dEPA United States Environmental Protection Agency EPA816-R-99-010 July 1999 Office of Water (4606) National Characteristics of Drinking Water Systems Serving Populations Under 10,000 ------- National Characteristics of Drinking Water Systems Serving Populations Under 10,000 This document was prepared to support the deliberations of the National Drinking Water Advisory Council's Small Systems Implementation Working Group (members listed on page vi) Prepared for: Peter Shanaghan, United States Environmental Protection Agency Designated Federal Official, Small Systems Implementation Working Group Prepared by: The Cadmus Group, Inc. 135 Beaver Street Waltham, MA 02452 ------- EXECUTIVE SUMMARY This report addresses questions raised by the National Drinking Water Advisory Council's Small Systems Working Group concerning the characteristics of small drinking water systems in the United States. The report is a national characterization based on existing data and therefore may not discuss issues particular to any one State or environment. The data in the report were drawn primarily from three sources: the 1995 Community Water System Survey, the 1995 Drinking Water Infrastructure Needs Survey, and FY98 data from the Safe Drinking Water Information System (SDWIS). The report is divided into 8 sections: 1. Introduction 2. Ownership Characteristics 3. Operating Characteristics 4. Financial Characteristics 5. Infrastructure Needs 6. Compliance and Violations 7. Noncommunity Water Systems 8. Mis sing Data Findings Principle conclusions are summarized below: Inventory • There are 54,367 community water systems (CWSs), serving about 253 million people. Approximately 93 percent of CWSs are small systems serving fewer than 10,000 persons. Although these small systems comprise the significant majority of CWSs, they serve just 20 percent of the population served by CWSs. • There are 20,255 nontransient, noncommunity water systems (NTNCWSs), serving about 6 million people. • There are 95,754 transient, noncommunity water systems (TNCWSs), serving approxi- mately 17 million people. • For the purposes of this report, small systems are defined as CWSs, NTNCWSs, and TNCWSs that serve fewer than 10,000 persons. ------- Ownership Characteristics • Ownership type and system size are related. Most systems serving 500 or fewer people are ancillary or privately owned systems, while most larger systems are publicly owned. Operating Characteristics • The smallest systems (systems serving under 501 persons) appear to have experienced little growth in service population between 1990 and 1994. The only evident growth was found in the number of systems serving 101 to 500 persons, which increased by only 2.5 percent in median connections for this period. • The largest growth in service population among small systems was found in those serving 3,301-10,000 persons. Between 1990 and 1994, systems in this size category experienced a 10 percent increase in the number of connections and an 11.1 percent increase in customers. • A system's water source is a key factor in determining operating characteristics, and source corresponds closely to system size. Larger systems are more likely to use surface water or pur- chased water as their primary source, whereas most small systems use ground water. • Production per connection increases steadily as system size increases. This increase in production per connection is likely indicative of the differences between the customer bases of larger and smaller systems. Large systems tend to have a higher percentage of industrial, commer- cial, and agricultural customers, whereas small systems serve primarily residential customers, who, as a group, generally use less water. • Publicly owned systems serving less than 500 persons generally receive more technical assistance than privately owned or ancillary systems of the same size. • Through source water protection and wellhead protection programs, water systems can improve the quality of their water, decrease the likelihood of waterborne disease outbreaks, and reduce the need for future capital expenditures for treatment facilities and equipment. The impor- tance of source water protection is highlighted by the finding that 93 percent of groundwater systems serving 1,001-3,300 persons and 83 percent of those serving less than 1,001 persons have a potential source of contamination within 2 miles of their well(s). Financial Characteristics • More than 50 percent of systems serving 25 to 100 persons do not keep separate income and expense statements. This may be attributed to the large number of systems in this size cat- egory that are ancillary systems and, therefore, do not provide water as their primary business. Ancillary systems typically do not record water-related expenses separately. ------- • Water systems' total water revenues are generated from water sales, fees, fines, and general fund revenues. Systems can also generate revenues from other non-consumption based charges such as interest earnings. Ancillary systems usually do not generate water sales or water-related o J J Jo revenue. Rather, revenue is generated by the principal business of the system of which the provi- sion of water is merely an ancillary function. Water rates are the primary mechanism through which customers are charged for service and the main vehicle through which non-ancillary systems generate revenue. • Median total water revenue per connection for the smallest CWSs (serving 25-100 persons) is $0, indicating that at least half of the smallest systems do not charge for water through rates or fees. • Revenues per connection across all revenue categories are higher for surface water systems, perhaps reflecting the greater technical complexity generally associated with surface water sources. • Unmetered systems tend to be very small systems; only 37% percent of all connections served by systems serving 25-100 persons are metered. • For systems serving fewer than 10,001 persons, median expenditures per connection in- crease as system size increases for all ownership types. Infrastructure • Small systems have more than 3 times the per-household need of large systems. The small systems need is $3,300 per household until the year 2015. Transmission and distribution is the largest category of need cited by small systems. • Over 60 percent of small systems also report need in source development, often because their sources are threatened by contamination or supply problems. Compliance and Violations • Systems serving 25-500 persons have many more violations per 1,000 people than do any other size category of systems. This is true for CWSs, NTNCWSs, and TNCWSs. Of particular note are MCL violations which, like other types of violations, decrease in frequency with system size. For every one million customers of CWSs serving 500 or fewer people (of which 39% are ancillary systems), there are approximately 800 MCL violations and 7,164 total violations. In contrast, for systems serving over 10,000 persons, there is approximately 2 MCL violations and 10 total violations per one million customers. ------- Noncommunity Water Systems • NOTE: The Community Water System Survey (CWSS) provided a unique opportunity to review data for a variety of system sizes and ownership types. No similar survey exists for non- community water systems (NCWS). Therefore, because SDWIS is the primary source of informa- tion on these systems, analysis is limited to information contained in that database, which is largely inventory and compliance data available from SDWIS. • Over 97 percent of NTNCWSs serve fewer than 3,301 people and most NTNCWSs have large service populations per connection. • TNCWSs serving 3,300 or fewer persons account for over 99 percent of violations com- mitted by TNCWSs. Of these violations, almost 97 percent were committed by systems serving fewer than 501 persons. Most of these violations were monitoring and reporting. ------- Contents Executive Summary i Section 1: Introduction 1-1 Section 2: Ownership Characteristics 2-1 Section 3: Operating Characteristics 3-1 Service Population 3-1 Source 3-3 Production 3-4 Technical Assistance 3-5 Personnel 3-6 Source Water Protection 3-7 Section 4: FINANCIAL CHARACTERISTICS 4-1 Accounting 4-1 Revenues 4-2 Rate Structure 4-6 Expenditures 4-9 Ratios 4-10 Section 5: Infrastructure Needs 5-1 Section 6: Compliance and Violations 6-1 Section 7: NONCOMMUNITY WATER SYSTEMS 7-1 NTNCWS 7-2 TNCWS 7-6 MISSING DATA 8-1 APPENDIX A-l ------- National Drinking Water Advisory Council (NDWAC) Small Systems Implementation Working Group Members Pat Banegas Jerry Biberstine Mark Bugher Michael Dimitriou Jim Dunlap Paul Felz Bruce Florquist Andrea Griese J.W. Heliums Christine Hoover Leon Jacobs Diane Kiesling* Kirk Leifheit Charles Maddox Gary Morgan Yvette DePeiza John Scheltens Peter Shanaghan Dave Siburg Blanca Surgeon Curtis Truss Michael Walsh Bob Wendelgass General Manager, Anthony Water and Sanitation District, New Mexico Colorado Department of Public Health & Environment. Association of State Drinking Water Administrators (ASDWA) West Virginia American Water Company, Huntington Division. National Association of Water Companies (NAWC) Aquasource North America Owner, John Deere Dealership. National Rural Water Association (NRWA) US EPA Region VIII, Denver, Colorado Public Works Director, City of Rawlins. American Public Works Association (APWA) Drinking Water Program, South Dakota Department of Environment and Natural Resources. ASDWA Utilities Management Specialist, Community Resource Group. Rural Community Assistance Program (RCAP) Office of the Consumer Advocate, National Association of State Utility Consumer Advocates (NASUCA) Commissioner, Florida Public Service Commission The Kiesling Group Ohio EPA, Division of Drinking & Ground Water Manager, Public Drinking Water Section, Texas Natural Resource Conservation Commission (TNRCC) Engineer and Environmental Staff Director, USD A/Rural Utilities Service (RUS) Massachusetts Department of Environmental Protection, Drinking Water Program City Engineer, City of Hot Springs, South Dakota. NDWAC US EPA Headquarters; Working Group's Designated Federal Official Manager, Public Utilities District (PUD) #1 of Kitsap County, Washington. American Water Works Association (AWWA) Rural Community Assistance County Corporation, New Mexico. RCAP Assistant Director, Springfield, Ohio. AWWA President, Shorelands Water. NAWC Pennsylvania State Director, Clean Water Action * Due to other professional obligations, Ms. Kiesling withdrew from NDWAC and the working group during its early deliberations. ------- Section 1: INTRODUCTION According to FY98 data obtained from the Safe Drinking Water Information System (SDWIS) database, there are 170,376 public water systems (PWSs) in operation in the United States. A PWS is a "system for the provision to the public of water for human consumption through pipes or other constructed conveyances, if such system has at least 15 service connections or regularly serves an average of at least 25 individuals daily at least 60 days out of the year. A public water system is either a community water system or a noncommunity water system." (40 CFR §141.2) Figure 1.1: Number of Systems by System Type Source: SDWIS FY98Q4 Frozen Inventory Table (Data from Table 1) 100,000 20,000 CWSs NTNCWSs TNCWSs A community water system (CWS) is "a public water system that serves at least 15 service connections used by year-round residents or regularly serves at least 25 year-round residents." (40 CFR §141.2) There are 54,367 CWSs (Figure 1.1) serving about 253 million people (Figure 1.2). CWSs can be privately owned or publicly owned. A substantial number of privately owned systems are 'ancillary' systems that provide water as an ancillary function of their principal business. Mobile home parks are common examples of ancillary systems. A noncommunity water system (NCWS) is a PWS that is not a CWS. Noncommunity water systems are divided into nontransient (NTNCWSs) and transient (TNCWSs) systems. A NTNCWS is a PWS that "regularly serves at