Black & Veatch Performed Analysis that Allows Miami Utility to Balance Cost and Sustainability Objectives | Black & Veatch
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Black & Veatch Performed Analysis that Allows Miami Utility to Balance Cost and Sustainability Objectives

Black & Veatch Performed Analysis that Allows Miami Utility to Balance Cost and Sustainability Objectives

Project Name
Cost of Service Analysis and Rate Study
Location
Miami, Florida
Client
Miami-Dade Water & Sewer Department

With its sunny skies and favorable climate as part of South Florida’s appeal, the Miami area’s growth outpaces most cities in the United States. That growth offers the area economic benefits, but it also presents many challenges for the Miami-Dade Water & Sewer Department (MDWASD). The utility must balance a variety of objectives in serving the region’s expanding base of customers.

That’s why the department called on Black & Veatch experts to help them arrive at a solution that would provide for clean drinking water for years to come without harming the environment.

First among the challenges is that the water table in the region is already pushing the limits of how many people it can serve. And the proximity of the ocean and the Everglades poses an extra level of challenge. Not only are water resources limited, but any solution must address concerns about nearby wetlands.

Water delivery also can be a complex and costly exercise. A complete understanding of the exact nature of all costs is required for running a water system that is sustainable over the long haul. To be self-sustaining based on real costs, MDWASD needed to identify a rate structure with conservation as a critical element, with a view of all present and future costs. They also wanted to establish rates in alignment with other major cities in the area.

Black & Veatch’s management consulting experts identified solutions through a process conducted in multiple phases. The first phase involved a comprehensive water/wastewater cost-of-service analysis and rate study, which included a retail and wholesale cost-of-service analysis. The second phase of the study included an impact fee study that analyzed all charges in detail.

As a result of Black & Veatch’s efforts, MDWASD has positioned itself to efficiently deliver clean drinking water to its customers for the long term. At the same time, they are able to do so without negative impact on area’s treasured wetlands. 

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