Archive

Tag Archives: community involvement

Rural Utilities Part 2

December 21, 2013
economy, engineering, finance, funding, infrastructure, Leadership, Rural Utilities, Small systems, sustainability, Uncategorized, utilities, Water Funding, water sewer management
Leave a comment

In the last blog I talked about the challenge to rural utilities, many of which serve relatively few people and have used federal monies to pay for a lot of their infrastructure.  In this blog we will take a look at the trends for community water systems which are defined as systems that serve at least 15 service connections or serve an average of at least 25 people for at least 60 days a year. EPA breaks the size of systems down as follows:

  • Very Small water systems serve 25-500 people
  • Small water systems serve 501-3,300 people
  • Medium water systems serve 3,301-10,000 people
  • Large water systems serve 10,001-100,000 people
  • Very Large water systems serve 100,001+ people

Now let’s take a look at the breakdown (from NRC 1997).  In 1960, there were about 19,000 community water utilities in the US according to a National Research Council report published in 1997.  80% of the US population was served.  in 1963 there were approximately 16,700 water systems serving communities with populations of fewer than 10,000; by 1993 this number had more than tripled—to 54,200 such systems. Approximately 1,000 new small community water systems are formed each year (EPA, 1995). In 2007 there were over 52,000 community water systems according to EPA, and by 2010 the number was 54,000.  85% of the population is served. So the growth is in those small systems with incidental increases in the total number of people served (although the full numbers are more significant). 

 

TABLE 1 – U.S. Community Water Systems: Size Distribution and Population Served

 

Number of Community Systems Serving This Size Community a

Total Number of U.S. Residents Served by Systems This Size b>

Population Served

1963

1993

1963

1993

Under 500

5,433 (28%)

35,598 (62%)

1,725,000 (1%)

5,534,000 (2%)

501-10,000

11,308 (59%)

18,573 (32%)

27,322,000 (18%)

44,579,000 (19%)

More than 10,000

2,495 (13%)

3,390 (6%)

121,555,000 (81%)

192,566,000 (79%)

Total

19,236

57,561

150,602,000

242,679,000

a Percentage indicates the fraction of total U.S. community water supply systems in this category.

b Percentage is relative to the total population served by community water systems, which is less than the size of the U.S. population as a whole.

SOURCES: EPA, 1994; Public Health Service, 1965.

 

Updating these numbers, there are over 54,000 systems in the US, and growth is almost exclusively in the very small sector.  93% are considered to be small or very small systems—serving fewer than 10,000 people. Even though these small systems are numerous, they serve only a small fraction of the population. Very small systems, those that serve 3,300 people or fewer make up 84 percent of systems, yet serve 10 percent of the population.  Most critical is the 30,000 new very small systems that serve only 5 million people (averaging 170 per system).  In contrast, the very large systems currently serve 45% of the population.  Large plus very large make it 80%.  The 800 largest systems (1.6%) serve more than 56 percent of the population. 900 new systems were added, but large systems served an additional 90 million people.

What this information suggests if that the large and very large sector has the ability to raise funds to deal with infrastructure needs (as they have historically), but that there may be a significant issue for smaller, rural system that have grown up with federal funds over the past 50 years.  As these system start to come to the end of their useful life, rural customers are in for a significant rate shock. Pipeline average $100 per foot to install.  In and urban area with say, 60 ft lots, that is $3000/household.  In rural communities, the residents may be far more spread out.  As an example, a system I am familiar with in the Carolinas, a two mile loop served 100 houses.  That is a $1.05 million pipeline for 100 hours or $10,500 per house.  With dwindling federal funds, rural customers, who are already making 20% less than their urban counterparts, and who are used to very low rates, that generally do not account for replacement funding, will find major sticker shock. 

This large number of relatively small utilities may not have the operating expertise, financial and technological capability or economies of scale to provide services or raise capital to upgrade or maintain their infrastructure.  Keep in mind that small systems have less resources and less available expertise.  In contrast the record of large and very large utilities, EPA reports that 3.5 percent of all U.S. community water systems violated Safe Drinking Water Act microbiological standards one or more times between October 1992 and January 1995, and 1.3 percent violated chemical standards, according to data from the U.S. Environmental Protection Agency (EPA).. 

EPA and professionals have long argued that centralized infrastructure for water and sewer utilities makes sense form an economy of scale perspective.  Centralized drinking water supply infrastructure in the United States consists dams, wells, treatment plants, reservoirs, tanks, pumps and 2 million miles of pipe and appurtenances.   In total this infrastructure asset value is in the multi-trillion dollar range.  Likewise centralized sanitation infrastructure in the U.S. consists of 1.2 million miles of sewers and 22 million manholes, along with pump stations, treatment plants and disposal solutions in 16,024 systems.  It is difficult to build small reservoirs, dams, and treatment plants as they each cast far more per gallon to construct than larger systems.  Likewise operations, despite the allowance to have less on-site supervision, is far less per thousand gallons for large utilities when compared to small ones.  The following data shows that the economy-of-scale argument is true:

  • For water treatment, water distribution, sewer collection and wastewater treatment, the graphics clearly demonstrated the economy-of-scale of the larger utility operations versus small scale operations (see Figures 2-5). 
  • The administrative costs as a percentage of the.total budget parameter also demonstrated the economy-of-scale argument that larger utilities can perform tasks at a lesser cost per unit than the smaller utilities (see Figure 6).

