Laredo, Texas
While the implementation of prepaid water meters is growing quickly in developing countries, they are also used in some communities in the United States.
Following the implementation of the North American Free Trade Agreement (NAFTA), a number of poor settlements called colonias developed along the U.S. border with Mexico, most of which have very little public infrastructure and access to essential services. Since many of the colonias are not formally incorporated into municipalities, local governments are able to evade their responsibility to provide equal access to services like water systems.
Residents of colonias on the outskirts of Laredo, Texas, use quarters to fill up large barrels of water at a water machine operated by the city. The mostly Spanish-speaking immigrants travel long distances and wait in lines in order to access water they have to use for any basic household chore.
The water pumps operate based on time rather than quantity, so when water pressure is low, users receive less water than they paid for. Surveys suggest that colonia residents have to pay more for water than Texas residents whose homes are connected to water systems.
The health consequences resulting from the lack of sanitation is compounded by the lack of adequate health care along the border. In response, programs like Agua Para Beber (Water to Drink) use community-based approaches to educate residents about how to purify their water.
Water services in Laredo were under the control of United Water, a subsidiary of Suez, until 2005 when the city canceled the five-year contract. The water system was returned to public control on May 6, 2005.