Missouri Public Service Commission Issues Order in Missouri American Water Rate Review Request

Frequently Asked Questions: Rate Review Process

On April 7, 2021, the Missouri Public Service Commission issued a final order in Missouri American Water’s rate review.

The requested review of water and wastewater rates was to recover investments associated with providing safe and reliable service for the more than 200 communities we serve throughout the state.

When was the rate review request filed?

  • The rate review request was filed at the Missouri Public Service Commission on June 30, 2020.

When will new rates go into effect?

  • Water and wastewater rates will go into effect at the end of May.

When was the last time water/wastewater rates changed?

  • May 2018 was the last time rates were adjusted.

Key drivers of this rate review were:

  • Investments of more than $620 million in water and wastewater system improvements since 2017 are the main drivers in the request.
  • Many miles of aging pipes were replaced, as well as valves, service lines and other critical components of our water and wastewater systems.
  • Ongoing investments are necessary to continue providing reliable service. The review also includes recovery of business operating expenses (fuel, chemicals, etc.).

What about the low-income assistance program that was a pilot program from the previous rate case?

  • The program still exists for our Northwest Operations ONLY. This includes Brunswick, Platte
  • County, St. Joseph and NOW Lawson.

Will the inclining block rate for customers in Mexico at the previous rate review continue?

  • The program is continuing in the Mexico Operation only and is reflected on the rates chart below.

What is the impact to customers?

  • The Commission ordered two rate groups for water – one being customers in St. Louis County, and the other being customers in all other Missouri American operations in the state.
  • Water customers in St. Louis County will see a decrease of about $1 per month in water rates. Water customers outside of St. Louis will NOT see a change in rates.
  • For our wastewater customers in Arnold, they will remain on their own rates. Customers outside of Arnold will see two rate groups, both having flat fees and will see a monthly increase of about out $3-$5 in their monthly bill.

 

CUSTOMERS CAN SEND QUESTIONS VIA EMAIL TO: MORateCaseInquiries@amwater.com

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