Water Archives | Citizens Utility Board

BREAKING: ICC grants Aqua Illinois $11.6 million rate-hike

Elizabeth — Thu, 21 Nov 2024 21:45:15 +0000

The Illinois Commerce Commission (ICC) on Thursday cut Aqua Illinois’ rate-hike request by about 40 percent, granting the water utility an $11.6 million increase. CUB called the ICC’s Final Order a step toward reining in a utility that was the subject of intense criticism for high rates and poor water quality from customers who attended ICC public forums requested by AARP Illinois over the summer. But CUB said more needed to be done: The next step is to work for reforms in Springfield. “The ICC’s ruling is a step in the right direction–although we never like to see water rates go up for long-suffering Aqua customers,” CUB Executive Director Sarah Moskowitz said. “We believe that a 9.6 percent profit rate for shareholders is still too high, but we are pleased that regulators rejected the company’s outrageous 10.8 percent proposal. And we are encouraged that the ICC shares the concerns of consumer advocates that Aqua’s rate design may unnecessarily shift costs onto residential ratepayers and ordered Aqua to explore more consumer-friendly designs. Now that this rate case is completed, we are turning our attention to Springfield, where there is a dire need to reform Illinois water policy that has been stacked against consumers for far too long and has escalated residential bills for years.” “AARP Illinois applauds the ICC’s decision to decrease Aqua Illinois’ proposed rate hike by 43 percent,” said Philippe Largent, State Director of AARP Illinois. “Water is just one of the utility bill increases that customers are struggling to pay, and we are encouraged to see that the ICC continues to approach these proposals with long-needed scrutiny, prioritizing people over company profits.” The ICC’s Final Order approved a 9.60 percent Return on Equity (ROE, or profit rate for shareholders), down from the 10.8 percent ROE that the company proposed when it filed for a $20.4 million rate hike in January of this year. ICC Chairman Doug Scott said the ICC approved Aqua’s proposed “rate design”–how the company spreads out costs over its residential, commercial and industrial customers–but added the Illinois Attorney General’s Office raised legitimate concerns that the utility was unnecessarily shifting costs on residential customers. The ICC ordered Aqua to develop and review alternatives to its current rate structure, and required Aqua to file an alternative rate design proposal by Jan. 1, 2027 or at its next rate case (whatever comes sooner) in conjunction with its preferred rate design. Aqua is required to also file a comparative analysis of the two rate designs. Also, under the Final Order, starting on July 1, 2025, eligible Aqua customers whose incomes are at or below 150 percent of the Federal Poverty Level will be able to receive a 70 percent discount on all base volumetric charges as a part of the newly approved low-income discount rate. In addition to challenging Aqua’s increase before the ICC, CUB also has advocated for reforms in Springfield, where in past years water companies have successfully pushed for legislation that increases costs for their customers. Under state law: Aqua and Illinois American Water–the state’s two biggest private water utilities–charge a “Qualifying Infrastructure Plant” fee on bills. Illinois American and Aqua […]

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News Release: State regulatory judge recommends IL American Water receive $109.8 million rate hike, CUB urges ICC to cut it further

