PRESS RELEASE                                          

For Immediate Release – August 6, 2004

Hatch-Miller Leads Safe-Water Effort

PHOENIX – Three hundred and eight small water systems across Arizona —serving 340,000 customers—have until January 2006 to meet EPA’s new rule lowering arsenic levels in drinking water.  Of the 108 small systems regulated by the Corporation Commission, only 17 have complied to date.  Seeing this, Commissioner Jeff Hatch-Miller has compiled and released a report chronicling water companies’ progress toward compliance.

Commissioner Hatch-Miller said, “I hope this report and those that follow raise awareness about the effects of the EPA’s arsenic rule. Without help from Congress and the state, water companies will be drowning in debt, leaving consumers high and dry with nowhere to turn.  Some consumers might see their bills double or triple.  Let’s not wait and let this happen, let’s do the work now and find the best solution.”

The estimated capital costs for arsenic treatment top $110 million. Many systems lack the financial means to buy needed treatment equipment.  For example, compliance with the new arsenic rules will cost Mountain Glen Water Company over $750,000—spiking rates 131%. The entire value of the company is currently $100,000.

Due to Hatch-Miller’s leadership, the Arizona Legislature has formed a task force which will meet during September and October to outline Arizona ’s role and recommend a policy solution to this pressing issue.  Hatch-Miller also met with the Congressional delegation to discuss the issue.

Currently, Arizona Water Company is the only water utility in our state that has completed a plan at the Commission for arsenic treatment. Hatch-Miller remains optimistic, “Some developments show promise.  I hope everyone realizes that these companies need our help now. One or two years down the road is simply too late.”   

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