Feb 08, 2024 Austin Water Oversight Committee

[00:00:06]

I'LL GO AHEAD.

[CALL TO ORDER]

I'LL GO AHEAD AND CALL THIS MEETING TO ORDER.

UH, IT'S THURSDAY, FEBRUARY 8TH, 2020 4, 1 30.

WE ARE ON WEST SECOND STREET IN CHAMBERS.

I SEE THAT COUNCIL MEMBER ALLISON ALTER HAS SIGNED IN REMOTELY.

I UNDERSTAND MAYOR WATSON WILL JOIN US REMOTELY AS WELL.

UM, UH, I'M NOT SURE IF COUNCIL MEMBER RYAN ALTER WILL BE JOINING US TODAY, BUT IF HE DOES, WE WILL SEE HIM.

WE DO NOT HAVE ANY SPEAKERS.

IS THAT CORRECT? GREAT.

ALL RIGHT.

WE ARE CALLED TO ORDER NO PUBLIC COMMUNICATION.

[1. Approve the minutes of the November 28, 2023, special called meeting of the Austin Water Oversight Committee.]

THANK YOU COUNCIL MEMBER FOR THAT MOTION.

I WILL SECOND, UH, DO YOU HAVE ANY CHANGES OR CORRECTIONS TO MAKE TO THOSE MINUTES? THANK YOU SO MUCH.

THOSE MINUTES ARE APPROVED WITH NO OBJECTIONS.

WE'LL MOVE RIGHT ON

[2. Director’s Report on innovations, events and awards, and upcoming recommendations for Council action.]

AND, UH, THE RECORD CAN NOTE THAT COUNCIL MEMBER RYAN ALTER HAS JOINED US NOW.

GOOD TO SEE YOU.

COUNCIL MEMBER.

HELLO, DIRECTOR.

GOOD AFTERNOON.

I'D LIKE TO PROVIDE YOU SOME UPDATES ON ACTIVITIES AT AUSTIN WATER BEYOND THE SPECIFIC ITEMS THAT WE'LL BE DISCUSSING ON THE AGENDA TODAY.

UM, FIRST I WANNA RECOGNIZE THE EFFORTS OF AUSTIN WATER STAFF TO PREPARE FOR WINTER WEATHER AND RESPOND TO THE FREEZE EVENT LAST MONTH.

UM, I'VE HEARD PEOPLE SAY THAT THIS EVENT WAS LESS SEVERE THAN PAST EVENTS BECAUSE THERE WASN'T SIGNIFICANT PRECIPITATION, BUT I ASSURE YOU THAT THREE DAYS BELOW FREEZING IS A SIGNIFICANT TEST OF OUR READINESS.

UH, OUR TEAMS AND FACILITIES WERE READY AND PERFORMED VERY WELL THROUGHOUT THE EVENT.

WE PREPARED OUR PLANTS, STAGED GENERATORS FOR OUR LIFT AND PUMP STATIONS, PUT CREWS ON STANDBY AND STAGED VEHICLES.

OUR EMERGENCY MANAGEMENT TEAM MONITORED THE WEATHER AND MOVED INTO MORE ALERT OPERATIONAL CONDITIONS.

AS THE EVENT UNFOLDED, UH, WE STAYED IN CONSTANT COMMUNICATION WITH OTHER DEPARTMENTS AND CITY MANAGEMENT, AND PARTICIPATED IN CITY PRESS CONFERENCES WHERE WE STRESSED THE THINGS PEOPLE CAN DO IN THEIR OWN HOMES TO BE PREPARED.

AS EVERYTHING THAWED, WE ACTIVATED ADDITIONAL CREWS AND CONTRACTORS TO REPAIR PIPE BRAKES.

IN SHORT, THE SYSTEM WORKED AND I COULDN'T BE MORE PROUD OF HOW FAR WE'VE COME IN BEING PROACTIVE AND PREPARED FOR WINTER WEATHER.

LOOKING OUT TO THE HORIZON, WE CONTINUE TO MAKE PROGRESS ON OUR WORK IN EMPLOYEE RECRUITING AND RETENTION.

OUR CURRENT VACANCY RATE IS A LITTLE OVER 10%, AND WE ONLY HAVE ONE VACANCY OLDER THAN ONE YEAR.

AND OUR STAFF HAVE BEEN POSITIVELY IMPACTED BY THE CITY'S RECENT MARKET STUDIES.

UH, I KNOW YOU HAVE A PARTICULAR INTEREST IN THE WATER TREATMENT PLANTS.

WE CURRENTLY HAVE 19 VACANCIES OUT OF 100 WATER TREATMENT PLANT POSITIONS.

SO WHILE THAT'S BETTER THAN A YEAR AGO, UH, IT CONTINUES TO BE AN AREA OF FOCUS FOR US.

UM, I RECENTLY HAD AN UPDATE ON THE PLANT TRAINING PROGRAM THAT WE'RE DEVELOPING AND IMPLEMENTING, AND I'M PLEASED TO SEE THAT THE PROGRAM IS WELL RECEIVED BY STAFF, UH, WITH EVEN EXPERIENCED STAFF REQUESTING TO PARTICIPATE ON THE FINANCIAL SIDE.

WE ARE DEEP INTO BUDGET PLANNING FOR FISCAL YEAR 25, INCLUDING UPDATING OUR FIVE-YEAR CAPITAL PLAN.

WE HAVE ALSO KICKED OFF OUR COST OF SERVICE STUDY, WHICH INCLUDES A PUBLIC INVOLVEMENT COMMITTEE, AND WE HAVE REPRESENTATIVES FROM ALL AREAS OF OUR COMMUNITY ON THAT COMMITTEE.

AND WE VALUE THEIR ENGAGEMENT AND FEEDBACK AS WE WORK THROUGH THE PROCESS TO RECOMMEND RATE CHANGES FOR THE FISCAL YEAR 25 BUDGET.

WE ALSO HAD A VERY SUCCESSFUL DEBT DEFE TRANSACTION LAST MONTH, WHICH WILL SAVE US $62 MILLION IN DEBT SERVICE OVER THE NEXT THREE YEARS.

COMING UP ON THE RADAR, WE HAVE SEVERAL IMPORTANT ITEMS COMING FOR COUNCIL APPROVAL LAST FALL.

WE REISSUED THE SOLICITATION FOR THE CONSTRUCTION MANAGER AT RISK FOR THE $900 MILLION EXPANSION AND IMPROVEMENTS PROJECT AT THE WALNUT CREEK WASTEWATER PLANT.

WE ARE CURRENTLY REVIEWING PROPOSALS AND EXPECT TO BRING OUR SELECTION TO COUNCIL IN MAY.

WE ARE WORKING THROUGH A FACILITY MASTER PLAN TO IDENTIFY OUR LONG-TERM NEEDS FOR PERSONNEL FACILITIES ACROSS OUR SYSTEM.

LIKE MANY UTILITIES, OUR PERSONNEL BUILDINGS ARE AGED AND REQUIRE ATTENTION, AND WE WANT TO BE THOUGHTFUL ABOUT WHERE WE INVEST FOR THE FUTURE PLANS INCLUDE A NEW NORTH SERVICE CENTER, A NEW SOUTH SERVICE CENTER, AND A NEW WATER OPERATIONS CONTROL CENTER.

WE ARE WORKING CLOSELY WITH THE CITY'S STRATEGIC FACILITY GOVERNANCE TEAM, AND LATER THIS MONTH, COUNCIL WILL CONSIDER APPROVAL OF THE CONTRACT FOR ARCHITECTURAL SERVICES TO REDESIGN OUR ADMINISTRATIVE BUILDING.

WE CONTINUE TO FOCUS ON RESILIENCY IN OUR TREATMENT PLANTS AND PUMP STATIONS, AND WE'LL, WE WILL BE

[00:05:01]

UH, WE APPRECIATE COUNCIL'S SUPPORT FOR THESE ITEMS, AND IF YOU HAVE ANY QUESTIONS OR CONCERNS, PLEASE LET US KNOW.

THANK YOU.

THANKS SO MUCH.

UM, I UNDERSTAND THE MAYOR IS TRYING TO JOIN US, AND SO IF THERE IS ANYONE WHO CAN OFFER SOME ADDITIONAL ASSISTANCE TO MAKE THAT HAPPEN, THAT WOULD BE REALLY GREAT.

UM, SO QUESTIONS? YES, COUNCIL MEMBER ALLISON AL ALTER.

GOOD AFTERNOON AND THANK YOU FOR THAT REPORT.

DIRECTOR OLSON.

UM, I WANTED TO DRILL DOWN INTO THE VACANCY RATES THAT YOU MENTIONED.

