Boulder utilities present 2026 capital improvement plan; staff proposes higher rates to fund projects

City utilities staff advised the Utilities Advisory Board on June 3 that a multi-year push to repair and replace aging water, wastewater and stormwater infrastructure will require higher utility rates and continued use of bond financing.

The presentation, led by Joe Tadayuchi, director of utilities, and senior staff including Chris Douglas and Steph Klingemann, summarized a six-year capital improvement program that targets major projects such as the Barker gravity pipeline relining, monitoring and follow-up work at Barker Dam, the 60th Street treated-water transmission pipeline, reservoir and tank work, a wastewater relining program that began after the 2013 floods, and flood projects including South Boulder Creek and Gregory Canyon. Staff said some projects will be phased over several years and some early design work is expected in 2026.

Staff told the board the CIP balances reliability, risk and affordability. “We are trying to avoid rate spikes while maintaining system reliability,” Chris Douglas said. Steph Klingemann outlined proposed rate adjustments: an 8% increase in water rates, a 6% increase in wastewater and a 5% increase in stormwater/flood for 2026, followed by additional increases in 2027–28 (staff proposed 8% for water and wastewater in 2027–28 and 7% for storm and flood in later years) to sustain reinvestment.

Why it matters: Boulder’s utilities manage billions of dollars in buried and above‑ground assets. Staff said current annual reinvestment has…