Federal Stimulus Package Funds Aid Compliance with U.S. EPA Drinking Water Standards

PHOENIX, Jan. 4 /PRNewswire/ -- A new water treatment plant that removes arsenic from drinking water is now operating in Tubac. The plant was built by Arizona American Water and is partially funded by a grant from Federal Stimulus Package Funds (American Reinvestment and Recovery Act, or ARRA). In addition to the new facility, Arizona American Water also restored two roads that will benefit Tubac residents. Updating Keating Circle and Nielson Road were county requirements in order for the facility to be approved. Arizona American Water also cooperated with the Tubac Fire Department to install additional hydrants for the residents while construction was already taking place.

"We once again want to thank all the people involved especially Kristin Mayes, Chairman of the Arizona Corporation Commission, for making this happen," said Joe Gross, Director of Engineering. "The construction started this June, and we have been able to finish on budget and deliver the additional benefits of road improvements and improved fire fighting ability."

Securing the million dollars in federal stimulus funding was part of Arizona American Water's effort, along with leadership from the Santa Cruz Citizens Council and the Arizona Corporation Commission, to mitigate the cost impact to customers of unfunded and more stringent federal requirements.

In April, the Water Infrastructure Financing Authority (WIFA) announced a combination of federal grants and loans for use on this project. The arsenic removal facility is needed to bring local drinking water into compliance with more stringent US EPA standards for arsenic levels in drinking water. WIFA is responsible for administering funds provided to the State of Arizona from the Federal Stimulus Package for water and sewer projects.

In January of 2001, the Environmental Protection Agency reduced the amount of allowable arsenic in drinking water from 50 parts per billion to 10 parts per billion. Arsenic is naturally occurring in the Southwest and the new mandate impacted hundreds of groundwater water systems in Arizona.

Arizona American Water - Arizona American Water, a wholly owned subsidiary of American Water (NYSE: AWK), is the largest investor-owned water utility in the state, providing high-quality and reliable water and/or wastewater services to more than 200,000 people.

Founded in 1886, American Water is the largest investor-owned U.S. water and wastewater utility company. With headquarters in Voorhees, N.J., the company employs more than 7,000 dedicated professionals who provide drinking water, wastewater and other related services to approximately 15 million people in 32 states and Ontario, Canada. More information can be found by visiting www.amwater.com.

SOURCE Arizona American Water

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