SO YOU SAID YOU HAD A CURRENT VACANCY RATE, UH, WIDE OF 10% AND 19 OUT OF A HUNDRED FOR THE WATER TREATMENT PLANT POSITIONS.

UM, AS YOU KNOW, UM, ONE OF THE AREAS OF PARTICULAR INTEREST IS ULRICH AND WHAT THE VACANCY RATE IS FOR THAT.

IT WAS STILL ABOVE 30% THE LAST TIME WE HAD A MEETING AND DISCUSSED THIS.

UM, SO WHAT IS THE VACANCY RATE FOR ULRICH AT THIS POINT? THE VACANCY RATE AT ULRICH TODAY IS SEVEN POSITIONS OUT OF 35, WHICH IS ABOUT 20%.

THANK YOU.

SO I'M, I'M PLEASED TO SEE THAT IMPROVEMENT.

THAT STILL SOUNDS LIKE A LOT, UM, FOR SUCH AN IMPORTANT PLANT.

UM, CAN YOU SPEAK, YOU KNOW, WE'RE GONNA GET TO THIS A LITTLE BIT IN THE NEXT ONE OF THE NEXT PRESENTATIONS, BUT I, IT LOOK LIKE SOME OF THOSE EFFORTS WERE KIND OF CLOSED OUT.

UM, AND I JUST WANNA UNDERSTAND WHAT WE'RE DOING, YOU KNOW, SPECIFICALLY FOR THE ALRICH, UM, VACANCIES.

UM, IF THOSE OTHER THINGS ARE SORT OF CLOSED OUT, I WOULD LIKE TO UNDERSTAND WHAT ELSE WE'RE TRYING TO IMPLEMENT.

WELL, WE'RE, WE ARE REALLY WORKING ON THE TRAINING PROGRAM THAT I SPOKE ABOUT, BECAUSE THAT'S AN IMPORTANT TOOL FOR RETENTION FOR US.

UM, AND WE ARE, UM, WE HAVE IMPLEMENTED THE, UM, COST OF, OR THE MARKET STUDIES, AND SO WE'VE SEEN A POSITIVE IMPACT ON OUR STAFF PAY AND WE'RE CONTINUING TO WORK ON, UH, KIND OF THE CAREER PROGRESSION, UM, WORK AND, AND SO SORT OF ALL OF THE, THERE'S NOT MAYBE ONE THING THAT WE'RE DOING, BUT WE'RE CONTINUING TO, YOU KNOW, ALL OF THAT WORK CONTINUES TO BE A WORK IN PROGRESS THAT WE'RE, THAT WE'RE FOCUSED ON.

UM, AND THE, UM, WE HAD HAD A COUPLE OF OPEN HOUSES WHERE WE, UH, PROVIDED, UM, OUR RECRUITING STAFF AT THE PLANT TO WELCOME FOLKS INTO THE PLANT, GIVE THEM A BRIEF TOUR, AND THEN HELP THEM APPLY ON THE SPOT.

AND THOSE WERE SUCCESSFUL FOR US.

SO WE'RE LOOKING AT SCHEDULING, UM, ADDITIONAL OPEN HOUSES LIKE THAT IN THE FUTURE AS WELL.

ARE THERE ANY, UM, YOU KNOW, RESOURCES YOU NEED FROM COUNCIL OR FROM OTHER DEPARTMENTS THAT WOULD FACILITATE, UH, CONTINUED REDUCTION IN THAT VACANCY RATE, PARTICULARLY AT THAT TREATMENT PLANT? I, I THINK THAT THE, THE THINGS THAT WE ARE DOING ARE HAVING AN EFFECT, AND I RECOGNIZE THAT IT MAY NOT BE AS FAST AS WE WOULD LIKE, BUT, UM, BUT I FEEL, UH, THAT WE ARE DEMONSTRATING THAT WE ARE ABLE TO BRING THAT VACANCY RATE DOWN AND THAT WE NEED TO CONTINUE TO FOCUS ON THESE STRATEGIES THAT ARE WORKING FOR US.

AND I DON'T THINK WE NEED ANY ADDITIONAL RESOURCES BEYOND WHAT WE'VE ALREADY ALLOCATED.

THANK YOU.

I WOULD ASK THAT, UM, YOU KNOW, TO THE EXTENT THAT YOU HAVE THE FINAL REPORT FOR THE AUDIT, UM, ON TODAY'S, OR IN TERMS OF THE QUARTERLY REPORT THAT YOU MAKE, THE VACANCY RATE FOR ALRICH, UH, PART OF YOUR, YOUR MANAGER'S REPORT OR DIRECTOR'S REPORT, UM, TO THIS COMMITTEE, PLEASE.

I WILL DO THAT.

THANK YOU.

THANK YOU.

ANY OTHER QUESTIONS? AND WE'RE CONTINUING TO WORK TO GET THE, UH, AND THERE IS THE MAYOR.

EXCELLENT MAYOR, WELCOME.

UM, THANKS.

SORRY TO BE LATE.

NO WORRIES.

THE LINK STUFF HAPPENS TO US ALL AT ONE TIME OR ANOTHER, SO YOU ARE NOW INOCULATED THAT.

GOOD.

, THAT'S WHAT I NEEDED.

THANK YOU.

NO DEAR.

NO DOUBT.

UM, DIRECTOR ROLSON, IS THAT IT FOR THE DIRECTOR'S REPORT? THAT CONCLUDES MY REPORT.

VERY GOOD.

UH, WE WILL MOVE

[3. Austin Water External Review: Final close-out report on implementation of recommendations.]

[00:10:03]

UM, BUT I WILL POINT OUT THAT WE HAVE, UH, QUITE THE COLLECTION OF AUSTIN WATER EXPERTS HERE IN THE ROOM WITH US TODAY.

SO, UM, WE WILL CALL ON THEM AS NEEDED.

UH, SO, UH, JUST ABOUT A YEAR AGO, UH, WE HAD OUR FEBRUARY AUSTIN WATER OVERSIGHT COMMITTEE MEETING, UM, OF 2023, AND THAT WAS OUR FIRST REPORT OUT ON THE EXTERNAL REVIEW.

UM, AND I'M VERY PLEASED TO BE ABLE TO, UM, PROVIDE AN UPDATE TODAY THAT DEMONSTRATES THAT ALL OF THE RECOMMENDATIONS THAT WE ACCEPTED, UH, ARE EITHER COMPLETED OR, OR, UH, OR WELL UNDERWAY.

I DO WANNA STRESS, AND I THINK COUNCIL MEMBER ALLISON ALTER'S COMMENTS REFLECT THIS, THAT, THAT NONE OF THIS IS, IS WORK THAT IS DONE AND GONE.

THIS IS ALL, UH, THIS IS WORK THAT GOES ON.

UM, IT'S PART OF WHAT WE DO EVERY DAY, UH, FROM NOW INTO FOREVER.

UH, AND SO I WANNA, I WANT TO JUST, UH, EXPRESS MY COMMITMENT AS DIRECTOR TO CONTINUING THE MOMENTUM ON THESE ITEMS THAT, THAT WE'LL BE DISCUSSING.

YOU KNOW, WE, WE CATEGORIZED THESE, UM, RECOMMENDATIONS INTO BUCKETS LIKE EMPLOYEE AND LEADERSHIP DEVELOPMENT, OPERATIONS AND ENGINEERING, PUBLIC INFORMATION, EMERGENCY MANAGEMENT, SOPS AND TRAINING.

THOSE ARE ALL KEY AREAS OF FOCUS AND PRIORITY FOR ME AS DIRECTOR.

SO WE WILL, WE WILL CONTINUE OUR WORK AND WE HAVE BRIEFINGS SCHEDULED FOR THIS COMMITTEE, UM, THAT WILL TOUCH ON THIS ONGOING WORK AS WE GO FORWARD.

SO, UH, WHEN WE LAST PROVIDED AN UPDATE TO YOU IN NOVEMBER, UH, WE HAD, UM, 33 RECOMMENDATIONS THAT WERE IMPLEMENTED, 14 UNDERWAY AND TWO THAT WERE PLANNED THAT WE HADN'T QUITE KICKED OFF YET.

UM, AND AS OF TODAY, UH, 41 RECOMMENDATIONS ARE IMPLEMENTED AND EIGHT ARE UNDERWAY.

SO JUST TO HIGHLIGHT SOME OF OUR RECENT, UM, NEWLY IMPLEMENTED RECOMMENDATIONS ON THE EMPLOYEE AND LEADERSHIP DEVELOPMENT, UM, THE RECOMMENDATION WAS TO CONTINUE TO ADVOCATE FOR INCREASED OPERATOR SALARIES.