Jim Chilsen — Wed, 06 Nov 2024 19:51:50 +0000

A state regulatory judge has recommended that Illinois American Water receive a $109.8 million rate hike, but CUB is urging the Illinois Commerce Commission (ICC) to cut the increase further when it issues a final order before the end of the year. (Read CUB’s news release.) The Proposed Order, submitted October 24, by an ICC Administrative Law Judge, reduced Illinois American’s originally proposed $152.4 million rate hike by about 28 percent, to $109.8 million. On Thursday, CUB plans to file a brief responding to the Proposed Order. The five-member ICC will issue a final ruling on the rate case no later than Dec. 17. In its Final Order, the ICC could follow the judge’s recommendation or make key changes increasing or decreasing the rate hike. The new rates would take effect in January. “This is progress, but we would like to see the ICC reduce Illinois American’s rate-hike request even more,” CUB Executive Director Sarah Moskowitz said. “For years, Illinois American customers have been burdened by escalating bills—the utility doesn’t need or deserve the profit rate for shareholders recommended in the Proposed Order. Our goal is to fight to reduce this rate hike as much as possible.” In January, Illinois American Water, the largest investor-owned water and wastewater utility in Illinois, serving about 1.3 million customers, filed a rate-hike request (ICC Docket 24-0097). The company has estimated the rate hike would increase average residential monthly water bills by about $24 per month, and the average wastewater bill would increase by about $3 to $5 per month. Actual rates would depend on a customer’s service area. Moskowitz called the potential increase “unprecedented.” Below are a few highlights of the regulatory judge’s Proposed Order: Agreed with CUB and other consumer advocates and rejected the second step ($15.7 million) of the company’s proposed two-step rate hike. In an unusual move, Illinois American had proposed a two-step rate hike—a $136.7 million increase now, and $15.7 million more about a year from now. CUB had argued that a two-step increase was unprecedented and an improper attempt to pay for 2026 spending, which was outside the scope of the case. Agreed with CUB and other advocates that customers shouldn’t have to cover employee bonuses for reaching financial goals that benefit shareholders and not everyday customers. Adopted the ICC staff’s proposed 49 percent “common equity ratio” (how much of the utility’s financing comes from issuing stocks), which CUB supported. Adopted the ICC staff’s 9.84 percent Return on Equity (ROE), also known as the profit rate for shareholders. That is higher than CUB’s recommended ROE of 9.34 percent and represents millions of dollars in higher rates. (The company’s current ROE is an already-excessive 9.78 percent.) In May, CUB partnered with multiple parties, including the Village of Bolingbrook, to challenge the proposed rate hike. CUB’s brief, to be filed Thursday, will argue for reducing the rate hike as much as possible. In forums AARP Illinois requested and the ICC held over the summer, angry customers complained that bills were already too high. During a packed, raucous forum in Bolingbrook, customers yelled out the size of their water bills: “$256!” “$350!” “$300, if […]

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ICC Judges Recommend 43% Cut to Aqua IL’s Proposed Rate Hike, CUB Says Aqua Increase Would Still Be Too High

Elizabeth — Wed, 09 Oct 2024 18:38:58 +0000

State regulatory judges have recommended that the Illinois Commerce Commission (ICC) approve a lower rate hike for Aqua Illinois: $10.9 million. However, the Citizens Utility Board (CUB) said Wednesday that the increase would still be too high for the company, which was sharply criticized by customers for high rates and poor water quality at ICC public forums over the summer. The Proposed Order, submitted Tuesday by two ICC Administrative Law Judges, reduced Aqua’s proposed $19.2 million rate hike by about 43 percent, to $10.9 million. The five-member ICC is set to make a final ruling on the rate-hike request no later than Nov. 21. In its Final Order, the ICC could follow the judges’ recommendation or make key changes. “This is a step in the right direction for long-suffering Aqua customers, but we believe the evidence submitted by consumer advocates calls for an even greater reduction for customers who have for years faced high bills and poor water quality,” CUB Executive Director Sarah Moskowitz said. “We urge state regulators to go further in slashing this unjust and unreasonable rate hike.” Take action: CUB petition: Tell the ICC to say no to Aqua Illinois. File a comment with the ICC In January, Aqua, which serves about 273,000 customers in central and northern Illinois, filed its rate-hike request with the ICC (Docket 24-0044), estimating that it would increase the average residential wastewater and water bill (4,000 gallons) by $29.91 per month. Moskowitz called a rate hike that high unprecedented in her 24 years at CUB. In May, CUB joined with the Village of University Park to submit testimony that called out the company for seeking an excessive increase in its return on equity (ROE), or profit rate for shareholders–from an already high 9.6 percent to 10.8 percent. CUB also argued that Aqua improperly tried to force customers to pay hundreds of thousands of dollars in legal expenses connected to the rate case as well as executive bonuses for reaching financial goals that only benefit shareholders. Aqua customers who attended ICC public forums over the summer angrily complained of high bills and poor water quality—with one woman toting a jar of cloudy brown-orange water she said came from her home. In recent years, there have been several examples of service problems-–including a water outage in Lake County in 2023 and unacceptable levels of lead in drinking water in University Park in 2019. “This is about poor versus rich,” University Park Village Manager Elizabeth Scott said at a public forum in Bourbonnais. In Crystal Lake, a customer urged the ICC to require Aqua to first address ongoing problems, including water quality and poor customer service, before allowing the company to raise rates. “Aqua’s proposed rate increase could significantly worsen the financial strain on our working class community,” she said. “We can’t afford the bills we have now.” A major reason for the rising bills are state laws that allow Aqua to hit customers with a “Qualifying Infrastructure Plant” surcharge as well as employ an aggressive strategy to buy up municipal systems. The Illinois General Assembly in 2013 passed a law that allowed Aqua to buy up depreciated water and wastewater systems across the state and charge their customers […]

