December 2020'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:
FLOODS Act
Status: Proposed
Organization: U.S. House
Summary: On December 4, 2020, the Flood Level Observation, Operations, and Decision Support (FLOODS) Act, which will establish a national integrated flood information system within the National Oceanic and Atmospheric Administration, was introduced in the House of Representatives.
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Applying the Supreme Court’s County of Maui v. Hawaii Wildlife Fund Decision in the Clean Water Act Section 402 National Pollutant Discharge Elimination System (NPDES) Permit Program
Status: Effective
Organization: U.S. Environmental Protection Agency (EPA)
Summary: On December 4, 2020, the U.S. Environmental Protection Agency (EPA) signed a Federal Register notice with draft guidance that defines how the Supreme Court’s County of Maui v. Hawaii Wildlife Fund decision should be implemented under the NPDES permit program. The guidance will help explain when an NPDES permit is required under the Clean Water Act.
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EPA announces $17.7M to support water systems in rural and small communities
Status: Effective
Organization: U.S. Environmental Protection Agency (EPA)
Summary: On December 10, 2020, the U.S. Environmental Protection Agency (EPA) declared $17.7 million in grant funding for technical support and training providers to help small drinking water and wastewater systems stationed in rural communities across the United States. The EPA’s funding will advance public health and environmental protection by ensuring that drinking water in communities is safe and that wastewater is treated before it is delivered to the environment.
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EPA Announces Historic Approval of Florida’s Request to Administer the Clean Water Act Section 404 Program
Status: Effective
Organization: U.S. Environmental Protection Agency (EPA)
Summary: On December 17, 2020, the U.S. Environmental Protection Agency (EPA) proclaimed that Florida is the first State in over 25 years to apply for and get approval to execute a Clean Water Act (CWA) Section 404 program. Michigan and New Jersey were the only states in the country with such authority until now. This step authorizes the State to evaluate and issue permits under the CWA to support the health of Florida’s waters, residents, and economy efficiently and effectively.
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EPA Releases Interim Guidance on Destroying and Disposing of Certain PFAS and PFAS-Containing Materials
Status: Proposed
Organization: U.S. Environmental Protection Agency (EPA)
Summary: On December 18, 2020, the U.S. Environmental Protection Agency (EPA) released new interim guidance on destroying and disposing of PFAS and PFAS-containing materials for public comment. The new guidance describes the science's current state of techniques and treatments that may be used to dispose of PFAS and PFAS-containing materials from non-consumer products, including aqueous film-forming foam for firefighting. The agency is also guiding testing and monitoring air, effluent, and soil for releases near potential destruction or disposal sites. EPA will start accepting comments on the Interim Guidance for 60 days after its publication in the Federal Register.
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ITRC PFAS Technical Regulations - September 2020
Status: Effective
Organization: Interstate Technology and Regulatory Council (ITRC)
Summary: In September 2020, the Interstate Technology and Regulatory Council (ITRC) published its online document, including the PFAS Technical and Regulatory Guidance Document, PFAS Fact Sheets and Explainer Videos, Training Module Videos, and external tables of data and information. The Technical and Regulatory document is designed specifically to support state and federal environmental staff and others (including stakeholders, project managers, and decision-makers) to gain a working knowledge of the current state of PFAS science and practice.
Click here for more information.
Notable Projects
Boston Water & Sewer Commission Authorized to Replace and Rehabilitate Sewer and Drain Pipes
Type: Replacement and Rehabilitation of Sewer and Drain Pipes
Status: Proposed
Organization: Boston Water & Sewer Commission
Summary: On November 24, 2020, the Boston Water & Sewer Commission authorized to award a contract for replacement of water mains and replacement and rehabilitation of sewer and drain pipes in city Proper and Roxbury. Replacement of Water Mains and Replacement and Rehabilitation of Sewer and Drain Pipes in Hyde Park, Jamaica Plain, Mattapan, Roslindale, Roxbury And West Roxbury. The work under this contract includes replacement of about 7,721 linear feet of 8" to 12" water main, the laying of about 66 linear feet of new 8" water main, the replacement of around 180 linear feet of 10" sanitary sewer, and rehabilitation including structural lining of around 1,757 linear feet of 10" to 27" sanitary sewer and storm drain. The work is located in Jamaica Plain, Roslindale, Mattapan, Roxbury and West Roxbury neighborhoods.
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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.
$214.5 Boston Water and Sewer Commission Capital Improvement Plan
In November 2020, the Boston Water and Sewer Commission adopted its latest FY 2021-2023 Capital Improvement Program. We have completed our review.
