HARRINGTON PARK, N.J.--(BUSINESS WIRE)--United Water and the City of Camden announce that they have reached agreement for settling a lawsuit between the two parties concerning the provision of water and wastewater service to the City’s residents. The settlement is comprised of two components: monetary resolution of all claims; and modification of the existing water service agreement. The modified agreement will be retroactive to July 1, 2011 and expire on January 31, 2015.
The modified agreement promises to benefit the citizens of Camden, and enhance the ability of United Water to provide improved service through the creation of an annual $1.5 million fund specifically designated to the maintenance and repair of the City’s infrastructure. Camden will also receive an approximate $700,000 annual concession fee, which will be subject to the consumer price index. The City will pay United Water a fixed fee of $10.8 million for management and operation of the water and wastewater system.
“I am pleased that the negotiations with United Water resulted in this important agreement,” said Camden Mayor Dana L. Redd. “The settlement has the potential to greatly improve water and wastewater services for the residents of Camden and will also enable the City to use our limited resources to address other needs as we continue the work necessary to rejuvenate our great city.”
Under the terms of the settlement, United Water has agreed to maintain, repair and replace the City’s fire hydrants and will use the annual repair fund to help perform the work. United Water will also be undertaking a leak detection program.
“We’re very pleased to have reached an amicable settlement with the City of Camden and to have opened up significant new opportunities for United Water,” said Bob Iacullo, President of United Water. “We have developed an excellent working relationship with the City and this settlement helps us all move forward in a positive way. We are excited about continuing to bring professional, innovative and cost-effective solutions to improve the delivery of water and wastewater service to Camden residents.”
ABOUT UNITED WATER
United Water provides water and wastewater services to approximately 5.7 million people in the United States. In addition to owning and operating 20 regulated utilities, United Water operates about 100 municipal systems through public-private partnerships and contract agreements. Founded in 1869, United Water is a subsidiary of SUEZ ENVIRONNEMENT.
About SUEZ ENVIRONNEMENT
Natural resources are not infinite. Each day, SUEZ ENVIRONNEMENT (Paris: SEV, Brussels: SEVB) and its subsidiaries deal with the challenge to protect resources by providing innovative solutions to industries and to millions of people. SUEZ ENVIRONNEMENT supplies drinking water to 91 million people, provides wastewater treatment services for 61 million people and collects the waste produced by 50 million people. SUEZ ENVIRONNEMENT has 79,554 employees and, with its presence on a global scale, is the world’s leader exclusively dedicated to environmental services. SUEZ ENVIRONNEMENT, a 35.4% GDF SUEZ affiliate, reported sales turnover of 13.9 billion euros ($18.5 billion USD) at the end of financial year 2010.