1. INVESTOR NEWSLETTER ISSUE 4
FIRST QUARTER 2010
Industry Headlines
Energy & Water Nexus out TWP’s website and support the relief
efforts, we have gone one step further.
Saving water IS saving energy.
UPCOMING Energy is a water issue and water is an
Acequia will donate $25 for every water
assessment survey completed online to
EVENTS energy issue. Both are issues of
TWP (or one of five other nonprofits
sustainability to support the demands of
dedicated to environmental stewardship).
our growing population. Producing
See www.acequia.com for more info
POSTPONED energy requires sizable volumes of water
today.
CONGRESSIONAL while the distribution and treatment of
WATER CAUCUS water is equally reliant upon readily
The Congressional Water Caucus accessible, inexpensive energy. The link Obama Awards Clean
was founded in 2007 as a between clean, available energy, and Energy Tax Credit
response to the growing need for clean, available water is clear. One
President Barack Obama unveiled a
Congress to address the nation’s cannot exist without the other.
$2.3 billion tax credit in January to boost
water issues. The CWC will The November/December issue of
jobs by promoting clean energy. The tax
bring together the government Water Efficiency Magazine highlights the
credits have been granted to 183 projects
with the private sector in order symbiotic relationship between energy
across the country. Technologies include
to provide an educational and water usage. To read more about the
solar, wind, and other initiatives to
dialogue about drought and Energy Water Nexus, see: http://
improve energy efficiency. To read more:
water scarcity and its ultimate twurl.nl/fespea.
http://twurl.nl/fw6kde.
impact on national security. The “The Energy and Water Nexus,” Water
CWC was postponed due to Efficiency Magazine, The Journal For Water
weather, and will now be held in Resource Management, Nov/Dec 2009 60% Water Rate
conjunction with Earth Day Increase in Visalia
Events. Haiti Lacks Clean Water Supply Visalia, CA city officials have proposed a
Acequia Supports 60% rate increase in water rates (to be
3.22.10 Haitian Relief spread over the next three years). This
WORLD WATER DAY Prior to the earthquake, no Haitian may seem drastic, but they see it as
Join Acequia in the celebration of city had a centralized sewage system and necessary measure. The rate hikes,
World Water Day on March 22, there were virtually no water treatment subject to approval by the State, will be
2010. More details of our facilities for the general public. While the combined with intensive water
planned celebration coming soon! devastation caused by the earthquake has conservation in an effort to restore the
made this a very public, critical issue in city’s groundwater supply. Officials will
4.23-24.10 the states, life on the streets in Haiti is no be looking to landscape audits and
LONE STAR EXPO easier today. weather based irrigation systems (like
The Texas Apartment Association Acequia supports TWP Acequia) for their conservation efforts.
Annual Trade Show. Stop by the (www.treeswaterpeople.org) in their relief For more information on Visalia and the
Acequia booth after keynote efforts. In addition to encouraging our California water drought, please see:
speaker Emmitt Smith! employees, partners, and clients to check http://twurl.nl/jj2cui.
ACEQUIA: SUSTAINABLE WATER SOLUTIONS. LEADING BY EXAMPLE. www.acequia.com

2. INVESTOR NEWSLETTER ISSUE 4
FIRST QUARTER 2010
AUSTRADE: THE UPDATE
TWO CONTINENTS AT WORK
The Australian Trade Commission (Austrade) assembled
a group of eleven key decision makers in the North
American Water industry for a study tour in November.
The group (pictured to the right) included leaders in
government, private sector, and research. Kenneth Cook
was one of the eleven delegates. The story below recaps
his experience in Australia.
Delegates: Jim Thebaut,The Chronicles Group; Alex Davis,
State of CO, Natural Resources; Sally-Ann Watts, Austrade;
Kenneth Cook, Acequia LP; Chad Briggs, US Dept of Energy;
Wendy Martin, State of CA, Drought Coordinator; Lillian
Kawasaki, CA Ground Water District; Brad Udall, NOAA/Univ.
