On July 1, 2024, Missouri American Water filed a request with the Missouri Public Service Commission (MoPSC) to review the company’s water and wastewater rates. The request is driven by $1.5 billion in completed or planned system investments across the state from January 2023 to May 2026.

Missouri American Water’s rates are based on the cost of providing quality, reliable water service to customers. As a utility regulated by the MoPSC, Missouri American Water cannot make any changes to rates without the approval of the MoPSC.

The MoPSC’s review of the company’s request is expected to take 11 months. Any new rates approved by the MoPSC are not expected to become effective until mid-2025. Rates are not changing at this time.

The company’s last general rate case was filed with the MoPSC in July 2022 with a rate Order being approved in May 2023. New rates became effective on May 28, 2023.

If the company’s proposed rates are approved as filed with the MoPSC today, the water bill for the average residential customer using 5,475 gallons per month would increase about $18.00 per month. Wastewater customers could see a monthly decrease or increase depending on the customer’s service area.

For details on proposed water and wastewater rates, click here.

Investments in the rate request include the replacement or installation of approximately 250 miles of aging water and wastewater pipes (about the distance from St. Louis to Joplin) to help reduce main breaks and sewer overflows. Improvement projects also include the upgrading of treatment plants, storage tanks, wells, pumping and lift stations, fire hydrants, meters and more across the state. Click here to see a map of pipe replacement projects in your area.

Additional key projects include:

  • St. Louis County - Replacement of the intake pump station at the South Water Treatment Plant
  • St. Charles County – Construction of new transmission main to add a second source of water supply
  • Jefferson City - Construction of a new filter building at the water treatment plant
  • St. Joseph - Upgrades at the water treatment plant and Randolph booster stations
  • Joplin – Construction of a new carbon feed system at the treatment plant and well site treatment upgrades
  • Eureka and Smithton – Wastewater treatment plant upgrades including construction of new lift station and UV disinfection

 

For information on current water and wastewater rates approved by the MoPSC (effective May 28, 2023), please see below.

Water and Sewer Infrastructure Rate Adjustment (WSIRA)

In 2021 the Missouri Legislature passed a bill to help accelerate the replacement of aging pipes, pumps, and other critical components of water and wastewater systems by allowing for more timely recovery of investments.

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How do customers benefit?

Replacing pipes and other key parts of aging water and wastewater systems as they near the end of their life expectancy improves system reliability, efficiency and performance. For example, new water mains are less likely to break and are typically larger in diameter than older mains, which increases water flow to better meet the needs of customers and fire fighters.

Additionally, planned replacement projects allow water companies to coordinate with local governments and large customers to minimize disruptions and maximize resources. For example, planning ahead allows us to replace water mains in conjunction with road repaving projects, target the replacement of lead service lines, and schedule major projects at night and on the weekends to avoid negative business impacts and traffic congestion.

What improvements does it fund?

WSIRA helps fund the replacement of aging pipes, meters, valves, hydrants, service lines, sewer laterals, pumps, mechanical equipment, and system controls. These are all critical components of reliable water and wastewater systems.

How does it work?

A water or wastewater company can request recovery of eligible investments every six months. The replacement projects must be completed and serving customers before they can be included in a filing. Once reviewed and approved by the Missouri Public Service Commission, a small rate adjustment will appear on customers’ bills to help pay for the projects.

How will it impact bills?

WSIRA is designed to be more budget-friendly for our customers than the traditional comprehensive rate review process because it allows for smaller, more consistent increases to customers’ bills. Because WSIRA adjustments are based on the amount of water used, customers can also lower their bill by using less water—every 1,000 gallons saves approximately $9. Visit our website for Wise Water Use tips like using water-efficient appliances and only watering your lawn when needed.

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How will it help my community?

Reliable water and wastewater systems are key to economic development and community growth. Efficiently replacing aging pipes and other critical assets improves service and reliability, both now and for future generations. These projects also support quality jobs, with an estimated six direct jobs and nine indirect jobs created for every $1 million invested in water systems.

 

What are the WSIRA rates?

WSIRA - Water Customers (per 1,000 gallons)

Customer Rate Class

St. Louis County

Other Missouri

Residential & Commercial (Rate A)

$1.20861

$0.68534

Sale for Resale (Rate B)

$0.37199

$0.17594

Large Industrial (Rate J)

$0.26211

$0.22596

WSIRA – Sewer Customers (Percent of Total Bill)

Customer Rate Class

Arnold

Other Missouri

All Users

0.2902%

3.3507%

CLICK HERE FOR MORE INFORMATION ABOUT THE WSIRA PROGRAM.