Having reviewed the operations costs, the next step was to review the existing rates.  Given the economy-of-scale apparent in Figures 2 to 6, it was expected that there would be a tendency for smaller system to have higher rates.  Figures 2-6 demonstrate this phenomena. 

So what to do?  This is the challenge.  Rate hikes are the first issue, a tough sell in areas generally opposed to increases in taxes, rates and charges and who use voting to impose their desires.  Consolidation is anothe5r answer, but this is on contrast to the independent nature of many rural communities.  Onslow County, NC  figured out this was the only way to serve people efficiently 10 years ago, but it is a rougher sell in many, more rural communities.  Infrastructure banks might help, the question is who will create them and will the small system be able to afford to access them.  Commercial financing will be difficult because there is simply not enough income to offset the risk.  The key is to start planning now for the coming issue and realize that water is more valuable than your iPhone, internet, and cable tv.  In most cases we pay more for each of them than water (see Figure 7).  There is something wrong with that…

 Image

 

Figure 1  Breakdown of Size of Systems

Image

 

Fig 2 Cost of Water Treatment

Image

 

Fig 3 Cost of Water Distribution

Image

 

Fig 4 Cost of Sewer Collection

Image

 

Fig 5 Cost of Sewer Treatment

Image

Fig 6 Cost of Administration as a percent of total budget

 

Image

FIgure 7 Water vs other utilities

 

Rural Utilities To Feel The Squeeze

December 17, 2013
Climate, communciations, Congress, economy, engineering, funding, Holistic Water Planning, infrastructure, innovation, Leadership, management, Marketing water, politics, Revenues, Risk, Water Funding, water sewer management
Leave a comment

Several weeks ago we looked at the phenomenon of population, income, education and unemployment.  The impact to from the combination of these factors in certain communities can be difficult.  Let’s explore a little further as there is more, interesting data every day.  The US Department of Agriculture is releasing its report of rural America.  The findings are interesting and counter-intuitive to the understanding of voters in many of those communities.  Their findings include:

  • The rural areas grew 0.5 % vs 1.6% in urban areas from mid-2011-mid 2012
  • Rural incomes are 17% lower than urban incomes.
  • The highest income rural works (95th percentile) earn 27% less than their urban counterparts
  • 17.7% of rural constituents live in poverty vs 14.5% in urban areas
  • 80% of the high poverty rate counties were rural
  • All the high income counties are urban.

Wow!  So the ghetto has move to the country? According to these statistics there is truth in that statement.  Let’s look a little further using some on-line mapping. 

First let’s look at where these rural counties are.  Figure 1 is a map from www.dailyyonder.com  that shows (in green) the rural counties in the US.  Wikipaedia shows the 100 lowest income counties in Figure 2.  For the most part, these counties are rural, with the exceptions being a few areas in south Texas and in the Albuquerque/Santa Fe area of New Mexico. Raceonline.com shows the populations in poverty by county.  The red areas are the highest poverty rates.  The red areas in Figure 3 expand Figure 2 to include much of the rural deep south, Appalachia, more of Texas and New Mexico and part of the central valley in California.

Figure 4 shows how the number of young people has changed between 2000 and 2009 in rural counties (urban counties are white and not included – red means a decrease).  Figure 5 shows population growth (or not) by county. What you see in these two maps is that the young people are moving to the rocky mountain states and vacating the high poverty counties in Figure 3.  Yong people do not see jobs in the rural area – unemployment is 20% higher in rural America and the jobs that are there pay less.  Figures 6 and 7 show unemployment by County in 2008 after the start of the Great Recession and in 2013.  What these figures show is that with exception of the Plains states and Rockies, is that many of the areas with high poverty also had high unemployment, and that the unemployment has remains stubbornly high in many rural areas in the Deep South, Appalachia and New Mexico, plus high unemployment in parts to  the Great Lakes, but the poverty rates are still lower.  Education may by a factor in why the Plains states and Rocky Mountains have less unemployment – despite being rural their students are far more likely to graduate from high school than those in the deep South, Appalachia where unemployment remains high and incomes low. 

