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Illinois American Water Rate Increase Proposal

1 week ago 0

Illinois American Water has proposed a rate increase to address the aging infrastructure, replace lead service lines, and enhance system resilience due to climate change and community growth. This proposal has stirred some concern among residents and area elected officials, who argue that the corporation should use its profits for these improvements rather than impose higher rates on customers.

At a recent Illinois Commerce Commission (ICC) hearing in Bolingbrook, approximately 160 people, including local officials and representatives of state legislators, attended to voice their concerns. Residents expressed that they should not have to choose between affording their water bills or essential purchases like groceries and medicine, emphasizing that water is a necessity without alternatives.

Homer Glen Mayor Christina Neitzke-Troike questioned why Illinois American Water’s executives had not previously explained the rate hike in public forums. She mentioned that her residents are left with two choices: reducing water usage to a bare minimum or moving away due to high water and sewer rates.

Illinois American Water is requesting about $129 million over two years, adjusted from an initial proposal of $143 million. The new rates would affect residential water customers by about $10 per month and wastewater customers by approximately $23 per month, supporting $577 million in improvements through 2027. These improvements target aging mains, lead line removal, and emerging contaminants like PFAS.

The ICC will decide on the rate increase by December 18. This marks the company’s fourth rate hike in a decade. Jim Chilsen, representing the Citizens Utility Board, noted this as a hardship for customers. Over the last ten years, Illinois American Water has secured $230 million in rate hikes despite recording substantial profits.

Several residents mentioned their ongoing participation in protesting previous hikes. April Palmer from Bolingbrook questioned the frequency of increases in rates despite soaring profits. Rosetta Spielman shared that her family spends $280 monthly on water, while Allaina Humphreys faces bills of $250 monthly without luxury usage.

Nancy Mizura highlighted the high proportion of her water bill among utility expenses. She complained about delayed responses to issues like water main breaks. In response, Judy Bredeweg suggested Illinois American Water provide minor financial contributions to the village when using local facilities.

Village leaders such as Woodridge’s Al Stonitsch and Bolingbrook’s Mary Alexander-Basta plan to oppose the rate hike. The ICC commissioners were criticized for not attending hearings, receiving only transcripts of proceedings.

Republican gubernatorial candidate Darren Bailey called for a denial of the rate increase, criticizing the monopoly’s ability to increase prices without alternatives for customers.

Illinois American Water President Rebecca Losli defended the proposed hike by illustrating the capital-intensive nature of water and wastewater systems compared to other utilities. She stressed the importance of ongoing infrastructure improvements to reduce disruptions and costs, offering assistance programs for qualifying residents.

The ICC is accepting written comments from customers affected by this proposal via its website or customer service line.

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