Operations & Maintenance (O&M). A public partner contracts with a private partner to operate and maintain a water and/or wastewater system while the public partner retains ownership and rate setting authority
WATER OPERATIONS & MAINTENANCE CONTRACT
An O&M partnership transfers daily responsibility and risksfrom the public partner to the private partner.
The scope of the partnership could include: treatment plants, collection and distribution systems, pump stations, meter reading, customer service, and billing.
A typical O&M partnership has the following attributes:
- 5 to 10 year contract term
- Fee is fixed for the term of the contract, which creates budget certainty
- All existing employees can be offered employment
Water Operations & Management Case Studies
Veolia: The City of Palmetto, Florida
In 1991, the city of Palmetto, Florida selected Veolia to manage their 2.4 million gallons per day (combined capacity) Bardenpho and oxidation ditch wastewater treatment plants, 36 lift stations, a land application program for sludge, and an effluent reuse program with a reuse distribution system.
The city of Palmetto provides wastewater treatment services to a population of approximately 130,000 people on the Gulf Coast of Florida. For years, the city had been operating the treatment plant on its own, but in the late 1980s, the city’s growing population and stringent discharge requirements prompted Palmetto to seek out an experienced contract operator to preserve its natural resources.
In the years since, Veolia has undertaken numerous initiatives to improve operational efficiencies and prevent untreated wastewater from entering the Terra Ceia Bay. Measures such as developing a reclaimed water distribution system, improving process control, upgrading the effluent disinfectant, and overseeing discharges to the Bay have resulted in decades of cost savings, a perfect safety record, significant improvements to compliance rates, and improved quality of dischargesto endangered shellfish beds.
PRIVATE PARTNER RESPONSIBILITIES
- Operating, maintaining, and managing the plant
- Designing and constructing major capital projects
- Permitting for any new or upgraded facilities
REGULATORY COMPLIANCE AND REPORTING
- Developing and executing the asset management plan
- Recruiting and staffing
BENEFITS
- Improved operational efficiencies Reduced operations and maintenance costs by 15%
- Prevented untreated wastewater from entering Terra Ceia Bay
- Improved compliance and safety rates.
DETAILS
- Population Served: 130,000 residents
- Type of facility: Wastewater treatment plant
- Flow: 2.4 million gallons per day
- Other: 36 lift stations; effluent and sludge reuse and distribution
Testimonial
Inframark: City of Houston (Kingwood), Texas
Inframark is responsible for operations and maintenance of water and waste-water treatment plants, and associated collection and distribution systems, in Kingwood, Texas. Inframark’s relationship with the Kingwood area of Houston began in 1974 when several utility districts selected Inframark to assist in correcting operational problems in their water and wastewater plants. The relationship continued to grow over time as Kingwood added more water and wastewater systems. In 1996, Kingwood was annexed by the city of Houston, and in 1997, and Inframark entered into a contract with the city to operate and maintain the water systems in the Kingwood area, which continues today.
When Houston annexed Kingwood, Inframark continued its role a system operator and helped city staff transition other services to municipal operations. This included a smooth and efficient transition of meter reading, billing, collection, and customer service. Additionally, Inframark briefed Houston city staff on a major upgrade of the treatment facilities. Because Inframark was involved in this multi-phased project from the beginning, it was able to bring the city up to speed quickly and ensure a successful transition.
Inframark has provided uninterrupted service for more than 45 years, evolving our partnership with the city through major upgrades and system expansions. Many of Inframark’s recommendations have saved the city money and created operational efficiencies. For example, Inframark performed a recent filter upgrade that saved the city $590,000. Inframark also recommended changes to the proposed expansion of the Kingwood Central wastewater treatment plant, which reduced the cost of construction significantly. The resulting modifications to the tank levels and improved oxygen transfer from the fine bubble diffusers eliminated additional construction of extra tanks and led to a 30% decrease in electricity usage as a result.
As a partner with the city, we have managed operations through several natural disasters with minimal disruption to service. Inframark was instrumental in the efforts to keep the system operational after Hurricane Harvey in August 2017. Inframark employees jumped headfirst into the tasks of restoring power, fixing debris-laden equipment, and assessing damage to flooded areas. With the example set by Project Manager, Jonathan Dawson, crews worked tirelessly and continuously despite road conditions, damaged or no facilities, and, in some cases, dealing with a personal loss. In addition, 12 Inframark employees convoyed from Oklahoma with equipment, vehicles, and emergency response supplies to begin assisting recovery efforts as soon as the water began to subside. Within 72 hours, the team was able to restore operations at 95% of the facilities in the Kingwood area
PRIVATE PARTNER RESPONSIBILITIES
- Operating, maintaining, and managing the plant
- Designing and constructing major capital projects
- Permitting for any new or upgraded facilities
REGULATORY COMPLIANCE AND REPORTING
- Developing and executing the asset management plan
- Recruiting and staffing
BENEFITS
- Improved operational efficiencies Reduced operations and maintenance costs by 15%
- Prevented untreated wastewater from entering Terra Ceia Bay
- Improved compliance and safety rates.
