What differentiates local governments that implement water policies on equity and the environment? Analyzing a 2015 survey of 1,897 U.S. municipalities, we find municipalities that own their water utilities more likely have policies to protect low-income residents from disconnection and to implement water resource management. Respondents from 8% of municipalities report protecting residents from disconnection. State economic regulation of publicly owned utilities and Democrat-majority municipal governments are positively associated with policies protecting low-income households from shutoffs but bear no association with resource management. Public ownership of utilities and state economic regulation may play a role in meeting water policy goals.