Monarch Utilities statement on rate increase - KLTV.com - Tyler, Longview, Jacksonville |ETX News

Monarch Utilities statement on rate increase

On Tuesday, September 3, 2013, Monarch Utilities filed a rate application with the Texas Commission on Environmental Quality (TCEQ).

The company is applying for a two-phase rate increase with a 9.9% increase on January 1, 2014, and a 4.5% increase on July 1, 2014.

For a Monarch customer who uses 5,000 gallons of water per month, this will amount to an additional $7.38 per month for that customer, beginning January 1, 2014. The current bill at 5,000 gallons is $74.40. This would bring it to $81.78. Beginning July 1, 2014, the bill will increase by another $3.68 for a customer using 5,000 gallons per month.

For Monarch sewer customers, the company is applying for an increase of 9.9%, which equals an additional $6.98 per month based on 5,000 gallons, beginning January 1, 2014. The current sewer bill at 5,000 gallons is $70.40. This would bring it to $77.38. Beginning July 1, 2014, the bill will increase by another $3.46 for a customer using 5,000 gallons per month.

When preparing the rate applications, Monarch carefully considered a number of factors, including Monarch¹s investment of $3.5 million in critical plant and equipment improvements in 2012; increasing costs for purchased wholesale water and other items necessary to doing business; and costs of service that remain greater than income from customer rates.

Taking these factors into account, Monarch¹s cost-of-service study supports a rate increase of approximately 44%, but in an effort to be conciliatory with customers, the company is not doing so.

Charles W. Profilet, Jr

President

Monarch Utilities I, L.P.

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