With emergency repairs, water line rehabilitation, treatment plant reconstruction, regulation compliance costs and inflation, the Salt Lake City Department of Public Utilities found it necessary to increase monthly fees for their users. Residents may have noticed an increased fee on their August billing cycle as the new rate went into effect on July 1. 

“It’s a catch-up fee to help us equalize,” said SLC Public Utilities Director Laura Briefer during her annual update to the Cottonwood Heights City Council on Oct. 15. 

Briefer described various contributing factors to their current financial climate. The previous rate structure established in 2018 did not anticipate a decrease in water demand. As revenues dipped, expenditures only continued to increase as the waterways continue to age and new federal regulations are passed. 

“Revenues plummeted last year in a significant way,” Briefer said. “Reduced water demand and inflation with larger capital projects was a huge factor.” 

It became apparent that the Public Utilities Department needed to take some action to be able to balance their budget. They began to embark on a new water-rate study focusing on rate design to account for the new water demand model seen today. The focus is to find stability for fixed costs. 

“We have a new normal of what water rates look like and what efficient water usage looks like,” Briefer said. 

As work to alter their fee schedule, the stabilization fee has been implemented in the meantime. The expectation is to recoup enough revenue within the year through the increased fee so it will not have to be rolled over and implemented in future years.   

“Our revenues are only from what is on your water bill,” Briefer said. “We do not get extra taxes of anything like that.”

That also means when there’s concern inspiring an active social climate toward water conservation, the Public Utilities Department collects less fee revenues. 

“We have a bad business model,” Briefer said. “I want to applaud the amount of conservation even through it means less revenue.” 

Even though there’s been significant conservation efforts over the last few years, the Great Salt Lake remains in critical condition. As of publication, the lake’s elevation was at 4,192.3 feet. Briefer mentioned that the ideal is to see that number at 4,198 feet. 

However, state leaders and hydrologists reported to Briefer at the Utah Water Summit that the other reservoirs statewide were at 72% capacity – which is a higher than average number. 

“It’s a really good thing to enter a new water year with that capacity,” Briefer said. “We manage the water supply that serves 365,000 people in the Salt Lake Valley; from the Wasatch Mountains and the ground water in the Provo Water Project, up to the Deer Creek Reservoir.” 

Thirty percent of that water supply comes from federal river projects through accessing the Provo Water Project, between 5% and 10% comes from the Central Utah Water Project, and additional contract water is received from the Central Utah Water Conservatory District. The bulk of the water supply comes from the 190 square miles of land in the Wasatch Mountains that the Public Utilities Department actively protects. 

“We think of ourselves often as a one-water agency where we are managing all aspects of water that comes through our community. Even though we are a municipal district and retail water provider, we act like a regional water provider,” Briefer said.

Because of these important regional, state and federal connections, it’s imperative for the Public Utilities Department to remain in compliance with all set regulations. However, coming into compliance with some of the new regulations will be one of the more costly expenses for the Department of Public Utilities, which is one of the primary reasons for the fee increase. 

A recent requirement through the Clean Water Acts mandates all waterlines containing lead must be removed within the next decade. 

“The first part of compliance is to inventory all lines in the 900,000-plus connections,” Briefer said.

Inventorying the entire system for lead will be a mighty endeavor for the Public Utilities team so they have asked for assistance from residents. A public survey is available through their website for residents to submit any information they may know about the water lines on and surrounding their properties (link information provided at the end of this article). 

Briefer feels rather confident that inventorying the entire water system for traces of lead won’t uncover too much unknown contaminants, however. The Public Utilities Department does routinely test for more than 90 contaminants within the water and are currently in compliance for all safe water drinking requirements. (Those reports are published annually through their website for residents to read.) 

“Salt Lake City’s service area has not had issues with lead in drinking water because the quality of drinking water that comes in is not erosive,” Briefer said. “It leaves a calcium deposit where it doesn’t interact with the lead as much.” 

As potential health risks related to fluoride being within drinking water has been in the news recently, SLC’s Public Utilities team reviewed their data on the usage of fluoride within their operations. The health department is looking into and analyzing that study to see what it really tells us in related to risk. 

Briefer relayed some of the residential concerns the department had been receiving referenced back to a recently circulated study that found potential health risks with 1.5 mg fluoride per kg of water. As a water treatment operation, they are required up to 0.7 mg fluoride to water.

One such facility where water is treated within the service area is the Big Cottonwood Canyon (BCC) Water Treatment Plant. Originally constructed in the 1950s, the overdue reconstruction is one of those larger capital projects contributing to the increasing expenses of the SLC Public Utilities Department.

“To rehabilitate a water treatment plant can be hundreds of millions of dollars,” Briefer said.

In addition, crews are currently working to replace three main water pipelines. A new 36-inch welded steel pipe will be installed as the connecting line between the Big Cottonwood Water Treatment Plant and the Salt Lake Aqueduct. Active road closures for this construction along Ft. Union Boulevard and Big Cottonwood Canyon Road will continue through the end of the month. 

While the BCC Water Treatment Plant rehabilitation work, water pipeline replacement, and related road/infrastructure reconstruction will most directly impact the residents of Cottonwood Heights, the SLC Public Utilities Department is anticipating a handful of multiyear rehabilitation and reconstruction capital project costs coming down the pipeline.

The water quality report contains information about sources of drinking water, the water system and water quality results. The 2024 Water Quality Report, and previous reports, are available online at www.slc.gov/utilities/water -quality/. 

To learn more about SLC Public Utilities and water services, visit: www.slc.gov/utilities.