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Welcome Developers Developer Services Summit November 2010

Welcome Developers Developer Services Summit November 2010. Agenda. Time Topic Presenter 8:30 a.m. Registration and Refreshments 9:00 a.m. Welcome and Opening Remarks Elliott D. Schwartz

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Welcome Developers Developer Services Summit November 2010

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  1. Welcome DevelopersDeveloper Services SummitNovember 2010

  2. Agenda Time Topic Presenter 8:30 a.m. Registration and Refreshments 9:00 a.m. Welcome and Opening Remarks Elliott D. Schwartz 9:15 a.m. Introduction to Developer Services Ruth Gavel, Scott Segal, Brad Cole 9:45 a.m. Water Supply / Capacity Vincent Monaco 10:30 a.m. 15 Minute Break 10:45 a.m. GIS/CAD Drawing Requirements Donna Short 11:00 a.m. Fire Flow Calculations Joseph P. Dugandzic 11:30 a.m. Q and A 12:00 a.m. Adjourn

  3. Why we’re here today Foster relationships Learn from each other Recommend improvements

  4. American Water • Founded in 1886 • Largest investor-owned U.S. water and wastewater utility company • Serves 16 million people • Operations in 35 states, as well as Ontario and Manitoba, Canada. • Employs more than 7,000 dedicated professionals Map as of 5/10/2010

  5. New Jersey American Water

  6. Infrastructure

  7. Developer Services – Who we areOur team is dedicated to serving the development community Department Manager Elliott D. Schwartz (908) 431-3212 Project Managers Bradley Cole – Monmouth/Ocean Counties (856) 309-4762 Ruth Gavel – Atlantic/Cape May Counties (856) 309-4765 Scott Segal – Burlington/Gloucester/Camden/Salem (856) 309-4766 Joseph Davignon – Northern New Jersey (908) 431-3223 Support Staff Carla Oliveira (908)-431-3221 Amita Samanta (856) 824-2566 Gwen Green (856)-824-2577

  8. Introduction to Developer Services Who are we? What do we do? What can we do for you?

  9. Developer Services – Who are we? We manage the water and wastewater infrastructure improvements necessary to fulfill the needs of the development community. We strive to provide safe, adequate and proper service through an organized and structured program.

  10. Developer Services – What do we do? Provide a common, consistent, single point of contact Manage the project and the relationship with the developer Coordinate with other company functional partners Asset Planning Field Operations/Construction Management What can we do for you?

  11. Developer Services – Available on the Web atwww.amwater.com/njaw/developers

  12. Developer Services Landing Page New Jersey American Water Developer Services Contacts An Overview of the Developer Services Process Developer Services Downloadable Customer Resources

  13. American Water has professionals located across the state who are available to address questions related to current or future projects. View the list below to identify a professional in your area. You may also submit general inquiries to njaw.developerservices@amwater.com

  14. Developers and other interested parties can download or link to the following information to help with planning or implementing a project.

  15. Customer Resources (cont.)

  16. Steps/Timeline of a Project 1.0 Submit application to New Jersey American Water (Pre-Application meeting may have been conducted) 2.0 Technical Review (8 weeks) Hydraulic analysis: 3 weeks Capacity analysis: 3 weeks (typically concurrent with hydraulic analysis) Cost estimating: 4 weeks after hydraulic analysis Agreement preparation: 1 week after estimate 3.0 Agreement: Varies based on developer response 4.0 Bid and Construction (8 weeks) Bidding: 5-6 weeks Permits: 5-6 weeks (typically concurrent with bidding process) Material procurement: 3-4 weeks after all approvals, permits, deposits, applications, easements. Specialty items / large-size materials may take longer. Construction: Depends on size of project 5.0 Close-out: 120 days after the final costs are available 6.0 Refund: As specified in the agreement

  17. 1.0 Application Standard Main Extension Application Form Fire Flow Calculation Worksheet Project Utility Plans & CAD Disk Application Fee

  18. Application Fee (Non-Refundable)

  19. 2.0 Technical Review Capacity & Hydraulic Review Domestic Flows Fire Flows Constructability Review and Estimate NJDEP PermitRequirement Review

  20. 3.0 Agreement Standard Main Extension Agreement Easement Indenture Additional Applications Domestic Services, Fire Service and Private Hydrant Applications along with the associated addresses Funding Hydrant Authorization SDW Permit Application (NJDEP) Agreements must be executed within 1 year. The developer should contact their Project Manager for an extension to the agreement. The Project Manager will determine if an updated agreement, new application and/or new application deposit is required.

  21. 4.0 Bid and Construction Procurement of Contractors Permits Road Other Requirements to begin Construction Remaining deposit based on bid costs Permits Site ready Easement staked

  22. Contractual Relationship New Jersey American Water Developer Contractor Suppliers

  23. Contractor Selection and Construction The contractor selection is the water company’s and not the developer’s The lowest responsive bidder will construct the project This bidder may or may not be the developer’s “requested contractor” New Jersey American Water will: manage the contractor during the construction process inspect, pressure test and chlorinate the mains complete the needed as-builts

  24. 5.0 Close-Out 120 days after the final costs are available Final Project Costs and Reconciliation Reimbursements / Balance Due

  25. 6.0 Revenue Refunds Refunds made for each new bona fide customer taking service directly from the main extension Refunds obligation will expire 10 years after the effective date of the Main Extension Agreement Maximum refund is the total cost of the project New Jersey American Water will make a one time refund payment for each new bona fide customer Refund payment for residential customers with a 1” service will be the Estimated Annual Revenues times the Refund Multiplier Example Area 1: Estimated Annual Revenue - Based upon most recent rate case. $591.00 x 10 = $5,910.00 refund per 1” connection

  26. 6.0 Revenue Refunds (Cont.) Non-Residential Estimated Annual Revenues (Includes services greater that 1” in diameter)- Based upon actual annual water revenue for months 13 through 24 Months 13 through 24 is used for various reasons Estimated annual revenue for water services greater than 1” are not provided in the Tariff Typically, multi-tenant buildings are not fully occupied within the first year of service Commercial facilities tend to be less consistent in usage patterns Often, site construction is continuing for a number of months after service has been installed

  27. 6.0 Revenue Refunds (Cont.) Note: Main Extension Agreements are currently being offered with the understanding that the current court ruling associated with Superior Court of NJ Appellate Division-Docket # A-2207-07T3 may have an impact on (1) whether or not refunds can be offered by New Jersey American Water in the future and (2) the actual calculation for determining such refunds. While we await final guidance from the BPU regarding refunds, New Jersey American Water will calculate refunds under the current guidelines and treat all projects under agreement as “smart growth” or refund eligible.

  28. Questions? Next Up: Water Supply By Vincent Monaco

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