As a subconsultant, WithersRavenel created a financial analysis and rate study for the Town of Ridge Spring, SC. The analysis and rate study provided a roadmap for successful long-term management of system assets and finances to provide future financial viability for the Town’s utility fund.
In addition to overall project management and regular project reviews and updates with the client’s engineer, key aspects of the analysis and rate study included:
Fund financial analysis: Collected and reviewed historical data regarding revenues, expenses, debt and other factors driving current fund trends. Created a 10-year analysis forecast model for the fund. Developed a presentation format that summarized the CIP from the Town’s engineer for the water and sewer fund and summarized capital funding assumptions. Determined the adequacy of existing rates and charges to recover current and future operating and capital costs.
Rate structure recommendations: Reviewed four viable and defensible alternative water and sewer rate structures and developed a plan to implement a new structure to accomplish the revenue forecasts established in the financial analysis. Recommendations were provided based on industry best practices, equity and fairness related to the Town’s utility customer base.