Salt Lake City Department of Public Utilities has proposed changes to rates for drinking water, sewer, stormwater and street lighting. These changes are the result of a comprehensive rate study, completed in 2024, which seeks to make rates fair, affordable, and supportive of Salt Lake City’s needs.
Learn more about your public utility rates:
Questions about FY2026 rates
Q: Why are water, wastewater, and stormwater rates going up?
A: The increases are needed to cover higher costs for operations, repairs, infrastructural line replacements, and new projects like upgrading water treatment plants and building a new wastewater facility. These changes will ensure clean and reliable services for everyone.
Q: How were these new rates decided?
A: The rates were decided based on a comprehensive, data-driven study that looked at:
How much it costs the City to provide services
Who is using the services
What volume is being used
With that information in hand, we were able to propose an updated rate structure that is financially sustainable and fair across the different customer classes (residential, commercial, industrial).
Q: What has changed that requires higher rates?
A: The costs to run and maintain these systems have gone up because of inflation and new rules to protect the environment. Also, the City needs to pay for big projects, like replacing old pipes and upgrading treatment facilities.
Q: When will the new rates start, and how long will they last?
A: If adopted by the Salt Lake City Council, the new rates will start on July 1, 2025. Salt Lake City Department of Public Utilities evaluates rates each year and proposes necessary changes during Salt Lake City’s annual budget review process.
Q: What is different about the new rate structure?
For residential customers, the tiered rates for drinking water have been adjusted to make them fairer and more predictable. Tiers will be in effect year-round, rather than just during the summer. Using the same tiered rates year-round will help our customers to better plan for monthly utility expenses. Additionally, the amounts of water allotted to each tier have been adjusted. The amount of water allotted to the lowest tier amounts the basic, non-discretional water a household needs and is the most affordable per unit. The per unit price increases for each tier to encourage residents to use water wisely.
Q: What happened to Rate Stabilization Fees?
A: Rate stabilization fees were added in FY2025 (July 1, 2024 through June 30, 2025) to provide SLCDPU with the revenues necessary to continue providing Salt Lake City with essential services. Rate stabilization fees were a temporary measure introduced in FY2025 but have been eliminated in the new rate structure, which has been adjusted to more fairly account for revenues and costs.
Q: Are customers outside Salt Lake City paying more?
A: Yes, people outside the City pay higher rates. Years ago, our service area was limited to Salt Lake City only. Accordingly, the rates those customers paid were used to invest in growing infrastructure throughout the service area. When the service area was expanded to include customers outside the City’s boundaries, the rate structure for those customers was created to reflect repayment of those initial investments. In addition, Salt Lake City residents pay a property tax to the Metropolitan Water District of Salt Lake and Sandy for water infrastructure and water supply that benefits the entire water service area, both inside and outside Salt Lake City’s boundaries. Water customers outside of Salt Lake City’s boundaries do not pay this tax.
Q: How are collected public utility rates used?
A: Every dollar paid by our ratepayers are reinvested in our community, providing for maintenance, repairs, new or upgraded facilities, and the operational costs involved in providing essential services every day.
Q: How will these changes affect different customers?
A: Salt Lake City has a variety of customer types, like residents, businesses, and institutions. These new rates are structured so that each different type of customer pays for its fair share of usage and for the demand made on the system. The rates were developed to align with the ways in which our customers use water differently. For example, water rates for residential customers are now tiered year round. This means the more water you use, the more you will pay. By contrast, water rates for business customers are flat and seasonal. Business customers pay one rate for water usage in the summer and a different rate for water usage in the winter.
Q: Is there help for families struggling to pay higher bills?
A: SLCDPU operates a program called Project Water Assist. Customers or other members of our community are able to donate. Donations are used to help our customers who have difficulty paying their monthly utility bills. Call SLCDPU’s Customer Service team to learn more about Project Water Assist.
Q: Why are discounts for stormwater improvements being reduced?
A: In the past, some customers who developed plans to manage stormwater on their property benefitted from discounted stormwater rates. Regulations now dictate that customers of a certain size and type must plan to manage stormwater on their property. Gradually eliminating stormwater discounts over the next three years will ensure that the Salt Lake City community pays their share for protecting the health of our stormwater.
Q: How are stormwater charges decided?
