Salt Lake City Fixes 64-Year-Old Water Fee Error After Billing Confusion

You are currently viewing Salt Lake City Fixes 64-Year-Old Water Fee Error After Billing Confusion

A small but long-overlooked detail in Salt Lake City’s utility billing system has caused a big stir. City officials are working to correct an error involving a fire line water fee that had remained unchanged since 1961, leading to confusion and complaints from customers when the rate was finally updated earlier this year.

The issue came to light after the Salt Lake City Department of Public Utilities increased the long-frozen rate for the first time in 64 years — only for staff to later discover that the update had been accidentally left off the official fee schedule. The omission sparked customer questions and billing disputes when new rates began appearing on utility bills in July.

Jacob Jorgensen, the department’s senior financial analyst, first identified the outdated fee during a rate study. “It is a substantial cost on our system because we have to upsize pipes, add pump stations, and increase capacity to provide fire suppression,” he said.

The original charge — $1 per inch of fire line diameter — had remained unchanged since the Kennedy administration. Adjusted for inflation, that’s the equivalent of nearly $11 per inch today. The city had unknowingly been absorbing the extra cost through other revenue sources, including residential customers without fire lines.

Under the new structure, connection fees vary by location and pipe size. Inside city limits, monthly charges start at $1.68 for the smallest line, while larger county-based connections can reach $286.20 per month.

How the Error Happened

The fee adjustment was properly approved during this year’s budget process, but a clerical oversight led to the updated rates being omitted from the published schedule. Public Utilities Director Laura Briefer said one customer’s inquiry revealed the mistake. “That individual helped us realize the consolidated fee schedule was incorrect,” she said.

City officials say the confusion snowballed when HOA groups and commercial property owners saw steep rate increases without clear documentation explaining the change. Councilman Dan Dugan acknowledged the frustration: “Yes, it’s been $1 an inch for 64 years. There’s a time we need to increase it — but it’s a big jump for a lot of people.”

Balancing Rising Costs and Affordability

The City Council is now considering a measure to formally define the fire line fee structure and reinsert it into the city’s utility documents. If not approved, officials warn that Salt Lake City would have to revert to the old $1-per-inch rate, creating an estimated $740,000 budget shortfall for the department.

Council members voiced broader concerns about transparency and cost burden on residents. Councilwoman Sarah Young noted that communication about rising utility expenses “still isn’t hitting the mark.” Meanwhile, Councilwoman Victoria Petro stressed that “pushing costs down the road only worsens the city’s financial strain.”

The Council has requested that the utilities department explore grant options or phased increases to reduce the immediate impact on customers. However, Briefer cautioned that reversing or delaying the adjustment could jeopardize funding for essential infrastructure projects, including a new water treatment plant.

The issue is expected to be revisited during the City Council’s October 21 meeting, where members will decide how to permanently fix the fee oversight and prevent similar confusion in the future.

Leave a Reply