v>EPA
United States
Environmental Protection
Agency
The Merger of Small Water Systems: Lower Rio
Grande Public Water Works Authority in Dona
Ana County, New Mexico
"The Merger of Small Water Systems was one of several presentations made
during the EPA Region 6 EnvironmentalJustice Forum in Dallas in June
2018, and was featured as a best practice model in southern New Mexico
that effectively brought about improved access to clean water.
EPA Region 6
Office of Environmental Justice, Tribal, and International Affairs
Tel 800-887-6063
1445 Ross Avenue, Suite 1200
www.epa.gov/environmentaliustice

Dallas, TX 75202

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INFORMATION: The Merger of Small Water Systems was one of several presentations made
during the EPA Region 6 Environmental Justice Forum in Dallas in June 2018. The Forum brought
together federal, state and local agencies, community organizations, and other stakeholders from across
EPA Region 6. The Forum was designed to advance collaborative efforts made by partnering
governmental agencies working together with regulated entities and communities to improve air, land
and water where people work, live and play. The Merger of Small Water Systems was featured in the
Forum as a best practice model in southern New Mexico that effectively brought about improved
access to clean water. These efforts were centered on a common interest by all resulting in the
establishment of a greater public water system, consolidating several smaller and challenging systems
that were serving unincorporated communities within Dona Ana County.
BACKGROUND: The merger efforts of five small mutual domestic water systems in the Lower Rio
Grande effectively showed that when all levels of government worked closely and cooperatively with
communities they serve, they can make good things happen. In this case, partnering agencies working
together with the Vado community resolved longstanding drinking water issues plaguing Vado.
Vado, a historically African American community, grew out of the community of Blackdom which
was established in 1903. Blackdom was a thriving farm community for over 30 years. When the water
table dropped, farming became impossible and Blackdom was abandoned. Some of the families from
Blackdom moved to the Roswell area and others moved to Vado. At the time, there were no
restrictions on using water from the Rio Grande and several farmers got together and purchased a well.
Household water mainly came from outdoor hand pumps; only a few families could afford electric
pumps and small storage tanks.
The water well was fed by shallow groundwater, which in time became increasingly salty, and the
community felt the need for a better water supply. In the early 1960's, Vado become a Water
Association under New Mexico's state laws. The association later became the Vado Mutual Domestic
Water Consumers Association (MDWCA), and by the mid-1990's, nitrate contamination in the water
supply led them to begin purchasing bulk water from the Mesquite Mutual Domestic. In the mid-
2000's, competing challenges led the Vado and Mesquite water associations to discuss the potential of
a regional partnership with neighboring communities.
As communities such as Vado and Mesquite developed informal ties to best confront challenging
access to drinking water, other mutual domestic water associations in the southern New Mexico region
had established similar informal ties and would call on each other for assistance. They met regularly to
discuss common issues, and all the water associations in the area were invited to these meetings.
Important results from the different associations meeting together included the revelation of
duplication of efforts by the associations working separately. The communities being served realized
that they were all paying the same attorneys, accountants, auditors, etc., and producing the same
reports: pumping reports to New Mexico's Office of the State Engineer, state and federal tax reports,
Emergency Response Plans, 40 Year Water Plans, etc. The communities also felt the strain of
increased regulatory requirements (new arsenic rule, mandatory board training, new funding, reporting
and audit requirements) and often lacked the capacity to achieve compliance. They also lacked a
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defined service area which allowed larger entities to encroach into the smaller areas served by the
mutual domestics. The larger entities provided service to new subdivisions and businesses which
hindered the growth of communities in the unincorporated areas.
In 2005, four mutual domestic associations - Berino, Desert Sands, Mesquite and Vado — entered a
Memorandum of Understanding forming the Regional South Central Mutual Domestics Association
(RSCMDA). As the new Association formalized the relationship of what was until then separate
mutual domestic associations, La Mesa joined the first four associations. Following the
recommendation of state legislators, the group began to prioritize projects before seeking funding and
began to contemplate regional projects to interconnect the water systems for emergency back-up water
supply and fire protection. By late 2006, these five associations jointly incorporated the Lower Rio
Grande Mutual Domestic Water Association (LRGMDWA) as an "umbrella" entity to receive funding
and build regional projects. During the next couple of years, this umbrella association was very
successful in obtaining funding and building two interconnection pipeline projects, first connecting
four of the systems along the I-10 frontage road and then crossing the Rio Grande to interconnect La
Mesa.
