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Privatization of Water Services in the United States: An Assessment of Issues and Experience
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Privatization of Water Services in the United States: An Assessment of Issues and Experience
Index
A
Accountability, 5, 6, 14, 26, 62, 77, 78, 86, 92, 102, 110, 111
Agriculture, 6, 107-109
American Commonwealth Management Services, 63
American Water Works Association, 35, 42-43, 44, 58
American Water Works Company, Inc., 11, 18, 46
American Water Works Service Company, 69
Anti-trust issues, see Competition issues, general
Arsenic, 3, 47-48
Association of Metropolitan Sewerage Agencies, 54
Azurix Corporation, 24, 25
B
Baltimore Water Company, 31
Bank guarantees, 12, 75
Benchmarking, 4, 47, 55, 59, 92, 101, 132-133
Bonds, municipal, 6, 12, 27-28, 51, 52-53, 62, 68
Britain, see United Kingdom
C
California Resources Agency, 11
Canada, 48, 49
Capital investment, 5, 12, 18-20, 22, 46, 51-53, 54, 58, 62, 81-85, 100, 132, 133
bonds, 6, 12, 27-28, 51, 52-53, 62, 68
Environmental Protection Agency, 18, 129-130
historical perspectives, 33, 38, 125, 126
outsourcing, 66, 67
public-private partnerships, 72
regionalization, 50-51, 53, 90-91
small utilities and regionalization, 50-51, 53
Chemicals, 1
arsenic, 3, 47-48
water treatment, general, 19, 30, 33, 34, 35-36, 48-49
Cities, see Urban areas
Clean Water Act, 19, 35-36, 37, 45, 48
Community-level issues, 2, 6, 10, 13, 22, 79-80, 90, 101-104, 111
see also Local government; Regionalization; Small and medium-sized utilities; Urban areas
community-level system defined, 12, 13
cultural values, 7, 106, 109, 111
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franchising arrangements, 11, 90
number of systems, 2, 12, 13
watersheds, 6, 8, 11, 25, 26, 82, 89, 91, 93, 104, 105, 106, 111-112
Competition issues, general, 4, 5, 6, 7, 13, 27, 41, 58, 77, 92-96, 112
see also Pricing
deregulation, 15, 45, 121-126
market forces, 6-7, 11, 14-17, 20, 21, 23, 34, 40, 41, 51, 56, 112-113
political issues, 26
Comprehensive operating agreements, 11-12
design-build-operate arrangements, 11-12, 20-21, 45, 47, 70, 71-74, 99, 110
design-build-own-operate-transfer arrangements, 21, 70, 91
Computer technology, 46, 48, 49
Consolidation, 4, 8, 46, 48-50 (passim), 66, 77, 84, 88-91
Construction of facilities, 11-12, 28, 35-36, 42, 46
see also Capital investment
design-build-operate arrangements, 11-12, 20-21, 45, 47, 70, 71-74, 99, 110
design-build-own-operate-transfer arrangements, 21, 70, 91
Contracting services out, see Outsourcing
Cost factors, 5, 6, 15, 23-24, 25, 28, 42, 46, 51, 52, 54, 57, 60, 61, 62, 77, 78, 79, 80, 85-88, 92, 96, 112, 125, 133
see also Capital investment; Funding; Pricing; Risk assessment and sharing
contract preparation and bidding, 27, 44, 47, 64, 102
design-build-and-operate contracting, 45, 72-73
economies of scale, 4, 11, 20, 23, 46, 51, 68, 81-85, 88, 100;
see also Regionalization
economies of scope, 23, 85
lease financing, 74-75
outsourcing, 64, 65, 66, 68-69
performance benchmarking, 59, 92
political factors, 41, 42
public-private partnerships, 45, 72-75
regionalization, 89, 90-91
wastewater treatment, 12, 37, 48, 49
The Cost of Clean Water, 54
Cultural values
see also Political issues
community, 7, 106, 109, 111
organizational, 55, 58, 62
D
Depreciation, 5, 53, 86
Design-build-operate arrangements, 11-12, 20-21, 45, 47, 70, 71-74, 99, 110
tax law, 45
Design-build-own-operate-transfer arrangements, 21, 70, 91
Disaster response, 27, 32, 49, 57
terrorism, viii, 43
E
East Bay Municipal Utility District, 60, 6162, 82
Economic issues, vii, 1, 2, 3, 5-7, 10, 92-96, 100, 105-106
see also Capital investment; Competition issues; Cost factors; Employment issues; Pricing; Regionalization
committee study charge, 11
depreciation, 5, 53, 86
economies of scale, 4, 11, 20, 23, 46, 51, 68, 81-85, 88, 100,
see also Regionalization
