February 2021's Water and Wastewater Market Recap is a snapshot of water industry insights. We share industry drivers, notable projects, recent mergers and acquisitions, interesting reads, and updates on upcoming meetings and conferences.
Our data team tracks new and updated industry drivers. Here are some recent drivers we have been following this month:
Status: Effective
Organization: Federal Emergency Management Agency (FEMA)
Summary: On February 21, 2021, the Federal Emergency Management Agency (FEMA) got authorization by President Biden to provide emergency protective measures for mass care and sheltering and direct federal assistance. FEMA is actively coordinating with impacted states, local and tribal governments to address their needs.
Click here for more information.
Status: Proposed
Organization: U.S. House
Summary: On February 19, 2021, an act to amend the Deepwater Port Act of 1974 was introduced. The act relates to permit the construction of deepwater ports in Federal water adjacent to certain coastal States that do not have an active Coastal Zone Management Program.
Click here for more information.
Status: Effective
Organization: National Association of Clean Water Agencies (NACWA) and the Association of Metropolitan Water Agencies (AMWA)
Summary: On February 1, 2021, the National Association of Clean Water Agencies (NACWA) and the Association of Metropolitan Water Agencies (AMWA) started their joint Affordable Water, Resilient Communities campaign. The campaign will increase awareness among federal lawmakers, key stakeholders, and the public around the vital role of public water sector utilities in supporting healthy, resilient communities, the financial challenges local utilities and their customers face after years of increasing local costs and declining federal cost-share, and the critical need for greater federal investment in water infrastructure.
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Status: Effective
Organization: California American Water
Summary: On February 10, 2021, California American Water announced it invested, despite the coronavirus, more than $68 million on system upgrades and various improvement projects in the communities served throughout the year. Some of the most notable ones include: Sacramento Area, Monterey Peninsula, Los Angeles and Ventura County, and South San Diego. The company plans to spend more than $143 million over the next two years in infrastructure construction and important system maintenance projects.
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Status: Effective
Organization: The Environmental Protection Agency (EPA)
Summary: On February 22, 2021, the Environmental Protection Agency (EPA) announced it is taking two actions to protect public health by addressing per- and polyfluoroalkyl substances (PFAS) in drinking water. EPA is reproposing the Fifth Unregulated Contaminant Monitoring Rule (UCMR 5) to collect new data on PFAS in drinking water and the agency is reissuing final regulatory determinations for PFOAs and PFOSs under the Safe Drinking Water Act (SDWA).
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We track notable projects from proposal stage to becoming effective. Here is a recent notable project we have been tracking.
Type: Water/Wastewater Treatment
Status: Proposed
Organization: Wisconsin Electric Power Company, Madison Gas and Electric Company, and WPPI Energy
Summary: On February 16, 2021, the Wisconsin Electric Power Company, Madison Gas and Electric Company, and WPPI Energy filed a joint application before the Public Service Commission of Wisconsin for a Certificate of Authority to Construct a New Wastewater Treatment System at the Elm Road Generating Station, Milwaukee County, Wisconsin. The requested project consists of installing a new biological and ultrafiltration wastewater treatment system and making modifications to the existing wastewater treatment system to segregate FGD wastewater and “Site wastewater” (defined as non-FGD wastewater currently processed through the existing ERGS PUBLIC REDACTED treatment system) into separate trains to meet the new discharge limitations in the most cost effective manner. These systems will consist of new wastewater treatment equipment, tanks, foundations, buildings, piping, electrical supply, and controls. The estimated cost of this project is $89.5 million.
Click here for more information.
Here are some recent, notable Capital Improvement Programs (CIPs). FirmoGraphs has deconstructed the CIPs into data elements, along with available project descriptions. Please feel free to request a meeting and review the data live in the BI.
In October, 2020 Johnson County, Kansas released 2021-2025 Capital Improvement Plan showing the projects related to the Johnson County Wastewater, Airport, Department of Technology and Innovation, Johnson County Library, Parks, Public Works, Stormwater and Transit.