AND, UM, AS YOU, AS YOU KNOW, A YEAR AGO WE IMPLEMENTED A TEMPORARY 10% RETENTION BONUS FOR ELIGIBLE STAFF THAT WAS INTENDED TO, UH, BRIDGE THE GAP BETWEEN WHERE WE WERE AT THAT TIME AND ALL OF THIS WORK THAT WE HAVE DONE OVER THE LAST YEAR RELATED TO COMPENSATION.

UM, AND SO THAT, THAT, UH, RETENTION BONUS WILL EXPIRE AT THE END OF THIS YEAR.

UM, WE HAVE WORKED WITH THE CITY'S HUMAN RESOURCES DEPARTMENT TO IMPLEMENT, UH, NUMEROUS RETENTION STRATEGIES, INCLUDING A RETENTION STIPEND FOR NEW STAFF, SAFETY INCENTIVE PAY, LICENSURE INCENTIVE PAY, UM, SOME REZONING ACTIVITIES, WHICH IS WHERE WE GO AND, AND LOOK AT FOLKS WHO HAVEN'T HAD A JOB CHANGE IN A WHILE.

SO THEY HAVEN'T HAD THEIR SALARY LOOKED AT IN A WHILE.

AND WE HAD A NUMBER OF FOLKS WITHIN AUSTIN WATER WHO WERE POSITIVELY IMPACTED BY THAT WORK.

UM, JOB DESCRIPTION CHANGES, AND THEN, UH, HRD COMPLETED THREE MARKET STUDIES IN IT, ENGINEERING AND THE CITYWIDE STUDY THAT POSITIVELY IMPACTED A LOT OF AUSTIN WATER STAFF AS WELL.

SO THIS, UM, THIS CONCLUDES ALL THE PENDING, UH, COMPENSATION ACTIVITIES.

BUT AGAIN, UM, YOU KNOW, THE, THE WORK OF MAKING SURE THAT OUR STAFF ARE FAIRLY COMPENSATED IS NEVER DONE, UM, IN OPERATIONS AND ENGINEERING.

UM, WE COMPLETED THE BACKWASH PERFORMANCE EVALUATION AND ESTABLISHED AN SOP FOR THAT WORK FOR ALL THREE WATER PLANTS.

UM, WE REVIEWED OUR CIP WITH OUR OPERATION STAFF TO MAKE SURE THAT THEY HAD AN OPPORTUNITY TO PARTICIPATE IN THAT PROCESS, UM, AND, AND THAT THEY KNOW HOW GOING FORWARD THEY CAN GET THEIR INPUT INTO THE CIP PROCESS.

UH, AND THEN, UM, ALONGSIDE THAT, WE DID SOME TRAINING FOR, UM, THE, WHAT THE CIP, HOW OUR CIP PROCESS WORKS WITH OPERATION STAFF.

UM, AND THEN ON EMERGENCY MANAGEMENT, WE HAVE IDENTIFIED SCENARIOS THAT COULD PRESENT WATER QUALITY AND TREATMENT ISSUES AND UPDATED OUR EMERGENCY RESPONSE PLAN.

UM, AND WE HAVE ADDITIONAL RESPONSE PLANS FOR WILDFIRE, PFAS AND OIL SPILLS THAT HAVE BEEN, THAT HAVE BEEN DRAFTED AND INCORPORATED ON THE SOPS AND TRAINING SIDE, WE'VE IMPLEMENTED FOCUSED TRAINING ON OPERATIONS FOR NEW STAFF.

I, I REFER TO THAT IN MY DIRECTOR'S REMARKS.

UM, AND, UH, AND WE WILL CONTINUE TO ROLL THAT OUT AND COMPLETE THE DEVELOPMENT OF THAT TRAINING OVER THIS COMING YEAR.

UM,

[00:15:01]

UM, THE, THE PIPELINE OPERATOR, MAGELLAN HAS A BIG RESPONSIBILITY FOR THAT.

AND SO WE'RE WORKING CLOSELY WITH THEM, AND THEY HAVE, THEY ARE, UM, UH, THEY HAVE COMPLETED THEIR UPDATES TO THAT PLAN AND WE'RE SATISFIED WITH THAT.

SO IN TERMS OF OUR REMAINING RECOMMENDATIONS THAT ARE UNDERWAY, UM, YOU KNOW, CERTAINLY AS IT RELATES TO RECRUITING, RETENTION AND TRAINING, WE WILL CONTINUE TO REPORT OUT ON THOSE TO YOU ALL.

UM, AND WE'LL CONTINUE, UH, TO REPORT OUT ON THE MY A TX WATER, WHICH IS THE ROLLOUT OF OUR, UM, UH, A MI PROGRAM.

UM, AND, UH, AND CERTAINLY ANY OTHER TOPICS AS NEEDED.

SO THAT, UH, THAT IS THE UPDATE FOR THE EXTERNAL REVIEW.

ANY QUESTIONS FOR OUR DIRECTOR? UH, COUNCIL MEMBER ALLISON ALTER.

THANK YOU, UM, DIRECTOR, I, I, YOU KNOW, I FIRST WANT TO THANK, UM, UT AND THE CENTER FOR WATER AND THE ENVIRONMENT FOR, UM, HELPING US TO CONDUCT THE AUDIT IN THE FIRST PLACE AND REALLY APPRECIATE THE WAY WHICH AUSTIN WATER HAS COLLABORATED, UM, AND WORKED HARD TO DEMONSTRATE IMPLEMENTATION AND MOVE THESE PIECES FORWARD.

THIS IS REALLY A KEY ASPECT OF HOW WE MAINTAIN OUR RESILIENCE, UM, AND ARE PREPARED, UM, FOR FUTURE ISSUES, UM, AND HOPEFULLY NOT DISASTERS.

UM, I DO HAVE A COUPLE QUESTIONS THAT I WANTED TO, UM, GO THROUGH.

SO ONE OF THE ISSUES THAT WE HAD, UM, HIGHLIGHTED IN THE AUDIT WAS THAT THERE WAS A PREVENTATIVE MAINTENANCE BACKLOG, UM, AND YOU IDENTIFIED, I THINK THAT THERE WERE CONTRACTS THAT YOU WERE EMERGENCY CONTRACTS OR THINGS THAT YOU HAD MOBILIZED TO BE ABLE TO ADDRESS THAT BACKLOG.

CAN YOU PROVIDE US A STATUS ON THE BACKLOG AS WELL, WHERE THAT IS AT? UH, I'LL HAVE TO GET YOU THE ACTUAL DATA ON THAT, BUT MY UNDERSTANDING IS THAT WE, UM, ARE ADDRESSING OUR BACKLOG OF PREVENTATIVE MAINTENANCE.

OH, OKAY.

UM, MY UNDERSTANDING IS THAT WE'VE ADDRESSED OUR BACKLOG OF PREVENTATIVE MAINTENANCE.

OKAY.

UM, IF YOU CAN JUST DOUBLE CHECK THAT AND IF IT'S DIFFERENT THAN THAT, IF YOU CAN LET ME KNOW.

THAT'S GREAT.

THAT'S WHAT I WANTED TO MAKE SURE.

UM, SO THAT'S THE ANSWER I'D PREFER, BUT I JUST WANNA CHECK THERE'S A DIFFERENCE BETWEEN HAVING CONTRACTS FOR IT AND ACTUALLY HAVING ADDRESSED IT, I'LL, UM, THANK, THANK YOU.

UM, SO YOU NOTED THAT THERE WAS A PENDING EXPIRATION OF THEIR RETENTION BONUSES FOR THE 10%.

UM, OBVIOUSLY THAT IS GONNA CREATE SOME UNCERTAINTY AND ANGST AMONG OUR STAFF.

UM, CAN YOU SPEAK AT ALL TO THE PLANS FOR THE FISCAL YEAR 25 BUDGET OR HOW YOU'RE THINKING ABOUT THAT AND WORKING WITH THE CITY MANAGER TO MOVE US FORWARD THERE? UM, I THINK THAT IT WILL, I'LL NEED TO CIRCLE BACK WITH YOU ON THAT BECAUSE WE ARE IN THE VERY PRELIMINARY STAGES OF WORKING THROUGH BUDGET DISCUSSIONS WITH THE CITY MANAGER'S OFFICE.

AND SO I THINK IT'S, IT'S A LITTLE, UM, EARLY FOR ME TO TALK ABOUT HOW THAT WILL, WILL, UM, UNFOLD.

BUT OUR LAST COMMUNICATION WITH STAFF WHEN WE EXTENDED THE 10%, UM, BONUS INDICATED THAT IT WOULD GO THROUGH FISCAL YEAR 24.

SO, UM, THAT'S WHERE WE STAND FOR RIGHT NOW.