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‘Stop corporate greed’: Private water customers pack public forums to protest high water bills, poor service and Aqua, Illinois American rate hikes

Jim Chilsen — Mon, 12 Aug 2024 13:32:19 +0000

The Illinois Commerce Commission (ICC) held five public forums on proposals by the state’s two biggest private water companies to raise bills by up to nearly $30 a month, and the events reinforced something that CUB has known for years: Private water customers are fed up with rapidly escalating water bills. In January, Aqua Illinois, which serves about 273,000 customers in Illinois, announced it was filing a $19.2 million rate-hike request that could increase water/wastewater bills by as much as $29.91 per month. Illinois American, which serves about 1.3 million Illinois customers, filed for a $152.4 million rate-hike request that could raise water/wastewater bills by up to $27 to $29 a month. The ICC will rule on the cases around November/December, and new rates would take effect in 2025. CUB calls the rate hikes unjust and unreasonable and has intervened in both cases to challenge them. AARP Illinois requested the public forums, which were held in Jerseyville, Bolingbrook, Champaign, Crystal Lake and Bourbonnais from late June to early August. “Thousands of older customers, including those on fixed incomes, have written to tell us that these increases will mean they have to make tough choices between paying for water or paying for basic necessities like food and prescription drugs,” AARP Illinois State Director Philippe Largent said. At the Bolingbrook forum, CUB Executive Director Sarah Moskowitz said in her 24 years as a consumer advocate she had never seen such a punishing increase, and she admonished Illinois American officials for downplaying the rate hike as “less than a dollar a day.” “I’m sorry, ‘a dollar a day’ doesn’t make it sound any better,” said Moskowitz, sparking applause and hoots from the overflow crowd. At one point during the raucous Bolingbrook forum, customers yelled out the size of their average water bills, prompted by Homer Glen Mayor Christina Neitzke-Troike: “$256!” “$300, if I don’t water my grass.” “Mine’s $350 a month. It is ridiculous,” Neitzke-Troike said. Another customer took the microphone and said to the ICC: “Three words: Stop corporate greed.” About 10 days later and 60 miles away, Aqua customers were expressing the same sentiment at a forum in Bourbonnais. “Currently my monthly bill ranges ranges from $250 to $300 per month,” said one Aqua customer who is from a family of six. “An additional $30 per month is ridiculous.” In Crystal Lake, one customer urged the ICC to require Aqua to first address ongoing problems, including water quality and poor customer service, before allowing the company to raise rates. “Aqua’s proposed rate increase could significantly worsen the financial strain on our working class community,” she said. “We cannot afford this. We just cannot. We can’t afford the bills we have now.” Another customer came to the microphone toting a sign protesting Aqua’s water quality (it said: “Would you give this water to your children?”) and a jar of orange/brown water she said she had taken from her home. “The water is awful,” she said. “This is what I get to bathe in, to brush my teeth, to cook in.” Aqua has had high-profile water service problems, including a water outage in […]

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Op-Ed: Private water customers in Illinois are crying for help. Will the General Assembly listen?

