Question 1

Why is it important to calculate utility costs per site?

Accepted Answer

Calculating utility cost per site is crucial for setting profitable nightly rates. If your rates don't cover your average utility usage, you could be losing money on every guest, especially heavy users. It also helps you identify if your overall utility bills are reasonable for your occupancy level.

Question 2

What are the biggest factors affecting utility consumption?

Accepted Answer

The biggest factors are weather (extreme heat or cold drives up electricity use for AC/heating), the type of RV (large Class A RVs use more power than small trailers), and guest behavior. The number and type of amenities on-site (pools, laundry) also play a significant role.

Question 3

How can I reduce my campground's utility costs?

Accepted Answer

Consider investing in energy-efficient infrastructure like LED lighting and motion sensors in common areas. For water, fix leaks promptly and install water-saving fixtures. Educating guests about conservation can also help. For a more direct approach, some parks install sub-meters to bill guests for their actual electricity usage, which encourages conservation.

Question 4

What is a typical maintenance percentage for utilities?

Accepted Answer

A common benchmark for utility infrastructure maintenance is 10-20% of the total annual utility cost. This covers repairs to pedestals, water lines, septic systems, and other related hardware. Older parks may have a higher percentage.

Question 5

My electricity costs seem very high. What should I check first?

Accepted Answer

First, check your rate plan with your utility provider to ensure you're on the most favorable commercial plan. Second, inspect your electrical pedestals for faults or old, inefficient breakers. Third, consider if you have many long-term guests with large, older RVs, as they can be a significant source of high usage. Finally, evaluate usage in park-owned buildings.

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