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The company says the increase is necessary to set off approximately $49 million in capital investments it has made since 2010
The York Water Co. asked the Pennsylvania Public Utility Commission (PUC) for a general increase in rates on May 29, 2013.
Jeffrey R. Hines, president and CEO, said the company is asking for a $7.1 million increase in annual water revenues, and a $27,960 increase in annual wastewater revenues for the Asbury Pointe Subdivision.
The company's filing with the PUC also requests to combine in part, the revenue requirement for the company's wastewater operations with the company's water operations as authorized by legislation enacted in 2012.
Hines said the increase is necessary due to approximately $49 million in capital investments that the company has made since its 2010 rate filing and will make through February 2015. The capital investments are necessary to: reinforce, replace and reline aging water mains; provide redundancy for both water and wastewater systems in case of emergencies; increase water quality and operational efficiency through upgrades to facilities and equipment; expand and improve the water and wastewater treatment plants and other facilities to better meet current and upcoming regulations; and replace and upgrade other infrastructure, including York Water's water supply dams.
Hines said: "Costs to be recovered in this rate filing include replacement costs for over 30 miles of aging pipeline, about 3% of our total pipe, which extends the life of our infrastructure, reduces costs associated with main breaks and leaks, and provides improved customer service and reliability. In addition to these capital investments, we are also seeking to recover increased costs such as personnel expenses, depreciation, and increases in normal operations and maintenance expenses. We continue our efforts to reduce and eliminate expenses which have helped to offset and delay this proposed increase in rates."
The York Water Company is the oldest investor-owned water utility in the United States serving approximately 189,000 people in 47 municipalities in York and Adams Counties, South Central, Pennsylvania.