For immediate release: Sep 09, 2009
Posted by: [OUCC]
Contact: Anthony Swinger
Phone: 1-888-441-2494

Indiana American Water Company rate case

Indiana American Water Company rate case:
Consumer comments invited
Public meeting and hearing scheduled for Tuesday, Sept. 15 in Gary

The Indiana Office of Utility Consumer Counselor (OUCC) is inviting public comments as it reviews the request of Indiana American Water Co. (IAWC) for changes to its rates and charges.

The OUCC - the state agency representing consumer interests in cases before the Indiana Utility Regulatory Commission (IURC) - has not yet taken a position in this case but is scheduled to complete its review of the utility's request and file testimony with the Commission on October 23, 2009.

Two public events regarding the rate case are scheduled for Tuesday, September 15, 2009 in Gary, Indiana. Both events will be held in the Auditorium of the Savanna Center at Indiana University-Northwest (3400 Broadway):

Additional field hearings in this case will be scheduled in Jeffersonville and Muncie, with dates, times and locations to be determined.

IAWC - a wholly owned subsidiary of New Jersey-based American Water, Inc. - provides service to approximately 283,000 residential, commercial and industrial customers throughout the state. The utility's current base rates were approved in 2007.

In its testimony, IAWC states that it is seeking an additional $46.8 million in new annual operating revenues due to growth in operating and maintenance expenses, and due to numerous capital improvements to transmission and distribution systems throughout its Indiana service territories. The proposal's impact on a typical residential customer's bill will vary by service territory as noted in the chart below.

IAWC customers who wish to submit written comments regarding this case may send them to the OUCC by mail, fax or the Internet:

The OUCC needs to receive all consumer comments in this case no later than October 16, 2009. Written comments should include the consumer's name, mailing address, and a reference to IURC Cause No. 43680.

For more information on this case, including links to the utility's testimony, please visit the OUCC's Website at www.in.gov/oucc/2556.htm. Tips for managing water bills and additional information about the regulatory process are also available on the OUCC's site.

Only the rates and charges of Indiana American Water Co. are at issue in this case. Indiana law does not give the IURC jurisdiction over municipal sewer utilities.

Issues related to service disconnection by Indiana American Water for non-payment of Gary Sanitary District charges are under investigation in a separate docket (IURC Cause No. 43668). Those issues are not under review in the pending rate case.

 

(IURC Cause No. 43680)

The Indiana Office of Utility Consumer Counselor (OUCC) is the state agency that represents residential and business consumer interests in cases before state and federal utility regulatory commissions. To learn more, visit www.IN.gov/OUCC.

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RATE IMPACT COMPARISON BY SERVICE TERRITORY

Indiana American Water Co. Proposed Rate Increase by Territory (IURC Cause No. 43680)

All figures are based on residential usage of 700 cubic feet (approx. 5,200 gallons) per month.
All figures refer to the utility's proposed water rate increases, unless otherwise specified.

Community

Current Monthly Charges

Proposed Monthly Charges

Crawfordsville

$29.58

$40.84

Johnson County
(Franklin, Greenwood)

$29.58

$40.84

Kokomo

$33.68

$40.84

Mooresville

$33.12

$29.44

Muncie *

$29.58

$40.84

Newburgh

$29.58

$40.84

Noblesville

$33.68

$40.84

Northwest Indiana **
(Burns Harbor, Chesterton, Gary, Hobart, Merrillville,
Portage, Porter, South Haven)

$26.37

$34.68

Richmond

$29.58

$40.84

Seymour

$33.68

$40.84

Shelbyville

$29.58

$40.84

Somerset *

$33.68

$40.84

Southern Indiana
(Clarksville, Jeffersonville, New Albany)

$29.58

$40.84

Summitville

$33.68

$40.84

Wabash

$27.53

$29.44

Wabash Valley
(Terre Haute, Sullivan, Farmersburg)

$29.58

$40.84

Warsaw

$25.27

$29.44

West Lafayette

$20.69

$29.44

Winchester

$30.14

$29.44

* IAWC's proposal would decrease the flat monthly sewer rate for residential customers it serves in Muncie (Farmington/Farmington Meadows Subdivisions) and Somerset from $61.29 to $36.00.

** Figures for Northwest Indiana are based on a bi-monthly bill for 1400 cubic feet, which would increase from $52.74 to $69.36 under the utility's proposal.

Source of figures: Indiana American Water Co. Testimony (Exhibit GMV-7), Filed 5/4/09

Table compiled by OUCC, 9/9/09

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