least 25 of the same persons over 6 months per year." (40 CFR §141.2) Examples of NTNCWSs are schools, factories, office and industrial parks, and major shopping centers. The 20,255 NTNCWSs (Figure 1.1) across the nation serve about 6 million people (Figure 1.2). Many of these systems are privately owned. l-l ------- Figure 1.2: Number of People Served by System Type (in millions) Source: SDWIS FY98Q4 Frozen Inventory Table (Data from Table 1) 250 200 50 CWSs NTNCWSs TNCWSs ATNCWS is a PWS that "does not regularly serve at least 25 of the same persons over 6 months per year." (40 CFR §141.2) Examples of TNCWSs are highway rest stops, small restaurants, and recreation areas. The 95,754 TNCWSs (Figure 1.1) serve approximately 17 million people (Figure 1.2). Figure 1.3 illustrates the net change in the number of systems from 1992-1994. EPA data from the 1994 National Compliance Report (NCR) show that the largest decrease in the number of CWSs by size category is found in systems serving fewer than 500 persons, a decrease of 4.3%. Figure 1.3: Percent Change in the Number of CWSs by System Size Source: 1994 National Compliance Report (Data from Table 2) -2% -4% -6% 25-500 501-3,300 3,301-10,000 10,001+ 1-2 ------- Three factors contributed to the overall decline in the number of small systems: interconnection of systems; systems terminating operation; and corrections in the inventory of systems. In contrast to small systems, there was modest growth in larger CWSs, with a 0.7 percent increase in the number of systems serving over 10,000 people between 1992 and 1994. There has been a 3.3 percent overall decline in the number of CWSs nationwide. This report addresses the characteristics of PWSs in general and CWSs in particular. Approxi- mately 93 percent of CWSs serve fewer than 10,000 persons. Although these systems comprise a significant majority of CWSs, they serve only 20 percent of the total population served by CWSs. For the purposes of this report, small systems will be defined as those systems serving fewer than 10,000 people. These small systems differ from their larger counterparts in many important as- pects. This report highlights the differences between small and large systems in ownership, operat- ing characteristics, financial characteristics, infrastructure needs, and compliance with National Primary Drinking Water Regulations (NPDWRs). Noncommunity systems, which are not included in many of the national surveys that furnish data on water systems, are dealt with separately at the end of this report. It is important to keep in mind that the small system information in this report is a national characterization based on existing data. Therefore, the report may not reflect charac- teristics of small systems in specific environments or situations. Most of the data for this report were drawn from the three sources outlined below: Community Water System Survey EPA conducted the 1995 Community Water System Survey to provide data necessary for the development and evaluation of drinking water regulations. The survey was completed in two phases. Phase one involved a preliminary survey and instrument sampling plan, which was fol- lowed by a pretest of nine water systems. Computer-assisted telephone interviews were then conducted to determine system eligibility and appropriate respondents for the pilot test and mail questionnaire. The second phase of the survey was a mailing of 3,700 questionnaires. Water systems were asked to respond to questions concerning operating and financial characteristics, including questions regarding source, treatment, distribution, operator certification, revenues, and expenses. Approximately 54 percent of eligible participants completed the questionnaire. Drinking Water Infrastructure Needs Survey EPA's Drinking Water Infrastructure Needs Survey was conducted in 1995 to document the infrastructure needs of the nation's CWSs for the 20-year period from January 1995 through December 2014. Infrastructure needs were grouped into four categories: source, treatment, storage, and transmission and distribution. Systems were divided into three size classifications: large (serving more than 50,000 people), medium (serving 3,301-50,000 people), and small (serving fewer than 3,300). All large CWSs received mailed questionnaires. Infrastructure needs for medium and small CWSs were estimated using statistical surveys. To identify needs of medium systems, a portion of the medium sized 1-3 ------- systems were surveyed by mailed questionnaire. To determine the needs of the small drinking water systems, EPA staff and contractors conducted site visits. Needs of the sampled systems were extrapolated to estimate total need for medium and small systems. The most common documentation of CWS needs was found in captial improvement plans and engineering reports. Safe Drinking Water Information System (FY98 data) The Safe Drinking Water Information System (SDWIS), maintained by EPA, is a database containing information on public water systems throughout the United States. It contains a variety of historical and current data on compliance, enforcement, and water system inventory—required and non-required information. Each State uploads information individually. Data can be accessed by the public through the World Wide Web. Most of the SDWIS data in this report was drawn in November 1998. Limited data comes from the \994NationalCompliance Report and the precursor to the SDWIS database (known as FRDS). 1-4 ------- Section 2: OWNERSHIP CHARACTERISTICS All CWSs serve the public, but not all of them are publicly owned. The percentage break- down of ownership for all CWSs is depicted in Figure 2.1. Only forty-three percent of CWSs are publicly owned. This group comprises water systems that are owed by municipalities, townships, counties, water districts, and water authorities. On the other hand, the vast majority of water system customers, about 84 percent, receive their water from publicly owned systems (Figure 2.2); publicly owned water systems usually serve much larger populations than privately owned systems. Thirty-three percent of CWSs are privately owned. Private ownership encompasses a broad range of owners, from homeowners' associations to investor-owned water companies. Approxi- mately 15% of CWS customers receive their water from privately owned systems. The remaining 24 percent of CWSs are ancillary systems. Most of these systems serve 500 or fewer persons, providing water as a convenience to their patrons, employees, or residents. They do not bill users directly for water service. Mobile home parks account for a majority of ancillary systems. Ownership type varies by system size (Figures 2.3 to 2.7). In systems serving 25-100 people, ancillary systems—specifically mobile home parks—dominate ownership (Figure 2.3). They also comprise almost a third of the systems serving 101-500 people (Figure 2.4). A minority of systems in these smallest size categories are publicly owned. A dramatic shift in ownership type occurs in systems serving more than 500 persons (Figures 2.5 to 2.7). Governments own a substantial majority of these systems, and ancillary systems com- prise an insignificant percentage. Although the percentage of privately owned systems declines steadily as system size increases, there are privately owned systems in even the largest size catego- ries. Figure 2.1: Ownership of Community Water Systems Source: 1995 Community Water System Survey (Data from Table 3) Figure 2.2: Percentage of CWS Customers Served by Privately Owned, Publicly Owned, and Ancillary Systems Source: 1995 Community Water System Survey (Data from Table 4) Publicly Owned 43% Population Served Population Served by Ancillary by Privately Owned 1% 15% Population Served by Publicly Owned 2-1 ------- WATER SYSTEM OWNERSHIP Figure 2.3: Ownership of Systems Serving Population 25-100 Source: 1995 Community Water System Survey (Data from Table 3) Other Privately Owned Special District 1% Government 7% Investor Owned Homeowners' Associatioi 16% Other Ancillary Institution Mobile Home Park Figure 2.4: Ownership of Systems Serving Population 101-500 Source: 1995 Community Water System Survey (Data from Table 3) Other Privately Owned 4% Investor Owned 18% Homeowners' Association 12% Other Ancillary 5% Special District 6% Mobile Home Park 22% 2-2 ------- WATER SYSTEM OWNERSHIP Figure 2.5: Ownership of Systems Serving Population 501-3,300 Source: 1995 Community Water System Survey (Data from Table 3) Other Privately Owned Mobile Home Park 3% Figure 2.6: Ownership of Systems Serving Population 3,301-10,000 Source: 1995 Community Water System Survey (Data from Table 3) Special District 6% Homeowners' Association 4% Mobile Home Park 4% Figure 2.7: Ownership of Systems Serving Population 10,001+ Source: 1995 Community Water System Survey (Data from Table 3) Other Privatety Owned Mobile Home Park 2-3 ------- Section 3: OPERATING CHARACTERISTICS Service Population The median number of connections per system varies from 22 connections for systems serv- ing 25-100 persons to 1,800 connections for systems serving 3,301-10,000 persons (Figure 3.1). Median service population varies from 58 people for systems serving 25-100 persons to 5,474 people for systems serving 3,301-10,000 persons (Figure 3.2). Figure 3.1: Median Number of Connections by System Size Source: FRDS Database as of 7/96 (Data from Table 5) 300 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 Figure 3.2: Median Number of People Served by System Size Source: FRDS Database as of 7/96 (Data from Table 5) 6,000 5,000 4,000 3,000 2,000 1,000 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 3-1 ------- Although many small systems, such as mobile home parks, are located on the urban fringe in heavily populated areas, the smallest size categories also include systems that serve rural and less densely populated areas. The prevalence of rural systems within the small system category is reflected in the median miles of pipe per connection, which is considerably higher in systems serving fewer than 10,000 persons than in systems serving more than 10,000 persons (Figure 3.3). Figure 3.3: Median Miles of Pipe per Connection by System Size Source: 1995 Community Water System Survey (Data from Table 6) 0.04 0.03 0.03 0.02 0.02 0.01 0.01 0.00 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Figure 3.4 shows the growth rate of system customers and connections between 1990 and 1994, as reported by the 1995 Community Water System Survey (CWSS). The smallest systems appear to have experienced no growth in their customer base and little growth in their number of Figure 3.4: Median Growth in Customers and Connections by System Size (1990-1994) Source: 1995 Community Water System Survey (Data from Table 7) 12% 10% 8% 6% 4% 2% -• 0% D Connections • Customers Systems servicing 25- lOOpeople reported median growth of(J% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ 3-2 ------- connections. Median connections in systems serving 101-500 persons grew by only 2.5 percent for this period. Systems serving 3,301-10,000 persons saw the largest rate of growth in their customer base; 11.1 percent. This group also experienced the largest median increase in connections; 10 percent for the period. Source A system's water source is a key factor in determining operating characteristics, and source corresponds closely to system size. As Figure 3.5 indicates, larger systems are more likely than smaller systems to use surface water or purchased water as their primary source; most small sys- tems use ground water. About 96 percent of systems serving 25-100 persons use ground water as their primary source. Only 47 percent of systems serving over 10,000 persons use ground water as their primary source. This trend has important implications for treatment and capital investment, as raw water obtained from ground water sources typically requires less treatment than raw water from surface water sources. The percentage of systems that use purchased water as their primary source tends to increase with system size for systems serving less than 10,000 persons. Of systems serving 25-100 people, only 2 percent use purchased water as their primary source. Purchased water is the primary source for 23 percent of systems serving 3,301-10,000 persons. Figure 3.5: Percentage of Systems by Source and System Size Source: 1995 Community Water System Survey (Data from Table 8) 100% 80% 60% D Ground Water D Surface Water • Purchased Water 40% 20% 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ 3-3 ------- Production The amount of water produced per day has a direct relationship to system size. This relation- ship is demonstrated in Figure 3.6. As the chart illustrates, median production per connection increases with system size. Figure 3.6 shows the median number of gallons produced per day growing from approximately 6,000 gallons per day in systems serving 25-100 persons to about 8,335,000 gallons per day in systems serving over 10,000 persons. Figure 3.6: Median Thousands of Gallons Produced per Day by System Size Source: 1995 Community Water System Survey (Data from Table 9) 8,000 6,000 4,000 2,000 24 77 219 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ The differences in production between small and large systems are likely indicative of differ- ences in their customer bases. Data discussed in Section 4: Financial Characteristics, depict the cus- tomer bases served by different sized systems by showing the revenue by customer type. Larger J J J O J J L O systems tend to have a higher percentage of industrial, commercial, and agricultural customers, while smaller systems serve primarily residential customers. Residential customers usually use less water than industrial, commercial, and agricultural customers, lowering the per connection produc- tion of small systems. The data show that about 89 percent of revenue for systems serving be- tween 25 and 100 persons is from residential customers. Systems serving more than 10,000 per- sons derive only about 53 percent of their revenue from residential customers (Figure 4.7). For both ground water and surface water systems, the ratio of maximum daily treatment design capacity to peak daily production declines with system size. Figure 3.7 shows the relation- ship between the maximum amount of water a system can technically produce and the amount of water that is actually produced at peak demand. Figure 3.7 demonstrates that small systems have much larger capacity in relation to their peak daily production than large systems. Systems serving 3-4 ------- 25-100 persons have a median ratio of 2.1, while systems serving more than 10,000 persons have a median ratio of only 1.4. This difference in ratios suggests that large systems have more efficient operations. Figure 3.7: Ratio of Maximum Daily Treatment Design Capacity to Peak Daily Production by System Size Source: 1995 Community Water System Survey (Data from Table 9) 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ However, the ratio of maximum daily treatment to peak daily production also appears to reflect the treatment and storage conditions associated with different sources of water. Ground- water systems generally rely on additional pumping and treatment capacity to meet peak demands. Surface water systems, in contrast, generally use more capital-intensive treatment techniques and tend to rely on storage facilities to meet peak momentary and hourly demands. Technical Assistance Technical assistance is classified in three categories. Governmental support includes assistance from federal, State, and local governments. Third-party assistance comprises State rural water associations, rural community assistance programs, other associations, and contracted engineering services. Other technical services include technical publications, radio or television, local newspa- pers, and the Federal Register. The final column in Figure 3.8, which shows the percentage of CWSs receiving technical assistance by ownership type, indicates that 93 percent of all publicly owned systems, 82 percent of all privately owned systems, and 68 percent of all ancillary systems receive technical assistance in some form. 3-5 ------- Figure 3.8: Percentage of All CWSs that Recieve Technical Assistance by Ownership Type Source: 1995 Community Water System Survey (Data from Table 10) 100% 80% - - 60% - - 40% - - 20% - - 0% D Public D Private • Ancillary 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Personnel Figure 3.9 shows that the median value of expenditures for direct compensation and benefits for systems serving 25-100 persons is $0.00, indicating that at least half of the respondents of systems of this size report no expenditures for employee compensation and benefits. Systems serving 101-500 persons spend 22 percent of their total expenditures on direct compensation, but report a median value of $0.00 for employee benefits. This could be due in part to the prevalence of part-time employees and contracted labor in small systems. Another reason that personnel Figure 3.9: Median Personnel Expenses as a Percentage of Total Expenses by System Size Source: 1995 Community Water System Survey (Data from Table 11) 10% - 5% - • Benefits EH Direct Compensation Systems servicing 25-1 00 people reported median personnel expenses of$0 0% 22% 2% 26% 25% 29% - 28% - 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ 3-6 ------- expenses for systems serving less than 500 persons appear low could be due to the fact that ancil- lary systems have been included in the data. Benefits and direct compensation for ancillary system personnel are most likely included in the expenses of the parent company and therefore were often not reported as a separate water system expense. Systems serving more than 3,300 people report expenditures for direct compensation and benefits totaling more than one-third of total expenses. In general, both direct compensation and benefits appear to increase with system size. This could be attributed to the higher levels of certifi- cation and technical sophistication required for the operation of larger systems. Source Water Protection Water systems can improve the quality of their raw water, decrease the likelihood of water- borne disease outbreaks, and reduce the need for future capital expenditures for treatment plants and equipment by adopting source water and wellhead protection programs. Figures 3.10 and 3.11 show the percentage of groundwater systems (Figure 3.10) and surface water systems (Figure 3.11) reporting potential sources of contamination within 2 miles of their intake or well. More than 84 percent of all systems have at least one potential source of contamination within 2 miles of their water intake or well. A higher percentage of larger systems tend to have multiple potential contamination sources near their intakes or wells. Figure 3.10 shows that with the exception of three potential contaminant categories (feedlots, sewage discharge, and septic systems/other sewer), ground water systems serving over 10,000 people comprised the greatest percentage of systems reporting potential contamination within 2 miles of wells for each contaminant category. Septic systems and other sewer systems pose the Figure 3.10: Percentage of Groundwater Systems Reporting Potential Sources of Contamination within 2 Miles of Well(s) by System Size Source: 1995 Community Water System Survey (Data from Table 12) 3-7 ------- greatest threat of potential contamination for small systems. Figure 3.10 also shows that 76 per- cent of groundwater systems serving 1,001-3,300 people have septic or other sewer systems within 2 miles of their well(s) and 69 percent of small systems serving less than 1,001 people reported septic systems or other sewer systems as potential sources of contamination. Figure 3.11 shows that for surface water systems serving more than 1,000 people, agricultural runoff poses the greatest threat of potential contamination. For surface water systems serving less than 1,001 people, septic systems and other sewer systems are reported as the greatest potential sources of contamination. Almost 65 percent of surface water systems serving over 10,000 people reported urban runoff as a potential source of contamination within two miles of the intake. Figure 3.11: Percentage of Surface Water Systems Reporting Potential Sources of Contamination within 2 Miles of Water Intake by System Size Source: 1995 Community Water System Survey (Data from Table 12) Despite the obvious need for source water protection, Figure 3.12 shows that just 28 percent of the smallest systems and only 50 percent of systems serving 10,000 or more persons participate in some form of source water or wellhead protection program. Some small systems might be less likely to adopt wellhead protection or source water protection programs than larger systems because they lack the technical and financial resources to implement and manage such programs. Four widely-used methods of source water protection are: zoning or land use controls, best management practices, education on land use impacts, and watershed ownership. Figure 3.13 depicts the breakdown of the measures used by systems that participate in protection programs. Each of these measures can be an effective barrier to contamination, but the greatest gains in public health protection are most likely to be realized when a combination of several methods is used. 3-8 ------- Figure 3.12: Percentage of Systems Participating in Source Water or Wellhead Protection Programs by System Size Source: 1995 Community Water System Survey (Data from Table 13) 50% 40% 30% 20% 10% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Of systems that do implement source water or wellhead protection programs, the most widely-used methods are zoning or land use controls, best management practices, and education on land use impacts. Watershed ownership is the method least used by water systems in every size category. Systems serving 25-100 persons use education on land use impacts, best management practices, and zoning or land use controls most often. This is most likely because these measures are less costly and less complex than measures such as watershed ownership. Figure 3.13: Of Systems Participating in Source Water or Wellhead Protection: Percentage of Systems Adopting Particular Measures by System Size Source: 1995 Community Water System Survey (Data from Table 13) 80% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ 3-9 ------- Section 4: FINANCIAL CHARACTERISTICS Accounting Larger systems are significantly more likely than smaller systems to use generally accepted accounting principles (GAAP). As shown in Figure 4.1, fewer than 30 percent of systems serving 25-100 persons report using GAAP, while GAAP is used in approximately 90 percent of systems serving more than 1,000 persons. Figure 4.1: Percentage of Systems that Use GAAP by System Size Source: 1995 Community Water System Survey (Data from Table 14) 100% 80% 60% 40% 20% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Use of GAAP is likely related to the ability of systems to identify all costs, set appropriate rates, and maintain accurate records of expenses and revenue. Figure 4.2 shows that revenue in systems serving 25-100 persons that use GAAP is more than twice as large as revenue in like-sized systems that do not use GAAP. Larger systems are more likely to separate financial statements for income and expenses from other financial reporting statements; only 4 percent of systems serving over 10,000 people do not have separate financial statements for drinking water operations (Figure 4.3). For systems serving 25-100 persons, more than 50 percent do not use this fundamental financial capability. This trend might be attributed to the large number of ancillary systems in this category and to the fact that ancillary systems do not record water-related expenses separately. 