Sewerage & Water Board of

New Orleans
March 7, 2024
 • SWBNO Basics

• Our Systems
Utility
• Our Governance
Overview
• Funding Sources

• Progress and Priorities

SWBNO Basics
The Basics
≈ 1,300 employees (City Civil Service)

≈ 140,000 customer accounts

• 122,084 residential accounts
• 12,632 commercial accounts

• 30 industrial accounts

• Independent public utility –

Political subdivision of the State of Louisiana

• Est. in 1899 by Louisiana Legislature

Our Systems
A true “One Water” utility.

Drinking Water Wastewater Stormwater Power

and Drainage
A Complex Governance Structure
SWBNO Board of Directors
• Guides the policy of the utility, Mayor is the
President, City Council has one seat
• Strategy, governance, finance,
administration, pension, etc.
• Approve budget and expenditures
Board of Liquidation, City Debt
• Approval power for rates and bond
issuances; manages the details of
bond issuances
New Orleans City Council
• Requires quarterly SWBNO reports on
contracts and operations
• Approval power for rates, bond
issuances, and property taxes
• Has authority on billing related issues
and disputes
Louisiana State Legislature
• Controls governance structure
• Legislative body: Introduces bills and
has power to approve legislation
Identifying and Addressing Challenges
• Billing, Dispute and Delinquency Issues

• Deficient and Inefficient Workstreams and

Technology Processes
• Improved water quality sampling process

• Lack of formal and objective process to evaluate

funding and rate-making

• Replacement vs repairs approach

• Financial health vastly improved since 2018

• Procurement process updated and improved

Identifying and Addressing Challenges
• Fragile and Unreliable Systems

• Fragile Turbines and Power Systems

• Aged Water Distribution, Wastewater collection

Systems and Treatment Plants

• Fragmented Drainage System

• Environmental and Public Health Concerns

• Intense Rainfall

• Saltwater Intrusion

• Lead Service Lines

Strategic Plan
Vision
To be a model utility that earns
and holds the trust and
confidence of our customers,
community, and partners
through reliable and sustainable
water services.
Mission
Our team of experts serves the people
of New Orleans and improves their
quality of life by reliably and affordably
providing safe drinking water;
removing wastewater for safe return to
the environment; and draining
stormwater to protect our community.

Our
Values
Customer- Transparent Accountable Safety-
Focused and Honest Minded
Our Systems
Drinking Water
Purpose: Purify Mississippi River water for city residents,
businesses, and visitors.

Carrollton Water Treatment Plant Algiers Water Treatment Plant

Raw Water Intake → Purification → Storage → Pumping → Distribution

Distribution System

Meters
Water Mains
1,610 miles
(34% > 100 years old)

Raw Water Intake → Purification → Storage → Pumping → Distribution

 Water Towers and Potable Water
Pumping Capacity
• Prevents “Water Hammer” effect

• Water storage provides

uninterrupted water pressure for 40
minutes; passive back-up system 0
Citywide Precautionary
• Replaced potable water pumps with Boil Water Advisories
variable speed pumps
(Some localized boil water advisories happen)

• Repaired water filtration basins to

increase capacity
Water Quality Master Plan
1959
Last renovation on primary water
treatment plant

18-month process to identify the next level of

investment in our water treatment plants
• Start work in Q1 2024
• Recommendations will consider:
• PFAS, PFOS, emerging contaminants
• Lead and Copper Rule Revisions
• Saltwater Intrusion
Wastewater
Purpose: Collect wastewater, treat it, and return
clean water to the Mississippi River.

