 MULTI-FAMILY RESIDENTIAL
Our roots are in the Multi-family residential sector. Over the past 25 years, Water Management personnel have entered occupied residential units over a million times to replace or fix plumbing fixtures. We currently service over 40,000 residential units, which are equipped with nearly every type and style of fixture. We have come to know which products work the best and how to make any product work at its best. We routinely reduce consumption 30-50 percent, while improving user satisfaction with the appearance, cost and performance of the plumbing system.
Why is there a need for WMI?
Amory Lovins of the Rocky Mountain Institute claims the building industry suffers from “Infectious Repetatitus”. In order to compete for sales, builders have to build what their competitors build at a lower cost. So, they naturally look for building components that cost less to buy, not those that cost less to maintain or those that will perform well after the guarantee period has expired. So, the good builder efficiently builds an inefficient building.
WMI's water conservation programs focus on Water Conservation Measures (WCM's) that provide a high comfort level and also save water. The products we recommend reduce the domestic water consumption, projected water maintenance and other related costs. To read a report WMI compiled that identifies proposed upgrades for each of the domestic water consuming fixtures, click the link below.
WATER CONSERVATION MEASURES REPORT
Case in point is the “builders grade” toilets installed in the Virginia Square Apartments built in 2001 in Arlington, Virginia, owned and managed by the Dittmar Company. When this upscale facility was first occupied, daily water consumption was less than 100 gallons per unit. By 2003, the daily consumption had grown to twice that amount. Since we had completed many successful programs on Dittmar’s older buildings, they asked us to investigate the Virginia Square complex.
 We attached our data logger to the water meter, which recorded the consumption throughout the night. We discovered that the building was using 17.5 gallons of water per minute in the middle of the night when water use is expected to approach zero. There were no obvious leaks in the mechanical room, so we entered some apartments and discovered numerous small leaks in toilet flush and fill valves.
WMI upgraded the flush and fill valves, which resulted in reducing water consumption to 80 gallons/day – less than the units were using when the building was first occupied. Upgrading the 295 toilets at Virginia Square Apartments took three weeks and is now saving the Dittmar Company over $50,000 per year.
The manufacturer of the new toilets did not have to pay the increased water bill. The specifying Engineer and the installing plumber did not have to pay either. They were providing a specified product that was well installed. The developer saved a few dollars by specifying “builder grade” parts. The end user got a good price on the product, but in the end, paid a very high cost. Yet, it is hard to blame any of the parties: they are just responding to their particular market pressure.
Our market pressure is different; Water Management has to find and use products that perform on a life-cycle basis.
Public Housing Authorities (PHA) are autonomous agencies chartered by State Governments for low-income tenants. PHA housing is built and subsidized by the Department of Housing and Urban Development (HUD). Rents are capped at affordable levels for low-income tenants. The subsidy is determined by the Operating Fund Formula (OFF), which forecasts needs for utilities, and non-utility expenses minus the income.
The utility portion of the OFF is determined by averaging the last three years actual consumption multiplied by the current utility rate. At the end of the year, the PHA is rewarded or penalized if consumption is lower or higher than forecasted. Actual degree days are used to account for warmer or colder than average weather. The PHA gets to keep 75 percent of all savings achieved through lower use, but has to absorb 25 percent of all increases.
In 1987, PHA’s were authorized to borrow money and enter into 12-year performance contracts with Energy and Water Service companies to make energy or water use efficiency improvements. Under such a contract, the baseline for utility consumption is frozen for the period of the contract. No allowance is provided for increased consumption demands due to increased computer or other household devices, nor for changes in overall population; however, the PHA is allowed to retain all of the savings from utility portion of the HUD subsidy. The PHA must use at least 50 percent of the savings to amortize the investment.
As a second option, the PHA may elect to request an “add-on” to its operating subsidy to pay for the loan. Under this scenario, the PHA retains the 75 percent of the savings for three years and HUD totally reimburses PHAs for loans.
HUD has regulations allowing PHA's to fund these programs in two main ways:
1. Freezing the Rolling Base – Separate utilities or all utilities consumption levels may be frozen for up to a twelve-year period during a Performance Contract. This incentive applies if payments by the PHA to a WASCO (Water Services Company), ESCO (Energy Services Company) or third party financier are dependent on the amount of utility cost savings realized.
2. Additional Operating Subsidy – A PHA can request an additional subsidy as an “add-on” to its total operating subsidy. This additional amount would be applied to amortizing payments for a loan concentrated to finance the utility systems improvements. Under this incentive, the three-year rolling base period stays in place.
Only a small fraction of PHA’s have taken advantage of private sector WASCO’s, ESCO’s and engineering firms that have the expertise and experience to design and implement these programs. Those that have, experience dramatic savings on their water and energy bills. Be informed, sustained savings can only be assured through ongoing monitoring and evaluation. To view a presentation that explains the importance of a proactive measurement and verification program, click below.
Public Housing Authority Projects
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