Boise pauses recycled water project as projected costs balloon to $750m

Boise pauses recycled water project as projected costs balloon to $750mFacing severe inflationary pressures and a $1.3 billion 10-year capital plan, Boise Water Renewal Services is indefinitely halting its planned advanced water treatment facility to prioritize critical upgrades at its aging wastewater plants.

The estimated cost of the recycled water facility surged from $350 million in 2022 to $750 million, prompting the indefinite pause.

Boise's revised 10-year capital improvement plan now totals $1.3 billion, focusing heavily on the 75-year-old Lander Street and 50-year-old West Boise facilities.

A 2025 change in Idaho state law allowing municipal wastewater reuse opens new, potentially more affordable avenues for future groundwater recharge projects.

Funding the revised $1.3 billion capital plan will push average residential monthly bills from $78 to between $90 and $130 by 2030, avoiding the $175 rate modeled if the reuse project had proceeded.

The City of Boise Department of Public Works has placed an indefinite pause on its flagship recycled water project after cost estimates more than doubled to $750 million. The decision, affirmed by the City Council in June 2026, marks a major pivot in the city's Water Renewal Services strategy as the utility grapples with unprecedented construction inflation and the pressing need to rehabilitate aging infrastructure. The advanced water treatment facility was originally estimated at $56 million in 2018, before climbing to $350 million in 2022. According to Josh Baker, Water Renewal Senior Manager of Programs, the latest $750 million price tag is driven by surging material and labor costs—particularly for skilled trades like electricians and pipefitters—as well as the need for higher treatment standards to meet regulatory and community expectations. With the reuse project shelved, the utility is reallocating planned funds toward a $1.3 billion 10-year Capital Improvement Plan (CIP) focused on its existing wastewater treatment plants and collection system. The 75-year-old Lander Street facility is currently undergoing a $265 million Phase 2 upgrade, with an estimated $240 million needed over the next decade. Meanwhile, the 50-year-old West Boise facility requires $385 million over 10 years, primarily to upgrade solids handling and digestion infrastructure to manage higher-strength wastewater resulting from water conservation measures and regional growth. While the current project—which was designed strictly for industrial reuse—is paused, the city still plans to pursue recycled water in the future. A 2025 change to Idaho state statutes now permits the recycling of municipal wastewater, a practice previously banned. Baker noted this regulatory shift opens up new opportunities for year-round groundwater recharge that were not legally viable when the original project was conceived. Despite pausing the $750 million reuse facility, ratepayers will still see significant bill increases to fund the $1.3 billion CIP. Ali Hornak, Water Renewal Utility Planning Manager, presented preliminary models showing that average residential monthly bills, currently around $78, will rise to between $90 and $130 by 2030 depending on the blend of bond and rate funding utilized. Had the recycled water project moved forward, monthly bills were projected to hit roughly $175. Public Works Director Steve Burgos emphasized that the city is actively exploring affordability programs to mitigate the impact on residents. The utility, which recently maintained its AA bond rating, expects to bring refined funding strategies and integrated planning updates back to the commission in the fall of 2026.