Meeting to be held on water plant study Water superintendent shares concerns on water rate hike for new Piqua

plant Bethany J. Royer Piqua Daily Call Originally published July 2012 PIQUA - RA onsultants !! "ill gi#e a spe$ial presentation on their Pi%ua&'roy (ater )yste* study at + p.*. 'uesday in the Robinson 'heatre, Roo* 0-0, o. /dison o**unity ollege. 'he in$innati-based $onsultants "ill dis$uss "ith those in attendan$e the .inan$ial i*pa$t, .easibility, and .inal analysis o. the t"o *a0or "ater treat*ent plant options that had been under e#aluation. 'hose options "ere to either build a ne" plant or *o#e into a 0oint #enture "ith the $ity o. 'roy. 'hose options "ere .inali1ed by Pi%ua ity o**issioners "ith a unani*ous #ote passed in .a#or o. building a ne" plant at a 'uesday, July 2, $o**ission *eeting. 3any are hope.ul tal4s $an $ontinue as a tale o. $aution and tea*"or4 bet"een t"o histori$ally di#ided $o**unities "as gi#en by 'roy (ater )uperintendent 'i* Ray. 5'his is the *ost i*portant de$ision as .ar as "ater rates that "ill be *ade in the ne6t 70 years in 3ia*i ounty,5 Ray said, e6plaining the situation goes "ell beyond pro#in$ialis* o. e#eryone "anting their o"n "ater treat*ent plant as this de$ision "ill ha#e a dire$t i*pa$t on residents .or the ne6t -0 or 70 years. 5I. Pi%ua does build a plant, you $an8t unbuild it, 0ust li4e "e $an8t unbuild ours, and you $an8t get rid o. the debt ser#i$e it too4 to build it so you8#e got to pay .or it, you8#e got to *aintain it, and you8#e got to operate it and sta.. it.5 Out with the old

'he need .or a resolution to the Pi%ua "ater treat*ent plant "as *andated by the /n#iron*ental Prote$tion Agen$y 9/PA: a.ter an e#aluation by Jones and ;enry /ngineers ba$4 in 200+. 'he <+-year-old plant on )tate Route == "as dee*ed to ha#e outli#ed its use.ulness "ith its .loodplain lo$ation, inability to *eet up$o*ing /PA $apa$ity and standards eli*inating it .ro* rehabilitation $onsideration. (ith ti*e o. the essen$e to *eet regulations or .a$e penalties, nu*erous "or4shops "ere held to dis$uss the $ity8s #arious alternati#es that in$luded ne" $onstru$tion, pur$hasing "ater .ro* 'roy or going into a 0oint #enture. /#en a potential regional plant "ith )idney "as $onsidered. As options "ere brought ba$4 and .orth to the table, *any "ere ni6ed, su$h as "hen .or*er ity 3anager >red /nderle stated in >ebruary 2011 it "as unli4ely the $ity "ould .orgo a ne" plant in .a#or o. pur$hasing "ater .ro* 'roy. ;o"e#er, "hen the idea .or Pi%ua buying into the 'roy plant "as proposed, both $ities agreed in the .all o. 2011 to .inan$e a study through an independent .ir*, RA onsultants, to see "hat the .easibility o. su$h a 0oint #enture "ould entail. 'he study "ould $o#er the $osts to $onne$t the $ities, operational $osts therea.ter, pro0e$ted gro"th in both $ities, ad*inistration $osts, and go#ern*ent stru$ture that "ould be si*ilar to 'ipp ity and ?andalia8s shared regional plant. 5'hey do pri*arily "ater distribution in.rastru$ture,5 Ray said o. the $onsultants. 59'hey are: #ery "ell respe$ted.5 3ean"hile, Pi%ua *o#ed .or"ard "ith a separate study .or its o"n plant.

5Pi%ua de$ided they "ould e6plore the $ost o. building a ne" plant "ith @3,5 Ray said. 'his brought Bob Ao6thi*er, a $onsultant "ith @3-)*ith 9 a*p @resser and 3$Bee )*ith: an engineering, $onstru$tion, and operations .ir*, on board. Ao6thi*er proposed a site plan on property that at the ti*e "as .or sale north o. the $urrent plant "ith a pro0e$ted $o*pletion date o. >ebruary 2017. As the $lo$4 ti$4ed, $o**ission *e*bers #oted to build a ne" "ater treat*ent plant, a de$ision *ade "ith support .ro* so*e, and disappoint*ent .ro* others, as e6pressed by 'roy $ity leaders and so*e area $iti1ens. o**ission highlighted *any reasons .a#oring a ne" plant, in$luding the issue o. *any un4no"ns. 'he un4no"ns One o. the un4no"ns brought to light "as the age o. 'roy8s "ater treat*ent plant. Originally built in 1C+1 as an < 3D@ 9*illion gallons per day: plant, design engineers Bla$4 and ?eat$h *ade it possible .or e6pansion to double in si1e i. needed. It "as a potential that 'roy $ity .athers too4 ad#antage o. in the *id-C0s due to pro0e$ted gro"th under "hat had been a solid e$ono*y and the presen$e o. Panasoni$, "hi$h "as a large "ater $usto*er. 5A.ter the e6pansion got started, Panasoni$ le.t to"n,5 Ray said o. "hat "as the last Panasoni$ *anu.a$turer in the $ountry 9A total o. 11 si*ilar plants had been lo$ated "ithin the United )tates: to $lose, the loss o. .or*er tele#ision tubes that $alled .or up to 2 3D@ o. "ater a day. 5'hat8s a big hit,5 he said. On the heels o. Panasoni$8s departure the e$ono*y too4 a do"nturn "ith the $ity o. 'roy going .ro* "hat Ray e6plained as = to + so*eti*es < 3D@ do"n to - to -.2 o#er the last three to .our years, "ith so*e days being higher.

