Financial Review

A utility often experiences rate pressure from rising costs and fund transfers that erode the utility's fund balance that is needed to absorb unexpected or extraordinary expenses and a downturn in the local economy.

Short of undergoing a full cost-of service study, KPP provides a review of utility revenues and expenses that affect the fund balance and provides options for fund balance objectives to help maintain a financially healthy utility.  The computer model uses simple Excel spreadsheets to forecast revenues and expenses for a ten-year period.  The user may make adjustments to existing finances to determine their impact on the utility's bottom line over the ten-year period.