Abstract
These days, utility managers face tougher financial decisions than ever. Faced with the need to move forward with capital programs in a period where revenues are less certain because of reduced development and declining use by customers, utility managers can turn to proactive financial management to identify a sound financial path forward. Using the strategies of enhanced prioritization, strategic financial planning, cost of service and rate studies, optimization of operation and maintenance expenses, and exploring outside funding, managers can reduce their financial uncertainties and manage risk. This article helps utility managers figure out what their most critical activities are and presents strategies that help identify reliable funding streams so those endeavors can proceed. In this article utility managers will find help coping with the more complex financial climate most find themselves in as well as case studies that show the benefits of the strategies that are presented.
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