This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Kentucky American Water Files Rate Case With Kentucky PSC

Kentucky American Water filed an application today with the Kentucky Public Service Commission requesting a general rate increase for its customers. The request is driven by the approximately $58 million in capital investments the company has made since last filing for a rate increase nearly three years ago, in February 2010.

The company’s request, if granted in full, would increase the average residential customer rate by $5.76 per month -- from the current average of $32.75 per month to $38.51 per month -- based on an average monthly usage of 4,500 gallons. Even with this proposed increase, the cost of tap water for residential customers would remain at less than one penny per gallon, with the average residential customer receiving a day’s worth of quality tap water for approximately $1.27.

Among the capital improvements in local infrastructure included in the rate case are upgrades to the company’s water distribution systems, such as replacement of aging water mains and manually-read water meters, and improvements to water treatment plants, such as the replacement of pumps. These capital investments are necessary to enhance overall customer service, improve operational efficiency and maintain reliable, quality drinking water service and fire protection for the company’s customers in portions of 10 Kentucky counties.

“We work diligently to hold expenses and rates down as much as possible, but we must make ongoing, prudent and necessary investments in our water systems so that we can continue providing reliable drinking water service and meet all federal and state drinking water quality regulations,” said Cheryl Norton, president of Kentucky American Water.

“According to the American Society of Civil Engineers, a staggering number of water utilities across the country are struggling to maintain their current systems -- much less invest in them for the future -- because they have gotten behind on making necessary upgrades,” she said. “Fortunately, the situation is vastly different for Kentucky American Water, but only because we have remained committed to making necessary water infrastructure improvements. We balance this need for ongoing, capital investment with a continual effort to become increasingly efficient in our operations, and that helps us mitigate the financial impact on our customers as much as possible.”

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,203.37 -85.26 -0.47%
S&P 500 2,107.78 -9.61 -0.45%
NASDAQ 4,979.9010 -28.1950 -0.56%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs