Public Service Commission approves Missouri-American surcharge change

JEFFERSON CITY—The Missouri Public Service Commission has approved a request filed by the Missouri-American Water Company to adjust the infrastructure system replacement surcharge, or ISRS, on the bills of its St. Louis County customers.

Missouri-American sought the ISRS change to reflect infrastructure replacement investments made by the water company for the period of May 2010 through January 2011, according to a commission news release. These costs are not currently included in Missouri-American’s rates.

Missouri-American first established an ISRS on customer bills in December 2003.

The current ISRS was set to zero when the PSC decided Missouri-American’s last general rate case — effective July 1, 2010.

Under the change, residential customers will pay an ISRS of roughly 7 cents per 100 cubic feet or approximately 9.3 cents per 1,000 gallons of water used.

The infrastructure system replacements for which Missouri-American sought ISRS recognition are either:

• Mains and associated valves and hydrants installed as replacements for existing facilities that have worn out or were in a deteriorated condition.

• A main cleaning and/or relining project

• Infrastructure facility relocations due to construction or improvements of a highway, road, street, public way or other public work required by or on behalf of the United States, the state of Missouri, a political subdivision of the state of Missouri, or another entity having the power of eminent domain.