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Last updated on Friday, December 22, 2017
(DAVIESS CO.) - The Indiana Court of Appeals upheld most of the ruling made by Daviess Circuit Judge Greg Smith stopping a 57 percent rate increase for Daviess County Rural Water.
The City of Washington and Daviess County Rural Water have been under contract for 25 years to buy water from Washington.
The city wanted to implement the rate increase from Rural Water and a 15 percent increase from nonresident customers after determining some accounting procedure changes warranted the increase.
The case went to local courts where the increases were struck down because the city failed to demonstrate an increase in cost of performance. Wednesday, the state appeals court again upheld the local court ruling with one exception.
Nonresident customers using Washington City Water will see that 15 percent increase.
The trial court ruled that since the water rates were all part of a single ordinance, the increase for non-city customers was also overturned. But the court of appeals disagreed allowing the increase for the city water customer outside the city.
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