City of Toledo Department of Public Utilities Water Rate Presentation to the Toledo Regional Chamber of Commerce - April 2013

1. Water Rate Presentation
Water and Sewer Committee
Toledo Regional Chamber of Commerce
April 19, 2013

2. Deputy Mayor Steve Herwat

3. Commissioner of Water Treatment
David Leffler

4. Treatment Plant Additions
(Total $96,600,000)
Basin 7 – includes a 20 MGD Treatment Train including, Flocculation,
Sedimentation and Filtration Facilities - $53,400,000
Basin 8 – includes a 20 MGD Treatment Train including, Flocculation,
Sedimentation and Filtration Facilities - $43,200,000
Raw Water Intake Impr.
$1,775,000
Structural, Interior
and Exterior Improvements
Low Service PS Improvements
$20,633,000
Electrical Upgrades, Pump Rehab,
Piping Gallery Improvements
Equipment Replacements, Security
Chemical Feed System Impr.
$10,384,000
Carbon, Alum, Lime and Soda Ash
Flocculation/Sedimentation Basin Impr.
$14,321,000
Equipment Replacements and Structural
Improvements
Filter System Improvements
$37,695,000
Piping and Valve Replacements and
Rehabilitation, Pumping System Impr.,
Filter Wash Water Facility Impr., etc.
High Service PS Improvements
$12,172,000
Electrical Upgrades, Pump Rehab, Piping Gallery
Improvements, Equipment Replacements
Heatherdowns PS Impr.
$5,530,000
Electrical Upgrades, Pump
And Equipment Rehab,
Structural Improvements
Residuals Handling
$20,542,000
Press and Thickener Rehabilitation, Additional
Thickener Tank, Additional Press and Bldg Expansion
Additional Facility Improvements
1. SCADA System Replacement $5,000,000
2. Power Supply Improvements $ 7,000,000
3. HVAC Improvements $1,869,000
4. Filter Plant Roof Replacements $15,000,000
5. Structural Repairs to Plant $2,638, 000
6. Administration Bldg Offices and Property
Acquisition $4,804,000
Toledo Division of Water Treatment - Improvement Costs
Total Cost - $263,963,000
Expenditures from 2013 through 2018 total $235,072,958
New Disinfection Facilities
$8,000,000
Chlorine and Chlorine Dioxide Generation and
Feed Equip., Masonry Building

5. Commissioner of Engineering Services
Robin Whitney

6. •Introductions
•Overview
Toledo Water Distribution Study
Toledo Water Service Area

7. 2012 Water Distribution Study
• Completed by Outside Engineering Firm
• Computer Model of All Pipes
• Serves Demands Through 2035
• Provides Redundancy

8. City of Toledo Water Distribution System
1,190 miles of pipe
• 4” to 96” Pipes
• Dating to 1870
• 58% of System is 6”
Cast Iron
---Small diameter pipe is
Ductile Iron since 1960s
---Large diameter pipe is
Steel and Concrete Cylinder

9. Water Distribution System Challenges
Aging – over 50% pre-1930

10. Water Distribution System Challenges
Main Breaks - More than 300 on average per year

11. Water Distribution System Challenges
4” Mains, 6 miles, 1874-1954

12. Water Distribution System Challenges
Dead End Mains – water quality, pressure, redundancy issues

13. Water Distribution System Challenges
Steel Mains – corrosion, lower useful life

14. 0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
Percent
Decade
Age and Break Distribution
Main Breaks
% of System

15. Main Replacement Criteria
• Break History
• Flow/Pressure Problems
• 4” Serving Hydrant
• Scheduled Road Construction
• Cost of Replacement/Cost of Repair
• Year of Construction – Baby Boomer Era
• Criticality
• Other (diameter, corrosion, material,
geographic zone, age)

16. Current Main Replacement Program
• $2.5 million per year
• Prioritized replacement criteria
• Approx. 3.1 miles per year (1100 total miles)
• 0.27% of the system
• 366 year average replacement cycle
• Also replacing large steel mains - $1.5 million
every other year

17. Current Loop Closure Program
• Separate program to loop dead end mains
• $200,000 per year
• Improves
– Water quality
– Fire flow capacity
– Redundancy

18. Goals of Proposed Program
• Replace at least 1% of system per year. (Based
on 100 years expected life)
• Replace all 4” mains serving hydrants within
10 years.
• Close all significant dead end mains within 10
years.

19. Current
Main Replacement Program
• $2.5 million per year
• 0.27% of system per year
• 366 year average cycle
• Approx. 3.1 miles per year
Proposed
Main Replacement Program
• $10 million per year
• 1.1% of system per year
• 91 year average cycle
• Approx. 12.4 miles per year

20. Current
Loop Closure Program
$200,000 per year
Steel Main Replacement
$1.5 million every other year
Proposed
Loop Closure Program
$500,000 per year
Steel Main Replacement
$1.5 million every other year

21. Current
Dead End Mains
Minimal Program
4” Mains
Minimal Program
Proposed
Dead End Mains
Close all significant dead end mains within 10 years
4” Mains
Replace all 4” mains serving hydrants within 10 years

22. Department of Public Utilities Director
David Welch

23. Five-Year Water Rate Program
2014-2018
In 2018…
34.2 cents more daily for typical customers
8.6 cents more daily for Homestead customers

24. 2012 Water Rate Comparison
2012 Rates
City 1,000 cu. ft.
per month
Akron, OH $25.15
Ann Arbor, MI $20.56
Canton, OH $17.94
Cincinnati, OH $25.63
Cleveland, OH $32.60
Columbus, OH $33.35
Detroit, MI $25.12
Fort Wayne, IN $22.20
Average of Above Cities $25.32
TOLEDO, OH $13.33
TOLEDO, OH (2018 rate as proposed) $24.93
US Median $29.85
Midwest Median $25.68

25. Water Rate Increase Supports
 Comprehensive plan to address needed improvements
in water treatment plant and distribution system
 $314 million total cost of all projects
 Rate increase leverages bond funding

26. Deputy Mayor Steve Herwat

27. Deputy Mayor Steve Herwat

30. Five-Year Water Rate Program
2014-2018
In 2018…
34.2 cents more daily for typical customers
8.6 cents more daily for Homestead customers