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The first generation of a computerized billing system was installed in the Rochester Water Bureau in Rochester, New York, in 1982, but ten years later serious shortcomings were evident. This paper discusses how criteria for an updated system were developed and the process by which the water bureau chose an appropriate new system. The following topics are addressed: determining the need for a system analysis, analysis of the water billing system; determining the need for an alternative system; and choosing the appropriate alternative system. Includes table.