As higher water and sewer rates in Homer Glen appear increasingly inevitable, village officials are pushing forward with a plan to wrest control of their water and sewer service from Illinois American Water.
Homer Glen officials met Monday with representatives from Bolingbrook, Romeoville, Woodridge, Plainfield and Shorewood to draw up plans for forming a joint water agency, the same day the Illinois Commerce Commission released its initial recommendations on Illinois American’s latest proposed rate increase.
Illinois American, which provides water and sewer service to Homer Glen, Orland Hills and other Southland communities, has asked for an additional $60 million in revenue statewide to help fund its operations.
Administrative law judge Larry Jones wrote in his recommendation that he thought $45 million of that request was justified, an ICC spokesman said. The ICC’s board will make a final decision on the case in April.
Homer Glen has been at odds for years with Illinois American over the for-profit utility company’s rates, customer service and billing practices.
Trustee Mary Niemiec, who heads Homer Glen’s water and sewer task force, said Wednesday that while the village is still combing through the 200-page ICC report, “on the surface, it’s disappointing.”
“Part of the issue with this rate increase is that there were capital improvements being done with a business perspective, but not a community perspective,” she said.
An Illinois American spokeswoman declined to comment Wednesday on the ICC’s proposed order.
Homer Glen’s bid to form a water agency is an effort to nix future pocketbook pain for residents, Mayor Jim Daley said. The partner towns would pool their resources to buy the transmission line from Bedford Park, and then each town would pony up to buy its local distribution system.
“When I became mayor I pretty much told Illinois American, ‘I’m tired of these rate increases,’” Daley said. “The only way we’re going to resolve this is to take over the business.”
The Homer Glen Village Board plans to discuss the issue at its board meeting March 9, and could vote to form the agency by the end of March.
Taking control of the utility wouldn’t be cheap: Officials have estimated the Bedford Park transmission line would cost $50 million alone. But that price tag could change if a bill sponsored this month by state Rep. Renee Kosel (R-New Lenox) to change how utilities’ assets are valued makes headway in Springfield.
Right now, there are a number of ways to calculate the value, Kosel said, but the bill would set a specific formula for the asset’s worth.
“It lets the community know how much it’s going to cost,” she said.
Illinois American said Wednesday it opposes Kosel’s bill, calling it “a legislative attempt to misuse government’s power of eminent domain,” and cautioned towns against trying take over the system.
“It’s unfortunate that leaders of these communities continue to pursue eminent domain, which is a long process that will likely mean higher water rates, taxes or both,” spokeswoman Kathryn Foster said.
Distributed via Chicago Press Release Services