AND, UM, AS WE, UH, CONTINUE TO IMPLEMENT THE COMP, YOU KNOW, THE MARKET STUDIES THAT, THAT HRD HAS DONE, UM, WE CONTINUE TO COMMUNICATE WITH STAFF ABOUT THAT.

THANK YOU.

I'LL JUST EXPRESS FOR WHATEVER IT'S WORTH THAT I REALLY HOPE THAT WE CAN, UM, CONTINUE TO RE ELIMINATE OUR STAFF APPROPRIATELY, UM, FOR THE WORK THAT THEY'RE DOING.

IT'S VERY CRITICAL, OBVIOUSLY, FOR, FOR OUR WATER SYSTEM, ET CETERA THERE.

UM, CAN YOU PLEASE, UM, IN YOUR DIRECTOR'S REPORT AT THE APPROPRIATE TIME REPORT TO AOC ABOUT THE PARTNERSHIP FOR SAFE WATER SELF-ASSESSMENT, UM, AND PARTICULARLY ELRICH, BUT ALSO THE OTHER PLANTS, YOU KNOW, AS THAT PROCESS MOVES FORWARD, I THINK THAT'S SOMETHING THAT THIS COMMITTEE REALLY NEEDS TO BE APPRISED OF AT THE APPROPRIATE TIME.

THANK YOU.

YES, I AGREE.

WE INTEND TO PROVIDE YOU A BRIEFING SPECIFICALLY ON THE PARTNERSHIP FOR SAFE WATER.

THANK YOU.

AND THEN IN THE BACKUP, YOU MENTIONED A NEW OPERATIONS AND MAINTENANCE POSITION THAT WAS GONNA HELP WITH CROSS TRAINING.

IS THAT POSITION FILLED OR, OR JUST OUT FOR

[00:20:01]

OKAY.

IF YOU COULD LET ME KNOW, THAT WOULD BE GREAT.

AND THEN FOR THE DISCUSSION ON THE INTERMITTENT VERSUS THE CONTINUOUS POLYMER FEED, I BELIEVE THERE WAS A MEMO ON IT, BUT I DON'T REMEMBER WHAT THE ANSWER WAS.

CAN YOU REMIND US WHERE WE LANDED ON THAT? YES, THE, UH, WE DID AN EVALUATION, UM, FOR, FOR THE, UM, EVERYONE ON THE COMMITTEE.

THE WE FEED POLYMER IN ORDER TO HELP OUR PLANTS BETTER ADDRESS HIGH TURBIDITY EVENTS LIKE WHAT WE EXPERIENCED IN THE FLOODS OF 2018 AND OUR PRACTICES TO FEED IT ALL THE TIME IN ORDER TO KEEP OUR, UM, STAFF, UH, YOU KNOW, TO KEEP THE SYSTEMS AND THE STAFF PREPPED AND READY TO, YOU KNOW, REALLY RAMP IT UP WHEN WE NEED IT.

AND, UM, WE LOOKED AT THE PROS AND CONS OF, UH, INTERMITTENT USE VERSUS CONTINUOUS USE, AND THE RECOMMENDATION WAS TO MAINTAIN CONTINUOUS USE.

GREAT.

THANK YOU.

THAT'S WHAT I, THAT'S WHAT I THOUGHT.

UM, AND THEN THERE WAS A KEY PART THAT HAS BEEN PUT INTO WATER FORWARD, WHICH IS SORT OF SOME OF THESE WATER QUALITY SCENARIOS.

UM, CAN YOU SPEAK A LITTLE BIT TO HOW THOSE WILL BE INCORPORATED INTO WATER FORWARD? AND I ALSO WANTED TO JUST, UM, ASK HOW YOU'RE PLANNING TO ENGAGE WITH THE COMMUNITY WILDFIRE PREPAREDNESS PLAN PROCESS THAT'S ABOUT TO LAUNCH.

SURE.

I'M GONNA, I'M GONNA PHONE A FRIEND ON, ON, UH, BOTH OF THOSE ITEMS. SO MARISA FLORES GONZALEZ, WHO IS OUR, UH, WATER RESOURCES TEAM LEAD WILL, CAN ADDRESS HOW WE WILL, UM, INCORPORATE THE WATER QUALITY ISSUES INTO WATER FORWARD.

THANK YOU.

SO, UH, THERE ARE A COUPLE OF, UM, RELATED EXTERNAL REVIEW RECOMMENDATIONS.

ONE OF THEM IS LOOKING AT, UM, EXTREME EVENTS AND THE OCCURRENCE OF THOSE EXTREME EVENTS IN THE FUTURE, AS WELL AS, UM, POTENTIAL IMPLICATIONS ON, UH, WATER QUALITY, UM, TO ADDRESS THAT.

WE'RE BOTH WORKING WITH UT TO, UH, BETTER OUTLINE THE FREQUENCY OF PROBABILITY AND OCCURRENCE OF FUTURE EXTREME EVENTS.

AND WE'LL ALSO BE DOING KREMS WATER QUALITY MODELING, UH, TO LOOK AT IMPACTS ON THE BASIN, UH, OF POTENTIAL FUTURE SCENARIOS OF, UH, CLIMATE, AS WELL AS OTHER SCENARIOS THAT COULD IMPACT OUR SOURCE WATER QUALITY.

UM, TO ADDRESS THAT, WE'LL BE LOOKING AT A VARIETY OF STRATEGIES.

IN ADDITION, UH, TO THAT WE'LL BE, UM, INCLUDING BEST MANAGEMENT PRACTICES RELATED TO LAND CONSERVATION, UM, AS A PART OF THE WATER FORWARD PLAN UPDATE, THERE ARE OTHER RELATED ACTIVITIES, UM, THAT ARE COVERED OUTSIDE OF WATER FORWARD THAT WILL ALSO BE ADDRESSING POTENTIAL FUTURE WATER QUALITY IMPACTS.

THANK YOU.

THAT WAS REALLY IMPORTANT FOR A LOT OF THE WATER ADVOCATES TO REALLY UNDERSTAND THAT WE WERE GOING TO BE, UM, PROBING THOSE WATER QUALITY ASPECTS FROM THOSE EXTREME EVENTS.

SO THANK YOU FOR THE CLARIFICATION.

ANY OTHER QUESTIONS? I, I THINK WE HAVE A SECOND PART OF THE QUESTION ON, UM, I SEE ANNA STANDING UP, COUNCIL MEMBER ALTER, WOULD YOU RE UM, RESTATE YOUR QUESTION? SURE.

SO THERE'S A COMMUNITY WILDFIRE PREPAREDNESS PLAN, SORT OF THE NEXT UPDATE OF THAT THAT'S LAUNCHING THIS YEAR.

UM, AND I WAS WONDERING ABOUT HOW YOU'RE PLANNING TO ENGAGE, AND IF YOU DON'T HAVE THAT ANSWER, I CAN JUST SAY THAT I WOULD LIKE YOU TO ENGAGE.

IT'S, IT HASN'T FULLY LAUNCHED YET, SO YOU MAY NOT KNOW TOO MUCH DEEPLY ABOUT IT, BUT I THINK IT'S REALLY IMPORTANT THAT AUSTIN WATER IS ENGAGED IN THOSE CONVERSATIONS BETWEEN THE WATER QUALITY LANDS AND YOUR TREATMENT PLANTS BEING IN THE .

YES.

UH, THANK YOU COUNCIL MEMBER ALTER FOR THAT QUESTION.

I AM ANA BRIAN BOHA, ASSISTANT DIRECTOR OF BUSINESS SERVICES AT AUSTIN WATER.

THERE ARE REALLY TWO COMPONENTS TO WILDFIRE PREPAREDNESS FOR AUSTIN WATER.

OUR EMERGENCY MANAGEMENT TEAM COORDINATES PLANNING, TRAINING AND PREPARATION ACTIVITIES ACROSS THE UTILITY.

AND VERY IMPORTANTLY, OUR WILDLANDS DIVISION MANAGES LANDS, UH, AND DOES SPECIFIC WORK TO PREPARE FOR WILDLANDS, UH, FOR WILDFIRES THAT COULD OCCUR ON OUR PROPERTY.

SO I WILL ALERT BOTH OF THOSE TEAMS TO THE ASSESSMENT THAT YOU HAVE MENTIONED AND MAKE SURE THAT WE ARE CONNECTED APPROPRIATELY WITH THAT WORK.

THANK YOU.

IT'S ABOUT TO LAUNCH, IT HASN'T FULLY LAUNCHED YET, SO YOU'RE MY BEST GUESS IS, MY BEST GUESS IS THEY'RE ALREADY ON TOP OF IT, BUT I'LL MAKE SURE THAT THEY KNOW ABOUT IT.

GREAT.

THANK YOU SO MUCH.

