TMWA funds its Capital Improvement Plan (CIP) through a diverse mix of sources. While system maintenance, repairs and upgrades are primarily based on water sales revenue, capital infrastructure is supported by multiple sources.
For capital infrastructure related to new growth, costs are 100% funded by the developer—i.e. growth pays for growth. Existing customers do not fund new growth of TMWA’s water system. TMWA also has a developer-paid Resource Sustainability Fund dedicated to projects that enhance drought resiliency.
Other forms of funding for TMWA’s infrastructure are the Nevada Drinking Water State Revolving Fund, federal grants and capital contributions or reimbursements from local governments.
TMWA’s capital improvement plan projections are derived from projects within TMWA’s Water System Facility Plan. TMWA’s most recent plan covers 20 years of projected needs and includes asset management for the first time. Asset management is the process of managing the lifecycle of TMWA’s infrastructure to ensure the value of TMWA’s assets is maximized while minimizing costs.