GET{ERAL RATB F'ILING

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1 GET{ERAL RATB F'LNG DRECT TESTMONY & EXHBTS OF PAULA L. MCEVOY anuary 0 Submitted t: State f Rhde lsland and Prvidence Plantatins Public Utilities Cmmissin RPUC Dcket N Submitted by: SUEZ Water Rhde lsland lnc

2 SUEZ WATER RHODE SLAND NC a a A Please state yur name, title, affiliatin and address. My name is Paula L. McEvy. am the Directr f Engineering fr the New Yrk Divisin f SUEZ (frmerly United Water), which includes SUEZ Water Rhde lsland lnc (SWR r the "Cmpany'), SUEZ Water Oweg-Nichls lnc, SUEZ Water Suth Cunty nc., SUEZ Water Westchester, lnc. and SUEZ Water New Yrk lnc. My current business address is 30 West Nyack Rad, West Nyack, NY T 1 T t 0 t 3 A A What are yur duties f emplyment? Reprting directly t the Vice President and General Manager fr the New Yrk Divisin, am respnsible fr the develpment and implementatin f the capital plan fr the Cmpany, as well as the ther New Yrk Divisin cmpanies. What is yur educatin and prfessinal backgrund? lhld a Bachelr's Degree in Civil Engineering (received 1) and a Master's Degree in Civil Engineering (received ), bth frm the New ersey lnstitute f Technlgy. have wrked at SUEZ since August f 1. ln additin t my current rle have held psitins in varius engineering capacities. As Directr f Engineering, NY Divisin, manage the capital plans fr the SUEZ Water New Yrk Divisin. ln this capacity, direct the design and cnstructin f capital prjects cncerning surces f water supply, Well imprvements, water treatment plants, transmissin and

3 SUEZ WATER RHODE SLAND NC. 1 distributin systems, custmer service lines, meters, distributin system strage tanks, and pumping facilities. Additinally, am a registered prfessinal engineer, licensed in the State f New ersey. Have yu previusly testified befre any regulatry cmmissins? A Yes. prepared and supprted pre-filed testimny t the Rhde lsland Cmmissin fr SUEZ. have als prepared and supprted testimny befre the Public Service Cmmissin in New Yrk. t a. What is the purpse f yur testimny? A. The purpse f my testimny is t describe the capital needs f the Cmpany, specifically fcusing n the majr capital investment items. will present the Cmpany's capital prjects n Exhibit. T 1 a. ta t 0 T Please describe the Cmpany's plans fr capital investment. The main fcus f the Cmpany's plans fr capital investment are the critical areas f need specifically, water strage tank cnstructin, undergrund infrastructure imprvements, the new ffice lcatin, and ther regular capital imprvements. Over the past few years the Cmpany has managed infrastructure imprvement prjects, plus ther capital prjects and will sn cmplete the cnstructin f the Sherman Tank, which will replace the existing Sherman 3

4 SUEZ WATER RHODE SLAND NC Tank. These prjects have imprved the verall system reliability, flexibility, fire flw availability, and resiliency fr the benefit f ur custmers. t t 1 t t T a A. A. Please explain Exhibit. Exhibit prvides lists f capital prjects that will be placed in-service fr ur custmers between Octber 1,01 and September 30,01. have prvided this infrmatin t Ms. Gil fr inclusin in the Cmpany's rate base. Please describe the mre significant prjects shwn n Exhibit. Fllwing are brief descriptins f the mre significant prjects shwn n Exhibit. The discussin f the prjects have been gruped int three categries: strage tank replacement, infrastructure imprvements, and peratins imprvements: 1. Straqe Tank The Sherman Tank is lcated in an easement at the intersectin f Allen Ave and Suth Rad in Suth Kingstn, Rhde lsland. This strage tank is utilized t maintain adequate pressures in a distributin system, bth during daily service and during fire flw. The existing 00,000 Sherman Tank strage tank is a ' diameter, 0' tall grund strage tank. Sherman Tank, alng with Twer Hill Tank which was replaced in 0, prvides strage fr the majrity f SWR's custmers. A study was prepared f the strage fr

5 SUEZ WATER RHODE SLAND NC 1 SWR and determined that there was insufficient effective strage in the system, and specifically that the Sherman Tank has almst n effective a strage due t the elevatins served relative t the perating range f the tank. Effective strage is the vlume f water in the tank when the system has at least 3 psi. The Rhde lsland system has experienced bil water alerts during peak perids because there was insufficient effective strage. The new Sherman Tank will have a larger vlume, at 1 Millin Gallns, and is at a higher elevatin which prvides imprved pressures t the t system. The elevated tank allws fr a higher vlume f effective strage and imprved fire flw because the entire tank vlume is usable. 1 a. 1 A. t 0 t What is effective and ineffective strage? Water tank strage capacity can be divided int tw categries: ineffective strage, r unusable, and effective strage. Effective strage can be further brken int emergency strage, fire flw strage and equalizatin strage. lneffective strage, is strage at an elevatin in the tank that is belw 0 psi in the system and therefre is nt usable. Due t cnstructin at higher elevatins, mst f the current Sherman Tank strage is ineffective strage. The new Sherman Tank will be entirely effective strage, cnsistent with A\ A/VA standards. 3

