FRANKFORT, Ky. (AP) – The Kentucky Civil Service Commission has authorized a struggling Eastern Kentucky River Basin District to increase its customer rates.
The increase for the Martin County Water District is “necessary to prevent the district from sliding further into financial and operational distress,” the commission said in a statement Friday.
The small Appalachian River Basin District has a million dollars in debt and needs an increase to avoid closure of operations or receivership, the commission said.
The district has made progress since a third-party management company stepped in to help, the commission said, but “decades of mismanagement” have left it in disrepair.
The approved rates will increase a typical residential customer’s bill by $ 5.86, or over 11%.
The commission regulates the gas, water, sewer, electricity and telecommunications utilities operating in the state.