So what does this possibly have to do with utilities?  Utilities need to understand this problem as is demands some real, on-the-ground leadership.  Small and rural utilities are more costly to operate per thousand gallons than larger utilities.  A 1997 study by the author showed that economy-of-scale manifested itself to a great extent with water and wastewater operations.  The differences were not close – it is a lot less costly to operate large utilities vs small ones.  Rural utilities complicate the issue further because not only is the number of customers limited, but the pipe per customer is less so the capital investment per customer is far higher than in urban areas.  The impact is that utilities are under pressure to reduce rates to customers, or create a set of lower cost rates for those in poverty, while at the same time their costs are increasing and infrastructure demands are incrementally higher than their larger neighbors.  The scenario cannot be sustained, especially when large portions of rural infrastructure was installed with FHA grants, meaning the customers never paid for the capital cost in the first place.  There was no or lower debt, than what larger utility customers have.  The rural rates since these investments have been set artificially lower than they should as a result. But with Congress talking about reducing SRF and FHA programs, FHA is unlikely to step in to replace their initial investment, meaning that the billions of rural investment dollars that will be needed in the coming years will need to be locally derived, and rate shock will become a major source of controversy in areas that are largely very conservative politically and tend to vote against projects that will increase costs to them.

The good news is that much of the rural infrastructure may be newer when compared to much of the urban infrastructure.  So there is time to build the argument that local investment is needed.  The community needs to be engaged in this discussion sooner as opposed to when problems occur.  Saving for the infrastructure may be the best course since rural utilities will have limited access to the borrowing market because of their size, but that means raising rates now and keeping those saved funds as opposed to using them to deer rate increases.  If ongoing efforts in the House deplete federal funding further, the pinch will be felt sooner by rural customers who will lose the federal dollars from SRF and FHA programs. 

 

Image

Figures 1 – Rural Counties

The United States: By Rural, Urban and Exurban Counties

 

Image

 

Figure 2.  100 lowest income Counties in the US

 

http://en.wikipedia.org/wiki/List_of_lowest-income_counties_in_the_United_States

 

 

Image

Figure 3.  Estimated population in poverty

http://www.raconline.org/racmaps/mapfiles/poverty.jpg

 

Image

Figure 4.  Where the Young People Are

http://www.raconline.org/maps/topic_details.php?topic=55

 

Image

 

Figure 5.  Where people are moving to http://www.raconline.org/maps

Image

 

Figure 6  Unemployment 2008

http://en.wikipedia.org/wiki/Unemployment

Image

Figure 7  Unemployment 2013 http://www.huduser.org/portal/pdredge/pdr_edge_featd_article_040

 

SRF Wars in Congress – What it Means to Utilities

December 9, 2013
communciations, Congress, economy, Education, engineering, finance, Holistic Water Planning, infrastructure, innovation, Leadership, local government, management, Marketing water, planning, power-water nexus, Revenues, utilities, Water Funding, water sewer management
Leave a comment

As 2014 is only a month away, expect water and sewer infrastructure to become a major issue in Congress.  While Congress has failed to pass budgets on-time for many years, already there are discussions about the fate of federal share of SRF funds.  The President has recommended reduction in SRF funds of $472 million, although there is discussion of an infrastructure fund, while the House has recommended a 70% cut to the SRF program.  Clearly the House sees infrastructure funding as either unimportant (unlikely) or a local issue (more likely).  Past budgets have allocated over $1.4 billion, while the states put up a 20% match to the federal share.  A large cut in federal funds will reverberate through to local utilities, because many small and medium size utilities depend on SRF programs because they lack access to the bond market.  In addition, a delay in the budget passage due to Congressional wrangling affects the timing of SRF funds for states and utilities, potentially delaying infrastructure investments. 

This decrease in funding comes at a time when ASCE rates water and wastewater system condition as a D+ and estimates over $3 trillion in infrastructure investment will be needed by 2020.  USEPA notes that the condition of water and wastewater systems have reached a rehabilitation and replacement stage and that infrastructure funding for water and sewer should be increased by over $500 billion per year versus a decrease of similar amounts or more.  Case Equipment and author Dan McNichol have created a program titled “Dire Straits:  the Drive to Revive America’s Ailing Infrastructure” to educate local officials and the public about the issue with deteriorating infrastructure.  Keep in mind much of what has made the US a major economic force in the middle 20th century is the same infrastructure we are using today. Clearly there is technical momentum to indicate there is greater need to invest in infrastructure while the politicians move the other way.  The public, caught in the middle, hears the two sides and prefers less to pay on their bills, so sides with the politicians as opposed to the data. 

Local utilities need to join the fray as their ability to continue to provide high quality service.  We need to educate our customers on the condition of infrastructure serving them.  For example, the water main in front of my house is a 50 year old asbestos concrete pipe that has broken twice in the past 18 months. The neighborhood has suffered 5 of these breaks in the past 2 months, and the City Commission has delayed replacement of these lines for the last three years fearing reprisals from the public.  Oh and the road in front of my house is caving in next to where the leak was.  But little “marketing” by the City has occurred to show the public the problem.  It is no surprise then that the public does not recognize the concern until service is interrupted.  So far no plans to reinitiate the replacement in front of my house.  The Commission is too worried about rates.

