Global Water Resources files settlement for rate cases in Arizona

Global Water Resources Inc. (NASDAQ: GWRS) filed a settlement agreement with the Arizona Corporation Commission for rate cases involving two of its subsidiaries, according to a company statement.

The settlement, negotiated with ACC Utilities Division Staff and the Residential Utility Consumer Office, covers Global Water – Santa Cruz Water Company and Global Water – Palo Verde Utilities Company rate cases.

Under the agreement, GW-Santa Cruz will receive an annual revenue requirement increase of approximately $2.3 million with a rate base of $63.6 million. The settlement reflects a capital structure of 55% common equity and 45% debt with a 9.6% return on equity. New rates are scheduled to take effect November 1, 2026.

The settlement estimates a monthly bill increase of $2.68 for median water users consuming 5,500 gallons per month.

GW-Palo Verde withdrew its current rate case and agreed to refile its rate application in 2027 using a 2026 test year. The subsidiary committed to seek an increase to temporary bill credits for customers of approximately $0.4 million annually until its next rate case resolution.

A hearing before an Administrative Law Judge for the GW-Santa Cruz rate case is scheduled for August 2026, followed by a Recommended Opinion and Order for Commission consideration.

"This settlement agreement marks an important step toward the inclusion of the legacy Southwest Plant in base rates," said CEO Ron Fleming in the statement.

Global Water operates 39 water, wastewater, and recycled water systems primarily in growth areas around Phoenix and Tucson.

You May Also Be Interested In

• Enanta Pharma loses appeal in Pfizer Paxlovid patent case
• BNY Mellon fund boards retain seats after defeating dissident nominee
• Sony Semiconductor Solutions unveils 64MP mobile image sensor