1. December 10, 2009 TOWN OF PALM BEACH WATER COMMITTEE Discussion of Water Plant Options

2. PRESENTATION AGENDA  Update of City’s Water Program  Desalination Plant Cost Estimate  Floridan Reverse Osmosis Cost Estimate  Summary of Town’s Options

3. WEST PALM BEACH WATER PROGRAM UPDATE

4. Water Program Update  Water Plant Performance  Pilot Testing  Water Supply Improvements  Water Treatment Improvements  Water Distribution Improvements  Next Steps with Water Program

5. Water Plant Performance  Excellent water quality being produced  Finished water turbidity remains low  2009 DOH Sanitary Survey required 20 actions items vs. 571 in 2008 (everything has been fully repaired/replaced)  Delivery pressure to the island consistently ranges from 50 – 60 psi  Drought protection measures underway  Improvements made for water supply, treatment and distribution infrastructure

6. Pilot Testing  Pathogens Membranes  Natural Organic Matter Magnetic Ion Exchange (MIEX) Enhanced Coagulation (EC) Enhanced Softening (ES)  Taste & Odor PAC Enhanced Ozone Chlorine Dioxide UV GAC

7. Pathogens Removal Submerged Membrane (UF) Pressurized Membrane (MF)

8. Organics Removal  MIEX pretreatment substantially reduced the influent TOC  MIEX led to 73% reduction in coagulant demand (from 75 mg/L to 20 mg/L) compared to raw water and eliminated the need for pH adjustment

9. Taste & Odor Compounds Removal  Various blends of Powdered Activated Carbon were tested for their ability to remove MIB & Geosmin from Clear Lake  PAC Type E was the most effective

10. Water Supply Improvements Active Projects  Source Water Protection Program  Control Structure Replacements  Raw Water Pump Stations  Optimize Stormwater Capture  ASR Well Activation  Groundwater Assessments  AWT Plant – reuse water Control Structure #4 Exploratory Groundwater Well Source Water Protection ASR Well $2.5M Control Structures $4.5M Raw Water Pumping $0.8M Source Water $4.6M AWT Wetlands $0.6M Total Supply $13M ASR Well $2.5M Control Structures $4.5M Raw Water Pumping $0.8M Source Water $4.6M AWT Wetlands $0.6M Total Supply $13M

11. Water Treatment Improvements Automation$ 4.0M Chemical Systems$ 4.1M Electrical$ 5.6M Filters$ 1.8M Valves $ 0.6M Pumps & Piping$ 1.2M Security$ 1.2M Structures$ 2.3M Total $20.8M Automation$ 4.0M Chemical Systems$ 4.1M Electrical$ 5.6M Filters$ 1.8M Valves $ 0.6M Pumps & Piping$ 1.2M Security$ 1.2M Structures$ 2.3M Total $20.8M  Plant Automation  Chemical System Upgrades  Redundant Critical Components  Modernized Filters  New Valves & Pumps  Training & SOPs Carbon Dioxide System Automation Component High Service Pump Active Projects

12. Water Distribution Improvements  Remote Pump Stations  New Chlorination Systems  Corrosion Control Program  Hydraulic Model – pipes, tanks & quality  Telemetry Remote Stations $ 1.5M Hydraulic Model $ 0.7M Corrosion Control $ 0.2M Westward PS $ 4.0M Water Storage Tank $ 1.2M Total $7.6M Remote Stations $ 1.5M Hydraulic Model $ 0.7M Corrosion Control $ 0.2M Westward PS $ 4.0M Water Storage Tank $ 1.2M Total $7.6M Corrosion Testing Equipment Remote Pump Station Telemetry Screen Active Projects

13. Next Steps with Water Program  Meetings with Regulatory Agencies  Alternatives Evaluation  Cost Estimates Refined  Commission Workshops  Decision to Health Department March 10 th

14. DEDICATED TOWN DESALINATION PLANT

15. PROCESS FLOW DIAGRAM Pre-TreatmentPost-Treatment Chlorine Coagulant Chlorine Caustic Soda Fluoride Cleaning System Deep Injection Well Membranes Source Residuals Fine Screens Coagulation & Flocculation ClarificationClarification MicrofiltrationMicrofiltration Ultraviolet Light Cartridge Filters Flocculant Aid Bisulfite 1 st and 2 nd RO Passes Calcite Contactor Storage Tank High Service Pump Station Carbon Dioxide Calcium Carbonate Corrosion Inhibitor Backwash Equalization Gravity Sludge Thickening DewateringDewatering LandfillLandfill Intracoastal Raw Water Intake Structure & Pump Station Intracoastal Raw Water Intake Structure & Pump Station

16. 15 MGD RAW WATER INTAKE $17 million

17. PROCESS FLOW DIAGRAM Pre-TreatmentPost-Treatment Chlorine Coagulant Chlorine Caustic Soda Fluoride Cleaning System Deep Injection Well Membranes Source Residuals Fine Screens Coagulation & Flocculation ClarificationClarification MicrofiltrationMicrofiltration Ultraviolet Light Cartridge Filters Flocculant Aid Bisulfite 1 st and 2 nd RO Passes Calcite Contactor Storage Tank High Service Pump Station Carbon Dioxide Calcium Carbonate Corrosion Inhibitor Backwash Equalization Gravity Sludge Thickening DewateringDewatering LandfillLandfill Intracoastal Raw Water Intake Structure & Pump Station Intracoastal Raw Water Intake Structure & Pump Station

18. 10 MGD MEMBRANE TREATMENT $154 million

19. COMPLETE COST ESTIMATE $222 million The Town has other options:  Floridan Aquifer 10 mgd Water Plant  Reclaimed Water – City’s AWT Facility  Membrane Biological Reactor (MBR) Plant  Remain “as-is” customer

20. FLORIDAN AQUIFER PLANT OPTION

21. FLORIDAN AQUIFER PLANT COSTS $99 million

22. OPTIONS SUMMARY OptionCost Desalination WTP$ 222 million Floridan Reverse Osmosis WTP$99 million Reclaimed Water from CityTBD MBR for Irrigation WaterTBD Remain “as-is” Customer$0 The City requests the Town provide its decision quickly.

23. QUESTIONS?