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Presented by Damon Weiss, PE, June 2015

GREEN INFRASTRUCTURE PAY-FOR-SUCCESS PARTNERSHIP

Leveraging Private Capital for Public Infrastructure and Community Benefit

In Partnership with:

Green Infrastructure Provides Multiple Benefits

CHALLENGE: OUR FAILING SEWERS

CHALLENGE: URBAN RENEWAL

CHALLENGE: CLEAN WATER REGULATIONS

CHALLENGE: WATER UNCERTAINTY

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BARRIERS TO GI ADOPTIONSo… Why Do We Spend Money on Grey, Instead of Green?

• No Control of Land Beyond Utility Right-of-Way• Uncertainty about long-term performance. • Uncertainty about long-term maintenance and costs• Who should and can pay for Green?

Simple Truth: Sewer authorities do not have it in their charter or expertise to provide solutions with secondary environmental or social outcomes, beyond basic infrastructure and narrow, end-of-pipe water quality.

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PAY-FOR-SUCCESS ADDRESSES BARRIERS

Land Control and Ownership Performance Uncertainty

Who Pays for Green?

Maintenance and Stewardship

Mismatch in Mission / Expertise

Financing is Outcome-Based, Not Project-Based

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Government and PayersOtherSewer

Authorities Under

Consent Decree

DESIRED OUTCOMES

Reduce wet weather sewer flows

Reduce treatment plant energy use

Reduce potable water use

Improve water quality

Reduce short-term and long-term costs

VALUE PROPOSITION FOR SEWER AUTHORITIES

Other Local, State and Federal Government Agencies

VALUE PROPOSITION FOR LOCAL GOVERNMENT

Improve water quality

Repurpose vacant lands

Reduce floods

Reduce energy

Increase Property Value and Strengthen Businesses

Workforce Development

VALUE PROPOSITION FOR BUSINESS AND INDUSTRY

Reduce floods

Reduce energy

Increase Property Value and Retail

Workforce Development

Improve air quality

Reduce carbon footprint

Promote active lifestyles

Hospital Systems Retail Businesses

Industry

Other Businesses and Individuals

VALUE PROPOSITION FOR FOUNDATIONS

Positive Program-RelatedOutcomes

Outcomes from Non-ProfitPartners and Grantees

Positive Mission-Based Outcomes

Other Foundations

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EVALUATING PAY-FOR-SUCCESS OPPORTUNITY

1. Evaluate Watersheds

2. Valuate Cost of Planned

Infrastructure

3. Identify Added Payors

4. Evaluate Cost Savings

Potential

5. Evaluate Opportunity at the Local Level

GOAL: Maximize Potential for Savings

GOAL: PFS Costs Must Not Exceed

Planned

GOAL: 5-10% Additional Payor

Support

GOAL: 5-10% Cost Savings by Scaling and Collaboration

GOAL: 3-5% Additional Payors or

Cost Savings

Grey-First Option (~$2 B)

Target: 90% OverflowReduction

PFS Pilot

Help Fund the Gap Through PFS Coalition Building

Market Potential

70% Overflow Reduction