Random Early Detection (RED) is effective in decreasing losses on responsive flows but performs poorly with User Datagram Protocol (UDP) traffic since these do not react to congestion notification. However, it is important to address UDP flows' requirements since UDP traffic forms a considerable part of Internet traffic. This paper shows how Value-Based Utility (VBU) with RED manages UDP flows. VBU allows packet dropping and queueing decisions to be more sensitive to UDP traffic packet loss requirements. Three RED variations incorporating VBU were developed. Results indicate adoption of VBU with RED enhances management of UDP traffic. This results in the equitable distribution of loss based on the UDP flows' requirement.