4-1 ------- Figure 4.2: Median Revenues of Systems Serving 25-100 Persons by Use of GAAP Source: 1995 Community Water System Survey (Data from Table 15) $10,000 $8,000 $6,000 $4,000 $2,000 Systems that Use GAAP Systems that Do Not Use GAAP Figure 4.3: Percentage of Systems that Do Not Have Separate Financial Statements for their Drinking Water Operation by System Size Source: 1995 Community Water System Survey (Data from Table 16) 50% 40% 30% 20% 10% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Revenues Water systems' total water revenues are generated from water sales, fees, fines, and other water- related revenue. Systems can also generate revenues from non-consumption based charges, such as interest earnings. Publicly owned water systems sometimes receive additional contributions from 4-2 ------- governments through general fund revenues. Ancillary systems do not generate water sales or water-related revenue. Rather, revenue is generated by the principal business of the system, of which the provision of water is merely an ancillary function. Water rates are the primary mecha- nism through which customers are charged for service and the main vehicle through which non- ancillary systems generate revenue. When discussing total water system revenue, it is useful to break it into water sales and water- related revenue. Water sales (or rates) comprise the revenue collected for the actual provision of water, based on consumption. Water-related revenues comprise several types of non-consumption based charges, such as connection fees, inspection fees, usage fees, and revenue from municipal general funds. Figure 4.4 depicts median total water revenue per connection for each size category. Figure 4.4: Median Total Water Revenue per Connection Source: 1995 Community Water System Survey (Data from Table 17) $300 $250 $200 $150 $100 $50 $0 Systems servicing 25-100 people reported median total water revenue of $0 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Total water revenue, water sales revenue, and water-related revenue generally increase per connection as system size increases. Median total water revenue per connection for systems serving 25-100 persons is $0, indicating that at least half of the smallest CWSs do not charge for water through rates or fees. Systems serving more than 10,000 persons report approximately $313 per connection in median total water revenue. The upward trend in revenue per connection with system size could reflect numerous factors. Larger systems may have higher usage per connection, caused in part by a higher percentage of commercial, agricultural, and multifamily housing connections. Larger systems are also far less likely to be ancillary systems (thus reporting no water revenue) than smaller systems. 4-3 ------- Source also affects water system revenue, and larger systems are more likely to use surface water sources. Figure 4.5 shows that total revenue per connection is consistently higher for surface water systems than for groundwater systems across all size categories. This trend likely reflects the greater complexity generally associated with surface water sources. These systems often require more technically sophisticated and capital-intensive treatment, which in turn requires more highly- trained personnel. These factors lead to higher expenditures by the water system for the treatment and provision of water. Higher costs are passed on to water users in the form of higher water rates and fees, thus generating higher water revenues. Figure 4.5: Median Total Revenue per Connection by Source and System Size Source: 1995 Community Water System Survey (Data from Table 17) $350 $300 $250 $200 $150 $100 $50 $0 Systems servicing 25-100 people reported median total water revenue of $0 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Median water sales revenue per connection is higher for privately owned systems than for publicly owned systems. However, median water-related revenues per connection are higher for publicly owned systems (Figure 4.6). In privately owned systems, nearly all total water revenue comes from water sales, while publicly owned systems tend to have slightly lower water sales rev- enues that are supplemented by less visible water-related revenues such as connection fees, other non-consumption based charges, grants, and general revenues. Although the proportion of revenue from various sources differs in publicly and privately owned systems, total revenues per connection are fairly similar, with privately owned systems generating about $8 more than publicly owned systems per connection. It is significant that the majority of ancillary systems do not report any water revenue at all (median revenue for ancillary systems is $0 in all revenue categories). 4-4 ------- Figure 4.6: Median Water-Sales and Water-Related Revenue per Connection by Ownership Type Source: 1995 Community Water System Survey (Data from Table 17) $4.12 $231 $242 • WaterRel D Water Sale , s Ancillary systems reported median water sales revenue per connection of$0 Public Private Ancillary Small system revenue is primarily dependent upon residential customers. Eighty-nine percent of small system water sales revenue is derived from residential customers for systems serving less than 100 persons, as shown in Figure 4.7. Large systems derive approximately 53 percent of their revenues from residential customers. Figure 4.7: Total Water Revenue by Customer Type and System Size Source: 1995 Community Water System Survey (Data from Table 18) 100% 80% - - 60% - - 40% - - 20% - - 25-100 D Residential • Commercial/ Industrial • Wholesale • Other 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ 4-5 ------- Rate Structure Approximately 74 % of all CWS residential connections are metered. Water meters allow systems to monitor consumption and establish rates that are based on usage. Figure 4.8 shows that as system size increases, systems are more likely to meter connections. The use of metered rate structures shows a similar increase. Figure 4.8: Percentage of Connections Metered by System Size Source: 1995 Community Water System Survey (Data from Table 19) 100% 80% 60% 40% 20% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Several types of rate structures are used by systems with metered billing: uniform rates, declin- ing block rates, increasing block rates, and seasonal rates. Uniform rates are used by a large per- centage of systems overall; as shown in Figure 4.9. The use of uniform rates is particularly domi- nant among smaller systems, which are much more likely to use a uniform rate structure than another rate structure because of its simplicity. Although larger systems also rely on uniform rates, they tend to use more sophisticated rate structures more frequently, such as declining or increasing block rates (Figure 4.9). This diversity is likely due to the many types of customers these systems serve. 4-6 ------- Figure 4.9: Use of Metered Rate Structures by System Size Source: 1995 Community Water System Survey (Data from Table 19) 100% 80% - - 60% - - 40% - - 20% - - 25-100 D Uniform Rate • Declining Block Rate • Increasing Block Rate • Seasonal Rate 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ The financial health of water systems can depend on their ability to establish water rates that accurately reflect the cost of providing water. Figure 4.10 shows that the last rate increase in systems serving 25-100 persons was a 30 percent increase. In recent years, the costs of providing water have increased significantly; water systems may therefore need to negotiate rate increases fairly regularly. Figure 4.11 shows that it has been at least two years since the last rate increase for systems of all size categories. Figure 4.10: Percentage of Last Rate Increases by System Size Source: 1995 Community Water System Survey (Data from Table 20) 30% 25% 20% 15% 10% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ 4-7 ------- Figure 4.11: Years Since Last Rate Increase by System Size Source: 1995 Community Water System Survey (Data from Table 20) 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Figure 4.12: Comparison of Water Expenditures with other Household Expenses Source: Bureau of Labor Statistics, Consumer Expenditure Survey (1997) Expense Category [ Expei Transportation ; Food ; Health Care i Entertainment ; Gasoline & Motor Oil Electricity Telephone Services \ Natural Gas & Fuel Oil I Pets, toys, etc. Alcoholic Beverages Water & Other Public Services Tobacco Products TOTAL ure 6,457 4,801 1,841 1,813 1,098 909 i 809 i 409 i 327 1 309 1 286 : 264 34,819 % of Total Expenditures 18.5% 13.8% 5.3% 5.2% 3.2% 2.6% 2.3% 1.2% 0.9% 0.9% 0.8% 0.8% 62.4% 4-8 ------- Rate increases within the water system industry have not kept pace with increases of other industries. Figure 4.12 shows that water expenditures are well below other household expenses— including expenditures for utilities, electricity, and telephone services. Only 0.8 percent of house- hold expenditures are devoted to costs associated with the provision of water. In spite of substantial rate increases, the data show that very small water systems are still not raising enough revenue to cover costs (Figure 4.13). Most systems serving fewer than 500 persons still have expenditures that exceed revenues. The data also show that the gap between revenues and expenditures widens as system size increases. This is probably because large systems are more likely to incorporate capital or emergency expenditures into their water rates, and are more likely to accurately estimate the true cost of water. Figure 4.13: Comparison of Water Expenditures per Connection with Water Revenues per Connection Source: 1995 Community Water System Survey (Data from Table 17 and Table 21) $300 $250 $200 $150 - - $100 - - $50 -- 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Expenditures As defined in the 1995 CWSS, total expenses include compensation for employees, energy costs, costs for chemicals and other materials, outside lab fees, other contractor services, deprecia- tion expenses, water purchasing expenses, interest payments, principal payments, capital improve- ments, and contributions to sinking funds. The 1995 CWSS organizes expenditures into three categories: operating expenses, debt service expenditures (such as principle and interest payments), and other expenses (such as capital improvements). This report uses operating and debt service expenditures to define expenditures. Principal payments, contributions to sinking funds, and capital improvements are excluded. 4-9 ------- Operations and maintenance expenses (O&M) include all direct costs of production, such as labor, materials, chemicals, electricity, taxes, and payments in lieu of taxes. Nationally, CWSs spend $16.9 billion for O&M expenses; 76.5 percent of total industry expenses. Of the water industry's remaining expenses, depreciation accounts for $2.4 billion, interest expenses were $2.7 billion, and all other expenses totaled $0.1 billion. O&M is usually greater in larger systems because of the increasingly complex infrastructure, which also demands highly trained (and more experienced) operators. The equipment used by large systems can also be more costly to repair and maintain than the equipment found in smaller sys- tems, particularly given that large systems are more likely to use a surface water source. For systems serving fewer than 10,001 persons, median expenditures per connection increase as system size increases for all ownership types (Figure 4.14). Figure 4.14 also shows that expendi- tures per connection for privately owned systems are higher than those for publicly owned systems, with the exception of two size categories. Figure 4.14: Median Expenditures per Connection for Public, Private, and Ancillary Systems by System Size Source: 1995 Community Water System Survey (Data from Table 21) $350 $300 $250 $200 Systems servicing 25-100 people report median total water revenue of SO $150 $100 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Ratios Financial ratios are frequently used to gauge the financial health of water systems. Two of the most frequently used financial ratios are the operating ratio and the debt service ratio. Some very clear distinctions emerge between small and large systems when examining their respective financial ratios. 