The Capacity Development and Drinking Water State Revolving Fund (DWSRF) programs, created by the 1996 Safe

Drinking Water Act (SDWA) Amendments, empower states to help water systems improve their abilities to comply with

the SDWA and protect public health. State DWSRFs provide low-interest loans and other loan subsidies to eligible water

systems for infrastructure improvements. State DWSRFs may also set aside resources to encourage enhanced water

system management and performance. This fact sheet highlights how the Capacity Development and DWSRF programs

give states the authority, tools, and resources needed to implement Area-Wide Optimization Programs (AWOPs).

An AWOP is a strategy for targeting groups of higher risk systems for state assistance to maximize the public health

protection that water treatment plants provide. State drinking water programs work with hundreds of water treatment

plants that protect the public from a broad range of health risks from waterborne contaminants. Although states have a

variety of tools to aid systems, from sanitary surveys to direct technical assistance, their resources are limited. Consequently, states need to prioritize their efforts according to the gravity of the potential public health risks posed by poorly

performing water treatment plants. The challenge states face is to match their oversight of, and assistance to, water

systems with the estimated risks posed to public health.

Because state drinking water programs have direct contact with treatment plants, state programs play the major role in

implementating AWOPs. State staff develop criteria to prioritize systems and evaluate system performance. Then, they

use the most appropriate tools and assistance to optimize system performance and address public health risks. However,

several other parties can support the implementation of state AWOPs. For instance, Environmental Protection Agency

(EPA) Headquarters and Regional staff can facilitate meetings between key parties, arrange training, help integrate new

technologies and technical components, and phase in new regulations. Non-governmental organizations may be hired to

provide training and other forms of technical assistance.

IMPLEMENTING AWOPS THROUGH

THE CAPACITY DEVELOPMENT AND

DWSRF PROGRAMS

The primary benefit of an AWOP is improved performance of drinking water treatment

plants, which increases protection against waterborne disease. Other benefits from

AWOPs include:

• Systems receive the tools needed to comply with drinking water rules such as the

Long Term 1 Enhanced Surface Water Treatment Rule, the Stage 1 Disinfection

Byproducts Rule, and the Ground Water Rule (under development).

• Systems better understand their roles in treatment optimization and public health

protection.

• A system operator’s ability to apply new technical concepts is enhanced, resulting

in sustained improvements in plant operation.

• New communication and networking opportunities for state and water system

staff are created, which carries benefits over into other programs (such as operator certification, construction standards, and plan review).

• The useful life of existing infrastructure is prolonged by optimizing performance,

reducing the need to invest scarce resources in new facilities to achieve compliance.

• States effectively and efficiently use limited resources.

One of the most

cost-effective

ways a state can

improve an

existing plant’s

ability to protect

public health is to

optimize the

performance of

treatment technologies already

in place.

WHAT ARE THE BENEFITS OF AN AWOP?

WHAT IS AN AWOP?
In implementing an AWOP, a state’s first step is to develop an objective way to evaluate the public health risks posed by

water treatment plants. The state then identifies treatment plants that may be underperforming and determines the factors

causing their poor performance. Based on these risks and challenges, the state can provide the water systems with resources, such as performance-based assessments, training, and assistance, to maximize public health protection. The state

reviews its efforts and integrates the lessons learned back into the AWOP and other state programs.

State Capacity Development programs offer an excellent opportunity for implementing AWOPs. Because assistance

resources are often scarce, some Capacity Development programs focus primarily on significant noncompliers and small

systems. States can complement these important efforts by implementing an AWOP to maximize the public health

benefits of existing water treatment facilities. Most states can quickly expand or adapt their Capacity Development

An AWOP has three components: Status, Targeted Performance Improvements, and Maintenance. In general, Status

activities center around establishing the performance goals that the state will pursue and measuring the performance of

plants against these goals. The focus of Targeted Performance Improvements is to decide which of the various assistance

tools is appropriate for each treatment plant. More advanced tools may be needed for plants that pose higher risks to

public health. For example, Performance Based Training (PBT), where groups of plant operators are taken through a

series of facilitated training sessions that address key skills to meet AWOP performance goals, may be needed. Maintenance activities include using lessons learned from AWOP efforts to improve the AWOP.

The three components of an AWOP create a coordinated, dynamic process that can be applied to a wide range of

treatment plant performance problems and drinking water requirements. Figure 1 illustrates the specific activities that

constitute each component.

FIGURE 1: COMPONENTS OF AN AWOP

 Targeted Performance Improvements

• Use existing tools (e.g., Sanitary Surveys and

CPEs) to determine the factors limiting

system performance and help plant operators

understand the changes needed to optimize

performance.

• Implement appropriate follow-up at the

highest risk systems.

• Provide “Comprehensive Technical

Assistance” (CTA) to the highest risk systems

to make the changes needed to optimize

performance.

• Use additional performance improvement

tools, such as operator training and

Performance Based Training (PBT), for

groups of plants with moderate to high risk.

• Support other optimization tools (e.g.,

Partnership for Safe Water, self-assessments)

for lower risk plants.

 Status

• Establish optimized performance goals.

• Continuously monitor and assess plant performance.

• Prioritize systems based on public health risk using factors such as

finished water turbidity data, records of source water quality,

Comprehensive Performance Evaluations (CPEs), and sanitary

surveys.

• Develop a professional relationship with water utility staff to

encourage sustained performance improvement.

 Maintenance

• Integrate lessons learned back into the AWOP.

• Review and revise program components, such as performance

goals, as needed.

