Abstract
This article discusses the basic elements of rate cases. The article discusses how rates and the financing of a municipally owned water utility are complementary to each other. No program to finance the expansion of a water utility can succeed unless the revenues of the utility are sufficient to cover the debt created. Three types of bonds for financing the acquisition or expansion of a water utility are presented, along with two types of bond issues, factors related to a utility rate case, class rates, and the effect of fire protection.
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