1. City of Lordsburg Rapid Assessment Process Project Strategic Plan City of Lordsburg Water and Wastewater System Improvements Lordsburg, New Mexico Presented to: Project Sponsor and Agency Stakeholders August 28, 2004

2. City of Lordsburg Rapid Assessment Process Project Strategic Plan  General Aspects  Environmental Indicators  Environmental, Human Health and Sustainable Development Strategies  Technical Approach, Objectives and Funding Plan  Public Participation  Project Development Schedule  Action Items Agenda

3. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects The City of Lordsburg  Located in southwestern New Mexico, in Hidalgo County;  Along I-10 midway between Tucson and El Paso;  Approximately 45 miles northwest of the U.S./Mexico Border. Project Location Lordsburg

4. City of Lordsburg Rapid Assessment Process Project Strategic Plan  City of Lordsburg  Population: 3,379 (Census 2000)  Median Household Income (Census Data): $21,036  Unemployment Rate: 6.2%  Existing Facilities  Water  Operated and maintained by City of Lordsburg;  1994 recipient of NMED Rural Infrastructure Program loan for water system improvements.  Wastewater  Operated and maintained by City of Lordsburg. General Aspects Project Sponsor Profile

5. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects  Production  10 production wells owned by City of Lordsburg;  6 northern wells abandoned in 1973 due to high level of nitrates;  3 wells currently operable East Wells No. 1 and 2 and S&P Well;  Smith Well drilled in 1998 located ¼ mile west of No. 1 & 2 has been discontinued due to elevated fluoride levels.  Distribution  System operated and maintained by City of Lordsburg;  System approximately 50 years old;  12-inch transmission main delivers water 5 miles from storage reservoir;  1,259 service connections for entire population.  Storage  The City of Lordsburg operates and maintains two storage reservoirs;  Reservoir No. 1 – 0.3 MG raw storage constructed in 200 supplies Reservoir No.2;  Reservoir No. 2 – 2.5 MG steel reservoir constructed in 1970’s. Existing Water Production and Distribution System

6. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects  Collection System  Consist of vitrified clay pipe constructed 50 years ago;  Brick manholes throughout the system;  Two wastewater lift stations located in northern and western areas of City.  Wastewater Treatment Plant  Constructed in 1998 consisting of headworks with grinder, screw pumps and partially aerated and facultative lagoons discharging to a series of wetland ponds;  Designed for future flow of 0.6 MGD;  Estimated that 140 acres of wetlands are required however only 51 acres available therefore excess wastewater discharged to the Lordsburg Draw;  No discharges to date. Existing Wastewater Collection & Treatment System.

7. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects  Production  Yearly average of fluoride levels at the system entry point is high at 4.80 mg/l and exceeds EPA National Primary Drinking Water Regulation’s maximum contaminant level of 4.0 mg/l;  Smith Well fluoride content has been measured at 9.22 mg/l;  Wells No. 1 and No. 2 are exposed resulting in excessive wear on the equipment.  Distribution  Test results indicate fluoride levels 4.8 mg/l;  Direct feed to 20 residential customers prior to final chlorination;  Inadequate looping results in lower pressures;  Inadequate line sizes and fire protection throughout the Town;  Numerous inoperable valves and insufficient quantity to effectively isolate system;  Speculated that the 12-inch transmission main to the reservoir is deteriorated;  Average water consumption of 167 gpcd is high and may suggest inaccurate meters or system leaks.  Storage  Required improvements not evident at this time; Water System Deficiencies

8. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects  Collection  Deteriorated condition of the sewer mains has resulted innumerous line breaks throughout the system;  Distances between manholes exceeding 400 feet does not permit effective maintenance and repair of the system;  Existing brick manholes exhibit deterioration.  WWTP  NMED June 2003 effluent information indicates high level of total nitrogen;  Monitoring well information indicates high levels of nitrates exceeding NMED standards;  NMED issued notice of non-compliance in 1999 for the following: 1. Effluent samples were not submitted in 1998; 2. A Solids Management Plan has not been submitted; 3. Monitoring well information was not submitted; 4. Monitoring reports were not submitted per the NMED requirements; 5. One irrigation lagoon was unlined raising concern for leaching; 6. Closure activities for the original treatment plant were not identified. Wastewater System Deficiencies

9. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects Evaluation and inspection of the existing system will assist in selecting and implementing the necessary improvement to include the following possible alternatives:  Collection System  Video inspection of portions of the system completed in May 2004;  Replacement and/or rehabilitation of existing sewer mains;  Replacement of existing manholes.  Wastewater Treatment Plant  Evaluate high nitrate levels and make appropriate recommendations;  Address NMED Notice of Non-compliance to include the following corrections; 1. Obtain and test effluent samples; 2. Develop and submit a Solids Management Plan; 3. Obtain and submit monitoring well information; 4. Prepare and submit monitoring reports per the NMED requirements; 5. Drain and line lagoons; 6. Submit closure activities for the original treatment plant;  Determine effectiveness of floating baffles and possible alternative for repair. Proposed Wastewater System Improvements Total Estimated Cost - $TBD

10. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects Evaluation and inspection of the existing system will assist in selecting and implementing the necessary improvement to include the following possible alternatives:  Production The following possible alternatives were recommended in the EPA’s Technical Assessment of the Lordsburg Municipal Water System prepared in 2002 for the EPA:  Discontinue or reduce to greatest extent possible, use of the Smith well;  Continue pumping Wells No. 1 and No. 2 and S&P wells to minimize flouride with maximum production;  Reroute flow from Smith Well to the raw storage tanks as a supplement source of peak demand water, only if effective blending at the tank is possible;  Rehabilitate Wells No. 1 and No. 2 to include enclosure and upgrade or replace mechanical equipment for optimum reliability and efficiency;  Conduct engineering evaluations to determine appropriate treatment / blending scenario.  Distribution  Replacement of deteriorated 12-inch transmission main to reservoir;  Replacement of distribution system piping, valves and fire hydrants;  Determine source of low water pressure in the southern half of the City’s water system.  Storage  Verify that capacity of reservoirs is sufficient. Proposed Water System Improvements Total Estimated Cost - $TBD

11. City of Lordsburg Rapid Assessment Process Project Strategic Plan General Aspects Existing System Reservoir No. 1 Reservoir No. 2

12. City of Lordsburg Rapid Assessment Process Project Strategic Plan Well No. 1 Smith Well Well No. 2 S&P Well

13. City of Lordsburg Rapid Assessment Process Project Strategic Plan WWTP Headworks Lagoon No. 3 Wetland Pond (typical of 6) Lagoon No. 2

14. City of Lordsburg Rapid Assessment Process Project Strategic Plan Environmental and Human Health Indicators  Continued exposure to high flouride levels may result in dental flourisis, skeletal flourisis rheumatic attack and pain and stiffness;  MCL for flouride is 4 mg/l – Wells No. 1, No. 2 and S&P Well exceeded this level previously;  Smith Well has exceeded the “unreasonable risk to health level” of 5 mg/l;  Direct injection of Smith Well into the system does not permit blending; Water System Wastewater System  High levels of nitrates exceeding NMED standards observed at monitoring wells;  NMED effluent information for June 2003 indicates high level of total nitrogen;

15. City of Lordsburg Rapid Assessment Process Project Strategic Plan Environmental and Human Health Indicators Compliance with Environmental Norms & Regulations  Water System  MCL for fluoride is 4 mg/l – Wells No. 1, No. 2 and S&P Well exceeded this level previously;  NMED issued a Cooperative compliance order in May 2004 addressing the high fluoride content in the City of Lordsburg.  Wastewater System  NMED June 2003 effluent information indicates high level of total nitrogen;  Monitoring well information indicates high levels of nitrates exceeding NMED standards;  NMED issued notice of non-compliance in 1999 for the following: 1. Effluent samples were not submitted in 1998; 2. A Solids Management Plan has not been submitted; 3. Monitoring well information was not submitted; 4. Monitoring reports were not submitted per the NMED requirements; 5. One irrigation lagoon was unlined raising concern for leaching; 6. Closure activities for the original treatment plant were not identified.

16. City of Lordsburg Rapid Assessment Process Project Strategic Plan Environmental and Human Health Strategies  Conduct a thorough analysis of the hydrological data relative to the Lordsburg Basin and the City’s wells to ascertain the nature, possible source of high fluoride and impact to the Lordsburg community;  Describe the existing distribution system and address the threatening impacts of inadequate system looping and pipe deterioration;  Document the enforceable regulatory standard(s) which require minimum system design criteria for fire flow protection;  Water conservation measures should be incorporated in any future rate studies;  Prepare for an environmentally sensitive issues that may arise.

17. City of Lordsburg Rapid Assessment Process Project Strategic Plan Sustainable Development Strategies  Two stakeholder workshops to be conducted. The baseline conditions report requires wastewater conditions from the City of Lordsburg;  Demonstrate appropriate institutional capacities:  Obtain proper certifications.  Seek Training NADB; Operator and administrative development  An operation and maintenance program will be developed as part of the project;  Develop water usage assessment, including possibilities for conservation/reuse;  30% design review by system operator.

