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Newport News Waterworks

2002 Gold Award for Exceptional Utility Performance
Newport News Waterworks recognizes that the key to achieving competitiveness is to rely on the abilities of all its employees. Waterworks conducts regular strategic planning sessions with a broad cross-section of employees to develop strategies to make it more competitive. It has implemented a program called Target Employee Awareness and Motivation (TEAM) to involve employees in shaping Waterworks’ future. Waterworks has long used benchmarking to measure efficiency and to improve future performance. To measure customer satisfaction, a professional survey of customers was conducted and another is planned for the upcoming fiscal year. Waterworks’ efforts in managing its resources have had a positive impact in ensuring and improving the City of Newport News’ bond ratings. The Newport News City Council continually supports efforts of the Waterworks through rates, operating budgets, bond referendums and support of projects. Assessments performed by various entities and in conjunction with numerous AwwaRF projects have yielded the general conclusion that Waterworks is a well-managed and efficient organization. With over 20 percent of its workforce having more than 20 years of service with Waterworks, the utility recognizes the strength it derives from them and fosters greater employee creativity through mechanisms such as the TEAM efforts.

Norfolk Department of Utilities

2002 Gold Award for Exceptional Utility Performance
The Norfolk Department of Utilities provides water to more than 700,000 people in Norfolk, Virginia Beach and Chesapeake, and at area U.S. Naval facilities. Norfolk Utilities has approximately 64,000 service accounts, providing water service and sewer conveyance for Norfolk’s residents and businesses. Norfolk Utilities strives to deliver a quality product at the best possible price to its customers. A number of initiatives are in place to ensure that operations are as effective and efficient as possible. The initiatives are coupled with a focus on customer satisfaction. Some of the most notable competitiveness initiatives include: • Tracking and reporting of performance indicators for each of the seven departmental divisions; • Participation in the Partnership for Safe Water; • Increased use of Supervisory Control and Data Acquisition (SCADA) systems; • Establishment of an e-government team to identify customer enhancements for the Utilities’ web site; • Reengineering efforts in Accounting, Engineering and Customer Service divisions; • The award of three grants resulting from an increased focus on financial stability; • Employee development initiatives including Round Table improvement teams, the Communications Team and the annual employee satisfaction survey; and, • Partnership with a local community college to offer courses on-site for an Associates Degree in Industrial Management.

Santa Clara Valley Water District

2002 Gold Award for Exceptional Utility Performance
The Santa Clara Valley Water District in California put into action an aggressive program of formal benchmarking and competitive analysis through a number of processes, including an AWWA Qualserve review, a comprehensive water utility audit and competitiveness improvement initiatives. In 1998, the District participated in the AWWA Qualserve self and peer review program. The following year, the Board of Directors of the District initiated a comprehensive performance audit of the water enterprise and, in 2001, the District became a member of the AWWA Qualserve Benchmarking Clearinghouse. The Water Utility completed a three-year strategic plan, with the following vision statement: To be a forward thinking, competitive leader in regional water operations, driven by customer service. Strategic issues for the water utility include: meeting the demands of increased regulations; managing operations and infrastructure to ensure supply reliability; achieving adequate staffing through a flexible workforce; improving coordinated regional water operations; increasing its competitiveness; and improving accountability with external and internal stakeholders. The District has three established labor bargaining units, and management fosters an inclusive, positive working relationship with them all. It utilizes many mechanisms for getting outside advice, including the Bay Area Water Agency Coalition, Bay Area operations and international collaboration.

Anchorage Water and Wastewater Utility

2001 Gold Award for Exceptional Utility Performance
Since a devastating depression in Alaska served as a wake up call in 1987, Anchorage Water and Wastewater Utility (AWWU) has steadily worked to stabilize expenses and to increase revenues, efficiency, customer service and quality. These efforts culminated in the utility's Excellence Adventure, a competitiveness process designed and driven by employees to make AWWU a world-class utility. As a result, customers per employee increased 56 percent from 242 to 377 and the amount of plant per employee increased 144 percent from $1.3 million to $3.25 million. The last AWWU rate increase was in 1992 and since then net income increased from $203,000 to $10.5 million. During the same period, the utilities' water revenue bond rating increased from A to AA-. The engine behind many of these improvements is employee involvement on teams chartered with specific goals and deadlines. Participation on teams for strategic planning and competitiveness efforts grew steadily from 48 employees in 1998 to an estimated 106 (40 percent of total employees) in 2001, creating a tremendous synergy. The number of grievances and accidents are at a historical low while employee ideas/suggestions and employee morale are high. AWWU is on its way to attaining a lasting culture of employee involvement and continuous improvement.