4-10 ------- The operating ratio is a system's total operating revenue divided by its operating and maintenance expenses. O&M expenses is the sum of direct compensation (managers, operators, and others), benefits, energy (electricity and other), chemicals (disinfectant, precipitation, and other), materials and supplies, outside lab services, other outside contractors, water purchases, pilot/other cash, other operating expenses, federal taxes, State taxes, and local taxes. Depreciation, primary business expenses, interest payments, principal payments, other debt service, capital improvements, advanced contributions to sinking funds, and other expenses are excluded. Total operating revenues is defined as the sum of water sales, and the following water related revenues: connection fees, inspection fees, developer fees, usage fees, other fees, and gen- eral fund revenues. Interest earned, primary business revenues, fines/penalties, and other water related revenues are excluded from the total. Systems that reported zero operating expenses were excluded from the analysis. Generally, an operating ratio below 1 is considered to be an indicator of weak financial health. Ratios above 1.5 are usually a good indicator of a system with a strong financial situation. Figure 4.15 shows that more than half of systems serving fewer than 101 people have operating ratios below 1. As system size increases, the ratios improve. More than half of systems in the largest size category have an operating ratio above 1.5. Figure 4.15: Operating Ratio Breakdown by System Size Source: 1995 Community Water System Survey (Data from Table 22) System Size Percentage of Systems with Operating Ratios: Greater than 2 11% 8% 15% 12% 16% 24% 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Less than 1 61% 43% 29% 23% 17% 13% 1— 1.5 21% 28% 39% 45% 41% 35% 1.5 — 2 6% 21% 16% 20% 27% 28% 4-11 ------- The debt service coverage ratio measures the ability of water systems to cover their debt service after all operating expenses have been paid. Debt service coverage is computed by divid- ing net available revenue by annual principal and interest (i.e., debt service charges). Net available revenues is the cash available to pay debt service expenses after current O&M expenses have been paid. It is equal to total water revenues (i.e., operating plus non-operating revenues) less O&M expenses. The numerator in the debt service coverage ratio represents annual net revenues available to pay debt service, and the denominator is the amount of debt to be retired and the interest on that debt for one year. It is a critical ratio used by lenders and bond rating services. This ratio should exceed 1.0, and analysts consider a range of 1.0 to 1.5 as acceptable. Systems without debt service expenses may be financially healthy and not in need of the large investments that require systems to do into debt. On the other hand, a system without debt may not be properly leveraging its re- sources and assests to make necessary investments. As shown in Figure 4.16, a vast majority of the smallest systems have no debt. Of those systems serving fewer than 100 people that do have debt, most have debt service coverage ratios below 1. As with operating ratios, the debt service coverage ratio improves with system size. A significant majority of large systems have debt service coverage ratios above 1. Figure 4.16: Debt Service Coverage Ratio Breakdown by System Size Source: 1995 Community Water System Survey (Data from Table 22) System Size Percentage of Systems with Debt Service Coverage Ratios: Less than 1 1 — 1.5 Greater than No Debt 1.5 Service 25-100 7% 0% 5% 88% 101-500 18% 7% 10% 65% 501-1,000 25% 5% 23% 46% 1,001-3,300 29% 9% 29% 34% 3,301-10,000 24% 19% 26% 32% 10,001+ 20% 16% 36% 27% 4-12 ------- Section 5: INFRASTRUCTURE NEEDS Much of the nation's drinking water infrastructure suffers from long term neglect and deterio- ration. An EPA-sponsored infrastructure needs survey of 4,000 CWSs conducted in 1995 found widespread infrastructure deterioration in all sizes of water systems. The total dollar need for all systems for the 20-year period from 1995 to 2015, shown in Figure 5.1, is $138.4 billion. Of this total, small systems need approximately $37.2 billion. It is important to note that the definition of "small systems" used in the 1995 Needs Survey differs from the definition used elsewhere in this report. Small systems in the 1995 Needs Survey are defined as systems serving 3,300 and fewer people, while systems serving 3,301 to 10,000 are included in the medium system category. The 1995 Needs Survey shows that the total need for systems serving 25 to 10,000 persons is $53.1 billion. Figure 5.1: Total 20-Year Need by Component of Need and System Size (billions of dollars) Source: 1995 Infrastructure Needs Survey System Size Large Systems (serving more than 50, 000) M edium Systems (serving 3,301 to50,000) Small Systems* (serving 3,300 and fewer) American Indian and Alaska Native Systems Total Transmission and Distribution $30.5 j> 2 2 . 2 $23.8 $0.6 $77.2 Treatment $17.2 $12.0 $6.7 $0.3 $36.2 Storage $3.5 $4.2 $4.2 $0.3 $12.1 Source $5.6 $2.8 $2.5 $0.1 $11.0 Other $1.6 $0.3 $0.04 $0.03 $1.9 Total $58.5 $41.4 $37.2 $1.3 $138.4 *Note: The rest of this report defines sm all system s as system s serving 1 0,000 or fewer persons. Note: Totals m ay not sum exactly due to rounding. Figure 5.2 reveals that small systems have more than three times the per-household need of large systems. Small systems' infrastructure needs amount to $3,300 per household over the 20- year period. These systems demonstrate greater need per household because they must spread the considerable cost of infrastructure improvement and replacement over a relatively small customer base. Large systems have the lowest need per household (less than $1,000) because infrastructure costs are shared by much larger service populations. 5-1 ------- Figure 5.2: Need Per Household by System Size Source: 1995 Infrastructure Needs Survey (Data from Table 23) There are four major categories of need for all CWSs: transmission and distribution, treat- ment, storage, and source. For CWSs, transmission and distribution needs total $77.2 billion, more than half of the total dollar need for CWSs (Figure 5.1). The overwhelming need in small systems for transmission and distribution infrastructure is demonstrated in Figure 5.3. Eighty-one percent of systems serving fewer than 3,301 persons require replacement of poorly designed or deteriorat- ing distribution and transmission infrastructure. Two-thirds of small water systems, as shown in Figure 5.3, reported a need for improvements to storage facilities, making it the second-most prevalent category of need among small systems. Storage is critical for water systems because it ensures the positive water pressure necessary to prevent contamination. It also provides water for periods when demand exceeds the capacity of source and treatment facilities. Small system storage needs per household are larger than the needs of medium and large systems because the majority of these systems rely on small wells without back-up systems. Most larger systems have existing storage facilities. Source needs range in size and type. Figure 5.1 reveals that source development is a small portion of the total dollar need for CWSs. While the dollar figure is comparatively low, Figure 5.3 shows that source development is a need for many small systems (65 percent). Wells (especially smaller wells) can be clogged by sediment, calcium carbonate deposits, and accumulation of iron bacteria; this can lead to supply and contamination problems. Treatment need is the least prevalent category of need for small systems. Figure 5.3 shows that only 34 percent of small systems have treatment needs. 5-2 ------- Figure 5.3: Percentage of Small Systems Reporting Needs by Category of Need Source: 1995 Infrastructure Needs Survey (Data from Table 24) Distribution Upgrades Storage Upgrades Source Upgrades Treatment Upgrades In 1998, the American Water Works Association (AWWA) published its own estimate of infrastructure needs related to distribution in Infrastructure Needs for the Public Water Supply Sector. AWWA's Monte Carlo analysis, which did not include small systems, estimated a greater need than EPA's 1995 Needs Survey for infrastructure investment for distribution in large and medium systems. The study incorporated the estimate for small systems from the EPA's Drinking Water Infrastructure Needs Survey. Again, small systems were defined in this study as those systems serving fewer than 3,301 persons, medium systems were defined as those serving 3,301-50,000 persons, and large systems were defined as those serving more than 50,000 persons. Figure 5.4: AWWA Estimate of 20-Year Total Need (in billions of dollars) Source: 1998 Infrastructure Needs for the Public Water Supply Section (Data from Table 25) $200 $160 $120 Small Medium Large 5-3 ------- Section 6: COMPLIANCE AND VIOLATIONS The FY98 SDWIS data track compliance with NPDWRs in CWSs. Figure 6.1 shows the percentage of CWSs that have had violations by system size and type of violation. These violations include maximum contaminant levels (MCLs), monitoring and reporting violations (M/R), treat- ment technique violations (TT), and other violations. M/R violations make up the largest percent- age of violations for each system size. Systems serving 25-500 persons also have the largest per- centage of M/R violations at 21.1%. M/R violations decrease as system size increases. MCL violations are most prevalent in systems serving between 25 and 500 people. Figure 6.1: Percentage of CWSs with Violations by System Size Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 26) 20% 16% 12% DMCL BM/R BTT B Other 25-500 501-3,300 3,301-10,000 10,001+ Figure 6.2 shows violations per 1,000 people served for CWSs. Systems serving 25-500 persons have the greatest number of violations per 1,000 people for all violation types. The number of violations per 1,000 persons decreases as system size increases for all violation catego- ries. For every one million persons served by the smallest category of systems, there are approxi- mately 807 MCL violations and 7,164 total violations. In contrast, for every one million customers of systems serving over 10,000 persons, there are less than 2 MCL violations and 10 total viola- tions. M/R violations are the most frequent violation type for all size systems, with over 160 violations occurring per one million persons served by CWSs. 6-1 ------- Figure 6.2: Violations per 1,000 People Served for CWS Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 27) System Size <10,001 25-500 501-3,300 3,301-10,000 Total 10,001+ All Violation Type MCL 0.8072 0.0722 0.0143 0.1200 0.0016 0.0251 TT 0.2079 0.0428 0.0099 0.0436 0.0017 0.0100 M/R 5.9245 0.3027 0.0896 0.7828 0.0062 0.1604 Other 0.2247 0.0146 0.0029 0.0307 0.0004 0.0061 All 7.1644 0.4323 0.1167 0.9770 0.0098 0.2015 Although small systems, especially those serving 25-500 persons, have the highest percentage of systems with MCL violations among CWSs, Figure 6.3 demonstrates that this percentage is largely a reflection of the number of small systems in the United States. The percentage of systems with MCL violations in each size category closely tracks the percentage of systems within that category for all system sizes. O J J Figure 6.3: Comparison of CWSs with MCL Violations by System Size Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 1 and Table 26) 60% 50% 40% 30% 25-500 501-3,300 D Percentage of Systems • Percentage of Systems with MCL Violations 3,301-10,000 10,001+ 6-2 ------- Section 7: NONCOMMUNITY WATER SYSTEMS The previous sections of this report contain information on the operating and financial practices and the infrastructure needs of CWSs. Much of this data was drawn from several na- tional surveys of CWSs. There are no comparable national surveys examining NCWSs. The primary sources of information on NCWSs are the federally-maintained SDWTS database and the reports written based on SDWIS data. Therefore, available data focuses on inventory and compli- ance information. There is much about the financial and operating characteristics of NCWSs left to be studied. There are two types of NCWSs: nontransient noncommunity water systems (NTNCWSs) and transient noncommunity water systems (TNCWSs). There are about 116,009 NCWSs in the United States serving over 23 million people. Over 98 percent of NCWSs use ground water as their primary source. As shown in Figure 7.1, over 99 percent of systems serve fewer than 3,301 people. Figure 7.1: Percentage of NCWSs by System Size Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 28) 501-3,300 4.6% 3301-10,000 10,001+ 0.2% "A r 0.1% Figure 7.2 shows the breakdown by ownership type for all NCWSs. Almost a quarter of these systems are restaurants. Schools, churches, day care centers, summer camps, and medical facilities combined make up another quarter of all NCWSs. 