SADORUS, Ill.--(BUSINESS WIRE)--
Illinois American Water President Bruce Hauk, today announced the Company’s acquisition of the Village of Sadorus water system. The purchase of the system adds approximately 185 customers to the Company’s customer base in the Champaign County District and serves a population of nearly 400 residents.
The Village of Sadorus Board voted in favor of the sale in April 2016 and the Illinois Commerce Commission (ICC) approved the sale for $240,000 on Feb. 1, 2017. Today, Illinois American Water acquired the water system.
“We look forward to investing in Sadorus and ensuring quality water service to our new customers,” said Hauk.
Illinois American Water will invest approximately $1.2 million to address current issues with the water system including low pressure, discoloration, taste and odor. Illinois American Water’s investment includes installing two miles of water main to connect the Village of Sadorus to the Champaign County water system. In addition, undersized and outdated water mains in Sadorus will be upgraded and over 20 new fire hydrants installed.
According to Dave Farrar, sr. manager of field operations and production for the Champaign County District, “These improvements will enhance water quality as well as fire protection in Sadorus.” Barring no unforeseen circumstances, this project is expected to be completed by the end of 2018.
New customers will soon receive an Illinois American Water welcome packet in the mail. This packet includes information about online account management, billing and more.
The appraisal process used for the Sadorus water system was conducted under the supervision of the ICC and established as part of the Illinois Water Systems Viability Act. According to Hauk, this law gives communities an alternative to value their water and/or wastewater system when considering being acquired by an investor-owned water utility. He said, “Previous law only allowed the investor-owned water or sewer utility to pay the original cost minus depreciation to acquire a small system, public or private. Because of this, systems were deprived of receiving adequate value for their system.”
The Sadorus water system will be incorporated into the company’s Champaign County District, which currently serves residents in Champaign, Urbana, Savoy, St. Joseph, Bondville and Pesotum.
About Illinois American Water
Illinois American Water, a subsidiary of American Water (NYSE: AWK), is the largest investor-owned water utility in the state, providing high-quality and reliable water and/or wastewater services to approximately 1.3 million people. American Water also operates a customer service center in Alton and a quality control and research laboratory in Belleville.
With a history dating back to 1886, American Water is the largest and most geographically diverse U.S. publicly-traded water and wastewater utility company. The company employs more than 6,700 dedicated professionals who provide regulated and market-based drinking water, wastewater and other related services to an estimated 15 million people in 47 states and Ontario, Canada. More information can be found by visiting www.amwater.com.
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