April 2017

City of East Chicago Water Department Petitions IURC Rate Increase

United States - Indiana

The City of East Chicago Water Department petitioned the Indiana Utility Regulatory Commission (IURC) seeking approval of an overall rate increase of up to 55 percent and the issuance of up to $18 million debt. This was the City’s first rate increase request since 2006.

Faegre Baker Daniels represented the City of East Chicago and helped it reach a settlement with the Indiana Office of Utility Consumer Counsellor (OUCC) in which certain revisions were made to the structure of the debt funding in exchange for the OUCC’s support of a 55 percent rate increase.

The settlement agreement ultimately included debt funding from the Indiana State Revolving Fund for lead-pipe replacement of customer-owned service lines. The settlement agreement was opposed by the City of East Chicago Industrial Group. Following a hearing, the IURC approved the settlement agreement in an order granting the City authority to increase rates up to 55 percent and debt funding up to $18 million.   

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