5(e ha#e a $apa$ity o. 1= but "e8re only pu*ping .our, "e ha#e all this e6tra $apa$ity, "e ha#e to *aintain it, "e ha#e to ta4e $are o. it, it8s there, you $an8t unbuild it,5 said Ray, "ho sa" a per.e$t .it bet"een the $ities o. 'roy and Pi%ua "hen the latter $a*e to the $on$lusion o. either building, re*odeling, or hoo4ing into )idney or 'roy. 5)idney doesn8t ha#e enough "ater .or the* 9Pi%ua:,5 Ray said. Other un4no"ns spo4en by Pi%ua $o**ission in$luded the tas4 o. $ontra$t negotiations to share the plant, and the potential o. ha#ing to repla$e the aging stru$ture on do"n the road. In ter*s o. age, "hile -0 years old, the 1CCC e6pansion to 1= 3D@ *eans parts o. the plant are only 12 years old. 5'he plant is #ery "ell *aintained,5 Ray said, "ith a 2010 Ohio /PA )anitary )ur#ey /#aluation Report .or the "ater plant stating it is in 5#ery good $ondition and $apable o. *eeting $urrent and .uture regulations.5 (ater sa.ety "as another issue as the /PA in#estigated ground"ater $onta*ination that en$o*passes a 27-blo$4 radius o. the $ity o. 'roy. 5'here "as $on$ern about "hat is re.erred to as $onta*ination in our a%ui.er, be$ause there are super.und sites that the /PA says $ould i*pa$t our "ell .ields,5 Ray said in "hat "as a result o. dry-$leaner .luid du*ped in the 1C-0s and 870s. 'he pri*ary $onta*inant P / 'etra$hloroethylene along "ith ' / 9'ri$holorethylene:, both *an*ade $he*i$als "as dis$ussed in @e$e*ber 2011 at 'roy8s ?an le#e /le*entary "ith the /PA, the Ohio @epart*ent o. ;ealth, 'roy $ity o..i$ials, "atershed groups and $on$erned $iti1ens.

A separate, independent hydro-geologi$al .ir*, /agon and Asso$iates, "as a$%uired to assess the 'roy a%ui.er on sustainability and $onta*ination "ith a .inal report gi#en by RA onsultants !! , deter*ining that, 5Based on the re#ie" o. a#ailable in.or*ation, it is $on$luded that there is no plausible s$enario "hereby the a%ui.er be$o*es unusable .ro* the standpoint o. both "ater %uality.5 Along "ith $onta*ination "ere $apa$ity issues, "ith Pi%ua "anting a =.+7 3D@ sour$e supply, 9a#erage de*and at 2.7 3D@ and *a6i*u* de*and o. -.+ 3D@: 'roy8s histori$ *a6i*u* day o. 7.7 3D@ and their "ell .ield li*it o. 10.- 3D@. /6ploratory test drilling "as $ondu$ted at .i#e lo$ations on property o"ned by the 3ia*i onser#an$y @istri$t and agri$ultural property that deter*ined three additional "ells, ea$h rated 2-2 3D@, $ould o..er an additional 7 3D@ supply. A .a#orable potential, as Ray #oi$ed $on$erns that should Pi%ua build a =.+7 3D@ .a$ility, and 'roy "ould in turn need to *a4e a de$ision to buy "ater or rebuild on do"n the road, 5'hat plant "ould not e#en be able to supply us "ater, i. "e "anted to buy .ro* the*, so its li4e a ping-pong a..e$t. 'hey build a plant, "e build a plant, and the only people that get hurt are the people li#ing here, they are the one8s that ha#e to pay .or it.5 >inan$ial i*pa$t, tea*"or4, and the .inal analysis *eeting 5(e "or4ed together on the C11 $enter, "e "or4ed together on re$y$ling $ontra$ts, "e "or4ed together on lots o. things,5 Ray said, spea4ing about "hat he sees as yet another opportunity o. regional $ohesion, gi#en that regional "ater plants are not unusual, the $ities o. 'ipp ity and ?andalia share a + 3D@ treat*ent .a$ility that "as $onstru$ted in 2007 and "ent online t"o years later. 5I understand that e#ery $o**unity

