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City of Santa Ana, CAI WATER RATE STUDY <br />It should be recognized that the indicated percentage revenue increase discussed above are overall <br />revenue increases. The results of the cost of service analysis presented later in this report may indicate <br />that rate increases may vary from this average for the various customer classes with some classes <br />receiving a greater than average increase, while others receive a less than average increase or perhaps a <br />decrease. <br />Test Year Revenue Requirements <br />In analyzing the Water Enterprise's cost of service for allocation to customer classes, the annual revenue <br />requirements for FY 18/19 is selected as the Test Year (TY) requirements to demonstrate the <br />development of cost -of- service water rates. <br />BLACK & VEATCH I Water Rate Study <br />[INTENTIONALLY LEFT BLANK] <br />65B -51 <br />