Solving a complex funding problem involving multiple city funds

City of Cocoa Financial Sustainability Analysis

The City of Cocoa, Florida is home to 17,000 residents along Florida’s Space Coast. Like many communities, Cocoa was impacted by the economic downfall in the late 2000s. The City asked our team to help identify solutions for cash flow shortages in their water and sewer utility fund, as well as their general fund—the primary fund for a municipality’s revenue and expenses.

Using our Financial Analysis and Management System (FAMS), we customized models for each fund to replicate the financial dynamics of the city, including cash flows, capital spending, and demand and growth projections. We linked the models together so that any changes made in one would affect the other, resulting in a complete snapshot of the city’s finances. 

With City staff, we also evaluated several capital funding alternatives, demands, and annual rate adjustment scenarios. Our models provide instant feedback for each scenario—showing the benefits and drawbacks—while allowing us to identify a plan for rate increases. The result?  Helping our client to achieve a sustainable financial future for years to come.

To keep Cocoa on its stable financial path, we also perform annual updates for these models. This ensures up to date data and addresses any future issues as projections may indicate.