of CO;Timothy Brick, COB, Metro Water District of SoCA;
Bryan Tolar, Georgia Agribusiness;Terry O’Day, Environment
Now; not pictured: Pedro Sanchez, Mexico Water Commission
Over the last twelve years, Australia has experienced what storage and supply for the city of Adelaide, began to dry up as its
Americans tend to refer to as “extreme drought.” Australians felt source (the MD river) slowed. As river flows diminish, salt content
the same, until their water supplies were reduced to a point that increases. The once fresh water lake is now a brine/saline
they began to recognize this ongoing drought as something more mixture. Local marine life, as well as migratory fowl (already on
significant. They now use the term climate change. the endangered species list) is tremendous. To make matters worse
over the past decades the river had naturally deposited iron sulfide
The Murray-Darling River, its basin, and surrounding states offer into the lake bottom. With eighty square miles (4.1 Million acres)
the clearest example of the impact climate change (both of lake bottom soils now exposed, the sulfides are beginning to
environmental and economic) can have on a region. Located in react with oxygen to form hydrogen sulfide, more commonly
SW Australia, the Murray-Darling is truly the lifeblood of this known as battery acid. Australia has invested hundreds of millions
region. The local economy (agriculture, drinking water, of dollars into aerial lime applications and bio-remediation efforts
recreation) is wholly dependent on this river. We have a similar to mitigate the effects of acidification to the lake and surrounding
situation in the United States with the Colorado River, which animal and plant life.
supplies a significant portion of water to seven western states.
The Delegation was asked to review the data and events of
The most immediate impact of climate change in the Murray historical climate shift in comparison to current events occurring
Darling could be felt in the agricultural industry. Rice farming, in the United States that could lead to the similar consequences
once a significant export, evaporated along with the water. Most and to gain a better understanding of programs that worked, as
families in the area were generational farmers. For the first few well as those that were ineffective. Like many US Water
years of the “drought,” they “black-stumped” tens of thousands purveyors, Australian water suppliers budgeted contingencies for
of acres of fruit and nut orchards. This practice, cutting down the dry years; but no one would have ever planned for 50-75% less
trees to a two foot stump, allowed the trees to live for three to five water availability in the major river and surface storage systems.
years until supplemental water became available. The water never As a result, Australia has developed a system of allocating actual
came for most of those trees, and in year five, bulldozers were river flows making environmental rights equal to individual water
often seen clearing away livelihoods. rights. Australian water legislation and laws are considered to be
some of the most progressive and current in the world today. As a
As the agricultural impact worsened, the environmental means of creating “value” to water, Australia has taken the
devastation of climate change on the Murray-Darling began to approach that water is to be “owned” by individuals, with
emerge. Lake Alexandria, the primary source of fresh water “management” by the states, and regulated at the federal level.
ACEQUIA: SUSTAINABLE WATER SOLUTIONS. LEADING BY EXAMPLE. www.acequia.com

3. INVESTOR NEWSLETTER ISSUE 4
FIRST QUARTER 2010
RECENT INSTALLATION:
VISTA DEL LAGO APARTMENTS
Acequia recently added the Vista Del Lago Apartment
Community in Dallas, TX to its portfolio. This multi-
family property has 296 units and is owned by Post
Investment Group.
Post Investment was drawn to Acequia as part of their
overall greening initiative. Learn more about Post and
their overall greening strategies at: http://twurl.nl/qrj0ky.
Join Acequia on Twitter!
Follow us @Acequia__LP
(http://twitter.com/Acequia__LP)
We would love to hear from our clients via Twitter and
promote your greening stories!
On the positive side Australia has become a wealth of technology
Australia Study Tour (Continued) and best management practices in water conservation and
In 2006 a Water Trading Market was established for surface water desalination. On the agriculture front $3.1B has been invested in
rights, allowing owners to buy and sell water on the open market. technology and canal linings to total automate precise,measured
While drought had disrupted many of the farming industries, delivery of water with only minimal evaporate loss. Many urban
water rights allowed many to survive by selling their water. areas now recycle 40%-50% of their water for use, with a heavy
emphasis on desalination to relieve pressure on the Murray-
Lessons learned in the Australian urban environments were Darling basin. Australia leads the world in desalination technology
indicative of US urban issues that must be resolved. Today urban from intake and saline discharge outfalls effects to the marine
Australian citizens consume approximately 35 gals of water per environment,to reduced power consumption during production.
person, per day (35ppd), as compared to their US counterparts In addition, there has been significant investment in Wave Power
(150-400ppd). One of the major differences has been landscape Harvest technology for desalination and electric power production
irrigation water reduction. Since 2004, lawn irrigation has been from wave motion.
