Page 13 - Moreno Valley City 2025 PAFR

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MOrenO Valley eleCtriC utility
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This fund is an Enterprise Fund which is used to account for the operations of MVU, with a mission to provide safe,
reliable, and economical electric service to consumers in the City’s newly developed areas under the “Greenfield”
concept. The City began serving its first customers in February 2004.
As an Enterprise Fund, MVU generates most of its revenues from charges for services provided, much like a business.
As such, the primary source of revenue for MVU is sales and service charges which saw a 23.7% increase over the
prior year. In total, MVU revenues increased 18.7% to $71.1 million.
Electricity purchases, MVU’s largest expense, experienced a 3.6% decrease over the prior year. Other operating
expenses include cost of services, depreciation, services and supplies, and distribution share expenses. These
expenses increased 32.2%, and interest expense decreased 4.3%. In total, MVU expenditures increased 21.4% to
$47.2 million.
The Net Position for MVU indicates a positive percentage change of 22.8% from FY 23/24. Positive percentage
changes in Net Position indicate that the financial position of the Moreno Valley Electric Utility has improved.
FY24/25 ELECTRIC UTILITY EXPENSE TOTAL NET POSITION
$150
70%
$125
Other
millions $100
expenses
$75
$50
3% $63 $71 $83 $104 $128
Interest 27% $25
expense Electricity $0
purchased FY 20/21 FY 21/22 FY 22/23 FY 23/24 FY 24/25
MORENO VALLEY UTILITY CHANGES IN NET POSITION (IN $000’S)
MVU REVENUES FY 22/23 FY 23/24 FY 24/25

Sales and service charges $ 49,581 $ 52,621 $ 65,087

Miscellaneous* $ 3,834 $ 7,253 $ 5,752

Total Revenues $ 53,415 $ 59,874 $ 70,839

MVU EXPENDITURES FY 22/23 FY 23/24 FY 24/25
Electricity purchased $ 16,386 $ 13,038 $ 12,566

Other expenses** $ 22,910 $ 24,285 $ 32,912

Interest expense $ 1,612 $ 1,595 $ 1,527

Total Expenditures $ 40,908 $ 38,918 $ 47,005

Change in net position $ 12,507 $ 20,956 $ 23,834
*Includes “other” revenues such as contributed capital and interest revenue, as well as GASB 31 fair value adjustment
of investments to recognize unrealized gain or loss of securities (in FY 21/22 the fair market value adjustment of
investments recognized a loss)
**Includes loss on disposal of capital assets
City of Moreno Valley | 13
City of Moreno Valley | 13