Elizabeth — Fri, 09 Aug 2024 16:23:07 +0000

By Sarah Moskowitz CUB Executive Director Hundreds of customers of Illinois’ largest private water utility packed an Illinois Commerce Commission public forum in Bolingbrook one recent summer night. They were fed up with how high their bills are now — and that Illinois American Water wanted to raise them by nearly $30 a month. That’s the largest utility increase I’ve ever heard of in my 24 years at the Citizens Utility Board. At one point during the raucous forum, customers yelled out the size of their average water bills: “$256!” “$350!” “$300, if I don’t water my grass.” Some helpful legislators were in attendance, but I wish more members of the General Assembly could have witnessed how much angst private water customers are feeling these days. Because our state legislators helped put customers in this predicament — and they can help fix it. Here’s a little history of how these companies have been able to cause so much hardship today: Back in 2000, private water utilities won the right from Illinois legislators to charge a special “qualifying infrastructure plant,” or QIP, surcharge. It allows the companies to spend customer money faster and enrich themselves through what is in effect speedier rate hikes outside the traditional rate-making process. In 2013, the utilities pushed for a state law that would allow them to buy up depreciated water and wastewater systems and charge their customers 100% of the acquisition costs. We’ve been keeping an eye on their shopping spree at our special website, CUBWaterTracker.com, and so far Illinois American and Aqua Illinois have charged their customers $402 million for the takeover of 59 municipal water/wastewater systems — and it will get only worse. And now both companies are pushing rate hikes before the ICC: Aqua wants $19.2 million more, and Illinois American $152.4 million. The impact would vary depending on where a customer lives, but both increases could jack up average water and wastewater bills by up to nearly $30 a month. Aqua and Illinois American try to soft-pedal it by describing the hit as “$1 a day” — but their 1.5 million customers can do the math and know a dollar a day is terrible. The companies argue that customers pay higher bills to secure quality service. But Aqua’s highly publicized service problems fly in the face of that claim — including unacceptable levels of lead in drinking water in University Park in 2019, a weeklong water outage in Lake County last summer and a boil order for Hawthorn Woods this summer. “I have no confidence in the quality of the water,” one Aqua customer wrote to the ICC. “I’m still drinking bottled water and my bill is over $130 a month.” While customers suffer, the utilities prosper. The parent companies of Aqua and Illinois American have raked in a combined total of $2.7 billion over the last two years. And the current rate hike requests suggest both companies have no intention of slowing down. CUB’s testimony in the rate cases exposed that they are pushing to raise their profit rate for shareholders to an obscene level — from an already excessive 9.6% for Aqua and 9.78% at Illinois American to 10.8% […]

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News release: Bipartisan group of lawmakers join with CUB to oppose water rate hikes, call for legislative reforms