Anne Arundel County Department of Public Works

2001 Gold Award for Exceptional Utility Performance
In 1996, the Anne Arundel County Department of Public Works undertook a competitiveness assessment that determined a need for change in order to compete with the best of private utilities. In an effort to avoid privatization, a program was put into place to change work practices and move to a team-based culture called EXCEL for Excellence in Cost Effective Leadership. EXCEL is led by a steering team of labor and management representatives whose goal is to achieve environmentally sound water and wastewater service with rate stability. A pilot project showed that a team-based culture could improve productivity and work practices, allowing effective operation with a reduced staff. Since1999, staff reduction through attrition and energy savings have saved the Bureau $3.1 million, reducing the competitive gap from 19 percent to 10 percent. The supervisory ratio increased from 1:9 to 1:13 through a Bureau-wide reorganization and attrition. Currently, employees are undergoing an extensive training program to develop multiple skills in the fields of mechanical, electrical, instrumentation and operations as part of a flexible workforce program that increases efficiency and productivity.

Boston Water and Sewer Commission

2001 Gold Award for Exceptional Utility Performance
Boston Water and Sewer Commission
  • 550 employees.
  • Serves a daily population of approximately 1 million.
  • Maintains a 1,096-mile water distribution system.
  • Total annual budget is approximately $211 million.
Achievement Highlights: Continually searching for ways to maintain its competitiveness in the industry through the implementation of competitive strategies, including those to improve its financial status, customer satisfaction, labor management, system management and information technology. The Commission was the first water utility in the United States to implement the concept of downsizing meters. In addition, the current manual meter reading system will be replaced with a Fixed Radio Meter Reading System. Knowledge and understanding of funding resources resulted in subsidized loans and grants that greatly reduced the financial impact to rate-payers and assisted the Commission in maintaining stable water and sewer rates for seven years. The Commission's 2001 bond ratings are as follows:
  • Moody's Investor Services: AA3
  • Standard and Poor's: AA-
  • Fitch: AA-
A new facility at one location will increase operating efficiency and improve service delivered to customers. Commission has a strong program to encourage employees to obtain certifications, cross train and enhance their education. By the year 2010, all water mains in the city over 100 years old will be replaced or rehabilitated. To maintain its Management Information System the Commission has implemented a Geographic Information System (GIS), coupled with a new Work Order Management System, to facilitate the sharing of data and ultimately improve communication, efficiency, and eliminate work redundancy.

Broward County Office of Environmental Services

2001 Gold Award for Exceptional Utility Performance
Broward County Office of Environmental Services (OES)
  • Service area includes 58,000 accounts and serves a population of 263,000.
  • Combined treatment capacity of 53mgd.
  • Staffed with 380 full-time employees.
  • Current operating budget excluding debt service is $59,785,820.
Achievement Highlights: Broward County OES in 1996 initiated a program to evaluate its competitive stature, develop and implement an aggressive program for change which was to include an over-all reduction in annual operating costs of no less than $6 million dollars annually by the year 2000. By the end of FY 2000, the annual operating budget had been reduced by nearly $10 million dollars. Some of the more significant savings programs were: - Fiscal Operations "revenue enhancement program"..............................................$ 900,000 - Chemical cost savings......................................................................................................135,000 - Electrical savings................................................................................................................800,000 - New bill printing system..................................................................................................... 54,000 - In house LAB services...................................................................................................... 300,000 - Grants for capital projects................................................................................................ 750,000 - 100 positions eliminated through attrition..................................................................4,500,000

Chesterfield Utilities

2001 Gold Award for Exceptional Utility Performance
Chesterfield Utilities, Virginia
  • Service population of 260,321.
  • Budget for fiscal year 2001 was $53,382,900.
  • Employs 250 people.
  • Controls 20 water storage tanks and 30 pump stations, and manages more than 2,900 miles of water and wastewater lines.
  • Operates a 12 mgd water treatment plant and purchases water from the City of Richmond and the Appomattox River Water Authority.
Achievement Highlights: Chesterfield Utilities is guided by the principles of Chesterfield County's Total Quality Initiative (TQI) which was formally implemented in 1992. TQI employs strategic planning, a team approach to problem solving, staff training, process management, performance-based measurement, and rewards and recognition to achieve continuous improvement in efficiency and customer service. The department has developed an annual performance plan based on metric benchmarking. An annual report, which evaluates performance relative to the plan, is developed and provided to all employees. To improve process efficiency and customer service through employee input, staff members are provided training to give them the knowledge to seek out improvements and make recommendations. Employees are rewarded based on their efforts and the results of their recommendations. Chesterfield Utilities has established an excellent bond rating and a reputation for low rates. A rate setting model incorporates the operating and capital improvement budgets over a ten-year period as well as a debt coverage ratio and cash surplus to be maintained. The department's bond rating has risen from A in 1985 to a AA rating. A rate stabilization reserve fund was established in 1995 for replacement of water and wastewater infrastructure and an anticipated 10% increase in user charges over four years to provide the funding. This fund will allow replacement with no additional impact on user charges.

