Plan (CIP), which lists the projects and programs anticipated within the next six years, and over the longer term.
LOTT’s Budget and Capital Improvements Plan (CIP) for 2021-2022 is about 74% capital costs and 26% operating costs. The budget is capital intensive due to a number of large-scale projects planned for 2021-2022 to sustain the Budd Inlet Treatment Plant, LOTT’s main treatment facility. Key projects include Biological Process Improvements and Digester System Improvements. The CIP includes over $150 million in necessary upgrades to the wastewater treatment and conveyance facilities over the next six years.