AND I REALLY DO WANNA JUST UNDERSCORE THAT I APPRECIATE THE SERIOUSNESS WITH WHICH AUSTIN WATER HAS TAKEN THE AUDIT AND IMPLEMENTING, UM, ALL OF THE DIFFERENT PIECES HERE AND HOPE WE CAN CONTINUE, UM, TO MAKE THESE INVESTMENTS TO ENSURE OUR WATER QUALITY AND AVAILABILITY.

THANK YOU.

THANK YOU.

ANY OTHER QUESTIONS?

[00:25:01]

THANK YOU, DIRECTOR ROLSON, ANYTHING ELSE ON ITEM THREE? ALRIGHT, WELL, WE WILL MOVE ON TO ITEM

[4. Water Forward updates.]

AND I'M REALLY EXCITED TO INTRODUCE THIS PRESENTATION.

UM, ITEM FOUR IS A CRUCIAL ELEMENT IN THE WATER FORWARD PLAN AS OUR CITY PREPARES TO KEEP PACE WITH GROWTH, DROUGHT, AND CLIMATE CHANGE.

THE COUNCIL AND AUSTIN WATER UTILITY HAVE BEEN WORKING ON THESE POLICIES AND PROGRAMS FOR A LONG TIME.

AND TODAY, AUSTIN WATER WILL BE BRIEFING US ON THEIR RECOMMENDATIONS FOR THE CITY'S RECLAIMED WATER INFRASTRUCTURE AND POSSIBLE FUNDING STRATEGIES.

AND BEFORE YOU START, I THINK THE MAYOR HAD A COUPLE OF COMMENTS HE WANTED TO, UM, MAKE A FEW.

CAN YOU PULL UP THERE? THERE WE GO.

NOW WE CAN SEE THE MAYOR ON THE SCREEN.

MAYOR, DID YOU HAVE SOME THINGS YOU WANTED TO SAY? JUST, JUST VERY, VERY BRIEFLY, WHAT I WOULD LIKE TO SAY IS THAT, UM, ALONG THE LINES OF WHAT YOU JUST SAID, I THINK THAT THIS, HOW WE IMPLEMENT WATER FORWARD WILL BE DEFINITIVE ABOUT HOW WE ADDRESS CLIMATE AND HOW WE ADDRESS THE FUTURE OF THIS CITY WHEN IT COMES TO WATER.

AND THE PRESENTATION THAT WE'RE GETTING READY TO LOOK AT IS EXCITING TO ME BECAUSE IT BUILDS ON SO MUCH THAT THIS CITY HAS DONE WITH REGARD TO WATER, UH, ESPECIALLY OVER THE LAST 25 YEARS, WHICH IS WHAT I'M MOST FAMILIAR WITH IN TERMS OF WHAT WE'VE DONE.

AND, YOU KNOW, I'M, I'M GONNA SAY IT THIS WAY, OFTEN AUSTIN IS KIND OF ON THE CUTTING EDGE OF DIFFERENT THINGS.

I REMEMBER WHEN WE FIRST CREATED THE GREEN ENERGY PROGRAM, UH, BACK IN THE LATE NINETIES, EARLY TWO THOUSANDS, UH, WE WERE ON THE CUTTING EDGE.

AND IT HAS LED US TO BE, IT IS CAUSED US TO BE LEADERS ON A NATIONAL LEVEL WHEN IT COMES TO GREEN ENERGY.

I THINK WHAT YOU'RE GOING TO SEE WITH THE, THE PURPLE CHOICE, UH, PURPLE PIPE, PURPLE WATER, WHATEVER WE'RE GOING TO CALL THIS, UM, UH, BUT, BUT THAT IS GOING TO ALSO PUT US IN A LEADERSHIP POSITION.

AND SOMETIMES WE END UP ALMOST TAKING FOR GRANTED HOW WELL WE'RE DOING AND, AND HOW WE'RE BUILDING ON THOSE KINDS OF THINGS.

AND I THINK WE JUST NEED TO PAUSE AND SAY, UM, AS WE GET READY TO HEAR THIS, AND AFTER WE HEAR IT, UH, TO OUR DIRECTOR AND TO THE AUSTIN WATER STAFF, THANK YOU FOR KEEPING US ON THE CUTTING EDGE.

UM, THIS IMPLEMENTATION IS GOING TO BE PARAMOUNT, AND I'M REAL PLEASED TO, UM, BE PART OF WHAT WE'RE REALLY ADDRESSING, ONE OF THE BIGGEST CLIMATE ISSUES OF OUR TIME AND, AND PUTTING AUSTIN ON THE FOREFRONT.

SO THANK YOU FOR LETTING ME SAY A FEW WORDS ABOUT THIS, BUT MORE IMPORTANTLY, THANK YOU TO, UH, AUSTIN WATER FOR WHAT THEY'RE DOING.

THANK YOU, MAYOR AND I, I JOIN YOU IN THAT EXCITEMENT AND I, I LIKE WHAT'S ON THE MAIN SCREEN HERE WITH WATER FORWARD RE STRATEGIES, ONE CITY, ONE WATER, A PLAN FOR THE NEXT HUNDRED YEARS.

UM, DIRECTOR ROLSON, WE HAND IT OFF TO YOU.

THANK YOU.

I I SHARE YOUR ENTHUSIASM AND EXCITEMENT ABOUT THIS, THIS TOPIC TODAY.

UM, AND, AND ALSO YOUR KUDOS FOR AUSTIN WATER STAFF.

THERE.

THERE ARE NOT VERY MANY WATER UTILITIES THAT HAVE A HUNDRED YEAR PLAN.

AND SO WE'RE, WE'RE VERY PROUD OF THAT.

AND IT'S SOMETHING THAT WE WORK ON EVERY DAY.

WHAT ARE THE THINGS THAT WE CAN DO RIGHT NOW TO BETTER POSITION US FOR A HUNDRED YEARS FROM NOW? UM, AND SO WE'RE, WE'RE CONSTANTLY MAKING THE FUTURE, UM, POSSIBLE IN THE WORK THAT WE'RE DOING TODAY.

AND SO, UM, UH, WITH THAT, I'LL JUST, I'LL GET RIGHT INTO IT.

SO WE'LL START WITH, UM, A BRIEF OVERVIEW JUST TO, UM, MAKE SURE WE'RE ALL JUMPING OFF FROM THE SAME POINT ON, ON WATER FORWARD ON THE WORK THAT WE HAVE DONE UP UNTIL NOW.

AND THEN HOW WE'RE LOOKING FORWARD.

UM, WE'LL FOCUS TODAY ON OUR REUSE STRATEGIES AND THE IMPORTANCE OF RECLAIMED WATER TO OUR A HUNDRED YEAR PLAN.

UM, WE KNOW THE COMMUNITY IS HAVING, UH, AND THE COUNCIL AND AUSTIN WATER AND ALL OF OUR PARTNERS BUSINESS PARTNERS ARE HAVING A LOT OF CONVERSATIONS AND CONCERNS AROUND AFFORDABILITY.

SO WE'RE GONNA TALK TODAY ABOUT SOME OF THE STEPS THAT WE PLAN TO TAKE TO HELP, UH, ADDRESS THE AFFORDABILITY CONCERNS SO THAT WE CAN SUCCESSFULLY IMPLEMENT THESE, UM, WATER STRATEGIES THAT WE NEED TO HAVE IN PLACE FOR CENTRAL TEXAS TO BE LIVABLE A HUNDRED YEARS FROM NOW.

AND THEN 2024 IS A BIG YEAR FOR, FOR AUSTIN WATER AND FOR ALL OF THESE, UM, EFFORTS.

AND SO WE'LL TALK A LITTLE BIT ABOUT THOSE KEY ACTIVITIES.

SO WATER FORWARD IS OUR 100 YEAR INTEGRATED

[00:30:01]

UM, IT WAS ADOPTED UNANIMOUSLY BY COUNCIL IN NOVEMBER OF 2018, AND WE HAVE BEEN MOVING FORWARD ON A DIVERSE SET OF WATER MANAGEMENT STRATEGIES, UM, THAT ADDRESS GROWTH, DROUGHT AND CLIMATE CHANGE FOR SUSTAINABLE, RESILIENT, EQUITABLE AND AFFORDABLE WATER FUTURE.

SO A BRIEF OVERVIEW OF AUSTIN'S WATER.

UM, THE COLORADO RIVER IS, UH, IT RUNS RIGHT THROUGH THE CENTER OF AUSTIN, AND IT IS THE HEART OF, OF BOTH OUR COMMUNITY AND OUR WATER SUPPLY.

UH, SO WE TAKE WATER FROM, UH, LAKES TRAVIS IN AUSTIN AND TREAT IT AT THREE WATER TREATMENT PLANTS.