7-1 ------- Figure 7.2: Ownership of all NCWSs Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 29) Day Care Centers 0.9% Schools 7.8% Campgrounds/RV Parks 4.7% Summer Camps 5.2% NTNCWS ANTNCWS is "a public water system that is not a community water system and that regularly serves at least 25 of the same persons over 6 months per year." (40 CFR §141.2) Examples of NTNCWSs are schools, factories, office and industrial parks, and major shopping centers. Approximately 20,000 NTNCWSs across the nation serve some 6 million people. About 97 percent of these systems use ground water as their primary source. Figure 7.3: Percentage of NTNCWSs by System Size Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 28) 3,301-10,000 0.4% 7-2 ------- Figure 7.3 shows that close to 99 percent of NTNCWS serve fewer than 3,301 people; 86 percent of NTNCWSs have a service population of less than 501 persons. Figures 7.4 and 7.5 show that NTNCWSs serving fewer than 100 persons have a median service connection of 1 and a median service population of 48, and systems serving between 501 and 1,000 people have a service connection of 1 and a median service population of 700. These data indicate that a single service connection usually serves a large number of people. Figure 7.4: Median Number of Connections by NTNCWS Size Source: 1994 National Compliance Report (Data from Table 5) 15 10 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,000+ Figure 7.5: Median Number of Customers by NTNCWS Size Source: 1994 National Compliance Report (Data from Table 5) 18,000 3,000 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,000+ 7-3 ------- Figure 7.6 shows the percent of NTNCWS violations detailed by system size. Like CWSs, the most common type of NTNCWS violation is a M/R violation. Figure 7.7 shows that the smallest size category of NTNCWSs has more violations per 1,000 customers than does any other size category. As with CWSs, the number of violations per 1,000 people decreases as system size increases (except for systems serving over 10,000 persons, which experience more M/R violations per 1,000 customers than systems serving 3,301-10,000 persons). Compared with the smallest size category of CWSs, NTNCWSs that serve 25-500 people experience almost half as many MCL violations per 1,000 customers. There are only about 491 MCL violations per one million customers of the smallest NTNCWSs compared to over 800 MCL violations for CWSs of the same size. The largest NTNCWSs have a similar number of MCL violations per 1,000 customers compared to similar sized systems. This trend is reversed when comparing the incidence of total violations, where NTNCWSs serving under 501 persons experi- ence over 1,000 more total violations per one million customers than the same size category of CWSs. The largest category of NTNCWSs has almost 200 more total violations than CWSs of the same size. Figure 7.6: Percentage of NTNCWSs With Violations by Violation Type for each Size Category Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 26) 20% 16% 12% DMCL DM/R DTT • Other 0% 25-500 501-3,300 3,301-10,000 10,001+ The proportion of NTNCWSs with MCL violations accounted for by each size category of systems is illustrated in Figure 7.8. The smallest systems make up about 85 percent of all NTNCWSs, but account for a slightly greater share of systems reporting MCL violations (89 percent). Generally, the other system sizes of NTNCWSs seem to account for violations propor- tionally. 7-4 ------- Figure 7.7: Violations per 1,000 People Served for NTNCWS Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 27) System Size <10,001 25-500 501-3,300 3,301-10,000 Total 10,001 + All Violation Type MCL 0.491 0.048 0.004 0.234 0.002 0.212 TT 0.064 0.004 0.000 0.029 0.000 0.026 M/R 8.299 0.712 0.127 3.910 0.293 3.564 Other 0.089 0.014 0.002 0.045 0.000 0.041 All 8.944 0.777 0.134 4.218 0.294 3.843 Figure 7.8: Comparison of NTNCWSs with MCL Violations by System Size Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 1 and Table 26) 100% 80% 60% 40% 20% 25-500 501-3,300 D Percentage of Systems • Percentage of Systems with MCL Violations 0.4% 3,301-10,000 10,001+ Based on NCR data, the number of NTNCWSs serving more than 10,000 people increased 5.9 percent from 1992 to 1994 (see Figure 7.9). The data show a 3.2 percent decrease in the num- ber of NTNCWSs serving 500 or fewer people, and a 3.6 percent decrease in the number of NTNCWSs serving 3,301-10,000 people. Over the same time period, the number of systems serving over 10,000 people increased by 5.9 percent. These changes could be due to the consolida- tion of NTNCWSs into CWSs or to the correction of inventory errors. 7-5 ------- Figure 7.9: Percent Change in the Number of TNCWSs by System Size (1992-1994) Source: 1994 National Compliance Report (Data from Table 2) 0% -2% -4% 25-500 501-3,300 3,301-10,000 10,001+ TNCWS ATNCWS is "a noncommunity water system that does not regularly serve at least 25 of the same persons over six months per year." (40 CFR §141.2) Examples of TNCWSs are highway rest stops, restaurants, and recreation areas. More than 95,000 TNCWSs serve approxi- mately 17 million people. Like NTNCWSs, the vast majority of TNCWSs have 3,300 customers or fewer (Figure 7.10). Figure 7.10: Percentage of TNCWSs by System Type Source: 1994 National Compliance Report (Data from Table 28) 501-3,300 2.6% 3,301-10,000 0.2% 10,001+ 0.1% 7-6 ------- Figures 7.11 and 7.12 show that the smallest size category of TNCWSs has a median service connection of 1 and a median service population of 30 persons, suggesting that TNCWSs have a limited distribution system. Even the largest TNCWSs have a median number of only 2 connec- tions. Figure 7.11: Median Number of Connections by TNCWS Size Source: 1994 National Compliance Report (Data from Table 5) 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,000+ Figure 7.12: Median Number of Customers by TNCWS Size Source: 1994 National Compliance Report (Data from Table 5) 5,000 4,000 3,000 2,000 1,000 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 7-7 ------- Figure 7.13 shows the percentage of TNCWSs with each type of violation by system size. Like with other types of water systems, TNCWSs violate M/R rules most frequently. But com- pared to NTNCWSs, a lower percentage of systems in each size category commit a M/R violation. Figure 7.14 shows that the smallest TNCWSs experience many more violations per 1,000 Figure 7.13: Percentage of TNCWSs With Violations by Violation Type for each Size Category Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 26) 16% 12% DMCL BM/R BTT • Other 4% 0% 25-500 501-3,300 3,301-10,000 10,001+ people than do any other size category of TNCWSs. As with CWSs and NTNCWSs, the number of violations per 1,000 people generally declines as system size increases (except for treatment technique violations, which were less common per 1,000 people for systems serving 501-3,300 persons than for systems serving 3,301-10,000 persons). For every one million customers, the Figure 7.14: Violations per 1,000 People Served for TNCWS Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 27) System Size <10,001 25-500 501-3,300 3,301-10,000 Total 10,001 + All Violation Type MCL 0.660 0.061 0.006 0.459 0.000 0.310 TT 0.032 0.002 0.032 0.025 0.000 0.026 M/R 3.306 0.229 0.056 2.279 0.001 1.543 Other 0.278 0.014 0.008 0.190 0.000 0.041 All 4.277 0.306 0.101 2.953 0.001 1.999 7-8 ------- smallest of TNCWSs incurred 660 MCL violations (more than NTNCWSs, but less than CWSs) and the largest of TNCWSs had no violations (less than both NTNCWSs and CWSs). When all types of violations are taken into consideration, TNCWSs experienced fewer violations per 1,000 customers than both CWSs and NTNCWSs across all size categories. Figure 7.15 shows that systems serving up to 500 persons actually account for a smaller share of systems with violations than might be expected since systems this size constitute approximately 97 percent of TNCWSs. On the other hand, TNCWSs serving between 501 and 3,301 people have a disproportionate percentage of systems with at least 1 violation. Figure 7.15: Comparison of TNCWSs with MCL Violations by System Size Source: SDWIS FY98Q4 Frozen Violations Table (Data from Table 1 and Table 26) 100% 80% 60% 40% 20% D Percentage of Systems • Percentage of Systems with MCL Violations 25-500 501-3,300 3,301-10,000 10,001+ The 1994 NCR data show a decrease between 1992 and 1994 in TNCWSs of all sizes (see Figure 7.16) except for those serving over 10,000 people. The largest decrease in TNCWSs was found in those serving between 3,301 and 10,000 people—a decrease of 16.1 percent. 7-9 ------- Figure 7.16: Percent Change in the Number of TNCWSs by System Size Source: 1994 National Compliance Report (Data from Table 2) 25-500 501-3,300 3,301-10,000 10,001+ 7-10 ------- MISSING DATA The following questions were raised by the working group and could not be addressed due to insufficient or unreliable data: • The percentage of total expenses that each expense category represents, by si^e and by ownership type. • Mean and median percentage of systems violating standards for individual contaminants. • Financing sources: percentages of private and public funding sources for debt financing by system si^e and ownership type;funding for capital investments by si^e and ownership type. • Universe of threatened systems: financial ratios of threatened systems; comparison of operating and debt coverage ratios of threatened systems with these systems' compliance records. • Percentage of systems purchasing treated water or raw water by si^e and by ownership type. • Mean and median total expenditures for capital improvements per customer and per connection by si^e and by ownership type. • The water rates for systems with and without treatment. ' The number of paid staff. • The length of service of water system operators and managers; the number of certified operators reported per system by si^e and ownership type; and the percentage of systems reporting a certified operator by si^e and ownership type. • Collection rates. • flapping water rates and compliance rates to income. • Percentage of systems reporting a need for cross-connection control equipment by ownership type. • Types of management structures used by water systems. • Level of capitalisation. 