DWQ-2024-007410

195 North 1460 West • Salt Lake City, UT Mailing Address: P.O. Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone] www.deq.utah.gov Printed on 100% recycled paper
State of Utah

Department of
Environmental Quality

Kimberly D. Shelley Executive Director
DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board James Webb, Chair Michelle Kaufusi, Vice Chair Robert Fehr Michela Harris Joseph Havasi Trevor Heaton Jill Jones Kimberly D. Shelley John K. Mackey SPENCER J. COX Governor DEIDRE HENDERSON Lieutenant Governor
M E M O R A N D U M TO: Utah Water Quality Board
THROUGH: John K. Mackey, P.E.
FROM: Engineering Section
DATE: October 23, 2024
SUBJECT: Water Quality Board Meeting – FY 2025 Funding Request Staff
Recommendations BACKGROUND (Ken Hoffman P.E.)
Due to limited fund balances the Water Quality Board (Board) has moved from bringing projects
in on a first come first serve basis, to reviewing projects in batches. Applications over the past few years have exceeded available fund balances necessitating the need for the Finance Committee to meet and discuss funding options with staff. During that meeting staff met with the committee to discuss available funding balances and help form staff recommendations that utilize the available funds in a way to best support the priorities of the Board.
Over the past two years congressionally directed spending has utilized a portion of the base capitalization grant and directed it to projects outside of the State Revolving Fund (SRF) program. Due to uncertainty that this causes, Staff no longer projects future fiscal year funds coming from the base capitalization grant until we receive notification on the actual amount that we are going
to receive. PROJECTS FOR WATER QUALITY BOARD CONSIDERATION In June 2024, the Board received applications with funding requests over $101 million. Staff
prepared a brief summary of each project that is provided in Enclosure 1 and a cost model for each
project that were reviewed with the Finance Committee. Cost models are provided in Attachments 1 through 6. Feasibility Reports from the August 2024 Board meeting are provided in Attachment 7.

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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests
Table 1, below, shows a summary of the Funding Requests. Historically, when the Board funds
Planning, Engineering, or Construction Management services it is done from the Utah Wastewater Loan Fund or Hardship Grant Fund due to Federal Architectural and Engineering procurement requirements. Table 1: Summary of Project Requests

Entity Planning, Engineering, &
CMS
Construction &
Other Costs
Total Project
Cost
Total Requested
Funding
Beaver City* $965,000 $6,572,000 $7,537,000 $7,037,000
North Fork SSD $1,500,000 $10,141,000 $11,641,000 $3,551,000
Corrine City $1,431,000 $5,911,000 $7,342,900 $7,342,900
Grantsville City $3,216,000 $31,417,000 $34,633,000 $34,633,000
Provo City $368,000 $50,162,000 $50,530,000 $50,530,000 * Beaver City was fully funded by CIB. INTEREST RATE STARTING POINT
Table 2 provides how interest rate recommendations were determined for each project.
Recommended discounts are given in similar tables for individual projects. Consideration begins with the 20-year market rate of 4.00% based on the September 16, 2023 Daily Treasury Yield Curve1 of 4.01% rounded to the nearest 1/4%.
Table 2-Interest Rate Factors
Market Rate (20-year basis) 4.00%
Discount Factors: Maximum Discount Recommended Discount
SRF Non-Equivalency Requirements 0.50% calculated
SRF Equivalency Requirements 1.00% calculated
Rural/Disadvantaged Community* 1.00% calculated
Fiscal Sustainability Credit 0.25% calculated
Existing Asset Management Plan 0.25% calculated
Green Project Reserve 0.50% calculated
Regionalization 0.25% calculated
Economic Hardship** 4.00% calculated
Recommended Interest Rate calculated
*Staff has historically interpreted this to only apply to projects that serve existing primary residences and not for development.
** Staff has historically interpreted this rate reduction for economic hardship based on the
Financial Burden Indicator. Staff has estimated a rate reduction of 0%-50% for Low burden, 0%-
75% for Medium burden, and 0%-100% for High burden.
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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests

ENCLOSURE 1- PROJECT SUMMARY AND STAFF COMMENTS
BEAVER CITY (Ken Hoffman P.E. & Skyler Davies P.E.)
Beaver City requested funding from the Water Quality Board as a backup to funding requested from the Permanent Community Impact Board (CIB). Beaver City was able to receive full funding
from CIB and Beaver City has therefore withdrew their request to the Water Quality Board.
NORTH FORK SPECIAL SERVICE DISTRICT (SSD) (George Meados)
North Fork SSD is requesting funding in the amount of $3,551,000 to increase the capacity of the current facility to meet permit requirements. The existing facility capacity is insufficient to meet
the current community demands, specifically higher levels of fat, oil, and grease and biochemical
oxygen demand are limiting the plant’s capacity and its ability to meet permit limits. North Fork SSD has received funding from the Utah Lake Preservation Fund American Rescue Plan Act (ARPA) Grant Program along with funding from the Governor’s Office of Economic Opportunity and Governor’s Local Matching ARPA Grant Program. Funding provided by the Board would
close the gap of necessary funding for this project as bids have been received.
This project will increase the capacity of the current facility, which will result in the facility meeting permit requirements. Staff is supportive of this project. The applicant was advised of Clean Water State Revolving Fund (CWSRF) program requirements. The project was bid summer 2024 without CWSRF program requirements. Thus, the Board’s only option is to fund this project
is with balances from the Utah Wastewater Loan Fund or Hardship Grant Fund. Staff is supportive of this project as a loan from the Board as it would close the funding gap to complete the project. Updated funding alternatives that include various mixtures of loan rates are provided in Attachment 1. Based on the Financial Burden Evaluation Policy for the Utah Wastewater Project
Assistance Program, the community has a Financial Burden of: Low. The Rural/Disadvantaged community discount of 0.5% is recommended as Sundance is a rural small community. The recommended interest rate is calculated in the table below. The projected sewer user rate of $109.97 per month per ERU.
Market Rate (20-year basis) 4.00%
Discount Factors: Maximum Discount Recommended Discount
SRF Non-Equivalency Requirements 0.50% 0.00%
SRF Equivalency Requirements 1.00% 0.00%
Rural/Disadvantaged Community 1.00% 0.50%
Fiscal Sustainability Credit 0.25% 0.00%
Existing Asset Management Plan 0.25% 0.00%
Green Project Reserve 0.50% 0.00%
Regionalization 0.25% 0.00%
Economic Hardship (Low) 4.00% 0.00%
Recommended Interest Rate 3.5%

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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests

CORRINE CITY (Ken Hoffman P.E. and Beth Wondimu P.E.)
Corinne City is requesting financial assistance for $7,342,900 for collection and treatment system improvements. The total cost of the project is $7,342,900. Corrine City owns collection and treatment systems and both require improvements. The collection system project will replace sewer lines and associated manholes and reconnect service laterals. Corrine City also proposes
installing new lift station pumps and replacing the force main. Corrine City is also in the process
of applying for construction assistance and is working on securing project construction funding through the U.S. Department of Agriculture - Rural Development (USDA-RD). According to the Board’s affordability criteria, a sewer user rate should exceed 1.4% of MAGI to be considered for grant funds. Corrine City’s 2021 MAGI is $50,700 which means rates should exceed $59.15 per
month/ ERU for grant consideration. Currently, the monthly sewer rate is $78.
Updated funding alternatives that include various mixtures of loan rates are provided in Attachment 2. Staff is supportive of this project and anticipates for the project to be affordable funding will need to include some principal forgiveness and loan funds. Further principal forgiveness funding is extremely impactful as $1 million in principal forgiveness funding results
in a sewer user rate reduction of $15.49 per month per ERU. Based on the Financial Burden
Evaluation Policy for the Utah Wastewater Project Assistance Program, the community has a Financial Burden of: High or Medium.
The SRF Programmatic Costs discount was applied at 0.5%. A 1.0% discount for Equivalency requirements is included as the project will likely be bid with these requirements due to USDA-
RD funding. The Rural/Disadvantaged community discount of 0.5% was applied as Corrine City
is a rural small community that is not experiencing substantial growth. Finally, a economic hardship reduction of 1.50% was applied due the financial burden rating of high. The suggested interest rate is calculated in the table below. The projected sewer user rate of $78.43 per month per ERU. As a result of the recommended funding package, the Financial Burden would be Medium.

Market Rate (20-year basis) 4.00%
Discount Factors: Maximum Discount Recommended Discount
SRF Non-Equivalency Requirements 0.50% 0.50%
SRF Equivalency Requirements 1.00% 1.00%
Rural/Disadvantaged Community 1.00% 0.50%
Fiscal Sustainability Credit 0.25% 0.00%
Existing Asset Management Plan 0.25% 0.00%
Green Project Reserve 0.50% 0.00%
Regionalization 0.25% 0.00%
Economic Hardship (High/Medium) 4.00% 1.50%
Recommended Interest Rate 0.50%

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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests

GRANTSVILLE CITY (Glen Lischeske P.E.)
Grantsville City (Grantsville) is requesting funding from the Board in the amount of $34,230,000 for the construction of a new fine bubble diffuser biological nutrient removal (BNR) treatment facility with tertiary filtration and disinfection.

In 2022, Grantsville conducted a wastewater treatment plant (WWTP) Study to evaluate options for upgrading and expanding their WWTP. Grantsville’s existing WWTP was determined to be at 95% capacity, with significant upgrades required to meet increasing demand and more stringent effluent nutrient requirements. An alternatives analysis was performed for possible upgrades to or
replacement of the existing treatment facility, and the preferred alternative was the construction of
a new BNR activated sludge treatment facility with tertiary filtration. In April 2023, Grantsville was awarded a $1,000,000 loan for the design of the new facility. The project will include the construction of a new 3 MGD (average daily flow), 7 MGD (peak
hourly flow) WWTP on city-owned property near the existing treatment facility. Facilities will
include a new headworks building, anaerobic basins, anoxic basins, fine bubble diffuser aeration basins, blower equipment building, secondary clarifiers, and tertiary equipment to meet Type I reuse requirements.
Division staff is supportive of Grantsville’s efforts to increase the capacity of their facility to meet
anticipated demand due to growth, as well as updating their treatment facility to meet phosphorus effluent requirements. The construction of this treatment facility should meet both of those goals. Grantsville has performed a sewer rate study which, when implemented, will aid in repaying construction funding for this project. Since Grantsville is over 10,000 in population and not in a
producing county, Grantsville currently does not qualify for funding from USDA-RD or CIB. It is
anticipated that the Board is the primary source of funding outside of the private market. Updated funding alternatives that include various mixtures of loan rates are provided in Attachment 3. Based on the Financial Burden Evaluation Policy for the Utah Wastewater Project
Assistance Program, the community has a Financial Burden of: Low or Medium.
Based on the cost model, depending on the interest rate and term length provided, sewer cost may exceed 1.4% of MAGI and qualify for principal forgiveness. In lieu of principal forgiveness, staff recommends that Grantsville is considered for a lower interest rate, as well as the option for up to
a 30-year loan if the Grantsville can provide a useful life analysis that demonstrates the viability
of this option. Note that if a 30-year loan is approved, the interest rate may exceed the recommended interest rate with adjustments to match the 30-year market rate. The SRF Programmatic Costs discount was applied as they are going through the SRF Program to
receive the loan, and it is anticipated that they will be an equivalency project. The
Rural/Disadvantaged community discount was applied as they are a small community experiencing significant growth. The Fiscal Sustainability Credit was applied as they have conducted a Sewer Rate Study and have approved changes to their fee schedules in anticipation of the project. A reduction of 0.5% was applied as the projects included filtration for the production
of Type I treated effluent will fulfill the EPA’s grant requirement for Green Project Reserve. The
suggested interest rate is calculated in the table below.
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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests

The projected sewer user rate of $51.81 per month per ERU. As a result of the recommended
funding package the Financial Burden would be Low.

Market Rate (20-year basis) 4.00%
Discount Factors: Maximum Discount Recommended Discount
SRF Non-Equivalency Requirements 0.50% 0.50%
SRF Equivalency Requirements 1.00% 1.00%
Rural/Disadvantaged Community 1.00% 0.50%
Fiscal Sustainability Credit 0.25% 0.25%
Existing Asset Management Plan 0.25% 0.00%
Green Project Reserve 0.50% 0.50%
Regionalization 0.25% 0.00%
Economic Hardship (Medium/Low) 4.00% 0.50%
Recommended Interest Rate 0.75%
PROVO CITY (George Meados)

Provo City (Provo) is requesting funding from the Board in the amount of $50,530,000 to construct a third bioreactor to expand the plants treatment capacity, construct a new collections building to
store large equipment, construct an expanded administration building with a lab and maintenance
shop, and to address aging infrastructure and equipment. A breakdown of these items is in the table below (the costs include engineering and construction administration). Provo currently discharges treated effluent to Mill Race Creek which flows to Provo Bay in Utah Lake. Mill Race Creek is listed as Category 5 (not supporting) on the 2024 Integrated Report for E. coli and Benthic Macroinvertebrates Bioassessments. Provo Bay is listed in the 2024 Integrated Report as Category
5 (not supporting) for Eutrophication, Harmful Algal Blooms, pH, PCBs in Fish Tissue, Total Ammonia (as N), and Total Phosphorus. The improvement in effluent water quality discharged from this project will significantly improve the water quality discharged from the reclamation facility and have a positive impact on the quality of the water in Provo Bay and Utah Lake.

Project Cost
Third Bioreactor $26,750,000
New Collections Building/Lab & Maintenance Shop $2,230,000
Expanded Administration Building $5.540,000
Address Aging Infrastructure and Equipment $15,440,000

Major upgrades to replace the current treatment plant are underway. Most of the upgrades identified in this 2024 application were part of the original project but removed from the design due to costs. These additions will extend the capacity and life of the assets that are currently under construction. The additional work from this project would bring project estimates to $169,400,000 including the current project funding of $92,800,000 from the Board.
Division Staff is supportive of funding some of this project as a loan from the Board and Principal
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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests

Forgiveness. This project, upon completion, will greatly help protect water quality in a very
sensitive area. Provo has indicated that they are willing to take any amount of loan that is feasible for the Board.
Updated funding alternatives that include various mixtures of loan rates are provided in Attachment 4. Based on the Financial Burden Evaluation Policy for the Utah Wastewater Project
Assistance Program, the community has a Financial Burden of: Medium.
The SRF Programmatic Costs discount was applied as they are going through the SRF Program to receive the loan, and it is anticipated that they will be a non-equivalency project. A reduction of 0.5% was applied as the project’s membranes will produce of Type I treated effluent which could
be used fulfill the EPA’s grant requirement for Green Project Reserve. An economic hardship
reduction of 1.0% was applied due the financial burden rating of medium. Finally, in the past Provo has requested their bond be taxable. Historically, the CWSRF program has issued tax exempt bonds; recently some applicants have requested taxable bonds. Overall, a taxable bond has no cost to the Board so the primary item to consider with a taxable bond is setting an appropriate market
rate. Staff believes taxable bonds typically have interest rates 1%-2% higher than tax exempt
bonds. Thus, staff have applied a 1.0% increase. Staff has advised Provo of this issue and are expected to respond at the time of the Board meeting if they prefer a taxable or tax except bond. The suggested interest rate is calculated in the table below. The projected sewer user rate of approximately $47.90 per month per ERU.

Market Rate (20-year basis) 4.00%
Discount Factors: Maximum Discount Recommended Discount
SRF Non-Equivalency Requirements 0.50% 0.50%
SRF Equivalency Requirements 1.00% 0.00%
Rural/Disadvantaged Community 1.00% 0.00%
Fiscal Sustainability Credit 0.25% 0.25%
Existing Asset Management Plan 0.25% 0.25%
Green Project Reserve 0.50% 0.50%
Regionalization 0.25% 0.00%
Economic Hardship (Medium) 4.00% 1.00%
Taxable Bond Rate Increase -1.00% -1.00%
Recommended Interest Rate 2.50%
STAFF RECOMMENDED FUNDING AMOUNTS FOR PROJECTS
Staff recommendations for funding all of the above projects are outlined in the table below. These recommendations have a total commitment of $31,051,000. The table below notes the funding sources including: Clean Water State Revolving Funds (CWSRF), Utah Wastewater Loan Fund (UWLF), Principal Forgiveness (PF), and Hardship Grant Fund (HGF) are all listed below.

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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests

Summary of Funding Amount Recommendations
Entity CWSRF PF UWLF HGF
Beaver City $0 $0 $0 $0
North Fork SSD $0 $0 $3,551,000 $0
Corrine City $500,000 $4,000,000 $0 $0
Grantsville City $16,000,000 $0 $0 $0
Provo City $4,500,000 $2,500,000 $0 $0
BEAVER CITY
As Beaver City has withdrawn their application Staff does not recommend the Board authorize
funding at this time.
NORTH FORK SSD
Staff recommends the Water Quality Board authorize funding in the amount of $3,551,000 as a loan at an interest rate of 3.5% repayable over 20 years to North Fork Special Service District (NFSSD) under the following special conditions:
1. NFSSD must pursue and retain remaining funding necessary to fully implement the project.
2. NFSSD must agree to participate annually in the Municipal Wastewater Planning Program
(MWPP).
3. As part of the facility planning, NFSSD must complete a Water Conservation and Management Plan.
4. NFSSD must develop, commit to adopt, and implement a capital asset management plan
that is consistent with Utah Administrative Code R317.
CORRINE CITY
Staff recommends the Water Quality Board authorize funding in the amount of $4,000,000 as principal forgiveness and $500,000 loan at an interest rate of 0.5% repayable over up to 30 years to Corrine City (Corrine) under the following special conditions:
1. Corrine’s design engineer must provide a useful life evaluation of the project. The term of
the loan can be set up to the useful life of the project but not to exceed 30 years.
2. Corrine must pursue and retain remaining funding necessary to fully implement the project.
3. Corrine must agree to participate annually in the Municipal Wastewater Planning Program (MWPP).
4. As part of the facility planning, Corrine must complete a Water Conservation and
Management Plan.
5. Corrine must develop, commit to adopt, and implement a capital asset management plan that is consistent with Utah Administrative Code R317.
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October 23, 2024 - Water Quality Board Meeting
FY 2025 Funding Requests

GRANTSVILLE CITY
Staff recommends the Water Quality Board authorize funding in the amount of $16,000,000 as loan at an interest rate of 0.75% repayable over up to 30 years to Grantsville City (Gransville) under the following special conditions:
1. Grantsville’s engineer must provide a useful life evaluation of the project. The term of the
loan can be set up to the useful life of the project but not to exceed 30 years.
2. Grantsville must pursue and retain remaining funding necessary to fully implement the project.
3. Grantsville must agree to participate annually in the Municipal Wastewater Planning Program (MWPP).
4. As part of the facility planning, Grantsville must complete a Water Conservation and
Management Plan.
5. Grantsville must develop, commit to adopt, and implement a capital asset management plan that is consistent with Utah Administrative Code R317.
PROVO CITY
Staff recommends the Water Quality Board authorize funding in the amount of $2,500,000 as principal forgiveness and $4,500,000 loan at an interest rate of 2.50% repayable over 20 years to Provo City for the construction of the third bioreactor under the following special conditions:
1. Provo must pursue and retain remaining funding necessary to fully implement the project.
2. Provo must agree to participate annually in the Municipal Wastewater Planning Program (MWPP).
3. As part of the facility planning, Provo must complete a Water Conservation and Management Plan.
4. Provo must develop, commit to adopt, and implement a capital asset management plan that
is consistent with Utah Administrative Code R317.
5. This loan may be issued as a taxable bond. NEXT FUNDING APPLICATION PROCESS

Staff anticipate the Board will authorize all available balances for FY25 during the October 2025 Board meeting. Currently, staff is scheduled to accept applications December 31, 2024. However, assuming all funds are authorized, staff suggests the next regular construction funding application date be set for June 30, 2025. Applications will continue to be accepted at any time for emergency construction projects, planning advances, and design advances.
DWQ-2024-006996
Attachments
October 23, 2023 - Water Quality Board Meeting FY 2025 Funding Requests

