City of Sunrise Wastewater Reuse Program Presented by: Utilities Department May 26, 2016

Introduction Required by the FDEP and encouraged by the SFWMD - fulfills several goals: Conserves a valuable resource which is currently being discharged through deep injection wells Improves the City’s regulatory compliance Provides potential for additional water from the Biscayne aquifer (BA)

Regulatory Implications The SFWMD allows “credits” for additional water use allocation in exchange for reuse Higher percentage of credit is provided when reuse occurs near well fields where utilities withdraw water from the Biscayne aquifer

Strategic Approach Analyzed entire service area to maximize potential for BA credits while minimizing cost Largest customers (irrigation demands) closest to the City’s BA well fields targeted Preliminary meetings with customer, identified needs and developed initial considerations for future agreements Designed wastewater treatment facilities and distribution pipelines for phased installation

Reuse System Delivery Planning started in 2011 Completion expected June 2018

Evaluated Sites for Highest Potential Reuse Credits 2 MGD demands to be connected in approximately four (4) project phases Current maximum reuse demand is approximately 8 MGD

Centralized Conveyance System

Initial Max Capacity 4 MGD (max 16) March 18, 2008 Initial Max Capacity 4 MGD (max 16) 9

Centralized Reuse Conveyance System Utility Department considering recommending a Mandatory Reuse Area focusing large sites along transfer pipe (in corporate limits only) Reuse Ordinance Update Requiring reuse for all new development Requires reuse for existing developments if service is provided by City to property line Voluntary hook-ups outside of city limits

Infrastructure for Residential Reuse City is replacing older community water systems, which provides an opportunity Residential reuse infrastructure will be less expensive and logistically easier to install when water systems are being replaced A cost benefit analysis was performed to better understand long term impacts

Infrastructure for Residential Reuse March 18, 2008 Additional costs include piping extension from transmission main, the reuse system (mains, services and meters) and wider trenching Residential reuse will also impact utility revenues, since those customers currently utilizing potable water for irrigation will no longer pay a wastewater charge for their irrigation demands

Cost-Benefit Analysis Performed for Residential Reuse City’s meter data was reviewed (between years 2003 through 2012) for Sunrise Golf Village where the water system is to be replaced Irrigation demands were calculated by analyzing seasonal and other differences in water consumption The analysis concluded 25 to 30% of the water demands appear to be for irrigation

Cost/Benefit Analysis (Continued) Capital Cost Analysis for Typical Residential Area Cost/Benefit Analysis (Continued) Capital Cost of reclaimed water system $2.4 M Pipe extensions and meters $ 0.4 M Pro rated share (HLD Treatment Costs)$ 0.3 M Less Cost avoidance of potable trt. $ 0.3 M Net Capital Cost $ 2.8 M Capital Cost/home ($2.8M/480 homes) $5,833/home

Operating Revenue & Expense Analysis for Typical Residential Area Irrigational reuse revenue $3.34/1000 The potable water charge $3.34/1000 The wastewater charge $3.39/1000 Alt. Water Supply Savings $1.40/1000 Treat/pump water for irrigation $0.50/1000 Total Expense/residential unit $2.49/1000 Total annual expense per unit $59.76

Residential Reuse Payback Period Calculation for Reuse Estimated cost to connect a single existing home to irrigational reuse = ($5,833/home) Estimated Annual Operating Revenue/(Expense) per home from irrigational Reuse = ($59.76) Payback Period (Years): No payback possible

Conclusions Reuse in existing residential areas can be installed, but there is no payback possible Application of reuse near water and wastewater plants and well fields maximizes potential for replacing potable water demands on BA

Cost-Benefit Analysis for Large Site Reuse Average Reuse demand = 2 MGD (2,000 Tgal, Avg.) Presuming a reuse commodity charge of $0.85/1000 gals Estimated net revenue = 0.85 + 1.40 - 0.50 = $1.75/1000 gals Reuse revenue = $1.75 x 2,000 Tgal = $3,500/day Revenue per customer = $3,500/40 custom. = $87.50/day Annual Revenue per customer = $87.50 x 365 = $31,938/yr Capital Cost for reuse = ($15.79M) Plant + ($32.75M) Piping - $19.68M (avoided cost for RO Plant) + ($0.080M) meters = 28.94 $28.94M/40 customers = $723,500/customer Payback = $721,679/$31,938/year = 22.6 Years

Current Status of Reuse Program New Sawgrass Reuse Plant soon under construction adding 4 MGD (HLD) Reuse capacity (max). Sawgrass HLD Plant Improvements scheduled for completion in 2018 Southwest HLD nearly complete (0.99 MGD) Distribution System projects currently slated to serve larger users in vicinity of plant wellfields, such as golf courses, parks, commercial properties Initial Phase of distribution system to be completed in 2018.

Q&A

SFWMD Limiting Conditions

Cost/Benefit Analysis (Continued) Residential Capital Cost Analysis (Continued) Estimated cost for reuse treatment and pumping systems at the wastewater treatment plant is ($253,172) for this amount of demand Cost avoidance or savings for additional potable water treatment relative to reduced demand at WTP estimated at $315,616

Cost/Benefit Analysis (Continued) Capital Cost Analysis (Continued) Resulting cost for service = ($2,400,000) + ($335,280) + ($72,000) + ($253,172) - $315,616 = $2,744,836 $2,744,836/480 homes = $5,718.41 cost to connect (each)

Operating Revenue and Expense Analysis (Continued) Cost saved by avoiding Alternative Water Supply Treatment and Delivery is $1.40/Tgal Estimated Additional cost to treat and pump reclaimed water for irrigation purposes is ($0.50/Tgal) Estimated operating revenue/(expense) per Tgal for residential reuse = 3.34 - 3.34 - 3.39 + 1.40 – 0.50 = ($2.49)

Operating Revenue and Expense Analysis (Continued) Annual Irrigational Reuse Consumption per Home (Tgal) = 24 units Estimated annual Operating Revenue/(Expense) per home from Irrigational Reuse = ($2.49) x 24 = ($59.76)