Water and sewer utilities have been run like a business in most local governments for years  They are set up as enterprise funds and people pay for what they use.  Just like the private sector.  Where the process breaks down is when the price is limited while needs and expenses rise.  Utilities are relatively fixed in their operating costs and I have yet to find a utility with a host of excess: workers.  They simply do not operate in this manner.  Utilities need to engage the public in the infrastructure condition discourse, show them the problems, identify the funding needs, and gain public support to operate as any enterprise would – cover your costs and insure you keep the equipment (and pipes) maintained, replacing them when they are worn out.  Public health and our local economies depend on our service. Keep in mind this may become critical quickly given the House commentary.  For years the federal and state governments have suggested future funding may not be forthcoming at some point and that all infrastructure funding should be local.  That will be a major increase in local budgets, so if we are to raise the funds, we need to solicit ratepayer support.  Now!  

Why Build Green?

December 5, 2013
communciations, contractors, economy, Education, graduation, Holistic Water Planning, Marketing water, planning, utilities, water supplies
Leave a comment

In the field of engineering, the concept of sustainability refers to designing and managing to fully contribute to the objectives of society, now and in the future, while maintaining the ecological, environmental, and economic integrity of the system.  Most people would agree that structures such as buildings that have a lifespan measured in decades to centuries would have an important impact on sustainability, and as such, these buildings must be looked at as opportunities for building sustainably. When people think about green buildings, what generally comes to mind is solar panels, high efficiency lighting, green roofs, high performance windows, rainwater harvesting, and reduced water use.  This is true, but building green can be so much more.

The truth is that the built environment provides countless benefits to society; but it has a considerable impact on the natural environment and human health (EPA 2010). U.S. buildings are responsible for more carbon dioxide emissions annually than those of any other countries except China (USGBC 2011). In 2004, the total emissions from residential and commercial buildings were 2,236 million metric tons of carbon dioxide (CO2), more than any other sector including the transportation and industrial sectors (USGBC 2011). Buildings represent 38.9% of U.S. primary energy use,72% of U.S electricity consumption (and 10% worldwide), 13.6% of all potable water, and 38% of all CO2 emissions (USGBC 2011).  Most of these emissions come from the combustion of fossil fuels to provide heating, cooling, lighting, and to power appliances and electrical equipment (USGBC 2011). Since buildings have a lifespan of 50 to 100 years during which they continually consume energy and produce carbon dioxide emissions, if half of the new commercial buildings were built to use only 50 percent less energy, it would save over 6 million metric tons of CO2 annually for the life of the buildings. This is the equivalent of taking more than one million cars off the roads each year (USGBC 2011).

The United States Green Building Council (USGBC) expects that the overall green building market (both non-residential and residential) to exceed $100 billion by 2015 (McGraw Hill Construction 2009).  Despite the economic issues post 2008, it is expected that green building will support 7.9 million U.S. jobs and pump over $100 million/year into the American economy (Booz Allen Hamilton, 2009). Local and state governments have taken the lead with respect to green building, although the commercial sector is growing.

Green building or high performance building is the practice of creating structures using processes that are environmentally responsible and resource efficient throughout a building’s life cycle, from site to design, construction, operation, maintenance, renovation, and deconstruction (EPA 2010). High performance building standards expand and complement the conventional building designs to include factors related to: economy, utility, durability, sustainability, and comfort. At the same time, green building practices are designed to reduce the overall impact of the built environment on human health and use natural resources more responsibly by more efficiently using energy, water, and other resources, while protecting occupant health and improving employee productivity.

High Performance Buildings are defined by incorporating all major high performance attributes such as energy efficiency, durability, life-cycle performance, natural lighting, and occupant productivity (EPA 2010). High performance buildings are constructed from green building materials and reduce the carbon footprint that the building leaves on the environment. A LEED-certified green building uses 32% less electricity and saves around 30% of water use annually (USGBC 2011). Building owners know that there is a return on investment of up to 40% by constructing a green building as a result of savings to energy and water (NAU 2012).

The cost per square foot for buildings seeking LEED Certification falls into the existing range of costs for buildings not seeking LEED Certification (Langdon, 2007).  An upfront investment of 2% in green building design, on average, results in life cycle savings of 20% of the total construction costs – more than ten times the initial investment (Kats, 2003), while building sale prices for energy efficient buildings are as much as 10% higher per square foot than conventional buildings (Miller et al., 2007). At the same time, the most difficult barrier to green building that must be overcome includes real estate and construction professionals who still overestimate the costs of building green (World Business Council, 2008).

