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2024-007 LCRR Compliance ISR February 16,2024 Report No. 2024-007 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Compliance efforts for EPA's Lead and Copper Rule Revisions and Improvements EXECUTIVE SUMMARY: The United States Environmental Protection Agency(EPA)recently updated the Lead and Copper Rule (LCR) with a package of amendments referred to as the Lead and Copper Rule Revisions (LCRR). An additional update,referred to as the Lead and Copper Rule Improvements (LCRI), is currently moving through the rulemaking process at EPA. Staff secured resources through the Fiscal Year 2024 Capital Improvement Plan and a contract with HDR, Inc. to ensure compliance with the new regulations. DISCUSSION: The LCR was put in place in 1991 to formalize regulations regarding the use of lead and copper in public drinking water systems. The LCRR was passed on December 16, 2021, to include new standards for lead sampling procedures, proactive identification and removal of lead piping, and public outreach and education,with most included rules becoming effective October 16, 2024. An additional update to the LCR, the LCRI, is moving through the rulemaking process. Following review of public comments received by EPA, the LCRI is anticipated to be effective in October 2024. Some proposed changes within the LCRI are significant when compared to the LCRR, and with the potential for increased regulations by October 2024, many utilities are considering increased response efforts in line with the proposed changes. The table below summarizes key dates in the development of the LCR and the availability of resources to staff. Lead and Copper Rule (LCR) June 7, 1991 Lead and Copper Rule Revisions (LCRR) December 16, 2021 HDR, Inc. Services Secured November 1, 2022 HDR, Inc. Contract Amendment February 20, 2024 (pending approval) Lead and Copper Rule Improvements (LCRI) Expected prior to October 16, 2024 LCRR Compliance Date October 16, 2024 LCRI Compliance Date October 16, 2027(pending a final rule) Initial LCR requirements heavily restricted new installation of lead piping within drinking water systems and set up lead and copper monitoring requirements, which have helped utilities mitigate the risks involved with lead piping. While the health impacts of lead consumption can be significant, well-established water treatment practices are shown to limit water line corrosion and greatly reduce the ability of lead to leach into drinking water. Sampling programs have tested the effectiveness of Denton's corrosion control processes, and lead levels have remained significantly below minimums established under any current or proposed versions of the LCR. Staff is confident that our water customers will continue to have a near-zero risk of lead exposure from Denton's water supply. February 16, 2024 Report No. 2024-007 In addition to LCR's requirements, the LCRR requires the development of a Service Line Inventory and may require the removal and replacement of existing lead service lines. The LCRR contains standards which would require proactive replacement of lead service lines if lead sampling results in a 90th percentile of the data value of 0.010 milligrams per liter (mg/L) or higher. The latest draft of the LCRI would require service line replacement regardless of sampling results. Staff is currently compiling an inventory of suspected and confirmed lead service lines. Where a clear record of service line material is not available, Staff inspects the portion of the pipe visible within the meter enclosure and hydro-excavates a limited area around the meter as needed. The service line inventory will be completed prior to the LCRR effective date of October 16,2024 and will inform any subsequent service line replacement program under the LCRR and LCRI. Staff is working with HDR, Inc. to develop a Replacement Roadmap to account for all service lines which may require replacement under the LCRR, with consideration of expected upcoming LCRI requirements, financial impact to the Department, and any effects on customers. Currently, the most aggressive option follows the latest draft of the LCRI—replacement of all required service lines (Lead, Galvanized Requiring Replacement, and any other lines treated as Lead) within 10 years. To meet this target, the utility has budgeted $2 Million per year based on current inventory estimates and plans to coordinate carefully with Streets and Capital Projects during service line replacement planning. Service line replacements under the LCRR and LCRI include the portion of the service line connecting the water main to the water meter, which the City owns, as well as the portion of the service line from the water meter to the building, which the property owner or customer owns. While lead service lines behind the meter are not common, staff is working with HDR, Inc. to design a program to assist customers with replacing piping on their property, where required based on the LCRR and anticipated sections of the LCRI. Lead sampling has been a part of Denton's standard practices for many years;however,the LCRR restructures many aspects of lead sampling programs. These changes include increased sampling frequency, additional sample sites, and strict monitoring of schools and daycares constructed before 2014. The Texas Commission on Environmental Quality (TCEQ) has instituted additional monitoring programs in preparation for the implementation of the LCRR. Staff is complying by participating in an early adoption program that will demonstrate the effectiveness of existing corrosion control practices. When complete, the utility is expected to receive flexibility in certain sampling requirements. The LCRR provides public outreach requirements for most included components, ensuring transparency regarding lead exposure risks and mitigation efforts. For example, the service line inventory is to be made publicly accessible and available online, annual notices are to be sent to all customers whose service lines may include lead, and annual Consumer Confidence Reports must include updated health effects language relating to lead and copper exposure. Related outreach procedures will allow the utility to partner with customers on targeted mitigation efforts, where identified, using the LCRR and LCRI framework. Staff identified additional CIP funds to February 16, 2024 Report No. 2024-007 support the public outreach requirement and secure the assistance of HDR, Inc. HDR will help staff develop communications materials to comply with the new regulations and help customers understand the utility's compliance efforts. Key deliverables of this contract include a public- facing website, a social media outreach plan, educational materials for schools, a public-facing interactive service line inventory map, form letters for customer-specific communications, and cohesive branding for all LCR-related publications.While many of these communication materials will be published or dispatched immediately, others will be scheduled for future release or will be prepared for response to specific triggering events. Compliance with the LCRR and LCRI requires numerous coordination points, including departments across the organization and external stakeholders. Water Utilities is leading these efforts in close partnership with Environmental Services & Sustainability. Marketing & Communications and Technology Services are assisting with the creation of communication and website materials,Budget is providing guidance on securing proper financial resources,and Streets and Capital Projects will be consulted to coordinate service line replacements in tandem with other roadway construction projects. HDR, Inc. is providing contractual support from a planning standpoint and will assist with outreach and communications. In addition to Denton's compliance efforts, many municipalities and utilities across the region, the state, and the country have collaborated to discuss various strategies as we all navigate the new legal landscape introduced by these rules. CONCLUSION: Staff discussed the needed funding for LCRR and LCRI compliance with City Council during the 2024 budget process. As a result of these discussions Council approved 10 million dollars in the 5-year capitol plan for LCRR and LCRI compliance. Staff will continue efforts to ensure compliance with the LCRR and will closely monitor development of the LCRI and all requirements therein. Staff will continue to provide proactive communication to City Council and the public as plans come together. STAFF CONTACT: Tyler Dawson Business Information Administrator tyler.dawsonkcityoufdenton.com 940-349-8944 REOUESTOR: Staff initiated PARTICIPATING DEPARTMENTS: Environmental Services & Sustainability Marketing & Communications Technology Services STAFF TIME TO COMPLETE REPORT: 20 hours