Fort Wayne City Utilities, on behalf of the City of Fort Wayne, filed to intervene in Aqua Indiana’s request to increase sewer rates before the Indiana Utility Regulatory Commission.
City of Fort Wayne news release:
City of Fort Wayne Challenges Aqua Indiana Sewer Rate Request
Customer Rates Could Increase More Than 30 Percent
- Higher sewer bills would reach about 14,000 local households and businesses
- Local customers could subsidize Aqua systems elsewhere in Indiana
- Request follows an announced sale customers were told would not raise rates
Fort Wayne, Indiana (July 30, 2026) – City Utilities, on behalf of the City of Fort Wayne, filed to intervene in Aqua Indiana’s request to increase sewer rates before the Indiana Utility Regulatory Commission.
Aqua Indiana provides sewer service to approximately 14,000 customers in southwest Fort Wayne and Allen County.
“Families are already feeling the strain of higher costs, and we cannot stand by without questioning another significant increase in an essential service,” said Fort Wayne Mayor Sharon Tucker. “We are especially concerned that local customers could be asked to pay costs associated with systems elsewhere in the state, with little to no local voice in the decision. We owe it to our residents to closely examine this request and make sure our interests are represented.”
Aqua Indiana, headquartered in Pennsylvania, filed a notice of intent with the Indiana Utility Regulatory Commission (IURC) on March 20, 2026, indicating that it planned to seek an increase to its base rates.
On June 12, 2026, Aqua Indiana filed its initial rate application. Additional information is expected to be submitted as the case moves forward. An initial review indicates sewer rates for some Aqua Indiana-area customers could increase by more than 30 percent.
The rate request comes as Aqua Indiana’s parent company, Pennsylvania-based Essential Utilities, proceeds with its proposed sale to New Jersey-based American Water, announced in October 2025. Customer correspondence issued at the time stated that the transaction would not result in a rate increase. (See below this release.)
The filing also proposes consolidating rates among numerous Aqua Indiana systems across the state to socialize costs. The City is concerned that customers and residents in southwest Fort Wayne and Allen County could be asked to subsidize systems outside of our region, rather than paying rates based on the actual cost of serving their local system.
City Utilities filed a petition to intervene on behalf of the City of Fort Wayne on June 23, 2026. The IURC granted the petition on July 28, which allows the City to participate formally in the case, seek more information, review data, challenge the requested profits and costs included in Aqua Indiana’s petition and present evidence and arguments to the Commission.
“Intervening gives us the ability to seek detailed information, review the costs and profit margins behind the request and raise concerns directly with the IURC,” said Kumar Menon, Director of City Utilities. “The City also has a direct interest as an Aqua Indiana customer through an agreement that sends some wastewater flow to its system. Fort Wayne-area ratepayers should not be expected to help offset costs outside their own community.”
Through its intervention, the City is asking the IURC to closely examine the proposed increase and ensure Fort Wayne-area customers are not subsidizing costs associated with other communities or supporting unreasonable profits being sent to Aqua headquarters in Pennsylvania.
October 30, 2025
Dear Aqua Customer,
Earlier this week, we announced that Essential Utilities, the parent company of Aqua, has agreed to merge with American Water. As a leading regulated U.S. water and wastewater utility, together with American Water, we will serve 4. 7 million connections across 17 states.
Together, we will continue to provide safe, clean, reliable and affordable water and wastewater services. We are committed to using our expanded set of resources to strengthen our ability to solve the challenges facing our industry and maintain the level of service you have come to expect from us. There will be no change in customer rates as a result of the merger, and American Water and Essential will be better able to maintain an average customer water bill that is affordable, supporting the economic prosperity of the more than 2,000 communities in which the combined company will operate.
While we are excited to join forces with American Water, this announcement is just the first step toward bringing our companies together. The combination is expected to be completed by the end of the first quarter of 2027, subject to customary closing conditions and approvals. Until the closing, Essential and American Water will remain separate, independent companies. We will continue serving you as usual.
We expect this combination to be seamless for our customers. We greatly value our relationship and it is a pleasure to serve you.
Sincerely,
Colleen Arnold
President, Aqua
Download a copy of the above letter, as provided by the City of Fort Wayne.
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