New data indicates that the initial construction cost of LEED Certified buildings can sometimes cost no more than traditional building practices.  A case study done by the USGBC showed that the average premium for a LEED certified silver building was around 1.9% per square foot more than a conventional building.  The premium for gold is 2.2% and 6.8% for platinum.  These numbers are averaged from all LEED-registered projects, so the data is limited, but demonstrates that in some cases it does not cost much extra to deliver a LEED certified project which greatly improves the value of the building and lowers operating costs (Kuban 2010).  The authors’ experience with the Dania Beach nanofiltration plant indicated the premium was under 3% to achieve LEED-Gold certification compared to standard construction.

So the question is, why don’t we see more green buildings?  We know water plants can be green (Dania Beach Nanofiltration Plant), but that was the first nanofiltration plant in the world to be certified Gold.  The SRF programs prioritize green infrastructure – so why do more people not pursue them?  It may be an education process.  Or maybe the market just has not caught up.  CIties and states are leading the way here.  Utilities may want to look at this as well.Image

Communication in to Often Under-rated with Utilities

December 1, 2013
communciations, economy, Education, engineering, funding, graduation, innovation, Leadership, local government, management, Marketing water, water sewer management
1 Comment

Communicating effectively in both written form and public speaking is critical for the success of the utility.  I have been reading several books on leadership and communication remains an ongoing issue throughout.  We see many schools trying to incorporate this into the engineering curriculum, but that leaves far too many outside the training “program.”  The problem is that many people think they communicate well, when in fact they do not.  Nothing is  more of a reality check than college students, too many of which write in “text message form” as opposed to real written words.  Presenting utility concepts and ideas to different audiences is an integral part of the profession and unfortunately the technical nature of many of our issues requires technical people to communicate concepts to non-technical audiences.  This s far more difficult than it appears, which is part of why the message may be lost.  .Knowing this fact, aspiring utility employees must become familiar with using visual aids and computer-based tools to convey the important design details, so that, the client, regulators, politicians, the public and even other engineers can envision what the final product will look like and evaluate their ability to successfully execute the project. 

We tell our students that technical communication for civil engineers is essential to the profession and is a prerequisite for a successful engineering career. It assists in conveying information, serves as a thought process tool, and is arguably just as essential as excellent analytical or computational skills. For some, writing well comes naturally, for others, it can be a struggle. The difference can be experience, confidence, and proper planning. Planning makes writing easier. A good place to start would be to make an outline of topics to adequately cover the necessary content and in the appropriate order that allows the reader to follow along in a logical fashion. Of course too many of them resist outlines and read very little.  

Reading and writing go hand in hand.  If you read a lot, you have a better chance of being a good writer than those o do not.  The saving grace of the vampire books, Hunger Games, Game of thrones and 50 Shades series is that someone is actually reading the books. That is a first step.  Of course the news is another matter.  History, of course no so much.  For utility folks, it is technical materials that must be read, digested and conveyed to the ratepayers.  People are naturally suspicious of those they cannot understand, a huge barrier for the industry to overcome. I remind our students than when the general public is asked what engineers do, more than half answer:  drive trains.  Wow.  the disconnect!

It is important to avoid overly long documents with too much technical detail, jargon or specialized terms, distractions and tangents.The consequences of poor communications clearly justify the amount of time and effort required to write well because, for example, the written word in a document is permanent; therefore, the bad impression left with the reader of sloppy work can be extremely damaging.  We need to engage the public in a positive way.  Communication needs to be a more robust goal for all of us than it currently is to engender that needed support.

Do Students Reject Learning Based on Job Expectations?

October 31, 2013
economy, Education, Leadership, management, planning, Student Achievement, water sewer management
Leave a comment

I worked for a while in rural North Carolina.  I confronted two issues there that are instructive. The first was that many people did not value education because for the most part they expected to do menial labor activities on farms or in construction.  They figured they did not need much education. That was the adults!!  Kids in such situations have little hope of succeeding academically when their parents do not value education, and in some cases may either ridicule their efforts or at least be un-supportive of same.  The second was the idea that the “guys” who could not work anywhere but needed a job should get a job with the “city.”  Wow, I’d like to hope we are past both of these, but the Census statistics clearly show we are not on the education part at least.  Census data indicates that when you look at educational spending, per capita income, graduation rates and unemployment rates, the bottom 10 states are:

North Carolina

Tennessee

South Carolina

Nevada

Kentucky

Alabama

Mississippi

West Virginia

Louisiana

Arkansas

All but Nevada (#35) are in the bottom 12 in spending per student and the academic achievement of their students appears to indicate the efforts are inadequate.  For the most part these are largely rural southern states, so my experiences 25 years ago may be no different now. Kids see low wages, higher unemployment and figure what does education get them?, so it perpetuates the myth of their parents. Or maybe it is not a myth afterall?  Interesting these are primarily the states with the highest number of students in poverty, lead my Mississippi’s whopping 71%.  All are over 50%. All among the states with highest rates of food stamp recipients.  So the kids are living the low income expectations.

