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Evansville Water & Sewer outlines plant projects, PFAS monitoring and IOCP affordability concerns
Summary
Evansville Water & Sewer Utility told councilors it has multiple water and wastewater projects in design/construction, is pursuing a replacement water treatment plant, is monitoring PFAS ahead of a 4 parts‑per‑trillion federal limit, and is negotiating with EPA/IDEM on affordable approaches to the combined sewer overflow plan.
The Evansville Water & Sewer Utility (EWSU) used the budget hearing to outline a slate of capital projects, regulatory risks and steps intended to keep water and sewer service affordable for customers.
Vic Kelson, EWSU executive director, summarized active projects—12 projects in construction/design this year totaling about $21.4 million—and said 13 projects are in active design for 2025, totaling about $15.18 million. He said the utility is beyond 90% design on its planned water treatment plant replacement and that the utility is working to move more services in‑house to reduce recurring contractor costs.
Kelson highlighted a new federal regulatory pressure point: the U.S. Environmental Protection Agency will set an enforceable limit for certain PFAS compounds at four parts per trillion, with compliance effective April 10, 2029. "There is a 4 part per trillion limit, that will become an enforceable limit, on 04/10/2029," he said. The utility is monitoring PFAS at both plants and conducting preliminary groundwater investigations to identify lower‑PFAS supplies as potential mitigation options.
Kelson said the city and utility are engaged with the EPA and the Indiana Department of Environmental Management to seek more affordable approaches to the integrated overflow control plan required by the consent decree; he framed affordability as a guiding principle and signaled the utility will press for solutions that limit the burden on ratepayers.
On finance, Keith Penny, EWSU financial director, presented draft numbers showing $166,000,000 in total utility revenue and $164,000,000 in budgeted expenses for 2025, noting modest increases driven largely by interest and operational changes. He said water rates are in a Phase‑5 IRC rate case with increases expected to take effect in April and that sewer rates are not being increased this year.
Kelson and Penny said the utility is pursuing digital billing to reduce postage (postage could approach $500,000 if paper billing continues) and pursuing asset‑management and safety programs. EWSU emphasized it is funded separately from the civil city and that it pays a payment‑in‑lieu‑of‑tax to the city.
Next steps: utility leaders said more detailed capital breakdowns and revised accounts will appear in the final budget book and invited councilors to follow up with specific questions about project timelines and rate impacts.
