Source: EFC at UNC Chapel Hill

Use this Financial Health Checkup for Water Utilities tool to assess the financial performance of your water (and/or wastewater) utility fund. Financial data readily available in annual financial statements are copied into this tool, which computes key financial indicators that measure a variety of important metrics, such as the ability to pay debt service, availability of cash to pay for operations and maintenance, the sufficiency of revenues generated, etc. Each indicator is explained in lay terms, and you can set targets for each metric in order to compare your fund’s actual performance against the goals that you (or your governing body) sets. The Financial Health Checkup for Water Utilities tool demonstrates the financial strengths and weaknesses of the utility fund in the past 5 years.

The tool is free to download and use. It is designed to be used by utility professionals, governing body members, government staff, and technical assistance providers working with (small) water systems.