Water Services Department Arizona Mexico Commission Bi-National Meeting March 9-11, 2008 David Cavazos Deputy City Manag

1. City Of Phoenix Water Services Department Arizona Mexico Commission Bi-National Meeting March 9-11, 2008 David CavazosDeputy City Manager

2. City of Phoenix Overview The City of Phoenix is the 5th largest city in the U.S., and one of the fastest growing over the past decade. • Population of 1.5 Million • Council-Manager Form of Government • 30 Departments • Over 14,000 Employees • FY 07-08 Budget: $3.6 Billion

3. Water Services Department Overview • Operating Budget (07-08): $266 Million • Capital Improvement Program Budget (5-Year): $2.2 Billion • Revenue Collected (06-07): $482 Million • 402,000 Accounts • 1.5 Million Water Customers • 2.5 Million Wastewater Services Customers (Regional System) • 20 Divisions/Functions • 1,400 Employees

4. City of PhoenixWater Services Department

5. Water Production Phoenix Has 6 Water Treatment Plants Minimum Daily Delivery 178 MGD* Average Daily Delivery 296 MGD* Maximum Daily Delivery 427 MGD* Maximum Production Capacity 700 MGD* Annual Water Production 102 Billion Gallons *Million Gallons per Day

6. Water Production Verde River (SRP) 30% Colorado River (CAP) 65% 24th St. SRP ELIGIBLE Salt River (SRP) 5% is from Wells

7. Water Distribution System • 118,899 Valves • 6,790 Miles of Water Mains • 51,345 Fire Hydrants • 109 Booster Pump Stations • 71 Reservoirs (488 Million Gallon Capacity) • SCADA Computer System

8. Water Distribution SystemRepairs • 5,850 System Repairs Annually (Including Mains, Services, and Hydrants) • 6,175 Service and Valve Installations Annually

9. Wastewater Collection System • 4,824 Miles Sanitary Sewer Lines • 95,293 Manholes/Cleanouts • 26 Lift Stations • 29 Odor Control Sites • >1,600 Miles of Hydraulic/Mechanical Pipe Cleaning • >334 Miles of Closed Circuit Inspection of Piping • <75 Sanitary Sewer Overflows

10. Wastewater Treatment Plants 91st Avenue WWTP Total Capacity – 179 MGD* Plant owned by SROB – Glendale, Mesa, Phoenix, Scottsdale, & Tempe. Phoenix operates and owns 54% of total capacity. 23rd Avenue WWTP Total Capacity – 63 MGD* Cave Creek Reclamation Water Management Plant Total Capacity – 8 MGD Treated wastewater - effluent - from Phoenix’s facilities is so clean it almost meets standards for drinking water. 102 Billion Gallons Treated Annually * Million Gallons per Day

11. Challenges Facing Water Services • Aging Infrastructure • Water and Wastewater Master Plans • Drought/Conservation Efforts • Growth • Capital Improvement Funding • Workforce Planning • Water Resource Management

12. Capital Improvement ProgramWater Projects By Category By Type Water Treatment Plants 42% Environmental/Health 15% Wells, Boosters, Reservoirs 7% Reliability/Growth 46% Water Mains 40% Automation, Security, Studies, Misc. 11% Replacement/ Rehabilitation 39% TOTAL = $1.41 BILLION

13. Key Water Projects/Programs • Western Canal WTP $369.0 M • Plant & Groundwater Treatment ($306.0 M); Transmission Mains ($63 M) • Water Main Replacement, Relocations, and Repair $324.0 M • Val Vista Main Rehab ($35.6 M); Large Transmission Mains Rehab ($84.1 M) • Distribution Mains Replacement ($109.8 M); NW Light Rail Extension ($15 M) • SDWA Compliance at Treatment Plants $193.5 M • Plant Filters – Phoenix Share ($124.1 M); GAC Recycling Facility ($69.4 M) • New Mains & Service Connections $148.9 M • Lake Pleasant WTP Transmission Main ($66.4 M); East Camelback • Residential Pressure Improvements ($49.0 M) • Improvements to Wells, Boosters, and Reservoirs $59.9 M • WTP Rehabilitation and Operational Improvements $62.8 M • Deer Valley Basins ($10.1 M); Treatment Optimization ($10.7 M) • Meter Replacement Project (Automatic Meter Reading) $32.0 M • New Customer Information System (in Development Phase) $30.0 M • TOTAL $1.2 B

14. Capital Improvement ProgramWastewater Projects By Type By Category Sewers, Lift Stations 67% Repair/Replacement 21% Reliability/ Growth 72% Environmental 7% Wastewater Treatment Plants 28% Automation, Studies, Misc. 5% TOTAL = $697.5 MILLION

15. Key Wastewater Projects/Programs • Regional Interceptor Capacity Management $144.5 M • Capacity Improvements for Phoenix Sewer $122.1 M • 91st Ave WWTP UP10 Expansion (Operational in 2016) $120.5 M • Sewers & Lift Stations – New / Improved $77.4 M • Estrella Lift Station ($57.0 M) • Sewer Rehabilitation / Replacement, Relocation, Repairs $85.2 M • Light Rail Extension ($15 M) • WWTP Rehabilitation and Operational Improvements $36.0 M • 91st Ave WWTP Odor Control Facilities Phase II $22.6 M • Odor Control Interceptor Sewers $16.4 M • Automation Systems (Process, Maintenance $12.8 M • Management, Customer Information) • TOTAL $637.5 M

16. WATER & WASTEWATER RATE COMPARISONSCOMBINED AVERAGE SINGLE-FAMILY MONTHLY BILL FOR TWENTY LARGEST U.S. CITIES $/MO Phoenix Environmental Water Environmental Wastewater Water Wastewater Effective March 3, 2008

17. WATER & WASTEWATER RATE COMPARISONSCOMBINED AVERAGE SINGLE-FAMILYMONTHLY BILL METRO AREA $/MO $56.06 $54.34 $52.63 $49.83 $48.44 $36.74 $32.95 Phoenix Environmental Water Environmental Wastewater Water Wastewater Effective March 3, 2008

18. Questions?