Financial Health Checkup Tool for Water Utilities
The University of North Carolina’s Environmental Finance Center has released a Financial Health Checkup Tool that will allow water utilities to assess the financial performance of their water and/or wastewater utility funds. The tool, which is free to download and use, was designed for use by utility professionals, governing body members, government staff and technical assistance providers working with small water systems.
Utility personnel can enter financial data into the tool, which computes key indicators that measure a variety of important metrics, such as the ability to pay debt service, availability of cash for operations and maintenance and sufficiency of revenues generated. Each indicator is explained in layman’s terms, and utilities can set targets for each metric in order to compare their fund’s actual performance against their goals.
To learn more about and download the tool, visit http://www.efc.sog.unc.edu/reslib/item/financial-health-checkup-water-utilities