Elizabeth — Wed, 10 Jul 2024 17:57:42 +0000

As frustration mounts among 1.5 million private water customers in Illinois, state legislators from both sides of the political aisle joined the Citizens Utility Board (CUB) on Wednesday to urge state regulators to reject rate hikes proposed by Illinois American Water and Aqua Illinois, call on the General Assembly to reform state water policy that has hurt consumers, and alert people of the upcoming Illinois Commerce Commission (ICC) public forums on the proposed increases. State Rep. Dagmara Avelar, a Democrat from Romeoville, state Sen. Sue Rezin, a Republican from Morris, state Rep. Nabeela Syed, a Democrat from Palatine, and state Sen. Rachel Ventura, a Democrat from Joliet, held a news conference (video) with CUB Director of Governmental Affairs Bryan McDaniel in Bolingbrook–a community that has suffered under high Illinois American bills. They detailed how Aqua and Illinois American–the state’s two biggest private water utilities–have abused their customers in recent years: In January, Aqua, which serves about 273,000 customers in Illinois, filed for a $19.2 million rate-hike request that could increase water/wastewater bills by as much as $29.91 per month. Aqua’s parent company, Essential Utilities, saw a 7 percent increase in profits, to $498 million in 2023, and the utility last received a rate hike, about $7 million, in 2018. In February, Illinois American, which serves about 1.3 million Illinois customers, filed for a $152.4 million rate-hike request that could raise water/wastewater bills by up to $29 a month. The utility’s parent, American Water, made $944 million in profits in 2023, a 15 percent increase from the year before. Illinois American has won $120 million in additional rate hikes in less than a decade–an $85 million increase in 2022 and a $35 million hike in 2016. While they pay higher bills, private water customers have also been the victims of extremely poor service—including an Aqua water outage in Lake County in 2023 and unacceptable levels of lead in drinking water in University Park in 2019. While Aqua says the problem in University Park has been fixed, years later some customers were still drinking bottled water because they didn’t trust the company. Even before the utilities’ rate-hike requests, their customers contacted CUB to complain about excessive water bills, because water policy is sorely in need of reform in Illinois: Private water utilities in 2000 won state legislative approval to add a “Qualifying Infrastructure Plant” surcharge to bills, which has needlessly increased costs for customers. In 2013, the utilities successfully pushed for a state law that allows Illinois American and Aqua to buy up depreciated water and wastewater systems across the state and charge their customers to cover 100 percent of the acquisition costs. CUB Water Tracker, CUB’s special online center monitoring the problem, found that these for-profit companies have so far purchased 59 systems since 2013 and have passed $402 million in acquisition costs onto their customers. Private water companies often charge customers more, once they take over those municipal systems. CUB’s legal team is challenging the rate-hike requests, uncovering $7.6 million in overcharges buried in Aqua’s proposed increase, and $48.8 million in overcharges in Illinois American’s proposed increase. At the same time, […]

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CUB News Release: CUB, University Park call for cutting Aqua rate-hike request by 40%

Jim Chilsen — Thu, 02 May 2024 21:05:22 +0000

An Illinois utility watchdog group has joined forces with a community that has had highly publicized problems with lead in its drinking water to file testimony arguing that Aqua Illinois’ proposed $19.2 million rate hike should be slashed by at least 40 percent. (Read the full CUB news release.) The testimony was filed May 1 by the Citizens Utility Board (CUB), the Village of University Park and Viscofan USA, which has a manufacturing facility in Danville and is Aqua’s largest industrial customer in the Vermillion water division. The testimony uncovered at least $7.6 million in overcharges proposed by Aqua, or about 40 percent of the company’s rate-hike request. “Our testimony shows that Aqua Illinois’ rate-hike request is unjust and unreasonable,” CUB Executive Director Sarah Moskowitz said. “For years, we’ve received a steady stream of complaints from Aqua customers unhappy with poor water quality and exorbitant rates, and our latest testimony reveals that the company is pushing for an excessive profit rate for its shareholders. We urge state regulators to reject Aqua’s rate hike.” The testimony, from Chris Walters and James Leyko, of Brubaker & Associates, Inc., a Missouri-based consulting firm that specializes in utility regulation, recommended these reductions: Return on Equity and Common Equity Ratio. Aqua is asking for an excessive increase in its “Return on Equity” (ROE)—or profit rate for shareholders—from 6 percent to 10.8 percent. Instead, CUB argues for a more reasonable 9.45 percent ROE. CUB also argues that the utility’s proposed “common equity ratio”—how much of the utility’s financing comes from issuing stocks—is too high. Combined, those two adjustments would reduce the proposed rate hike by $7.1 million. ROE is the most important component of a utility’s “rate of return,” which is the rate at which the utility recovers the cost of financing physical assets, such as meters and pipes. Executive Bonuses. CUB argues that customers shouldn’t cover bonuses the company gives to executives for reaching financial goals that only benefit shareholders. That recommendation cut Aqua’s proposed increase by another $323,000. Rate-case Expense. Under Illinois law, utilities are allowed to recover expenses for outside lawyers and expert witnesses in rate cases. In the Aqua case, CUB’s testimony argues that the utility inflated those expenses, reducing the rate hike by another $159,000. (Note: In Springfield, CUB is working for the Utility Affordability Act, which would prohibit utilities from charging customers for such expenses.) In total, the testimony calls for about $7.6 million in reductions of Aqua’s proposed rate hike. CUB hopes to adopt testimony filed by other parties, including the Illinois Attorney General’s Office, to argue for cutting the rate hike even more. On Jan. 17, Aqua, which serves about 273,000 customers in central and northern Illinois, filed a $19.2 million rate-hike request with the Illinois Commerce Commission (ICC) (Docket 24-0044). Aqua estimated that it would increase the average residential wastewater and water bill (4,000 gallons) by $29.91 per month. The rate-hike request was the latest bad news for Aqua customers. There have been several examples of serious service concerns—including a water outage in Lake County in 2023 and unacceptable levels of lead in drinking water in University Park in […]

