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Southern Monroe Water proposes nearly 46% rate hike

Old water tap with flowing of water outside
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Southern Monroe Water Corporation is requesting a nearly 46 percent rate increase that would affect about 3,500 residential customers in Monroe County.

If approved, monthly bills for a customer using 4,000 gallons of water would rise from $31.40 to $45.68.

The Indiana Office of Utility Consumer Counselor, or OUCC, is reviewing the request and scheduled to file its recommendation with the Indiana Utility Regulatory Commission by Sept 15. OUCC spokesperson Anthony Swinger said rate cases are evaluated individually.

“The utility has the burden of proof to show it needs additional revenue,” Swinger said. “And that revenue has to be limited to what’s necessary to provide safe, reliable service.”

Southern Monroe’s current base rates were approved in 2011, though the utility has made some price adjustments based on changes in wholesale water costs. Swinger said it's not unusual for smaller utilities to go years between major rate cases.

The utility filed the request under the IURC’s Small Utility Filing Procedure, which allows utilities with fewer than 8,000 customers to streamline the regulatory process and avoid a full evidentiary hearing. That process is intended to reduce costs for utilities and customers.

The OUCC is accepting written public comments through September 8. Comments should reference IURC Cause No. 46245-U or Southern Monroe Water and will be included in the formal case record.

A decision from the IURC is expected later this year. If approved, the new rates would start about 30 days after the order is issued.

More information is available at in.gov/oucc.

Myah Garza is a reporter with WTIU-WFIU News and recent graduate of Indiana University. She double majored in psychology and journalism with a concentration in reporting and writing.