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Manufacturer’s Report States Olympia’s Gravity Sewers Annually Cost Twice as Much as STEP Sewers

OLYMPIA, WASH., July 19, 2005 — Orenco Systems,^® Inc., manufacturer of the equipment used in Olympia’s effluent sewer (STEP) systems, presented a report to the Olympia City Council July 19 with data that refuted many of the claims in an engineering firm’s earlier report about the comparative costs of gravity and STEP sewers.

Since 1992, STEP sewers have served much of the new development in southeast Olympia. On February 1, the Council imposed a moratorium on new STEP connections so that criteria for appropriate use of STEP and gravity sewers could be defined. The Council engaged Brown and Caldwell, an engineering firm, to gather information about the comparative cost of the two types of sewers. The resulting report, written by consultants from Brown and Caldwell, said that STEP sewers cost more to operate and maintain per customer than gravity sewers.

In response to this report, Orenco’s engineers prepared their own report refuting many of the conclusions of Brown and Caldwell’s report. Based on data from Olympia’s system as well as data from other cities with STEP sewers, Orenco’s report concluded that, per connection, STEP sewers actually cost the city 80% of the capital cost and half the annual cost of gravity sewers. STEP sewers also are less vulnerable to leakage and rainwater infiltration than gravity sewers are.

“The Brown and Caldwell report was based on flawed assumptions and theoretical models,” said Grant Denn, Orenco’s systems engineering manager, who presented Orenco’s report at the council meeting. “They went into it with a bias in favor of gravity sewer, their area of expertise. So they used theoretical models and disregarded available information from Olympia’s own system. We analyzed Olympia’s data, talked to local builders and system operators, and drew upon data from other communities such as Yelm and Lacey that have STEP systems. Our report shows areas in which costs were wrongly apportioned and also areas in which better management will result in cost savings.”

“We hope that instead of continuing this moratorium, which will be a hardship for homeowners and developers, the City will seek the advice of utility rate experts and people with expertise in managing STEP systems, develop new accounting procedures so that costs are correctly tracked and apportioned, gather data about its own system, then make a decision as to how to best expand its wastewater network,” Denn said.

Based in Sutherlin, Oregon, Orenco Systems designs and manufactures leading-edge equipment for onsite and decentralized wastewater systems. The company was founded in 1981, and its products are sold around the world.