Member News

American Recognized by U.S. Conference of Mayors

American Water announced it has received the 2008 Excellence in Public-Private Partnership Award from the U.S. Conference of Mayors. This award honors the outstanding achievements made possible through the combined effort of cities and the members of the Mayors Business Council. American Water and the city of Buffalo were honored for the positive results of a public-private partnership and significant improvements to the city's water system.

The awards were presented in Washington, D.C., at the U.S. Conference of Mayors 76th Winter Meeting on Thursday, January 24, 2008 at the Excellence in Public/Private Partnership Awards Breakfast.

"American Water is truly honored to receive such a prestigious award from the U.S. Conference of Mayors," said Donald Correll, president and chief executive officer of American Water. "This successful partnership demonstrates the support and solutions that American Water can offer municipalities to best manage their systems and provide reliable water service to their customers."

After six years of working with American Water, the city of Buffalo recognized $21 million in savings through operational and financial improvements. The public-private partnership between the city of Buffalo and American Water has made significant improvements to the city's water system, including the complete automation of customer records, the design and construction of a brand new customer service center and a new computerized maintenance and management system.

City of Buffalo Mayor Byron W. Brown stated, "The city of Buffalo Water Board's public-private partnership continues to be a 'win-win-win' situation…The city wins by improving its water infrastructure and financial management. The city employees win by preserving valuable pensions and benefits. Most importantly, the taxpayer wins by getting clean, reliable water at a reasonable price and improved customer service."

Since 1997, American Water has managed, upgraded, operated and maintained the city's water system to provide: repair and maintenance of the distribution system; water treatment and pump station operation; residuals management; customer service; billing and collections; and the repair and installation of water meters. In the past decade, increased efficiency has occurred on both the managerial and operational levels of Buffalo's water services.

By implementing alternative payment delivery methods that offered more flexibility and choice, the city's previous collection rates of 80 percent have raised to 97 percent and revenues have exceeded 100 percent of service charges in three separate years. Also, from an operational standpoint, American Water provided expertise to implement regulatory standards, improve water quality, and measure technical performance. Since the formation of the public-private partnership, water turbidity has gone down by 77 percent. In addition, American Water reduced the average winter's 250-300 main breaks and associated labor costs by installing a data system to monitor and control pump stations and to manage excess pressure. Only 128 main breaks occurred in 2006, compared to 265 in 2005.

United Water and Jersey City Agree to 10-Year Water Contract

United Water announced that the company has been awarded a new contract to operate the City of Jersey City, New Jersey’s water system for the next 10 years. Under the terms of the agreement, United Water will manage the treatment plant, watershed, aqueduct, and distribution system and provide customer service, meter reading and billing services. The final contract terms have been submitted to the New Jersey Board of Public Utilities, the New Jersey Department of Environmental Protection and the New Jersey Local Finance Board for review and approval.

United Water, whose current contract ends January 31, 2008, has operated the Jersey City facilities through a public-private partnership since 1996. The Jersey City Municipal Utilities Authority (JCMUA) Board of Commissioners, led by Eileen Gaughan, chairperson, and Daniel F. Becht, Esq., executive director, selected the firm for the new contract period following a competitive proposal process. The new contract, which takes effect February 1, 2008, represents nearly $13 million in annual revenue for United Water.

“We’re honored that we have been selected to continue our partnership in Jersey City,” said Tony Harding, CEO of United Water. “The confidence that the JCMUA has placed in us demonstrates that United Water’s public-private partnership has delivered value to the community during the past 11 years. Our performance has increased revenues and reduced costs, which have contributed to stabilized rates. We have also helped the city by improving water system performance, water quality and service reliability.”

“Our partnership with United Water has been successful on many levels,” said Jersey City Mayor Jerramiah T. Healy. “By working together, we have made significant financial and environmental progress for our city. A safe and reliable water system serves as the springboard for economic growth. I am confident that during the next decade United Water Jersey City will continue to make improvements that will make Jersey City an even better place to live, work and do business.”

United Water’s decade of achievements in Jersey City included:

• Collected a record $78.4 million in annual billings in 2007 for the JCMUA, compared to $42 million collected in 1997 at the inception of the public-private partnership;
• Reduced major maintenance equipment repair costs by 500 percent from $2.7 million in 2000 to $500,000 in 2006;
• Improved meter reading from 60 percent to an average of 97 percent actual reads;
• Reduced aqueduct losses by more than two MGD due to operating efficiencies;
• Resolved Consent Order for treatment residuals disposal and achieved acceptable NJDEP treatment plant rating; and
• Achieved Safe Drinking Water Act compliance with the Lead and Copper Rule.