A: The charges are based on how much of your property is covered by surfaces like roofs and driveways that don’t absorb water. Click here to learn more about SLCDPU’s Stormwater and Flood Control efforts.
Q: Did the community have a say in these rates?
A: Yes, a group of residents, business owners, and other stakeholders formed the Rate Advisory Committee (RAC). The RAC members participated in the rate study process and shared input to develop the new rate structure.
Q: How do these rates support water conservation?
A: The new rates encourage people to use water wisely by charging more for higher use. The money also helps pay for sustainable projects to protect water resources.
Examples of water rate change impacts on select Salt Lake City customers
We know that many households develop budgets to help manage their spending and that your monthly public utility bill is just one expense in your budget. We have developed some examples to show how you might expect your bill to change once the new rates are implemented. Please note that these examples are comparisons of water charges customers might see on their monthly bills. Examples do not include street lighting or waste and recycling charges. All example charges below are estimates provided for comparison and budgeting purposes only. Customers should refer to actual bills received to determine their amount due each month.
| Account Type | Monthly Usage | Meter Size | 2025 Monthly Cost | 2026 Monthly Cost | $ Change |
|---|---|---|---|---|---|
| Residential Minimum Use | 6 ccf | 3/4″ | $36.93 | $40.71 | $3.78 |
| Residential Low Use | 8 ccf | 3/4″ | $41.13 | $47.15 | $6.02 |
| Residential Medium Use | 21 ccf | 3/4″ | $81.13 | $104.77 | $23.64 |
| Residential High Use | 61 ccf | 1″ | $258.51 | $304.19 | $45.68 |
Examples of sewer rate change impacts on select Salt Lake City customers
We know that many households develop budgets to help manage their spending and that your monthly public utility bill is just one expense in your budget. We have developed some examples to show how you might expect your bill to change once the new rates are implemented. Please note that these examples are comparisons of sewer charges customers might see on their monthly bills. Examples do not include street lighting or waste and recycling charges. All example charges below are estimates provided for comparison and budgeting purposes only. Customers should refer to actual bills received to determine their amount due each month.
| Account Type | Annualized Average Winter Water Usage (ccf) | 2025 Monthly Cost | 2026 Monthly Cost | $ Change |
|---|---|---|---|---|
| Residential Minimum Use | 2 ccf | $21.34 | $20.82 | -$0.52 |
| Residential Low Use | 4 ccf | $35.46 | $37.94 | $2.48 |
| Residential Medium Use | 8 ccf | $63.70 | $72.18 | $8.48 |
| Residential High Use | 15 ccf | $127.11 | $132.10 | $4.99 |
Examples of stormwater rate change impacts on select Salt Lake City customers
We know that many households develop budgets to help manage their spending and that your monthly public utility bill is just one expense in your budget. We have developed some examples to show how you might expect your bill to change once the new rates are implemented. Please note that these examples are comparisons of stormwater charges customers might see on their monthly bills. Examples do not include street lighting or waste and recycling charges. All example charges below are estimates provided for comparison and budgeting purposes only. Customers should refer to actual bills received to determine their amount due each month.
| Account Type | ERUs | 2025 Monthly Cost | 2026 Monthly Cost | $ Change |
|---|---|---|---|---|
| Residential (less than .25 acre) | Any ERU | $8.33 | $8.75 | $0.42 |
| Residential (more than .25 acre) | Any ERU | $11.63 | $12.25 | $0.62 |
Examples of water rate change impacts on select Salt Lake County customers
We know that many households develop budgets to help manage their spending and that your monthly public utility bill is just one expense in your budget. We have developed some examples to show how you might expect your bill to change once the new rates are implemented. Please note that these examples are comparisons of water charges customers might see on their monthly bills. All example charges below are estimates provided for comparison and budgeting purposes only. Customers should refer to actual bills received to determine their amount due each month.
| Account Type | Monthly Usage | Meter Size | 2025 Monthly Cost | 2026 Monthly Cost | $ Change |
|---|---|---|---|---|---|
| Residential Minimum Use | 6 ccf | 3/4″ | $49.86 | $54.96 | $5.10 |
| Residential Low Use | 8 ccf | 3/4″ | $55.52 | $63.65 | $8.13 |
| Residential Medium Use | 21 ccf | 3/4″ | $109.53 | $141.43 | $31.91 |
| Residential High Use | 61 ccf | 1″ | $348.98 | $410.65 | $61.67 |