Las Vegas businesses to share water infrastructure costs

Photo Credit: LA Times

Pat Mulroy, the general manager for the Southern Nevada Water Authority (SNWA), announced that a new funding formula for $2.5 for needed infrastructure upgrades and construction would rely more on connection fees from local businesses. Previously, businesses and non-profits were promised credits to alleviate pressure during the recession.

The Integrated Resources Planning Committee, a 21-person committee tasked with outlining policy and funding recommendations, will revisit the credits, and likely agree on reversing credits and relying on those connection fees to help finance the much-needed infrastructure costs. The SNWA is currently $3 billion in debt, mostly due to recent projects like the $800 million third intake at Lake Mead.

Many businesses are worried that the rate hike, perhaps up to three times their previous rate, will be enough to put them out of business.

The question of funding plagues nearly every community, especially when federal funding is sparse, infrastructure is aging or insufficient, and population and water demand continue to grow.

Source: Las Vegas Review Journal; Vegas Inc.