Provo council adopts 6% water rate increase to fund pipe replacements and CIP

Council members voted to adopt a 6% water-rate increase after staff from Public Works and finance outlined the city's water-system condition, national comparisons of pipe age and break rates, and a prioritized list of high-risk replacement projects. Staff emphasized that predictable, steady rate adjustments are critical to close a long-term replacement and maintenance deficit.

In the staff presentation, the water division described its pipe-material portfolio (a high proportion of ductile iron) and explained why gradual, predictable increases are preferred to one-time large hikes that would make planning and procurement difficult. Staff presented a multi-year CIP plan and a targeted three-year list of the highest-risk projects, and recommended the 6% increase be included in the FY27 budget to allow the finance team and public-works staff to align capital spending with the revenue schedule.

A motion to adopt the 6% rate was moved and seconded during the meeting. Council members voted in favor during a roll-call and the motion passed at the work session; staff asked that the adopted rate be carried into the budget process so CIP adjustments can be reflected in time for the June budget hearings.

The vote at the work meeting adopted the rate increase for inclusion in the FY27 budget; council members asked staff to continue producing project-level reporting linking the new revenue to specific replacements and risk reductions.