Title
2026-2031 Preliminary Capital Facilities Plan
Recommended Action
Receive a briefing on the projects contained in the 2026-2031 Preliminary Capital Facilities Plan and provide feedback.
Report
Issue:
Receive a briefing on the 2026-2031 Preliminary Capital Facilities Plan for Storm and Surface Water, Wastewater, Drinking Water utilities and Waste Resources.
- The UAC is requested to forward a summary of comments to the Olympia Planning Commission by September 15, 2025, if any.
- The UAC is also requested to forward their recommendations to the City Council by October 6, 2025.
Staff Contact:
Susan Clark, Engineering and Planning Manager, Public Works Water Resources, 360.753.8321
Presenters:
Susan Clark, Engineering and Planning Manager
James Patton, Storm and Surface Water Engineer
David Dunn, Wastewater Engineer
Mike Vessey, Drinking Water Utility Director
Kimberly Ramuno, Drinking Water Engineer
Gary Franks, Interim Water Resources Director
Background and Analysis:
The Utility Advisory Committee (UAC) reviews City utility preliminary budgets, finances, capital investments, and rates annually. Staff will brief the UAC on the capital projects contained in the 2026-2031 Preliminary Capital Facility Plan (2026-2031 CFP) for the Water Resources utilities (Storm and Surface Water and Wastewater), Drinking Water Utility and Waste ReSources. The UAC will review the preliminary 2026 budget and rate analysis separately in September and October.
The City’s three water-related utilities and Waste Resources provide critical, uninterrupted services that affect public and environmental health. Responsibilities include delivering clean and reliable drinking water, conveying wastewater to LOTT, minimizing flooding, protecting our natural resources, and managing garbage and recycling services.
City infrastructure is aging, and utilities must meet service needs while maintaining and upgrading systems. Capital project decisions are informed by utility management plans and coordination among operations and engineering teams. The 2026-2031 CFP outlines ongoing programs (e.g. water main replacements, sewer extensions), spanning both small- and large-scale multi-year projects, and new initiatives.
Funding for the 2026-2031 CFP will be discussed during the 2026 operating budget discussion in September and October.
Climate Analysis:
The mission of all three water-related utilities (Wastewater, Storm and Surface Water and Drinking Water) and Waste ReSources includes protecting environmental health. Capital projects aim to improve public health, improve infrastructure function and reliability, and promote a sustainable environment. Examples include:
- Storm and Surface Water projects such as property acquisitions for habitat conservation directly support reducing greenhouse gas emissions.
- Wastewater projects target inflow and infiltration help reduce energy consumption.
- Drinking Water projects which replace aging infrastructure can also lower energy use.
As individual capital projects move into design and construction, further analysis will identify opportunities to reduce emissions.
Equity Analysis:
The Utilities prioritize public and environmental health for the entire community. Capital investments aim to improve public health, safety, and sustainability by protecting public health, enhancing systems’ performance, and promoting long-term resilience.
All three Utilities collect and analyze condition data, to determine when infrastructure should be repaired, rehabilitated or replaced that support equitable, cost-effective outcomes.
While projects can benefit communities (e.g. improve services, increase property values), they can impose burdens such as construction disruptions or rising housing costs. Other projects, such as green stormwater infrastructure and water and sewer extensions, may increase property values over time, but burden others with rising property taxes causing renter displacement.
City staff assesses potential benefits, burdens, and disparities during the initial planning phase of each project in the CFP, at which time strategies to minimize unintended harmful impacts, while working toward equitable distribution of benefits will be identified.
Neighborhood/Community Interests (if known):
City water-related utilities and Waste ReSources provide essential services to all customers in our service area.
Options:
None at this time. Briefing only.
Financial Impact:
None at this time. However, utility rates impact household spending and the broader local economy.
Attachments:
2026-2031 CFP tables for Storm and Surface Water, Wastewater and Drinking Water Utilities
2026-2031 CFP preliminary chapters for Storm and Surface Water, Wastewater and Drinking Water Utilities