Eastbank and
Westbank Sewage
Treatment Plants

Sewer Collection
Lines

Emergency
Outflows 84 Sewer Pumps and
Pumping Stations
Wastewater Funding and Investments
(Due to Bonding Capacity)

$275 M
Water Infrastructure Finance
and Innovation Act (WIFIA) Loan
Collection System and Consent
Decree Program
$38.9 M
in Approved Wastewater
Treatment Plant Projects
Drainage System
Drainage System
Green Infrastructure

In each major rain event, retained

274,500 Gallons of
10
Green Infrastructure Sites Stormwater
with Green Infrastructure
Current Power Generation System
Purpose: Power SWBNO water, and drainage pumps and other
facilities in a primary or backup capacity

CURRENT INFRASTRUCTURE

Natural Gas Steam Back-Up SWBNO uses frequency

Produces Produces Produces 5 EMD changer machines to
60Hz power 25Hz power 25Hz power Generators Convert Entergy’s power
electrical currents from
60Hz to 25Hz.

T6 T5 T4
Built in Built in Built in
2012 1958 1915
Future Power Complex
The Power Complex will bring modern,
reliable power to our system.

A power substation connected to

Entergy’s Transmission line

Modern turbines

Frequency changers to convert 60Hz

power to the 25Hz currents our older
pumps use

Expected Summer 2025

Pending Capital Outlay Funding
Power Complex Funding Status
Revenue and Funding Sources
Revenue Sources
$4.10 M 2023 Revenues ($348 million)

Past-due
$68.20 M customer accounts
(more than 60 days)
Water Revenue
$120.30 M as of March 2024:
Sewer Revenue
Drainage Millages $57.6M
Other Revenue Sources
$155.60 M

in millions

24
 Water and Wastewater Revenue | Needs
Water System Wastewater System
$300,000,000 $300,000,000

$250,000,000 $250,000,000

$200,000,000 $200,000,000

$150,000,000
Capital Projects $150,000,000

Our Revenue
$100,000,000 Our Revenue Operations, $100,000,000

Maintenance,
$50,000,000 and Admin $50,000,000

$-
Paying Off Debt $-
2023 2024 2025 2026 2027 2023 2024 2025 2026 2027
 Drainage Revenue
Capital Improvements
$13.5M Most drainage revenue goes
toward day-to-day
maintenance and
$68.2M SELA
operations
Drainage Commitments, Other Capital
Maintenance $10 M Projects,
revenue & Operations $3.5 M Underfunding has required
in FY2023 $54.7 M SWBNO to defer many
capital improvement
projects

26
 Drainage Needs
$939M
Ten-year drainage capital
improvement plan

DPS 15 Discharge Piping

93% unfunded

DPS 7 Discharge Bells DPS 11 Screen Cleaners – Broken Rakes

27
WITH ADDITIONAL
FUNDING

Offer the resilient

and reliable drainage
services New Orleans
requires to keep our
community safe.
 Other Funding Sources
$125M+ RECEIVED Applied For
IN 2023 STATE & FEDERAL FUNDING
Lead Service Line
$31.5M LDEQ Replacement Program
$38.9M LDEQ $15M Capital Outlay $79M available via IIJA
Revolving Fund Revolving Fund $10M of requested $39M
for additional wastewater for Sewer Consent Decree moved from P5 to P1 for Power
plant repairs Complex funding with $5
million additional in cash
$5M LDEQ +
$16M HUD $3.3M Hazard Mitigation $21.9M Fair $4.5M LDH
Earmarked for the Grant Program Share Funding for Smart Meters
Power Complex
for 10 portable/emergency Distributed via Infrastructure
generators Advisory Board
Billing and Customer Service
The challenge: Hand-reading 140,000 meters every month.

