Talk of The Villages Florida - View Single Post - Should NNSCUDD purchase Sumter Water Conservation Authority (SWCA) for $111,800,000
Thread: Should NNSCUDD purchase Sumter Water Conservation Authority (SWCA) for $111,800,000
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Old 07-21-2021, 10:18 AM
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twoplanekid twoplanekid is offline
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The NSCUDD board meeting to approve the spending of $111 million for the purchase of SWCA will be tomorrow morning,

I will point out that SWCA net assets as reported in Dec. 2014 was around 29 million and around 24 million as reported in Dec. 2020
The 111 million purchase price comes from an income approach valuation method.

My irrigation water base rates have increased from $8.04 in 2016 to the current $8.38 which amounts to less than a 1% increase per year.
With an NSCUDD purchase of SWCA at this amount, rates will rise 2.5% per year for the next 10 years and then 1.75% increase for the next 20 years.

I have a few questions to ask at this meeting and so should others.