Transcript Document

Water Infrastructure: Time for P3s?

P3 Connect, July 2014 Tom Curtis, AWWA

The State of US Water Infrastructure ASCE Report Card Water = D+ AWWA Buried No Longer Report $1.7 trillion through 2050

Just for drinking water infrastructure

How Did We Get That Number?

Growth of US Water Systems

Pipe Use by Material

Pipe Service Lives by Material

The Bottom Line The needs are very large… They are coming… And will keep coming… As demographic echoes of our past investments

What About Wastewater?

WW needs are at least as great as drinking water Many billions of dollars in current and near-term needs

Other Imperatives New Standards Water supplies Adaptation to climate change Resilience

How Do We Pay for This?

Water is 3x more capital intensive than other urban / suburban utilities There is very limited direct federal support for municipal water and wastewater projects Water projects are locally financed through

customer water bills

What’s Wrong with the Old Tools?

Nothing – AWWA strongly supports them But they have significant limitations… We need to add to the tool box: both SRFs and WIFIA

What’s Wrong with the Old Tools?

Nothing – AWWA strongly supports them But they have significant limitations… We need to add to the tool box: both SRFs and WIFIA

WIFIA – A New Financing Tool Loans for larger water and wastewater projects that are too big for the State Revolving Funds Up to 35 years at Treasury rates Helpful to utilities – and their customers – at no long-term cost to US taxpayers

A New Funding Tool

Questions?