LAKE STATION-Indiana American Water has officially acquired the water system in Lake Station.
The "Times" reports the $20 million dollar deal was closed on Tuesday. The move affects 8,800 residents and gives Indiana American Water another 3,000 customers.
The benefits to the city of Lake Station, according to Mayor Christopher Anderson, is
financial stability. Lake Station is expected to use a large portion of the sale proceeds to pay off debt from the city's former water treatment plant and then should have about $10 million left over. No word on how that remaining $10 million will be used.
Anderson told the "Times" that Indiana American will better maintain the water system than the municipality did and residents can also expect a more stable rate base. Customers using 4,000 gallons of water will pay $35.17 per month.
The Lake Station City Council authorized selling its utility to Indiana American in June of 2017.
The customers in Lake Station will receive letters from Indiana American explaining what to expect and how to transition. The information is expected to include obtaining final meter readings from customers so they can soon obtain their last water bills from Lake Station.
Initial bills from Indiana American will be sent in late November or early December. After receiving it, the new customers can visit amwater.com to create online accounts.