PUCO approves agreement in Water & Sewer rate case

COLUMBUS, OHIO (May 27, 2009) – The Public Utilities Commission of Ohio (PUCO) today approved a stipulation that allows Water & Sewer, LLC to increase the rates it charges for sewer service.

Water & Sewer serves customers in the Richfield subdivision, village of Richfield and in Richfield Township. The approved stipulation, signed by the company and PUCO staff, provides Water & Sewer with a rate of return of 10 percent.

Water & Sewer entered into an agreement with various local governments that would eventually lead to the city of Cleveland providing water service to Water & Sewer’s customers. Currently, customers receiving both water and sewer service are charged a volumetric rate of $0.12327 per cubic foot of water used for sewer service plus a customer charge of $12.76.

These customers will now be charged a bi-monthly flat rate of $214.90 for sewer service plus a customer charge of $12.76. Rates for water-only service are not affected by today’s order.
Sewer only customers currently pay a bi-monthly flat rate of $163.44 plus a customer charge of $12.76. With the new rates approved today, these customers will pay a bi-monthly flat rate of $214.90 plus a customer charge of $6.79.

Given the change in the sewer rate structure for the company’s water customers, a Rate Structure Collaborative comprised of PUCO staff, Water & Sewer, the Ohio Consumers’ Counsel and the village of Richfield will convene one-year from the date the city of Cleveland becomes the provider of water service to consider the desirability of reinstating a volumetric rate for sewer service. 

On Apr. 7, 2008, Water & Sewer filed an application to increase rates for water and wastewater services.  In December 2008, the PUCO granted a motion filed by Water & Sewer to suspend the portion of the application pertaining to water rates. A local public hearing was held in Richfield on April 13, 2009 and a public evidentiary hearing was held on April 15, 2009.

The approved rates will become effective for bills rendered after Commission approval and after Water & Sewer files tariffs consistent with today’s Commission opinion and order. A copy of the opinion and order is available at www.PUCO.ohio.gov. Click on the link to Docketing Information System and enter the case number 08-227-WS-AIR.

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08-227-WS-AIR