Continuously serving Kosciusko County since 1854
Indiana American Water filed a rate request Tuesday with the Indiana Utility Regulatory Commission that would change rates for water service in all of the company's operating districts.
In its filing, the water company requested an 18.6-percent rate increase for the Warsaw district, citing ongoing infrastructure investments and increased operating costs as main reasons for the request, according to a press release from the water company.
If approved, the average customer's bill for 6,000 gallons of water per month will increase approximately $4.45 per month, or 15 cents per day.
The press release indicates that since November 2002, Indiana American Water's base rates have increased by only 0.4 percent. From December 2003 through December 2006, the company invested more than $89 million in water system improvements throughout the state, replacing and installing new water lines, meters and hydrants, and making improvements at water treatment, pumping and storage facilities enhances customer service in local communities.
In Warsaw alone, according to the press release, the company invested more than $1.8 million in infrastructure improvements.
Any change in water rates will become effective only after an analysis and review by the IURC, a process that will take approximately a year and includes opportunities for formal public and customer input.
"Our water rates are based on the actual cost of providing water service," Scott Rands, Warsaw Network superintendent, is quoted as saying in the press release.
"The price our customers pay for water service is driven by the ongoing infrastructure investment that Indiana American Water makes to provide reliable, quality water service."
He said Indiana American Water also has experienced significant increased costs for chemicals, fuel, labor and insurance over the past three years, which it is seeking to recover in its rate filing.
"We continue to deliver an excellent service that our customers depend upon at an exceptional value," Rands said.
"One gallon of tap water still costs less than one penny."
