Water and Wastewater Contract Operations and DBO Contracts: the Good and the Bad
It is well documented that communities entering into private operating arrangements for all or portions of their water or wastewater system have realized significant savings, perhaps up to as much as 25 to 35 percent below historic operating costs. In many cases, these savings have materialized with no appreciable change, or even an improvement in operations and maintenance. In some cases, however, there have been unfortunate surprises. Contract disputes have arisen over requests for changes in the scope of services, the facility(ies) not being maintained as well as promised or expected, environmental performance not meeting historic levels, or responsibility for activities not being clearly distinguished. As increasing numbers of communities consider the prospect of longer term operating contracts, enabled by changes to the Internal Revenue Procedures (IRS Rev. Proc. 97-13) they have discovered that the issues can become significantly more complex. Procurement and contracting arrangements should be structured to accommodate issues such as changing regulatory requirements, capital improvement implementation, and perhaps most importantly, preservation of the communities' assets, and continued ability to meet performance standards without the need for a major overhaul of facilities (at the community's cost) at the end of the contract term.
No Reference information available - sign in for access.
No Citation information available - sign in for access.
No Supplementary Data.
Document Type: Research Article
Publication date: 2002-01-01
More about this publication?
- Proceedings of the Water Environment Federation is an archive of papers published in the proceedings of the annual Water Environment Federation® Technical Exhibition and Conference (WEFTEC® ) and specialty conferences held since the year 2000. These proceedings are not peer reviewed. A subscription to the Proceedings of the Water Environment Federation includes access to most papers presented at the annual WEF Technical Exhibition and Conference (WEFTEC) and other conferences held since 2000. Subscription access begins 12 months after the event and is valid for 12 months from month of purchase. A subscription to the Proceedings of the Water Environment Federation is included in Water Environment Federation (WEF) membership.
WEF Members: Sign in (right panel) with your IngentaConnect user name and password to receive complimentary access. Access begins 12 months after the conference or event
- Subscribe to this Title
- Membership Information
- About WEF Proceedings
- WEFTEC Conference Information
- Learn about the many other WEF member benefits and join today
- Ingenta Connect is not responsible for the content or availability of external websites