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Illinois’ two biggest private water companies push for rate hikes

Jim Chilsen — Sat, 27 Jan 2024 00:15:28 +0000

Last year’s rate-hike barrage was bad enough, but now water companies want in on the action. CUB learned this week that Illinois American Water and Aqua Illinois both want rate increases. Aqua Illinois on Jan. 17 filed a $19.2 million rate-hike request with the Illinois Commerce Commission (ICC). Aqua estimated that it would increase the average residential wastewater and water bill (4,000 gallons) by $29.91 per month, or about $1 a day. The company told WCIA-TV in Champaign that customers who get only water service would see their bill go up by $8.50 a month, or $102 a year. (The ICC Docket Number for the case is 24-0044.) “A rate hike of up to $30 a month is painfully excessive–and will be a hardship for Aqua customers,” CUB said in a statement. “Aqua’s parent company has raked in $963.5 million in profits over the last two years, which raises the question of why the water utility needs to burden its customers with a punishing rate hike.” Then, Illinois American Water, which serves about 1.3 million customers in Illinois, announced that it also was asking for a $152.4 million rate hike. “Illinois American’s $152 million rate-hike request is severe and greedy—the company is pushing for an excessive profit rate for its shareholders—and CUB will do everything it can to reduce it,” CUB said in a statement. “This punishing rate hike will be a hardship to consumers who depend on the utility for a vital service–and that’s why we’re challenging the company’s money-grab. ” The utility said the hike would increase water service bills by an average of about $24 per month, while the average residential wastewater bill would increase by about $5 per month, depending on the customer’s service area. CUB has long been concerned about high bills charged by both companies, fueled by favorable state laws: The companies won legislative approval to add a “Qualifying Infrastructure Plant” surcharge to bills that has needlessly increased costs for customers. (Remember, for years we dealt with the QIP on gas bills–it got up to about $15 a month on Peoples Gas bills and sparked a heating-affordability crisis in Chicago–until it sunset at the end of 2023. Unfortunately, the water QIP has no sunset.) Also, state law allows both companies to buy up depreciated water and wastewater systems across the state, and charge their customers to cover the acquisition costs. CUB Water Tracker, our special online center monitoring the problem, found that these for-profit companies have purchased 56 systems since 2013, when state legislators passed a law that allows these water utilities to pass acquisition costs—$402 million and counting—onto their customers. CUB has been fighting for legislative reforms to fix both problems for water customers. On top of it, Aqua, which serves about 273,000 customers in central and northern Illinois, has had some well-publicized service problems–including unacceptable levels of lead in drinking water in University Park in 2019, a water outage in Lake County in 2023 and the recent boil order in the Danville area. Back in the summer of 2023, CUB Director of Governmental Affairs Bryan McDaniel wrote in a Daily Herald letter to the […]

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CUB’s Daily Herald Op-Ed: Private Water, Big Headaches

