The Whitewater Municipal Water Utility (Utility) is regulated by the Public Service Commission of Wisconsin (PSCW). Changes to water rates are subject to review and approval by the PSCW.
The Whitewater Municipal Water Utility filed an application with the PSCW on July 31, 2022 to review water rates. As part of this process, the PSCW completes a detailed cost analysis of the utility's capital and operating costs. PSCW staff then creates three reports during their review:
Revenue requirement - this determines the revenue required to maintain the utility in a fiscally responsible manner. The PSCW notified the Utility of the revenue requirement on November 21, 2022. This notice can be found here: 2022 Revenue Requirement Notice
Cost of Service Study (COSS) - this determines the fixed and variable costs of the utility and attributes to differing customer classes and volume users. The PSCW notified the Utility of the COSS result on December 20, 2022. This notice can be found here: 2022 COSS - Rate Structure Notice
Rate Design - this determines the rate structure that will equitably recover costs between fixed and volume charges across customer classes. The PSCW notified the Utility of the proposed rate design on December 20, 2022 along with the COSS (see #2 above)
With these three stages complete, a Public Hearing is scheduled for January 26, 2023 at 2:00 pm. Utility customers have the opportunity to provide feedback to the PSCW before a final rate determination is made. Notice of Public Hearing can be found here; Public Hearing Notice - 2022 Water Utility Rate Case
The current water rates were approved by the PSC on June 11, 2020 and became effective for water use beginning 8/27/2020. The approved rate increase will provided an additional $361,000 in annual revenue to the Water Utility and produced a rate of return of 4.9%. This rate of return is used by the PSC to maintain confidence in the Utility’s financial integrity without resulting in rates to customers that are excessive. The 2020 change to water rates represented a $3.54 increase to the monthly bill for the average residential water customer using 3,000 gallons per month, including public fire protection charges.