18. City of Lordsburg Rapid Assessment Process Project Strategic Plan  Provide the City of Lordsburg with adequate, affordable water service in compliance with State regulations;  Determine feasibility of blending Smith Well so that production may be increased;  Rehabilitation of existing water distribution system and improvement to existing production facilities.  Improvements to the WWTP to ensure compliance with NMED standards. Technical Approach,Objectives and Funding Plan Project Objectives

19. City of Lordsburg Rapid Assessment Process Project Strategic Plan Recommended Technical Approach Technical Approach,Objectives and Funding Plan PDAP Eligible Tasks:  Facility Plan  Environmental Report  Financial Analysis  Public Participation Program  Final Engineering Design Non-PDAP Eligible Tasks:  Rate study  Training and institutional strengthening.  Project Management  Operation and Maintenance Plan

20. City of Lordsburg Rapid Assessment Process Project Strategic Plan Institutional Capacity The Frank M. Tejeda Center has been contacted and may prepare a Statement of Institutional Capacity of the City of Lordsburg addressing the following : Technical Approach, Objectives and Funding Plan  Regulatory Compliance Issues  On-going Projects and Planning  Existing Planning  Project Development and Funds Management  Outsourcing  Operational Capacity  Management Capabilities  Governance Institutional Development RAP Recommendations:  Administration/Operations Staffing  Training

21. City of Lordsburg Rapid Assessment Process Project Strategic Plan Technical Approach, Objectives and Funding Plan Recommended Technical Approach  Request TA for Planning Phase Tasks of eligible components:  Facility Plan  Environmental Review and Clearance  Preliminary Financial Analysis  Preliminary Public Participation Program  Documents to be prepared for consideration by potential funding sources.

22. City of Lordsburg Rapid Assessment Process Project Strategic Plan Project Sponsor Financial Potential Technical Approach, Objectives and Funding Plan  General revenue generated by imposing a 7.0% sales tax;  Currently property taxes are assessed;  Maintains full-time staff to include utility personnel, city employees and police chief;  Fiscal year from July 1 st to June 30 th for each year. Current Rate Structure  1,259 service connections. 200020012002 Operating Revenues1,825,5142,169,3381,733,206 Operating Expense2,246,2952,782,9122,246,737 Non Operating Revenues (Expense)153,220519,201418,778 Total267,56194,37394,753 Water and Sewer Enterprise Fund Average Monthly Bill  Flat Rate Sewer$13.60  Base Rate Collection$45.00 Total$58.60

23. City of Lordsburg Rapid Assessment Process Project Strategic Plan Identified Potential Funding Sources Technical Approach, Objectives and Funding Plan  USDA-RUS  Colonias Grant and Water and Waste Disposal Program –Water and Waste Disposal Program;  USDA-FHA – In 1997 the City received $2,339,100 for WWTP.  New Mexico Department of Finance and Administration (NMDFA)  CDBG Fund - Grants for population <50,000 maximum $500K;  CDBG Program Planning and Technical Assistance Grants – Providing funds to small cities; for planning and evaluation studies related to CDBG-eligible activity.  New Mexico Finance Authority (NMFA)  DWRF – Provides assistance for drinking water facilities;  Technical Assistance Program – Assistance in loan or grant.  New Mexico Environment Department (NMED)  CWSRF – Funds for construction of wastewater facilities;  RIP – Financial assistance for construction or improvement to water facilities; 1994 City received a loan of $510,973 for water improvements.  SAP – State grants provided to eligible communities; 2000 NM Legislature issued grant to Lordsburg for $250,00 for equipment to reduce fluoride content.  NADBank  BEIF to support construction, service connections, project management and rate transition;  A rate study and additional capacity building tasks may be funded through the IDP;  2002 Town received $1,306,378 in grants from NADBank for the WW Facilities Project.  BECC  The City is eligible through the Project Development Assistance Program (PDAP).

24. City of Lordsburg Rapid Assessment Process Project Strategic Plan  Largest obstacle is cost associated with repaying loans; Potential Obstacles Public Participation Strategy Local Politics  Strong Mayor and Town Council form of Government;  Government structure consist of a Mayor, six City Council members;  Local organizations: Chamber of Commerce, City of Lordsburg City Hall; Lordsburg/Hidalgo County Chamber; Hidalgo county, Lordsburg Police, Elks Club, Lordsburg schools, Social Services, Lordsburg Volunteer Fire Department; Lordsburg Welcome Center. Socio-Economic Indicators  Approximately 41.0% of the population, over the age of 25, has completed a high school education;  2002 Census Information denotes 6.2% unemployment.

25. City of Lordsburg Rapid Assessment Process Project Strategic Plan Project Schedule