NOTICE TO PROVO CITY UTILITY CUSTOMERS
State law requires that Provo City provide an annual disclosure of funds transferred from the utility
enterprise funds to other funds. The following paragraphs explain the various transfers from enterprise
funds to other funds in the proposed 2027 budget.
Historically, Provo has budgeted for the transfer of utility fund revenues to the General Fund as a
“dividend” to Provo taxpayers as the result of the taxpayers’ investment in the City’s utility infrastructure.
These funds are used each year to help cover the costs of important City services like police, fire, parks
and recreation, and other city functions. The utility transfer, together with franchise fees, helps keep
property taxes in Provo low. If City utility services were provided by private utility owners, these
dividends would instead be paid to investor-owners. Because Provo taxpayers are the investor-owners,
these dividends are used to offset what otherwise would be a significant increase in property tax rates.
The transfer totals $17,191,441 in the proposed 2027 budget.
It is more cost effective and operationally efficient for certain administrative functions such as legal,
human resources, information technology and finance to be administered on a city-wide basis. Transfers
from the funds receiving the benefit of these administrative services to the General Fund totaling
$1,919,836 have been included in the proposed 2027 budget.
This table outlines the transfers described above:
Transfer to General Fund
Transfer
From
Transfer Administrative
Overhead Total Transfer
Percent of
Total Rev
Energy $ 9,875,316 $ 637,267 $ 10,512,583 12%
Water 2,408,000 504,447 2,912,447 13%
Wastewater 3,250,000 476,762 3,726,762 11%
Sanitation 890,625 198,332 1,088,957 14%
Storm Drain 767,500 103,028 870,528 13%
Total $ 17,191,441 $ 1,919,836 $ 19,111,277 12%
Public hearings regarding transfers from the enterprise funds to other funds for the fiscal year beginning
July 1, 2026, and ending June 30, 2027, will be held during the Council Meeting on Tuesday, June 23,
2026. The meeting starts at 5:30 p.m. and will be held in the Council Chambers of the Provo City Hall
Building, 445 W Center Street, Provo, Utah. The meeting will also be available to the public for live
broadcast and on-demand viewing at: youtube.com/provocitycouncil. Those who would like to
participate in the meeting virtually may do so via Zoom. To join the Zoom meeting, visit zoom.us/join
and enter Meeting ID 862 8479 1822and Passcode 185104. To listen or comment via phone, dial 346-
248-7799, enter Meeting ID 833 9747 5081press #. Press # again for participant ID. Once connected,
press *9 to indicate that you would like to comment.
Thank you for your support and involvement as a customer of Provo City’s utilities.