ATTACHMENT 1- North Fork Cost Model

Project Costs Current Customer Base & User Charges
Legal/Bonding 30,000$ Initial Total Customer (ERU's)665
Loan Origination Fee 36,000$
Engineering - Other 250,000$ MAGI for NFSSD (2021): $146,250
Engineering - Planning 175,000$ Affordable Monthly Rate at 1.4%$170.63
Engineering - Design 675,000$ Impact Fee (per ERU):$0
Engineering - CMS 400,000$ Current Monthly Fee (per ERU)$86.00
Subsurface Discharge Expansion 1,000,000$ Debt Service last Payment Jan 1, 2028 $215,000Wastewater Treatment Plant 8,250,000$ Debt Service as of Jan 1, 2029 -$
Contingency (10%)825,000$ Annual O&M expense $565,269
Total Project Cost:11,641,000$
Project Funding Funding Conditions
Local Contribution 90,000$ Loan Repayment Term:20
UT Governor's Office of Economic Opportunity Grant 1,000,000$ Reserve Funding Period:6
ARPA - GOPB Local Match Grant 4,000,000$
ARPA - DEQ Utah Lake Preservation Fund Grant 3,000,000$
Amount to be Funded 3,551,000$
Total Project Cost:11,641,000$
ESTIMATED COST OF SEWER SERVICE (assuming first principal payment January 1, 2029)
- 0 3,551,000 3.30%4.50%0 0 272,987 565,269 -$ 838,256 105.04 0.86%LOW
- 3,551,000 0 3.50%4.50%249,852 62,463 0 565,269 -$ 877,584 109.97 0.90%LOW- 3,551,000 0 3.00%4.50%238,683 59,671 0 565,269 -$ 863,623 108.22 0.89%LOW
- 3,551,000 0 2.50%4.50%227,786 56,947 0 565,269 -$ 850,002 106.52 0.87%LOW
- 3,551,000 0 2.00%4.50%217,168 54,292 0 565,269 -$ 836,728 104.85 0.86%LOW
- 3,551,000 0 1.50%4.50%206,831 51,708 0 565,269 -$ 823,807 103.23 0.85%LOW
- 3,551,000 0 1.00%4.50%196,780 49,195 0 565,269 -$ 811,244 101.66 0.83%LOW
- 3,551,000 0 0.50%4.50%187,019 46,755 0 565,269 -$ 799,042 100.13 0.82%LOW
*Staff Estimate
Local Value State Value Score Weighting Factor Weighting
Score Table **
0.0%3.3%1.00 4 4.00 S2301 FNI Below 1.4%1.4% to 1.75%1.75% to 2.1%2.1% to 2.45 Above 2.45
14.9%9.0%2.18 2.5 5.45 S1701 Below 1.5 Low Low Medium Medium High
74,500$ 41,337$ 1.00 2.5 2.50 B19080 1.5 to 2.5 Low Medium Medium High High
68.0%2.1%1.00 1 1.00 B01003 Above 2.5 Medium Medium High High High
Financial Need Indicator (Sum of weighted Scores/10)1.30
2022 5 year ACS Table ** https://data.census.gov/cedsci/
Monthly Sewer Cost/
ERU
Sewer Cost as % of MAGI
Threshold LQI
Population Growth Rate
Unemployment Rate
Modified MAGI
Poverty Rate
Financial
Burden
Financial Burden MatrixFNI Calculation
WQB Loan Interest Rate Private Loan Interest Rate* Hardship Grant Funds WQB UWLF Loan Private Loan Amount WQB Loan Debt Service WQB Loan Reserve Annual Sewer Existing Debt Service Total Annual Sewer Cost Private Loan Debt Service
Attachments
October 23, 2023 - Water Quality Board Meeting FY 2025 Funding Requests

ATTACHMENT 2- Corrine City Cost Model

Project Cost
DWQ Loan Origination Fee & Legal $73,000 Current Customer Base & User Charges Permitting $30,000 Initial Total Customer (ERU's)328 Planning Advance DWQ $102,900 MAGI for Corinne City (2021): $50,700
Legal & Bonding $50,000 Affordable Monthly Rate at 1.4%$59.15
Engineering - Design & CMS $1,176,000 Impact Fee (per ERU):$15,200 Construction Lift Station $35,000 Current Monthly Fee (per ERU)$78.00
Collection System $4,756,000 Existing Debt $0 Force Main $347,000 Annual O&M $160,000
Contingency $773,000 Total Project Cost:$7,342,900 Funding Conditions
Loan Repayment Term:30
Project Funding Reserve Funding Period:10
Requested Funding $7,342,900 USDA-RD Funding Conditions
Corinna City Fund USDA-RD Interest Rate 3.250%
Total Project Cost:7,342,900$
ESTIMATED COST OF SEWER SERVICE
WQB Principal Forgiveness WQB Loan WQB Loan Interest Rate RD Grant RD Loan WQB Loan Debt Service
WQB Loan
Reserve
USDA Loan Debt
Service
Total Annual Sewer Cost Monthly Sewer Cost/ ERU
Sewer Cost as % of
MAGI
Financial Burden
- 7,342,900 3.30%0 0 389,302 58,395 0 607,697 154.39 3.65%High
1,000,000 6,342,900 3.30%0 0 336,285 50,443 0 546,727 138.90 3.29%High 2,000,000 5,342,900 3.30%0 0 283,267 42,490 0 485,757 123.41 2.92%High
3,000,000 4,342,900 3.30%0 0 230,250 34,537 0 424,787 107.92 2.55%Medium3,600,000 3,742,900 3.30%0 0 198,439 29,766 0 388,205 98.63 2.33%Medium
Cofunding WQB and USDA-RD- 0 0.00%1,468,580 5,874,320 0 0 330,636 490,636 124.65 2.95%High
2,000,000 500,000 0.00%968,580 3,874,320 16,667 2,500 218,066 397,232 100.92 2.39%High 3,000,000 500,000 0.00%768,580 3,074,320 16,667 2,500 173,038 352,205 89.48 2.12%High
4,000,000 500,000 0.00%568,580 2,274,320 16,667 2,500 128,010 307,177 78.04 1.85%Medium
4,000,000 500,000 0.50%568,580 2,274,320 17,989 2,698 128,010 308,698 78.43 1.86%Medium
Financial Need Indicator Table 1 Financial Burden MatrixIndicatorsLocal Value State Value Score Weighting Factor Weighted Score Modified MAGI
unemployment rate 2.7%3.3%1.70 4.00 6.80 FNI Below 1.4%1.4% to 1.75%1.75% to 2.1%2.1% to 2.45%Above 2.45%Poverty Rate 6.2%9.0%1.00 2.50 2.50 Below 1.5 Low Low Medium Medium High
Threshold LQI $37,125.00 $41,337.00 1.41 2.50 3.53 1.5 to 2.5 Low Medium Medium High HighPopulation Growth Rate 0.8%2.1%3.00 1.00 3.00 Above 2.5 Medium Medium High High HighFinancial Need Indicator (Sum of weighted Scores/10) 1.58
2022 5 year ACS Table **
Attachments
October 23, 2023 - Water Quality Board Meeting FY 2025 Funding Requests

ATTACHMENT 3 – Grantsville City Cost Model

Project Costs Current Customer Base & User Charges
Legal/Bonding 30,000$ Initial Total Customer (ERU's)4,516
DWQ Loan Origination Fee 340,000$ MAGI for Grantsville (2020): $50,000
Construction, Engineering, Contingency Costs 34,263,000$ Affordable Monthly Rate at 1.4%$58.33
Impact Fee (per ERU):$0
Total Project Cost:34,633,000$ Current Monthly Fee (per ERU)$30.00 avg monthly bill
Debt Service $210,715
Project Funding Annual O&M expense $417,392
Local Contribution -$
Amount to be Funded 34,633,000$ WQB Funding Conditions Private Funding Conditions
WQB Grant -$ Loan Repayment Term:Varies Loan Repayment Term:20
Total Project Cost:34,633,000$ Reserve Funding Period:6 Reserve Funding Period:NA
ESTIMATED COST OF SEWER SERVICE
WQB 20 year term loan
0 34,633,000 4.50%0 0 2,662,452 417,392 $210,715 3,290,559 60.72 1.46%MEDIUM
- 16,000,000 18,633,000 2.50%4.50%1,026,354 256,589 1,432,433 417,392 $210,715 3,343,483 61.70 1.48%MEDIUM
- 16,000,000 18,633,000 1.50%4.50%931,932 232,983 1,432,433 417,392 $210,715 3,225,455 59.52 1.43%MEDIUM
- 16,000,000 18,633,000 0.75%4.50%864,490 216,123 1,432,433 417,392 $210,715 3,141,153 57.96 1.39%LOW
WQB 25 year term loan
- 16,000,000 18,633,000 2.75%4.50%893,440 223,360 1,432,433 417,392 $210,715 3,177,340 58.63 1.41%MEDIUM- 16,000,000 18,633,000 2.00%4.50%819,527 204,882 1,432,433 417,392 $210,715 3,084,949 56.93 1.37%LOW
- 16,000,000 18,633,000 0.75%4.50%704,264 176,066 1,432,433 417,392 $210,715 2,940,870 54.27 1.30%LOW
WQB 30 year term loan
- 16,000,000 18,633,000 3.75%4.50%897,402 224,350 1,432,433 417,392 $210,715 3,182,293 58.72 1.41%MEDIUM
- 16,000,000 18,633,000 2.00%4.50%714,399 178,600 1,432,433 417,392 $210,715 2,953,539 54.50 1.31%LOW
- 16,000,000 18,633,000 0.75%4.50%597,571 149,393 1,432,433 417,392 $210,715 2,807,503 51.81 1.24%LOW
Local Value State Value Score Weighting
Factor
Weighting
Score Table **
4.5%3.3%2.60 4 10.40 S2301 FNI Below 1.4%1.4% to 1.75%1.75% to 2.1%2.1% to 2.45 Above 2.45
5.0%9.0%1.00 2.5 2.50 S1701 Below 1.5 Low Low Medium Medium High
47,762$ 41,337$ 1.00 2.5 2.50 B19080 1.5 to 2.5 Low Medium Medium High High
4.0%2.1%1.00 1 1.00 B01003 Above 2.5 Medium Medium High High High
Financial Need Indicator (Sum of weighted Scores/10)1.64
2020 5 year ACS Table ** https://data.census.gov/cedsci/
Monthly Sewer Cost/
ERU
Sewer Cost as % of
MAGI
Threshold LQI
Population Growth Rate
Unemployment Rate
Modified MAGI
Poverty Rate
Financial Burden MatrixFNI Calculation
WQB Loan
Interest Rate
Private Loan
Interest Rate*
Principal
Forgiveness WQB Loan Private Loan
Amount
Financial
Burden
WQB Loan
Debt Service
WQB Loan
Reserve
Annual
Sewer
Existing Debt
Service
Total Annual
Sewer Cost
Private Loan
Debt Service
Attachments
October 23, 2023 - Water Quality Board Meeting FY 2025 Funding Requests

ATTACHMENT 4 – Provo City Cost Model

Project Costs Current Customer Base & User Charges
Legal/Bonding 30,000$ Initial Total Customer (ERU's)33,424
DWQ Loan Origination Fee 500,000$ MAGI for Grantsville (2020): $34,500
Engineering 368,000$ Affordable Monthly Rate at 1.4%$40.25
Construction, Engineering, Contingency Costs 44,070,000$ Impact Fee (per ERU):$4,450
Contingency 5,562,000$ Current Monthly Fee (per ERU)$86.00 avg monthly bill
Total Project Cost:50,530,000$ Debt Service $6,286,652
Annual O&M expense $9,500,000
Project Funding
Local Contribution -$
Amount to be Funded 50,530,000$ WQB Funding Conditions Private Funding Conditions
-$ Loan Repayment Term:20 Loan Repayment Term:20
Total Project Cost:50,530,000$ Reserve Funding Period:6 Reserve Funding Period:NA
ESTIMATED COST OF SEWER SERVICE
- 0 50,530,000 3.50%0 0 3,555,345 9,500,000 $6,286,652 19,341,997 48.22 1.68%MEDIUM
- 4,500,000 46,030,000 2.50%3.50%288,662 72,166 3,238,720 9,500,000 $6,286,652 19,386,200 48.33 1.68%MEDIUM
1,000,000 4,500,000 45,030,000 2.50%3.50%288,662 72,166 3,168,359 9,500,000 $6,286,652 19,315,839 48.16 1.68%MEDIUM
2,000,000 4,500,000 44,030,000 2.50%3.50%288,662 72,166 3,097,998 9,500,000 $6,286,652 19,245,478 47.98 1.67%MEDIUM
2,500,000 4,500,000 43,530,000 2.50%3.50%288,662 72,166 3,062,818 9,500,000 $6,286,652 19,210,297 47.90 1.67%MEDIUM
2,500,000 4,500,000 43,530,000 2.00%3.50%275,205 68,801 3,062,818 9,500,000 $6,286,652 19,193,476 47.85 1.66%MEDIUM
2,500,000 4,500,000 43,530,000 1.50%3.50%262,106 65,526 3,062,818 9,500,000 $6,286,652 19,177,102 47.81 1.66%MEDIUM
2,500,000 4,500,000 43,530,000 1.00%3.50%249,369 62,342 3,062,818 9,500,000 $6,286,652 19,161,181 47.77 1.66%MEDIUM
Local Value State Value Score Weighting
Factor
Weighting
Score Table **
5.1%3.3%2.90 4 11.60 S2301 FNI Below 1.4%1.4% to 1.75%1.75% to 2.1%2.1% to 2.45 Above 2.45
21.0%9.0%3.00 2.5 7.50 S1701 Below 1.5 Low Low Medium Medium High
31,130$ 41,337$ 1.99 2.5 4.98 B19080 1.5 to 2.5 Low Medium Medium High High
-0.1%2.1%3.00 1 3.00 B01003 Above 2.5 Medium Medium High High High
Financial Need Indicator (Sum of weighted Scores/10)2.71
2023 5 year ACS Table ** https://data.census.gov/cedsci/
Financial Burden MatrixFNI Calculation
WQB Loan
Interest Rate
Private Loan
Interest Rate*
Principal
Forgiveness WQB Loan Private Loan
Amount
Financial
Burden
WQB Loan
Debt Service
WQB Loan
Reserve
Annual
Sewer
Existing Debt
Service
Total Annual
Sewer Cost
Private Loan
Debt Service
Monthly
Sewer Cost/
ERU
Sewer Cost
as % of
MAGI
Threshold LQI
Population Growth Rate
Unemployment Rate
Modified MAGI
Poverty Rate
Attachments
October 23, 2023 - Water Quality Board Meeting FY 2025 Funding Requests

ATTACHMENT 7
2024 AUGUST BOARD MEETING FEASIBLITY REPORTS PAGES 62-92 OF DWQ-2024-006073

195 North 1950 West • Salt Lake City, UT Mailing Address: PO Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone]
www.deq.utah.gov Printed on 100% recycled paper
State of Utah

Department of Environmental Quality
Kimberly D. Shelley Executive Director DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board Steven K. Earley, Chair James Webb, Vice Chair Brandon Gordon Michela Harris Joseph Havasi Trevor Heaton Michael D. Luers Kimberly D. Shelley John K. Mackey Executive Secretary SPENCER J. COX Governor DEIDRE HENDERSON Lieutenant Governor
WATER QUALITY BOARD
FEASIBILITY REPORT FOR WASTEWATER TREATMENT PROJECT
INTRODUCTION

APPLICANT:
North Fork Special Service District (NFSSD)
8838 Alpine Loop Scenic Byway Sundance, UT 84604 Telephone: [phone]
PRESIDING OFFICIAL Dr. Stephen Minton, President of the Board
CONTACT: Chris Wright, Public Works Director
TREASURER: Emily Johnson, District Clerk
CONSULTING ENGINEER:
Ryan Taylor, Lead Engineer Adurra 2175 W 3000 S Suite 200 Heber City, UT
[phone]
BOND COUNSEL: None

FINANCIAL ADVISOR Joe Martin, CPA NFSSD [phone]
APPLICANT’S REQUEST
NFSSD is requesting funding from the Utah Water Quality Board (Board) in the amount of $3,551,000 to
increase the capacity of the current facility to meet permit requirements.

Page 2
APPLICANT’S LOCATION
NFSSD serves Sundance, UT, Sundance Ski Resort, and the surrounding area. Sundance is located in Utah
County.

PROJECT BACKGROUND
NFSSD completed a Preliminary Engineering Report in 2023 to examine the best options for future
upgrades for the existing Wastewater Treatment Facility (WWTF). The WWTF began operation in 2008
and consists of headworks, biological treatment with membrane bioreactors, and solids dewatering. The
facility is unable to adequately treat the wastewater due to large amounts of fat, oil, and grease (FOG).

PROJECT NEED
The existing facility capacity is insufficient to meet the current community demands, specifically higher
levels of FOG and biochemical oxygen demand (BOD) are limiting the hydraulic capacity and limiting the
facility’s ability to meet permit limits. The anticipated growth will result in exceedance of current permit
limits without an upgrade. Therefore, NFSSD will upgrade the facility with an additional membrane basin
and a new primary dissolved air flotation (DAF) system.

PROJECT DESCRIPTION
The upgrade to the system will include coagulation and polymer tanks, a primary sludge storage tank, one
pre-air zone tank, and two swing zone tanks. These upgrades are intended to improve the facility’s nutrient
removal process by removing FOG which will increase the capacity of the system.

The project was bid during July of 2024 with a low bid of $9,250,000. It is important to note that NFSSD
bid the project without federal requirements of the Clean Water State Revolving Funds so the project can
only utilize Utah Wastewater Loan Fund or Hardship Grant Fund without being rebid.

Page 3
ALTERNATIVES EVALUATED
NFSSD developed a preliminary engineering report with multiple recommendations to improve the
treatment system. Those alternatives include the installation of a flow trap, equalization tank installation,
and blower modification.

POSITION ON PROJECT PRIORITY LIST
NFSSD is currently ranked No. 11 of 14 on the FY 2024 Wastewater Treatment Project Priority List (PPL).

POPULATION GROWTH
The Sundance population is dominated by seasonal visitors. Estimates range from 28 to 750 people with
the Census website reporting 113 population for the Sundance census designated population. Growth rates
have historically been 2%. NFSSD serves approximately 665 ERUs.

PUBLIC PARTICIPATION AND DEMONSTRATION OF PUBLIC SUPPORT
Public board meetings are held every month, which are advertised and held online to encourage residents
to attend. In addition, wastewater community meetings are held to provide additional information and the
district has presented this project at community events. The board fully supports the project, and their largest
user Sundance has been to all the meetings and supports the project. The community feedback from
meetings has been positive.

EFFORTS TO SECURE FINANCING FROM OTHER SOURCES
NFSSD has received grant funding from DEQ’s Utah Lake Preservation Fund ARPA Grant Program in the
amount of $3,000,000, the Governor’s Local Matching ARPA Grant Program in the amount of $4,000,000,
and a grant from the Governor’s Office of Economic Opportunity in the amount of $1,000,000. While
managing the project for Utah Lake Preservation Fund Division staff identified the project was not likely
fully funded to proceed with construction and encouraged NFSSD to apply to the Board.

IMPLEMENTATION SCHEDULE
Construction will be initiated in 2024 and will finish in 2025.

APPLICANT’S CURRENT USER CHARGE
Currently, NFSSD charges $86 per ERU. According to the Board’s criteria of 1.4% MAGI ($146,2501 for
Sundance), a rate of $170.63 per month for wastewater service should be exceeded for grant consideration.
NFSSD does not have an impact fee or hookup fee. Currently, NFSSD has a 20-year 3% loan for $3,810,000
with the Board from 2006 with an annual payment of approximately $215,000. According to Division
records, the last payment on this bond is due January 1, 2028.

COST ESTIMATE
The total cost of the project is estimated to be $11,641,000. A breakdown of these costs follows.
Legal/Bonding $30,000
Loan Origination Fee $36,000
Engineering – Design & CMS $1,500,000
Subsurface Discharge Expansion $1,000,000

1 https://data.census.gov/table/ACSST5Y2022.S1903?q=Sundance%20CDP,%20Utah&t=Income%20and%20Poverty
Page 4
Wastewater Treatment Plant $8,250,000
Contingency (10%) $825,000
Total Project Costs $11,641,000

COST SHARING
The total cost of project funding for the entire project is $11,641,000.
Funding Source Cost Sharing
Local Contribution $90,000
DEQ’s Utah Lake Preservation Fund ARPA Grant Program $3,000,000
Governor’s Office of Economic Opportunity $1,000,000
Governor’s Local Matching ARPA Grant Program $4,000,000
Amount To Be Financed $3,551,000

ESTIMATED ANNUAL COST FOR SEWER SERVICE
Division staff developed static cost models (Attachment 1) to evaluate potential funding by the Board. The
cost model analyzes several possible funding options. The resulting Total Annual Sewer Cost is shown for
each funding option.

FINANCIAL BURDEN EVALUATION
In accordance with the Board’s Financial Burden Evaluation Policy for the Utah Wastewater Project
Assistance Program, Division staff utilized data from the United State Census Bureau (census) website
(https://data.census.gov/cedsci/) to calculate the Sundance’s Financial Need Indicator (FNI). The calculated
FNI is 2.12. Division staff compared this FNI to the percent modified MAGI in the Financial Burden Matrix
and displayed the Financial Burden in Attachment 1. Based on the Financial Burden Evaluation Policy for
the Utah Wastewater Project Assistance Program, the community has a Financial Burden of Low.

DIVISION STAFF COMMENTS AND RECOMMENDATION
This report is a project introduction; Division staff recommendations will be provided at the October Board
Meeting. This project would need to be funded by either the Utah Wastewater Loan Fund or Hardship Grant
Fund due to the certifications that were in the bid package.

