Thanks. It doesn't look too bad at all since the ceiling is low. Attaching an angle view.
Thinking about it more though, it might be good to isolate the utility room in case of fire. Which brings up another thought. There isn't a proper return-air vent in the room. There are louver doors in two corners--one of which covers the water meter--and they lead to the cavity created by the floor joists that open to the utility area. Does that count as a proper return-air vent?