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The City of Truth or Consequences (T or C) water supply system had been strained due to population increases and real estate development over the years. The current system did not supply adequate pressure at peak demand and the City had some concern about the system's ability to deliver fire suppression flow to certain portions of town. City officials engaged in strategic planning to evaluate system improvements required to alleviate current system deficiencies and to supply adequate water demand for the future. A model of the existing water distribution system was created from several data sources. The detailed topologically oriented model of the water distribution network was created primarily from geographic information system (GIS) data, and updated from hardcopy maps of the water system. Water demands were determined and distributed based on production and billing information contained in a Customer Information System (CIS). The comprehensive modeling evaluated the current system, and evaluated alternatives identified in a preliminary engineering report previously prepared for T or C. The placement of two new storage tanks, one in each pressure zone, was evaluated and a recommendation determined, based on model results. Includes figures.