"ants to ha#e their o"n "ater plant but it8s gotten to the point "here that8s an e6orbitant e6pense,5 he said. (hen it $o*es to 'uesday8s *eeting to be held at /dison o**unity ollege, Ray e*phasi1ed the i*portan$e o. bringing .ull dis$losure to the publi$, both 'roy and Pi%ua, parti$ularly "hen it $o*es to the e6pense. ;e said he is hope.ul enough people "ill attend to $on#in$e $o**ission to reopen dis$ussions. 5'his e6plains, o#erall, ho" the report "as put together, the nu*bers $a*e .ro* both $o**unities,5 Ray said. 5(hat "e "anted to sho", i. Pi%ua builds a ne" "ater plant, these are their annual rate in$reases .or the .irst .i#e years.5 'he .ull report, along "ith a $ondensed in.or*ational pa*phlet sho"s pro0e$ted annual rate i*pa$ts 9does not in$lude se"er: on a *onthly household use o. +,700 gallons, "ith esti*ates o. ea$h person using <0-100 gallons o. "ater per day. 5(ill this a$tually happen, I don8t 4no"E5 Ray said o. the pro0e$ted nu*bers o#er the .irst .i#e years and then pro0e$ted 20 years out a.ter $o*pletion o. the ne" plant in 2017 . 5RA onsultants, and they8ll e6plain this at the *eeting, used #ery, #ery $onser#ati#e nu*bers, i. anything, they erred on the high side, on both options.5 (hile ad*itting to biases, Ray said he .eels the nu*bers and the *eeting are i*portant to both $o**unities that ea$h paid F+7,000 .or the 0oint study and that a$$ess to $lean, %uality, sa.e drin4ing "ater is a#ailable to all at the lo"est possible $ost. ?oi$ing his o"n $on$erns, and that the $ity o. 'roy does not "ant to appear o#erbearing, Ray stressed the i*portan$e and long-ter* ra*i.i$ations o. the de$ision. 'hat on$e the 0ourney is started there8s no turning ba$4, and understands, 5It8s an a"4"ard and tou$hy, politi$al situation, so "e need to get a"ay .ro* the politi$s and get

do"n to the .inan$es, be$ause this truly i*pa$ts people and on$e the plant is built, you $annot unbuild it,5 he said. >or the entire report #isit under RA onsultants, !! G ity o. Pi%ua& ity o. 'roy (ater )yste* )tudy - >inal Report -&=&2012 httpG&&pi%uaoh.org&"ater.ht* A .e" o. the >re%uently As4ed Questions about the Pi%ua&'roy (ater )yste* )tudy to be presented by RA onsultantsG (hat is the purpose o. the studyE 'he purpose o. the 5Joint (ater 'reat*ent and (ater )upply Operation5 study is to in#estigate the te$hni$al and .inan$ial .easibility o. $reating a 0oint "ater supply and treat*ent utility operation, su$h as a "ater distri$t or $o**ission that $ould *ore $ost e..e$ti#ely treat and supply drin4ing "ater to the t"o $o**unities #ersus the $urrent independent operations "ithin the t"o $o**unities. (ho paid .or the study and ho" *u$h "as paidE 'he total $ost o. the study "as F1-C,<<2 9F12-,<C= to RA onsultants !! and F2-,C<+ to /agon and Asso$iates .or an additional a%ui.er study:. Pi%ua and 'roy ea$h paid hal. o. this .ee using *oney .ro* their respe$ti#e "ater .unds. (here did the in.or*ation used in pro0e$tions $o*e .ro*E /ngineering pro.essionals and an industry .inan$ial analyst #isited ad*inistrati#e, operational, and .inan$ial sta.. in both $ities and a$%uired the in.or*ation on "hi$h the study "as based. 'his in$luded histori$al, $urrent, and pro0e$ted operational and $apital e6penses and also pro0e$ted gro"th rates in ea$h $o**unity. (hy does Pi%ua need to e6plore these optionsH "hy not 0ust update the $urrent plantE

'he treat*ent pro$esses in the $urrent Pi%ua "ater treat*ent plant 9('P: *ay not be able to *aintain $o*plian$e "ith the *ore stringent 2012 /PA li*its on disin.e$tant by-produ$ts in the treated "ater. 'he plant "as $onstru$ted and "ent on line in 1C27H to update it has been deter*ined not to be $ost e..e$ti#e. 'he report is o#er 100 pagesH in su**ary, "hat is the total $ost to Pi%ua .or ea$h optionE I/( P!AI'G F21,=20,000 to build a ne" =.+7 3D@ 9*illion gallons per day: treat*ent plant, as proposed by the engineering .ir* @3-)*ith, $urrently "or4ing "ith Pi%ua. JOII' ?/I'UR/G F22,700,000 "hi$h in$ludes t"o $ostsG F17,000,000 to pur$hase hal. o"nership 9< 3D@: in the 'roy ('P and "ell.ields and F<,700,000 to pay .or hal. o. the $osts to $onne$t the t"o syste*s.