Pilot Knob Rural Water District Referendum FAQ

By partnering with Missouri American Water, Pilot Knob Rural Water District will secure approximately $900,000 from the sale of their water system. Missouri American Water plans to invest approximately $2 million in infrastructure upgrades in the first five years of ownership.

• The investment will help improve water and wastewater infrastructure in Pilot Knob Rural Water District, adding a tax base to the area from Missouri American Water
• Missouri American Water plans to extend employment opportunities to all qualitied Pilot Knob Rural Water District employees, capitalizing on years of knowledge and experience from these seasoned professionals.

By taking ownership of the water system, Missouri American Water would assume all operational and regulatory responsibilities and invest in the infrastructure to modernize the system, improve reliability and provide high-quality service customers expect and deserve.

This partnership will strengthen the community’s future success, by helping to ensure safe, clean, reliable and affordable drinking water for generations to come.

What will happen to my water rates if I vote “Yes”?

If the referendum is approved, Pilot Knob Rural Water District customers can expect to see their water rates decrease. Missouri American Water would propose to adopt Missouri American Water’s current rates, which at present are lower than the Pilot Knob Rural Water District rates. The transition would be subject to approval by the Missouri Public Service Commission (PSC), which regulates Missouri American Water’s rates.

Any future rate changes would require PSC approval through a thorough, public process that provides customers with the opportunity to weigh in before any changes are approved. PSC-approved incremental rate adjustments, which are usually at or lower than inflation , allow Missouri American Water to make continuous investments to improve reliability, increase firefighting capacity, upgrade equipment and more. This approach also helps provide stability and predictability for households and businesses.

What will Pilot Knob do with the proceeds of selling the water system?

If the referendum is approved, 100% of the proceeds will be used to pay off the existing debt that Pilot Knob Rural Water District currently has on their water system. Paying off all water district debt and enabling Missouri American Water to invest in the system will benefit all current and future customers currently served by Pilot Knob Rural Water District.

Why is the Pilot Knob Rural Water District interested in selling their water system?

Pilot Knob Rural Water District is exploring the sale of its water system to Missouri American Water as a strategic response to mounting regulatory pressures and the escalating costs of infrastructure maintenance and upgrades. Managing rural water systems has become increasingly complex, with evolving environmental standards, stricter regulations, and the need for advanced treatment technologies placing significant demands on the system; all of which Missouri American Water can address, leveraging the company’s size and scale. The leadership at Pilot Knob Rural Water District recognizes that staying compliant and maintaining high-quality service requires not only substantial financial investment but also specialized expertise that can be difficult for smaller systems to sustain over time while keeping rates affordable.

By partnering with Missouri American Water, the District’s goal is to help ensure long-term reliability and water quality for its residents. Pilot Knob Rural Water District will be entrusting its water services to a provider equipped to meet future challenges.

Is Pilot Knob Rural Water District an asset to our community?

The system is currently a liability to the community, not an asset. The investment required to repair the aging water system and to meet evolving regulations will come at a tremendous cost to customers and the community as a whole, if Pilot Knob Rural Water District keeps the system.

Approving this referendum will eliminate the financial and operational burden of maintaining and operating a water system.

Will Missouri American Water understand our local needs?

Missouri American Water’s operations team, with approximately 100 local employees, is committed to providing high-quality customer service and serving the community.

Missouri American Water is a committed partner to the communities we serve. In 2025, Missouri American Water and the American Water Charitable Foundation donated over $377,000 to organizations that promote economic development, environmental initiatives, support fire departments, support local schools, and promote health and wellness. In 2025, our employees also volunteered for more than 250 hours in our state’s local communities.

Will Missouri American Water extend employment to Pilot Knob Rural Water District utility workers?

The skilled employees of Pilot Knob’s utility are the system’s most valuable asset. This partnership is built on a commitment to their future. The foremost promise is a clear guarantee of employment: All qualified utility employees at Pilot Knob Rural Water District will be extended employment by Missouri American Water, capitalizing on years of knowledge and experience from these seasoned, local professionals.

Will there be any negative environmental impact because of this water sale?

Just the opposite – Missouri American Water’s commitment to investing in the water system will address system deficiencies and help protect the environment. Missouri American Water has a strong water quality record, meeting or surpassing the Missouri Department of Environmental Protection and U.S. Environmental Protection Agency’s drinking water standards.

What kind of improvements would Missouri American Water make to the water system?

Missouri American Water, with the resources of American Water, will create a comprehensive capital plan for improvements in the system totaling approximately $2 million in system upgrades within the first five years of ownership. Missouri American Water will improve water quality and service reliability through infrastructure investment in meter upgrades, water main replacement, treatment improvements and more.

How will I be billed for water?

Customers will be billed monthly based on their water usage as Missouri American Water customers. Monthly billing provides customers with smaller bills and makes it easier, especially for those on fixed incomes, to include the cost of water service in their monthly household budget.

In addition, Pilot Knob Rural Water District customers will have access to the conveniences of Missouri American Water’s online, paperless billing and auto bill pay features. Qualifying customers can also take advantage of our customer bill paying assistance program.

How can Missouri American Water help ensure resiliency of the water system for Pilot Knob Rural Water District in the face of extreme weather?

Resiliency is best achieved through consistent investment in the water system infrastructure and robust asset management planning. Missouri American Water’s engineering staff conducts a comprehensive capital planning study program on a five-year schedule. System needs are identified, and project costs, alternatives, and risks are assessed. Regular comprehensive studies of our water and sewer assets provide a long-term view of system needs to help manage costs.

How can Missouri American Water guarantee water quality won’t decline over time under the partnership?

Water service is all we do. Missouri American Water takes great pride in providing a high-quality product to its customers that meets all federal, state and local water quality standards.

Missouri American Water’s Ironton acquisition is a strong example of service improvement when our company invests in a system. Since its acquisition, Missouri American Water invested over $6 million in Ironton to upgrade and install water main for service reliability, improve storage for system resiliency and replace customer meters for improved billing accuracy. We invite you to read more about Missouri American Water’s success in Ironton by visiting missouriamwater.com/pilotknob.