UtahH.B. 2852025 General SessionHouse

Water Infrastructure Modifications

Sponsored By: Casey Snider (Republican)

Signed by Governor

Natural ResourcesAdministrative Rulemaking and ProceduresDrinking WaterWaterNew Rulemaking Authority

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 0 benefits, 2 costs, 5 mixed.

Water systems must fund repair reserves

By July 1, 2028, public water systems must adopt a reserve funding plan to receive state or federal financing or grants. Plans must cover asset condition, useful life, replacement costs, reserve contributions, and how reserves relate to water rates. Funding strategies may include long-term financing but cannot rely on grants to fund reserves. Systems must update plans every five years and collect money according to their recommendations. The Drinking Water Board sets compliance checks and administrative penalties for violations.

Water systems need plans for funding

Water conservancy districts must commit to adopting an asset-management plan to get state or federal funding for water infrastructure improvements. The Board of Water Resources sets the plan requirements. Qualified water conservancy districts follow a separate law instead. Other public water systems must adopt an asset-management plan by July 1, 2028, to receive state or federal financing or grants. The Drinking Water Board sets those systems' plan requirements.

Utah links water project funding accounts

The law allows transfers both ways between the Water Infrastructure Fund and the Conservation and Development Fund. Drinking-water and wastewater loan accounts can receive infrastructure fund money, and their boards can direct transfers back. These accounts, the two funds, and other covered agency accounts count as water infrastructure money. Federal limits exclude restricted money in other agency accounts, subject to a state-law exception.

Utah pools excess water loan balances

Starting at the close of fiscal year 2027, Utah must transfer specified excess balances to the Water Infrastructure Fund annually. Drinking-water and wastewater loan accounts keep money needed for loans authorized in the previous fiscal year. The Conservation and Development Fund calculation also accounts for a required allocation and previously authorized loans or grants. These transfers support statewide project funding while reducing balances kept in the source accounts.

Utah ranks water projects for funding

Beginning in fiscal year 2027, a state council sets a shared process for water project applications, agency rankings, and funding priorities. Rankings consider hardship, public health, conservation, project design, local planning, and available federal matching money. The Water Infrastructure Fund provides money through covered agencies, with transfers to accounts that pay for prioritized projects. Emergency projects and small projects below a council-set funding threshold are excluded from this ranking process. Before fiscal year 2027, agencies continue ranking projects within their areas.

Utah replaces city water loan funding

Effective May 7, 2025, the law repeals the Cities Water Loan Fund, including its annual funding and interest rules. The Board of Water Resources can instead use the Conservation and Development Fund to back financing and lower interest costs. Repayments under the water-systems loan program return to that fund for more local water loans. The Water Infrastructure Fund receives repayments from the former city fund only for loans issued before May 7, 2025.

Water funding recipients need reserve studies

Recipients of covered water infrastructure loans or grants must study repair and replacement needs, useful lives, costs, and yearly reserve contributions. Loan recipients must also plan repayment and update the study every five years until the loan is repaid. Recipients must follow asset-management rules for their system or project type. Agencies may offer money or technical help to applicants seeking state or federal funding who show a need. These requirements exclude the Water Resources Construction Fund and Water Infrastructure Restricted Account.

Sponsors & Cosponsors

Sponsor

  • Casey Snider

    Republican • House

Cosponsors

  • Scott D. Sandall

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 217 • No: 0

House vote • 2/28/2025

House/ concurs with Senate amendment

Yes: 65 • No: 0

Senate vote • 2/27/2025

Senate/ passed 3rd reading

Yes: 28 • No: 0

Senate vote • 2/26/2025

Senate/ passed 2nd reading

Yes: 25 • No: 0

Senate vote • 2/26/2025

Senate/ uncircled

Yes: 0 • No: 0

Senate vote • 2/20/2025

Senate/ circled

Yes: 0 • No: 0

Senate vote • 2/18/2025

Senate Comm - Favorable Recommendation

Yes: 4 • No: 0

Senate vote • 2/18/2025

Senate Comm - Substitute Recommendation

Yes: 4 • No: 0

House vote • 2/11/2025

House/ passed 3rd reading

Yes: 71 • No: 0

House vote • 2/3/2025

House Comm - Amendment Recommendation

Yes: 10 • No: 0

House vote • 2/3/2025

House Comm - Favorable Recommendation

Yes: 10 • No: 0

Senate vote • Unknown

Senate/ circled

Yes: 0 • No: 0

Senate vote • Unknown

Senate/ uncircled

Yes: 0 • No: 0

Actions Timeline

  1. Governor Signed

    3/24/2025
  2. House/ to Governor

    3/12/2025House
  3. House/ received enrolled bill from Printing

    3/12/2025House
  4. House/ enrolled bill to Printing

    3/7/2025House
  5. Enrolled Bill Returned to House or Senate

    3/7/2025
  6. Draft of Enrolled Bill Prepared

    3/5/2025
  7. Bill Received from House for Enrolling

    3/5/2025
  8. House/ signed by Speaker/ sent for enrolling

    3/3/2025House
  9. House/ received from Senate

    3/3/2025House
  10. Senate/ to House

    2/28/2025Senate
  11. Senate/ signed by President/ returned to House

    2/28/2025Senate
  12. Senate/ received from House

    2/28/2025Senate
  13. House/ to Senate

    2/28/2025House
  14. House/ concurs with Senate amendment

    2/28/2025House
  15. House/ placed on Concurrence Calendar

    2/27/2025House
  16. House/ received from Senate

    2/27/2025House
  17. Senate/ to House with amendments

    2/27/2025Senate
  18. Senate/ passed 3rd reading

    2/27/2025Senate
  19. Senate/ 3rd reading

    2/27/2025Senate
  20. Senate/ passed 2nd reading

    2/26/2025Senate
  21. Senate/ uncircled

    2/26/2025Senate
  22. Senate/ circled

    2/20/2025Senate
  23. Senate/ 2nd reading

    2/20/2025Senate
  24. Senate/ placed on 2nd Reading Calendar

    2/19/2025Senate
  25. Senate/ comm rpt/ substituted

    2/19/2025Senate

Bill Text

  • Enrolled

    3/7/2025

  • Substitute #1

    2/18/2025

  • Amended 2/4/2025 10:02:247

    2/4/2025

  • Introduced

    1/20/2025

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