WE DISTRIBUTE IT TO, UH, THROUGHOUT OUR SERVICE AREA TO OUR CUSTOMERS.

WE THEN COLLECT THEIR WASTEWATER, TREAT IT AT, UH, A NUMBER OF WASTEWATER PLANTS, BUT TWO LARGE REGIONAL PLANTS AND DISCHARGE IT BACK INTO THE COLORADO RIVER.

AND SO WHEN WE ARE TALKING ABOUT OUR CENTRALIZED RECLAIM SYSTEM, WE'RE TALKING ABOUT TAKING TREATED EFFLUENT, HIGHLY TREATED EFFLUENT FROM OUR WASTEWATER PLANTS, PUMPING IT BACK INTO A CENTRALIZED DISTRIBUTION SYSTEM SO THAT THAT WATER CAN BE USED FOR, UM, FIT FOR PURPOSE.

SO IT CAN BE USED FOR NON-DRINKING WATER NEEDS LIKE IRRIGATION, LIGHT COOLING TOWERS LIKE FLUSHING TOILETS.

UH, AND SO, UH, WE'LL TALK ABOUT THAT.

AND THEN WE'LL ALSO TALK ABOUT OUR DECENTRALIZED REUSE STRATEGIES.

SO WHEN WE TALK ABOUT THE IMPORTANCE OF RECLAIMED WATER, WE HAVE, UM, WE HAVE VERY SENIOR WATER RIGHTS TO THE WATER IN THE COLORADO RIVER RUN OF RUN OF RIVER RIGHTS.

WE ALSO HAVE CONTRACT WITH LCRA FOR STORED WATER, AND THAT GIVES US, UH, UP TO 325,000 ACRE FEET PER DAY, PER PER YEAR, EXCUSE ME.

UM, AND, UH, 25 YEARS AGO, AS THE, AS THE MAYOR ALLUDED TO, WE, UM, AS A CITY RECOGNIZED THE NEED TO SHORE UP OUR CONTRACTS WITH LCRA AND WE ENTERED INTO AN ADDITIONAL CONTRACT WITH THEM, WHICH WE PAID A HUNDRED MILLION DOLLARS FOR IN 1999.

UM, AND, AND THAT RESERVES ADDITIONAL WATER FOR US, AND WE WILL TRIGGER PAYMENTS, UH, ONCE OUR WATER USAGE REACHES 201,000 ACRE FEET PER YEAR, TWO YEARS IN A ROW.

NOW, WHEN WE SIGNED THAT CONTRACT, WE THOUGHT IT WOULD BE 2015 TO 2020 WHEN WE WOULD HIT THAT TRIGGER.

AND AS A TESTAMENT TO THE WORK OUR COMMUNITY HAS DONE THAT EACH OF US HAVE DONE IN OUR OWN HOMES TO REDUCE OUR WATER USE AND TO REALLY EMBRACE CONSERVATION, WE USED 175,000 ACRE FEET LAST YEAR.

SO, UM, ANYTHING THAT WE CAN DO TO, UH, TO CONSERVE WATER AND TO REUSE THE WATER WE ALREADY HAVE, NOT ONLY DOES THAT STRETCH OUR WATER SUPPLIES, BUT IT ALSO HAS A SIGNIFICANT FINANCIAL IMPACT FOR US IN AVOIDING THOSE, UM, THOSE PAYMENTS.

SO AS WE THINK ABOUT WATER FORWARD AND OUR GUIDING PRINCIPLES, WE UPDATE THIS ON A FIVE YEAR CYCLE.

UM, WE WILL BE BRINGING, UH, COUNCIL THE UPDATED PLAN FOR 24 LATER THIS YEAR.

UM, AND WE HAVE A NUMBER OF GUIDING PRINCIPLES THAT, UM, UH, THAT MAY LOOK FAMILIAR TO YOU.

THESE ARE, THESE ARE PRINCIPLES THAT WE SEE IN A LOT OF A LOT OF THE CITY PLANS.

SO WHEN WE TALK ABOUT ONE CITY, ONE WATER, WE ARE VERY WELL INTEGRATED WITH THE OTHER DEPARTMENTS AND ALL OF THE PLANNING WORK THAT AUSTIN IS DOING AROUND SUSTAINABILITY AND RESILIENCY.

AND YOU'LL ALSO SEE ON HERE, PROTECTING THE COLORADO RIVER, REDUCING OUR OPERATIONAL RISKS AND FOCUSING ON OUR LOCAL SUPPLIES.

UM, SO THOSE ARE KEY, KEY PRINCIPLES FOR US, UM, AS WE THINK ABOUT WHAT OUR BEST VALUE STRATEGIES ARE GOING FORWARD.

UM, AND AS I MENTIONED, WE'RE, WE'RE WELL INTEGRATED WITH, UM, WITH ALL OF THE WORK GOING ON ACROSS THE CITY AND, AND, UH, THE THREE LEGGED STOOL OF SUSTAINABILITY AND EQUITY, AFFORDABILITY AND RELIABILITY AND RESILIENCY.

SO WHAT WE'RE REALLY TALKING ABOUT WHEN WE TALK ABOUT WATER FORWARD AT SHORTHAND FOR PLANNING FOR UNCERTAINTY.

SO WE KNOW THAT WE HAVE TREMENDOUS POPULATION GROWTH HAPPENING IN CENTRAL TEXAS, AND WE KNOW WE HAVE CLIMATE CHANGE.

UM, THESE ARE HAPPENING RIGHT NOW ALL AROUND US.

UM, AND SO WHEN WE LOOK AT PLANNING FOR OUR WATER FUTURE, WHAT WE ARE LOOKING FOR IS WHAT ARE THE STRATEGIES THAT WE CAN IMPLEMENT TODAY THAT WORK FOR THE BROADEST SET OF POSSIBLE FUTURE OUTCOMES? UM, AND THEN WE REVISIT THAT ON A FIVE YEAR CYCLE, UH, REALLY ON A CONSTANT CYCLE.

BUT WE WILL REPUBLISH OUR RESULTS ON A FIVE YEAR CYCLE WHERE WE ARE LOOKING AT WHAT ARE THE STRATEGIES THAT BEST BRIDGE, UM, THESE POSSIBLE FUTURE OUTCOMES.

AND, YOU KNOW, JUST TO DRIVE HOME, UM, THE POINT THAT THIS IS HAPPENING NOW, UM, YOU CAN LOOK AT THE COMBINED STORAGE OF LAKES,

[00:35:01]

UM, THIS IS THE ENTIRE HISTORY OF THE LAKE SINCE THEY WERE BUILT.

UM, WE HEAR A LOT ABOUT THE DROUGHT OF THE FIFTIES.

THAT WAS THE DROUGHT OF RECORD FOR A REALLY LONG TIME.

UH, YOU CAN SEE THAT DEEP DIP ON THE LEFT HAND SIDE OF THE GRAPH, AND THEN ANOTHER DEEP DIP IN THE SIXTIES.

UM, AND THEN WE HAD A, A, A SUSTAINED PERIOD OF VERY FAVORABLE CONDITIONS IN OUR, IN OUR LAKES, UM, UNTIL THE DROUGHT OF 2008 TO 2016.

AND THAT IS NOW OUR DROUGHT OF RECORD.

UM, AND SO WHEN WE LOOK AT THESE STRATEGIES, NOT ONLY ARE WE LOOKING AT QUANTITY OF WATER TO SERVE OUR POPULATION IN THE FUTURE, WE'RE ALSO LOOKING AT WHAT ARE OUR STRATEGIES TO BRIDGE THESE PERIODS OF DEEP DROUGHT.

UM, AND THAT IS WHERE RECLAIMED WATER, UH, PLAYS A REALLY SIGNIFICANT ROLE FOR US.

UM, AND AS I MENTIONED, WATER FORWARD HAS A, A NUMBER OF DIFFERENT STRATEGIES BECAUSE WE'RE LOOKING AT HOW DO WE ADDRESS A LOT OF DIFFERENT POSSIBLE FUTURE CONDITIONS.

UM, WE HAVE SUPPLY SIDE STRATEGIES.

SO RIGHT NOW WE GET ALL OF OUR WATER FROM THE COLORADO RIVER, SO WE WANNA LOOK AT WHAT ARE WAYS WE CAN DIVERSIFY OUR SUPPLY.

WE HAVE CONSERVATION.

UH, SO THOSE ARE DEMAND SIDE STRATEGIES.

HOW DO WE REDUCE OUR DEMAND? THOSE ARE REALLY THE CONSERVATION, UH, LANDSCAPE TRANSFORMATION, ALL OF THOSE KINDS OF STRATEGIES.

AND THEN WE HAVE OUR REUSE STRATEGIES, WHICH IS OUR SWITCH HITTER.