• Integrate findings from AWOP activities into other related state

programs (design reviews, permitting, training activities, and

sanitary surveys).

• Train staff on new technical tools related to AWOP

implementation.

• Initiate and sustain quality control activities.

WHAT ARE THE COMPONENTS OF AN AWOP?

HOW IS AN AWOP IMPLEMENTED?

WHAT IS THE LINK BETWEEN AWOPS AND CAPACITY DEVELOPMENT?
States use DWSRF capitalization grant funds to provide low-interest loans and other loan subsidies to publicly- and

privately-owned public water systems for infrastructure improvements needed to continue to ensure safe drinking water.

States can reserve a portion of their grants to finance activities that encourage enhanced water system management and

performance. Funds for set-aside activities that are focused on drinking water program management, capacity development, and technical assistance can be used by a state to enhance its own program management activities and to assist

systems directly using state staff or third-party contractors.

Figure 3 shows the specific AWOP activities that could be funded by DWSRF set-asides. Since the DWSRF program is

managed by states, set-aside funding decisions are made at the state level. Given that each state administers its own

program differently, the first step in seeking assistance is to contact the state DWSRF representative, who can be found on

the EPA DWSRF website.

efforts to implement AWOPs, which would improve the technical and managerial capacity of more complex water

systems (i.e., those with sophisticated treatment) without significantly depleting the resources available to help smaller

systems.

Under the SDWA, a state must develop and implement a strategy to improve the technical, managerial, and financial

capacity of existing public water systems. This strategy should include five elements. These elements, and how an AWOP

can fulfill each one, are detailed in Figure 2.

HOW CAN DWSRF SUPPORT AWOP ACTIVITIES?

AWOP Activity

DWSRF Set-Aside Category

Administration &

Technical Assistance

to Systems

Small System

Technical

Assistance

State Program

Management

Local Assistance

& Other State

Programs

Program Management (data entry,

reporting, travel)

Conducting CPEs*

PBT Facilitation*

Equipment for CPEs & PBTs

* by state staff or third-party contractors

✓ ✓

✓ ✓ ✓

✓

✓ ✓

✓

FIGURE 3: AWOP ACTIVITIES ELIGIBLE FOR DWSRF SET-ASIDE FUNDING

✓

FIGURE 2: CAPACITY DEVELOPMENT PROGRAM ELEMENTS

SDWA Cite Element AWOP

§1420(c)(2)(A) Prioritize systems most in need of

improving capacity

States can prioritize systems based on threats to

public health using historical source water quality,

performance data, and other factors.

§1420(c)(2)(B) Identify the factors that encourage or

impair the capacity of water systems

Systems and states can work together to identify

factors limiting performance.

§1420(c)(2)(C)

Use the authority and resources of

the SDWA to enhance technical,

managerial, and financial capacity

States can use DWSRF set-asides and other forms

of assistance to fund sanitary surveys, CPEs,

training, and other tools to improve technical and

managerial capacity.

§1420(c)(2)(D)

Establish a baseline and measure the

capacity improvements of systems in

the state

States can compare post-AWOP data with preAWOP data to gauge capacity improvement.

§1420(c)(2)(E) Involve stakeholders in state efforts

to improve water system capacity

States can work directly with systems and other

drinking water organizations to provide technical

assistance.
AWOPs are being piloted in EPA Regions 3, 4, 6, and 10. EPA Region 4 has a multi-state pilot project that involves South

Carolina, Alabama, Georgia, Kentucky, North Carolina, and Florida. Kentucky’s experience is profiled below (see Figure

4). Early results indicate that full implementation of AWOPs is resulting in improved public health protection for optimized systems and enhanced staff expertise at the state level.

WHAT ARE STATE EXPERIENCES WITH AWOPS?

Kentucky’s AWOP has allowed technical

assistance staff to identify and target poor

performance, which has led to dramatic

improvements in the state’s drinking water

quality. Since 1998, one of Kentucky’s worst

performing treatment plants experienced a

dramatic turnaround after the state adopted

optimized performance goals and communicated the public health implications to utilities

through implementation of its AWOP. Plant

staff subsequently improved the facility's

performance by washing filters at lower

turbidity triggers, filtering to waste, and

optimizing coagulation. The facility’s performance relative to the optimized filtered water

turbidity goal of less than 0.1 nephelometric

unit (NTU) went from 17 percent in 1998 to

73 percent in 1999 and 84 percent in 2000.

FIGURE 4: KENTUCKY CASE STUDY

FOR MORE INFORMATION...

AWOP, Capacity Development, and

DWSRF Information

General Information

Area-Wide Optimization Program

U.S. EPA

Technical Support Center

26 West Martin Luther King Drive

Cincinnati, Ohio 45268

Phone: 513-569-7874

Fax: 513-569-7191

Capacity Development

http://www.epa.gov/safewater/smallsys.html

DWSRF Website

http://www.epa.gov/safewater/dwsrf.html

SDWA Hotline

1-800-426-4791

EPA's Ground Water and Drinking Water

Website

http://www.epa.gov/safewater/

Office of Water (4606M)

EPA 816-F-03-019

June 2003

(Source: State of Kentucky. Department of Environmental Protection, Area-Wide Optimization Annual Report

for 2000)

DEMONSTRATED PERFORMANCE IMPROVEMENT

BY KENTUCKY’S AWOP

0

10

20

30

40

50

60

70

80

90

1998 1999 2000

Year

Percent of Time Turbidity <0.1 NTU

Williamsburg

Pikeville