Where I currently am I periodically interact with inner-city kids. No surprise, there is a similar mindset – the kids see their future as minimum wage jobs that require no skills, or the expectation that the violence of their surroundings will catch up to them (crime, welfare, etc).  None of their expectations require education (although it is surprising how sophisticated their understanding of all of these issues are), so many do not pursue learning with vigor after 10 or 12 years old. Skipping school, suspensions, lower scores and grades are common.  Too many parents do not encourage their kids and the mindset creates deterioration of urban schools. Periodically I have students who are actively trying to escape the stereotypes, but they will confirm that school is not a priority for far too many  inner city kids.  No surprise they learn this from their parents who are often underemployed or lack good employment because they never obtained the education needed to escape the neighborhood. 

In both cases the problem is lack of employment expectations. The kids look around them and figure they have no hope of escaping the minimum wage, limited skill jobs. Unfortunately our job resurgence indicates that these are the jobs we are producing the most on far too many areas.  In the past 2 years, the State of Florida suggests that 90% of the jobs created are minimum wages jobs.  The local casinos are advertising for hundreds of jobs – as waiters, kitchen help, maintenance, etc. most starting at or just above minimum wage rate.  The hospitality industry is full or low wage, limited skill jobs. So is agriculture in rural areas. The problem is the message sent to kids?  Education is not rewarded, so why bother.

So what does this have to do with utilities?  Utilities are everywhere and inn every community. Education affects utilities because as technology grows, we need better job skills from workers.  Gone are the days of hiring people to dig ditches that may not need to read, write or do math.  We are computerizing everything.  As a result all of our jobs, regardless how much labor may be involved, need skills.  Utility field people are the face of the utility.  We need qualified, employees to can represent the utility well, not uneducated, ignorant people who can’t answer questions or who cannot communicate with the public about what they are doing.  The question is how to solve this problem especially in rural areas where education may not be valued. 

First, we need to get into the schools.  Not colleges, but middle schools.  That is where many students appear to be lost.  They get to be 16 and drop out.  Hanging out, not working, gangs, crime, drug cultures, etc all appear to be “easier” than going to school and then working to earn a living.  We need to create value in all of our jobs.  Certainly not all jobs need a college education, but  a high school diploma with basic abilities to read, write, do math and communicate to the public are needed to create value for us. We need to impress on rural communities and inner city kids that we provide desirable jobs and encourage them toward us.  That may mean internships, student efforts in schools, tours, and lots of interaction with teachers.  It takes time, but may be worth our while on many levels.  

RENEWABLE POWER VS THE ESTABLISHMENT (How water and sewer utilities play a part)

September 24, 2013
Climate, economy, engineering, Environment, finance, hydroelectric power, infrastructure, innovation, power demands, power-water nexus, renewable power, solar power, Uncategorized, water sewer management, wind power
1 Comment

In June, President Obama made a speech about the increase in renewable power that the United States had created in the last 4 years, and announced goals to double this amount in the next four.  Virtually all of this power was solar and wind power.  Little mention was made of hydroelectric or onsite sources.  But the latter have been around much longer than the former sources and there may be options to increase their contributions under the right circumstances. 

 

Hydroelectric power has been in use in the US for over 100 years.  By the 1930s, 40 percent of the nation’s power came from hydroelectric dams, including some fantastic accomplishments of the time like the Hoover Dam.  Today we have over 100,000 dams in the US, most of which provide power.  Today hydroelectric is only 6 percent of our total.   The reluctance to continue with hydroelectric power involved fisheries, land acquisition costs and legal issues.  Some hydropower options are excellent.  Hurting fisheries (which disrupt local economies dependent on those fisheries) may not be, and therein lies part of the dilemma.

 

But water and wastewater utilities are actively looking for means to reduce power costs.  Depending on the utility, pumping water can account for 80-90 percent of total power consumption, especially with high service pumps on water systems that require high pressures.  More efficient pumps is one obvious answer, but of fairly limited use unless your pumps are really old.  Variable speed drives can increase efficiency, and the cost is dropping.  But note that with all that high pressure, how do utilities recapture the energy?  We often don’t and the question is whether there is a means to do so that can benefit up.  The first step is looking at plant hydraulics.  Is there a way to recapture energy in the form a pressure.  For example of reverse osmosis systems, we can install a turbine to recapture the pressure on the concentrate side.  They are not very efficient at present, but the potential is there.  On long gravity pipe runs for water supply, a means to recapture pressure might also be available. 

