Value of Rural Water

To water system professionals and ALL rural water customers,

There should be a guidebook or some resource that has everything you need to know about Rural water. Sadly, in 27 years I have not found any such resource and I certainly am no author. The Board of Directors at Hughes County Rural Water District #6 has graciously allowed me to devote some time to improving, not just our system, but the industry. I will touch on some key principles for both water professionals and rural water customers as each should try to understand the whole of our business.

Water professionals and rural water Board members:

Rural water districts are a business, the majority of which have only one source of income: Water bills. We should be operating and managing the business to be sustainable. Water districts can only kick the can down the road for so long before someone must pay the costs of repairs, new sources of water to meet increasing demand, depreciated equipment, and an aged-out workforce. There are innumerable items that should also be considered to be a sustainable business. Concepts as much as particular items.

Rural water is a service. We must quantify how much of that service each customer should be paying for in a fair and equitable manner. Therefore, we use the amount of water consumed by each customer to equate into the quantifiable “fair share” of the service. In most cases, every expense incurred by a rural district is a direct expense to that enterprise. As board members and employees, there are volumes of rules, regulations, mandates and statutory requirements with which to comply.  Here is a short list of resources available to assist you in understanding them:

Oklahoma Rural Water Association;  https://orwa.org/

Communities Unlimited;  https://communitiesu.org/

Oklahoma Department of environmental Quality;  https://www.deq.ok.gov/

Oklahoma Water Resource Board;  https://www.owrb.ok.gov/

Oklahoma Open Meetings Act;  https://okpolicy.org/open-meetings-act/

Oklahoma Open Records Act;  https://libraries.ok.gov/law-legislative-reference/library-laws/statutes-open-records/

Oklahoma title 82; https://casetext.com/statute/oklahoma-statutes/title-82-waters-and-water-rights or https://law.justia.com/codes/oklahoma/2016/title-82/

There are several supporting business’s that work specifically with rural water, which are great to utilize in assisting with almost all aspects of the industry. I can name a few of which I have personally worked with for an example, but this list is not exclusive or inclusive.

Accounting, inventory, Reporting, Payroll, billing;  https://www.sequoyahsoftware.com/

Mapping;  http://diamondmaps.com/

Website development and management;  https://demob.ruralwaterusa.com/home (this is their demo page, but has the contact information)

Water Quality testing;  https://www.ertlab.net/

Engineering;  https://parkhill.com/ , https://www.bartlettwest.com/

Water bill insurance;  https://servline.com/

SCADA, remote monitoring, alarming, and leak detection:  https://water.elynxtech.com , Https://worthok.com

This is literally just a sampling of resources. There are many other aspects of the business to be considered, such as Insurance, labor law, property rights and easements, etc. Find an engineer and legal counsel you can work with as you will need a good working relationship with both.

To be concise, each board member or employee should do their due diligence to understand the entire scope of rural water. Everyone will need to review and understand their by-laws as well as their policies and procedures. After all this generality, one needs to understand also that each water system is unique: Geography, terrain, number of customers or members, water quality, water quantity, source of water, number of employees, what roles are being filled adequately and what roles are being neglected. Therefore, each system and person involved with that system should seek out assistance, and guidance for the situation.

To the customers and members of rural water districts:

The service that rural water districts provide has long been undervalued.  One thing that everyone should consider is the cost share per customer. As a business, we must pass on the costs of the service to our customers.  Every mandate, new regulation, or burden put on a district must be funded. The business has no control over these costs, any more than you do at the gas pump or grocery store. A six-inch valve costs a district with 100 customers the same as a system with 10,000 customers, but the cost share has a huge impact on how that cost is perceived. So, as we enjoy the benefits of rural life, how we value water service should also be considered.  I have had a few individuals state “I can drill a well cheaper”. That may be true, but to that point, it is about lines of responsibility. If an individual wants to be responsible for the initial cost, ongoing maintenance, and believe they can produce the same quality of water in the quantities required “cheaper”, that is their choice. Rural water districts are obligated by rules and regulations to provide water services in a manner for which most people do not want to be responsible.  Now ask yourself why.  To answer that, they are willing to sacrifice some portions of that service, whether it is the quality of the water, the reliability of service, or some aspect that is, in their mind, deemed not a value.

A second perspective to consider is the concept of time is money. People only want to see this from their point of view, it’s either their time or their money, but seldom understand it is an equation. Rural water districts provide water service that is reliable. That means it is available to utilize that service 24 hours a day, 7 days a week, 365 days a year. Not just available, but to measured quality and standards. Sure, leaks happen, services can be interrupted from time to time, but I would challenge you to find ANY service that is as reliable as rural water. If you want reliable, (time) it will be at a cost (money). If you want cheap (money) it will be at the expense of reliability (time). If you expect someone to answer your call about an issue with your water service, you should expect that time to cost. Those of us in this business generally understand we work for the public, for our members and customers, therefore we can seldom make everyone happy. Which brings about the idea of emotional responses. Emotion has little to do with business, accounting, profit or loss, quality of service, or facts. Yet emotional interactions have a financial price tag. Whether it be in public perception, or just time dealing with them. The public should be involved, informed, supportive, have understanding, ask questions and be prepared to come up with solutions or suggestions.

Most Rural water districts are considered “public bodies” and must comply with open meetings and open records act. Board meetings are a function of business. That time and place must be respected. Have diligence, be professional, use the processes and proper procedures that are required to have an impact in your system. Also understand the board of directors are members of that system just like you. They only serve the function of the legislative body of that entity from call to order to adjournment, that is the only time they have any authority, or get to act on behalf of the membership. There should be a waiting list of people who want to serve on the board of rural water districts. It seems everyone wants to armchair quarterback, but no one want to suit up and get on the field. With that being said, if anyone cannot separate emotion from business, they may not be a good board member. The water system that serves you has huge responsibilities. The literal health, well-being, financial impact and safety of each member and their household is something to take seriously.

There are uncountable combinations to which rural water systems prioritize and achieve set goals. Some systems may “operate” and do the job of providing water services very well but fail in other functions. The water quality and dependability may be excellent, and yet the business is failing in that they cannot function in accordance with the law or rules placed on them.  You may receive pristine quality of water, but the system can’t present an agenda legally. The system may function superbly and yet operate inconsistently or have poor water quality. Either is a recipe for disaster. A rural water system must perform all business in a manner that satisfies the law and the members. Employees must be professional, capable to function in high-stress environments, and understand they work for every member of the system. This business of rural water is not simple, it is a complex, dynamic, ever-changing business to which we are expected to be consistent, reliable and sustainable. Would you buy into a company that you knew was going to be out of business in 2 years? 15 years? 50 years?  Those rural water systems that are considering all the aspects of the business and making efforts to be sustainable for 50 plus years are the ones that are going to be successful. Not just today, not just through the next disaster, but for our grandchildren and great-grandchildren. Invest wisely with your time and your money. Lead by example. Understand your morals, ethics and ideals are also going to be passed along to future generations with these water systems. Be involved.