This powerpoint presentation begins by presenting a brief overview of AWWA's Principles of Water Rates, Fees, and Charges including the following: outside-city service benefits;
lower inside-city rates;
economic development; Importance / Timeliness;
increasingly common,
legal disputes,
limited guidance to date, and
Preceding Guidance. Revenue requirement methodologies are presented, including
risk factors and return determination.
Customer classification,
cost allocation,
rate design and
implementation issues are all presented. Presentation summary and conclusions indicate the following:
outside-city service can convey significant
benefits to all parties; economies of scale,
municipal returns;
unique circumstances of individual utilities
determine relative advantages of
alternative methods to determine revenue
requirements,
assessment of risks and return determination,
customer classification,
cost allocation procedures, and rate design;
implementation requires extraordinary care
and attention to legal and stakeholder issues. Includes figure.
| Edition : | Vol. - No. |
| Number of Pages : | 19 |
| Published : | 11/01/2008 |