6 . A SUEZ WATER RHODE SLAND NC. Did the Gmpany evaluate different water strage tanks? The Cmpany evaluated bth traditinal steel elevated tanks and the Aquastre Tank, which is a glass, fused t steel, cating system. The Aquastre tank was selected fr this prject because f the lwer life cycle csts fr the tank (ie: n tank painting because f the glass). Twer Hill Tank is als a glass, fused t steel, cating system. The Sherman Tank is currently under cnstructin and is expected t be in service in une 0. nfrastructu re lm prvements: t 1 T t 0 T. Sherman Tank Water Main: The Cmpany wns and maintains almst 1 miles f transmissin and distributin water mains. This prject was t replace the 1" existing water line t the Sherman Tank with a new 1" Ductile lrn water main t ensure the cnstructin at the site wuld nt damage the lder 1" main, affecting service t ur custmers and cnstructin at the site. River Street Water Main: This prject is t replace apprximately 0' f " water main with " Ductile lrn water main because the existing water main has experienced several breaks and leaks and requires replacement.. Pnd Avenue Water Main: This prject is t replace apprximately 3000' f " water main with " Ductile lrn water main t imprve fire flw in the area.

7 1 SUEZ WATER RHODE SLAND NL.. Ocean Avenue Water Main: This prject is t replace apprximately 3000' f " water main with 1" Ductile lrn water main because the existing water main has experienced several breaks and leaks and requires replacement. 3. Operatins lmprvements a Leasehld lmprvements t relcate SWR ffice: ln 1 l December f 01 SWR relcated their ffice t High Street in Suth Kingstn. This new lcatin is in the dwntwn business area and is mre cnvenient fr custmers. lt prvides an imprved area fr SWR t meet with custmers, vendrs, r Regulatrs wh need t cnduct business n site. Additinally the new lcatin has dedicated parking, imprved strage and materials areas, better space fr fleet vehicles and enhanced security. 1 t lnfr Belw Grund Asset Manaqement: SWR will be T] 0 t implementing lnfr t imprve the management f belw grund assets. lnfr is a paperless system that will allw management t versee the wrk real time, rather than waiting fr timesheets at the end f the day. All dcumentatin is dne n mbile devices and the dcumentatin will be attached electrnically t the jb, including permits, phts, time. lnfr is integrated with GS and allws assets t be gecded n the

8 SUEZ WATER RHODE SLAND NC 1 jbsite, imprving future asset lcatins. SWR plans t implement lnfr in 0 as part f a crprate rllut f the system. Facilitv lmprvements: SWR plans t perfrm asset evaluatins in late 0 and will make required upgrades as needed including repaving access rads, rf r siding replacements, electrical imprvements, replacement f windws and drs and ther imprvements as needed.. Please generally describe the Gmpany's ther capital prjects included in Exhibit. A 1 t 1 t 0 t The remaining capital prjects included in Exhibit are smewhat selfexplanatry, but are required t maintain asset cnditins t meet custmer service standards and regulatry requirements. Belw is a general descriptin f these prjects by majr This categry includes replacement f chemical equipment and ther treatment equipment as needed t maintain the treatment prductin capability and meet water quality standards / regulatins.. Pg_Up! g: This categry includes the replacement f well pumps t meet the system water demands, and replacement / upgrade f SCADA equipment required t prvide effective system mnitring and cntrl.

9 SUEZ WATER RHODE SLAND NC.. : This categry includes new and replacement water mains, valves, and hydrants. All f these prjects are needed t meet the demands in the distributin system, replace inperable valves r damaged sectins f water main and replace damaged hydrants..@,:thiscategryincludestheinstallatinfnew dmestic services t meet the grwth in the system and replacement services t imprve water quality and maintain supply / pressure. 1 l 1 t t. Meters: This categry includes the installatin f meters fr new custmers and replacing meters in accrdance with regulatry requirements. Replacement meter reading equipment is als included t maintain efficient and effective meter reading peratins. lnfrmatin Technlgv: This categry includes replacement f cmputers that are required t maintain efficient This categry includes new and replacement tls and wrk equipment, and the replacement f ffice furniture and equipment as required fr efficient peratins. t A ls the Gmpany aware f any significant prjects that may ccur after the rate perid? The Rhde lsland Water Resurce Bard is evaluating the Mink Brk Aquifer in the Chipuxet watershed and may determine that withdrawals frm this

10 SUEZ WATER RHODE SLAND NC 1 aquifer need t be reduced. lf this ccurs, The Cmpany will need t find an alternative water su rce.. Des the Cmpany have any plans t paint tanks in the rate perid? A. N. The Bstn Neck Tank was painted in 01, and the Hwland Wellfield clean rell was painted in 00. The Tuckertwn clearwell will be inspected in 01. Twer Hill Tank, cnstructed in 0, will need maintenance but will nt require painting. O. Des this cnclude yur testimny? A. Yes