PSC Water Rate Case Public Hearing

PUBLIC NOTICE TO ALL CUSTOMERS OF THE VILLAGE OF MARATHON CITY WATER AND SEWER UTILITY

The Village of Marathon City Water and Sewer Utility (Utility) has filed an application with the Public Service Commission of Wisconsin (PSC) to increase water rates.  The PSC regulates the rates and services of all utilities in Wisconsin and may approve, modify, or deny this application after it conducts the hearing described below.  The increase is necessary due to a 33.86 percent increase in gross plant investment and a 24.74 percent increase in operating expenses since the last conventional rate case (CRC) was completed in 2015.  The total increase in water revenues requested is $150,272, which will result in an estimated overall rate increase of 26.33 percent over the water utility’s present revenues.

 

The Utility’s current total public fire protection (PFP) revenue is $210,481.  This amount is equal to the Utility’s total PFP cost as determined by PSC staff in the Utility’s previous CRC, which includes the additional storage, pumping, and distribution costs required to provide the high flows and pressures needed to fight fires.  The Utility currently collects $73,230 from the Village of Marathon City (Village) for providing PFP water service to the Village.  This municipal PFP charge is based on 34.80 percent of the Utility’s total PFP cost.  The Village collects the funds to pay for the municipal PFP charge through property taxes.  The Utility recovers the remaining 65.20 percent of its total PFP costs, or $137,251, through direct bills to water utility customers using the property values method.  The Village recently approved changing the Utility’s method of PFP cost recovery from a combination of a municipal charge and direct PFP charges to 100 percent direct PFP charges collected through direct bills to water utility customers.  Accordingly, the Utility requested PSC authorization to collect a direct PFP charge from each customer of the water utility and requested the charge be based on the equivalent meters method, removing the property values method.  This change would allow the Utility to collect a portion of the PFP charge from property owners who benefit from the Utility’s PFP but are not subject to property taxes.  This request conforms with Wis. Stat. § 196.03(3)(b), which provides municipalities the option to charge PFP directly on the water utility bills of general service customers as well as non-general service customers who own land that is located in the city, village, or town and in an area in which the municipal utility has an obligation to provide water for PFP.  The Utility intends to charge non-general service customers using language permitted under Wis. Stat. § 196.03(3)(b)2.b.  The Village adopted a resolution which states the annual direct charge for PFP service will be based on 100 percent of the cost of PFP service and will be calculated using the equivalent meters method.  (PSC REF#: 615044.)  The proposed total PFP cost is $257,250.

 

If the request is granted, a typical Single-Family Residential customer’s bill would increase 34.45 percent, not including PFP.  However, as stated above, the Utility currently collects 65.20 percent of the total cost for PFP through the property values method.  Since the Utility elected to change from the property values method to equivalent services method, the calculation for the bill impact will differ greatly.  Therefore, a water bill for an average Residential customer with a 5/8-inch or 3/4-inch meter who uses 8,000 gallons of water per quarter and has a property value of $300,000 would increase from $108.15 to $164.84, or 52.42 percent, which includes the overall increase from the rate case and the Utility’s request to switch from a municipal charge to direct PFP charges.

 

A public hearing on the application has been scheduled for Wednesday, December 9, 2026 at 2:00 p.m.  Parties and PSC staff appear by Zoom.  Parties and PSC staff may use the telephone connection as a backup or if no adequate internet connection exists.  Members of the public participate by Zoom or may use the telephone connection as a backup or if no adequate internet connection exists.

 

Village Hall

311 Walnut Street

Marathon City, WI  54448

 

Join Zoom over the internet at:  https://us02web.zoom.us/my/pschearings

 

The PSC intends to livestream and record this hearing on YouTube.  A member of the public may observe without participation any hearing session by:

  1. Attending any physical location as noticed,
  2. Watching on YouTube at: https://www.youtube.com/@PSCWI-Hearings,
  3. If no adequate internet connection exists, listening by telephone.
    • Dial: +1 312 626 6799
    • Enter Meeting ID: 809 513 2930

 

A person may testify in this proceeding without becoming a party and without attorney representation.  A person may submit this testimony in only one of the following ways:

 

  • Web Comment. File a comment on the internet.  Go to the PSC’s web site at http://psc.wi.gov, click the dropdown menu labeled “Commission Actions.”  Select the item labeled “File a Public Comment.”  On the next page select the “File a comment” link that appears for docket number 3350-WR-105.  Web comments shall be received no later than Friday, December 11, 2026.
  • Live Comment. Make a live comment at the hearing.  The ALJ may receive live comments from any member of the public in attendance after the close of any party and PSC staff testimony.  The ALJ will receive such comments by stating the name of each member of the public connected to the hearing one at a time and asking if they would like to comment.
  • Mail Comment. Send a comment by U.S. Mail. All comments submitted by U.S. Mail shall be received no later than Friday, December 11, 2026 and shall be addressed to: Attn: Docket 3350-WR-105 Comments, Public Service Commission, P.O. Box 7854, Madison, WI 53707-7854.

 

To access the documents, schedule, and other information about this docket, go to the PSC’s web site at http://psc.wi.gov, select the dropdown menu labeled “eServices.”  Select the item labeled “Docket Search (CMS).”  On the next page, enter 3350-WR-105 in the spaces labeled “Docket ID” and select “Search.”

 

If you have any questions, please contact the Utility at (715) 443-2221.

 

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