8-1 ------- APPENDIX Data Tables A-l ------- Table 1: Number of People Served and Number of Systems by System Type (Data for Figures 1.1, 1.2, 6.3, 7.8, and 7.15) Source: SDWIS 98Q4 frozen inventory table System Type CWSs NTNCWSs TNCWSs Number of People Served Percentage of Total Number of Systems Percentage of Total Number of People Served Percentage of Total Number of Systems Percentage of Total Number of People Served Percentage of Total Number of Systems Percentage of Total System Size <501 5,232,692 2.1% 32,430 59.7% 2,414,623 38.7% 17,294 85.4% 7,608,051 45.4% 92,784 96.9% 501-3,300 19,807,889 7.8% 14,043 25.8% 2,784,933 44.6% 2,856 14.1% 2,724,266 16.3% 2,690 2.8% 3,301-10,000 25,090,995 9.9% 4,303 7.9% 447,258 7.2% 85 0.4% 1,007,691 6.0% 178 0.2% 10,001+ 202,398,998 80.1% 3,591 6.6% 597,801 9.6% 20 0.1% 5,416,541 32.3% 102 0.1% All 252,530,574 100.0% 54,367 100.0% 6,244,615 100.0% 20,255 100.0% 16,756,549 100.0% 95,754 100.0% Small System Percentage of National Total 19.9% 93.4% 90.4% 99.9% 67.7% 99.9% A-2 ------- Table 2: Percentage Change in the Number of Water Systems (Data for Figures 1.3, 7.9, and 7.16) Source: 1994 National Compliance Report System Type CWSs NTNCWSs TNCWs All Time Period 1992-1994 1992-1994 1992-1994 1992-1994 System Size <501 -4.3% -3.2% -6.7% -5.8% 501-3,300 -1.9% -0.7% -3.1% -1.9% 3,301-10,000 -2.1% -3.6% -16.1% -2.8% <10,001 -3.5% -3.0% -6.7% -5.3% 10,001+ 0.7% 5.9% 4.9% 0.8% All -3.3% -2.9% -6.7% -5.2% A-3 ------- Table 3: Ownership of Water Systems by System Size (Data for Figure 2.1, 2.3, 2.4, 2.5, 2.6, and 2.7) Source: 1995 Community Water System Survey Owner Type Population Served 25-100 101-500 501-3,300 3,301-10,000 10,000+ Public Special District Other Government 0.7% 7.0% 5.7% 29.1% 5.3% 63.4% 6.2% 70.4% 9.1% 76.4% Private Homeowner's Association Investor Owned Other Privately Owned 16.4% 17.8% 5.3% 12.1% 18.1% 4.4% 9.1% 13.9% 3.6% 4.0% 12.3% 4.2% 1.0% 9.2% 1.4% Ancillary Institution Mobile Home Park Other Ancillary Respondents 4.1% 33.3% 15.5% 131 3.5% 22.3% 4.8% 243 0.2% 2.9% 1.7% 404 0.1% 4.4% 0.4% 197 0.1% 4.3% 0.4% 348 All 43.0% 33.0% 24.0% 1,323 A-4 ------- Table 4: Percent of Population Served by Owner Type (Data for Figure 2.2) Source: 1995 Community Water System Survey and FRDS Database as of 7/96 Owner Type Public Private Ancillary Respondents System Size 25-100 7.8% 40.6% 51.6% 245 101-500 34.4% 36.0% 29.6% 402 501-1,000 61.4% 35.2% 3.4% 276 1,001-3,300 74.4% 24.9% 0.7% 282 3,301-10,000 77.8% 22.2% 0.0% 282 10,001+ 87.4% 12.6% 0.0% 493 All 84.1% 15.1% 0.8% 1,980 Respondents 1,043 745 192 1,980 A-5 ------- Table 5: Median Population and Service Connections (Data for Figures 3.1, 3.2, 7.4, 7.5, 7.11, and 7.12) Source: FRDS Database as of 7/96 System Type cws NTN CWS TNG Measure Population Connections Population Connections Population Connections Size Category < 101 58 22 48 1 30 1 100-500 225 79 235 1 200 1 501-1,000 726 259 700 1 750 1 1,001-3,300 1,775 607 1,500 2 1,571 2 3,301-10,000 5,474 1,800 4,750 17 5,000 2 < 10,001 250 83 102 1 50 1 10,001+ 23,000 6,892 18,000 32 29,500 2 All 300 98 102 1 50 1 Percentage of Public vs. Private (within Size Category /within Ownership Category) System Type CWSs NTNCWSs All Owner Type Public Private Public Private Public Private System Size <501 23.9% 76.1% 28.3% 71.7% 25.3% 74.7% 34.6% 80.2% 77.1% 90.2% 43.6% 83.2% 501-3,300 65.5% 34.5% 52.4% 47.6% 63.4% 36.6% 39.3% 15.1% 22.5% 9.4% 35.7% 13.4% 3,301-50,000 80.1% 19.9% 29.3% 70.7% 79.6% 20.4% 23.7% 4.3% 0.4% 0.4% 18.7% 3.1% 50,000+ 79.3% 20.7% na na 79.3% 20.7% 2.5% 0.5% 0.0% 0.0% 2.0% 0.3% Total 42.1% 57.9% 31.6% 68.4% 39.3% 60.7% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% A-6 ------- Table 6: Median Miles of Pipe per Connection by System Size (Data for Figure 3.3) Source: 1995 Community Water System Survey System Size 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Miles of Pipe per Connection 0.0295 0.0258 0.0262 0.0326 0.0231 0.0143 Number of Respondents 168 297 208 237 225 402 A-7 ------- Table 7: Median Percentage Growth in Customers and Connections by Size Categories (Data for Figure 3.4) Source: 1995 Community Water System Survey Type of Growth Connections Respondents Customers Respondents <101 0 176 0 182 101-500 2.5% 321 0 314 501-1,000 5.9% 225 7.2% 208 1,001-3,300 7.8% 251 7.6% 228 3,301-10,000 10.0% 236 11.1% 225 <10,001 5.3% 1209 5.7% 1157 10,000+ 7.0% 445 7.5% 437 All na na na na ------- Table 8: Percentage of Systems by Source and System Size (Data for Figure 3.5) Source: 1995 Community Water System Survey System Size 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ All Primary Water Source Ground Water 95.7% 85.2% 76.6% 68.2% 57.6% 47.4% 79.8% Surface Water 2.6% 5.3% 6.6% 16.2% 19.8% 37.8% 9.6% Purchased Water 1.7% 9.5% 16.9% 15.6% 22.6% 14.7% 10.6% Respondents 245 403 NA NA NA 493 NA A-9 ------- Table 9: Daily Drinking Water Production by CWSs by Owner-type and System Size (Data for Figures 3.6 and 3.7) Source: 1995 Community Water System Survey Owner Type All Type of Water Production Median Production (gal per day) Respondents Peak Daily Production (gal.) Respondents Treatment Design Capacity (gal.) Respondents Ratio of TDC to PDF Public Median Production (gal per day) Respondents Peak Daily Production (gal.) Respondents Treatment Design Capacity (gal.) Respondents System Size 25-100 5,501 179 9,740 139 20,000 119 2.05 7,315 44 13,500 38 25,000 33 101-500 24,000 335 32,700 240 66,548 213 2.04 27,397 139 44,000 100 85,000 91 501-1,000 76,712 254 142,000 172 252,000 163 1.77 80,304 141 150,000 95 252,000 93 1,001-3,300 219,178 267 337,500 196 651,736 188 1.93 245,249 158 415,000 122 750,000 115 3,301-10,000 706,849 275 1,206,000 204 1,937,000 200 1.61 775,068 146 1,360,000 111 2,000,000 113 < 10,001 NA NA NA NA NA NA NA 115,343 328 219,300 466 470,000 445 10,000+ 8,335,356 476 11,847,500 422 16,000,000 414 1.35 9,865,205 345 12,959,000 306 17,110,000 298 All NA NA NA NA NA NA NA 506,630 973 1,100,000 772 2,000,000 743 A-10 ------- Table 9 Continued Owner Type Private Ancillary Type of Water Production Median Production (gal per day) Respondents Peak Daily Production (gal.) Respondents Treatment Design Capacity (gal.) Respondents Median Production (gal per day) Respondents Peak Daily Production (gal.) Respondents Treatment Design Capacity (gal.) Respondents System Size 25-100 5,490 70 7,200 55 28,800 44 4,932 65 7,750 46 5,000 42 101-500 27,397 121 38,985 74 72,000 67 11,951 75 16,750 66 40,000 55 501-1,000 68,493 110 110,833 72 255,500 66 91,233 3 208,000 5 297,000 4 1,001-3,300 175,836 108 250,000 74 547,200 72 115,068 1 200,000 1 3,301-10,000 574,238 127 1,084,000 93 1,440,000 87 < 10,001 84,795 536 150,000 368 327,500 336 8,219 144 14,000 117 27,900 102 10,000+ 4,663,014 131 7,531,000 116 10,250,000 116 All 145,753 667 312,640 484 720,000 452 8,219 144 14,000 117 27,900 102 A-ll ------- Table 10: Percentage of CWSs that Receive Technical Assistance by Ownership Type and System Size (Data for Figure 3.8) Source: 1995 Community Water System Survey Owner Type Public Private Ancillary All Percentage of Systems that Specified Technical Assistance (TA) Government TA Other TA Third Party TA Any Respondents Government TA Other TA Third Party TA Any Respondents Government TA Other TA Third Party TA Any Respondents Government TA Other TA Third Party TA Any Respondents System Size 25-100 74.2% 29.8% 61.1% 92.5% 60 52.8% 19.0% 41.6% 71.8% 97 51.8% 7.0% 30.6% 62.8% 88 54.0% 13.7% 37.4% 68.7% 245 101-500 65.8% 35.9% 70.7% 87.9% 161 62.8% 28.4% 60.4% 80.7% 143 56.0% 11.7% 43.0% 73.3% 98 61.8% 26.0% 58.8% 81.0% 402 501-1,000 67.8% 32.4% 79.1% 90.0% 151 76.5% 32.9% 81.6% 96.0% 120 47.1% 74.7% 78.1% 100.0% 5 70.2% 34.0% 80.0% 92.4% 276 1,001-3,300 78.0% 28.2% 88.3% 95.9% 164 61.9% 32.3% 83.9% 95.1% 117 0.0% 0.0% 100.0% 100.0% 1 73.5% 29.0% 87.3% 95.7% 282 3,301-10,000 82.0% 37.2% 88.9% 96.2% 150 60.3% 43.7% 90.5% 94.2% 132 na na na na na 77.2% 38.6% 89.3% 95.8% 282 < 10,001 72.9% 32.9% 79.9% 92.2% 686 61.0% 27.1% 61.1% 82.1% 609 53.1% 10.0% 36.5% 67.6% 192 63.7% 25.1% 62.4% 82.5% 1487 10,000+ 77.1% 56.7% 87.3% 95.5% 357 74.9% 67.4% 86.2% 93.7% 136 na na na na na 76.8% 58.0% 87.2% 95.2% 493 All 73.4% 36.2% 81.0% 92.7% 1043 61.4% 28.1% 61.8% 82.4% 745 53.1% 10.0% 36.5% 67.6% 192 64.6% 27.3% 64.1% 83.3% 1980 A-12 ------- Table 11: Median Personnel Expenses as a Percentage of Total Expenses by System Size (Data for Figure 3.9) Source: 1995 Community Water System Survey Personnel Expense Direct Compensation Manager Operator Other Benefits System Size < 101 0 0 0 0 0 101-500 22% 0 4% 0 0 501-1,000 26% 0 5% 1% 2% 1,001-3,300 25% 2% 7% 3% 3% 3,301-10,000 29% 4% 8% 5% 5% < 10,001 na na na na na 10,000+ 28% 2% 4% 10% 6% All na na na na na A-13 ------- Table 12. Potential Sources of Contamination Within 2 Miles of Water Supply Intakes (Data for Figures 3.10 and 3.11) Source: 1995 Community Water System Survey Potential Source of Contamination Industrial/ Manufacturing Facilities Agricultural Runoff Animal Feedlots Urban Runoff Sewage Discharge Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources 100 or Less 9.2% 0.0% 9.1% 34.6% 28.4% 34.5% 7.5% 4.6% 7.5% 15.8% 8.1% 15.7% 18.9% 13.6% 18.6% 101-500 11.6% 8.4% 11.4% 42.4% 45.9% 42.3% 15.8% 5.6% 15.8% 18.1% 3.0% 18.1% 17.2% 10.0% 16.6% 501-1,000 16.8% 9.0% 15.5% 55.9% 38.8% 53.1% 24.3% 14.7% 22.5% 26.8% 8.0% 25.3% 32.1% 11.7% 29.8% <1,001 11.5% 6.8% 11.2% 41.4% 40.0% 41.2% 13.8% 8.1% 13.8% 18.6% 5.6% 18.4% 20.3% 11.3% 19.7% 1,001-3,300 31.3% 11.3% 27.8% 59.3% 57.8% 57.8% 28.2% 19.0% 25.3% 39.0% 22.0% 35.1% 33.7% 16.5% 29.2% 3,301-10,000 47.4% 19.4% 38.7% 60.0% 64.7% 57.1% 25.1% 10.8% 19.6% 56.0% 42.2% 51.4% 34.8% 18.4% 31.0% 10,000+ 64.3% 49.0% 56.6% 60.6% 74.1% 65.7% 17.6% 18.9% 17.8% 67.6% 64.8% 65.8% 30.0% 36.2% 32.6% All System Sizes 18.3% 22.4% 18.9% 45.5% 58.5% 46.5% 16.4% 14.3% 16.1% 25.4% 33.2% 26.7% 23.3% 21.0% 22.9% A-14 ------- Table 12 Continued Potential Source of Contamination Hazardous Waste Site Solid Waste Disposal Nitrates Pesticides, Rodenticides, Fungicides Mining, Oil, or Gas Activities Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources 100 or Less 4.5% 0.0% 4.3% 5.7% 0.0% 5.5% 9.8% 6.2% 9.6% 5.8% 8.6% 5.9% 4.1% 8.8% 4.4% 101-500 3.2% 1.3% 3.1% 2.7% 1.3% 2.8% 17.5% 9.1% 16.8% 9.5% 7.1% 9.2% 8.0% 6.0% 8.2% 501-1,000 1.8% 0.0% 1.6% 4.0% 0.0% 3.3% 18.3% 21.5% 17.4% 19.6% 9.6% 17.6% 13.2% 11.9% 13.0% <1,001 3.5% 0.6% 3.3% 4.1% 0.6% 3.9% 14.4% 12.2% 14.1% 9.6% 8.2% 9.4% 7.3% 8.3% 7.6% 1,001-3,300 7.1% 0.0% 5.1% 7.5% 2.2% 6.5% 24.6% 23.5% 22.9% 21.9% 14.0% 19.1% 18.9% 10.0% 16.4% 3,301-10,000 8.8% 1.4% 6.9% 18.3% .4% 12.1% 20.3% 34.5% 21.2% 24.5% 11.8% 18.6% 14.1% 18.1% 14.9% 10,000+ 15.1% 8.5% 12.0% 18.3% 13.4% 15.8% 36.5% 29.8% 33.0% 27.5% 19.5% 24.4% 21.8% 21.2% 20.5% All System Sizes 4.7% 2.9% 4.5% 6.0% 4.7% 5.8% 17.0% 23.9% 17.2% 12.8% 13.5% 12.5% 9.7% 14.1% 10.3% A-15 ------- Table 12 Continued Potential Source of Contamination Petroleum Products Solvents Septic Systems/Other Sewage Discharges Other All Contaminants Number of Observations Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Groundwater Source Surface water Source All Sources Total 100 or Less 24.8% 8.2% 24.2% 4.1% 0.0% 3.9% 75.8% 36.6% 74.5% 5.3% 8.8% 5.4% 82.9% 63.7% 82.2% 206 101-500 23.9% 1.3% 22.4% 5.5% 0.0% 5.2% 63.8% 41.4% 61.3% 2.4% 10.8% 2.7% 83.5% 71.3% 81.2% 323 501-1,000 37.4% 6.9% 32.8% 8.9% 1.0% 7.9% 62.8% 50.2% 61.0% 4.9% 10.6% 4.8% 83.2% 73.0% 81.1% 223 <1,001 26.4% 4.4% 24.9% 5.5% 0.3% 5.2% 68.5% 43.0% 66.3% 4.0% 10.3% 4.1% 83.2% 70.1% 81.6% 752 1,001-3,300 54.5% 23.9% 46.8% 14.4% 1.0% 11.6% 76.3% 56.8% 69.0% 3.3% 3.3% 3.7% 93.1% 85.4% 89.4% 243 3,301-10,000 59.2% 14.1% 46.3% 39.1% 9.7% 28.8% 62.2% 52.6% 58.8% 6.0% 5.2% 4.9% 89.7% 89.9% 87.7% 242 10,000+ 68.4% 43.6% 57.2% 51.5% 27.9% 40.8% 65.3% 62.8% 63.5% 2.9% 6.3% 4.6% 93.2% 93.9% 92.8% 445 All System Sizes 33.6% 22.2% 32.0% 10.6% 10.2% 10.5% 68.9% 53.7% 65.8% 4.0% 6.6% 4.1% 85.2% 84.3% 84.0% 1692 A-16 ------- Table 13. Source Water Protection Methods by Primary Water Source (Data for Figures 3.12 and 3.13) Source: 1995 Community Water System Survey Source Water Protection Program/ Specific Protection Measure % Systems with any Source Water Protection Education on land use impacts Watershed ownership Zoning or land use controls Best management practices Other 100 or Less 27.5% 59.5% 37.9% 58.9% 62.6% 11.2% 101-500 31.2% 59.1% 27.7% 54.0% 54.2% 16.3% 501-1,000 38.5% 68.3% 36.6% 71.9% 66.4% 0.2% 1,001-3,300 35.0% 69.7% 49.0% 69.7% 64.5% 2.0% 3,301-10,000 40.1% 69.1% 34.4% 77.9% 60.5% 8.8% 10,001+ 50.3% 65.3% 46.8% 67.9% 58.2% 18.1% A-17 ------- Table 14: Percentage of Systems that Use GAAP by System Size (Data for Figure 4.1) Source: 1995 Community Water System Survey System Size 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Percent of Systems that Use GAAP 29.31% 58.93% 79.90% 89.75% 89.28% 