State Agencies Supporting Water System Partnerships

Utah Department of Environmental Quality

State Policies and Programs Regarding Water System Partnerships

CAPACITY ASSESSMENTS FOR DWSRF FUNDING

Eligible systems for DWSRF funding must submit TMF self-assessments for review by the Capacity Development Program. The TMF assessment includes the following questions: “Does your long-term planning analysis of alternative strategies that might offer cost saving to customers, such as consolidation with other nearby systems or sharing of operations and management expenses with other nearby systems?” and “Is there a contingency for making emergency interconnections to neighboring systems, and do you know they will work if needed?” Those systems that lack capacity may still be eligible if the loan will address the non-compliance or the system agrees to undertake feasible and appropriate changes (e.g. restructuring).

STRICT CAPACITY DEVELOPMENT REQUIREMENTS FOR NEW SYSTEMS

The Division of Drinking Water receives inquiries from developers, landowners, and other entities about creation of new PWSs. In response, the Division promotes alternatives such as consolidation with or annexation by existing PWSs. According to a 2008 Triennial Capacity Development Report to the Governor, approximately 10-20 different entities make preliminary inquiries to the Division about creation of a PWS each year but never submit a proposal. In these cases, the Capacity Development Program can be credited for discouraging application follow-through by would-be water system operators with suspect business plans. Strict TMF requirements dissuade non-viable water system creation. In many cases, the projects move forward but the developers opt to consolidate with, or annex into, existing water systems.

PRIORITZING REGIONALIZATION THROUGH STATE FUNDS

The Utah State Revolving Fund (separate from the Federal DWSRF program) incentivizes regionalization by offering prioritization points under the Financial Considerations criteria for projects that create or enhance a regionalization plan. 

Helpful Links to State Resources

• Division of Drinking Water: https://deq.utah.gov/division-drinking-water
• State Revolving Fund: https://deq.utah.gov/drinking-water/state-revolving-fund-srf-drinking-water
• Federal Revolving Fund: https://deq.utah.gov/drinking-water/federal-state-revolving-fund-srf-program-drinking-water