April 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.
Industry Drivers
Our data team tracks new and updated industry drivers. Here are some recent drivers we have been following this month:
Statement by Administrator Regan on the President’s FY 2022 Discretionary Funding Request
Status: Proposed
Organization: U.S. Environmental Protection Agency (EPA)
Summary: On April 9, 2021, the President's Administration submitted its priorities to Congress for the fiscal year 2022. The funding request invests in tackling the climate change crisis, delivering environmental justice, critical water infrastructure, protection of communities from hazardous and environmental damage, as well as addressing PFAS pollution and restoring capacity to carry out EPA's mission. The total request is $11.2 billion and it's the largest ever for the EPA.
For more information click here.
Administrator Regan Announces $300 Million in Water Infrastructure Investments
Status: Effective
Organization: U.S. Environmental Protection Agency (EPA)
Summary: On April 15, 2021, U.S. Environmental Protection Agency (EPA) Administrator Michael S. Regan announced Water Infrastructure Finance and Innovation Act (WIFIA) loans equal to $300 million for water infrastructure improvements in Washington, D.C., Louisville, Ky., and the Florida Keys.
For more information click here.
EPA announces WIFIA Funding for FL, DC Water Systems
Status: Effective
Organization: U.S. Environmental Protection Agency (EPA)
Summary: On April 15, 2021, U.S. Environmental Protection Agency (EPA) Administrator Michael S. Regan announced Water Infrastructure Finance and Innovation Act (WIFIA) loans equal to $156 million to the District of Columbia Water and Sewer Authority (DC Water)for water infrastructure upgrades, improving drinking water quality by adding new water mains, while also reducing service disruptions emerging from breaks in aged pipes.
For more information click here.
Notable Capital Improvement Programs
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.
$1.9 Billion City of Mesa Capital Improvement Plan
Earlier this year, Mesa City Council released the 2021-2025 Capital Improvement Plan showing the projects related to the City of Mesa Wastewater, Water, Sewer, Stormwater and Flood Control, Bridges and Tunnels construction, etc.
Looking back at the FY 2020-2024 approved Capital Program, it totaled $2.3 billion. Between 30 business areas, the highest appropriations were designated for the Water and Wastewater Departments, totaling $1.2 billion, or 46.8%
This year’s CIP totals $1.9 billion, which is a decrease of 17.7%. The Business Areas of Water and Wastewater remain the highest appropriated area, with $933.3 million, or 51.6% of the total budget. Altogether, this year’s CIP has intended funds for 305 projects, out of which 103 are related to water and wastewater infrastructure. Currently, the most valuable project is Greenfield Water Reclamation Plant Expansion, worth $185.8 million and it involves the construction of an additional treatment capacity to meet the increasing wastewater flows to the Greenfield Water Reclamation Plant.
Source: https://www.mesaaz.gov/home/showpublisheddocument?id=40980
Washington Suburban Sanitary Commission reported a $3.9 Billion Capital Expense in 2022-2027 report
In October 2020 Washington Suburban Sanitary Commission released the 2022-2027 Capital Improvement Plan showing the projects related to Montgomery County Water, Montgomery County Sewer, Bi-County Water, Bi-County Sewer, Prince George’s County Water, and Prince George’s County Sewer.
Looking back at the FY 2021-2026, the proposed Capital Program totaled $3.7 billion. The appropriations were designated for the Business Areas of Montgomery County Water ($6 million), Montgomery County Sewer ($29 million), and Bi-County Water ($677 million).
This year’s CIP totals $3.9 billion which is an increase of 0.05%. The Business Area of Savannah Council’s to Montgomery County Water is appropriated with $8.5 million, Montgomery County Sewer with $28.6 million, Bi-County Water with $721 million, Bi-County Sewer with $986 million, Prince George’s County Water, and Prince George’s County Sewer with $154 and $184 million respectively.
Source: https://www.wsscwater.com/files/live/sites/wssc/files/Financial/Proposed%20FYs%202022-2027%20CIP.PDF
Notable M&A
The following M&A transactions in the Water and Wastewater Industry stand out in the month of April:
- April 7, 2021, Pennsylvania American Water agreed to acquire the City of York Wastewater System for $235 million.
- April 8, 2021, Aquarion Company agreed to acquire New England Service Company.
- April 14, 2021, NW Natural Water announced two completed and three additional agreed acquisitions.
What We Are Reading
Here are some recent articles our team has been reading:
- SFPUC invests in earthquake-resistant piping
- Semtech, Vision expand smart utility meter adoption with LoRaWAN®
- Infrastructure, lead, PFAS top issues at AWWA Congressional Fly-In
- EPA Releases Updated PFBS Toxicity Assessment After Rigorous Scientific Review
Meeting Planner
Organizations have shifted their event strategies during the COVID-19 pandemic. We are tracking these changing meeting plans.
Meetings in May and June 2021
- ALMS-AWWA - Annual Conference - 2021, May 2 - May 5, 2021
- ACWA - Spring Conference & Exhibition - 2021, May 12 - May 13, 2021
- PA-AWWA - GCC Annual Conference - 2021, May 25 - May 26, 2021
- BC-AWWA - Virtual Conference & Trade Show - 2021, Jun 1 - Jun 2, 2021
- AWWA - Annual Conference & Exposition - 2021, Jun 14 - Jun 17, 2021