City settles with Kentucky American Water for rate hike of 7.5%

LEXINGTON, Ky. (WTVQ) – The City of Lexington has agreed to a Kentucky American Water rate hike of approximately 7.5%.

Kentucky American Water had originally requested a 17% rate hike, which would have been an increase of about $6/month for customers.

A spokesperson says that the city agreed to the settlement because “we think it is the best deal we can get.”

According to Kentucky American Water, as of April 30, 2016, the average residential bill using 4,136 gallons of water per month was $34.41.  The rate hike would increase the average monthly water bill by $2.97, making the average residential water bill $37.38.

The settlement is not final until the Public Service Commission signs off on it.