economies of scope, 23, 85
extent of privatization, 11, 14-17, 20, 21, 23, 34, 40, 67, 76
interest rates, 12, 27-28
market forces, 6-7, 11, 14-17, 20, 21, 23, 34, 40, 41, 51, 56, 67, 112-113
professional education, 46
Education and training, see Professional education
Employment issues, 4, 5, 7, 8, 44, 61, 77, 81-82, 101
labor/management relations, 57, 61, 79, 101, 133-134
leadership/education, 45-46, 55, 65, 80, 113
outsourcing, 65, 66, 67
political issues, 56-57, 103-104, 125-126
regional, 108
worker productivity, 58
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England and Wales, see United Kingdom
Enron Corporation, 25
Environmental issues, 5, 6, 10, 12-13, 42, 79, 96, 104-106, 107-108, 133
see also Health issues; Standards
cost factors, 45
funding, 47, 48, 129
watersheds, 6, 8, 11, 25, 26, 82, 89, 91, 93, 104, 105, 106, 111-112
Environmental Protection Agency, 2-3, 36-37, 42, 47, 57, 84-85, 93, 102, 105, 128-130
see also Clean Water Act; Safe Drinking Water Act
capital investment, 18, 129-130
committee study funding, 11
consumer confidence reports, 43, 128-129
historical perspectives, 35
outsourcing, 63, 65, 66, 67
public-private partnerships, 70-71, 78
Executive Order 12803, 52-53
F
Federal government, 44-45, 50, 93
see also Environmental Protection Agency; Legislation
funding, 3, 45, 54, 129
interest-rate subsidies, 27-28
Internal Revenue Service, 44-45, 64
taxation, 6, 8, 12, 27-28, 44-45, 51, 52-53, 101
Financial incentives, 2, 11, 44, 49, 50, 53, 59, 62, 77, 87, 91, 97, 99, 129
Foreign countries, see International perspectives
Franchising arrangements, 11, 90
Full-service contract operation and management, 11-12
Funding, 3, 6, 12, 14, 18-19, 35-36, 38, 45, 53, 54, 79
see also Capital investment
committee study, 11
commingling, 26-27
design-build-and-operate contracting, 45
environmental issues, general, 47, 48, 129
lease financing, 74
Safe Drinking Water Act, 47, 129
small and medium-sized utilities, 51-52, 53, 130
state-level, 6, 28, 36, 53
technological innovations, Clean Water Act, 35-36
G
Geographic issues, see Community-level issues; Regionalization; Rural areas; State government
Government role, see Community-level issues; Federal government; Funding; International perspectives; Legislation; Local government; Political issues; Regulatory issues; Standards; State-level issues
Government Standards Board, 86
Great Britain, see United Kingdom
H
Health issues, 6, 10, 25, 26, 35-36, 42, 54, 93, 124-125
see also Standards
cost factors, 45
disaster response, 27, 32, 49, 57
terrorism, viii, 43
historical perspectives, 29, 30, 31, 32, 33-34, 35-36, 42
public-private partnerships, 72
Historical perspectives, vii-viii, 1, 2-3, 10, 14, 15, 20, 24, 29-40, 44, 53, 70, 122, 123-126
capital investment, 33, 38, 125, 126
design-build-own-operate-transfer arrangements, 21
funding, 6
health issues, 29, 30, 31, 32, 33-34, 35-36, 42
international perspectives, 29-30, 38-40, 122, 123-126
Philadelphia Suburban Company, 20
pricing (rates), 37, 39, 112
small utilities and regionalization, 33, 50-51, 123-124
standards, 32-35, 38, 41
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technological innovations, 29, 30, 33, 34, 35, 48
urban areas, 29, 30, 31-33, 35, 38, 39, 48
wastewater treatment, 10, 35-37, 41, 42, 49
I
Incentives, see Financial incentives
Indianapolis Water Company, 24
Infrastructure, 18, 20, 39, 41, 53, 60, 81-85, 100, 132, 133
see also Capital investment; Construction of facilities; Operations, maintenance and repair
Insurance, 12, 75, 133
Interest rates, 12, 27-28
Internal Revenue Service, 44-45, 64
International Organization for Standardization , 65-66
International perspectives, viii, 7, 13, 23
see also Terrorism
economies of scope, 85
foreign ownership, 41, 46, 64, 85
historical, 29-30, 38-40, 122, 123-126
outsourcing, 64, 65-66, 68
performance benchmarking, 59
political issues, 23, 39, 121
pricing (rates), viii, 23, 39, 92, 124
standards, 65-66
