Virginia American Water filed a settlement agreement with the Virginia State Corporation Commission on June 5 for a $16 million annualized revenue increase, according to a company statement.

The utility company, a subsidiary of American Water (NYSE: AWK), originally sought approximately $22 million in increased annualized water and wastewater revenues when it filed the General Rate Case on November 3, 2025.

The settlement agreement was reached with the staff of the SCC and several intervenors and remains subject to SCC review and approval. The revenue increase stems from approximately $115 million in ongoing capital investments completed and planned between May 2025 and April 2027.

Interim rates for Virginia American Water customers became effective May 2, 2026, and will remain in place until the SCC issues its final rate order. The difference between interim and final approved rates will be refunded with interest once final rates are determined.

Virginia American Water serves approximately 384,000 people in the state. The company stated the investments support system upgrades and improvements to water quality and reliability.