In 1996, the Safe Drinking Water Act (SDWA) was amended and the capacity development program was introduced to strengthen the technical, managerial and financial (TMF) capacity of public water system operations. The goals of the capacity development program are to ensure that Arizona’s public water systems:

• Are able to meet current and future drinking water demands while protecting public health and the environment
• Are able to maintain compliance with all applicable drinking water laws and regulations
• Are able to sustainably provide reliable drinking water to their customers

All new community, and nontransient-noncommunity public water systems created on or after Oct. 1, 1999, are required to demonstrate technical, managerial and financial capacity prior to beginning operations.

What Is Capacity?

Technical Capacity

The physical infrastructure of the system, including but not limited to, source water adequacy, infrastructure sufficiency and technical knowledge of certified operators. In other words, does your treatment plant work the way it’s supposed to? Are you providing safe, healthy drinking water, as required by law, to your customers now? Will you be able to in the future? Is the system staffed with a proper certified operator? The answer to all should be "yes."

Managerial Capacity

The management structure of the system, including but not limited to, ownership accountability, staffing, organization and communication. Do you have a capable and trained staff? Is there a defined management structure? Do your customers know whom to contact with questions or issues?

Learn About Asset Management | View Page >

Financial Capacity

The financial resources of the water system, including but not limited to, revenue sufficiency, credit worthiness and fiscal controls. Does your system have a budget? Are your revenues covering costs, repairs and replacements?

How do I demonstrate capacity?

Before beginning operations, an elementary business plan must be submitted by the new water system and approved by ADEQ. The requirements are fulfilled by completing the Capacity Development Application for a New Public Water System (Elementary Business Plan) | Learn More >

The application demonstrates that the water system has the technical, managerial and financial capacity to provide healthy drinking water to its customers in a sustainable and cost-effective manner.

Learn more about drinking water source adequacy requirements | Learn More >

Small Water Systems

ADEQ undertakes numerous efforts to improve the technical, managerial, and financial capacity of existing water systems. These efforts include extensive technical assistance, operator and management training, sanitary survey follow-up, and financial assistance.