City of Lorain Water and Sewer

PERFORMANCE AUDIT

What led to this audit?

We reviewed the City of Lorain’s Utilities Departments at the request of City Officials. This report, which was client requested and paid for by the city, provides detailed analysis based on peer comparisons and industry standards related to the production and distribution of water, the collection and treatment of wastewater, utilities personnel compensation, and utility rates and fees.

What did we find?

Our report found that Lorain’s compensation and overtime levels were in-line with or less than peer departments, but significant reductions to operational staff may be warranted based on position specific workload comparisons to the peers. We also found that the City’s utility rates are high compared to peers, resulting in a moderate-high burden to residents. However, we determined that rates may not necessarily be inappropriate after accounting for the full cost of service and long-term debt obligations. We identified seven recommendations that could assist City Officials in continuing to improve the operations of the Utilities Departments.