Proposal for drinking water rate increase by City of Bloomington Utilities still under development

City of Bloomington Utilities (CBU) is in the middle of a process to increase the water rate, a regular process CBU undertakes about every four years, to prevent rate spikes. No proposed rate increase has been calculated yet.

The last time CBU did this, in 2021, Indiana University (IU) and Washington Township both intervened, which eventually resulted a settlement involving a reduction in the proposed rate. This time around, CBU is required to meet with previous interveners as a part of the process.

On Friday (June 27), CBU is scheduled to meet with IU and Washington Township, the first of four required meetings to discuss a rate case. According to CBU, billing data and advanced metering infrastructure (AMI) data will be evaluated at this meeting. In following meetings, topics including revenue requirements, cost allocation by customer class, and rate design review will be covered.

After interveners have been given the opportunity to voice their input, proposed rates will be taken to the Utilities Service Board (USB) for approval. Once approved, they will be filed with the IURC, which will have 300 days to rule on the proposed rates.

Four years ago, in 2021, a rate case was developed that increased the residential water rate $3.73 to $4.38 per 1,000 gallons—around a 17% increase that began on Jan. 1, 2022.