Joint WRAP Update Meeting III January 26, 2009

WELCOME… Thank you for joining us Please sign in Tonight’s topic… How we plan to meet the County’s future water needs while protecting the aquifer for generations to follow.

Key requirements of WRAP Part II Descriptions of new water supply sources and strategies to meet projected water demands; Description of infrastructure requirements for each new water supply source; Timelines for design/construction of infrastructure projects; A letter from a surface water or alternative source supplier indicating availability of water and willingness to meet the LVGUs’ demands, as applicable;

Key Requirements of WRAP Part II Description of costs and methods of financing water supply and infrastructure; Preliminary engineering of infrastructure necessary to meet water demands for the January 1, 2015; Conceptual engineering of the infra- structure necessary to meet future water demands beyond the 1/1/2015 initial conversion date; A copy of the written agreements for participants in a Joint WRAP. Continued…

Section 2 -- Water Demand

Section 2 -- Water Sources

Section 2 -- Conversion Strategy

Section 3 – Evidence of Availability and Willingness to Supply Water Memorandum of Understanding is being developed between the City of Houston and SJRA.

Section 4 – Infrastructure 2015 – Raw water intake structure and water treatment plant at Lake Conroe. In the first phase, begin delivering surface water to The Woodlands and City of Conroe.

Section 4 – Infrastructure 2015 – 2045

Section 5 – Program Costs Total Project CAPITAL Costs for Preferred Alternative T2C1W1 Future Costs ($ millions) $480$509$712$809 CAPITAL COSTS: Planning, permitting, design and special studies/services Construction Construction management, testing and inspection Environmental mitigation Land/easements Inflation Legal and Financing Contingencies

Section 5 – Program Costs

Debt Service Operations and Maintenance Purchased Water (Including reservation fees) Reserve Costs Total Project ANNUAL Cost for Preferred Alternative T2C1W1 Future Value ($ millions) $56$145$284$480

Section 5 – Program Costs

Section 6 – Financing Alternatives Potential Financing Alternatives Include: Open Market Bonds TWDB WIF Deferred Low Interest Loans TWDB WIF Construction Loans Other State/Federal Programs

Section 6 – Financing Alternatives Potential Payment Alternatives Include: Legislated GRP fee Long-term contract between SJRA and Customers

Section 7 – Program Schedule -- Traditional Project Delivery

Section 7 – Accelerated / Alternative Project Delivery

You are invited to attend an important meeting! Water Conservation Workshop February 12, a.m. – 4 p.m. Hosted and co-sponsored by SJRA,WJPA, LSGCD Featuring…. State and National Speakers State and National Speakers No Admission Charge No Admission Charge Additional Details, Agenda, Additional Details, Agenda, Speaker Information Online Register Online… Register Online…

The water we conserve today can serve us tomorrow…

Potential Source Study Potential Source Study

SJRA Water Rights Location Permitted Diversion (afpy) Permitted UsePriority Lake Conroe 22,000Municipal1959, ,500Industrial1959, ,833Mining1959, 1965 Run-of-River at Lake Houston55,000 Municipal, Industrial, Irrigation 1942 Run-of-River at CWA Pump Station on Trinity River 56,000Multiple Use 1917 thru 1936 Run-of-River at CWA Pump Station on Trinity River 30,000Multiple Use1914, 2004 Reuse at Lake Houston from Wastewater Effluent from SJRA’s three Woodlands WWTPs 14,944Multiple Use2004 Lake Houston14,000Multiple Use2003 Run-of-River at Lake Houston (Pending) 40,000Multiple Use2003

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou Highlands 80,000 afpy Montgomery County 25,000 afpy– ,000 afpy – ,000 afpy– ,000 afpy Surface Water Supply Demands

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou SJRA COH Water Rights Trade SJRA Trinity River Rights for COH Lake Conroe Rights SJRA Trinity Rights COH Lake Conroe Rights

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou Water Rights Trade SJRA San Jacinto Rights for COH Lake Conroe Rights COH Lake Conroe Rights SJRA SJRA San Jacinto Rights COH

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou Purchase of COH Lake Conroe Rights $ COH COH Lake Conroe Rights SJRA

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou SJRA $ COH COH Lake Conroe Water SJRA SJRA Participation in Luce Bayou for COH Lake Conroe Water

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou Long-term Water Supply Contract With NHCRWA COH $ SJRA NHCRWA

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou Long-term Water Supply Contract For COH Lake Conroe Water SJRA $ COH COH Lake Conroe Water

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou Long-term Water Supply Contract For TRA Trinity River Water TRA Water SJRA $ TRA

Trinity River West Fork San Jacinto River West Fork San Jacinto River Luce Bayou Long-term Water Supply Contract For COH Lake Conroe Water and TRA Replacement Water $ TRA COH TRA Water COH Lake Conroe Water SJRA

Trinity River West Fork San Jacinto River Luce Bayou SJRA Trinity Rights SJRA Trinity River Rights for Montgomery County

Potential Source Study Capital Costs