Alabama City Renews Public-Private Partnership with Severn Trent Services


Five-year partnership extended to include water system, distribution and public works functions

FORT WASHINGTON, Pa. - September 23, 2009 - Severn Trent Services announces it has renewed its public-private partnership with the Water Works and Sewer Board (the Board) of the City of Prichard, Ala., through a competitive bid process. Severn Trent will be responsible for the complete operation, maintenance and management of the City's water and wastewater facilities, collection and distribution systems, meter reading, billing and customer service functions.

Prior to entering into partnership with Severn Trent in 2007, the Board was operating on a strict consent order from the Alabama Department of Environmental Management and experiencing significant operational challenges. Shortly after the commencement of the partnership, plant performance was dramatically improved, allowing the Board and its engineer to concentrate on capital improvement planning. In the last two years, the Board and citizens of Prichard have benefited from improved operations and performance, including reduced solids inventory; improved discharge quality; the introduction of an asset management program; identification of capital improvement projects; and the installation of a comprehensive maintenance management program that schedules predictive and preventive maintenance.

The partnership between the Board and Severn Trent will continue to benefit the City and its 26,000 residents in a number of ways. Unlike privatization - when a system is owned, operated and financed by a private entity - a public-private partnership allows the municipality or authority to retain control of the assets. Under private ownership, end users have little say in the operation, rates or financing options of a system. With private ownership, rates typically increase, water quality suffers, customer service declines, financing costs more and jobs are often lost. Using the public-private partnership model, rates are set by the municipality. In addition, jobs are secure per contract terms. Following the inception of the partnership in 2007, Severn Trent transitioned all employees from the previous contractor.

"We take great pride in calling Prichard our first partnership in Alabama. It is an honor to be selected by the Water Works and Sewer Board of the City of Prichard to continue our relationship," noted Dana Kaas, vice president, Operating Services. "Severn Trent Services looks forward to continue serving the citizens of Prichard for years to come."

About Severn Trent Services

Severn Trent Services (www.severntrentservices.com), with global headquarters in Fort Washington, Pa., is a leading supplier of water and wastewater treatment solutions. The company's broad range of products and services is concentrated around disinfection, instrumentation and filtration technologies, and contract operating services. Our analytical services group is the United Kingdom's leading environmental testing organization, and our international management services business provides support in all aspects of water and wastewater utility operational development and business transformation. Severn Trent Services is a member of the Severn Trent Plc (London: SVT.L) group of companies. Severn Trent is a FTSE 100 company

All Topics