COLLABORATING AGENCIES: During the 2009 session of the New Mexico Legislature,
members of the RSCMDA approached state legislators with a request for capital outlay for their
separate mutual domestics. The legislators urged them to work as a group to prioritize the projects for
funding rather than leave it up to the legislators. RSCMDA also attended a meeting to discuss
regionalization and came away with an understanding of the role regionalization would play in
securing funding and the benefits to small communities. They decided to merge the systems into the
Lower Rio Grande Public Works Authority (LRGPWA). The idea of merging was shared with various
stakeholders and initially received opposition. Supporters and opponents met and worked out mutually
agreeable solutions for the regionalization of water systems, including crafting a bill proposal that was
presented to the state legislature and identifying a legislative sponsor. The Legislative review process
included requesting analysis and comments from state agencies, and the stakeholder group worked
with New Mexico Environment Department (NMED) to ensure that the state understood what they
were attempting to do, and that the language in the bill pertaining to their regulatory role was clear and
appropriate.
As a political subdivision of the state and a member-owned community water system, LRGPWA is
subject to the rules of the NMED regarding operation and governance, operator certifications, safe
drinking water act compliance and funding review and approval for infrastructure, treatment and leaks.
In addition to the regulatory role, NMED provided community technical assistance by contracting with
the Rural Community Assistance Corporation (RCAC) to help the organization develop a merger plan.
The RCAC developed the Governance Plan, Policies, and Procedures and assisted in the formation of
the Board of Directors. They also established a strategic plan which included the initial version of an
Asset Management Plan, Operations & Maintenance (O&M) Plan, Management Plan, and
Infrastructure Capital Improvements Plan. Assistance was also received from the New Mexico
Finance Authority, Water Trust Board and Colonias Infrastructure money.
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CHALLENGES OF SMALL PUBLIC WATER SYSTEMS: Small entities often lack the capacity
to achieve compliance with new regulatory requirements because of inadequate and/or aging
infrastructure, lack of or limited certified operators, limited knowledge of financing options, fewer
households resulting in higher costs, lack of expertise in long term water system planning or operation,
and limited community involvement. Small entities also often lack the ability to declare service areas
that can help spur growth. The regionalization of the systems resulted in approximately 5,000 water
connections and nearly 500 sewer connections, larger water and sewer budgets to upgrade existing
systems, increased capital outlay and specialized funding, more storage capacity, increased ability to
serve un-served areas and explore alternative water sources.
STATUS: The LRGPWA now consists of ten water systems, serving 16 communities (including 14
colonias) in four service areas covering 100 square miles. The LRGPWA now has two wastewater
collection systems, one waste water treatment facility with approximately 5,000 water connections,
approximately 500 wastewater connections serving an approximately 15,000 population. The
Authority has a staff of 30 full and part time staff and provide O&M assistance to neighboring systems.
In 2009, the NM State Legislature approved the merger request. Currently LRGPWA is providing
O&M Assistance to a Neighboring System. It was decided not to dissolve the old MDWCAs because
items would pop up where one of their board members might be needed to sign a deed or some other
document.
Office Information
United States
Environmental Protection
Agency
Office of Environmental Justice, Tribal and International Affairs (OEJTIA)
1445 Ross Avenue, Suite 1200
Dallas, Texas 75202
800-887-6063
www.epa.gov/environmentaliustice
OEJTIA Director: Arturo Blanco
OEJTIA Deputy Director: Rhonda Smith
EJ Program Associate Director: Gloria Vaughn
EJ Program Staff: Agatha Benjamin, Omari Burrell, Paula Flores-Gregg, Charlotte Runnels, Debra Tellez, Tressa
Tillman
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