91.91% Respondents 216 363 251 262 250 447 A-18 ------- Table 15: Median Revenues of Systems Serving 25-100 Persons by Use of GAAP (1995 Data for Figure 4.2) Source: 1995 Community Water System Survey System Type Systems that use GAAP Systems that Do Not Use GAAP Median Revenues $8,761 $2,970 Respondents 61 4 A-19 ------- Table 16: Percentage of Systems that Do Not Have Separate Income and Expense Statements for their Drinking Water Operation by System Size (Data for Figure 4.3) Source: 1995 Community Water System Survey System Size 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Percentage of Systems that Do Not Have Separate Income and Expense Statements 51.8% 24.7% 12.1% 5.3% 2.4% 3.7% Respondents 216 363 251 262 250 447 A-20 ------- Table 17: Median Water Revenues and Water-Related per Connection (in dollars) (Data for Figures 4.4, 4.5, 4.6, and 4.13) Source: 1995 Community Water System Survey Revenue Category Median Water Sale Revenues Median Water Related Revenues Median Total Water Revenue System Type Public Private Ancillary Surface Ground All Public Private Ancillary Surface Ground All Public Private Ancillary Surface Ground All Size Category <101 173.25 37.50 0 0 0 0 0 0 0 0 0 0 180.53 77.14 0 0 0 0 101-500 149.41 226.95 0 146.37 128.85 131.74 0 0 0 0 0 0 168.53 239.57 0 176.36 133.29 143.96 501-1,000 209.82 243.01 0 256.66 181.09 222.05 2.13 0.39 0 2.11 0.97 1.48 217.32 249.71 0 264.13 190.69 223.44 1,001-3,300 225.14 230.48 0 270.92 195.80 228.01 3.85 5.61 0 5.79 3.32 3.97 247.18 245.33 0 290.47 204.00 245.87 3,301-10,000 239.98 270.79 na 288.63 214.98 252.05 5.33 10.80 na 8.66 6.65 7.92 261.91 298.39 na 300.37 232.54 273.68 <10,001 209.37 228.53 0 230.86 172.30 na 2.12 1.25 0 1.11 0.79 na 225.28 239.87 0 241.94 181.82 na 10,001+ 273.99 337.44 na 324.11 235.36 288.02 8.94 0.88 na 5.13 7.05 5.74 295.05 355.35 na 330.86 248.52 312.50 All 230.93 241.81 0 258.85 185.14 na 4.12 1.03 0 2.24 1.60 na 246.81 254.16 0 272.60 200.59 na A-21 ------- Table 18: Source of Total Water Revenue by Customer Type and System Size (Data for Figure 4.7) Source: 1995 Community Water System Survey System Size 25-100 101-500 501-1,000 1,001-3,300 3,301-10,000 10,001+ Revenue Source Residential 88.5% 69.0% 70.6% 56.5% 55.9% 52.6% Commercial/ Industrial 0.6% 8.4% 8.5% 13.4% 16.0% 20.2% Wholesale 0.2% 0.4% 0.2% 0.7% 1.0% 1.4% Other 10.7% 22.2% 20.6% 29.5% 27.2% 25.8% A-22 ------- Table 19: Rate Structure and Billing Profile for Residential Customers by System Size (Data for Figures 4.8 and 4.9) Source: 1995 Community Water System Survey Rate Structure Percentage of Connections Metered 100 or Less 36.6% 101-500 71.8% 501- 1,000 87.4% 1,001- 3,300 93.7% 3,301- 10,000 92.0% 10,001+ 97.1% All Sizes 73.5% Metered Charges Uniform Rate Declining Block Rate Increasing Block Rate Seasonal (Peak) Rate 85% 3% 12% 0% 67% 16% 16% 1% 61% 22% 15% 2% 62% 26% 11% 2% 54% 33% 12% 2% 50% 29% 19% 2% na na na na A-23 ------- Table 20: Rate Structure Increase and Billing Profile for Residential Customers (Data for Figures 4.10 and 4.11) Source: 1995 Community Water System Survey Rate Increase Data Percentage of Last Increase Average Number of Years Since Last Increase Number of Respondents Owner Type Public Private Ancillary All Public Private Ancillary All All 100 or Less 45.52% 35.25% 10.38% 30.15% 2.03 2.61 1.63 2 27 245 101-500 25.22% 19.63% 10.47% 21.03% 3.53 4.10 1.88 3.61 402 501-1,000 27.51% 18.88% 50.00% 25.07% 2.78 3.16 1.00 2.88 276 1,001-3,300 29.49% 24.06% na 28.39% 3.80 3.85 na 3.81 282 3,301-10,000 15.56% 18.95% na 16.30% 3.09 3.98 na 3.27 282 10,001+ 14.55% 14.41% na 14.53% 2.53 2.60 na 2.54 493 All 24.19% 23.23% 12.04% 23.06% 3.18 3.49 1.72 3.17 1980 A-24 ------- Table 21: Median Total Expenditures per Customer and per Connection (in dollars; excludes principal payments, contributions in sinking funds, and capital improvements) (Data for Figures 4.13 and 4.14) Source: 1995 Community Water System Survey System Type Public Private Ancillary All Unit of Measure Connection Respondents Customer Respondents Connection Respondents Customer Respondents Connection Respondents Customer Respondents Connection Respondents Customer Respondents Size Category < 100 180.06 54 91.66 50 138.49 91 67.58 78 64.41 73 26.75 80 96.17 218 43.24 208 100-500 205.03 148 80.52 148 218.24 137 75.95 126 74.50 85 22.95 92 187.13 370 65.83 366 501-1,000 203.12 144 85.12 142 231.78 113 82.86 105 23.57 4 0 5 214.17 261 83.30 252 1,001-3,300 239.87 162 89.16 154 234.48 113 86.55 104 50.44 1 18.92 1 237.50 276 87.82 259 3,301-10,000 234.08 144 85.49 144 286.23 129 89.50 126 na na na na 254.50 273 87.46 270 10,001+ 256.43 349 75.39 350 277.84 132 87.05 132 na na na na 259.25 481 77.23 482 All 231.37 1,001 81.05 988 243.79 715 83.74 671 58.79 163 23.26 178 227.92 1,879 78.76 1,837 A-25 ------- Table 22: Operating and Debt Service Coverage Ratios for Community Water System by System Size (excludes ancillary systems) (Data for Figures 4.15 and 4.16) Source: 1995 Community Water System Survey Operating Ratio Debt Service Ratio Ratio Value < 1 1—1.5 1.5—2 >2 <1 1—1.5 >1.5 No debt service System Size 25-100 61.41% 21.49% 6.07% 11.03% 7.17% 0.24% 4.57% 88.02% 101-500 42.90% 27.66% 21.41% 8.03% 18.13% 7.24% 10.09% 64.54% 501-1,000 29.09% 39.07% 16.37% 15.46% 25.13% 5.41% 23.03% 46.43% 1,001-3,300 23.32% 44.78% 19.67% 12.23% 28.73% 9.04% 28.72% 33.51% 3,301-10,000 16.93% 40.80% 26.59% 15.68% 23.72% 18.57% 25.83% 31.89% <10,001 35.36% 34.41% 18.36% 11.86% 20.07% 7.27% 16.94% 55.73% 10,001+ 12.65% 35.43% 27.89% 24.03% 20.44% 16.10% 36.27% 27.19% A-26 ------- Table 23: Need Per Household by System Size (Data for Figure 5.2) Source: 1995 Infrastructure Needs Survey System Size Small Systems Medium Systems Large Systems Need per Household $3,300 $1,200 $970 A-27 ------- Table 24: Percentage of Small Systems Reporting Needs by Category of Need (Data for Figure 5.3) Source: 1995 Infrastructure Needs Survey Type of Need Distribution Upgrades Storage Upgrades Source Upgrades Treatment Upgrades Percentage of Systems Reporting Need 81% 66% 65% 34% A-28 ------- Table 25: AWWA Estimate of 20-Year Total Need (in billions of dollars) (Data for Figure 5.4) Source: 1998 Infrastructure Needs for the Public Water Supply Section System Size Small Systems Medium Systems Large Systems 20-Year Total Need (in billions) $26 $198 $101 A-29 ------- Table 26: Percentage of Systems with Violations by System Type and System Size (Data for Figures 6.1, 6.3, 7.6, 7.8, 7.13, and 7.15) Source: SDWIS FY98Q4 Frozen Violations Table Violation Type MCL TT M/R Other All System Type CWSs NTNCWSs TNCWSs CWSs NTNCWSs TNCWSs CWSs NTNCWSs TNCWSs CWSs NTNCWSs TNCWSs CWSs NTNCWSs TNCWSs System Size (% of System Type with Violation by System Size; % within Violation Category by System Size) <501 7.5% 4.9% 4.0% 1.5% 0.5% 0.1% 21.1% 19.0% 15.6% 1.9% 0.8% 1.2% 26.4% 22.7% 18.5% 65.2% 89.0% 96.6% 45.1% 90.9% 89.4% 71.4% 88.5% 97.2% 66.7% 84.1% 97.5% 67.7% 88.2% 97.1% 501-3,300 1.4% 3.5% 4.6% 2.6% 0.3% 0.1% 13.1% 14.1% 14.9% 1.4% 0.8% 0.9% 18.7% 17.7% 18.0% 21.3% 10.7% 3.2% 32.5% 9.1% 3.2% 19.2% 11.0% 2.7% 21.2% 15.3% 2.2% 20.8% 11.4% 2.7% 3,301-10,000 6.3% 2.4% 2.8% 3.0% 0.0% 3.4% 11.5% 15.3% 8.4% 1.3% 1.2% 2.2% 18.7% 17.6% 11.8% 7.3% 0.2% 0.1% 11.6% 0.0% 6.4% 5.2% 0.3% 0.1% 6.3% 0.6% 0.4% 6.4% 0.3% 0.1% <10,001 5.7% 4.7% 4.0% 1.9% 0.5% 0.1% 18.1% 18.4% 15.5% 1.7% 0.8% 1.2% 23.6% 22.0% 18.5% 93.8% 99.9% 99.9% 89.2% 100.0% 99.0% 95.8% 99.8% 100.0% 94.2% 100.0% 100.1% 94.9% 99.9% 99.9% 10,001+ 6.2% 5.0% 1.0% 3.3% 0.0% 0.0% 11.3% 20.0% 5.9% 1.4% 0.0% 0.0% 17.9% 20.0% 6.9% 7.4% 0.1% 0.1% 10.8% 0.0% 0.0% 4.2% 0.1% 0.0% 5.7% 0.0% 0.0% 5.1% 0.1% 0.0% All 5.8% 4.7% 4.0% 2.0% 4.9% 0.1% 17.6% 18.4% 15.5% 1.7% 0.8% 1.2% 23.2% 22.0% 18.5% 100.0% 99.9% 100.0% 100.0% 100.0% 99.0% 100.0% 99.9% 100.0% 99.9% 100.0% 100.1% 100.0% 100.0% 99.9% A-30 ------- Table 27: Violations per 1,000 People Served (Data for Figures 6.2, 7.7, 7.14) Source: SDWIS FY98Q4 Frozen Violations Table Violation Type MCL TT M/R Other All System Type CWSs NTNCWSs TNCWSs All CWSs NTNCWSs TNCWSs All CWSs NTNCWSs TNCWSs All CWSs NTNCWSs TNCWSs All CWSs NTNCWSs TNCWSs All Violations per 1,000 People Served <501 0.807 0.491 0.660 0.684 0.208 0.064 0.032 0.098 5.924 8.299 3.306 4.995 0.225 0.089 0.278 0.230 7.164 8.944 4.277 6.006 501-3,300 0.072 0.048 0.061 0.069 0.043 0.004 0.002 0.034 0.303 0.712 0.229 0.340 0.015 0.014 0.014 0.015 0.432 0.777 0.306 0.457 3,301-10,000 0.014 0.004 0.006 0.014 0.010 0.000 0.032 0.011 0.090 0.127 0.056 0.089 0.003 0.002 0.008 0.003 0.117 0.134 0.101 0.116 <10,001 0.120 0.234 0.459 0.187 0.044 0.029 0.025 0.039 0.783 3.910 2.279 1.299 0.031 0.045 0.190 0.059 0.977 4.218 2.953 1.584 10,001+ 0.002 0.002 0.000 0.001 0.002 0.0002 0.000 0.001 0.006 0.293 0.001 0.006 0.0004 0.000 0.000 0.0003 0.012 0.294 0.001 0.010 All 0.025 0.212 0.310 0.047 0.010 0.026 0.017 0.011 0.162 3.564 1.543 0.322 0.006 0.041 0.129 0.015 0.203 3.843 1.999 0.395 A-31 ------- Table 28: NCWSs Source Water Characteristics (Data for Figures 7.1, 7.3, 7.10) Source: SDWIS FY98Q4 Frozen Violations Table NTNCWSs Size Category <501 501-3,300 3,301-10,000 Subtotal 10,000+ Total Raw Number Percentage Within Size Category Percentage of All NTNCWSs < 10,001 Percentage of All NTNCWSs Raw Number Percentage Within Size Category Percentage of All NTNCWSs < 10,001 Percentage of All NTNCWSs Raw Number Percentage Within Size Category Percentage of All NTNCWSs < 10,001 Percentage of All NTNCWSs Raw Number Percentage Within Size Category Percentage of All NTNCWSs < 10,001 Percentage of All NTNCWSs Raw Number Percentage Within Size Category Percentage of All NTNCWSs Raw Number Percentage of All NTNCWSs Ground 16,783 97.7% 83.9% 83.9% 2,602 94.7% 13.0% 13.0% 57 82.6% 0.3% 0.3% 19,442 97.2% 97.2% 97.2% 7 100.0% 0.0% 19,449 97.2% Surface 394 2.3% 2.0% 2.0% 145 5.3% 0.7% 0.7% 12 17.4% 0.1% 0.1% 551 2.8% 2.8% 2.8% 0 0.0% 0.0% 551 2.8% Total 17,177 100.0% 85.9% 85.9% 2,747 100.0% 13.7% 13.7% 69 100.0% 0.3% 0.4% 19,993 100.0% 100.0% 100.0% 7 100.0% 0.0% 20,000 100.0% A-32 ------- Table 28 Continued TNCWSs Size Category <501 501-3,300 3,301-10,000 Subtotal 10,000+ Total Raw Number Percentage Within Size Category Percentage of All TNCWSs < 10,001 Percentage of All TNCWSs Raw Number Percentage Within Size Category Percentage of All TNCWSs < 10,001 Percentage of All TNCWSs Raw Number Percentage Within Size Category Percentage of All TNCWSs < 10,001 Percentage of All TNCWSs Raw Number Percentage Within Size Category Percentage of All TNCWSs < 10,001 Percentage of All TNCWSs Raw Number Percentage Within Size Category Percentage of All TNCWSs Raw Number Percentage of All TNCWSs Ground 90,614 98.4% 95.6% 95.5% 2,387 95.2% 2.5% 2.5% 152 84.4% 0.2% 0.2% 93,153 98.3% 98.3% 98.2% 92 90.2% 0.1% 93,245 98.3% Surface 1,452 1.6% 1.5% 1.5% 121 4.8% 0.1% 0.1% 28 15.6% 0.0% 0.0% 1,601 1.7% 1.7% 1.7% 10 9.8% 0.0% 1,611 1.7% Total 92,066 100.0% 97.2% 97.1% 2,508 100.0% 2.6% 2.6% 180 100.0% 0.2% 0.2% 94,754 100.0% 100.0% 99.9% 102 100.0% 0.1% 94,856 100.0% A-33 ------- Table 28 Continued NCWSs Size Category <501 501-3,300 3,301-10,000 Subtotal 10,000+ Total Raw Number Percentage Within Size Category Percentage of All TNCWSs Raw Nunibe Percentage Within Size Category Percentage of All TNCWSs Raw Number Percentage Within Size Category Percentage of All TNCWSs Raw Number Percentage Within Size Category Percentage of All TNCWSs Raw Number Percentage Within Size Category Percentage of All TNCWSs Raw Number Percentage of All TNCWSs Ground 107,397 98.3% Surface 1,846 1.7% Total 109,243 100.0% 95.1% 4,989 94.9% 266 5.1% 5,255 100.0% 4.6% 209 83.9% 40 16.1% 249 100.0% 0.2% 112,595 98.1% 2,152 1.9% 114,747 100.0% 99.9% 99 90.8% 10 9.2% 109 100.0% 0.1% 112,694 98.1% 2,162 1.9% 114,856 100.0% A-34 ------- Table 29: Type of Non-Community Water Systems (Data for Figure 7.2) Source: SDWIS FY98Q4 Frozen Violations Table Type of System Restaurants Churches Hotels/Motels Schools Summer Camps Campgrounds /RV Parks Day Care Centers Medical Facilities Nursing Homes Other Percentage of NCWSs 22.6% 9.8% 7.8% 7.8% 5.2% 4.7% 0.9% 0.9% 0.1% 40.2% A-35 ------- |