Tracking a utility’s financial ratios is a very useful management and decision-making tool. Financial ratios help you measure your utility’s financial strength, stability, credit worthiness, and growth capabilities. Monitoring how key financial ratios track over time, or how they compare to other utilities, allows you to assess current financial performance, determining if you need to change rates or financial policies, and helps you plan for future growth and development of the enterprise. This video reviews common metrics used to indicate financial performance and describes what they mean.
This webinar series presents an overview of the EFC's work on "Defining a Resilient Business Model for Water Utilities." The analysis and tools developed in this project will help utilities address the challenges of revenue gaps, which are exacerbated by rising customer expectations, declining water consumption, aging infrastructure, and necessary integration of utility finance functions with asset management, environmental justice, risk management, and other initiatives. The products of this project lay the groundwork for a shift in thinking by utilities to modernize financial and management practices by strengthening linkages among systems, processes, and decision-making practices. In addition to the research report, the project produced two spreadsheet tools: a Revenue Risk Assessment Tool and Customer Assistance Program Cost Estimation Tool. Both tools and accompanying tutorial videos are available on this project page under Project Resources/Web Tools.
This public forum featured engaging presentations from prominent environmental finance experts and innovators from a variety of perspectives that cut across sectors and issues. This event fostered discussion and identified emerging trends, strategies, and ideas that help answer the basic "how will we pay" questions at the heart of successful environmental protection.
The EFC and its partners will build the financial and managerial capacity of small water systems through classroom trainings, workshops, small group and one-on-one assistance, webcasts, and online tools and resources. Collectively, these efforts help small water system managers to understand their assets, find opportunities for cost savings and potential funding sources, look for ways to work with other systems, increase water and energy efficiency, and develop sound fiscal policies and practices.