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Casper staff say water, sewer and landfill funds remain solvent while planning major capital work
Summary
City officials told the council enterprise funds are generally healthy but will require rate, loan and grant decisions in the coming year to support projects including a reservoir replacement, water main replacements and future landfill cell work.
City staff presented a set of pro forma forecasts for the city’s enterprise funds and told the council water, sewer and landfill operations are in a manageable financial position but face large capital needs.
The nut graf: staff said the water fund retains a solid cash balance and staff seek state loan assistance for a reservoir replacement; the sewer enterprise will pursue grants and will face a large North Platte interceptor project; and the landfill/bill fill fund is building cash for phased cell closures and future openings.
On water, staff reminded council the city purchases a large portion of treated water from Regional Water and that the city is pursuing a roughly $17,000,000 reservoir replacement that would be supported in part by a $5,600,000 Water Development Commission grant. Tom said the city also wants to accelerate replacement of aging metallic mains: "We want to replace, hopefully, $3,000,000 of that pipe a year." Carter and staff discussed whether 1¢ dollars should continue to be used to support enterprise capital and noted that such choices will be central when voters consider renewal questions in future years.
On sewer, staff showed a pro forma for the collection system and the regional wastewater treatment plant. The regional plant operates on a cost‑share model; staff explained the plant bills partner communities on a proportionate basis and said Casper carries the largest share. The plant is pursuing funding for headworks improvements — including screw pumps — and staff estimate roughly $15,000,000 for that phase if financing and grants align.
On refuse and the landfill, staff said the bill‑fill fund has been rebuilding balances after prior deficits and that the fund expects to have an unobligated fund balance of roughly $3,600,000 by year‑end, which staff said positions the city to pursue phased cell construction and retirement. Councilors asked about the cost of the next cell; staff estimated approximately $67,000,000 in the 2031 timeframe (inflation adjusted), noting phased timing and waste‑diversion impacts will affect the schedule and price.
Staff also cautioned that federal SRF (drinking and clean water) programs are in flux and that WIFIA loans now carry higher market rates; staff urged the council to consider low‑rate state loan options while they remain available.
Tom and Carter said staff will return this fall with rate‑setting scenarios that show how choices about grants, loans, 1¢ allocations and capital timing would affect reserves and rate trajectories.