UM, BECAUSE IT'S A SUPPLY OF, OF, OF WATER MOLECULES THAT WE CAN DELIVER TO PEOPLE'S HOMES AND BUSINESSES.

IT'S ALSO, UH, CONSERVES OUR EXISTING SUPPLY BECAUSE EVERY DROP OF RECLAIMED WATER THAT WE USE IS, UH, IS LESS POTABLE WATER THAT'S BEING USED AT THAT LOCATION.

SO THESE ALL WORK TOGETHER, UM, AS A COMPREHENSIVE SET OF STRATEGIES.

AND, YOU KNOW, JUST TO, JUST TO THINK ABOUT, YOU KNOW, WHY NOW, WHY, WHY THIS FOCUS IN 2024 ON REALLY BUILDING THE MOMENT MOMENTUM AROUND RECLAIMED WATER.

UM, YOU KNOW, WHEN WE LOOK BACK TO WHAT AUSTIN LOOKED LIKE WHEN WE SIGNED THAT, UM, AGREEMENT WITH LCRA IN 1999, UM, IT, IT LOOKS A LOT DIFFERENT.

I KNOW I DON'T HAVE TO REMIND ANYBODY HERE ABOUT THAT.

UM, SO JUST THE, UM, THE, THE AFFORDABILITY, THE RELIABILITY AND RESILIENCY AND THE ENVIRONMENTAL SUSTAINABILITY, UM, REALLY IS THE, IS THE CRUX OF THE VALUE OF RE REUSE FOR US.

SO THIS IS NOT NEW WORK.

THIS IS WORK THAT WE'VE BEEN LEADING UP TO FOR A LONG TIME.

AND, UM, AND AUSTIN WATER AND THE CITY OF AUSTIN, OUR LEADING THE WAY, THE CENTRAL LIBRARY USES RECLAIMED WATER, UH, PERMITTING AND DEVELOPMENT CENTER, ACTUALLY HAS A BLACKWATER RECYCLING SYSTEM.

UM, AUSTIN ENERGY HEADQUARTERS FLUSHES TOILETS WITH RECLAIMED WATER.

UH, MANY OTHER DEVELOPMENTS AROUND AUSTIN ARE ALREADY USING RECLAIMED WATER, EITHER, UH, COLLECTING RAIN WATER FOR REUSE IN A DUAL PLUMBING SYSTEM, OR, AND AIR CONDITIONING CONDENSATE CONNECTING TO THE CITY'S CENTRALIZED RECLAIMED WATER SYSTEM, UM, UH, OR ALL OF THE ABOVE.

SO WE KNOW IT WORKS.

OH, AND YOU MAY BE WONDERING, UM, WHY PURPLE? WELL, WE HAVE A, UH, WE HAVE A, A COLOR COATING SYSTEM IN THE WATER BUSINESS, AND RECLAIMED WATER IS PURPLE.

SO ANYWHERE YOU GO, YOU SEE PIPES PAINTED PURPLE.

THOSE ARE RECLAIMED WATER, RECLAIMED WATER PIPES.

SO, UH, WE'LL HIT FIRST SOME OF OUR IMPLEMENTATION HIGHLIGHTS.

WE HAVE ALREADY IMPLEMENTED THE ONSITE WATER REUSE REGULATORY FRAMEWORK AND INCENTIVES.

THOSE WERE APPROVED BY COUNCIL IN 2021.

UM, AND WE HAD A VOLUNTARY RECLAIM CONNECTION INCENTIVE AT THAT TIME.

UM, WE ARE ALREADY HAVING NEW DEVELOPMENTS DO WATER BENCHMARKING, ONSITE WATER REUSE, EXTENDING TO THE RECLAIMED WATER, AND WE'LL TALK A LITTLE BIT ABOUT WHO IS CURRENTLY REQUIRED TO CONNECT AND WHO, UH, WILL BE REQUIRED TO CONNECT UNDER THE, UM, UH, AMENDMENTS TO CODE THAT ARE COMING TO YOU IN MARCH.

AND WE'VE MADE SIGNIFICANT INVESTMENTS IN OUR CENTRALIZED RECLAIMED, UH, SYSTEM AS WELL.

UM, THIS KIND OF HITS THE HIGH POINTS OF, OF THE WORK THAT WE'VE DONE SINCE WE STARTED THE RECLAIMED WATER INITIATIVE BACK IN 95 AND 96.

UM, ABOUT THOSE, THOSE DOLLAR VALUES DON'T LINE UP EXACTLY WITH THE YEARS, BUT WE HAVE A HUNDRED MILLION DOLLARS OF PROJECTS WE'VE COMPLETED.

THAT'S IT'S PIPE AND INFRASTRUCTURE IN THE GROUND, $94 MILLION OF CURRENT ONGOING RECLAIMED WATER PROJECTS.

AND THEN, UH, IN OUR PLANNED, UH, CIP WE HAVE $203 MILLION OF FUTURE PROJECTS.

SO THIS IS, UH, AN ONGOING LIFECYCLE OF INVESTMENT, UM, IN ORDER TO BUILD AND EXTEND THE CENTRALIZED RECLAIM

[00:40:01]

AND THIS IS WHAT, UH, $193 MILLION OF INVESTMENT LOOKS LIKE.

UM, SO YOU CAN SEE THE TWO PURPLE BOXES ARE OUR TREATMENT PLANTS, WALNUT CREEK WASTEWATER PLANT, AND SOUTH AUSTIN REGIONAL WASTEWATER PLANT.

AND THEN ALL OF THOSE MILES OF RECLAIMED WATER LINES THAT EXTEND FROM THERE.

YOU CAN SEE WE, WE SERVE, UM, THE AIRPORT.

UH, WE SERVE DOWNTOWN.

WE HAVE, UH, QUITE A BIT OF RECLAIMED WATER PIPE IN THE MUELLER NEIGHBORHOOD.

UM, AND THERE THE, THE GAP THAT YOU SEE, UM, KIND OF THROUGH TRAVIS HEIGHTS AND BOULDER CREEK, WE'RE CLOSING THAT NOW WITH PROJECTS THAT ARE IN CONSTRUCTION IN DESIGN AND CONSTRUCTION.

UH, WE SERVE A LOT OF PARKS.

UH, THE PARKS DEPARTMENT USES, UH, RECLAIMED WATER FOR IRRIGATION IN, IN THEIR PARKS, UH, AND THE GOLF COURSES.

SO, UH, WE ARE, UM, HEAVILY INVESTED IN, IN RECLAIMED WATER.

SO AS WE LOOK FORWARD FOR OUR REUSE STRATEGIES, I WANNA SAY RIGHT UP FRONT, AS I MENTIONED EARLIER, THAT AFFORDABILITY INCENTIVES ARE A BIG PART OF THIS PLAN.

UM, BECAUSE WE RECOGNIZE THAT, UM, THERE IS A BENEFIT TO OUR ENTIRE COMMUNITY TO GETTING THIS RECLAIMED, UM, THESE RECLAIMED INFRASTRUCTURE BUILT, GETTING THESE PROJECTS BUILT.

AND SO WE WANT TO MAKE SURE THAT WE CAN MAKE IT POSSIBLE.

UM, WE WILL CONTINUE TO EXPAND OUR CENTRALIZED RECLAIM SYSTEM.

AS I MENTIONED, THERE ARE ALSO OPPORTUNITIES FOR COMMUNITY SCALE RECLAIMED WATER, WHETHER THAT'S TAKING WATER FROM AN EXISTING COLLECTION SYSTEM OR PERHAPS A NEW DEVELOPMENT THAT DOESN'T CONNECT TO THE CENTRALIZED WASTEWATER COLLECTION SYSTEM, BUT INSTEAD BUILDS A LOCAL WASTEWATER PLANT AND THEN REUSES THAT, UH, RECLAIMED WATER RIGHT THERE IN THEIR COMMUNITY.

AND THEN THERE'S ONSITE WATER CAPTURE AND REUSE.

SO THIS IS WHERE, UM, DEVELOPMENTS, UH, COMMERCIAL AND MIXED USE DEVELOPMENTS COLLECT RAIN WATER, STORM WATER, UH, AIR CONDITIONING, CONDENSATE, GRAY WATER, AND THEN DUAL PLUM THEIR BUILDINGS TO REUSE THAT WATER INSIDE THEIR, INSIDE THEIR, UH, DEVELOPMENTS.

SO WE HAVE, UM, DEVELOPED A NUMBER OF AFFORDABILITY IDEAS, UM, AND WE ARE MOVING FORWARD WITH, UH, WITH DEFINING THESE IN DETAIL.