195 North 1950 West • Salt Lake City, UT Mailing Address: PO Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone] www.deq.utah.gov Printed on 100% recycled paper

Project Costs Current Customer Base & User Charges
Legal/Bonding 30,000$ Initial Total Customer (ERU's)665
Loan Origination Fee 36,000$
Engineering - Other 250,000$ MAGI for NFSSD (2021): $146,250
Engineering - Planning 175,000$ Affordable Monthly Rate at 1.4%$170.63
Engineering - Design 675,000$ Impact Fee (per ERU):$0Engineering - CMS 400,000$ Current Monthly Fee (per ERU)$86.00
Subsurface Discharge Expansion 1,000,000$ Debt Service last Payment Jan 1, 2028 $215,000
Wastewater Treatment Plant 8,250,000$ Debt Service as of Jan 1, 2029 -$
Contingency (10%)825,000$ Annual O&M expense $565,269
Total Project Cost:11,641,000$
Project Funding Funding Conditions
Local Contribution 90,000$ Loan Repayment Term:20
UT Governor's Office of Economic Opportunity Grant 1,000,000$ Reserve Funding Period:6
ARPA - GOPB Local Match Grant 4,000,000$
ARPA - DEQ Utah Lake Preservation Fund Grant 3,000,000$
Amount to be Funded 3,551,000$
Total Project Cost:11,641,000$
ESTIMATED COST OF SEWER SERVICE (assuming first principal payment January 1, 2029)
- 0 3,551,000 3.30%4.50%0 0 272,987 565,269 -$ 838,256 105.04 0.86%LOW
- 3,551,000 0 3.30%4.50%245,352 61,338 0 565,269 -$ 871,959 109.27 0.90%LOW
- 3,551,000 0 2.80%4.50%234,291 58,573 0 565,269 -$ 858,133 107.54 0.88%LOW
- 3,551,000 0 2.30%4.50%223,505 55,876 0 565,269 -$ 844,651 105.85 0.87%LOW
- 3,551,000 0 1.80%4.50%212,999 53,250 0 565,269 -$ 831,517 104.20 0.85%LOW
- 3,551,000 0 1.30%4.50%202,776 50,694 0 565,269 -$ 818,739 102.60 0.84%LOW
- 3,551,000 0 0.80%4.50%192,840 48,210 0 565,269 -$ 806,319 101.04 0.83%LOW- 3,551,000 0 0.00%4.50%177,550 44,388 0 565,269 -$ 787,207 98.65 0.81%LOW
*Staff Estimate
Local Value State Value Score Weighting Factor Weighting
Score Table **
0.0%3.6%1.00 4 4.00 S2301 FNI Below 1.4%1.4% to
1.75%1.75% to 2.1% 2.1% to 2.45 Above 2.45
14.9%9.1%2.16 2.5 5.40 S1701 Below 1.5 Low Low Medium Medium High
74,500$ 35,445$ 1.00 2.5 2.50 B19080 1.5 to 2.5 Low Medium Medium High High
68.0%18.6%1.00 1 1.00 B01003 Above 2.5 Medium Medium High High High
Financial Need Indicator (Sum of weighted Scores/10)1.29
2020 5 year ACS Table ** https://data.census.gov/cedsci/
Private Loan Debt Service
Monthly Sewer Cost/
ERU
Sewer Cost as % of MAGI
Threshold LQI
Population Growth Rate
Unemployment Rate
Modified MAGI
Poverty Rate
Financial
Burden
ATTACHMENT 1
NFSSD - Water Quality Board
20 Year Loan Static Cost Model
Financial Burden MatrixFNI Calculation
WQB Loan Interest Rate Private Loan Interest Rate* Hardship Grant Funds WQB UWLF Loan Private Loan Amount WQB Loan Debt Service WQB Loan Reserve Annual Sewer Existing Debt Service Total Annual Sewer Cost

State of Utah

Department of
Environmental Quality

Kimberly D. Shelley Executive Director
DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board James Webb, Chair Michelle Kaufusi, Vice Chair Robert Fehr Michela Harris Joseph Havasi Trevor Heaton Jill Jones Kimberly D. Shelley John K. Mackey SPENCER J. COX Governor DEIDRE HENDERSON Lieutenant Governor
WATER QUALITY BOARD
FEASIBILITY REPORT FOR SEWER IMPROVEMENT PROJECT
INTRODUCTION
APPLICANT: Beaver City
30 West 300 North Beaver, Utah 84713 Phone: [phone]
PRESIDING OFFICIAL: Mayor Matt Robinson
Phone: [phone] CONTACT: Jason Brown, City Manager 30 West 300 North
P.O. Box 271
Beaver, Utah 84713 Phone: [phone] Email: [e-mail]
TREASURER/RECORDER: Patty Simard, City Recorder
Email: [e-mail] Stacey Phelps, Treasurer Email: [e-mail] Phone: [phone]

CONSULTING ENGINEER: Carson Demille, Engineer Jones and DeMille Engineering, Inc. Phone: [phone]
APPLICANT’S REQUEST Beaver City is requesting funding from the Water Quality Board in the amount of $6,551,325 to upgrade the sewer system by upgrading and reconstructing the lagoon system and a lift station. This amount is increased to $6,618,000 in the financial analysis to account for the loan origination fee and
the requirement that loans be awarded in $1,000 increments.
Beaver City August 28, 2024 Page 2 APPLICANT’S LOCATION Beaver City is located in Beaver County, approximately 200 miles south of Salt Lake City.

BACKGROUND Beaver City (the “City”) has a population of approximately 3,700 residents and is the main residential
and commercial hub for Beaver County.
The City owns and operates its sewer collection and treatment systems. The City has approximately 200,000 feet of sewer piping with the majority draining into a lift station pumping to a total containment sewer lagoon system. A small commercial area at the south end of the City has private
lift stations that also pump into the lagoon system. The lagoon site has two lift stations to allow
pumping into the system's upper holding cells. The lagoons were updated in 2001 and consist of 19.3-acres of primary cells, 28.1-acres of secondary cells, and 31.8-acres of holding cells. While the existing treatment system has the needed lagoon capacity to meet future demands there are
issues with the current design. The current primary cell inlets are located too close to the outlets,
leading to short circuiting of the cells. Several concrete structures such as flow splitters are deteriorated. The slope protection riprap is failing and no longer properly protects the embankments. Neither lagoon site lift station has the needed capacity for a 20-year design, and one lift station is unusable due to intake clogging. Testing of the lagoon influent has also shown that the existing lagoon
primary cells are not large enough to meet state regulated Biological Oxygen Demand (BOD) loadings.

Beaver City
Map data ©2023 Google
Beaver City August 28, 2024 Page 3 Several areas of the City’s collection system have been identified to have condition and capacity problems. The force main from the City lift station across the Beaver River floodplain is aging and
needing more and more maintenance.
The City is currently beginning a self-funded project to replace 5,180 linear feet of 8-inch PVC sewer line and 1,000 linear feet of 4-inch PVC sewer laterals for an industrial park near the south freeway interchange. A second self-funded project to replace 950 linear feet of 8-inch PVC sewer line along
250 South will be completed in the near future. The two sewer improvement projects will cost the City
an estimated $300,000. PROJECT NEED
The existing lagoon system does not have sufficient primary cell capacity for current and future BOD
loading on the system. There are components of the lagoon and collection system that are failing and need to be replaced or upgraded. The City’s Sanitary Sewer Master Plan indicates that, while the existing wastewater collection system
has sufficient capacity for the current and 40-year growth projections, the existing force main from the
City lift station has had cracking and leaking issues creating maintenance problems for the City. This has resulted in the need for the existing 10-inch PVC pipe be replaced with a new 10-inch HDPE pipe to reduce these maintenance issues.
Additionally, even though the existing lagoons have enough hydraulic capacity to handle the projected
20-year growth, the current cells are in poor condition and the layout is not capable of handling the existing BOD loadings. PROJECT DESCRIPTION

The project generally consists of sewer lagoon and force-main improvements.

More specifically, the project consists of rehabilitating and modifying the existing lagoons to provide
a 20-year design capacity for the lagoons; a total of 48 acres of primary lagoon cells are needed to
meet state BOD loading requirements. Combining the existing primary and secondary cells into two
larger primaries will provide this needed area. Construction on the new primary cells would include
new piping, inlets, outlets, splitter boxes, and a new lift station. The existing storage cells would be
converted to secondary cells and rehabilitated to ensure proper function over a 20-year design period.
The existing 10-inch force main from the City lift station across the Beaver River floodplain would be
replaced with a 10-inch HDPE pipe.

Beaver City August 28, 2024 Page 4 ALTERNATIVES EVALUATED
In their Facility Plan the City Evaluated 5 alternatives including:
Alternative 1: No Action Alternative Alternative 2: Rebuild Existing Lagoons and Start a Pretreatment Program Alternative 3: Rebuild Existing Lagoons and Add Aeration
Alternative 4: Move Lagoons West Across 2500 South
Alternative 5: Replace Lagoons with Mechanical Treatment POSITION ON PROJECT PRIORITY LIST
The City project is currently ranked No. 03 of 14 on the FY 2024 Project Priority List (PPL) IMPLEMENTATION SCHEDULE Design will begin in 2024, Construction will begin in 2025 and is anticipated to be completed in 2026.
APPLICANTS CURRENT USER CHARGE The City charges a base rate of $22.00 per month per ERU with a flow-based charge per thousand gallons ($1.00/thousand gallons for use over $10,000 gallons per month). According to the Water
Quality Board’s (Board) criteria of 1.4% of MAGI ($41,600 for Beaver City), a rate of $48.53 per
month for wastewater service should be exceeded for grant consideration. COST ESTIMATE Project Costs
Admin/Legal/Bonding $ 10,000 Loan Origination Fee $ 66,180
Geotechnical $ 40,000
Environmental $ 40,000 Pre-Construction Engineering $ 397,000 Construction Engineering Services $ 458,000 Construction $ 5,308,325
Contingency $ 798,495
Total Project Cost: $ 7,118,000 COST SHARING
Funding Source Total % of Project
Local Contribution $ 500,000 7.1% WQB Request $ 6,618,000 92.9% Total Amount $ 7,118,000 100.0%
Beaver City August 28, 2024 Page 5 EFFORTS TO SECURE FINANCING FROM OTHER SOURCES
The City is currently applying to CIB for the funding. Currently, CIB’s meeting is scheduled for
September 5, 2024. It is likely the City will know the results of their CIB application during that meeting. Knowing the limited CIB funds, Division of Water Quality (Division) staff encouraged the City to apply to the Board as there is a good possibility that they will need funding from both sources to complete the project. The cost model has been prepared with only a single funding source, but as a
loan appears to be affordable it should not affect the affordability regardless of whether the project is
funded by CIB or Division as loan. The City also has $500,000 available as a local contribution. ESTIMATED ANNUAL COST FOR SEWER SERVICE
Division staff developed static cost models (Attachment 1) to evaluate funding by the Board. The cost
model analyzes several possible funding options. The resulting Total Annual Sewer Cost is shown for each funding option. FINANCIAL BURDEN EVALUATION

The cost for model shows the City may qualify for principal forgiveness consideration under the State Affordability Criteria as part of a funding package depending on the interest rate of the loan portion. In accordance with the Board’s Financial Burden Evaluation Policy for the Utah Wastewater Project Assistance Program, Division staff utilized data from the United State Census Bureau (census) website
(https://data.census.gov/cedsci/) to calculate the City’s Financial Need Indicator (FNI). The calculated
FNI is 1.34. Division Staff compared this FNI to the percent modified MAGI in the Financial Burden Matrix and displayed the Financial Burden in Attachment 1. Based on the Financial Burden Evaluation Policy for the Utah Wastewater Project Assistance Program, the community has a Financial Burden of Low.

As can be seen in the attachment an interest rate of 0.60% would result in a rate equal to 1.4% of MAGI. Therefore, the project is affordable as a loan. STAFF COMMENTS AND RECOMMENDATIONS

The City Sewer Improvements project will address needed improvements to the sewer and lagoon system. This project is being introduced. Division Staff recommendations will be made in a later Board
meeting. A preliminary cost model is included as Attachment 1

DWQ-2024-005700 File: Beaver City, Municipal File
Beaver City August 28, 2024 Attachment 1

Sewer
10,000$ 1,440
66,180$
40,000$ MAGI (Beaver City 2021):41,600$
40,000$ 1.4% MAGI Sewer Bill:48.53$
397,000$
458,000$ *Current Sewer Bill 22.00$
5,308,325$ EXISTING DEBT -$
798,495$ O&M Expenses 596,180$
Total Project Cost:7,118,000$ * Does not include usage charge
Funding Conditions
30
500,000$
6,618,000$
7,118,000$
Grant Loan Interest Loan Annual Sewer Existing Total Annual Monthly Sewer Sewer Cost as a Financial
Amount Amount Rate Debt Service O&M Cost Debt Service Sewer Cost Cost/ERU % of MAGI Burden
-$ 6,618,000$ 0.00% $220,600 596,180$ -$ 816,780$ 47.27 1.36%Low
-$ 6,618,000$ 0.60% $241,709 596,180$ -$ 837,889$ 48.49 1.40%Low
-$ 6,618,000$ 2.00% $295,493 596,180$ -$ 891,673$ 51.60 1.49%Low
1,000,000$ 5,618,000$ 2.00% $250,843 596,180$ -$ 847,023$ 49.02 1.41%Low
-$ 6,618,000$ 2.50% $316,192 596,180$ -$ 912,372$ 52.80 1.52%Low
1,500,000$ 5,118,000$ 2.50% $244,526 596,180$ -$ 840,706$ 48.65 1.40%Low
-$ 6,618,000$ 3.50% $359,829 596,180$ -$ 956,009$ 55.32 1.60%Low
2,000,000$ 4,618,000$ 3.50% $251,087 596,180$ -$ 847,267$ 49.03 1.41%Low
-$ 6,618,000$ 4.00% $382,720 596,180$ -$ 978,900$ 56.65 1.63%Low
2,400,000$ 4,218,000$ 4.00% $243,927 596,180$ -$ 840,107$ 48.62 1.40%Low
Beaver City Financial Need Indicator Table 3 Financial Burden Matrix
Indicators Local Value StateValue Score Weighting Factor Weighted Score Modified MAGI
unemployment
rate 1.10% 3.40%1.00 4.00 4.00 FNI Below 1.4%
1.4% to
1.75%
1.75% to
2.1%
2.1% to
2.45
Above
2.45
Poverty Rate 7.70% 8.20%1.00 2.50 2.50 Below 1.5 Low Low Medium Medium High
Threshold LQI $35,500 $41,337 1.56 2.50 3.90 1.5 to 2.5 Low Medium Medium High High
Population
Growth Rate 17.3% 18.7%3.00 1.00 3.00 Above 2.5 Medium Medium High High High
Financial Need Indicator (Sum of weighted Scores/10) 1.34
Loan Repayment Term:
Geotechnical
Pre-Construction Engineering
Environmental
Construction Engineering Services
Loan Origination Fee
Contingency
Project Funding
Local Contribution
CIB Funding Requsted
Construction
Total Project Cost:
ESTIMATED COST OF SEWER SERVICE
Beaver City
30 Year Static Cost Model
Project Costs
Admin/Legal/Bonding
(Attachment 1)
Total ERC
Current Customer Base & User Charges

State of Utah

Department of Environmental Quality
Kimberly D. Shelley Executive Director DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board James Webb, Chair Michelle Kaufusi, Vice Chair Robert Fehr Michela Harris Joseph Havasi Trevor Heaton Jill Jones Kimberly D. Shelley John K. Mackey SPENCER J. COX Governor
DEIDRE HENDERSON Lieutenant Governor

WATER QUALITY BOARD REQUEST FOR CONSTRUCTION OF WASTEWATER COLLECTION & TREATMENT FEASIBILITY REPORT INTRODUCTIN
APPLICANT: Corinne City 2420 N 4000 W
Corinne, Utah 84307 Telephone: [phone]
PRESIDING OFFICIAL: Mayor Shane Baton CONTACT PERSON JL Nicholas Telephone: [phone] TREASURER/ RECORDER: Kendra Norman CONSULTING ENGINEER Joshua Nelson – Engineer Sunrise Engineering Telephone: [phone]
CITY ATTORNEY: Craig Smith, Partner Smith Hartvigsen Telephone: [phone]
BOND COUNSEL: Adam Long Smith Hartvigsen
Telephone: [phone] APPLICANT’S REQUEST Corinne City (Corinne) is requesting financial assistance in the amount $7,372,900 for collection and treatment system improvements.
Corinne City – Feasibility Introduction Report August 28, 2024 Page 2
APPLICANT’S LOCATION
Corinne is located in Box Elder County.
BACKGROUND: The collection and treatment systems serve Corinne with a current population of 867 people. The Corrine wastewater lagoons are permitted to discharge under a Division of Water Quality (Division) Utah Pollutant Discharge Elimination System (UPDES) Permit (UT0020931), which was renewed in 2021. Corinne conducted a study of the collection and lagoon treatment systems to identify deficiencies. The study was conducted in 2020 and identified deficiencies in sewer pipes, insufficient headworks, and inadequate screening capability. Corrine secured funding from the Community Impact Board (CIB) to complete this study. Sunrise Engineering prepared a master plan for the Corrine in January 2024.
The current Corinne sewer collection system was installed in 1970 with pipe sizes ranging from 8” to 12” in size. The original system was constructed primarily of reinforced concrete pipe. The original system has experienced very limited changes and has only been expanded with growth. There are four main portions
of the Corinne sewer collection system. The first section is known as the Ag Park, which includes the industrial/commercial buildings around Mule
Ranch Road as well as the Walmart distribution center. These flows are pumped into a manhole that is near Mule Ranch Road and Hwy 13. The second area is the north side of Corinne which encompasses the residential areas north of Hwy 13 from roughly 4100 W to 3800 W, with flows general being conveyed to the south to the mainline along Hwy 13. The third area is the south side of Corinne from 4100 W to 3800 W with flows primarily being conveyed east to the mainline at 3800 W. The fourth area would be the Country Meadows Subdivision which has its own lift station to convey wastewater flows into a manhole
on 4100 W. The oldest areas (the north and south sides of Corinne) are being proposed to be replaced. These areas are the source of inflow and infiltration (I&I) that is contributing 35%-55% of the annual flows into the Corinne treatment lagoons. It is anticipated that if Corrine replaces these failing areas of infrastructure, then their Lagoons will be able to meet their discharge requirements.

Corinne City – Feasibility Introduction Report August 28, 2024 Page 3
PROJECT NEED:
The project is needed to address high levels of I&I in the sewer collection system caused by deteriorated concrete collection lines. Reducing system flows will help Corrine meet the Biochemical Oxygen Demand (BOD) requirements from the UPDES discharge permit.
PROJECT DESCRIPTION: Corrine has prioritized the following recommended improvements as part of the project: 1. Collection line upgrades and replacement;
2. Pump Station; and
3. Force Main
POSITION ON PROJECT PRIORITY LIST:
Corinne is ranked No.4 of 14 on the FY 2024 Wastewater Treatment Project Priority List (PPL).
POPULATION GROWTH
Based on the 2020 US Census Data the population of Corrine is projected to have a positive
growth rate of 1.75%. Current populations and associated ERUs are shown in the table
below along with the 20-year projections.

1ERU = Equivalent Residential Connection. ALTERNATIVES EVALUATED Corrine has evaluated the following alternatives: 1. No action and continue to use the existing collection and treatment lagoon system. 2. Replace of old sewer pipes and upgrade of lagoon headworks.
The recommended alternative is No. 2, which are replacement of failed sewer pipelines and improvement of lagoon headwork and screen system. IMPLEMETAION SCHULDE
Apply to WQB for Construction Funding: June 2024 Start Construction March 2025 Complete Construction September 2026
PUBLIC PARTICIPATION AND DEMONSTRATION OF PUBLIC SUPPORT: Corrine held a public meeting in January 2024 to discuss the master plans, system-wide repair and replacement needs as required by the Utah Wastewater State Revolving Fund (SRF) program. Corrine will hold a final public hearing upon securing funding from the Board.

