Which item is not typically included in a wastewater utility budget?

Which item is not typically included in a wastewater utility budget?

• A. Costs of street maintenance
• B. Anticipated revenues
• C. Anticipated costs due to labor & maintenance
• D. Insurance

Answer: (A)

A wastewater utility budget focuses on funds needed to operate and maintain the sewer system and to recover costs through user charges. The item about anticipated revenues is included because the budget must show how money will come in to cover expenses. Anticipated costs due to labor and maintenance are included because staffing, repairs, and upkeep of pumps, pipes, and treatment facilities are essential ongoing expenses. Insurance is included to manage risk and protect the utility from liabilities and property damage. Costs for street maintenance, such as road repairs or snow removal, don’t relate to the sewer system’s operation and are typically handled by the street or public works department, so they aren’t part of the wastewater budget.

A wastewater utility budget focuses on funds needed to operate and maintain the sewer system and to recover costs through user charges. The item about anticipated revenues is included because the budget must show how money will come in to cover expenses. Anticipated costs due to labor and maintenance are included because staffing, repairs, and upkeep of pumps, pipes, and treatment facilities are essential ongoing expenses. Insurance is included to manage risk and protect the utility from liabilities and property damage. Costs for street maintenance, such as road repairs or snow removal, don’t relate to the sewer system’s operation and are typically handled by the street or public works department, so they aren’t part of the wastewater budget.