Basic Utility Cost of Service & Retail Rate Design

Monday, May 14
Grand Hyatt Denver
Denver, Colorado

Course Schedule
8:30 a.m. – 4:30 p.m.

Recommended CEUs 7/PDHs 6.5/CPEs 7.8
Field of Study: Specialized Knowledge

Course Overview
Explore the ins and outs of cost of service — from basic concepts to leveraging data for decision making. Learn how to determine revenue requirements and key financial targets and relate them to cost of service. Find out how to develop a long-term rate plan and use financial targets to determine customer rates, borrowing needs, and capital improvements.

Course Topics

  • Basic cost of service concepts, terminology, and processes
  • Collect and use of cost of service data
  • Determine revenue requirements using cash and utility-based approaches
  • Set key financial targets related to cost of service
  • Develop a cash reserve policy
  • Determine rate policies and long-term rate plans
  • Communicate rate changes to policymakers and customers
  • Use customer rates to fund infrastructure replacements

Sample Agenda/Learning Outcomes
Check back to see a sample agenda and learning outcomes.

What to Bring
Participants are encouraged to bring a laptop to work through in-class exercises.

Course Level
Basic Level:
No prerequisites; no advance preparation.

Who Should Attend
General managers, finance and accounting personnel, rate analysts, financial planners, as well as policymakers.

Dawn Lund is the vice president of Utility Financial Solutions and has 20 years of experience in financial analysis for utility systems.  She provides financial assessment, cost of service studies and financial plans for utilities throughout the country, Canada, Guam and the Caribbean and teaches a variety of financial planning courses for the American Public Power Association.