The American Society of Civil Engineers (ASCE) has released its fifth and final report in its Failure to Act series, called “The Impact of Current Infrastructure Investment on America’s Economic Future.” The report warns that the U.S. needs to invest an additional $1.57 billion per year in infrastructure between now and 2020, or the nation … Read more
Watch for a special Legislative Update edition of The Source in early March. The special edition will cover several hot topics, including property tax bills in the North Dakota legislature. You’ll also find out how residents may be able to save money on their property tax bills by taking advantage of the Homestead Tax Credit. … Read more
There are many potential objectives for your community to complete a Rate Study. The most basic reason is to maintain financial viability for your system now and into the future. The information developed throughout the study analysis and from financial modeling tools developed for the study can be used both to help guide long-term strategic … Read more
A Cost of Service Analysis (COSA) is the allocation of costs to the various customer classes served (i.e. residential, commercial, industrial, etc.) corresponding to the level of service provided. Many costs are incurred for the joint benefit of all customers, some costs benefit certain customers more than others, and other costs may benefit only specific … Read more
Each year, utility managers and policy makers analyze the cost of operating the utility in the upcoming year, as well as the revenues the utility can reasonably expect in that year. Any anticipated shortfall is then addressed by making adjustments to the budget, delaying capital investment, or increasing user fees. This exercise is generally a … Read more
The ability of a utility to fund and maintain adequate reserves to meet utility objectives is one indicator of financial condition. Utilities operate as an enterprise (i.e. a business), typically with a goal to be financially self-supporting without subsidization from non-utility revenues, such as a City’s general fund. For a given utility to be truly … Read more