DETAILS
- Population Served: 120,000 residents
- Type of Facility: Five wastewater treatment plants and 13 water treatment plants
- Flow: 15 million gallons per day (wastewater) and 43 million gallons per day (water)
- Other: 350 miles of collection system; 65 lift stations; 315 miles of distribution system; seven elevated storage tanks; 23 wells
Testimonial
Jacobs: North Hudson Sewerage Authority, New Jersey
Jacobs and the North Hudson Sewerage Authority (NHSA) have worked together since 1989 to optimize and improve wastewater infrastructure, treatment performance, and services for nearly 180,000 people in four cities along the Hudson River. The parties’ collaborative efforts over three decades have improved water quality in the Hudson and supported development and revitalization efforts.
Jacobs manages the wastewater collection and treatment systems including a 20.8 million gallons per day of trickling filter waste water treatment plant, a 10 million gallons per day of trickling filter wastewater treatment plant, 107 miles of combined sewers, 11 pump stations, and an extensive network of combined sewer and stormwater regulating equipment.
When Jacobs began working with the city of Hoboken and NHSA’spredecessor organizations, the facilities for which the company assumed responsibility were aging and ineffective. The communities they served faced regulatory violations and penalties from local and federal authorities and were under a ban on new sewer connections. Jacobs optimized treatment processes, trained operators, and returned facilities to compliant operations allowing the ban on new connections to be lifted. Jacobs coordinated operations with capital improvements that helped reduce pollutants released into the Hudson, and ultimately enabled the Authority to transform the Hudson waterfront from eyesore to valued asset. Jacobs also supported response and recovery during and after Superstorm Sandy in 2012. Team members made emergency repairs and returned equipment to full operation within 10 days of the storm.
PRIVATE PARTNER RESPONSIBILITIES
- Operating, maintaining and managing the plant
- Regulatory compliance and reporting
- Developing and executing asset management plan
- Recruiting and staffing
BENEFITS
- Resolution of compliance issues enabling repeal of ban on new sewer connections, allowing development activity to resume
- Transfer of future compliance and performance risk to Jacobs
- Access to advanced tools, technologies and practices
- Cost savings and rate stability
- Optimized planning for future capital improvements and updates
DETAILS
- Population Served: 180,000 residents
- Type of Facility: Two wastewater treatment plants
- Flow: 20.8 million gallons per day (plant 1); 10 million gallons per day (plant 2)
- Other: 107 miles of combined sewers, 11 pump stations
Testimonial
SUEZ: The Springfield Water and Sewer Commission, Massachusetts
SUEZ has a 20-year contract to operate wastewater treatment facilities for the city of Springfield, MA under the direction of the Springfield Water & Sewer Commission. SUEZ provides operations, maintenance and management of the second largest wastewater treatment plant in Massachusetts and the third largest in New England.
Through this partnership, SUEZ has helped the Springfield facility significantly reduce its energy consumption and greenhouse gas emissions since 2000. Upgrades at the plant resulted in $500,000 in electrical power savings and a significant decrease in use of natural gas.
SUEZ has also implemented $14 million in capital improvements including the design, build and operation of a biosolids handling system,as well as a combined sewer overflow monitoring system.
This partnership has helped the Springfield facility be part of “The World is our Classroom” program organized by the Springfield Water & Sewer Commission. Every fifth grader and teacher in Springfield participates in this hands-on curriculum that explores science, math and engineering concepts at the Springfield Wastewater Treatment Facility
PRIVATE PARTNER RESPONSIBILITIES
- Operating, maintaining, and managing the wastewater treatment facilities
- Designing and constructing major capital projects
- Permitting for any new or upgraded facilities
- Regulatory compliance and reporting
- Developing and executing an asset management plan
- Recruiting and staffing
BENEFITS
- Cost savings•Energy reduction
- Reduction in greenhouse gas emissions
DETAILS
- Type of Facility: 3rd largest wastewater treatment facility in New England
- Population served: Approximately 275,000 residents
- Flow: 40 million gallons per day of wastewater treated; average design capacity of 67 million gallons per day and a peak flow of 180 million gallons per day
- Other: 24 combined sewer overflow regulator stations; 25 sanitary pump stations; 15 miles ofcombined sewer interceptor and force mains; 5 flood control pumping stations and related outfalls, and backwater gates
Testimonial
About NAWC: The National Associations of Water Companies (NAWC) represents regulated water and wastewater companies, as well as ones engaging in partnerships with municipal utilities. Partnerships with NAWC membercompanies can come in many forms. The benefit of a contract operations approach is that these agreements can be scaled and customized to meet a community’s unique water and wastewater needs – there is no one size fits all approach. NAWC members provide 73 million Americans with safe and reliable water service every day. Learn more about NAWC and the benefits of working with our members by visiting, www.nawc.org.