Buying the system does not make the City ready to run it
Councilor Jack Sweeney expressed sincere reservations about whether the City “could even run this thing.”
Even the City’s consultant acknowledges the risks.
“Assumption of Operational Responsibility and Risk. Upon acquisition, the City would assume full responsibility for the operation, maintenance, and regulatory compliance of the water system. This includes staffing, water treatment, distribution system maintenance, and compliance with WDNR requirements. The City would need to either hire qualified personnel or contract for operations, both of which carry cost and transition risk. The financial analysis assumes O&M costs consistent with SWL&P’s current spending levels, but actual costs under City management could vary.”
The employees are not part of the purchase
Purchasing the water system does not give the City its workforce. Current employees would decide whether to work for a new city utility.
The City would need qualified staff, including certified drinking-water operators, ready to manage treatment, maintain equipment, and respond to emergencies. Employee rights and union arrangements would also need to be addressed.
Shared systems would need to be separated
The water utility shares equipment, technology, and support with gas and electric operations. Meter communications, control systems, maintenance, and other functions would need to be separated, replaced, or provided through new arrangements.
The takeover estimate includes separation and startup expenses. Those dollars represent substantial work that would need to be completed while service continues.
Infrastructure extends beyond City limits
The system also serves customers outside the City, including the Village of Superior. A takeover would need to address their service and the infrastructure they rely on.
Drinking water requires different experience
Superior operates a wastewater treatment plant. It has never operated a drinking-water utility. Treating and delivering drinking water requires its own expertise, certifications, and regulatory compliance.
The City would need an experienced team and an operating plan ready for its first day of ownership.
The location of the water intake equipment is in Minnesota.
This creates legal uncertainty.
The intake that supplies Superior’s drinking water is located in Minnesota waters. In a July 30, 2026 letter, the utility’s attorneys argued that Wisconsin law does not authorize the City to acquire that intake because it is outside Wisconsin and serves more than one municipality (in this case, the Village of Superior).
What that ultimately means is not clear, but it probably means the Minnesota Public Utilities Commission will also be involved. That translates to more time, more money and more uncertainty.
Sources: June 24, 2026 Concentric study, including discussion of separation and startup; July 30, 2026 utility counsel letter. Link the letter and any substantive City response alongside this section. Internal source checks appear at the end of this draft.
