Aligning financial systems for the Charlotte region

Serving over 800,000 residents, the City of Charlotte and Charlotte Water faced a disconnect: data inconsistencies existed between the City’s billing software (Banner System) and its accounting software (Munis). Without alignment, accurate revenue tracking was a risk. 

Simultaneously, the City was operating with a legacy fee structure that hadn’t kept pace with reality. Officials needed to review 60 miscellaneous user fees to ensure they accurately reflected the service's actual cost. 

Charlotte Water needed to balance massive infrastructure costs with affordability. They required a defensible model that could justify rates to the City Council while preserving an equitable “lifeline” for vulnerable residents. 

A City-wide modernization 

Raftelis deployed a strategy that extended beyond the utility department, modernizing fiscal policies across Water, Revenue, 311, and Public-Safety: 

• Comprehensive user fee review: We reviewed 60 miscellaneous fees, documenting their authorizing language in the City Code and North Carolina General Statutes. We provided recommendations to consolidate, rename, or delete fees to improve administrative efficiency.
• Dynamic financial modeling: We developed a custom Excel-based model that enables City staff to update fees in real time as personnel, vehicle, material, and equipment costs fluctuate.
• Cost allocation planning: Raftelis assisted the Revenue and Business Systems Divisions in developing a new cost allocation plan for billing and collections. This plan accounted for organizational structure changes and aligned City and County cost models through industry best practices.
• Public and stakeholder engagement: To ensure transparency for Charlotte Water, Raftelis formed a stakeholder advisory group of residential and business representatives. We held more than 15 public meetings to gather feedback and build consensus on rate modifications.
• Cross-departmental support: We extended our cost-justification methodology to the Charlotte-Mecklenburg Police Department (CMPD), calculating fees for specialized divisions, including the Crime Lab, 911 Communications, and Animal Care and Control.

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Fairness, accuracy, and compliance 

The engagement resulted in the City Council adopting a transparent financial framework, setting a new standard for fiscal health. 

The new rate structure delivered on the promise of fairness. We implemented an enhanced lifeline rate for vulnerable customers and transitioned to a sewer billing method based on average winter consumption, ensuring customers aren’t penalized for summer irrigation. 

The “digital disconnect” was repaired. We identified and resolved the critical data inconsistencies between the Banner and Munis systems, ensuring that every dollar billed is accurately tracked in the general ledger. 

Charlotte is now equipped to maintain its own financial health. The project established a repeatable process for cost-justifying fees across all departments, ensuring the City remains compliant with state statutes while providing fair, cost-based services for decades to come.