Bi-Monthly Actual
Reads Strategy
Began in November 2022

97% ✓ More Actual Reads

Meters read since
Leads to more accurate
implementation
estimations
(compared to 60-80%)

Bills on Hold
Down from over 10k in 2022 to
over 2k in 2023
Moratorium Effects
Customer moratoriums meant to ease the
burden of paying water bills during difficult
conditions resulted in large delinquencies
and bad debt

• 2017 – Billing Software Roll-out Issues

• 2018 – Hard Freeze Impacts

• 2020 – COVID-19

• 2021 – COVID-19 & Hurricane Ida

Uncollected accounts receivable spiked

• Roughly 17% of rate payers left with

significant balances
 Accounts Receivable Progress
Total Accounts Receivable
12/31/2023 9/30/2023
in millions in millions Marked improvement in Top 100 Debtors
0-60 Days $27.9 $26.3
Past Due Open Bill Closed Total 100
60+ Days $57.6 $53.4 Customers Investigations Accounts ($) Debtors ($)
Aged – Past
Due 2021 28,116 3,675 $35,967,636 $23,277,722

Under $29.3 $36.4 2022 24,934 3,230 $31,397,012 $22,018,142

Investigation 2023 24,991 4,349 $15,614,436 $15,092,585
Closed $15.6 $25.6
Accounts
Total $130.4 $141.8
 Promise Pay and Payment Assistance
• Over 2,600 accounts signed up since last month’s launch
• Average no-interest payment plan: $2,300
• Over $450,000 collected in four weeks Water Help Program

• Assists elderly, disabled, and

economically disadvantaged

• Fund administered by Total

Community Action

• Up to $200 credit annually

To contribute to Water Help:

Add $1 to your monthly payment
Smart Metering Progress
• Customer Portal set to be available in
summer/fall 2024

• In 2024, anticipate installing ≈75,000 meters

• Nearly all 1.5”+ meters (6,450)
• Roughly half of 5/8” and 1” meters (68,575)

• Informing customers of lead service lines

identified during installation

• Installing new smart meter covers with

historic design
Technology Modernization Progress
I-Tron Handhelds for Meter Reading
• More efficient
• GPS tracking
• Ability to take and store photos of meter reads
• Enable prompter resolution to bill disputes

Working on Customer Portal

• Empower our customers to monitor water
consumption and personalize usage alerts to their
email, text, etc.
• Enable Customer Service staff to mirror customer
screen when conducting business over the phone.
SWBNO Power Complex Progress
Substation Delivered on Schedule
• Construction is complete
• Testing is complete

SWBNO Connections and Backup Plant

• Currently installing steel spans on Utility Rack and driving
piles for equipment foundation

• Moving forward with installation of two static frequency

changers and Turbine 7
• Last major construction contract in advertising phase now
• Notice to Proceed planned for Q2 2024
Prioritizing Pavement Progress
4,647
Pavement repairs
completed in 2023

57%
More pavement repairs
completed in 2023 than in 2022
 Decreasing Work Order Backlog
26,466
Work orders completed in
2023

25%
Decrease in work order backlog
from 2022 to 2023

Through December 15, 2023

Water Quality Master Plan
1959
Last renovation on primary water
treatment plant

18-month process to identify the next level of

investment in our water treatment plants
• Start work in Q1 2024
• Recommendations will consider:
• PFAS, PFOS, emerging contaminants
• Lead and Copper Rule Revisions
• Saltwater Intrusion
Upcoming Lead and Copper Rule Requirements
Public Education &
Infrastructure Schools/Childcare Monitoring EPA’s
Resources
recently
More education and outreach
proposed, more
Inventory service line rigorous Lead and
materials across the city Annual notification: service line Copper Rule
is lead or unknown material Sample for lead at all Improvements
Make the results public
(Goal: find it) registered schools and
24-hour notification of high daycares built before 2014
lead level within five years
Replacement plan
(Goal: get rid of it)
Water filters provided after a
lead line disturbance
SWBNO’s Response
• Service line inventory in progress
• Replacement plan due by October 2024
• Costly (but important) programs
• Lead line replacement
• EPA will likely mandate completion within 10 years

• Additional testing
• Additional communication and outreach
Workforce Development
The People Plan considers:

Compensation Retention Career

Development
& Training

Accountability Diversity, Recruitment &

& Supervision Equity, & Hiring
Inclusion
Employee input:
• Focus groups
• Interviews
• Survey
Questions?