November 19, 2013

Hector Gonzalez Government Affairs Manager

El Paso’s Diversified Water Resources Portfolio

Public Service Board

The PSB sets policy, adopts fiscal budgets ($266 million for FY2014), rates and fees, and approves an annual strategic plan for 4 utilities: Water Wastewater Stormwater Reclaimed Water

EPWU provides water service to 95 percent of El Paso County (800,000+ residents)

Water Utilities Role

Continue to restructure and consider strategic, political, and regional issues Need to improve on ways to achieve greater

consumer confidence Communication and public involvement programs

have become a bigger part of overall budget(s) Diversification of water and energy resources is an

essential planning objective Need to capitalize on technology

EPWU Provides Water Service to Outlying Areas & Assists in Managing Projects

Land Management

PSB owns the following for water rights: • 25,000 acres in El Paso County • 75,000 acres outside El Paso County (Texas) • 880 acres in New Mexico

Water Resources

Regional Water Resources

MEXICO

UNITED STATES

Ciudad Juárez

TEXAS

NEW MEXICO

Mesilla Bolson

Hueco Bolson

Elephant Butte Dam

West Texas Aquifers

EL PASO

Surface Water

Groundwater

Reclaimed Water

Desalination

Conservation

Importation

El Paso’s Diversified Resources

50-Year Water Resource Management Plan adopted in 1991

MEXICO

Water Treatment Plants

Franklin Mountains

NEW MEXICO

EL PASO, TEXAS

Ciudad Juárez

Airport Fort Bliss

Military Reservation

Surface Water Plants Groundwater Plants

Jonathan Rogers Water Treatment Plant

Robertson & Umbenhauer Water Treatment Plant

Upper Valley Water Treatment Plant

Kay Bailey Hutchison Desalination Plant

MEXICO

Wastewater Treatment Plants

Franklin Mountains

NEW MEXICO

EL PASO, TEXAS

Ciudad Juárez

Airport Fort Bliss

Military Reservation

Wastewater Plants

Roberto R. Bustamante Wastewater Treatment Plant

Northwest Wastewater Treatment Plant

Haskell Street Wastewater Treatment Plant

Fred Hervey Water Reclamation Plant

EPWU Challenges

Drought Growth $800 million in capital improvement needs over the

next 10 years Financial Obligations Energy Personnel – succession planning

Recent Drought Situation

EPWU received reduced river water allocation - 6,500 AF compared to usual 70,000 AF (The lowest release since the inception of the project in 1906)

Increased Conservation &

Desalination

Reclaimed Water

Managing Drought

Surface Water Strategies

Emergency Management

Rule

Groundwater Strategies

Drought History 19

97

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Only 3 of the past 16 years has runoff

into Elephant Butte been above average

2013 Water Production M

illio

ns o

f Gal

lons

0

20

40

60

80

100

120

140

160

180

KBH Desal Plant Surface Water Ground water

2013-2014 Projects to Enhance Groundwater Delivery

Implementation of water main projects to carry groundwater to central and downtown areas that heavily rely on river water New Wells (8 wells/2013 & 9

wells/2014) Potable reuse planning

Population

Ending in 2013, Fort Bliss realized an increase of over 28,000 active duty personnel (30,000 additional family members) - the largest net gain from any military installation in America.

The estimated population within the El Paso region is expected to more than double within the next 20 years.

Energy

Energy Needs

EPWU has joined staff of Federal lawmakers to identify and promote greater energy efficiencies (energy/water nexus).

Resource recovery

EPWU’s Energy needs to operate facilities continue to increase.

Total energy costs approximately $14 million/year.

Conservation

Water Conservation Efforts

1991 – Water Conservation Ordinance Block Rate Structure Incentives/Rebates Education

Peak Water Demand

183

163

150

160

170

180

190

20019

9219

9319

9419

9519

9619

9719

9819

9920

0020

0120

0220

0320

0420

0520

0620

0720

0820

0920

1020

1120

1220

13

Mill

ion

Gal

lons

Calendar Year

120130140150160170180190200210220230

1973

1975

1977

1979

1981

1983

1985

1987

1989

1991

1993

1995

1997

1999

2001

2003

2005

2007

2009

2011

2013

Per Capita Consumption GPCD

Goal for 2020 – 130 gpcd

2013 – 130 gpcd

Calendar Year

$0 $20 $40 $60 $80 $100 $120 $140 $160

El Paso

Las Cruces

Albuquerque

Lower Valley Water District

Alamogordo

Lubbock

Tucson

Ruidoso

Santa Fe (County)

$25.61

$23.25

$39.09

$31.32

$30.85

$59.90

$37.51

$34.53

112.31

$17.83

$19.68

$23.37

$25.28

$22.51

$29.15

$44.34

$72.92

$29.95

Water Sewer

Water/Wastewater Regional Survey October 2013

TOTAL

$142.26

$107.45

$81.85

$89.05

$53.36

$56.60

$62.46

$42.93

$43.44

* 13 CCF for Water, 9 CCF AWC and 9 CCF for Sewer

El Paso

Research

CHIWAWA Consortium for Hi-Technology Investigations in Water and Wastewater

• EPWU, UTEP, Texas A&M AgriLife Research Center, NMSU, City of Alamogordo

• Promote research and training programs in salinity management, inland desalination technology, concentrate disposal, and water resources management

• Goal: development of new technologies and processes to develop reliable and sustainable sources of water

Going Forward

Potential Successes from Regional Planning Efforts

Developing & updating a regional plan to identify and implement regional long-term solutions for how water is managed could result in: Development of a regional water conservation

program(s) Implementation of varied planning strategies Obtaining long-term financing Expanding research opportunities Educating customers about the value of water

State Assistance and Participation

Ensure TWDB expedites funding from Prop 6 Streamline permitting for desalination projects Support expanding research in water projects Establish a Center of Excellence (as previously

suggested) for training & education Promote innovation and development/expansion of

energy sources and municipal water resources, i.e., direct potable reuse

Conclusion

Increased communication/cooperation between regional entities is vital (regional planning efforts must continue) Private sector involvement should be encouraged Innovation is key for addressing efficiencies and

challenges State and/or Federal funding for development of

regional projects must be made available & promoted

Contact Information

Hector Gonzalez

Government Affairs Manager El Paso Water Utilities

915.594.5661 hegonzalez@EPWU.org