Fitch IBCA Affirms El Paso Water, Sewer Revs At `AA'.NEW YORK--(BUSINESS WIRE)--Nov. 24, 1999-- Fitch IBCA IBCA International Braille Chess Association IBCA Institute of Burial and Cremation Administration IBCA Integrated Business Communications Alliance IBCA International Barbeque Cookers Association IBCA Department of Interior Board of Contract Appeals affirms its underlying `AA' rating, with a stable outlook, on El Paso El Paso (ĕl pă`sō), city (1990 pop. 515,342), seat of El Paso co., extreme W Tex., on the Rio Grande opposite Juárez, Mex.; inc. 1873. , TX's $155,337,000 million outstanding water and sewer revenue bonds. The rating affirmation is based on the El Paso Water Utilities' (EPWU EPWU El Paso Water Utilities (Texas) ) proactive water conservation planning, its regulatory-compliant water and sewer system Noun 1. sewer system - facility consisting of a system of sewers for carrying off liquid and solid sewage sewage system, sewage works facility, installation - a building or place that provides a particular service or is used for a particular industry; "the , and its strong financial management. Located in an arid climate, EPWU's primary credit concern is its long-term groundwater supply. Although the city has strong water conservation planning, El Paso shares its groundwater supply, the Hueco Bolson bol·son n. Chiefly Southwestern U.S. A flat arid valley surrounded by mountains and draining into a shallow central lake. [American Spanish bolsón, augmentative of Spanish bolsa, aquifer, with Cuidad Juarez, a city of 1.5 million just across the Rio Grande Rio Grande, city, Brazil Rio Grande (rē`  grän`dĭ), city (1991 pop. . Juarez is reliant on the aquifer for 100% of its water supply. El Paso currently obtains approximately 40% of its total water supply from Hueco Bolson, 15% from the Mesilla Bolson aquifer, and 45% from surface water, primarily the Rio Grande river. The city seeks to insure an adequate long-term water supply in EPWU's 10-year capital plan. El Paso currently consumes approximately 110 MGD mgd abbr. million gallons per day (million gallons daily), roughly 44 MGD of which come from the Hueco Bolson. EPWU's current water capacity is 230 MGD. EPWU's Sustainable Water Project will increase the city's water supply by 100 MGD, to 330 MGD in 2005, with the introduction of a new surface water treatment plant and a capacity upgrade of an existing water treatment plant. This increased groundwater capacity compensates for El Paso's demand on groundwater aquifers and improves its drought contingency supply, essentially eliminating supply risk from the Hueco Bolson. The 2000- 2010 year capital plan is approximately $750 million, with $540 for capital water projects and $200 million for capital wastewater and reclaimed water Reclaimed water, sometimes called recycled water, is former wastewater (sewage) that has been treated and purified for reuse, rather than discharged into a body of water. projects. Also included in the 2000-2010 capital plan are acquisitions of water rights land and long-term water rights leases, rehabilitation and expansion of the reclaimed water distribution system, rehabilitation of existing water distribution lines, rehabilitation of existing reservoirs, new wastewater interceptors, and expansion of a primary wastewater treatment plant Wastewater treatment plant also called wastewater treatment works
EPWU's water resource management plan is helping lower water consumption, as El Paso water usage has declined 18% to 164 gallons per person per day (gpcd) in 1999, down from 200 gpcd in 1989. The city's goal is 160 gpcd in 2000, and is proactively setting rates to encourage water conservation, as well as distributing 200,000 low-volume shower heads throughout the city this year. Ordinances require new industries to recycle water. El Paso's water and wastewater facilities have adequate capacity and are fully compliant with state and federal regulations. In addition, the city's primary water reclamation plant is one of the most advanced wastewater treatment plants in the nation, which produces 7.5MGD of quality drinking water drinking water supply of water available to animals for drinking supplied via nipples, in troughs, dams, ponds and larger natural water sources; an insufficient supply leads to dehydration; it can be the source of infection, e.g. leptospirosis, salmonellosis, or of poisoning, e.g. from wastewater that is recharged into the Hueco Bolson aquifer. The city has among the lowest residential water and wastewater rates in the USA and are expected to rise 15%- 20% this year, and between 70%-100% gradually over the next 10 years. The El Paso Public Service Board is responsible for rate adjustments, and has raised rates every other year in the 1990s in order to meet its needs. EPWU's operating results have been consistently solid. Total operating revenues have grown at an average of 6.9% annually since fiscal year 1996, with total operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. averaging 3.9% in the same period. Net revenues available for debt service has grown an average 12% per year in fiscal years 1997-fiscal year 1999, allowing debt service coverage of 2.36 times (x), 2.43x and 2.94x, respectively. Coverage is expected to average 2.06x between 2000-2010. In addition, EPWU's liquidity has been strong in the past three fiscal years, with net working capital averaging $7.3 million since fiscal year 1997. |
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