Greater Cincinnati Water Works Enhanced Lead Program Innovative

Greater Cincinnati Water Works Enhanced Lead Program Innovative Financing Models for Lead Abatement Ohio Healthy Homes Network Spring Forum Cathy Bernardino Bailey- GCWW Director April 25, 2018 Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

GCWW Enhanced Lead Program Key Points to Share • Overview of Program • Affordability Challenges • Financing • Status of Program Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

GCWW’s Highest Priority Safety of Drinking Water • 200 year history of proactive municipal utility • World-class treatment facilities – GAC, UV • 3, 100 miles of water main • 1. 1 million served regionally • Continuous regulatory compliance • Lead program in place for over 20 years Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Local Drinking Water Lead Service Line (LSL) Situation • Most homes are below Action Level – (97% of 3770 tests analyzed) • If results > action level, usually a LSL is present • Records indicate LSLs in Cincinnati and Hamilton County • Current estimate: – 15, 000 complete LSLs – >29, 000 properties with private LSLs • Mostly pre-1927 homes • Ownership issue Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Service Line Ownership Challenge Greater Cincinnati Water Works – H 200 – Celebrating 200 Years

GCWW’s Enhanced Approach • After Flint - Internal multi-discipline Lead Team formed • A few key observations surfaced: – – Most customers are not aware of the risks of lead Current regulations do not remove the risk of lead Partial LSL replacements do not remove risk The only way to remove the risk is to remove the lead • Two tiered approach developed – Tier 1: Public Outreach and Education strategies – Tier 2: Lead Service Line Replacement strategies • Ultimate goal: Become a lead-safe water city Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Ohio is #2 – But Not in a Good Way Lead Service Lines by State Greater Cincinnati Water Works – H 200 – Celebrating 200 Years

Greater Cincinnati Water Works Enhanced Lead Program Two-Tier Approach Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 1 Lead Program Solutions: Outreach and Education • Website Lead. my. GCWW. org • 513 -651 -LEAD phone line • Social Media • Letters • Free Lead Testing • LSL Lookup Map • Pitcher Kits • School Lead Testing Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Lead Website Lead. my. GCWW. org Greater Cincinnati Water Works – H 200 – Celebrating 200 Years

Lead Dashboard Free Lead Testing Greater Cincinnati Water Works – H 200 – Celebrating 200 Years

Lead Website Lead Lookup Map Greater Cincinnati Water Works – H 200 – Celebrating 200 Years

Free Testing for Schools Results from 78 schools School Information 78 Schools Sampled Drinking Fountains, Bottle Fillers, Cooking Outlets, Sinks # of Samples <1 ppb 1 -5 ppb 5 -10 ppb 10 -15 ppb >15 ppb 7883 5141 1966 351 152 273 # of lead detection at these locations Percentage of total Drinking Cooking Fountain 183 92 2. 3% 1. 2% All Schools had some lead detection in samples Sampled most sinks in schools because of nearby indicators (dishes, coffee makers, cups, food, etc. ) Greater Cincinnati Water Works – H 200 – Celebrating 200 Years

Tier 2: LSL Replacement Program Cincinnati Ordinances • Declare lead lines as public health/safety risk • Private LSL replacement costs as a public purpose • Prohibits Lead Service Lines (enforcement grace period) • Require replacement on repair and disturbance • $2. 3 M for FY 18 private replacement • Authorize property assessment procedures • Up to $1500/owner for replacement (LSLRP) • Donation program to assist low income owners • $3. 1 M proposed FY 19 Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

