Utility Asks 2-step Water Bill Increase

December 16, 1990

Residential customers of the Maryland American Water Co., which serves the greater Bel Air area, could see their monthly water bills increase by $2.33 if the Maryland Public Service Commission approves the utility's request for a two-step rate increase.

Donald Whitten, manager of Maryland American, said the company asked for the two-step increase Dec. 7. It is the third time in two years Maryland American has sought an increase.

Whitten said that if approved, the first rate increase, of $1.25 a month for the average residential customer, would take effect beginning in the summer of 1991. Later in 1991, the rate would increase by another $1.08 per month.

"We're seeking a rate increase because of an increase in operation and maintenance costs, and there's an inadequate rate of return on our investment," said Whitten.

The second rate increase would be used to pay for capital improvements on raw water pumps and intake structure, he said.

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