Year Population ERU1
Current 2024 867 328
Design 2042 1,256 447
Corinne City – Feasibility Introduction Report August 28, 2024 Page 4
APPLICANT’S CURRENT USER CHARGE:
Operation & Maintenance – Annual $ 160,000 Existing Sewer Debt Service $ 0 Current ERC 328
Current Monthly Cost / ERU $ 78.00
Corinne recently raised their sewer user rate to $78 per month.
COST ESTIMATE DWQ Loan Origination Fee $73,000
Legal - Bonding $50,000
Permitting $30,000
Planning Advance DWQ $102,900
Engineering - Design $1,176,000
Construction Lift Station $35,000
Collection System $4,756,000
Force Main $347,000
Contingency $773,000
Total Project Cost: $7,342,900
COST SHARING: The following is the summary of cost sharing is proposed for this project: Funding Source Cost Sharing Percent of Project
Local Contribution $0 0%
WQB or USDA-RD Funding $7,372,900 100%
Total: $7,372,900 100%

ESTIMATED ANNUAL COST FOR SEWER SERVICE: According to the Board’ s affordability criteria a sewer user rate should exceed 1.4% of MAGI to be
considered for grant funds. Corrine’ s 2021 MAGI is $50,700 and which means rates should exceed $ 59.15 per month/ ERU for grant consideration. A static cost model was prepared and included as Attachment 1. The cost model analyzes several possible funding options including funding packages with 20-year or 30-
year loans, and principal forgiveness. In addition, funding from U.S. Department of Agriculture - Rural Development (USDA- RD) loan-to-grant ratio of 80%/20% and loan terms of 40-years at 3.25% was analyzed. These scenarios show a sewer rate of $154.39 per month without assistance from the Board or USDA-RD. Additional scenarios in the cost model result in a monthly sewer user fee of between $ 78 - $139 per month. FINANCIAL NEED INDICATOR:
In accordance with Board guidance Division staff calculated a Financial Need Indicator (FNI) in the cost
model. Division staff utilized data from the United State Census Bureau (census) website1 to collect Corrine’ s indicator values and State of Utah average indicator values. Table 1 applied the range scoring

1 https:// data.census. gov/cedsci/

Corinne City – Feasibility Introduction Report August 28, 2024 Page 5
criteria to determine a score for each indicator in relation to the State average value. The calculation of the scores and the financial burden matrix resulted in an FNI of 1.56. Division staff compared this FNI to the
modified % MAGI to calculate the Financial Burden. Based on the Financial Burden Evaluation Policy for the Utah Wastewater Project Assistance Program, the proposal project would result in the community having a Financial Burden of High. EFFORTS TO SECURE FINANCING FROM OTHER SOURCES: The total cost of the project is $7,372,900. Corrine is requesting $7,372,900 from the Board to fund a construction. Corrine also is in the process of applying for construction assistance and is working on securing project construction funding through the USDA-RD. DIVISION STAFF COMMENTS AND RECOMMENDATION: The Division supports the Corrine’s request for funding as it believes that the project is essential to help collection and lagoon treatment system improvements.
This is a project introduction, and staff recommendations will be provided at a later Board meeting.

Corinne Feasibility Introduction Report File:SRF- Corinne City, Administration
Corinne City – Feasibility Introduction Report August 28, 2024
Page 6

Corinne City - Water Quality Board & 30 Year Loan Static Cost Model
(Attachment 1)
Project Cost DWQ Loan Origination Fee & Legal $73,000 Current Customer Base & User Charges Permitting $30,000 Initial Total Customer (ERU's)328 Planning Advance DWQ $102,900 MAGI for Corinne City (2021): $50,700
Legal & Bonding $50,000 Affordable Monthly Rate at 1.4%$59.15
Engineering - Design & CMS $1,176,000 Impact Fee (per ERU):$15,200 Construction Lift Station $35,000 Current Monthly Fee (per ERU)$78.00
Collection System $4,756,000 Existing Debt $0
Force Main $347,000 Annual O&M $160,000 Contingency $773,000 Total Project Cost:$7,342,900 Funding ConditionsLoan Repayment Term:30 Project Funding Reserve Funding Period:10
Requested Funding $7,342,900 USDA-RD Funding ConditionsCorinna City Fund USDA-RD Interest Rate 3.250%Total Project Cost:7,342,900$
ESTIMATED COST OF SEWER SERVICE
WQB Principal Forgiveness WQB Loan WQB Loan Interest Rate RD Grant RD Loan WQB Loan Debt Service
WQB
Loan
Reserve
USDA
Loan Debt
Service
Total Annual Sewer Cost Monthly Sewer Cost/ ERU
Sewer Cost
as % of
MAGI
Financial Burden
- 7,342,900 3.30% 0 0 389,302 58,395 0 607,697 154.39 3.65%High
1,000,000 6,342,900 3.30% 0 0 336,285 50,443 0 546,727 138.90 3.29%High
2,000,000 5,342,900 3.30% 0 0 283,267 42,490 0 485,757 123.41 2.92%High
3,000,000 4,342,900 3.30% 0 0 230,250 34,537 0 424,787 107.92 2.55% Medium
3,600,000 3,742,900 3.30% 0 0 198,439 29,766 0 388,205 98.63 2.33% Medium
Cofunding WQB and USDA-RD
- 0 0.00% 1,468,580 5,874,320 0 0 330,636 490,636 124.65 2.95%High
1,000,000 500,000 0.00% 1,168,580 4,674,320 16,667 2,500 263,094 442,260 112.36 2.66%High
2,000,000 500,000 0.00% 968,580 3,874,320 16,667 2,500 218,066 397,232 100.92 2.39%High
3,000,000 500,000 0.00% 768,580 3,074,320 16,667 2,500 173,038 352,205 89.48 2.12%High
4,000,000 500,000 0.00% 568,580 2,274,320 16,667 2,500 128,010 307,177 78.04 1.85% Medium
Financial Need Indicator Table 1 Financial Burden Matrix
Indicators Local Value State Value Score Weighting Factor Weighted Score Modified MAGI
unemployment rate 2.7% 3.4% 1.65 4.00 6.60 FNI Below 1.4% 1.4% to 1.75%1.75% to 2.1%2.1% to 2.45% Above 2.45%
Poverty Rate 6.2% 8.5% 1.00 2.50 2.50 Below 1.5 Low Low Medium Medium High
Threshold LQI $37,125.00 $41,337.00 1.41 2.50 3.53 1.5 to 2.5 Low Medium Medium High HighPopulation Growth Rate 0.8% 1.9% 3.00 1.00 3.00 Above 2.5 Medium Medium High High High
Financial Need Indicator (Sum of weighted Scores/10) 1.56
2022 5 year ACS Table **
Page 1 Water Quality Board – August 28, 2024 Feasibility Report - Grantsville WWTP Construction
WATER QUALITY BOARD FEASIBILTY REPORT FOR WASTEWATER TREATMENT PROJECT INTRODUCTION APPLICANT: Grantsville City 429 E Main Street Grantsville, UT 84029
Telephone: [phone]

PRESIDING OFFICIAL: Neil A. Critchlow, Mayor
CONTACT: Sherrie Broadbent, Finance Director Email: [e-mail] TREASURER/RECORDER: Crystal Oldwage, Treasurer
CONSULTING ENGINEER: Matt Laurendau, Project Manager Jones and DeMille Engineering
775 W 1200 N, Ste. 200A Springville, UT 84663 Telephone: [phone] BOND COUNCIL: Darcy Stevens
Gilmore & Bell FINANCIAL ADVISOR: Alex Buxton Telephone: [phone]
APPLICANT’S REQUEST Grantsville City (Grantsville) is requesting funding from the Water Quality Board (Board) in the amount $34,230,000 for the construction of a new fine
bubble diffuser biological nutrient removal (BNR) treatment facility with tertiary filtration and disinfection.
APPLICANT’S LOCATION
The project is located in Grantsville, Tooele County, on City-owned property near the existing Wastewater Treatment Plant (WWTP).

PROJECT BACKGROUND
In 2022, Grantsville conducted a WWTP Study to evaluate options for upgrading and expanding their WWTP. Grantsville’s existing WWTP was
determined to be at 95% capacity, with significant upgrades required to meet increasing demand and more stringent effluent nutrient requirements. An alternatives analysis was performed for possible upgrades to or replacement of the existing treatment facility, and the preferred alternative was the construction of a new BNR activated sludge treatment facility with tertiary filtration. In April 2023, Grantsville was awarded a $1,000,000 loan for the design of the new facility.
POPULATION GROWTH “Growth projections for the next 10-20 years have been analyzed and discussed by multiple parties, and range from 9-10% (Ensign, 2022), to 2.9% by the Governor's Office, to less than 2.4% (K.C.
Gardner, 2022). Actual growth based on measured wastewater influent flow for the past 3 years has
averaged 5.1 %.”1 Staff used a conservative 3.4% growth rate for impact fee modeling. Year Population ERCs
2024 14,008 4,670
2032 18,302 6,104
2042 25,566 8,524
1Source: Grantsville Wastewater Treatment Plant Study, November 2022, AQUA Engineering ERC = Equivalent Residential Connections
PROJECT NEED
Grantsville is a small community experiencing substantial growth. Grantsville estimates that its population will grow from a current population of approximately 13,547 to over 45,000 in the next 20 years.
The existing WWTP has a design capacity of 1.5 MGD, but is limited in its actual capacity due to effluent nutrient limits. WWTP expansion is required to meet nutrient requirements and accommodate future growth.

The new treatment facility will include new biological treatment processes that will allow treated effluent to meet new permit effluent phosphorus limits. The new plant will also accommodate the anticipated growth in the area and have future expansion capabilities. ALTERNATIVES EVALUATED

An alternatives analysis was included in the 2022 WWTP Study. The analysis included four primary alternatives: BNR Oxidation Ditch, BNR Fine Bubble Diffusers, BNR Membrane Bioreactor (MBR), and a Parallel Lagoon and BNR Fine Bubble Diffuser system. From the four alternatives, Grantsville determined that the preferred alternative was a fine bubble diffuser activated sludge treatment facility.
PROJECT DESCRIPTION
The project will include the construction of a new 3 MGD (average daily flow), 7 MGD (peak hourly flow) WWTP on city-owned property near the existing treatment facility. Facilities will include a new headworks building, anaerobic basins, anoxic basins, fine bubble diffuser aeration basins, blower equipment building, secondary clarifiers, and tertiary equipment to meet Type I reuse requirements.
COST ESTIMATE The total estimated construction cost of the project is $34,633,000, with a total project cost of $34,633,000. The request for funding is for the total project cost. A new cost estimate has been run for the funding application, but was not available to Division of Water Quality (Division) staff. Division staff
pulled the 2022 estimate for fine bubble diffusers from the 2022 facilities plan.

Fine Bubble Diffusers
Item Cost Construction Contingency
(25%)
Engineering &
CMS
Total
Influent Pump Station $1,267,266 $316,817 $226,298 $1,810,380
Headworks $3,216,213 $804,053 $574,324 $4,594,590
Aeration Basin Process $5,016,512 $1,254,128 $895,806 $7,166,445
Secondary Clarifiers $3,292,289 $823,072 $587,909 $4,703,270
Tertiary Filtration $1,485,884 $371,471 $265,337 $2,122,692
Disinfection (UV) $1,429,428 $357,357 $255,255 $2,042,040
Sludge Dewatering $1,951,950 $487,988 $348,563 $2,788,500
Dredge Old Lagoons $350,000 $87,500 $62,500 $500,000 Total 2022 Estimate $25,727,917
PUBLIC PARTICIPATION AND DEMONSTRATION OF PUBLIC SUPPORT
A public hearing was held on December 6, 2023, presenting the new WWTP. There were no comments.
IMPLEMENTATION SCHEDULE

The design phase is currently at 30%. Construction is anticipated to begin in 2025 and completed in 2027. APPLICANTS CURRENT USER CHARGE
Current residential sewer rates are $30.91 per month, with commercial rates at a base level of $36.26 per month + a $1.95 per 1,000 gal usage fee.
Grantsville completed a sewer rate and impact fee study in 2024, which proposed a rate increase to $62.12 per month for residential and $55.47 per month + a $3.83 per 1,000 gal usage fee for commercial. ALTERNATIVE FUNDING SOURCES

U.S. Department of Agriculture - Rural Development (USDA-RD) was contacted on June 28, and due to population and income level, Grantsville does not qualify for their direct loan or grant program. Grantsville has set aside some funding for the project, which will be used to help with the engineering phase.
Grantsville has a financial adviser from Zion Bank Public Finance. It has been estimated the City could secure funding on the private market at 4%-4.5%
with a term of 20 years. This funding would come with additional fees for insurance and bond rating. DIVISION STAFF COMMENTS
Division staff is supportive of Grantsville’s efforts to increase the capacity of their facility to meet anticipated demand due to growth, as well as updating
their treatment facility to meet phosphorus effluent requirements. The construction of this treatment facility should meet both of those goals. Grantsville has performed a sewer rate study which, when implemented, will aid in repaying construction funding for this project. Since Grantsville is over 10,000 in population and not in a producing county, Grantsville currently does not qualify for funding from USDA-RD or CIB.
It is anticipated that the Board is the primary source of funding outside of the private market.
Division staff believes since this would be a new treatment plant the Grantsville engineer could likely demonstrate the useful life of the capital assts
majority to be 30 years. Looking at the cost model, if the Board brought a 30 year loan this would be the best funding package for the project. As only partial funding is likely to be available the Board might consider reducing the interest rate and could keep the overall same monthly rate with the combination of private/public funding.
DIVISION STAFF RECOMMENDATION
This is only a project introduction. Division staff recommendations will be made in a later Board meeting.
DWQ-2024-005803
Project Costs Current Customer Base & User Charges
Legal/Bonding 30,000$ Initial Total Customer (ERU's) 4,516
DWQ Loan Origination Fee 340,000$ MAGI for Grantsville (2020): $50,000
Construction, Engineering, Contingency Costs 34,263,000$ Affordable Monthly Rate at 1.4% $58.33
Impact Fee (per ERU): $0
Total Project Cost: 34,633,000$ Current Monthly Fee (per ERU) $30.00 avg monthly bill
Debt Service $210,715
Project Funding Annual O&M expense $417,392
Local Contribution -$
Amount to be Funded 34,633,000$ WQB Funding Conditions Private Funding Conditions
WQB Grant -$ Loan Repayment Term: Varies Loan Repayment Term: 20
Total Project Cost: 34,633,000$ Reserve Funding Period: 6 Reserve Funding Period: NA
ESTIMATED COST OF SEWER SERVICE
WQB 20 year term loan
0 34,633,000 4.50% 0 0 2,662,452 417,392 $210,715 3,290,559 60.72 1.46%MEDIUM
- 34,633,000 0 3.80% 4.50% 2,503,431 625,858 0 417,392 $210,715 3,757,395 69.33 1.66%MEDIUM
- 34,633,000 0 2.00% 4.50% 2,118,041 529,510 0 417,392 $210,715 3,275,658 60.45 1.45%MEDIUM
- 15,000,000 19,633,000 0.80% 4.50% 814,589 203,647 1,509,309 417,392 $210,715 3,155,653 58.23 1.40%LOW
WQB 30 year term loan
- 34,633,000 0 3.80% 4.50% 1,954,480 488,620 0 417,392 $210,715 3,071,207 56.67 1.36%LOW
- 15,000,000 19,633,000 2.80% 4.50% 745,637 186,409 1,509,309 417,392 $210,715 3,069,463 56.64 1.36%LOW
- 10,000,000 24,633,000 1.90% 4.50% 440,383 110,096 1,893,690 417,392 $210,715 3,072,276 56.69 1.36%LOW
Grantsville - Water Quality Board
20 Year & 30 Year Loan Static Cost Model
WQB Loan
Interest Rate
Private Loan
Interest Rate*
Principal
Forgiveness WQB Loan Private Loan
Amount
Financial
Burden
WQB Loan
Debt Service
WQB Loan
Reserve Annual Sewer Existing Debt
Service
Total Annual
Sewer Cost
Private Loan
Debt Service
Monthly
Sewer Cost/
ERU
Sewer Cost
as % of
MAGI

195 North 1950 West • Salt Lake City, UT Mailing Address: PO Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone]
www.deq.utah.gov Printed on 100% recycled paper
State of Utah

Department of Environmental Quality
Kimberly D. Shelley Executive Director DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board Steven K. Earley, Chair James Webb, Vice Chair Brandon Gordon Michela Harris Joseph Havasi Trevor Heaton Michael D. Luers Kimberly D. Shelley John K. Mackey Executive Secretary SPENCER J. COX Governor DEIDRE HENDERSON Lieutenant Governor
WATER QUALITY BOARD
FEASIBILITY REPORT FOR WASTEWATER TREATMENT PROJECT
INTRODUCTION

APPLICANT:
Provo City
351 W Center
Provo, UT 84601
Telephone: [phone]

PRESIDING OFFICIAL Michelle Kaufusi, Mayor

CONTACT: Gordon Haight, Public Works Director

TREASURER: Dan Follett (Treasurer) & Heidi Allman (Recorder)

CONSULTING ENGINEER:
Jenny Calderon, PE, Consulting Engineer
Water Works Engineer
[phone]

BOND COUNSEL:
Eric Hunter, Partner
Chapman and Cutler
[phone]

FINANCIAL ADVISOR
Brian Baker, Vice President
Zions Public Finance
[phone]

APPLICANT’S REQUEST
Provo City (Provo) is requesting funding from the Utah Water Quality Board (Board) in the amount of
$50,530,000 to construct a third bioreactor to expand the plants treatment capacity, collections building,
construct an expanded administration building, and to address aging infrastructure and equipment.

Page 2
APPLICANT’S LOCATION
Provo City is located in Utah County.

PROJECT BACKGROUND
Major upgrades to replace the current 1950’s treatment plant are underway. Construction of two membrane
bioreactor treatment trains is near completion. The current project was funded by the Board with
$92,800,000 in total funding comprised of a 20-year $85,800,000 loan at 0.75% interest and $7,000,000
principal forgiveness. This funding was originally authorized December 4, 2018, with additional funds for
cost escalation authorized January 26, 2022. The total contracted construction cost of the current project is
approximately $114,300,000.

Most of the upgrades identified in this 2024 application were part of the original project but removed from
the design due to costs. The additional work from this project would bring project estimates to
$169,400,000.

PROJECT NEED
Provo currently discharges treated effluent to Mill Race Creek which flows to Provo Bay in Utah Lake.
Mill Race Creek is listed as Category 5 (not supporting) on the 2024 Integrated Report1 for E. coli and
Benthic Macroinvertebrates Bioassessments. Provo Bay is listed in the 2024 Integrated Report as Category
5 (not supporting) for Eutrophication, Harmful Algal Blooms, pH, PCBs in Fish Tissue, Total Ammonia
(as N), and Total Phosphorus. The improvement in effluent water quality discharged from this project will
significantly improve the water quality discharged from the reclamation facility and have a positive impact
on the quality of the water in Provo Bay and Utah Lake.

PROJECT DESCRIPTION
Provo would like to expand the reclamation plant that is currently under construction. The following
upgrades are considered high priority upgrades to the existing facilities and equipment to extend the
capacity and life of assets. Provo is planning to construct an expanded administration building with a lab
and maintenance shop to replace the existing building which is outdated and undersized; a new collection
building to store large equipment; and a third bioreactor and equipment to the membrane tank.

1 https://lf-public.deq.utah.gov/WebLink/DocView.aspx?id=87957&repo=Public&searchid=4009fab5-d508-42a2-9060-0c0af3a14ddb
Page 3
These upgrades would allow Provo to repurpose their existing aeration basins as surge overflow
containment and decommission their final clarifiers, aeration basin pump station, and blower building.

ALTERNATIVES EVALUATED.
Provo developed a Capital Facility Plan that outlined three alternatives: no action; upgrade existing facility;
and construction of a new biological treatment facility that discharges to surface waters.

POSITION ON PROJECT PRIORITY LIST
Provo is currently ranked No. 2 of 14 on the FY 2024 Wastewater Treatment Project Priority List (PPL).

POPULATION GROWTH
Based on the 2020 US Census data the 2020 population was 125,931. According to the State’s projections
Provo has a positive growth rate of 11.9% from 2010 to 2020. This results in a build out population of
176,450 people in 2050.

Year Population
2020 125,931
2040 157,600
2050 176,450

PUBLIC PARTICIPATION AND DEMONSTRATION OF PUBLIC SUPPORT
Provo has held an informational budget presentation with the Provo City Council. Additionally, Provo
provided tours of the facility to the Public Works, Provo City Mayor, Environmental Protection Agency
(EPA), the Division of Water Quality (Division), and local news outlets to discuss infrastructure upgrades.
The Public Works Director, Finance Director, and Mayor have supported pursuing potential funding options
with the Division.

EFFORTS TO SECURE FINANCING FROM OTHER SOURCES
Provo has increased user rates annually since 2014, amounting to a 332% increase to the base rate. They
have changed the rate structure to charge by unit and updated sewer impact fees. Provo investigated the
potential for Water Infrastructure Finance Innovation Act (WIFIA) funding for the project and applied for
funding from the State’s $50 million American Rescue Plan Act (ARPA) matching grant program. Provo
was unable to secure funds under either of these options.

IMPLEMENTATION SCHEDULE
Construction was initiated in 2019. The new project would begin in 2025 and finish in 2027.

APPLICANT’S CURRENT USER CHARGE
Currently, Provo charges approximately $86 per ERU. According to the Board’s criteria of 1.4% MAGI
($34,500 for Provo), a rate of $40.25 per month for wastewater service should be exceeded for grant
consideration. Their impact fee is $4,450.26 and there is no hookup fee.