#1 Challenge: Affordability Across Hamilton County, over one-third of households, more than 110, 000, are burdened by the cost of their housing and spend more than 30% of their income on housing costs. 1 Additionally: – Water/sewer bill already financially challenging for many – Payback options limited for jurisdictions outside of Cincinnati – No grant assistance available yet 1 Housing Affordability in Hamilton County; An analysis of households, housing affordability, and housing subsidy in Hamilton County and Cincinnati, Ohio, February 2017; Community Building Institute (CBI) at Xavier University and Local Initiatives Support Corporation (LISC) of Greater Cincinnati & Northern Kentucky Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 2 Lead Program Solutions: LSL Replacement Program (LSLRP) • 15 year program to remove public and private side LSLs • Cost Sharing Program, up to $1500 of private side replacement cost will be provided by utility • Property Assessment for owner to pay balance over 5 -10 years (City only) • Customer Assistance Program for lowincome customers to obtain additional money towards the balance Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 2 Lead Program Solutions: LSL Replacement Program (LSLRP)-Feedback Held customer meetings to gain feedback on the program “You have more than exceeded my expectations by offering the $1500 to assist me. ” “Replacing the LSL is the right thing to do, and I would definitely participate in the program at my properties. ” “I appreciate the 5 -10 year program, can you offer 15 -20? ” “$1500 is appreciated, but I still can’t afford it and I want to do this to protect my family. ” Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 2 Lead Program Solutions: LSL Replacement Program (LSLRP) • Balance can be assessed on owner’s property taxes (in City of Cincinnati only) over 5 or 10 years (interest-free). • Example: – $5000 replacement cost – ($1500) cost share – $3500 balance – Customer elects to pay back over 10 years – Divided by 10 payments (2/yr) – = $175 added to semiannual tax bill Still affordability concerns Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 2 Lead Program Solutions: Customer Assistance Program HELP (Help Eliminate Lead Pipes): • Initially funded via cell tower revenue and employee donations • Working on implementing customer donation option on bill – $1, $3, $5 donation option/monthly bill • Corporate Donations-Community Development Fund • Customers can apply to receive additional money to offset balance – 30% offset of remaining cost – Qualifier is 175% of poverty level Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 2 Lead Program Solutions: Customer Assistance Program Still need funding sources • We are an enterprise fund with the City, often other funding streams in the City are not available to us • No state money at this time is available to assist • Not aware of any grants – No Water Utility grants/looking for others • Do not qualify for disadvantaged community status – Discussing status guidelines with OEPA Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 2 Lead Program Solutions: How does it really work? 1. Customer receives packet about program 2. Signs contract; work scheduled, completed 3. GCWW pays for work upfront, pay the contractor and plumbers to do the work 4. Customer can apply for HELP assistance 5. Finalize bill for work 6. Credit account for $1500 + HELP $$$. Separate, not water service account. 7. Paperwork sent to County for property assessment 8. Customer pays property assessment (tax bill) 9. Check and itemized list of payments sent to GCWW from County Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Tier 2 Lead Program Solutions: LSLRP - How are we doing? • Started January 2018 • Affordability the primary obstacle – Looking for more funding to further help low income – Will be the greatest issue for many water utilities • $220 Million private side need in Cincinnati Lead. my. GCWW. org

Lead Service Line Replacement It’s the right thing to do The cost of no action can be substantial: – In an effort that would have saved approximately $5 million, the city of Flint will suffer losses 80 -fold greater¹ The health impacts of reducing lead exposure are documented: – Even miniscule differences in childhood lead exposure can have a significant impact on educational performance. ² – Prenatal and postnatal blood lead concentrations are associated with higher rates of total arrests and/or arrests for offenses involving violence. ³ 1 Environmental Health, Community Health, Healthcare Policy Aug. 16 2016 https: //www. mailman. columbia. edu/public-health-now/news/lead-poisoning-flint-could-cost-400 -million 2 http: //amp. nymag. com/daily/intelligencer/2017/12/court-blocks-epa-plan-to-delay-new-lead-paint-rules. htm 3 Association of Prenatal and Childhood Blood Lead Concentrations with Criminal Arrests in Early Adulthood, John Paul Wright 1, Kim N. Dietrich 2*, M. Douglas Ris 3, Richard W. Hornung 3, Stephanie D. Wessel 2, Bruce P. Lanphear 3, Mona Ho 3, Mary N. Rae 2, PLo. S Medicine, May 2008 Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

Lead Service Line Replacement It’s the right thing to do • The economic benefits make sense: – Removing leaded drinking water service lines from the homes of children born in 2018 would protect more than 350, 000 children and yield $2. 7 billion in future benefits, or about $1. 33 per dollar invested. ¹ $220 M investment in our region = $293 M Benefit 1 The Pew Charitable Trusts / Research & Analysis / 10 Policies to Prevent and Respond to Childhood Lead Exposure , August 30, 2017 http: //www. pewtrusts. org/en/research-and-analysis/reports/2017/08/10 -policies-to-prevent-and-respond-to-childhood-leadexposure Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years

In Summary GCWW Enhanced Lead Program • The City of Cincinnati is investing and assisting customers to ensure safe drinking water ($60 M+ for private assistance) • Program is established and operating • Customers are accepting the program and contracting to remove private LSL • Utility cost share and property assessment are good incentives • Still a great financial need-Affordability is the biggest challenge and will continue to be a great challenge Greater Cincinnati Water Works – 1817 to 2017 - H 200 – Celebrating 200 Years