Chesterton Tribune

 

 

Two phase water rate hike ordered by IURC in settlement

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Indiana American Water Company (IAWC) is announcing that the Indiana Utility Regulatory Commission (IURC) has approved a stipulation and settlement agreement with the Indiana Office of Utility Consumer Counselor and several other interested parties regarding the company’s rate request filed in September 2018.

Details of the agreement are included in an order issued on Wednesday, June 26, by the IURC.

During the period covered by the rate request, IAWC invested more than $542 million in its water systems across the state. The order includes a 7.9-percent overall increase in operating water revenues, primarily based on that investment. The increases approved by the IURC will be implemented in two phases, with the first increase of 1.99 percent effective July 1, 2019, and a second increase in May 2020 of 5.79 percent.

The impact for most of the company’s residential customers using 4,000 gallons of water each month would be about 34 cents per month (0.96 percent) after Phase I goes into effect and an additional $2.22 per month (6.3 percent) when Phase II is implemented.

Details on specific rate impacts by district, rate group, and customer class will be posted on the company’s website--https://amwater.com/inaw/customer-service-billing/your-water-rates--after the company’s rates and tariffs are filed and approved by the IURC.

In addition, the IURC issued a final order dealing with the impacts of the Tax Cuts and Jobs Act (TCJA) of 2017. The order provides a one-time refund reflecting the amount collected in revenues after the TCJA was implemented, but before rates were changed, to be distributed to customers over a 12-month period starting in May 2020. The refund for the typical residential customer will total approximately $19.26, or approximately $1.60 per month for one year. IAWC already reduced its rates by 4.4 percent on August 1, 2018, as a result of the impact of the TCJA.

“We appreciate the cooperation of the Office of Utility Consumer Counselor and other interested parties in this proceeding to work toward and reach a negotiated settlement in this case,” IAWC President Matt Prine said. “We believe the terms embodied in this agreement and the IURC’s order are both reasonable and fair and in the best interests of our customers across the state.”

 

Posted 7/1/2019

 

 
 
 
 

 

 

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