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Another aspect of water privatization involves private entities seeking to supply raw water to municipalities. This approach is illustrated by the now- infamous T. Boone Pickens proposal to pump and ship groundwater from the Texas Panhandle to Dallas, E1 Paso, San Antonio or cities in-between.TM While private water sales to municipalities are not yet widespread in either Texas or the rest of the U.S., several companies have been exploring options. For example, at least four private corporations--Western Water Company, Vidler Water Company, Azurix Corporation and Cadiz Land Company--are proposing various projects for marketing raw water to California cities.~2 Advocates of this type of water supply privatization have viewed state water law--particularly restrictions on inter-basin transfers and provisions requiring consideration of impacts of transfers on "third parties" (i.e. local communities and landowners in the area-of-origin) as barriers.~3 POTENTIAL BENEFITS AND RISKS OF PRIVATIZATION OF WATER AND WASTEWATER SERVICES Both proponents and critics of public-private partnerships have compiled studies showing respectively that it works or that it doesn't work. In 2001, Public Citizen reported on 16 communities where privatization of water and wastewater systems has occurred. Though by no means a comprehensive analysis of public-private partnerships in this sector of the economy, Public Citizen's study did point out that like the public utility operations, the private sector does not always produce a perfect public service. Public Citizen documented incidences where wastewater systems were not maintained adequately, water pipes were allowed to deteriorate and in one city, water quality actually worsened. It also documented cases where municipalities decided to "take back" systems that had been contracted to private companies because of excessive and repeated rate hikes. 14 On the other hand, privatization proponents point to case studies that show when private corporations have taken over the operation and management of water and wastewater services, employee wages and benefits have increased, environmental compliance improved, and cities have realized considerable savings.~ Proponents of privatization of water-wastewater services note that a municipality should identify and evaluate the problems they face before selecting one or more of the privatization options. Advocates suggest that build and operate arrangements might be particularly suitable when cities are facing budget shortfalls, in times of economic recession, and yet need large capital investments to build new and large treatment plants.