Broomfield staff outline utility funding needs; AECOM recommends $6M (water) and $9M (sewer/stormwater) annually

BROOMFIELD, Colo. — City and County of Broomfield finance and utilities staff and consultants told the city council at a study session that enterprise utility funds are structurally improved but will need sustained capital investment to reduce backlog and protect service reliability.

At the July study session, Graham Clark, Broomfield’s finance director, and Ken Rutt, director of water utilities, summarized 2024–25 usage and revenue patterns, emergency preparedness and major capital programs. Consultants from AECOM presented a multi‑factor asset‑management analysis that recommended funding replacement of existing water assets at roughly $6 million per year and sewer/stormwater at about $9 million per year to achieve and sustain a state of good repair.

The recommendation matters because the city is balancing near‑term rate adjustments and long‑term capital needs. AECOM’s risk‑informed model showed that higher annual funding reduces the backlog of assets beyond useful life, improves condition and lowers failure risk; lower funding scenarios allow backlog to grow and reliability to decline.

Clark said water use in 2024 was near historic highs but 2025 consumption fell through June by about 12% year over year, largely driven by heavy rainfall in June, which reduces usage revenue. Clark described the municipal Utility Relief Assistance Fund (URAF) as having processed more than 1,600 applications with over 1,300 approved; staff estimates total URAF assistance and personnel costs will be in the $400,000–$600,000 range by the end of the year and anticipates more applications before the Sept. 30 deadline. “We anticipate more applications before the deadline of September thirtieth of this year,” Clark said.

On capital finance, Clark said the city plans to issue two enterprise bonds and has begun documentation; staff and bond counsel believe…