Historical trends should be analyzed from data showing the number of customers, water sales volumes, water sales revenues, sewer service charge revenue, and operation and maintenance expenses. Annual growth projections should also be included for the study period and revenue projections reflecting growth projections by customer class. Revenue requirements for operation and maintenance, routine capital outlays, existing and proposed debt requirements, cash financed capital improvement projects, and additions to operating reserves should be included. Changing conditions such as additional facilities, recognition of growth, and non-recurring maintenance expenditures need to be addressed including inflation for on-going expenditures as well as capital improvement projects.