UM, AND I I WANNA SAY TOO, THAT ALREADY THERE'S, UH, THERE'S AFFORDABILITY, UM, COMPONENTS BUILT INTO THE SYSTEM BECAUSE IF YOU DEVELOP ONSITE WATER REUSE OR YOU CONNECT TO THE CENTRALIZED RECLAIM SYSTEM, THEN YOU DON'T NEED AS LARGE A WATER METER.

AND SO YOU PAY LESS TO CONNECT TO THE WATER SYSTEM.

UM, RECLAIMED WATER IS CHARGED AT A LOWER RATE, SO IF YOU USE, AS YOU SHIFT YOUR WATER USE FROM POTABLE TO RECLAIMED WATER, YOU PAY LESS FOR THAT WATER.

SO THOSE ARE, UM, UH, UH, INCENTIVES, IF YOU WILL, THAT ALREADY EXIST IN, IN THE SYSTEM TODAY.

SO WE'RE LOOKING AT SOME ADDITIONAL, WE HAVE AN, WE HAVE A VOLUNTARY INCENTIVE PROGRAM RIGHT NOW, UH, WHERE WE WILL, UM, PROVIDE GRANTS AND INCENTIVES FOR REUSE AND CONSERVATION, UM, FOR QUALIFYING PROJECTS.

UM, WE'RE LOOKING AT REDUCING MONTHLY FIXED CHARGES TO DEVELOPMENTS THAT IMPLEMENT, UM, THESE REUSE STRATEGIES.

UM, POTENTIALLY HELPING THESE PROJECTS GET INTO THE CITY'S EXPEDITED BUILDING PERMIT REVIEW PROCESS.

UM, THE LOW INTEREST LOAN PROGRAM, THE IDEA THERE IS THAT THE FINANCIAL SERVICES DEPARTMENT WOULD IMPLEMENT, UH, A LOW INTEREST LOAN PROGRAM THAT THEY WOULD ADMINISTER AND THAT WE WOULD FUND FROM AUSTIN WATER, UM, THAT WOULD PROVIDE BELOW MARKET RATE LOANS TO DEVELOPMENTS THAT THEY COULD THEN PAY BACK OVER TIME.

UH, WE'RE ALSO LOOKING AT COST SHARING.

SO FOR THE, FOR THE DISTANCES THAT DEVELOPMENTS NEED TO GO TO, UM, TO CONNECT TO OUR CENTRALIZED RECLAIM SYSTEM, THERE'S A BENEFIT TO US AND TO ALL OF OUR COMMUNITY TO, UH, TO MAKE THOSE EXTENSIONS, UM, TO EXPAND THE REACH OF OUR CENTRALIZED RECLAIM SYSTEM SO WE CAN, UH, WE'RE LOOKING AT SOME COST SHARING OPTIONS THERE.

AND THEN THERE'S SOME EXISTING PROGRAMS, UM, STATE ADMINISTERED PROGRAM CALLED PROPERTY ASSESSED, UH, CLEAN ENERGY.

AND TRAVIS COUNTY ADMINISTERS THAT PROGRAM.

WE WROTE A WHITE PAPER ABOUT HOW THAT PROGRAM MIGHT APPLY TO OUR, UM, RECLAIMED INITIATIVES AND, AND WATER FORWARD STRATEGIES.

AND SO WE'RE PREPARED TO ASSIST DEVELOPMENTS TO GO THROUGH THAT AND A LOW INTEREST LOAN PROGRAM AS WELL.

SO ALL OF THOSE STRATEGIES DO COST MONEY.

SO WE ARE ALSO LOOKING AT THE OTHER SIDE OF IT.

HOW DO WE FUND THESE, THESE AFFORDABILITY STRATEGIES? UM, RIGHT NOW OUR, UH, OUR, UH, RETAIL CUSTOMERS PAY THE COMMUNITY BENEFIT CHARGE, WHICH FUNDS OUR

[00:45:01]

WE'RE PROPOSING TO ADD AN ADDITIONAL 15 CENTS PER THOUSAND GALLONS THAT WOULD BE DEDICATED TO RECLAIMED WATER SYSTEM EXPANSION AND ONSITE REUSE PROGRAMS. UM, OUR, UH, OUR CUSTOMER ASSISTANCE CUSTOMERS THAT ARE IN THE CAP PROGRAM WOULD DO NOT PAY THE CBC, AND SO THIS WOULD NOT AFFECT OUR MOST VULNERABLE CUSTOMERS, UM, BUT IT WOULD PROVIDE THIS DEDICATED FUNDING SOURCE, UM, FOR, UH, THE RECLAIM SYSTEM.

WE'RE ALSO LOOKING, THE MAYOR MENTIONED GREEN CHOICE, UM, WHICH WAS THE AUSTIN ENERGY'S VOLUNTARY RATE PROGRAM.

WE'RE LOOKING AT PURPLE CHOICE AND PURPLE CHOICE PLUS.

SO THE, THIS WOULD BE A VOLUNTARY RATE PROGRAM, UH, WHERE OUR, UM, WE HAVE A LOT OF MEMBERS OF OUR COMMUNITY WHO WANT TO SEE THESE PROGRAMS MOVE FORWARD FASTER.

AND SO THEY CAN HELP US DO THAT THROUGH THE PURPLE CHOICE PROGRAM.

AND THEN SOMETIME DOWN THE, UH, DOWN THE ROAD, UM, WE HAVE, UH, SOME IDEAS AROUND IMPLEMENTING EXCESS USAGE FEES.

SO IF YOU THINK ABOUT, UM, AS A RESIDENTIAL CUSTOMER, YOU KNOW THAT IF YOU USE UP TO A CERTAIN AMOUNT OF GALLONS, YOU PAY, UH, OUR LOWEST TIER OF RATES, IF YOU EXCEED THAT USAGE, YOU USE MORE, THAT BUMPS YOU UP INTO A HIGHER TIER OF RATES.

AND SO THAT'S A CONSERVATION RATE STRUCTURE.

WE DON'T HAVE A, A COROLLARY ON THE COMMERCIAL SIDE.

SO THIS WOULD BE THE COROLLARY TO THAT WHERE COMMERCIAL DEVELOPMENTS WOULD IDENTIFY THROUGH WATER BENCHMARKING WHAT THEIR WATER USE SHOULD BE, AND THEN IT WOULD BUMP THEM INTO HIGHER TIERS OF USAGE AS THEY EXCEED THAT.

SO THIS IS A FUTURE IDEA THAT'S NOT READY, UH, TO LAUNCH RIGHT NOW, BUT IT'S CERTAINLY SOMETHING WE WANNA KEEP, UH, IN OUR PLAYBOOK.

SO JUST TO TOUCH ON, UH, WHAT IS REQUIRED FOR DEVELOPMENTS RIGHT NOW VERSUS WHAT WILL BE REQUIRED, UM, BEGINNING ON APRIL, THE FIRST, UH, SHOULD COUNSEL ADOPT THE CODE AMENDMENTS THAT WE WILL BE BRINGING FORWARD ON MARCH 7TH? SO RIGHT NOW, SMALL DEVELOPMENTS LESS THAN 250,000 SQUARE FEET, UM, ARE REQUIRED TO DO WATER BENCHMARKING, AND THEY'RE REQUIRED TO CONNECT TO OUR CENTRALIZED RECLAIMED SYSTEM IF THEY'RE WITHIN 250 FEET OF A RECLAIMED LINE.

AND THEN DO THE, UM, THE DUAL PLUMBING AND THE ONSITE, UM, UH, USES SUCH AS IRRIGATION AND COOLING THAT, THAT, UM, THAT THAT WATER, UH, CAN BE USED FOR.

UM, LARGE DEVELOPMENTS, UH, WITHOUT MULTIFAMILY ARE ALSO REQUIRED TO DO WATER BENCHMARKING AND CONNECT TO CENTRALIZED RECLAIM IF THEY'RE WITHIN 500 FEET.

UM, AT THE TIME THAT THESE REQUIREMENTS WERE IMPLEMENTED, COUNCIL, UM, PULLED OUT THE MULTIFAMILY, SO LARGE DEVELOPMENTS WITH MULTIFAMILY AND GAVE THEM AN AUTOMATIC EXEMPTION.

SO RIGHT NOW THEY HAVE THE SAME REQUIREMENTS AS THE SMALL DEVELOPMENTS TO CONNECT WITHIN 250 FEET.

SO WHAT IS PROPOSED TO BE EFFECTIVE ON APRIL THE FIRST, UM, AND THIS IS AFTER WE HAVE DONE, UM, COUNCIL, UH, CHARGED US TO GO DO A STUDY AND EVALUATION OF WHAT THESE ONSITE, WHAT AN ONSITE WATER REUSE SYSTEM SHOULD LOOK LIKE.