Page 4

COST ESTIMATE
The total cost of the project is estimated to be $50,530,000.00. A breakdown of these costs follows.
Legal/Bonding $30,000
Loan Origination Fee $500,000
Engineering – Design & CMS $368,000
Wastewater Treatment Plant Upgrades $44,070,000
Contingency (13.6%) $5,562,000
Total Project Costs $50,530,000

Provo has bid the current project with Clean Water State Revolving Fund (CWSRF) requirements from
2018. Unfortunately, these requirements have change for the inclusion of Build America, Buy America Act
(BABA) requirement. Due to this change the project could not be funded out of EPA Capitalization Grants
as an equivalency project. Thus, fund would have to be drawn from revolved balances or match (aka second
round funds). This may cause some limitation on authorization of principal forgiveness funds from the
Bipartisan Infrastructure Law (BIL).

COST SHARING
The total cost of project funding for the entire project is $50,000,000.
Funding Source Cost Sharing Percent of Project
Amount To Be Financed $50,000,000 100%

ESTIMATED ANNUAL COST FOR SEWER SERVICE
Division staff developed static cost models (Attachment 1) to evaluate funding by the Board. The cost
model analyzes several possible funding options. The resulting Total Annual Sewer Cost is shown for each
funding option.

FINANCIAL BURDEN EVALUATION

The cost model shows Provo may qualify for principal forgiveness consideration under the State
Affordability Criteria as part of a funding package depending on the interest rate of the loan portion. In
accordance with the Board’s Financial Burden Evaluation Policy for the Utah Wastewater Project
Assistance Program, Division staff utilized data from the United State Census Bureau (census) website
(https://data.census.gov/cedsci/) to calculate the Provo’s Financial Need Indicator (FNI). The calculated
FNI is 2.25. Division staff compared this FNI to the percent modified MAGI in the Financial Burden Matrix
and displayed the Financial Burden in Attachment 1. Based on the Financial Burden Evaluation Policy for
the Utah Wastewater Project Assistance Program, the community has a Financial Burden of Medium.

DIVISION STAFF COMMENTS
This report is a project introduction. Division staff recommendations will be made in a later Board meeting.

Project Costs Current Customer Base & User Charges
Legal/Bonding 30,000$ Initial Total Customer (ERU's)33,424
Loan Origination Fee 500,000$ MAGI for Provo (2021): $34,500
Engineering - Design & CMS 368,000$ Affordable Monthly Rate at 1.4%$40.25Wastewater Treatment Plant 44,070,000$
Impact Fee (per ERU):$4,450
Current Monthly Fee (per ERU)$86.00
-$
Wastewater Treatment Plant Debt Service 6,286,652.00$
Contingency (13%)5,562,000$ Annual O&M expense 9,500,000.00$
Total Project Cost:50,530,000$
Project Funding Funding Conditions
Loan Repayment Term:20
Reserve Funding Period:6
Amount to be Funded 50,530,000$ Private Market Loan
Loan Repayment Term:20
Total Project Cost:50,530,000$ Reserve Funding Period:-
ESTIMATED COST OF SEWER SERVICE
- 0 50,530,000 3.30%3.70%0 0 3,619,989 9,500,000 6,286,652 19,406,641 48.38 1.68%MEDIUM
- 50,530,000 0 3.30%3.70%3,491,310 872,828 0 9,500,000 6,286,652 20,150,790 50.24 1.75%MEDIUM
1,000,000 49,530,000 0 3.30%3.70%3,422,216 855,554 0 9,500,000 6,286,652 20,064,422 50.02 1.74%MEDIUM50,530,000 0 1.30%3.70%2,885,457 721,364 0 9,500,000 6,286,652 19,393,473 48.35 1.68%MEDIUM- 23,000,000 27,530,000 3.30%3.70%1,589,158 397,289 1,972,260 9,500,000 6,286,652 19,745,359 49.23 1.71%MEDIUM
- 12,000,000 38,530,000 3.30%3.70%829,126 207,281 2,760,304 9,500,000 6,286,652 19,583,364 48.83 1.70%MEDIUM
- 6,000,000 44,530,000 3.30%3.70%414,563 103,641 3,190,147 9,500,000 6,286,652 19,495,002 48.61 1.69%MEDIUM
- 500,000 50,030,000 3.30%3.70%34,547 8,637 3,584,169 9,500,000 6,286,652 19,414,005 48.40 1.68%MEDIUM
1,000,000 500,000 49,030,000 3.30%3.70%34,547 8,637 3,512,529 9,500,000 6,286,652 19,342,364 48.22 1.68%MEDIUM
1,685,800 500,000 48,344,200 3.30%3.70%34,547 8,637 3,463,398 9,500,000 6,286,652 19,293,233 48.10 1.67%MEDIUM*Stated in Application
Local Value State Value Score Weighting Factor Weighting
Score Table **
3.2%3.6%1.80 4 7.20 S2301 FNI Below 1.4% 1.4% to 1.75% 1.75% to 2.1% 2.1% to 2.45 Above 2.45
24.3%9.1%3.00 2.5 7.50 S1701 Below 1.5 Low Low Medium Medium High
26,377$ 35,445$ 2.02 2.5 5.05 B19080 1.5 to 2.5 Low Medium Medium High High
2.0%18.6%2.78 1 2.78 B01003 Above 2.5 Medium Medium High High High
Financial Need Indicator (Sum of weighted Scores/10)2.25
2020 5 year ACS Table ** https://data.census.gov/cedsci/
ATTACHMENT 1
Provo - Water Quality Board
20 Year Loan Static Cost Model
Financial Burden MatrixFNI Calculation
WQB Loan
Interest Rate Private Loan Interest Rate* Principal
Forgiveness WQB Loan Private Loan
Amount Financial Burden WQB Loan
Debt Service
WQB Loan
Reserve
Annual
Sewer
Existing Debt
Service
Total Annual
Sewer Cost
Private Loan
Debt Service
Monthly Sewer
Cost/ ERU
Sewer Cost as % of MAGI
Threshold LQI
Population Growth Rate
Unemployment Rate
Modified MAGI
Poverty Rate

195 North 1950 West • Salt Lake City, UT Mailing Address: PO Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone] www.deq.utah.gov Printed on 100% recycled paper
State of Utah

Department of
Environmental Quality

Kimberly D. Shelley Executive Director
DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board James Webb, Chair Michelle Kaufusi, Vice Chair Carly Castle Robert Fehr Michela Harris Joseph Havasi Trevor Heaton Jill Jones Kimberly D. Shelley John K. Mackey
SPENCER J. COX Governor DEIDRE HENDERSON Lieutenant Governor
M E M O R A N D U M
TO: Water Quality Board
THROUGH: John Mackey, P.E.
FROM: Andrew Pompeo, P.E.
DATE: October 23, 2024
SUBJECT: Change in Scope of Work in Washington County Water Conservancy District
Dry Wash Grant Agreement - Southern Utah Reuse ARPA Grant Program Background
Washington County Water Conservancy District (WCWCD) received two funding authorizations
from the Water Quality Board (Board) under the Southern Utah Reuse Grant program funded through the American Rescue Plan Act (ARPA). WCWCD received funding directed at two water storage reservoirs to store treated effluent from wastewater treatment plants. Funding was authorized in the amount of $4,976,000 for construction of the Chief Toquer Reservoir and
$2,369,000 for construction of the Dry Wash Reservoir. WCWCD’s Request The WCWCD is requesting an amendment to change the Scope of Work (SOW) in the WCWCD
Dry Wash ARPA Grant Agreement. WCWCD would like to change the SOW to include the
construction of Chief Toquer Reservoir in the Project Statement. The ARPA Grant Agreement SOW – Project Statement currently states: “This project will involve the construction of a reservoir for the storage of Type I treated
effluent from the St. George Regional Water Reclamation Facility.”
The Dry Wash Reservoir project is currently under public review, and plans and specs have not been submitted yet for approval. The construction of Chief Toquer Reservoir is already well underway; and the plans and specs for Chief Toquer Reservoir have already been submitted. This
amendment would allow WCWCD to put some or all of the $2,369,000 in grant funds toward the
construction of Chief Toquer Reservoir.
Page 2

Staff Discussion
Staff is supportive of the WCWCD’s request. All ARPA projects must have an executed grant
agreement by no later than December 31, 2024. After December 31, 2024, any new grant
agreements or agreement amendments must follow strict outlines of the US Department of Treasury. Prior to December 31, 2024, this amendment can be readily made and executed. In addition, all ARPA funds must be expended by no later than December 31, 2026. A similarly structured agreement was used for the West Weber ARPA funding and would allow flexibility to staff and
WCWCD ensure the ARPA funds are spent and the project completed by the deadline.
Staff Recommendation
Staff recommends the Board motion to: authorize the Scope of Work Project Statement in the Dry Wash Reservoir ARPA Grant agreement to be amended to:
“This project will involve the construction of reservoirs for the storage of Type I treated
effluent from the St. George Regional Water Reclamation Facility or Ash Creek SSD Confluence Park Wastewater Treatment Facility. The funds in this Grant Agreement may be used for the construction of the Dry Wash Reservoir or Chief Toquer Reservoir.”
195 North 1950 West • Salt Lake City, UT Mailing Address: PO Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone]
www.deq.utah.gov Printed on 100% recycled paper
State of Utah

Department of
Environmental Quality
Kimberly D. Shelley Executive Director
DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board James Webb, Chair Michelle Kaufusi, Vice Chair Michela Harris Joseph Havasi Trevor Heaton Robert Fehr Jill Jones Kimberly D. Shelley John K. Mackey Executive Secretary
SPENCER J. COX Governor
DEIDRE HENDERSON Lieutenant Governor
M E M O R A N D U M
TO: Water Quality Board
THROUGH: John K. Mackey, P.E., Director
FROM: Justine Marshall
DATE: October 23, 2024
SUBJECT: Request for Approval of Administrative Settlement Agreement for Mona City
Corporation, Docket No. M23-01
The Utah Water Quality Act, Utah Code Section 19-5-104(3)(g) requires any settlement negotiated by the Director of the Division of Water Quality (Division) with a civil penalty of $25,000 or more be reviewed and approved or disapproved by the Utah Water Quality Board (Board). The Division
is requesting Board approval to execute a settlement with Mona City Corporation (Mona).
Mona is a municipality located in Juab County, Utah, and is the legal owner and operator of the Mona City Wastewater Treatment Plant (Facility), and associated sewer collection system. The Facility is located at approximately 300 West 560 North, Mona, Utah 84645 in Juab County. Mona
is authorized to discharge into unclassified wetlands to Mona Reservoir under Utah Pollutant
Discharge Elimination System (UPDES) Permit No. UT0025950 (UPDES Permit). Mona’s associated sewer collection system is covered under a Sanitary Sewer General Permit for Operation of a Sewer Collection System Permit No. UTG580186 (USMP Permit). Mona serves approximately 1,600 residents and does not currently include any categorical industries in the service area. Mona
has had ongoing unauthorized discharges of untreated wastewater, effluent exceedances for
Ammonia [as N], Biochemical Oxygen Demand, and Total; and reporting violations.
The Facility has been experiencing flow back-ups and overflows of untreated domestic wastewater from the sewer collection system. Specifically, from a manhole next to the Facility and from the
last manhole on the sanitary sewer line prior to entering the Facility’s pump station. The membrane
bioreactor permeate pumps have failed and the membrane filters are clogged; causing the levels of activated sludge in the filter basins to rise and overflow within the Facility. Debris from these overflows were observed on the walls and at the top of the tanks and basins within the Facility. Additionally, the Facility does not have an influent or effluent flow meter.
Page 2
The Division issued a Cease & Desist Order on March 1, 2023 and a Notice of Violation (NOV/CO),
Docket No. M23-01 on April 19, 2023. The negotiated civil penalty for the NOV/CO (attached) is
$30,800.64 as specified in the Stipulated Compliance Order (SCO). The public comment period for the proposed SCO was from August 8, 2024 to September 9, 2024. No public comments were received. The proposed partially signed SCO can be accessed at https://deq.utah.gov/water-quality/mona-city.

The terms of the SCO in Docket No. M23-01 are as follows: Penalty held in abeyance $8,220.00 Penalty to the State of Utah $22,580.64

Total Civil Penalty $30,800.64 The proposed partially signed SCO represents what the Division believes to be a fair and reasonable
settlement. It is the Division’s recommendation that this settlement be approved by the Board for
execution by the Director.

DWQ-2024-006333
1
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY DIVISION OF WATER QUALITY

This Notice of Violation and Compliance Order (“NOV/CO”) is issued to Mona City Corporation (“Mona City”) in its capacity as operator of Mona City Wastewater Treatment
Facility, located at approximately 300 West 560 North, Mona, Utah 84645 (“Wastewater
Treatment Facility”) and the associated Sewer Collection System, based upon the Facts and Determinations asserted herein. This NOV/CO is issued by the Director of the Utah Division of Water Quality (“Director”) pursuant to the Director’s authority under the Utah Water Quality Act, Utah Code §§ 19-5-101 to 19-5-124 (the “Act”) and the Utah Admin.
Code R317-1 et. seq. (“Water Quality Rules”). This NOV/CO is also issued in accordance
with the administrative procedures of the Utah Department of Environmental Quality, Utah Admin. Code R305-7 et. seq. A. STATUTORY AUTHORITY

1. The State of Utah’s surface water quality programs as adopted in the Act by the Utah Legislature operate with federal oversight and under delegation from the Environmental Protection Agency (“EPA”) under the federal Clean Water Act, 33 U.S.C. 1342.

2. The Director is authorized to issue, continue in effect, renew, revoke, modify or deny discharge permits and to issue orders under the Act and in accordance with Utah Code § 19-5-106(2)(d) and may enforce rules made by the Board through the issuance of orders.

3. The Utah Division of Water Quality (“Division”) was created to administer the Act under the immediate direction and control of the Director pursuant to Utah Code § 19-1-105.
4. EPA delegated authority to the State of Utah to administer the National Pollutant
Discharge Elimination System permit program under the Federal Clean Water Act, known in Utah as the Utah Pollutant Discharge Elimination System (“UPDES”).
In the Matter of: Mona City Corporation Wastewater Treatment Plant
Sewer Collection System
UPDES Permit No. UT0025950 USMP Permit No. UTG580186
NOTICE OF VIOLATION AND COMPLIANCE ORDER
DOCKET NO. M23-01

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5. Pursuant to Utah Code § 19-5-111, whenever the Director determines that there are
reasonable grounds to believe that there has been a violation of the Act, the Water
Quality Rules, or any order of the Director or the Board, the Director may issue a notice of violation. In that event, the notice shall require that the matters complained of be corrected.
6. Utah Code § 19-5-115 provides that any person who violates a rule or order made or
issued pursuant to the Act, or any rule or order made thereunder, may be subject, in a civil proceeding, to a civil penalty of up to $10,000 per day of violation. Higher penalties and other sanctions may arise in situations amounting to knowing or willful violations.

7. The Director is authorized to specify a schedule of compliance in a permit leading to compliance with the Act pursuant to Utah Admin. Code R317-8-5.2. B. APPLICABLE STATUTORY AND REGULATORY PROVISIONS

1. Utah Code § 19-5-107(1)(a) and (b) state: (a)“Except as provided in [the Act] or [Water Quality Rules], it is unlawful for any person to discharge a pollutant into waters of the state or to cause pollution which constitutes a menace to public health and welfare, or is harmful to wildlife, fish or aquatic life, or impairs domestic, agricultural, industrial,
recreational, or other beneficial uses of water, or to place or cause to be placed any
waste in a location where there is probable cause to believe it will cause pollution. (b) For purposes of injunctive relieve, any violation of this subsection is a public nuisance.” 2. Utah Code § 19-5-107(2)(a) and (b) state: (a) “A person may not generate, store, treat,
process, use transport, dispose, or otherwise manage sewage sludge, except in
compliance with [the Act] and rules made under it. (b) For purposes of injunctive relief, any violation of this subsection is a public nuisance.” 3. Utah Code § 19-5-107(3)(a) states: “It is unlawful for any person, without first securing
a permit from the director, to make any discharge or manage sewage sludge not
authorized under an existing valid discharge permit.” 4. Utah Code § 19-5-102(22) defines “Waste” or “pollutant” as “dredged spoil, solid waste, incinerator residue, sewage, garbage, sewage sludge, munitions, chemical
wastes, biological materials, radioactive materials, heat, wrecked or discarded
equipment, rock, sand, cellar dirt, and industrial, municipal, and agricultural waste discharged into water.” 5. Utah Code § 19-5-102(23)(a) defines “Waters of the state” as “streams, lakes, ponds,
marshes, watercourses, waterways, wells, springs, irrigation systems, drainage
systems, and all other bodies or accumulations of water, surface and underground, natural or artificial, public or private, that are contained within, flow through, or border upon this state or any portion of the state.”
3
6. Utah Admin. Code R317-8-4.1(1)(a) requires that the permittee must comply with all
conditions of the UPDES permit. “Any permit noncompliance is a violation of the Utah
Water Quality Act . . . and is grounds for enforcement action; permit termination, revocation and reissuance or modification; or denial of a permit renewal application.” 7. Utah Admin. Code R317-8-4.1(1)(b)(5) states, “the permittee shall at all times properly
operate and maintain all facilities and systems of treatment and control and related
appurtenances which are installed or used by the permittee to achieve compliance with the conditions of the permit . . . This provision requires the operation of backup or auxiliary facilities or similar systems which are installed by a permittee only when the operation is necessary to achieve compliance with the conditions of the permit.”

8. Utah Admin. Code R317-8-4.1(13)(a)(1) defines “Bypass” as “the intentional diversion of waste streams from any portion of a treatment facility.” 9. Utah Admin. Code R317-8-4.1(13)(c) states, “bypass is prohibited, and the Director
may take enforcement action against a permittee for bypass . . .”
10. Utah Admin. Code R317-8-4.1(13)(d) requires permittees to provide notice of bypasses to the Director in all instances either prior to the bypass or immediately thereafter.
11. Pursuant to Utah Admin. Code R317-801-1, any federal or state agency, municipality,
county, district, and other political subdivision of the state that owns or operates a sewer collection system is required to comply with the Utah Sewer Management Program (“USMP”).
12. Utah Admin. Code R317-801-1.2 defines “Permittee” under the USMP as,
“the…municipality, county, district, and other political subdivision of the state that owns or operates a sewer collection system or who is in direct responsible charge for operation and maintenance of the sewer collection system.”
13. Utah Admin. Code R317-801-1.2 defines “Sewer Collection System” as, “a system for
the collection and conveyance of wastewaters or sewage from domestic, industrial and commercial sources. The Sewer Collection System does not include sewer laterals under the ownership and control of an owner of real property, private sewer systems owned and operated by an owner or real property, and systems that collect and convey
stormwater exclusively.”
14. Utah Admin. Code R317-801-1.2 defines “sanitary sewer overflow (“SSO”)” as “the escape of wastewater or pollutants from or beyond the intended or designed containment of a sewer collection system.”

4
15. Utah Admin. Code R317-801-1.2 defines a “Class 1 SSO” (Significant SSO) as, “a
SSO or backup that is not caused by a private lateral obstruction or problem that . . .
may result in a public health risk to the general public . . . or discharges to Waters of the state.” 16. Utah Admin. Code R317-801-3.1 prohibits any SSO that, 1) results in a discharge of
untreated or partially treated wastewater to waters of the State; and/or 2) creates a health
hazard, nuisance, or is a threat to the environment or the public. 17. Utah Admin. Code R317-801-3.2(1) requires permittees to take all feasible steps to eliminate the potential of an SSO, including by not limited to “properly managing,
operating, and maintaining all parts of the Sewer Collection System . . . allocating
adequate resources for the operation, maintenance, and repair of its Sewer Collection System, by establishing a proper rate structure, accounting mechanisms, and auditing procedures to ensure an adequate measure of revenues and expenditures in accordance with generally accepted accounting practices; and, providing adequate capacity to
convey base and peak flows, including flows related to normal wet weather events . .
.” 18. Utah Admin. Code R317-801-3.2(3) requires permittees to take all feasible steps to complete the following when an SSO occurs: (a) control, contain, or limit the volume
of untreated or partially treated wastewater discharged; (b) terminate the discharge; (c)
recover as much of the wastewater discharged as possible for proper disposal, including any wash down water; and (d) mitigate the impacts of the SSO. C. FACTS & DETERMINATIONS
1. Mona City is a municipality located in Juab County, Utah and is the legal owner and
operator of the Wastewater Treatment Facility, and associated sewer collection system, located approximately at 300 West 560 North, Mona, Utah 84645 in Juab County. 2. The Wastewater Treatment Facility is designed to return excess flows from the
Wastewater Treatment Facility back to the lift station. During times of heavy return
flows from the Wastewater Treatment Facility, the capacity of the sanitary sewer line leading to the lift station is reduced. For this facility, the Division considers the lift station to be a part of the Wastewater Treatment Facility, as opposed to the sanitary sewer system.

