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Pending Base Rate Case
The Indiana Office of Utility Consumer Counselor (OUCC), Indiana American Water Company (IAWC), and intervening parties have reached a settlement agreement in the utility's pending rate case. It would allow for a 2.55 percent increase in the utility's annual operating revenues (compared to the 9.8 percent increase IAWC requested in January 2014).
The agreement is pending before the Indiana Utility Regulatory Commission (IURC) which may approve, deny, or modify it.
A comprehensive settlement agreement addressing all issues in the case was filed on December 8, 2014. The parties have also agreed to a motion for interim rates, to be implemented as allowed by state law if a Commission order is not issued by January 1, 2015.
This page will be updated based on future developments. The IURC public file for the rate case is available by clicking here and entering docket number 44450.
In its litigation position, the OUCC recommended a rate decrease as summarized in the agency's May 5, 2014 news release. The OUCC also issued a March 17, 2014 news release inviting consumer comments and announcing the IURC's April 2014 public field hearings in Franklin and in Gary.
The IURC's June 6, 2012 order in IAWC’s last general base rate case (Cause No. 44022) granted the utility a 1 percent increase in its annual operating revenues. IAWC sought an increase of more than 8 percent, with the Indiana Office of Utility Consumer Counselor (OUCC) recommending a rate decrease.
OUCC News Releases:
The IURC public file is available by clicking here and entering docket number 44022.
In addition to general rate cases, Indiana law (IC 8-1-31) allows investor-owned water utilities to seek rate increases through a mechanism known as the Distribution System Improvement Charge (DSIC). IAWC and other investor-owned water utilities are allowed to seek DSIC cost recovery as often as once per year to replace infrastructure that has exceeded its useful life (aging distribution lines, particularly).
DSIC cases require IURC approval and OUCC review under an expedited schedule.
IAWC’s received a DSIC increase on December 27, 2012 (Cause No. 42351-DSIC 7).
IAWC requested an overall rate increase of 2.55 percent in Cause No. 42351-DSIC 8.
The IURC public files for the DSIC cases are available by clicking here and entering docket number 42351.