terrorism, viii, 43
United Kingdom, 23, 38, 44, 59, 92, 121-127
urban areas, 23, 38, 39, 121-126
Irrigation, see Agriculture
L
Labor/management relations, 57, 61, 79, 101, 133-134
Lease financing, 27, 74-75
Legislation, 42, 43, 47, 62. 98
see also Regulatory issues; Standards
Clean Water Act, 19, 35-36, 37, 45, 48
historical perspectives, 30, 32, 52
Safe Drinking Water Act, 3, 8, 19, 35, 37, 47, 51-52, 68, 89, 91, 105, 128-130
small utilities and regionalization, 50-51
Water Act (United Kingdom), 123-124
Litigation, 13, 49, 105
Local government, 2, 14, 20, 58, 77, 93, 95, 100, 101-104, 110, 124-125
see also Community-level issues; Regionalization; Urban areas
M
Maintenance and repair, see Operations, maintenance and repair
Masons Water Yearbook, 23
Meters, 1, 61
N
National Association of Water Companies, 3, 15, 77
Nonprofit organizations, 38
O
Ondeo, 64
Operations, maintenance and repair, vii, viii, 1, 8, 76, 132
see also Outsourcing
lease financing, 75
Outsourcing, 11-12, 20-21, 24, 39, 58, 62-69, 95, 110
see also Technical assistance
capital investment, 66, 67
cost factors, 64, 65, 66, 68-69
employment issues, 65, 66, 67
Environmental Protection Agency guidelines, 63, 65, 66, 67
international perspectives, 64, 65-66, 68
political issues, 64, 65
service efficiencies, 65, 66
small and medium-sized utilities, 67-69
urban areas, 63, 64, 69
P
Partnerships, public-private, 11, 24, 49-50, 54, 56, 58, 69-75
see also Technical assistance
cost factors, 45, 72-75
design-build-operate arrangements, 11-12, 20-21, 45, 47, 70, 71-74
tax law, 45
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Design-build-own-operate-transfer arrangements, 21, 70
Environmental Protection Agency guidelines, 70-71, 78
Philadelphia Suburban Company, 20
Phoenix Water Service Department, 60-61
Political issues, 1-2, 5, 10, 13, 18-19, 25-26, 42-45, 47, 51, 56-57, 78-79, 87, 103-104, 110
see also Cultural values
committee study charge, 11
competitive bidding, 26
cost, 41, 42
employment, 56-57, 103-104, 125-126
international perspectives, 23, 39, 121
outsourcing, 64, 65
pricing, 26, 56, 57, 59, 87
public disclosure/participation, 26, 56, 57, 59
regionalization and consolidation, 49, 90-91
risk sharing, 49
Pricing (rates), 5, 8, 10, 12, 18, 21, 24, 25, 46, 51, 54, 62, 76, 83, 86-88, 92, 94, 112
see also Cost factors
ability to pay, 57, 102
benchmarking, 59
consumer attitudes, 42, 43
historical perspectives, 37, 39, 112
international perspectives, viii, 23, 39, 92, 124
lease financing, 75
local regulation, 20, 101, 102
meters, 1, 61
outsourcing, 64
political issues, 26, 56, 57, 59, 87
state regulation, 11, 14, 18, 37, 83, 47-48, 87-88, 91, 92, 94-96, 102
Professional education, 45-46, 55, 65, 113
Public Citizen group, 24
Public health, see Health issues
Public Health Service, 32-33
R
Rates, see Pricing (rates)
Regionalization, 4, 11, 46, 60, 84-85, 88-91, 100, 106-109, 110, 121
see also Small and medium-sized utilities; State-level issues
capital investment, 50-51, 53, 90-91
cost factors, general, 89, 90-91
economies of scale, 4, 11, 20, 23, 46, 51, 68, 81-85, 88, 100,
see also Regionalization
economies of scope, 23, 85
employment issues, 108
historical perspectives, 33, 50-51, 123-124
political factors, 49, 90-91
regulatory issues, 48
technological innovation, 50-51
Regulatory issues, vii, 1, 2, 3, 7, 10, 22, 24, 26, 46-48, 88, 91-99, 133
see also Environmental Protection Agency; Risk assessment and sharing; Standards; Taxation
competition, deregulation, 15, 45, 121-126
historical perspectives, 32-33, 37-38, 121-126
lease financing, 74
local pricing controls, 20, 101, 102
models of water service provision, 58, 60-61, 74, 77, 78-79, 92
organizational factors, 58
private regulatory measures, 44
regionalization and small utilities, 50
state regulation of pricing (rates), 11, 14, 18, 37, 83, 47-48, 87-88, 91, 92, 94-96, 102
Repair, see Operations, maintenance and repair
