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2030 Plan - Grand Strand Water and Sewer Authority

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I. Mergers <strong>and</strong> Acquisitions<br />

The success of the Bull Creek Regional System brought changes to the working<br />

relationships between GSWSA <strong>and</strong> the other water <strong>and</strong> wastewater utilities in Horry<br />

County. Both the success of the initial project <strong>and</strong> the ongoing quality <strong>and</strong> cost of service<br />

allowed for the formation of stronger relationships that could be built upon for future<br />

cooperative arrangements.<br />

Although Surfside Beach was a wholesale water <strong>and</strong> wastewater customer, it could not<br />

obtain an efficient economy of scale in its retail operation. This resulted in a higher cost<br />

of service for residents of Surfside. In 1995, the Town held a referendum to sell its water<br />

<strong>and</strong> wastewater system to GSWSA. The referendum passed by an overwhelming<br />

majority.<br />

The Town of Aynor was also receiving wholesale water service but did not have a<br />

wastewater system within the town. Many of the septic tanks in town were either failing<br />

or operating unreliably. Because of the poor soils, DHEC was not issuing septic tank<br />

permits in Aynor which was limiting growth in the town. In 1998, the town held a<br />

referendum to sell its water system to GSWSA in exchange for the installation of a<br />

wastewater system. This referendum also passed by an overwhelming majority.<br />

GSWSA installed a wastewater system throughout Aynor, <strong>and</strong> the town has since<br />

experienced unprecedented growth.<br />

In 1994, as a result of its wastewater discharge permit violations, Conway was placed<br />

under a wastewater moratorium by DHEC. GSWSA offered to acquire the plant <strong>and</strong><br />

upgrade the facility to meet the permit requirements. Conway agreed to the proposal, <strong>and</strong><br />

the plant has since been upgraded, rebuilt, <strong>and</strong> exp<strong>and</strong>ed from 2 to 4 MGD. The City of<br />

Conway is now a wholesale customer for both water <strong>and</strong> wastewater services.<br />

In 2001, the Town of Loris was violating its wastewater discharge permit. GSWSA<br />

acquired the Loris plant <strong>and</strong> has upgraded the facility to meet the permit requirements.<br />

The City of Loris is also now a wholesale customer for both water <strong>and</strong> wastewater<br />

services.<br />

In 2000, the Cities of Myrtle Beach <strong>and</strong> North Myrtle Beach, acting jointly, purchased 4<br />

MGD of water capacity. The water is delivered to North Myrtle Beach at the Barefoot<br />

L<strong>and</strong>ing Resort.<br />

In 2000, North Myrtle Beach purchased 3 MGD of wastewater capacity to serve both the<br />

area the city annexed west of the waterway <strong>and</strong> areas of the city east of the waterway.<br />

This is about forty percent of the city’s wastewater capacity.<br />

In 2006, GSWSA acquired the City of Myrtle Beach water <strong>and</strong> wastewater plants with<br />

the city becoming a wholesale water <strong>and</strong> wastewater customer. This was a large<br />

acquisition resulting in expansion of annual revenues of over thirty-five percent. Myrtle<br />

14

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