Over $490 million of capital investments in water and sewer infrastructure drives request
ST. LOUIS--(BUSINESS WIRE)--Today, Missouri American Water filed an application with the Missouri
Public Service Commission (MOPSC) requesting a change in the rates for
the company’s water and sewer customers.
Missouri American Water’s last general rate case was approved by the
MOPSC in July of 2016. Current rates will not change until the MOPSC
completes a thorough review and analysis of the request. The regulatory
process can take up to 11 months, and will include opportunities for
public comment. Customers can get detailed information on the rate case
filing at the company website, www.missouriamwater.com.
The main driver of the rate case is the company’s investment of more
than $490 million in water and sewer improvements. These infrastructure
improvements to local water and sewer plants, pumps and pipes enhance
service quality, reliability, environmental performance and fire
protection for customers. Additionally, increases in daily operating
costs such as fuel and power continue to raise the true cost of
providing reliable water and sewer service.
“These investments in plants, storage tanks, pumps and pipes are
necessary to enhance and maintain service reliability, water quality and
fire protection for the more than 150 communities served by Missouri
American Water,” said Cheryl Norton, President of Missouri American
Water. “Proper investment is needed so that we can ensure that our
customers continue to receive reliable service that meets all regulatory
The need to improve water and sewer systems is a national challenge. The
American Society of Civil Engineers recently stated an estimated $1
trillion of investment is needed across the nation over the next 25
years in water system investments, and an estimated $271 billion in
sewer system investments. Increasing regulations and stricter water
quality standards continue to contribute to increases in costs for
The company is requesting an annual revenue increase of $73.9 million
for water customers and $800,000 for sewer customers.
This rate adjustment filing includes an extension of the low-income rate
that was a pilot project requested by the MOPSC in the Northwest
operations as part of the last rate decision. Missouri American Water is
proposing to offer the low-income rate statewide. Customers that are
eligible for utility assistance through the Low Income Home Energy
Assistance Program (LIHEAP) would be eligible for reductions on water
bills if this is approved by the MOPSC.
Missouri American Water’s rates are based on the true costs of providing
water and sewer service as reviewed and approved by the MOPSC.
Missouri American Water
Missouri American Water, a subsidiary of American Water (NYSE: AWK), is
the largest investor-owned water utility in the state, providing
high-quality and reliable water and/or wastewater services to
approximately 1.5 million people.
With a history dating back to 1886, American Water is the largest and
most geographically diverse U.S. publicly-traded water and wastewater
utility company. The company employs more than 6,700 dedicated
professionals who provide regulated and market-based drinking water,
wastewater and other related services to an estimated 15 million people
in 47 states and Ontario, Canada. More information can be found by