 

Of course on-site generation of power is a potential solution. Water and sewer utilities have land, and on the wastewater side, methane, so producing power is possible.  This solution, however, may not be embraced by power utilities due to the potential revenue reduction potential and loss of embedded reserve capacity at water and wastewater plants.  As the water facility takes on on-site generation, their load profile may shift significantly placing them in under a different rate structure. This may greatly reduce the benefit to the facility.  There are, however, approaches to permit win-win solutions. The goal is to put willing power and water utilities together to permit local generation that will benefit both power and water utility systems to encourage public – private partnerships.  A medium to large wastewater plant can generate at least a third of its power needs.  Some even more if they take in grease, oils and other substances that should not be put into the sewer system.  The potential there is significant.  EBMUD has a plant that is a net seller of power.  We should look for opportunities.  But don’t forget, water utilities can create hydropower without impacting fish populations. We just need to seek out the right opportunities.

WATCH WHAT YOU FLUSH

September 20, 2013
engineering, finance, sanitary sewer, toilet flushing, Uncategorized, water sewer management
1 Comment

I love stories about sewage in print.  As a water/wastewater guy, it is amusing to see sewer stories in the local papers and national news when they are about the “oddities” of operations.  One recent article talked about the impact of “flushable items” that should not go down the toilet.  “Flushable” wipes was the offender this time, but past discussion involved tampons, diapers and paper towels.  The reality is that NONE of these items should ever go down the toilet.  Those paper toilet seat covers are questionable as well.  Let’s see why. 

Sewer agencies have a very different view of what is flushable that tampon manufacturers, diaper manufacturers, paper towel and now flushable wipe makers.  Sewer agencies are responsible to insure that waste moves down the gravity pipes and through the lift station pumps without creating backups in the system.  The majority of material in a sewer system is water.  Followed by chopped up solids.  The design of the toilet involved two separate concepts.  One is simply creating the opportunity for a syphon to move waste when flushed but holding water when not.  It is a gravity principle based on partial pressures.  Simple stuff.  But toilets also tend to “chop up” material when the flushing action occurs.  The flush is violent and thin toilet paper and the soft solids in the toilet are easily shredded and blended into the water.  Think about your blender.  Soft stuff gets chopped up.  Enough mixing, it is all liquid.  As a result there is very limited opportunity for either thin toilet paper or most solids to plug up a toilet. 

But people don’t like thin toilet paper.  So we have manufactures making toilet paper with cotton fibers in it to make the paper soft.  And people like the “high quality” paper towels that upscale restaurants use.  Unfortunately too many people use those high end paper towels on the toilet seat, so down they go.  Wipes are reinforced paper also.  Fibers make them strong enough to, well wipe.  Tampons are notorious as absorbant fibers.  The key in each case is the fibers.  Fibers are not chopped up during a flush because the toilet flush is not designed to shed cloth.  As a result two things happen.  First, the fibers then to stay together as a mass.  Grease and other materials in the sewer system will stick to eh fibers making an even larger glob of material.  A recent YouTube photos showed a 15 ton grease ball in a large sewer system.  Grease and fiberous materials in the sewer system – you don’t want that to plug up your interceptor.

The other problem is lift stations.  The pumps at lift stations are designed to pass a 2.5 in ball, but not a bunch of strings.  As a result the fibers get stretched out, and wind around the pump impeller rendering it useless.  Or the material may mat in the impeller preventing the pump from pumping water.  One of the most common lift station problems is fiberous material winding around impeller shafts that burn out pumps.  Pumps cost thousands of dollars to repair or replace, so this is money from the ratepayers’ pockets.  One of my clients had the restaurant problem.  The lift station impellers would completely clog every 3 days.  The lift station would nearly overflow before the pumps were removed, the guys would open up the pump, and dig out the material.  Obviously fiberous paper and there were only two connections to the lift station.  The City ended up installing a $160,000 grinder system to grind up this material because the restaurant was unwilling to change their practice.  The major offender was women using the paper towels as seat covers.  The lines inside were a mess as well. 

The moral of the story is that toilet paper, water and body waste goes down the sewer.  Not napkins, feminine hygiene products, baby wipes or any fiberous paper material that feels soft, but won’t deteriorate, regardless what the manufacturer claims on the box.  These material do not degrade, the only create costly repairs, inconvenient and costly backups and a host of other problems for downstream users and the utility.  Put this material in the proper trash can. 

And see where else can you talk about this stuff, except when talking about sewage?

WHY ARE HEALTH CARE COSTS SO HIGH?

September 8, 2013
communciations, Congress, economy, finance, funding, infrastructure, innovation, Insurance, Leadership, management, politics, Revenues, Uncategorized, Water Funding, water sewer management, water supplies
1 Comment

Why are health care costs increasing so fast?  Did you ever wonder about that?  We keep hearing about how health care costs, Medicare, Medicare, Obamacare are going to bankrupt us, but why is that?  Why are the cots going up so fast?  It is an important challenge for local officials and utilities who generally pay the health insurance costs for their workers.  There is more to the story that we are not being told.

