State to hold hearing on approval of raising Elkhart water rates Oct. 1

ELKHART, Ind. -- The Indiana Utility Regulatory Commission will hold a hearing next week to listen to any members of the public who might have comments or concerns about the proposed increase in Elkhart water rates. 

In February of 2024, Elkhart Municipal Water Works filed a petition with the IURC requesting approval to increase its rates and charges for water utility service, and in response to that petition, a hearing is scheduled for 6 p.m. on Oct. 1 at Elkhart City Hall.

The current water rates were established in 2007, and city officials say the revenue coming from the water utility are no longer enough to cover its operation. 

Excerpt from Elkhart's petition to the IURC to raise water rates: 

"[Elkhart's] existing rates and charges for water service will not produce sufficient revenue to: pay all the legal and other necessary expenses incident to the operation of the utility, including maintenance costs, operating charges, upkeep, repairs, depreciation, and interest charges on bonds or other obligations, including leases; provide a sinking fund for the liquidation of bonds or other evidence of indebtedness, including leases; provide a debt service reserve for bonds or other obligations, including leases; provide adequate money for working capital; provide adequate money for making extensions and replacements to the extent not provided for through depreciation; provide money for the payment of any taxes that may be assessed against the utility, provide a reasonable return on the utility plant; and compensate [Elkhart] for taxes that would be due [to Elkhart] on the utility property, were it privately owned. The existing rates and charges are, therefore, unreasonable and unjust."

During the hearing, ratepayers have the opportunity to speak directly to the Commission or submit written comments.

"Please note, though, that because this is a pending case, the Commissioners and Judge are not allowed to answer questions or engage in any discussion about the case," the IURC said in a statement.

Anyone who is unable to attend can submit written comments to the Indiana Office of Utility Consumer Counselor online.

According to the State of Indiana, the IURC is a fact-finding body that hears evidence in cases filed before it and makes decisions based on the evidence presented in those cases. As an advocate of neither the public nor the utilities, the IURC is required by state statute to make decisions that balance the interests of all parties to ensure the utilities provide safe and reliable service at just and reasonable rates.