Notice of Utility Rate Increase

Water Customers of the Fox Crossing Utilities

Fox Crossing Utilities is actively working to ensure the long-term financial health and reliability of our utility system. To meet increasing operating costs and fund necessary infrastructure investments, we have filed a rate increase request with the Public Service Commission of Wisconsin (PSC):

While the Utility is working towards a conventional water rate review, which we anticipate rates would be effective in very late 2026 or early 2027, we have applied for a Simplified Rate Case (SRC).  Since Fox Crossing Utilities is experiencing cash flow problems and a low rate of return, the SRC will increase our water rate 3% effective January 1, 2026.  This full rate review will take into account this interim increase but the Utility has determined it is necessary to help with our current operating expenses and cash flow situation. 

PSC Required SRC Customer Notice – Published in the Post Crescent 11/2/25

This increase is ONLY for the water portion of your utility bill, which also includes the public fire protection.  As noted earlier, this is the first step of what we expect after the completion of the conventional rate review by the PSC for an overall water rate increase. Through the budget process, the Village Board has approved not increasing the sewer or stormwater rates in 2026.

Example Utility Bill Costs – Water Portion ONLY (includes Public Fire Protection):

 

Customer Classification

 

Meter Size

 

 

Gallons

Current

Quarterly

Rate

Proposed

Quarterly

Rate

 

Quarterly Difference

Residential

5/8

12,000

$  110.64

$  113.96

$  3.32

Residential

5/8

15,000

129.69

133.58

3.89

Residential

5/8

17,000

143.01

147.30

4.29

Residential

5/8

20,000

163.92

168.84

4.92

What is a Simplified Rate Case (SRC)?

The Simplified Rate Case process allows the utility to receive an annual inflation-based increase to cover routine increases in the cost of doing business, such as:

  • Increasing costs for chemicals, materials, and equipment.
  • Rising energy and fuel costs.
  • Increased general operating and maintenance expenses.

 

Why request a SRC?

An SRC is a streamlined process that allows the utility to keep pace with inflationary costs without the lengthy timeline of a full Conventional Rate Case, helping to avoid “rate shock” from a single, large increase later on.

 What is the SRC process?

  • Anticipated Filing Date:  November 15, 2025
  • Next Steps: The SRC process is typically processed within 45 days and does not require a public hearing. The PSC will review our application and issue a Final Decision.
  • Anticipated New Rates Effective: January 2026.

What is a Conventional Rate Case (CRC)?

Along with increases needed for normal operations, a Conventional Rate Case is necessary to ensure the utility can fund major, long-term capital improvement projects required to maintain the safety, reliability, and regulatory compliance of our system. The revenue from this increase includes funds earmarked for significant investments, such as replacement of aging water mains, upgrades to the water treatment plant, painting and cleaning of the water towers, reservoirs, pumping equipment, and wells.

A CRC is used by the PSC to establish rates ensuring an appropriate return on our substantial investment in infrastructure, which is required by the PSC for municipal utilities.  Ultimately these investments are critical to providing safe, high-quality, and reliable service to all customers for decades to come.

What is the CRC process?

The CRC is a detailed, public process that includes thorough review by PSC staff, audits, and public hearings.

  • Anticipated Filing Date: late summer 2026
  • PSC Docket Number: A unique Docket ID will be assigned by the PSC after the application is accepted. We will post this number here when available.
  • Public Hearings: The PSC is required to hold public hearings to gather input from customers. We will post the Notice of Hearing (including dates, times, and location) here as soon as it is issued by the PSC.
  • How to Comment: Customers can submit comments on the Conventional Rate Case directly to the PSC after the docket is formally opened. We will provide a direct link to the PSC’s electronic comment system here.
  • Anticipated New Rates Effective: January 2027.

 

 Why not wait for the 2026 Conventional Rate Case?

The Simplified Rate Case (SRC) is vital to keep pace with immediate, non-capital related operating cost increases (inflation). Waiting could result in a much larger, more severe rate increase in 2027, creating “rate shock” for customers. Filing the SRC now helps spread out the necessary adjustments.

 How are the new rates determined?

All rates are subject to approval by the Public Service Commission of Wisconsin (PSC). The PSC is an independent regulatory body that ensures utility rates are just and reasonable. Rates are determined based on the utility’s costs to operate and maintain the system, its financial requirements, and the need to fund essential capital improvements.