Municipalities have the jurisdiction to establish municipal services and the ability to set fees associated with those services. A public utility means a system or works used to provide one or more of the following for public consumption, benefit, convenience or use:
- water
- sewage disposal
- public transportation operated by or on behalf of the municipality
- drainage
- electrical power
- heat
- waste management
- residential or commercial street or road lighting
- systems for the provision of radio or television services or both
- any other system or works approved by the Saskatchewan Municipal Board
Council may, by bylaw, establish a public utility service and set any rates, charges, tolls, fares or rents for the service including the lease or sale of equipment, fittings, equipment, meters or other things needed to deliver the service to consumers. Each municipality sets its own rates or fees based on its costs of providing the service. If the public utility is for water or sewer, the Saskatchewan Municipal Board must approve the rates, charges, tools or rents contained in a utility rate bylaw.
In situations where public utility accounts and services go unpaid, The Municipalities Act empowers a municipality with several options to collect the unpaid fees:
- It may stop providing the public utility service.
- It may add a lien on land or collection by distress (sale of goods to satisfy amounts payable for the provision of service).
- It may add unpaid charges for the provided service to the land's property taxes.