A public hearing has been set for Iowa American Water Company’s proposed water rate increase.
The hearing, which will include the presentation of evidence and cross-examination of witnesses, will be held at 9 a.m. Tuesday, Nov. 19, in the Iowa Utilities Commission’s hearing room at 1375 E. Court Ave., Des Moines.
Iowa American filed an application May 1 seeking the IUC’s approval of a revision of rates to increase its annual revenues under Iowa Code. The company’s proposed rate increase is pending before the IUC in Docket No. RPU-2024-0002.
Written comments can be filed in the rate case by completing and submitting the online comment form, by emailing [email protected], or by postal mail to the Iowa Utilities Commission, Docket No. RPU-2024-0002, 1375 E. Court Ave., Des Moines, IA 50319-0069.
All publicly filed documents for the case are available for online review under Docket No. RPU-2024-0002.
The proposed hike could raise fees for many residential users by more than 38%.
The water utility’s rate request, filed in May with the then Iowa Utilities Board (IUB) (now renamed Iowa Utilities Commission), reflects more than $157 million in water and wastewater system improvements from October 2021 through March 2026 to continue providing clean, safe, reliable and affordable service.
As part of the rate proposal process, the IUC will hold meetings in the region to receive consumer comments. Here are the proposed meetings:
- Quad Cities: In-person meeting at 6 p.m., Wednesday, Aug. 7, at the Quad Cities Waterfront Convention Center, Bettendorf.
- Clinton, Iowa: In-person meeting at the Wild Rose Casino, at 6 p.m., Tuesday, Aug. 6.
Here is what customers can expect from their water bills if the increase is approved:
- Residential customers: Iowa American states the typical monthly bill in 2023 was $41.10. That will go up to $45.78 as of May 11 under a temporary rate hike. The monthly water bills will then go to $63.49 – or a 38.6% rate hike – as of April 1, 2025, if the rate hike is approved by the IUC.
- Commercial: Iowa American states the typical monthly rate in 2023 was $185.27. That will go up to $211.25 as of May 11 under a temporary rate hike. The monthly water bills will then go to $276.17 – or a 30.7% rate hike – as of April 1, 2025, if the rate hike is approved.
- Industrial: The water utility states the typical monthly rate in 2023 was $4,055.71. That will go up to $4,738.14 as of May 11 under a temporary rate hike. The monthly water bills will then go to $6,440.36 – or a 35.9% rate hike – as of April 1, 2025, if the rate hike is approved.
The company’s last general rate case was filed with the IUB in August 2020, and a final order was issued by the IUB on June 28, 2021. Those rates were effective Oct. 11, 2021. Since then, the company said it has made and will make more than $157 million in capital investments.