3. The Director issued the Utah Pollutant Discharge Elimination System Permit No. UT0025950 (“UPDES Permit”) to Mona City on January 3, 2020, authorizing discharges from the Wastewater Treatment Facility at Outfall 001 to Unclassified Wetland to Mona Reservoir. The UPDES Permit became effective on January 3, 2020
and expired on December 31, 2022. The UPDES Permit has been administratively
extended and a draft is on public notice.
5
4. The Director issued the General Permit for Operation of a Public Sanitary Sewer Collection System in the State of Utah, UTG580000, on September 20, 2012 (effective
October 1, 2012)(“2012 USMP Permit”) authorizing public sewer collection entities
(i.e. municipalities) to operate a public wastewater sewer collection system. The Director reissued the General Permit for Operation of a Public Sanitary Sewer Collection System in the State of Utah on November 21, 2017 (effective December 1, 2017) (“2017 USMP Permit”). The Director reissued the Sanitary Sewer General
Permit for Operation of a Sewer Collection System in the State of Utah on March 20,
2023 (effective April 1, 2023) (“2023 USMP Permit”). 5. Utah Admin. Code R317-801-2 requires all permittees to submit to the Division a Notice of Intent (“NOI”) to be covered by the USMP Permit for sewer collection
systems. Mona City submitted a NOI on March 9, 2015, receiving 2012 USMP Permit
coverage under the unique identification number ‘UTG580186.’ i. The 2012 USMP Permit Part I.A.3. required resubmission of an NOI prior to September 30, 2017 for continued coverage after expiration of the 2012
USMP Permit. Mona City failed to submit an NOI prior to September 30,
2017. ii. The 2017 USMP Permit required a renewed NOI submission at least sixty (60) days prior to the 2017 USMP Permit expiration date of November 30, 2022. As of the date of this NOV/CO, the Division has not received a
resubmitted NOI from Mona City for their sewer collection system and
Mona City has been operating its sewer collection system without USMP permit coverage since November 30, 2017. 6. UPDES Permit Part I.C.2.a. contains effluent concentration limitations for pollutant
discharges from Outfall 001 at the Wastewater Treatment Facility including, but not
limited to Total Flow, Biochemical Oxygen Demand (“BOD”), Ammonia (as N), and pH. 7. On October 8, 2021, the Division issued a Warning Letter to Mona City for effluent
concentration limitation exceedances occurring between March 2020 and February
2021. According to the certified Discharge Monitoring Reports (“DMRs”) submitted by Mona City, as required by UPDES Permit Part I.D.1., the pollutant parameters exceeding the UPDES Permit limitations were Total Flow and Ammonia (as N) as summarized in the following table, with violations identified in bolded, italicized and
underlined text (Note: the Warning Letter erroneously identified the Ammonia
exceedances as occurring in the year 2021 and did not identify the BOD exceedance that occurred in April 2021, these have been corrected in the table below):
Report Certification Date
Monitoring Period End Date
Pollutant Parameter Effluent Limitation Reported Value % Exceedance
PERMIT ISSUED JANUARY 03, 2020 (EXP. DECEMBER 31, 2022)
4/01/2020 3/31/2020 Total Flow monthly max 0.5 MGD 0.61 MGD 22%
6
Report Certification Date
Monitoring Period End Date
Pollutant Parameter Effluent Limitation Reported Value % Exceedance
7/08/2020 4/30/2020 Total Flow monthly max 0.5 MGD 0.54 MGD 8%
7/08/2020 6/30/2020 Total Flow monthly max 0.5 MGD 0.51 MGD 2%
9/25/2020 7/31/2020 Ammonia (as N) monthly max 2.4 mg/L 28.3 mg/L 1079%
9/25/2020 7/31/2020 Total Flow monthly max 0.5 MGD 1.2 MGD 140%
9/25/2020 8/31/2020 Ammonia (as N) monthly max 2.4 mg/L 30.6 mg/L 4175%
9/25/2020 8/31/2020 Total Flow monthly max 0.5 MGD 1.31 MGD 162%
9/30/2020 9/30/2020 Total Flow monthly max 0.5 MGD 0.87 MGD 74%
1/22/2021 10/31/2020 Total Flow monthly max 0.5 MGD 1.32 MGD 164%
1/22/2021 11/30/2020 Total Flow
monthly max 0.5 MGD 1.38 MGD 176%
1/22/2021 12/31/2020 Total Flow monthly max 0.5 MGD 1.12 MGD 124%
3/04/2021 1/31/2021 Total Flow monthly max 0.5 MGD 1.57 MGD 214%
3/04/2021 2/28/2021 Total Flow monthly max 0.5 MGD 1.43 MGD 186%
9/10/2021 4/30/2021 BOD monthly max 25 mg/L 27.0 mg/L 8%

8. UPDES Permit Part I.D.1. requires DMRs to be submitted to the Division “no later than the 28th day of the month following the completed reporting period.” The DMR for the January 2023 monitoring period was submitted on March 10, 2023, ten (10) days after the required submittal date.

9. On January 13, 2023, the Division was notified by a private citizen of a sewage overflow allegedly caused by the Wastewater Treatment Facility. The notification stated that “[the Mona City sewer plant] has raw sewage coming out of the building and the manholes…”. The notification was recorded in the Utah Department of
Environmental Quality Environmental Incidents Database as Report Number 16093.
10. On January 17, 2023, a representative from the Central Utah Health Department inspected areas surrounding a lift station associated with the Wastewater Treatment Facility and noted a strong smell of sewage.

11. On January 18, 2023, the Division received an “Initial Non-Compliance Notification” report from Mona City which notified the Division of two (2) “overflow” events occurring on August 24, 2022 and December 23, 2022. The report states, “Two plant permeate pumps failing, causing plant [Membrane Bioreactor’s] to not function
properly, causing overflow of tanks, and discharge outside of building when open doors
to get inside.” The report also states that “repair parts have had long lead times, and city finances have been limited for repair.”
7
12. UPDES Permit part V.H. requires Mona City to orally report noncompliance events,
including spills, to the Division no later than twenty-four (24) hours from becoming
aware of the circumstances as well as provide the Division with a written submission within five (5) days of becoming aware of the circumstances. Mona City failed to provide the Division with the oral and written notifications within the timeframes specified in UPDES Permit part V.H. for the discharge events that occurred on August
24, 2022 and December 23, 2022.
13. On February 9, 2023, a representative of the Division observed a bypass discharge from a sewer collection system access point (“Manhole #2”), located at approximately Lat/Long 39.825, -111.8625, as evidenced by the observed raw sewage and
paper/plastic products surrounding the manhole. The Division considers the February
9, 2023 release of untreated sewage from Manhole #2 a bypass because the Wastewater Treatment Facility diverted excess untreated sewage from within the Wastewater Treatment Facility back to the lift station to prevent it from reaching the failed permeate pumps. The excess return flows from the Wastewater Treatment Facility to the lift
station caused the back up in the sanitary sewer, leading to the bypass. Regardless of
whether the bypass was anticipated, an emergency or unanticipated, Mona City failed to provide the Director with the required notifications, the required documentation, or, to the Division’s knowledge, the required notification to the Director of the Utah Department of Natural Resources as required under Utah Admin. Code R317-8-
4.1(13)(d).
14. In the alternative, the Division asserts the February 9, 2023 release of untreated sewage from the sewer collection system Manhole #2 constitutes a Class 1 SSO that Mona City failed to report or mitigate, as required by Utah Admin. Code R317-801-3.2(2)-(3).
Specifically, Utah Admin. Code R317-801-4.1(1) requires Mona City to report the SSO
to the Division orally within twenty-four (24) hours, and to submit a written report within five (5) days. The Division did not receive an oral notification nor written submission from Mona City regarding the February 9, 2023 SSO. Additionally, the Division does not have reason to believe that Mona City took all feasible steps to: 1)
control, contain, or limit the volume of untreated or partially treated wastewater
discharged; 2) terminate the discharge; 3) recover as much of the wastewater discharged as possible for proper disposal, including any wash down water; and, 4) mitigate the impacts of the February 9, 2023 SSO.
15. On February 10, 2023, Division representatives inspected the Wastewater Treatment
Facility lift station, located at approximately 645 East 300 South in Mona City, Utah 84645 (approximately Lat/Long 39.82560, -111.86232), along with Manhole #2 and a second manhole associated with Mona City’s sewer collection system (“Manhole #1,” located at approximately Lat/Long 39.82527, -111.862222). Manhole #1 is located
south of the Wastewater Treatment Facility lift station, in the private property adjacent
to the Wastewater Treatment Facility, whereas Manhole #2 is located further south of Manhole #1.
8
16. On February 10, 2023, the Division representatives observed a bypass discharge from Manholes #1 and #2. The bypass discharged to a culvert located at approximately
Lat/Long 39.824990, -111.862501. The culvert outlet discharges to unclassified
wetlands before entering into Currant Creek, at a location within the Mona Reservoir. The Division considers the February 10, 2023 release of untreated sewage from Manholes #1 and #2 a bypass because the Wastewater Treatment Facility diverted excess untreated sewage from within the Wastewater Treatment Facility back to the lift
station to prevent it from reaching the failed permeate pumps. The excess return flows
from the Wastewater Treatment Facility to the lift station caused the back up in the sanitary sewer, leading to the bypass. Regardless of whether the bypass was anticipated, an emergency or unanticipated, Mona City failed to provide the Director with the required notifications, the required documentation, or, to the Division’s knowledge, the
required notification to the Director of the Utah Department of Natural Resources as
required under Utah Admin. Code R317-8-4.1(13)(d). 17. In the alternative, the Division asserts the February 10, 2023 release of untreated sewage from the sewer collection system manholes constitute an SSO that Mona City
failed to report or mitigate, as required by Utah Admin. Code R317-801-3.2(2)-(3).
Specifically, Utah Admin. Code R317-801-4.1(1) requires Mona City to report the SSO to the Division orally within twenty-four (24) hours, and to submit a written report within five (5) days. The Division did not receive an oral notification nor written submission from Mona City regarding the February 10, 2023 SSO. Additionally, the
Division does not have reason to believe that Mona City took all feasible steps to: 1)
control, contain, or limit the volume of untreated or partially treated wastewater discharged; 2) terminate the discharge; 3) recover as much of the wastewater discharged as possible for proper disposal, including any wash down water; and, 4) mitigate the impacts of the February 10, 2023 SSO.

18. Utah Admin. Code R317-2-13 classifies the location of Currant Creek stream within the Mona Reservoir as a 2B, 3B, 4 Water of the State, establishing the following protections:
i. Class 2B – Protected for infrequent primary contact recreation. Also
protected for secondary contact recreation where there is a low likelihood of ingestion of water or a low degree of bodily contact with water. ii. Class 3B – Protected for warm water species of game fish and other warm water aquatic life, including the necessary aquatic organisms in their food
chain.
iii. Class 4 – Protected for agricultural uses including irrigation of crops and stock watering. 19. Utah Admin. Code R317-2-14. Numeric Criteria lists the following, but is not limited
to, numeric criteria for Currant Creek within Mona Reservoir:
i. E. coli 30-day geometric mean: 206/100 mL; ii. E. coli maximum: 668/100v mL;
9
iii. Total Dissolved Solids (“TDS”): 1200 mg/L; iv. Biochemical Oxygen Demand (“BOD”): 5 mg/L

20. On February 10, 2023, Division representatives collected five (5) samples from the following locations impacted by the February 10, 2023 release: i. Sample #1: Wastewater from Manhole #1; ii. Sample #2: Wastewater from Manhole #2;
iii. Sample #3: Stream water from Currant Creek, upstream of discharge point;
iv. Sample #4: Stream water from Currant Creek, at discharge point location where untreated domestic wastewater entered Currant Creek; and v. Sample #5: Stream water from Currant Creek, downstream of discharge point.
The Division delivered these samples to Chemtech-Ford Laboratories in Sandy City,
Utah on February 10, 2023, and the samples were assigned Lab ID # 23B0914. The Division received the analytical report on February 17, 2023 and the results are summarized in the following table, with violations of the Utah Water Quality Standards indicated in bolded, italicized and underlined text:

Lab ID # 23B0914, February 10, 2023
Pollutant Sample #1 (Manhole #1) Sample #2 (Manhole #2) Sample #3 (Upstream) Sample #4 (Discharge point) Sample #5 (Downstream) E. coli >2400/100 mL >2400/100 mL 230/100 mL >2400/100 mL >2400/100 mL TSS 1630 mg/L 52 mg/L 10 mg/L 36 mg/L 38 mg/L
BOD 761 mg/L 207 mg/L 5 mg/L 30 mg/L 36 mg/L 21. On February 16, 2023, Division representatives collected four (4) samples from the following locations, as a follow-up inspection of the areas impacted by the February
10, 2023 release: i. Sample #1: Stream water from Currant Creek, upstream of discharge point; ii. Sample #2: Stream water from Currant Creek, at discharge point location where untreated domestic wastewater was previously observed to have entered the Creek;
iii. Sample #3: Water from the adjacent wetlands at the culvert outfall; and iv. Sample #4: Stream water from Currant Creek, downstream of discharge point.
The Division delivered these samples to Chemtech-Ford Laboratories in Sandy City, Utah on February 16, 2023 and the samples were assigned Lab ID # 23B1333. The
Division received the analytical report on February 23, 2023 and the results are summarized in the following table, with violations of the Utah Water Quality Standards indicated in bolded, italicized and underlined text: Lab ID #23B1333, February 16, 2023
Pollutant Sample #1 (Upstream) Sample #2 (Discharge point) Sample #3 (Wetlands) Sample #4 (Downstream) E. coli 1000/100 mL >2400/100 mL >2400/100 mL 1400/100 mL TSS 21 mg/L 130 mg/L 1980 mg/L 26 mg/L
10
BOD 7 mg/L 39 mg/L 1210 mg/L Non-detect
22. On February 17, 2023, the Division completed a compliance evaluation inspection of
the Wastewater Treatment Facility. The inspection report was issued to Mona City on April 17, 2023 in a letter dated April 13, 2023 and documented the following findings: i. The Wastewater Treatment Facility has been experiencing flow back-ups and overflows of untreated domestic wastewater from the sewer collection system. Specifically, from a manhole next to the Wastewater Treatment
Facility and from the last manhole on the sanitary sewer line prior to entering the Wastewater Treatment Facility pump station. ii. The membrane bioreactor permeate pumps have failed and the membrane filters are clogged, causing the levels of activated sludge in the filter basins to rise and overflow within the Wastewater Treatment Facility; debris from
these overflows were observed on the walls and at the top of the tanks and basins within the Wastewater Treatment Facility. Based on these observations during the inspection, it is determined that the Wastewater Treatment Facility is not being properly operated or maintained in a way to prevent discharges from internal basins and the sewer collection system,
including the pump station, in accordance with Utah Admin. Code R317-8-4.1(5) and R317-801-3. iii. The Wastewater Treatment Facility does not have an influent or effluent flow meter. Instead, flows are calculated based on pump rate. Due to the excess flows that are routed back to the pump station from the Wastewater
Treatment Facility, the calculated flow rate is, therefore, inaccurate and thus Mona City is out of compliance with the Self-Monitoring Requirements of UPDES Permit part I.C.a. iv. pH testing of the Wastewater Treatment Facility effluent is not conducted onsite. Mona City is utilizing Chemtech-Ford Laboratories to analyze the
Wastewater Treatment Facility effluent samples for pH. Based on the nearest location of Chemtech-Ford Laboratories (approximately 40-miles North of Mona City), the Wastewater Treatment Facility pH samples are not analyzed within the required holding time of fifteen (15) minutes in accordance with 40 CFR 136 and Utah Admin. Code R317-8-4.1(10)(d).
23. On March 1, 2023 the Division issued a Cease & Desist Order (“Order”) to Mona City, ordering the following, “immediately cease and desist all unpermitted discharges which violate the Utah Water Quality Act, associated Rules and permits” and “initiate all action required to come into compliance with all applicable provisions of the Utah Water Quality Act…”.
11

D. VIOLATIONS
Based on the foregoing Facts and Determinations, Mona City has violated the following: 1. Utah Admin. Code R317-801-2.1 for failure to operate under the coverage of the
General Permit for sewer collection systems.
2. UPDES Permit No. UT0025940 condition I.C.2.a. Effluent Limitation for Total Flow. 3. UPDES Permit No. UT0025940 condition I.C.2.a. Effluent Limitation for Ammonia
(as N).
4. UPDES Permit No. UT0025940 condition I.C.2.a. Effluent Limitation for BOD. 5. UPDES Permit No. UT0025940 condition I.D.1. for failure to submit DMR within 28 days of the end of the previous reporting period.

6. UPDES Permit No. UT0025940 condition I.A. for discharge at location not authorized under the Permit. 7. UPDES Permit No. UT0025940 condition V.H.1. for failure to orally report, within
twenty-four (24) hours, the unauthorized discharges that occurred on August 24, 2022
and December 23, 2022. 8. UPDES Permit No. UT0025940 condition V.H.3. for failure to provide written submission, within five (5) days, of the unauthorized discharges that occurred on
August 24, 2022 and December 23, 2022.
9. Utah Admin. Code R317-8-4.1(13)(d) for failure to follow the notice and documentation requirements for bypass. Alternatively, Utah Admin. Code R317-801-3.1(1) and R317-801-3.2(2)-(3) for discharging untreated or partially treated
wastewater to waters of the State, failure to follow reporting requirements and failure
to take all required feasible mitigation steps for the SSOs occurring on February 9, 2023 and February 10, 2023. 10. Utah Admin. Code R317-2-7 and R317-2-14. for discharging wastes in such a manner
that caused a violation of the Utah Water Quality numeric criteria for E. Coli.
11. Utah Admin. Code R317-2-7 and R317-2-14. for discharging wastes in such a manner that caused a violation of the Utah Water Quality numeric criteria for BOD.
12. Utah Admin Code R317-2-7.2 for discharging waste in such a manner that caused a
violation of the Utah Water Quality Narrative Standard.
12
13. Utah Admin. Code R317-8-4.1(5) for failure to properly operate and maintain, at all times, all facilities and systems of treatment and control and related appurtenances
which are installed or used to achieve compliance with the conditions of the UPDES
Permit. 14. UPDES Permit No. UT0025940 condition V.A. for failure to collect representative samples for pH and Total Flow.

E. ORDER Based on the foregoing Facts and Determinations, and Violations and pursuant to Utah
Code §§ 19-5-107 and 19-5-111, Mona City is hereby ORDERED to:
1. As of the date of issuance of this NOV/CO, if not already initiated, initiate all action required to come into compliance with all applicable provisions of the Utah Water Quality Act in Utah Code Title 19, Chapter 5 and the Water Quality Rules in the Utah
Admin. Code R317.
2. Cease and desist all un-permitted actions and/or discharges. 3. Submit an NOI to obtain coverage under the 2023 USMP Permit within thirty (30)
calendar days of the date of issuance of this NOV/CO.
4. Submit a report containing the information below. The report must be submitted to the Director within thirty (30) days of the date of issuance of this NOV/CO and must provide the information listed below:
i. An evaluation of what caused the cited violations. This information should
include the facts of the specific violations or discharge outlined in the Facts and Determinations, as well as any other information regarding the violations and releases that occurred that may be important in resolving the violations listed in Section D of this NOV/CO.
ii. Describe, in detail, the actions taken and/or planned to be implemented
(including dates), to attain and continue to be in full compliance with this NOV/CO, the UPDES Permit and the USMP Permit. iii. Describe, in detail, any environmental mitigation and restoration plans for the area affected by the discharge, and the expected timetables related to these
plans.

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F. NOTICE

Mona City may contest this NOV/CO by filing and serving a written Request for Agency Action as provided in Utah Admin. Code R305-7-303 and R305-7-104(5). The NOV/CO is effective upon issuance (date signed) and, even if it is contested, remains effective unless a stay is issued or the NOV/CO is rescinded, vacated or otherwise terminated.

Failure to contest this NOV/CO within the period specified in Utah Admin. Code R305-7-303(5) [30 days] waives any right to contest the NOV/CO or to seek judicial review. All reports required under this NOV/CO must be accompanied by the following
certification, which is to be signed in accordance with Utah Admin. Code R317-8-3.4(4):
“I certify under penalty of law that this document and all attachments were prepared under my direction or supervision in accordance with a system designed to assure that qualified personnel properly gather and evaluate the
information submitted. Based on my inquiry of the person or persons who
managed the system, or those persons directly responsible for gathering the
information, the information submitted is, to the best of my knowledge and belief, true, accurate, and complete. I am aware that there are significant penalties for submitting false information, including the possibility of fine or imprisonment for
knowing violations.”
Utah Code § 19-5-115 provides that violation of the Water Quality Act or a related Order may be subject to a civil penalty of up to $10,000 per day of violation. Under certain circumstances of willfulness or gross negligence, violators may be fined up to $25,000 per
day of violation. Failure to comply with this NOV/CO may result in additional civil
penalties or criminal fines under Utah Code § 19-5-115. Issued this Eighteenth day of April, 2023.

