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Waukesha utility commission votes to submit PSC application seeking water-rate adjustment
Summary
The Waukesha Water Utility Commission voted June 19 to submit an application to the Wisconsin Public Service Commission (docket 6240-WR-111) to request a water-rate increase; staff estimated the water portion could rise about 13%, equivalent to roughly a 6.6% change in the total combined bill, and will request an Oct. 1 filing extension to finalize required reports.
The Waukesha Water Utility Commission voted on June 19 to submit an application to the Wisconsin Public Service Commission under docket 6240-WR-111 seeking an adjustment to water rates.
Courtney, utility finance staff, told the commission the filing is required within two years of the docket date and that staff is asking the PSC for a short extension to Oct. 1 to ensure the utility can assemble annual PSC reports and accounting details. Courtney said the utility is estimating a water-portion increase of about 13 percent and that, when combined with return-flow and sewer charges, the effect on a typical customer’s total bill would be roughly 6.6 percent.
“Now that we have a year and a half of actual costs from the Great Water Alliance project, the PSC will use those actual costs — rather than earlier estimates — to set rates,” Courtney said during the presentation. She told commissioners the PSC’s review and approval process usually takes 12–18 months.
Commissioners asked staff to explain what drove the request. Staff said three principal factors guided the filing: (1) the transition from projected to actual Great Water Alliance costs; (2) completed amortization of pre-development costs tied to the Oak Creek option that the PSC previously required the utility to amortize; and (3) clarified estimates for abandoning facilities no longer needed after the project. General Manager Dan explained that the water-supply loan is structured for roughly a 38-year amortization and that pipelines are designed for long service lives, which informed staff’s cost-recovery plan.
Resident Chris Wilson questioned whether rates could fall once construction and debt are paid off. Dan responded that the water-supply debt will likely remain for decades — and while return-flow rates may decline with time, the supply side requires planning for redundancy and long-term replacement.
After public comment and commissioner questions, the commission approved by voice vote a motion to submit the PSC application and to pursue a short extension to Oct. 1 for filing.
What happens next: staff will prepare the formal filing to the PSC and include the most recent actuals for purchased water, power, maintenance and facility-abandonment costs. The PSC will evaluate rate-earning benchmarks and the utility’s documented expenses before establishing new rates.
Votes and next steps: The commission approved the motion to submit the application by voice vote; staff said it will return with the final application materials as required by the PSC process.
