News Local/State

Illinois-American Water Requests 18% Rate Hike


Illinois American Water is seeking an 18% rate increase for all of its markets, including Champaign County.  It amounts to roughly an increase of $7.50 more a month on a typical bill.  The Illinois Commerce Commission will take 11 months to review the company’s request, which includes a public comment period.

So if the application is approved, rates aren’t expected to go up until January 2017.

Illinois American spokesperson Karen Cotton says this allows the company to invest in facilities, including a one million gallon water storage tank being built in West Champaign, and 23 miles of water main.

“That includes over $37 million worth of investment that’s not included in current rates," she said.  "So that investment is needed to continue to provide quality water service, keep our infrastructure upgraded, and make we don’t have a crisis like some municipalities or our region are working through.”

It’s the company’s first rate hike request since 2012, when bills went up about $2.30.  It has also cut operating costs by 3% since that time.

Illinois American also serves customers in Peoria and Pontiac.