___________________________ John K. Mackey, P.E. Director, Division of Water Quality DWQ-2023-004843

State of Utah
SPENCER J. COX Governor DEIDRE HENDERSON Lieutenant Governor
Department of
Environmental Quality
Kimberly D. Shelley Executive Director
DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board James Webb, Chair Michelle Kaufusi, Vice Chair Michela Harris Joseph Havasi Trevor Heaton Robert Fehr Jill Jones Kimberly D. Shelley John K. Mackey Executive Secretary

M E M O R A N D U M

TO: Utah Water Quality Board
THROUGH: John K. Mackey, P.E., Director
FROM: Adriana Hernandez, Contract/Grant Analyst
DATE: October 23, 2024
SUBJECT: Request for Public Comment on the FY 2024 Intended Use Plan The Division of Water Quality is requesting approval from the Utah Water Quality Board to initiate the public comment period for the FY 2024 Intended Use Plan.
As a condition of the Clean Water Stater Revolving Fund (CWSRF) capitalization grant, the U.S. Environmental Protection Agency (EPA) requires that the State of Utah provide an annual Intended Use Plan (IUP). The IUP identifies both long and short-term goals of the CWSRF and addresses specific program
requirements such as additional subsidy, green project reserve, and state match. The IUP also contains the Project Priority List which shows current projects ranked using criteria such as project need, potential improvement, and population affected.
Additionally, the CWSRF Capitalization Grant application includes the new Bipartisan Infrastructure Law (BIL) allocations for General Supplemental and Emerging Contaminants funding. The IUP encompasses all
three funding sources and addresses additional program requirements per BIL. The IUP also addresses the Sewer Overflow and Stormwater Reuse Municipal Grant, which is the newest funding source that partners with the SRF.
Due to the dynamic nature of wastewater projects, the documents are updated on an ongoing basis throughout the fiscal year. The Water Quality Board will be informed of these updates by way of the Financial Status Report, the Project Priority List, and feasibility reports.
The Division of Water Quality will publish a notification in the newspaper to advertise the IUP. Staff will post the document on the Division of Water Quality’s website for public review and comment. Following the public comment process, the IUP will be submitted to EPA as part of the 2024 CWSRF Capitalization
Grant application.

195 North 1950 West • Salt Lake City, UT Mailing Address: PO Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone]
www.deq.utah.gov
Printed on 100% recycled paper
1 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY

.

Intended Use Plan FY24

Prepared by The Division of Water Quality

August 2024

2 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
INTENDED USE PLAN FY24
Prepared by:
Adriana Hernandez, Ken Hoffman, Emily Cantón
Utah Department of Environmental Quality
Division of Water Quality
195 North 1950 West
Salt Lake City, UT 84116
August 2024
3 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
CONTENTS
CHAPTER 1. Introduction ........................................................................................................................................................... 4
1.1 Public Comment Process……………………………………………………………………………………………………………………….5
CHAPTER 2. Program Operations .............................................................................................................................................. 6
2.1 Transfer of Clean Water State Revolving Funds ........................................................................................................ 6
2.2 Extended Financing Terms ......................................................................................................................................... 7
2.3 Additional Subsidization ............................................................................................................................................ 7
2.4 Green Project Reserve ................................................................................................................................................ 8
2.5 Program Assurances ...................................................................................................................................................8
CHAPTER 3. CWSRF Project Funding ....................................................................................................................................... 9
3.1 Long Term Goals ......................................................................................................................................................... 9
3.2 Short Term Goals ........................................................................................................................................................ 9
CHAPTER 4. Sewer Overflow and Stormwater Reuse Municipal Grants Program .................................................................. 12
CHAPTER 5. Utah Wastewater Loan Program ......................................................................................................................... 13
CHAPTER 6. Hardship Grant Funds......................................................................................................................................... 14
CHAPTER 7. Payment Schedule ................................................................................................................................................ 16
7.1 Cash Flow Projections – State Revolving Fund .............................................................................................................. 17
7.2 Cash Flow Projections – Utah Wastewater Loan Fund .................................................................................................. 18
7.3 Cash Flow Projections – Hardship Grant Fund ............................................................................................................. 19
CHAPTER 8. SRF Sources & Use Table ................................................................................................................................... 21
CHAPTER 9. Project Priority List (PPL) .................................................................................................................................. 22
4 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
CHAPTER 1. Introduction
The Intended Use Plan is used by the Utah Department of Environmental Quality (DEQ) to apply for the US
Environmental Protection Agency (EPA) Capitalization Grant. The primary purpose of the Plan is to identify current
and projected projects that may be awarded funding from federal grant awards. The federal award for the FY24
base program is $4,302,000. The federal award for the FY24 general supplemental program is $11,983,000. The
federal award for the FY24 emerging contaminants supplemental is $1,121,000. See Table 2 for a list of State Revolving
Fund projects. In addition, the Plan identifies current and projected projects that may be awarded from the Sewer
Overflow and Stormwater Reuse Municipal Grants Program and State monies, including the Utah Wastewater Loan
Fund and Hardship Grant Fund. See Tables 3, 4 and 5 for a list of these respective projects.
As required under Sections 606(c) and 610(b) of the Clean Water Act, the State of Utah has prepared an Intended Use
Plan (IUP) for the Clean Water State Revolving Fund (CWSRF) program. The purpose of the IUP is to facilitate the
negotiation process for the Fiscal Year 2024 CWSRF Capitalization Grant agreements. This IUP outlines the short-
term and long-term goals of the program and proposes a schedule of payment between the Department of
Environmental Quality –Division of Water Quality (Division) and the Environmental Protection Agency –Region 8.
This document also describes the intended uses for: The State Revolving Fund (SRF), Sewer Overflow and Stormwater
Reuse Municipal Grants (OSG) Program, the Utah Wastewater Loan Fund (UWLF), and the Hardship Grant Fund
(HGF). All data provided in the 2024 IUP are projections of funding for the listed projects. Ultimately, the Utah Water
Quality Board will determine loan amounts and financing terms as projects are presented for authorization.
The CWSRF is a financial assistance program that provides low-cost financing for treatment works, sewerage systems,
storm water projects, decentralized systems, and nonpoint source projects. The operation of Utah’s CWSRF program
is coordinated between the Utah Water Quality Board (the Board) and the Department of Environmental Quality –
Division of Water Quality. Projects financed through the State Revolving Fund may receive funding from the following
sources: (a) SRF Capitalization Grants; (b) SRF loan repayments; and (c) State matching funds.

Occasionally, an SRF-eligible project will be financed through the Utah Wastewater Loan Fund or Hardship Grant
Fund.

The Division of Water Quality maintains the SRF Project Priority List comprised of projects for which funding
applications have been submitted. The Project Priority List is a numeric calculation used to prioritize projects which
will remedy the most severe water quality problems and provide funds for the most beneficial protection of public
health and water quality improvement. Projects are listed on the Project Priority List prior to being presented to the
Water Quality Board for authorization. These updated Project Priority Lists are considered to be updates to the current
IUP. Projects will be considered for funding according to their priority and readiness to proceed. If an SRF-eligible
project does not proceed or is funded by SRF, UWLF, HGF, or another source, it will be removed from the Project
Priority List. The Intended Use Plan includes projects listed on the most recent FY 2024 Project Priority List.

The Division of Water Quality conducts multiple surveys; one of which is the Municipal Wastewater Planning Program
(MWPP) survey to project the potential Utah Statewide funding needs for wastewater treatment and wastewater
collections systems. Participation in the MWPP is required for all political subdivisions which have received funding
from the SRF, UWLF, or HGF. In addition, all wastewater agencies Statewide are encouraged to voluntarily
participate. In the most recent survey from 2021, 168 responses were received, which represents 70% of the distributed
surveys. Results from the MWPP survey for projected wastewater capital improvement projects are listed below,
showing a projected Statewide need of more than $4.4 billion through 2041. It should be noted that agency estimation
accuracy diminishes with greater timelines; therefore, the 2025 estimation is believed to be accurate, while the need
for 2040 is probably greater than estimated.
5 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
2021 MWPP survey results – Statewide Wastewater Capital Improvement Projects
2021-2026 2027-2031 2032-2036 2037-2041
$2,540,200,246 $737,598,506 $610,615,718 $579,739,913

The Clean Water Needs Survey (CWNS) has also been completed. The Division surveyed four facility types-
wastewater, stormwater, nonpoint source, and decentralized-that showed a total need of $9.7 billion for the survey
period of 2022 – 2041. A State Specific Approach (SSA) was used to estimate data for each of these facility types where
planning documents were not available.

A total of 190 wastewater collection and treatment facilities were entered into the survey using planning documents,
small community forms, and the SSA; of these, 95% responded and 5% were estimated using the SSA. There were 91
stormwater facilities entered using a survey to estimate needs with the SSA, showing a need of $1.9 billion.
Decentralized systems were estimated with the SSA according to the 13 health departments in the state and showed a
need of $1.26 billion. The nonpoint source survey received 37 project responses, which showed a need of $690 million.

1.1 Public Comment Process

The public comment process for Utah’s IUP is a crucial step in ensuring transparency and community involvement.
Once the draft Intended Use Plan is presented and approved by the Board, a public notice will be posted and the IUP
and PPL will be made available to the public for review and feedback. The public comment notice is posted in the
local newspaper and to the Division’s website, and is open for 30 days. Feedback can be submitted in writing or via
email to the Division. All comments received during this period are carefully considered by the Division and responses
will be added for submission to EPA.

6 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
CHAPTER 2. Program Operations
Since its inception in 1989, Utah’s CWSRF program has received appropriations from the federal government through
capitalization grants. For FY24 the base capitalization grant award is $4,302,000, and the general supplemental
capitalization grant award is $11,983,000.
In addition to federal dollars, The Department of Environmental Quality – Division of Water Quality is required to
provide a twenty percent (20%) state match for the base and the general supplemental funding. Utah has met the state
match requirement for the base program by using money from the Utah Wastewater Loan Fund. Revenues into UWLF
are comprised of principal repayments from state loans, from a state sales tax allocation, and additional legislature
appropriation. Utah has received its full measure of sales tax dollars in the amount of $3,587,500. In addition, the Utah
State Legislature provided $5,801,700 for the additional state match requirements for the general supplemental
funding. The entire 20% state match amount for the base and the general supplemental capitalization awards will be
used toward eligible project costs before draws are made from the capitalization grant. Once the requirement is met,
draws will be made from the federal award as a 100% federal share.
The Department of Environmental Quality – Division of Water Quality will use SRF administrative funds of 4% of the
overall grant awards. Administration will not exceed the statutory limit. In addition, loan origination fees equal to 1% of
the principal loan amount are charged to loan recipients. That revenue may also be used for program administration
expenses. The Division of Water Quality estimates that $146,200 will be collected from loan origination fees by the end
of the Fiscal Year.

The Department of Environmental Quality – Division of Water Quality will reserve the right to use 2% of the Clean
Water SRF Capitalization Grants for Technical Assistance. The planned activities for these funds will be determined
at a later date.
2.1 Transfer of Clean Water State Revolving Funds
The Water Quality Board and Division of Water Quality reserve authority to transfer funds from the Clean Water SRF
program to the Drinking Water SRF (DWSRF) program. The amount reserved for future transfers is up to 33% of the
DWSRF capitalization grant award. The table below indicates the reserved transfer amount by award year.

For FY24, the projected amount of funds to be transferred is $0, with no short- or long-term impacts on the fund.
Justification for any transfers to the Drinking Water SRF program, including amount, type of funds, and fund impact,
will be documented in a future Intended Use Plan (IUP).

The intended use plan will reserve the authority to transfer funding to the DWSRF program. A Memorandum of
Understanding between the divisions to process the actual transfers will require the Water Quality Board approval.
TABLE 1a – TRANSFER AMOUNTS: BASE PROGRAM
Award Year DWSRF Capitalization Grant Award Reserved Transfer Amount
2021 $11,001,000 $3,630,330
2022 $7,008,000 $2,312,640
2023 $4,938,000 $1,629,540
2024 $4,661,000 $1,538,130
7 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
TABLE 1b – TRANSFER AMOUNTS: GENERAL SUPPLEMENTAL & EMERGING CONTAMINANTS

Award Year DWSRF General Supplemental Grant Award Reserved Transfer Amount DWSRF Emerging Contaminants Grant Award Reserved Transfer Amount
2022 $8,816,080 $2,909,306 $7,555,000 $2,493,150
2023 $21,055,000 $6,948,150 $7,640,000 $2,521,200
2024 $22,985,000 $7,585,050 $7,640,000 $2,521,200
2.2 Extended Financing Terms

As of June 1, 2024, the Utah Water Quality Board has authorized extended financing to four SRF recipients: Brian
Head Town, Lewiston City, Kane County Water Conservancy District, and Ash Creek Special Services District. The
Division of Water Quality estimates that the long-term impact of extended financing on the SRF program is less than
a 1% revolving level reduction over 60 years. This estimate does not include an adjustment for inflation.

In cases of extreme hardship, the maximum affordable loan amount may not provide sufficient capital to cover project
costs. In these cases, the Board would be requested to provide additional subsidization or hardship grant funds to
make these projects feasible. Extended-term financing can increase the loan amount that a community qualifies for
under the 1.4% median adjusted gross household income (MAGI) affordability guideline. The extended terms also
benefit the SRF program by replacing an award of grant dollars with additional loan repayments, albeit in years 21-
30.
2.3 Additional Subsidization

The FY24 capitalization grant may allow states to provide additional subsidization in the form of principal forgiveness
and negative interest loans. A minimum of $430,200 and a maximum amount of $1,290,600 additional subsidization
amounts will be outlined in the programmatic terms and conditions of the base award. The Water Quality Board may
utilize the difference between the minimum and maximum additional subsidization amounts to refinance existing
debt on projects which met CWSRF requirements at the time of construction. General supplemental awards require
49% additional subsidization. The additional subsidization amount for the FY24 supplemental award is $5,871,670.
The Water Quality Board uses principal forgiveness agreements as its mechanism for awarding additional
subsidization.

Additional subsidization may be provided to disadvantaged communities, communities addressing water-efficiency
or energy-efficiency goals, communities mitigating stormwater runoff, or to encourage sustainability. For the Water
Quality Board to qualify a community as disadvantaged, the community must have a demonstrated hardship based
on its cost of sewer service relative to 1.4% of the MAGI, unemployment, poverty level, or economic trends. Table 2:
FY24 List of SRF Projects identifies those projects that may meet any additional subsidization requirement. However,
the Water Quality Board may authorize principal forgiveness to additional projects presented for authorization during
the year. The Water Quality Board is currently working on a process for targeting disadvantaged communities.
8 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
2.4 Green Project Reserve

The FY24 capitalization grant allocation requires that, to the extent that there are sufficient eligible projects
applications, not less than 10% of the SRF funds shall be used for projects that address green infrastructure, water or
energy efficiency improvements, or other environmentally innovative activities. The State of Utah will meet this
objective by identifying projects that meet green infrastructure requirements and providing funding, in whole or in
part, as they proceed to construction. Future plans to ensure this requirement is met include creating a website
dedicated to Green Project Reserve (GPR). This will create more visibility and transparency regarding the requirement.

Table 1c identifies projects that may meet the Green Project Reserve requirement.

TABLE 1c – FY24 LIST OF GREEN PROJECT RESERVE PROJECTS
Recipient Assistance Amount GPR Amount
Provo City (2024 Application) $21,000,000 application TBD
Grantsville $34,000,000 application TBD
Wolf Creek $ 6,404,000 TBD
2.5 Program Assurances
The State of Utah must comply with its Operation Agreement with EPA and Utah Administrative Code, R-317-102, Utah
Wastewater State Revolving Fund (SRF). Assurances include:
• Section 602(a)-Environmental Reviews
• Section 602(b)(3)-Certify binding commitments within one year
• Section 602(b)(4)-Certify expeditious and timely expenditures
• Section 602(b)(5)-First use for enforceable requirements

The Division of Water Quality will complete reporting requirements through the Office of Water State Revolving Fund
(OWSRF) for all binding commitments in the quarter that they are made.
9 UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY
CHAPTER 3. CWSRF Project Funding
Eligible projects to be funded by the SRF include loans closed with remaining draws, authorized loans, and anticipated
loans. Loans closed with remaining draws are projects that are currently under construction. Authorized loans are
projects that have been authorized by the Utah Water Quality Board and are in the design phase. Anticipated loans
are projects that are in the beginning stages of planning.

Funding through the SRF can include federal dollars from the capitalization grant awards, principal repayments,
interest payments, and investment fund interest earnings. Table 2 shows the projects that are expected to be funded
from the CWSRF. Equivalency projects must meet specific programmatic requirements including federal cross cutters
and “super cross-cutters,” Davis-Bacon wages, American Iron and Steel (AIS), NEPA-like environmental review,
Single Audit Act, Disadvantaged Business Enterprise (DBE), and Architectural and Engineering Services procurement.

The Bipartisan Infrastructure Law includes the Build America, Buy America Act (BABA) requirements which places
additional requirements on the CWSRF Program. The United States must make significant investments to install,
upgrade, or replace the public works infrastructure of the United States; with respect to investments in the
infrastructure of the United States, taxpayers expect that their public works infrastructure will be produced in the
United States by American workers. These new BABA requirements have been placed on federal equivalency
infrastructure projects.

As determined by the Water Quality Board, SRF loan recipients may be charged a hardship grant assessment in lieu of
interest. Upon collection, the hardship grant assessment will be placed into the Federal Hardship Grant Fund. If a
hardship grant assessment is derived from a loan funded directly by EPA Capitalization Grant monies, the assessment
shall be used for purposes identified in 40 CFR Part 31.25. If a hardship grant assessment is derived from a loan funded
by SRF loan repayments, the assessment may be used to provide grants to communities for projects that are
economically unfeasible without grant assistance.

3.1 Long Term Goals
1. Provide a permanent funding source for water quality construction projects that supplements a community’s own
resources and/or other funding sources.
2. Distribute SRF funds to projects with the highest water quality and infrastructure needs by evaluating and prioritizing
proposed projects throughout the state.
3. Support EPA’s Sustainability Policy by balancing a community’s economic and water quality needs with the perpetuity of
the SRF program.
4. Assist communities with all phases of a project, including sufficient planning, project design, environmental work, and
construction.

3.2 Short Term Goals
1. Present eligible projects to the Water Quality Board for authorization and assist communities through the application and
award process.
2. Collaborate with other agencies (e.g., Utah Permanent Community Impact Board, U.S. Department of Agriculture Rural
Development, and U.S. Army Corps of Engineers) to sufficiently fund projects.
3. Solicit and fund eligible nonpoint source, storm water, and emerging contaminants projects.

4. Provide funding, equal to at least ten percent (10%) of the capitalization award, for energy efficiency and recycled water
and water reuse projects to the extent such projects exist.
5. Increasing the profile of the SRF program as a potential funding source for low income and rural Utah communities.
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 10
TABLE 2 – LIST OF SRF PROJECTS
Applicant Permit Number Needs Category Assistance Amount Funding Type Interest Rate Term (YRS) Equivalency
Additional Subsidy Amount (Principal Forgiveness)
Green Project Reserve Amount
Binding Commitment/ Construction Start
Initiation of Operation
1st Round: Base Program
Moab City UT0020419 I Secondary Treatment $14,200,000 1st Round 1.15% 20 Yes $502,937 17-Apr 19-Nov
2nd Round: Revolved Funds
Millville City UT0023205 IV-A New Collectors $1,261,000 2nd Round 0% 30 No $3,750,000 20-Mar 20-Dec
Millville City UT0023205 IV-A New Collectors $5,200,000 2nd Round 0% 30 No $4,500,000 20-Mar 25-Nov
Mountain Green UT0024732 I Secondary Treatment $7,000,000 2nd Round 1.30% 30 No 22-Jan 24-Jan
General Supplemental
Hanksville UTOP00119 I Secondary Treatment $0 General Supplemental Yes $1,694,600 24-Feb TBD
Combined Funding Sources
Ash Creek SSD TBD $ 6,876,000 1st & 2nd Round General Supp 0% 30 Yes TBD TBD
Beaver UTOP00104 I-Secondary Treatment $7,351,325 1st & 2nd Round General Supp TBD TBD TBD
Brian Head Town $ 1,900,000 1st & 2nd Round 4% 30 Yes TBD TBD
Central Valley WRF UT0024392 I-Secondary Treatment $65,100,000 1st & 2nd Round 1.50% 20 Yes 18-Dec 24-Dec
Corinne City TBD $7,234,900 1st & 2nd Round TBD TBD TBD TBD TBD
Grantsville UT0021130 II Advanced Treatment $34,000,000 1st & 2nd Round General Supp TBD TBD TBD
Green River City UT0025771 I Secondary Treatment $5,000,000 1st & 2nd Round General Supp TBD TBD TBD
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 11
Applicant Permit Number Needs Category Assistance Amount Funding Type Interest Rate Term (YRS) Equivalency
Additional Subsidy Amount (Principal Forgiveness)
Green Project Reserve Amount
Binding Commitment/ Construction Start
Initiation of Operation
Combined Funding Sources
Lewiston UT0020214
III-B Sewer Replacement
$400,000 1st & 2nd Round General Supp
0% 30 Yes $1,000,000 TBD TBD
Monticello City TBD $1,214,000 1st & 2nd Round 2.5% 20 TBD TBD TBD
Mt. Pleasant TBD $2,535,000 1st & 2nd Round 2.5% 20 TBD TBD TBD
North Fork SSD TBD $2,850,000 1st & 2nd Round TBD TBD TBD TBD TBD
North Logan UT002199920
III-B Sewer Replacement
$3,500,000 1st & 2nd Round General Supp
2% 30 Yes
Payson City UT0020427 I-Secondary Treatment $13,500,000 1st & 2nd Round General Supp 0.50% 20 Yes $1,000,000 Being Assessed 22-Feb 25-Jan
Provo City UT0021717 II- Advanced Treatment $85,800,000 1st & 2nd Round General Supp 0.50% 20 Yes $7,000,000 $19,633,000 18-Dec 25-Jan
Provo City (2024) UT0021717 II- Advanced Treatment $50,000,000 1st & 2nd Round General Supp TBD TBD TBD TBD TBD
South Salt Lake City See CVWRF I-Secondary Treatment $2,413,000 1st & 2nd Round 0% 20 Yes $3,760,000 18-Dec 24-Dec
Wolf Creek WSD TBD $6,404,000 1st & 2nd Round General Supp 2.5% 20 Yes Being Assessed TBD TBD
Emerging Contaminants
Snyderville Basin SID UT0020001
II. Advanced Wastewater Treatment
$1,700,000 Emerging Contaminants TBD 2023-2026
Totals $325,439,225 $22,704,600 $20,135,937
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 12
CHAPTER 4. Sewer Overflow and Stormwater Reuse Municipal Grants
Program

The Utah Sewer Overflow and Stormwater Reuse Municipal Grants (OSG) Program is a federal program designed to
provide funds for infrastructure needs to address combined sewer overflows, sanitary sewer overflows (SSO), and
stormwater management. The OSG program has been authorized as grants for the design and construction of green
infrastructure stormwater projects. In July 2023, the Division applied for $213,000 in grant funding from FFY22.