Elizabeth — Tue, 18 Jul 2023 21:21:56 +0000

CUB Director of Governmental Affairs Bryan McDaniel recently penned an op-ed in the Daily Herald responding to Lake County’s water outage with private water utility Aqua Illinois: The recent Aqua Illinois water outage/boil order in Lake County is further evidence that private corporate monopolies are not the answer to our water infrastructure needs. This isn’t the first time Aqua made negative headlines in Illinois. In 2019, University Park detected unacceptable levels of brain-damaging lead in their drinking supply. One TV report found that some traumatized residents still don’t trust Aqua and continue to choose bottled water. While Aqua wasn’t able to live up to its promise of “safe and reliable” service in those instances, it’s been consistently delivering for its shareholders. Aqua’s parent company raked in $191 million in first-quarter profits. Plus, it bragged about 9 pending acquisitions of municipal systems across the country, including Illinois’ village of Frankfort. The parent company of the state’s other big water company, Illinois American, is also riding a wave — 15 consecutive years of increased dividends. And it just announced its largest wastewater acquisition in Illinois ever. But their privatization profits are creating affordability problems as the companies hopscotch around Illinois buying systems, which current state law forces their customers to pay for (so far, $303 million and counting). If these companies were in a competitive market, we would applaud their success. But water is essential — and they are monopolies. One problem is Illinois doesn’t require a local privatization referendum, which would give people a vote before their municipal system is privatized. Additionally, state law allows the utilities to charge a Qualified Infrastructure Plant (QIP) surcharge, which helps rapidly increase bills. Tell your legislators to fight for water reforms. A good first step would be requiring a public referendum before a municipality can sell their water system to a private utility. Learn more about our fight at CUBWaterTracker.com. It’s time to remember the people who pay the bills. –Bryan McDaniel, Director of Governmental Affairs, Citizens Utility Board (CUB) of Illinois

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New crisis program to provide water bill assistance

Sophia — Fri, 27 Aug 2021 22:02:38 +0000

Help is on the way for thousands of Illinois households struggling with their water and wastewater bills during the pandemic. The U.S. Department of Health and Human Services has created the Low Income Household Water Assistance Program (LIHWAP) as a two-year crisis program providing benefits for water customers in need of assistance. Read our fact sheet on the program, which is receiving funding from the Consolidated Appropriations Act of 2021 and the American Rescue Plan. While LIHWAP is a temporary assistance program, Illinois plans to introduce the State Water Assistance Program (SWAP) sometime in 2022, but this program is still in the planning stages. When that program is ready to be launched, CUB will provide details. To apply for LIHWAP, interested residents should visit their local administering agency (LAA)— the same office you would go to for Low Income Home Energy Assistance, or LIHEAP. If you are physically unable to visit your LAA in-person, someone may drop off your application on your behalf, but you must provide them with a handwritten letter giving them permission to submit the application on your behalf. Please note that there is no statewide start date. Local agencies will roll out the program throughout September and October, so contact your LAA to find out when you can apply. Income eligibility will follow the requirements set for the Low Income Household Energy Assistance Program (LIHEAP): 200% of the federal poverty limit. (Consult with the chart on this page to see if your household qualifies.) This program requires that at least one person in the household has a social security number. If that individual is eligible for assistance, the household will receive benefits, regardless of the citizenship status of other members in the household. Households will be helped on a first come, first served basis. Those who have had their service disconnected, are on the disconnect list or owe more than $250 will be prioritized. Benefits are available once for water and once for wastewater/sewer per household between Sept. 1, 2021 and Sept. 30, 2023, or until funds have been exhausted. To maximize the number of households assisted, there is a max of $1,500 in benefits per household, for water and sewer combined. These benefits can be put toward: Imminent disconnection/disconnection; Disconnection fees/late fees; Part of current bill if in disconnection status; Arrears/past due balance. If your service has not been disconnected and you are not on the disconnect list, there is a minimum benefit of $250. There is no minimum for those who have had their service disconnected or are on the disconnect list. If you need more financial assistance or don’t qualify for LIHWAP, inquire with your utility about any financial assistance programs they may offer directly. Also, call 2-1-1 (3-1-1 for Chicago residents) for local resources, and visit your local Salvation Army for assistance. For any questions regarding LIHWAP or LIHEAP, please contact your LAA.

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