banned in most parts of Australia, with a fine that may include
imprisonment. Swimming pools have been converted to brine At the end of the study tour, the North American Delegates were
supplies and permanently disconnected form potable water invited to serve on a cluster to continue to develop and share
sources. Parks and green spaces utilize recycled water for intellectual property between the two countries in hopes of jointly
supplemental irrigation, where available. sharing the combined abilities with less fortunate countries. The
United States must now learn the lessons of Australia. We have
Australia has also had their share of mistakes to learn from as time, albeit precious few years, on our side. Government,
well. One of the most notable was the reduction of run-off water research, and most importantly, private industry can all do their
flows to the rivers and streams on lands replanted for carbon part. At Acequia, we believe that true sustainability in
sequestration; today, these plantings are required to acquire water conservation is not only possible, it is the right thing to do.
for supporting the plantings, allowing natural water run-off to in-
stream flows and downstream water rights holders. Another was As CEO and Managing partner of Acequia, Kenneth Cook is
the acknowledgement that ground water and surface water are utilizing his role as a delegate to inform his peers in the irrigation
inextricably linked and should be managed together as one. industry. Acequia will also be co-sponsoring a viewing of
“Running Dry: On the Brink” by the Chronicles Group at the
Congressional Water Caucus in Washington, D.C.
ACEQUIA: SUSTAINABLE WATER SOLUTIONS. LEADING BY EXAMPLE. www.acequia.com

4. INVESTOR NEWSLETTER ISSUE 4
FIRST QUARTER 2010
CLIENT
SPOTLIGHT:
MARQUIS AT ROGERS
RANCH, SAN ANTONIO
Managed by CWS Apartments,
these contemporary apartment
homes are located in the heart of
the Rogers Ranch Community.
Residents have access to three
major golf courses and state of the
art facilities, nestled amidst
picturesque rolling hills and mature
trees.
Utilizing Acequia’s sustainable
water solutions, this property has
saved 57,796,090 gallons of
water to date. This figure
represents a sustained 85.04%
savings since 2005.
http://www.cwsapartments.com
Join us on LinkedIn! and released cultivars of improved Certified Landscape Irrigation Irrigation
New Team Members annual rye, bent, buffalo, St. Augustine, Auditor, Licensed Irrigator and Backflow
Several new members have joined zoysia, and Texas Blue hybrid grasses for Tester by the Texas Commission on
the Acequia team over the last few use worldwide. Dr. Engelke earned a B.S. Environmental Quality. Rene has a B.A.
months. Recent additions include two from the University of Wisconsin- from St. Mary’s University and an MBA
board members, two projects managers, Platteville, and his Masters and Doctoral from the University of Phoenix.
and a government and public relations degrees from the University of
specialist. Our newsletter will highlight Wisconsin-Madison.
several employees per quarter, but we Reed Rivers, North
always encourage you to visit our
www.acequia.com or LinkedIn to further Texas Project Manager
Rene Osuna, Regional
connect with our team! Reed Rivers joined the Acequia
Manager, South Texas team in December 2010. Reed will work
Rene Osuna joined the Acequia with Acequia clients on irrigation
Dr. Milton Engelke,
team in 2010 as the South Texas Project management while serving as a liaison to
Board of Directors
Dr. Milton Engelke joined the Manager. Rene will be assisting with continued research activities at Texas
Acequia Board of Directors in January expansion efforts in South Texas. AgriLife.
2010. In this role, he will provide Additionally, Rene will have a role in Acequia has a strategic alliance with
agronomic consultation to our project customer relations and marketing in his Texas A & M University and the Texas
management team and our client region. Please feel free to reach out to AgriLife Extension & Research Center.
property managers. He will also be Rene at rosuna@acequia.com. This alliance spans the last two decades,
providing educational editorials for our Rene is a retired Army officer with focusing on turf grass research for
newsletters, website, webinars, and client over 18 years of service. Prior to joining drought tolerant species and
communications. Acequia, Rene was the president of management practices that reduce the
Dr. Engelke is the leader of the Spanish Oaks Landscaping, a full service turf dependence on potable water
Turfgrass Genetic Improvement Team at industrial and commercial landscaping sources.
Texas A & M. This team has developed and irrigation provider. Rene is a
ACEQUIA: SUSTAINABLE WATER SOLUTIONS. LEADING BY EXAMPLE. www.acequia.com