Risk assessment and sharing, 11-12, 22, 41, 47, 49-50, 54, 77-78, 131, 134
bank guarantees, 12, 75
insurance, 12, 75, 133
international perspectives, 23
litigation, 13, 49, 105
urban areas, 49, 78
Rural areas, 67-69, 85
S
Safe Drinking Water Act, 3, 8, 19, 35, 37, 47, 51-52, 68, 89, 91, 105, 128-130
Seattle Public Utilities Treatment Plant, 49, 131-134
Securities, see Stocks and shares
Service efficiencies, 20, 50, 57, 58, 69, 79, 86, 101-102, 124, 131
outsourcing, 65, 66
Severn-Trent Environmental Services, 11
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Small and medium-sized utilities, viii, 7-8, 13, 14, 21-22, 46, 78, 111
see also Regionalization
capital investment and regionalization, 50-51, 53
funding, 51-52, 53, 130
outsourcing, 67-69
risk sharing, 49
standards, 3-4, 28
technological innovation, 50-51
wastewater treatment, 7-8, 50
Standards, vii, viii, 2-3, 5, 7, 8, 19, 42, 47-48, 57, 84-85, 92, 101-102, 105
see also Environmental Protection Agency; Regulatory issues
arsenic, 3, 47-48
asset management, 86
cost factors, 42, 43
Clean Water Act, 19, 35-36, 37, 45, 48
foreign-owned firms, 46
historical perspectives, 32-35, 38, 41
management, general, 26
outsourcing, 64, 65-66
performance benchmarks, 4, 47, 55, 59, 92, 101, 132-133
risk sharing, 49
Safe Water Drinking Act, 3, 8, 19, 35, 37, 47, 51-52, 68, 89, 91, 105, 128-130
small utilities and regionalization, 50-51
state-level, 47, 69, 91
State-level issues, 18, 38, 46, 96-88, 105, 113, 130
agricultural uses vs urban uses of water, 107-109
capital costs, 19, 53
funding, 6, 28, 36, 53
organizational structure, legislation, 58-59, 97-99
rates and charges, regulation, 11, 14, 18, 37, 83, 47-48, 87-88, 91, 92, 94-96, 102
regionalization and small utilities, 50
standards, water quality, 47, 69, 91
tax-exempt financing, 53
Stocks and shares, 25, 32, 37, 66, 110
T
Taxation, 8, 77, 88
bonds, 6, 12, 27-28, 51, 52-53
exemptions, 6, 12, 27-28, 44-45, 51, 52-53, 101
Internal Revenue Service, 44-45, 64
lease financing, 74, 75
outsourcing, 63
Technical assistance, 12, 47, 50, 89, 102-103, 110
see also Outsourcing
Technological innovations, vii,, 1, 8, 4, 13, 22-23, 41, 46, 48-49, 89, 111
Clean Water Act funding, 35-36
computer technology, 46, 48, 49
historical perspectives, 29, 30, 33, 34, 35, 48
international firms, viii
professional education, 45-46
small utilities and regionalization, 50-51
water treatment, 19, 30, 33, 34, 35-36. 48-49
Telecommunications, 13, 15, 23, 90, 92
Terrorism, viii, 43
Troubled Waters, 124
U
Unions, see Labor/management relations
United Kingdom, 23, 38, 44, 59, 92, 121-127
United Water, 64
Urban areas, vii, 1, 10, 13, 14, 17, 24, 54-55, 60-61, 62, 77, 82-83, 85, 106-107, 131-134
agricultural uses and, 107-109
competitive bids, 26
historical perspectives, 29, 30, 31-33, 35, 38, 39, 48
international perspectives 23, 38, 39, 121-126
long-term water contracts, communities with, 22
organizational structure, 58-59
outsourcing, 63, 64, 69
Philadelphia Suburban Company, 20
public officials, 44
public-private partnerships, 70-73
risk assessment/sharing, 49, 78
W
Wales, see England and Wales
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Wastewater treatment, 1, 2, 12, 15
chemicals, 19, 30, 33, 34, 35-36, 48-49
arsenic, 3, 47-48
committee study charge, 11
cost factors, 12, 37, 48, 49
design-build-own-operate-transfer arrangements, 21
federal grants, 20, 50
historical perspectives, 10, 35-37, 41, 42, 49
number of publicly owned, 12, 14
outsourcing, 63, 69
small and medium-sized utilities, 7-8, 50
technological innovations, 19, 30, 33, 34, 35-36, 48-49
Water Act (United Kingdom), 123-124
Water and Wastewater Infrastructure Authorities, 53, 54
Water Environmental Federation, 44
Water Infrastructure Network, 53, 54, 85
Watersheds, 6, 8, 11, 25, 26, 82, 89, 91, 93, 104, 105, 106, 111-112
Workforce issues, see Employment issues; Professional education
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