One problem that get identified quickly is that only 80% of the population is included in the health care system.  Many who are not are “healthy” young people who don’t demand the services.  The concept of the health care bill was to solve this problem by spreading the costs of health care across the entire population using private and public providers.  First, I think there are way more unhealthy  people included in the 20% than we realize because the political dialogue keeps focusing on the few that want to live off the grid – I feel great so I don’t need insurance.  That guy is part of the problem.  That guy gets into a car accident, gets taken to a public hospital, gets treated, gets a bill for $26,000 to fix his broken leg, refuses to pay anything, and the taxpayers get stuck with the bill.  My solution to that guy is if you don’t want to pay for health insurance, bring cash.  Otherwise, “no soup for you!” to paraphrase a famous Seinfeld episode.  Of course my doctor, nurse and therapy friends think that’s a little cold hearted. 

The next argument is the cost of doctors, therapists and nurses.  Okay, I know a bunch of them, and that’s not where the money goes.  These people have lost money in the past 10 years.  Many are going form full-time to part-time employments as Medicare, Medicaid and health insurance bureaucrats decide services are no longer needed.  They will tell you the major change in their lives is paperwork….hold that thought for a moment.

The cost of drugs comes up.  Medicare and Medicare are the largest purchasers of pharmaceuticals in the world.  So in other works, they set the lowest price by supposedly bidding the “contracts” for services. Only there is often only one provider, so exactly how does that work?   Sounds like we don’t get a good deal there, which is why the arguments for importing Canadian drugs or drugs from Mexico keeps popping up.  They get a better deal than we do and most of these are supposedly AMERICAN companies.  No home town discount (I guess I know where free agent baseball players get the idea).   And my medical friends confirm this as an issue.  Check out the comments from Mr. Falloon at Life Extension (www.lef.org) for discussion. 

So let’s go back to the paperwork discussion.  Once upon a time doctors simply sent a little paperwork to the health insurance company or the federal government and said you needed some service.  And the insurance company processed the bill for the services.  The cost was paid by insurance premiums collected by the insurance company.  Everyone was happy.  But then someone at an insurance company said, “wait we could make more money if we asked more questions and paid less for these services.  It would help our bottom line.”  So you hear the complaint that the folks at the insurance companies are deciding whether you need that procedure or not.  And contractors decide if someone needs Medicare or Medicaid services, not the government, not your doctor, your nurse or your therapist.  Not any person that knows you, but some unseen, private sector bureaucrat who’s goal is to minimize the amount of your premium spent on services so they can enhance their bottom line.  And apparently they are very effective because the health insurance industry is very lucrative.  So maybe we have stumbled onto something here.  Maybe the cost of medical coverage is more related to drugs and bureaucracy (and it is not government bureaucracy!!) than the actual cost of services.  Maybe the old system, even if there was some fraud in it, wasn’t nearly as bad as it was made out to be.  It reminds me of one of the 4 laws of City management I developed years ago:  Never give elected officials a bad alternative – it becomes a magnet.  It always worked (hence a law).  I didn’t learn why until years later when I realized, that the worst option was the one all the lobbyists lobbied for even at the local level.  It was the option where they could make the most money “fixing

SCHOOL’S STARTED

September 3, 2013
communciations, economy, engineering, Environment, graduation, innovation, Leadership, management, sutdents, Uncategorized
1 Comment

School is back in session.  It is a great opportunity to see what kind of great things we can learn this year.  We can learn from the students as much as they learn from us.  Working with college students, in bridging that connection between my real world clients and my students keeps me engaged and allows me to act as a conduit of information between the two sectors.  That conduit potentially includes jobs for students and technology for clients.  It is remarkable how much the skills sets of the students have changes and increased in certain areas in five years, let alone 10.  I remind them that 5 years after they graduate, the skill set of the next group will be far ahead of theirs. Get your license and keep learning and staying up to date with technology.  It is far too easy to get behind and it is surprising how many graduates figure they are done with learning when the graduate.  Far from it.  The advances and changes in the industry move so quickly.  All my students are doing 3 dimensional projects versus cad drawings 5 years ago.  And those cad drawings were so far above the cad drawings of ten years ago.  All three groups are ahead of a lot of engineering firms with respect to technology.  And there accompanying utilities as well.  My students make great interns for GIS – it comes naturally to them.  My older friends?  Well, let’s say there is a bit of a learning curve.  As we try to be more efficient, training and skill development become continuous exercises.  It is obvious when you compare skill sets of recent, current or older graduates.  Of course skill sets may not translate to knowledge, for there is no substitute for field experience, especially in the water and engineering fields.  The reality is often much different than you expect, for a variety of reasons.  How you adapt means experience.  It is why the older crowd and the younger crowd need each other and need those communication avenues.  I find that my teaching keeps you engaged in the changes in technology, viewpoints and the new generation while maintaining the relationships with the real world