MO American Water files rate request for water, sewer services in all districts

Aug. 3, 2015
Missouri American Water has filed an application with the Missouri Public Service Commission to adjust rates for water and sewer service in all of the company's operating districts.

ST. LOUIS COUNTY, MO, Aug. 3, 2015 -- Today, Missouri American Water (MAW) filed an application with the Missouri Public Service Commission (MoPSC) to adjust rates for water and sewer service in all of the company's operating districts. MAW's last general rate case was approved by the MoPSC in April 2012.

The company's investments in water and sewer system improvements are the primary driver behind this rate request. From January 1, 2012, to January 31, 2016, MAW will have invested approximately $436 million in water and sewer infrastructure statewide. These improvements to local water and sewer plants, pumps and pipes help to enhance service quality, reliability, environmental performance, public health, and fire protection for customers.

Rates will not change until the MoPSC completes a comprehensive audit of the request. The 11-month process includes public hearings and opportunities for public comment. Four years will have passed since MAW's last rate increase in 2012, if the MoPSC maintains its traditional 11-month review schedule.

"The net effect is a reduction in expenses of $7.1 million when comparing our operations in 2010 to those same operations in 2014. These savings are particularly important as we face a growing need to replace much of our infrastructure that is nearing the end of its useful life," said MAW President Frank Kartmann. "For every dollarin O&M expense we are able to cut, we can invest just over six dollars in infrastructure without impacting customer rates. As a result, we are able to invest more than $42 million in infrastructure improvements without an impact to our customer bills."

The need to upgrade water and sewer systems is a national challenge. The American Society of Civil Engineers says that an estimated $1 trillion in capital spending will be needed across the nation over the next 25 years to replace thousands of miles of pipe, upgrade treatment plants and comply with stricter water quality standards.

MAW's rates are based on the true costs of providing water and sewer service as reviewed and approved by the MoPSC. The company is requesting a general increase of about $49.3 million per year for water rates and about $1.8 million per year for sewer rates.

See also:

"Paddlers participate in Missouri River race to support water preservation"

"MO American Water sets new record for water distribution upgrades in 2014"

About American Water

Founded in 1886, American Water is the largest publicly traded U.S. water and wastewater utility company. With headquarters in Voorhees, N.J., the company employs approximately 6,400 dedicated professionals who provide drinking water, wastewater and other related services to an estimated 15 million people in 47 states and Ontario, Canada. For more information, visit


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