Looking back at the FY 2020-2024 approved Capital Program, it totaled $885 million. The appropriations were designated for the Business Areas of Johnson County Wastewater ($393 million), Public Works ($95 million), Parks ($93 million) and Stormwater ($79 million).
This year’s CIP totals $897 million, which is an increase of 1.32%. The Business Area of Johnson County Wastewater is now appropriated with $432 million, Public Works with $135 million, showing increases. However, Parks were apropriated $88 million while Stormwater was appropriated $75 billion, showing slight decrease.
The current 2021-2025 Capital Program has intended funds for 65 projects, 1 less than the last years.
Most valuable CIP Projects include “Wastewater Projects” and “County Assistance Road System” for $432 million and $93 million, respectively.
|
Business Areas |
2020- 2024 CIP |
2021- 2025 CIP |
Expense change in % between two CIP’s |
|
Wastewater |
$393 million |
$432 million |
-9.91% |
|
Facilities |
$130 million |
$54 million |
-58.42% |
|
Public Works |
$95 million |
$135 billion |
+41.85% |
|
Parks and Recreation |
$80 million |
$88 million |
+10.35% |
|
Stormwater |
$79 million |
$75 million |
-5.36% |
|
Library Operating |
$44 million |
$61 million |
+37.24% |
|
Transportation |
$18 million |
$20 million |
+8.79% |
|
Technology & Innovation |
$16 million |
$4.3 million |
-74.14% |
|
Airport |
$16 million |
$12 million |
-21.47% |
|
Health & Environment |
$3.8 million |
$3.4 million |
-10.69% |
|
Justice Information Management Systems |
$3.2 million |
$2.2 million |
-30.52% |
|
Emergency Management & Communications |
$1.06 million |
$0.7 million |
-31.20% |
|
Med-Act |
$0.6 million |
$1.03 million |
+62.20% |
|
Sheriff |
- |
$2.9 million |
- |
|
Correction |
- |
$0.7 million |
- |
|
Election |
- |
$0.5 million |
- |
|
Total |
$885 million |
$897 million |
+1.32% |
In November, Central Contra Costa Sanitary District of California released the Capital Improvement Plan for 2021-2030 showing the Projects related to Collection System, Treatment Plant, General Improvements and Recycled Water.
Looking back at the FY 2020-2029 approved Capital Program, it totaled $843 million. The appropriations were designated for the Business Areas of Collection System ($349 million), Treatment Plant ($413 million), General Improvements ($25 million) and Recycled Water ($55 million).
This year’s CIP totals $881 million, which is an increase of 4.6%. The Business Area of Collection System is now appropriated with $335 million (a $14 million decrease), Treatment Plant with $457 million (a $44 million increase), General Improvements with $22 million (a $3 million decrease), while Recycled Water was appropriated $67 million (a $12 million increase).
The current 2021-2030 Capital Program has intended funds for119 projects, 11 less than the last years' budget.
The most valuable CIP Projects include “Collection System Sewer Renovation - Phase 2” and “Collection System Sewer Renovation - Phase 3” for $103 million and $63 million, respectively.
|
Business Area |
2020- 2029 CIP |
2021 - 2030 CIP |
Expenses change in % between two CIP’s |
|
Collection System |
$349 million |
$335 million |
-4% |
|
Treatment Plant |
$413 million |
$457 million |
+10% |
|
General Improvements |
$25 million |
$22 million |
-13% |
|
Recycled Water |
$55 million |
$67 million |
+22% |
|
TOTAL |
$843 million |
$881 million |
+4.6%. |
The following M&A transactions in the Water and Wastewater Industry stand out in the month of February:
Here are some recent articles our team has been reading:
Organizations have shifted their event strategies during the COVID-19 pandemic. We are tracking these changing meeting plans.