A Practical Guide to Water Pricing Strategies | UtilityEducation.com
Rates & Finance  ·  Basic

A Practical Guide to Water Pricing Strategies

Cost-of-Service Studies and Rate Design for Water Utilities

Understand how water utilities develop revenue requirements, allocate costs across customer classes, and design rates that are defensible, equitable, and recoverable. Built for utility finance and accounting professionals.

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1.00 CPE Hour Self-Paced Video Basic Level NASBA Registered
Watch Free Lesson Preview
Lesson 1.1 — Welcome & Course Overview · Opens in course platform
$127
One-time enrollment  ·  12-month access
Enroll Now — $127
This Course Includes
  • 12 lessons · self-paced video
  • Downloadable course materials
  • Water rate design case study
  • NASBA-compliant final exam (5 questions)
  • Certificate of completion (1.00 CPE)
About This Course

Apply Water Rate Design with Confidence

Water utilities face unique rate-setting challenges — seasonal demand, infrastructure costs, conservation goals, and regulatory requirements all compete in the revenue requirement. This course gives you a practical, step-by-step understanding of how water utilities develop cost-of-service studies and build rate structures that work.

Whether you're a utility finance professional expanding into water rates, a municipal accountant supporting rate proceedings, or a manager who needs to understand the rate-making process, this course gives you the foundation to participate confidently.

Who This Course Is For
  • Municipal utility finance and accounting staff
  • Water utility managers and directors
  • Electric utility professionals expanding to water
  • Rate analysts and consultants
  • City and county finance officers
  • Board and council members overseeing water utilities
Your Instructor

Russ Hissom, CPA

RH
Russ Hissom, CPA
Principal, UtilityEducation.com  ·  35+ Years of Utility Accounting & Rates Experience

Russ Hissom, CPA is a principal of UtilityEducation.com, providing on-demand professional education in FERC, RUS, FASB, and GASB accounting, finance, and ratemaking for electric utilities and cooperatives. He has conducted cost-of-service studies for municipal utilities and cooperatives, provided expert testimony in rate proceedings, and developed CPE curriculum used by utility finance professionals across the country.

Learning Objectives

What You'll Be Able to Do After This Course

Explain the components of a water utility revenue requirement
Apply cost-of-service study methodology to water utilities
Identify and allocate costs across customer classes
Evaluate common water rate structures — flat, tiered, and inclining block
Understand conservation pricing and its financial implications
Apply rate structure analysis to support your utility's next rate study
Communicate rate changes effectively to stakeholders and governing boards
Earn 1.00 NASBA CPE credit and a Certificate of Completion
Detailed Curriculum

Inside the Course

Module 1 Water Utility Fundamentals & Revenue Requirements

How water utilities are structured, regulated, and financed — and how the revenue requirement is built from operating and capital cost components.

  • 1.1 Welcome & Course Overview Free Preview
  • 1.2 How Water Utilities Are Structured and Regulated
  • 1.3 Developing the Revenue Requirement
  • 1.4 Operating and Capital Cost Components
Module 2 Cost-of-Service Study & Rate Design

Cost allocation methodology, customer class allocation, rate structure options including flat, tiered, and inclining block rates, and conservation pricing strategies.

  • 2.1 Cost Allocation Methodology for Water Utilities
  • 2.2 Allocating Costs to Customer Classes
  • 2.3 Rate Structure Options: Flat, Tiered, and Inclining Block
  • 2.4 Conservation Pricing Strategies
Module 3 Application, Case Study & Assessment

Apply the concepts to a practical case study, learn to communicate rate changes to stakeholders, and complete the NASBA-compliant final exam.

  • 3.1 Practical Case Study: Building a Water Rate Structure
  • 3.2 Communicating Rate Changes to Stakeholders
  • 3.3 Review & Key Takeaways
  • 3.4 Final Exam
Course Accreditation
NASBA QAS Self Study
Course #SK-8
Program LevelBasic
Area of StudySpecialized Knowledge
DeliveryQAS Self Study
PrerequisitesNone
Adv. PreparationNone
Exam Questions5
Passing Grade70%
Last Reviewed4/1/26
1.00
NASBA CPE Credits
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Enroll Today

Build Your Water Rate Expertise

Earn 1.00 NASBA CPE credit and gain the practical skills to support your utility's next rate study.

NASBA CPE Sponsor Logo

Utility Accounting and Rates Specialists, LLC is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: NASBAregistry.org.

Refund & Cancellation Policy

Requests for refunds must be made in writing within 30 days of purchasing the course. No refunds will be granted after the qualified assessment has been completed. For any concerns, please contact us at 608-628-4020 or at russ.hissom@utilityeducation.com.

Legal Note

Course materials are provided for informational and educational purposes only. They do not constitute legal, accounting, or professional advice. © 2026 Utility Accounting & Rates Specialists, LLC. All rights reserved.