PA American Water Appoints Senior Directors

Pennsylvania American Water announced that Deborah (Debbie) Lippert has been named to the position of senior director, Field Operations, for western Pennsylvania and that Michael (Mike) Salvo has been named to the position of senior director Field Operations for eastern Pennsylvania.

Ms. Lippert will return to Pennsylvania American Water after serving in a regional management role with its parent company, American Water. In her new position, Lippert will direct the management and operation of the company's facilities and personnel in western Pennsylvania in the functional areas of distribution, collections and field customer service. Lippert's responsibilities will include overseeing the operations, maintenance and construction of the company's distribution (pipe) assets. She will be based in the company's McMurray office.

"After working closely with Debbie during 2007, I know that she will be a tremendous asset to our western Pennsylvania team. She brings a wealth of experience in all facets of water utility operations and understands what it takes not only to deliver high-quality water service, but also to maintain a focus on our customers' needs as part of every decision," said Pennsylvania American Water President Kathy L. Pape.

With more than 25 years experience in public utility industry, Lippert most recently served as regional director, external affairs, for American Water's southeast region, providing oversight in internal and external communications, corporate responsibility programs and legislative and regulatory affairs programs for 12 states. She began her career with Pennsylvania American Water as a customer service representative-coordinator and has held positions of increasing managerial and supervisory responsibility in the areas of operations and customer service.

Lippert is active in national water industry organizations, serving as an international director for the Pennsylvania section of the American Water Works Association (AWWA) and as a board member of the Pennsylvania chapter of the National Association of Water Companies. She has also earned the AWWA's prestigious George Warren Fuller Award for distinguished service to the water supply field.

Lippert is a graduate of Duquesne University, receiving a master's in pre-doctoral studies and a bachelor's in business administration.

Pennsylvania American Water announced that Michael (Mike) Salvo has been named to the position of senior director Field Operations for eastern Pennsylvania.

In his new position, Salvo will direct the management and operation of the company's facilities and personnel in eastern Pennsylvania in the functional areas of distribution, collections and field customer service. Salvo's responsibilities will include overseeing the operations, maintenance and construction of the company's distribution (pipe) assets. He will be based in the company's Mechanicsburg office.

"In my experience working with Mike, his depth of understanding of the technical aspects of water treatment and distribution is surpassed only by his dedication to our customers. Day or night, Mike will find a way to meet our customers' needs. His leadership and dedication to the water industry and Pennsylvania American will add greater strength to our management team," said Pape.

With more than 20 years experience in the water utility industry, Salvo began his career as an engineer with the Pittsburgh District of Western Pennsylvania Water Co., one of the corporate predecessors of Pennsylvania American Water. He has held positions of increasing managerial and supervisory responsibility, most recently serving as Manager Network for eastern Pennsylvania.

A resident of North Londonderry Township, Pa., Salvo is active in his church and his community, including coaching youth sports activities on the local and regional level. He holds a bachelor's in mechanical engineering technology from Pennsylvania State University and a master's in business administration from Lebanon Valley College.

American Water Canada Receives Award

American Water Canada, the non-regulated products and services division of American Water in Canada, announced it has received the Management Innovation Award from the Ontario Public Works Association (OPWA). This award recognizes an individual, team or organization for the development, management and implementation of a creative idea, device, process, or system that enhances the goal of public works in serving the public and protecting the environment. American Water Canada, the contracted operating authority, and the Elgin Area and Lake Huron Water Systems were honored for the unique implementation of a Drinking Water Quality Management Standard (DWQMS).

The DWQMS is an innovative system that focuses on continuous improvement of the quality of service and is aimed at reducing exposure to any associated hazards in the management and delivery of critical water supplies. The new delivery model not only allows for precise audits, improvements and strives to improve service levels, but recognizes the importance of the partnership between system owner, operating authority and the municipalities.

"The unique implementation of the Drinking Water Quality Management System for the Lake Huron and Elgin Area Water Supply Systems reflects the successful partnership approach adopted by American Water Canada and the joint Board's of Management," said Jeff McIntyre, vice president of American Water Canada. "I am delighted that the Ontario Public Works Association has recognized the benefits associated with this approach."

"We are extremely proud to receive such a prestigious award from the Ontario Public Works Association," said Andrew Henry, manager of Regional Water Supply for the Lake Huron and Elgin Area Water Systems. "This innovative management system was developed to integrate quality management into the operation of all municipal drinking water systems in Ontario and has clearly set a standard for excellence."

The awards will be presented at the OPWA's Annual Meeting and Conference on January, 31, 2008 in Mississauga, Ontario.