The OSG program prioritizes green project reserve eligible projects in rural and distressed communities. As of the
August 2023 allocation memo, non-federal cost share requirements no longer apply to portions of the grant that support
rural or distressed communities. Therefore, a 20% cost share will only be applied to the portion of the total project which
does not directly support these communities. For urban and non-distressed communities, the program requires the
community to provide a 20% cost share. In addition, 15% of the funds are required to go to rural communities and 10%
of the funds must go to distressed communities. For the OSG program, rural is defined as communities under 10,000
in population and distressed is defined as a community with sewer rates exceeding 1.4% of the modified median
adjusted gross household income (MAGI).

Please refer to Tables 3a and 3b for a list of projects to be funded from the OSG program.

TABLE 3a – LIST OF FUNDED PROJECTS
Applicant Distressed/ Rural Assistance Amount Hardship Grant Required Local Cost Share
Binding Commitment/ Construction Start Construction End
Authorized Projects
Herriman City - Autumn Detention Pond Retrofit No/No $54,960 $36,640 TBD No later than 24- Nov
Herriman City - Butterfield Detention Pond Retrofit No/No $11,640 $7,760 TBD No later than 24- Nov
Herriman City - City Hall Parking Lot Stormwater Retrofit No/No $47,770 $19,508 TBD No later than 24- Nov
Ogden City - 3300 South 1325 West Yes/No $140,000 $35,000 24-Jul 24-Sept
Washington Terrace Bioswale at Rohmer Park No/Yes $103,230 $21,000 23-Jun No later than 24- Nov
Totals $357,600 $56,000 $63,908

TABLE 3b – LIST OF POTENTIAL FUTURE PROJECTS

Applicant Project Project Cost
Herriman City Main St Parking Lot Retrofit $27,200
Herriman City Butterfield Park and Public Works Yard Storm Drain Retrofit $173,500
South Salt Lake City Vitro Ditch $2,600,000
Totals $2,800,700
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 13
CHAPTER 5. Utah Wastewater Loan Program
The Utah Wastewater Loan program is a state-funded loan program similar to the SRF. Revenue for the UWLF is
derived from sales tax dollars and principal repayments. Monies may be authorized in the form of loans or interest-rate
buydowns.

Projects eligible for funding through the Utah Wastewater Loan program have been divided into three categories: closed
loans with remaining draws, authorized loans, and anticipated loans. Closed loans with remaining draws are projects
that have held loan closing and are currently under construction. Authorized loans are those projects which have
received authorization from the Utah Water Quality Board but have not yet held loan closing and are still in the planning
or design phase. Anticipated loans are those projects that may be presented to the Utah Quality Board for authorization
in the next fiscal year.

Please refer to Table 4 for a list of projects to be funded from the Utah Wastewater Loan Fund.

TABLE 4 – LIST OF FY24 UTAH WASTEWATER LOAN FUND PROJECTS

Applicant Assistance Amount Interest Rate Term (years) Binding Commitment Construction Start Construction End
Closed Loans with Remaining Draws
Grantsville $1,000,000 0% 20 24-Feb
Hanksville $350,000 0% 30 24-Feb
Kane County $549,000 0% 30 24-May
South Salt Lake $7,867,000 0% 20 18-Dec 20-Feb 24-Jun
Spanish Fork City $4,500,000 1.12 20 24-Apr 24-Dec
Authorized Loans
Long Valley $1,470,000 1.5% 20 TBD TBD TBD
Anticipated Loans
N/A
Total $15,736,000
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 14
CHAPTER 6. Hardship Grant Fund
The State of Utah provides assistance from the Hardship Grant Fund for several types of projects. First, hardship grant
funds may be authorized as planning advances or grants and design advances or grants. Advances are repaid once
construction funding has been secured through a loan closing. Second, funds may be awarded as hardship construction
grants to entities that may not otherwise be able to afford to complete an eligible project. The Water Quality Board may
consider authorizing a hardship grant when the estimated annual cost of sewer service exceeds 1.4% of the local MAGI.
Third, hardship grants may be awarded for water quality improvement projects such as nonpoint source, water quality
studies, and educational outreach efforts. Projects eligible for hardship grant funds may be added to the list once
authorization has been received from the Board.

Please refer to Table 5 for a list of projects to be funded from the Hardship Grant Fund.

TABLE 5 – LIST OF FY24 HARDSHIP GRANT FUND PROJECTS

Applicant Assistance Amount Type
Hardship Grants
Big Water Town $52,500 Planning Grant
Corinne City $102,900 Planning Advance
Davis County Health Department $105,313 Planning Grant
Delta City $200,000 Short Term Design Loan
Delta City $200,000 Design Grant
Daggett County $60,000 Short Term Design Loan
Daggett County $95,000 Planning Grant
Grantsville $300,000 Design Advance
Hanksville Town $162,000 Design Advance
Hinckley Town $15,000 Planning Advance
Hyrum City $74,900 Short Term Loan
Kanab City $29,800 Planning Advance
Kane County Water Conservancy District $281,000 Hardship Grant
Lewiston City $274,000 Design/Construction Grant
Long Valley Sewer Improvement District $84,300 Design Advance
Millville City $1,000,000 Design/Construction Grant
Mt. Pleasant $135,000 Hardship Grant
Richmond City $99,800 Short Term Loan
Spanish Fork $500,000 Construction Grant
Spring City $289,000 Design Advance
Town of Elwood $18,200 Planning Advance Grant
Town of Rockville $27,172 Planning Grant
Town of Stockton $20,000 Planning Grant
Virgin Town $60,000 Short Term Loan
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 15
Non-Point Source Grants
Applicant Assistance Balance Type
Utah Department of Agriculture $5,278 NPS Grant
DEQ - Ammonia Criteria Study $27,242 NPS Grant
DEQ - Utah Lake Water Quality Study $348,301 NPS Grant
USU - Historic Trophic State/Nutrient Concentrations Paleo $4,715 NPS Grant
FY19 – FY24 Remaining Payments $1,734,716 Various NPS Grants
FY25 – New Projects $1,000,000 Various NPS Grants
Total $7,306,137
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 16
CHAPTER 7. Payment Schedule
Utah’s CWSRF has met "first use" requirements of Section 602(b) (5). CWSRF funds will be distributed using the
method, criteria, and eligible activities that are outlined in Section R-317-101 and 102 of the Utah Administrative Code.
The methods and criteria provide affordable assistance as well as maximum benefit to the long-term viability of the
fund. If the dollar amount of projects in the FY24 Intended Use Plan exceeds the actual amount of funds available
during the planning period, one of the following may occur:
• Projects listed may not be funded.
• Projects may be funded using available credit enhancement techniques.
• Projects may need to be delayed until funds are available.

Please see the CASH FLOW PROJECTIONS for the detail of revenue and expenses for the State Revolving Fund, Utah
Wastewater Loan Fund, and Hardship Grant Fund.

UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 17

7.1 Cash Flow Projections – State Revolving Fund

TABLE 6 – FY24 STATE REVOLVING FUND
STATE REVOLVING FUND (SRF)
Funds Available 2024 2025 2026
Capitalization Grants Awards (FFY22-23) $ 12,732,240 -
State Match (FFY22-23) $ 1,728,200 -
Future Capitalization Grants (est.) - $22,002,520 $ 11,277,424
Future State Match (est.) - $3,494,900 $2,433,805
SRF - 2nd Round $ 14,452,023 $ (33,546,246) $6,056,368
Interest Earnings at 5.4314% $ 65,412 - -
Loan Repayments (5255) - $17,307,194 $ 17,225,194
Total Funds Available $28,977,875 $9,258,368 $36,992,791
Project Obligations
Hanksville Town $ (1,718,000) - -
Millville City $ (2,750,000)
Moab City $ (80,000)
Mountain Green $ (584,000) - -
Payson City $ (14,425,000) - -
Provo City $ (17,656,121) - -
South Salt Lake City (A) $ (2,584,000)
Loan Authorizations
Ash Creek SSD - Virgin $ (6,876,000) - -
Brian Head $ (1,900,000)
Lewiston $ (3,500,000)
Long Valley $ (1,250,000) - -
North Logan $ (3,500,000) - -
Monticello $ (1,214,000)
Mt. Pleasant $ (2,535,000)
Wolf Creek $ (3,202,000) $ (3,202,000)
Total Obligations $ (62,524,121) $ (3,202,000)
SRF Unobligated Funds $ (33,546,246) $6,056,368 $36,992,791
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 18
7.2 Cash Flow Projections – Utah Wastewater Loan Fund TABLE 7 – FY24 UTAH WASTEWATER LOAN FUND
UTAH WASTEWATER LOAN FUND (UWLF)
Funds Available 2024 2025 2026
UWLF $37,793,212 $23,422,012 $24,228,124
Sales Tax Revenue - $3,587,500 $3,587,500
Loan Repayments (5260) - $2,638,912 $2,565,360
Total Funds Available $37,793,212 $29,648,424 $30,380,984
General Obligations
State Match Transfers $ (1,728,200) $ (3,494,900) $ (2,433,805)
DWQ Administrative Expenses - $ (1,925,400) $ (1,925,400)
Project Obligations
Grantsville $ (750,000) - -
Hanksville $ (150,000) - -
South Salt Lake City (B) $ (4,891,000) - -
South Salt Lake City (C) $ (982,000) - -
Spanish Fork $ (4,400,000) - -
Loan Authorizations
Long Valley $ (1,470,000) - -
Total Obligations $ (14,371,200) $ (5,420,300) $ (4,359,205)
UWLF Unobligated Funds $23,422,012 $24,228,124 $26,021,779
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 19
7.3 Cash Flow Projections – Hardship Grant Funds

TABLE 8 – FY24 HARDSHIP GRANT FUND
HARDSHIP GRANT FUND (HGF)
Funds Available 2024 2025 2026
Beginning Balance - $3,712,310 $3,761,423
Federal HGF Beginning Balance (5250) $2,352,774 - -
State HGF Beginning Balance (5265) $7,105,968 - -
Hardship Grant Assessments (5255) - $753,214 $657,624
Interest Payments (5260) - $295,899 $276,384
Total Funds Available $9,458,742 $4,761,423 $4,695,431
Financial Assistance Project Obligations
Delta - Design Grant $ (73,100) - -
Dutch John - Planning $ (95,000) - -
Dutch John - HGF Loan $ (60,000) - -
Eagle Mountain City - Construction Grant $ (510,000) - -
Elwood - Planning $ (18,200) - -
Grantsville - Design Advance $ (300,000) - -
Kanab City Planning Advance $ (29,800) - -
Kane County - Hardship Grant $ (281,000) - -
Long Valley - Design $ (84,300) - -
Millville City - Construction Grant $ (1,000,000) - -
Rockville Town - Hardship Grant $ (18,832) - -
Spanish Fork - Hardship Grant $ (500,000) - -
Spring City - Design Advance $ (56,070) - -
Hardship Grant Authorizations
Corinne City - Planning Advance $ (135,000) - -
Hyrum - Short Term Loan $ (99,800) - -
Mt. Pleasant - Hardship Grant $ (74,900) - -
Richmond - Short Term Loan $ (60,000) - -
Virgin Town - Short Term Loan $ (102,900) - -
Non-Point Source/Hardship Grant Obligations
OSG Cost Share Balances (FY20-21) $ (56,000) - -
McKees ARDL interest-rate buy down $ (55,261) - -
Munk Dairy ARDL interest-rate buy down $ (16,017) - -
(FY12) Utah Department of Agriculture $ (5,278) - -
(FY15) DEQ - Ammonia Criteria Study $ (27,242) - -
(FY17) DEQ - Utah Lake Water Quality Study $ (348,301) - -
(FY19) USU - Nutrient Concentrations Paleolimnology of Utah Lake $ (4,715) - -
UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 20
FY 2019 - Remaining Payments $ (45,522) - -
FY 2020 - Remaining Payments $ (36,548) - -
FY 2021 - Remaining Payments $ (84,796) - -
FY 2022 - Remaining Payments $ (395,915) - -
FY 2023 - Remaining Payments $ (452,896) - -
FY 2024 - Remaining Payments $ (719,039) - -
Future NPS Annual Allocations - ($1,000,000) ($1,000,000)
Total Obligations $ (5,746,433) ($1,000,000) ($1,000,000)
HGF Unobligated Funds $ 3,712,310 $3,761,423 $3,695,431

UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 21
CHAPTER 8. SRF Sources & Use Table

Title VI section 602(b)(4) of the Clean Water Act requires the State to expend all CWSRF funds in an “expeditious and
timely” manner. This requirement applies to the entire State Revolving Fund, not just the federal grants. The SRF
Sources and Use table below demonstrates the sources and uses of all funds in the SRF.

TABLE 9 – SRF SOURCES AND USE TABLE
STATE REVOLVING FUND (SRF)
SFY 2025 SFY 2026 SFY 2027
Beginning Fund Balance $14,515,590 $ (94,838,922) $ (104,010,020)
Undrawn Federal Funds – 2022 Base Cap Grant $19,727 - -
Undrawn Federal Funds – 2022 General Supplemental Cap Grant $5,840 - -
New Federal Awards – Base Cap Grants $3,952,000 $4,302,000 $4,302,000
New Federal Awards – General Supplemental Cap Grants $32,344,000 $12,169,025 $12,169,025
State Match – Base Program $790,400 $860,400 $860,400
State Match – General Supplemental $4,432,700 $2,433,805 $2,433,805
Repayments from SRF Loans $17,307,194 $17,225,194 $16,977,794
Interest Earnings $722,647 $0 $0
Total Fund Revenue $74,090,097 $ (57,848,498) $ (67,266,996)

Projected Disbursements for Loan Obligations $ (39,797,121) - -
Projected Disbursements for Loan Authorizations $ (25,929,000) - -
Projected Disbursements for Planned Projects $ (101,667,225) $ (45,585,081) $ (20,000,000)
Administration $ (1,535,673) $ (576,441) $ (531,601)
Total Estimated Expenses $ (168,929,019) $ (46,161,522) $ (20,531,601)

Total Funds Available for Projects $ (94,838,922) $ (104,010,020) $ (87,798,597)

UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY 22
CHAPTER 9. Project Priority List (PPL)

Pursuant to 40 CFR Part 31.3115, all wastewater treatment works projects must appear on the Project Priority List to
be eligible for funding assistance. When applications are accepted and presented to the Board they are added to the
PPL. The scoring system assesses projects based on various factors, including environmental benefits, public health
impact, project readiness, and special consideration, as identified in R317-100-3.

Please refer to Table 10 for the list of projects for which funding applications have been submitted.
State of Utah Wastewater Project Assistance Program Project Priority List
As of August 12, 2024

TABLE 10 – FY24 PROJECT PRIORITY LIST

Rank

Project Name
Funding Authorized
Total Points
Point Categories
Project Need Potential Improvement Population Affected Special Consideration
1 Grantsville R 140 50 23 7 60
2 Provo R 131 50 18 10 60
3 Beaver O 109 40 5 4 60
4 Corinne City O 107 50 16 1 40
5 North Logan X 86 25 14 7 40
6 Mt Pleasant X 79 10 5 4 60
7 Ash Creek - Virgin Town X 64 25 18 1 20
8 Monticello X 61 0 19 2 40
9 Lewiston City X 60 25 14 1 20
10 Wolf Creek X 57 10 5 2 40
11 North Fork SSD O 36 10 5 1 20
X - funding authorized; R - Additional Funding Requested; O - Funding Not Yet Authorized

195 North 1460 West • Salt Lake City, UT Mailing Address: P.O. Box 144870 • Salt Lake City, UT 84114-4870 Telephone [phone] • Fax [phone] • TDD [phone] www.deq.utah.gov Printed on 100% recycled paper
State of Utah

Department of
Environmental Quality

Kimberly D. Shelley Executive Director
DIVISION OF WATER QUALITY John K. Mackey, P.E. Director
Water Quality Board James Webb , Chair Michelle Kaufusi, Vice Chair Michela Harris Joseph Havasi Trevor Heaton Jill Jones Robert Fehr Kimberly D. Shelley John K. Mackey SPENCER J. COX Governor
DEIDRE HENDERSON Lieutenant Governor
M E M O R A N D U M TO: Utah Water Quality Board THROUGH: John Mackey, Director FROM: Harry Campbell, P.E.
DATE: October 23, 2024 SUBJECT: Municipal Wastewater Planning Program (MWPP) 2023 Data The power point presentation to report the 2024 Municipal Wastewater Planning Program (MWPP) survey has been prepared and will be presented in the October Water Quality Board Meeting. DWQ has used Qualtrics and recently Google forms to collect and process the data. The MWPP Survey is an annual survey of POTWs and sewer utilities designed to gather data about their:
1. Facilities and operations performance and needs; 2. Infrastructure planning needs; 3. Financial performance and needs;
4. Operators and certificates, and 5. USMP requirements.
For 2023 there were 217 surveyed, of which 162 returned a response, or there was 75% who responded. The survey has been performed on line since 2018 and DWQ has electronic records of the survey since then. Periodic updates are made to the questions to address trends in the industry and make it easier for utilities to participate. Who is required to respond to the MWPP? To answer that question by rule, it is, “A political subdivision which receives assistance for a wastewater project under this rule must agree to participate annually in the Municipal Wastewater Planning Program, commonly referred to as MWPP” (Utah Administrative Code R317-101-3.H). The Division uses the survey results to plan for financial assistance, to see how many facilities practice asset
management concepts, to evaluate if facilities are properly pursuing funding sources so that they can maintain a specific level of service, to verify quality of operators, and to help facilitate completion of the annual USMP report.

UTAH WATER QUALITY BOARD
2025 MEETING SCHEDULE
Date Time Location Notes
Wednesday,January 22,2025 8:30 AM MASOB Board Room 1015/Zoom
Wednesday,February 26,2025 8:30 AM--MASOB Board Room 1015/Zoom
Wednesday,March 26,2025 8:30 AM MASOB Board Room 1015/Zoom
Wednesday,April 23 2025 8:30 AM MASOB Board Room 1015/Zoom Or Possibly Off Site Meeting
Wednesday,May 28,2025 8:30 AM MASOB Board Room 1015/Zoom
Wednesday,June 25,2025 8:30 AM MASOB Board Room 1015/Zoom
No Meeting in July ------
Wednesday,August 27,2025 8:30 AM MASOB Board Room 1015/Zoom
Wednesday,September 24,2025 8:30 AM MASOB Board Room 1015/Zoom
Wednesday,October 22,2025 8:30 AM MASOB Board Room 1015/Zoom Or Possibly Off Site Meeting
No Meeting in November ------
Wednesday,December 10,2025 8:30 AM MASOB Board Room 1015/Zoom
Revised:October 17,2024
DWQ-2024-