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Show for hydroelectric power generation downstream. 2. Lake Winnipesaukee Dam at Lakeport which offers public recreation and water conservation for hydroelectric generation downstream. 3. Greenville Water Supply Reservoir which provides flood control benefits and domestic water supply for the town of Greenville. Contract sales to water users make the projects self- supporting. " The compensation for the use of the stored water or other benefits created by the project shall be made equitable as between different users" ( State of New Hampshire, Revised Statutes Annoted 481: 1). Revenue pays for capital costs, interest charges, supervision, maintenance, and operation of the projects with no expense to the state general funds. New Jersey The state's major role in water supply is in wholesaling raw water to water purveyors and other public and private users. New Jersey does not construct or subsidize treatment, transmission, or water distribution facilities. Sources of revenue from water sales from state owned and operated facilities are as follows: 1. The Delaware and Raritan Canal. This canal, constructed in the 1930s was rehabilitated in the 1940s with state appropriations to provide a source of raw water supply for public and industrial use. Revenue in 1973 from water sales on a peak demand charge basis amounted to $ 555,000 ($ 250,000 in excess of operation and maintenance expenses) and this was returned to the state treasury. Cost per million gallons recently was increased from $ 35 to $ 50 to establish rates compatible with charges on other state projects. 2. Round Valley Spruce Run Project. Construction of this reservoir was authorized and funded by the New Jersey Water Supply Bond Act of 1958. The charge for water from this project covers all operating and maintenance costs; however, the state pays the cost for bonding and interest on the unsold balance of water which the project can develop. Ohio The Department of Natural Resources supplies water from surface water impoundments constructed by the state or by the Corps of Engineers. When a water customer is identified, treatment and distribution works are constructed and sales begin as soon as the pool reaches the required level. Water supply capacity is sometimes allocated for future expansion and held in escrow until needed. Rate schedules vary from location to location with the amount of available supply and the amount of operation, maintenance, and capital costs assumed by the customer. The general formula for determination of the rate is: Operation+ Maintenance + Interest+ Amortization,, jt : Calculations for Corps projects utilize a 50 year project life, and those for state projects use a 40 year project life. Factors are estimated conservatively so that the program will be self- sustaining when all impoundments are operating. In the beginning, a portion of the operation and maintenance is financed by appropriation from the General Revenue Fund. The Department of Public Works supplies water to various activities throughout the state from an old canal system and feeder lakes. The major customers are industries. See Appendix A for rate schedules. A number of cooperative arrangements for water supply have been negotiated between the Department of Natural Resouces and municipalities. For example, the Department agreed with the City of Clyde to share the cost of a reservoir recommended in the Northwest Ohio Water Development Plan. After the final costs were determined, the state's equity in the reservoir amounted to 39 percent of the impoundment space. The state shares operation and maintenance costs on a 39- 61 percentage ratio. The state also shares in the receipts from water sales. In 1974, the City of Clyde and the State of Ohio sold an average of 2,500,000 gallons of water per day to an industrial user, Columbia LNG. The arrangement is unique in that the State of Ohio has assured the quality parameters of the water which Columbia LNG withdraws at the reservoir outlet. Another cooperative arrangement was made between the Department of Natural Resources and Kelleys Island. Until recently, Kelleys Island was using chlorinated surface water from Lake Erie, and the State Park on the Island was one of the largest water users. In this instance the state advanced $ 65,913 to Kelleys Island to assist in the construction of a slow sand filter treatment plant. Kelleys Island will repay this advance by giving the State Park " free" water service until such time as the $ 65,913 advance funding is repaid. At Alum Creek Reservoir, the state has undertaken the option of a low interest, 50- year repayment schedule, which the Corps of Engineers customarily offers for water supply storage in Corps dams. The state has contracted with the cities of Columbus and Westerville to provide water from state water supply equity in the impoundment. In this example, the state acts as the middle man, collecting payments from the cities and passing them to the Corps. No state profit or loss is involved. Ohio regional water plans are designed to provide water needs over a 50- year period. Accordingly, when a multi- purpose water project is recommended in one of the regional plans, it is assumed that the engineers have correctly assessed the amount of water that will 7 |