Looking back at the FY 2020-2022 approved Capital Program, it totaled $220.9 million. The highest appropriations were designated for the Water Replacement Business Area ($65.1 million), Water Special ($19.2 million), and Sewer Renewal & Replacement ($74.9 million).
This year’s CIP totals $214.5 million, which is a decrease of 2.8%. The Business Area Water Replacement remains the highest appropriated area, with $66.2 million, while for Water Special was appropriated $20.9 million, and for Sewer Renewal and Replacement $56 million, showing an increase from the previous year Capital Improvement Plan.
The current 2021-2023 Capital Program has intended funds for 143 projects, 22 less than the last year.
As mentioned, this Capital Plan has 143 unique projects. Three of the most valuable ones are:
- Paving - The Boston Water and Sewer Commission is responsible for the permanent restoration of streets and sidewalks excavated during construction activities. On an annual basis, the Commission publicly advertises and awards contracts to private contractors for permanent restoration work. In addition, the Commission is required to reimburse City of Boston contractors for the repairs and/or replacement of the Commission's castings through the permanent restoration of the streets under the City contracts. The three‐year budget totals $10.6 million
- Water Main Replacement in City Proper - This project includes the replacement of older cast iron water mains that have reached their useful life in City Proper. Construction is projected to commence April 2022 and completed by November 2025. The total three‐year budget for this project is $8.7 million
- Sewer Replacement And Rehabilitation City Proper, Dorchester, Hyde Park, South Boston And West Roxbury - This project includes the replacement & rehabilitation of sanitary sewer and drain pipes in Dorchester, Hyde Park, South Boston & West Roxbury. Construction is projected to commence in January 2021 and be completed by October 2022. The three‐year budget is $6.5 million.
Source: https://www.bwsc.org/sites/default/files/2020-11/capital_improvement_program_2021-2023.pdf
$1.5 Billion Jacksonville Electric Authority Capital Improvement Plan
The Jacksonville Electric Authority has adopted its latest FY 2021-2025 Capital Improvement Program. The Jacksonville Electric Authority is updated every other year. We have completed our review.
Looking back at the FY 2019-2023 approved Capital Program, it totaled $1 billion. The highest appropriations were designated for the Wastewater Business Area ($388.2 million), Delivery & Collection ($246.9 million), and Water Treatment ($131.8 million).
This year’s CIP totals $1.5 billion, which is an increase of 47%. The Business Area Wastewater remains the highest appropriated area, with $558.8 million, while for Delivery & Collection was appropriated $301.8 million, and for Water treatment $207.1 million, showing an increase from the FY 2019 - 2023 Capital Improvement Plan.
The current 2021-2025 Capital Program has intended funds for 258 projects, 23 less than the last year.
As mentioned, this Capital Plan has 258 unique projects. Three of the most valuable ones are:
Greenland Water Reclamation Facility - 4.0 MGD - $115.8 million
Buckman Water Reclamation Facility ‐Biosolids Conversion - Process Facility - $85.7 million
Southwest Water Reclamation Facility - Expansion to 16 MGD - $79.3 million
Source: https://www.jea.com/Engineering_and_Construction/Five_Year_Capital_Expenditures/
Notable M&A
The following M&A transactions in the Water and Wastewater Industry stand out in the month of December:
- November 30, 2020, C2 Energy Capital acquired California’s largest floating solar system.
Contact FirmoGraphs For More Information.
- December 2, 2020, Global Water Resources acquired Lyn-Lee Water Company and Tortolita Water Company, two small water utilities in Arizona.
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- December 4, 2020, York Water Co. acquired water and wastewater systems that serve a resort-style community for older adults in Adams County.
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- December 9, 2020, Hawaii Water Service entered into an agreement with Keauhou Community Services, Inc. (KCSI) to acquire its wastewater system assets.
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What We Are Reading
- U.S. Navy to upgrade WWTP on San Clemente Island following EPA agreement, https://tinyurl.com/y8q88fe9
- Global Water Resources acquires two Arizona-based water utilities, https://tinyurl.com/yd2lwsh7
- Black & Veatch extends its AMP7 role with Thames Water, https://tinyurl.com/ybamk9rl
Meeting Planner
Organizations have shifted their event strategies during the COVID-19 pandemic. We are tracking these changing meeting plans.
Meetings in January and February 2021
- AWWA Sustainable Water, PFAS, Waterborne Pathogens (Virtual) - 2021, Feb. 10, 2021 - Feb. 11, 2021, https://tinyurl.com/y4gkbnj7
- IWA Leading Edge Conference on Water and Wastewater Technologies - 2021, Feb. 21, 2021 - Feb. 26, 2021, https://tinyurl.com/ydd8xy6f
