WSSC Water confronts workforce cliff and cyber mandates in 2026 risk outlook

WSSC Water confronts workforce cliff and cyber mandates in 2026 risk outlookThe Maryland utility is implementing aggressive mitigation strategies to address a looming loss of institutional knowledge and strict new state regulations while managing revenue volatility.

35% of WSSC Water staff will be eligible for retirement within five years, prompting a new succession planning initiative.

The utility is working to meet Maryland Senate Bill 871 cybersecurity compliance, requiring a Zero Trust architecture by July 2026.

Departments were asked to cut 2027 budgets by 5%, resulting in $27 million in savings to offset revenue volatility.

WSSC Water anticipates PFAS monitoring requirements in 2027 and compliance mandates by 2029.

Washington Suburban Sanitary Commission (WSSC Water) is navigating a complex risk landscape defined by an aging workforce, tightening state regulations, and revenue volatility, according to an Enterprise Risk Management (ERM) briefing presented to the Audit Committee on February 5, 2026. Helen Hagos, Director of the General Manager’s Office of Performance and Accountability, outlined six priority risks facing the utility, identifying "aging workforce" and "cybersecurity" as immediate pressure points alongside long-standing infrastructure concerns. **Workforce and Succession Planning** Data presented by Hagos revealed a significant impending shift in the utility's human capital. Currently, 20% of the workforce is eligible for full or early retirement. That figure is projected to rise to 35% within five years. Hagos noted that the median age for the water workforce is 48, significantly higher than the national median for other occupations. To mitigate the risk of losing critical institutional knowledge held by long-tenured employees, WSSC Water is formalizing a two-phased succession planning program. This involves identifying critical roles and establishing talent development pipelines to prepare internal successors. The utility is also participating in the Chesapeake Water Workforce Network to align training programs with industry needs. **Cybersecurity and Regulatory Deadlines** Hagos identified cybersecurity as an ongoing risk requiring continuous management, specifically highlighting compliance with Maryland Senate Bill 871. The legislation, which went into effect in October 2025, mandates strengthened cyber controls for community water and sewer systems tied to a "Zero Trust" approach. WSSC Water is working toward a compliance deadline of July 2026. The Zero Trust model requires continuous verification of users and devices, moving away from default trust. Hagos confirmed that the utility plans to brief commissioners on the implementation following the target date. **Emerging Contaminants** The utility is also preparing for evolving regulations regarding per- and polyfluoroalkyl substances (PFAS). While current mandates are under revision, Hagos stated that WSSC Water projects monitoring requirements to begin in 2027, with compliance mandates following in 2029. Mitigation efforts include a source monitoring program to identify dischargers and a planned pilot project at the Potomac Water Filtration Plant (WFP) to test treatment technologies, such as granular activated carbon or reverse osmosis. Beyond technical upgrades, the utility faces broader industry risks related to potential Superfund liability, where water providers could be held responsible for cleanup costs as passive receivers of the contaminants. The utility is also expanding its laboratory capabilities to perform in-house PFAS testing. **Financial Pressures and Funding** Addressing revenue volatility driven by inflation and government downsizing, the utility has implemented cost containment measures. Hagos reported that the budget office asked departments to cut their 2027 budgets by 5%, generating $27 million in savings. The utility is also conducting staffing level analyses to optimize resources rather than increasing headcount by default. To offset costs, an External Funding Task Force is actively pursuing grants, loans, and potential reimbursements from national PFAS class-action settlements. This includes a pending application for $150 million in Lead Service Line Replacement (LSLR) funding and a recently awarded $59.7 million through State Revolving Funds (SRF) for FY2025. **Asset Management** Regarding aging infrastructure, the utility is enhancing its master facility planning to prioritize replacements based on asset condition and future demand. A new project controls function is being established under the asset management team to improve visibility across the full project lifecycle, from design to execution.