Press Release

HARRISBURG, Pa. - The Pennsylvania Public Utility Commission (PUC) today suspended for investigation the request of Pennsylvania American Wastewater Operations for an annual increase in sewer rates. The proposal would increase rates $994,000 (64.8 percent) for customers.

Under the company’s proposal, an average residential sewage bill would increase approximately $263 a year, from $405 to $668. The company has proposed a two-step phase-in of this rate increase. Effective January 1, 2001, pressure and gravity residential customers would see an annual increase of about $133. Effective January 1, 2002, pressure and gravity residential customers would receive an increase of approximately $130 annually. Gravity sewer service relies on gravity to move the effluent and pressure sewer collection systems have individual grinder pump stations at each customer’s residence.

The proposed increase will be suspended for up to seven months from its June 27, 2000, proposed effective date and assigned to a PUC administrative law judge for a recommended decision.

The company said it needs to raise rates to recover the cost to finance the construction of a new wastewater treatment facility to improve service to Pocono wastewater customers. Formal protests were filed.

Pennsylvania American –Wastewater Operations serves 2,108 gravity residential customers and 1,245 pressure customers in Coolbaugh Township, Monroe County.

For recent news releases, or more information about the PUC, visit our Internet homepage: http://puc.paonline.com.

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