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5 <br /> Slide #5 <br /> OWASARate Study <br /> 5% 0% 5% 16% 9% 15% 7% 7% 8% 7% 5% <br /> Actual Projected <br /> Rate Study is underway that will help ensure: <br /> • Costs are equitably allocated across customer types <br /> • Revenues,by customer types,are recovered appropriately <br /> >Any rate structure adjustments are anticipated to go into effect <br /> in October 2027. <br /> Analysis Board Review�"' • <br /> Analysis 7 <br /> Outreach <br /> Oct <br /> Oct <br /> Michael Hughes outlined OWASA's rate history, noting significant increases from 5% in <br /> fiscal year 2022 to 16% in 2023, then 9% in 2024, 15% in 2025, and 7% in 2026. The five-year <br /> Capital Improvement Program requires $250 million, with the two major projects accounting for <br /> nearly $200 million. OWASA generates approximately $55 million annually in gross revenue with <br /> about $10 million in net revenue. <br /> Slide #6 <br /> StudyUNC of • <br /> • OWASA organized a working group to discuss the issue with public <br /> and environmental health experts from the three counties Orange, <br /> Alamance,and Chatham <br /> • UNC Institute for the Environment,staff and leadership from the <br /> N.C.Department of Environmental Quality,and the N.C. <br /> Collaboratory <br /> • Due to legacy application of biosolids in the area by other utilities, <br /> and other unknown potential sources of PFAS,it is important to <br /> study the PFAS distribution in the area more broadly to get a holistic 0 <br /> view of how PFAS is reaching drinking water wells. 0 <br /> 0 <br /> Regarding PFAS in drinking water wells near Orange Grove Road and Highway 54, <br /> Michael Hughes said OWASA organized a working group with public and environmental health <br /> experts. Due to legacy biosolids applications by other utilities, a collaborative study involving <br /> multiple organizations will examine PFAS distribution in drinking water wells across Chatham and <br />