Chicago Department of Water

2001 Gold Award for Exceptional Utility Performance
The Chicago Department of Water (CDOW) owns and operates the world's two largest purification plants, 12 pumping stations, 4,323 miles of mains, 47 miles of finished water tunnels and over 47,000 hydrants. CDOW purifies and distributes more than one billion gallons of water daily to over 5 million people. CDOW has earned an AA+ bond rating while maintaining the third lowest water rates in the nation. The department shortened its water main replacement cycle by 16 years and implemented a SCADA system for six of its pumping stations, reducing costs by $30 million. In addition, electricity costs are being lowered through a cooperative bulk purchase; a new billing and collection system was implemented to improve collections management; response time to water quality inquiries was reduced by almost 70 percent; over 23,000 engineering drawings were computer-archived; and the department received the GFOA Financial Accounting Award. CDOW is embarking on a department-wide review starting with a thorough analysis of water treatment, billing and collection, and procurement processes. The department will compare these with other utilities to maximize operational efficiencies without negative impact to employee morale. With a five-year, $620 million infrastructure investment, including 50 miles of annual main replacement, CDOW will continue to be competitive and maintain the high level of service its customers expect.

City of Akron Public Utilities Bureau

2001 Gold Award for Exceptional Utility Performance
In 1998, when its water rates were among the highest in the state, the City of Akron Public Utilities Bureau recognized the need to stabilize rates by changing the way it operated its utilities. A Blue Ribbon Commission evaluated work practices and produced a report that served as a catalyst for Akron to change the way it does business. EMA Inc., hired to perform an analysis of the Public Utilities Bureau (PUB), found a competitive gap of $10 million in annual controllable O&M costs. This led to selection of the Leading Change Team (LCT), a steering team consisting of a cross-section of the work force, including management and labor, with representatives from each division. The LCT commissioned six major core design teams, plus several smaller work teams to encourage the team concept. Notices were posted publicly to allow all interested employees the opportunity to apply. As a result of the Blue Ribbon Committee report, EMA assessment and employee design teams, Akron achieved $4.6 million accumulated savings in controllable O&M costs over the last two years. The city's PUB is becoming highly trained, flexible and efficient, using best business practices to be competitive and supplying citizens with quality services at stable rates.

City of Albuquerque's Water Utility

2001 Gold Award for Exceptional Utility Performance
Faced with significant operating challenges and opportunities, the City of Albuquerque's Water Utility is undertaking a major change initiative to become more competitive. Groundwater supply and quality issues triggered the need for water conservation and construction/operation of a new surface water treatment plant. The effects of water conservation in turn resulted in declining revenues per customer, and the new surface water plant will add to the operations and maintenance burden of the utility. Potential regionalization of water services in the Rio Grande Valley presents an opportunity to expand the service area of the water utility with a resulting increase in revenue. However, prior to expansion, the utility must be able to provide a high-quality product at a competitive price. Albuquerque's change initiative includes the Albuquerque Water Operations and Management System (AWOMS), which merges integrated information from a new Computerized Maintenance Management System (CMMS) and state-of-the-art Supervisory Control and Data Acquisition system (SCADA). These systems work in concert with retooled O&M practices to produce a competitive and highly efficient water utility. Currently, the utility is mid-way through a five-year optimization project to apply these new technologies and practices to yield bottom-line results for its customers.

City of Atlanta Department of Water

2001 Gold Award for Exceptional Utility Performance
From the early 1990s, the City of Atlanta Department of Water has made significant efforts to improve operating efficiency and reduce costs, while providing excellent service to customers. Staff positions were reduced from 863 in 1993 to 480 at the end of 1998. A one-stop call center, initiated in 1997, has vastly improved customer service. Aging steam powered pump stations are being replaced with new electric powered facilities, and a new $42 million, 200 MGD pump station for the downtown area will be on line by the end of 2001. Energy incentives with the electrical utility and new operating patterns have saved over $1 million annually in energy costs. Back-up electric power generation projects, totaling $22 million, will be completed by the end of 2001 for the two major treatment plants and all the most critical pump stations, ensuring operational reliability. Atlanta is also promoting water conservation education by providing a summer xeriscape program to customers. In 1999, Atlanta entered a 20-year contract with a private firm, United Water Services Atlanta, to manage water system O&M. The agreement will save the city $20 million annually and $400 million over the term of the contract. The Atlanta Water Department continues to maintain a small staff to oversee and manage the firm's performance and to manage the capital improvements program, an aggressive five-year plan with more than $502 million in facility and distribution improvements.