Pennsylvania American Water Completes Acquisition of the Sutersville-Sewickley Municipal Sewage Authority Wastewater System

Rhea-AI Summary

American Water (NYSE: AWK), through its subsidiary Pennsylvania American Water, has completed the $3.25 million acquisition of the Sutersville-Sewickley Municipal Sewage Authority (SSMSA) wastewater system in Westmoreland County, Pennsylvania. The system serves approximately 500 customer connections in Sutersville Borough and Sewickley Township.

According to Pennsylvania American Water, it plans to invest about $700,000 over the next five years to improve system reliability and service quality. The Pennsylvania Public Utility Commission approved the transaction on March 26, 2026. Prior alignment of SSMSA rates with the company’s structure results in lower average monthly bills for customers with typical household usage. Future rate changes will remain subject to PUC review. Customers also gain access to assistance programs such as the H2O Help to Others Program, offering grants, bill discounts, arrearage forgiveness and water-saving support.

Positive

• $3.25 million wastewater system acquisition closed
• Adds approximately 500 wastewater customer connections in Westmoreland County
• Planned infrastructure investment of about $700,000 over five years
• Aligned rates provide lower average monthly bills for typical-use customers
• Customers gain access to H2O Help to Others assistance program with grants up to $500 per year

Negative

• Requires about $700,000 in capital improvements over the next five years

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Acquisition delivers lower average rates and long-term infrastructure upgrades

MECHANICSBURG, Pa., Aug. 13, 2026 /PRNewswire/ -- Pennsylvania American Water today completed its acquisition of the Sutersville-Sewickley Municipal Sewage Authority (SSMSA) wastewater system for $3.25 million. The newly acquired wastewater system serves approximately 500 customer connections in Sutersville Borough and Sewickley Township, Westmoreland County.

"Pennsylvania American Water is pleased to welcome Westmoreland County residents as new wastewater customers," said Pennsylvania American Water President Justin Ladner. "We look forward to providing these communities with safe, reliable wastewater service by delivering on our technical expertise and extensive wastewater experience."

As part of the agreement, Pennsylvania American Water plans to invest approximately $700,000 in improvements to the SSMSA system to improve the quality and reliability of service over the next five years of ownership. The company has a long and successful track record of providing solutions for water and wastewater systems facing significant capital investment needs and making the necessary and continued investments to meet current and future regulatory requirements. Learn more at pennsylvaniaamwater.com/infrastructure.

"Three and a half years ago, the Sutersville-Sewickley Municipal Sewage Authority welcomed a new board as the members who had overseen the system for more than 20 years stepped down. After evaluating all available options, the board determined that Pennsylvania American Water was best positioned to operate, maintain and invest in the system for the benefit of our customers," said SSMSA Chairman Bruce Riley. "Both the Borough of Sutersville and Sewickley Township have supported the decision to sell the system to Pennsylvania American Water."

SSMSA's decision in May 2025 to sell its wastewater system to Pennsylvania American Water was made with customers in mind. The Pennsylvania Public Utility Commission (PUC) approved the acquisition on March 26, 2026. Prior to the acquisition, SSMSA aligned its rates with the Pennsylvania American Water rates in effect at that time, which results in a lower monthly bill for customers with average household usage. As the PUC regulates the company's rates and service rules, any future changes to rates must be reviewed and approved by the PUC.

Pennsylvania American Water offers several customer assistance programs, including its longstanding H2O Help to Others Program™, which provides income-eligible customers with grants of up to $500 per year, significant discounts on monthly bills, arrearage forgiveness and water-saving devices and education.

About American Water 
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886 and celebrating 140 years in 2026, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to approximately 14 million people with regulated operations in 14 states and on 19 military installations. American Water's approximately 7,000 talented professionals leverage their significant expertise and the company's national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders. For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.

About Pennsylvania American Water
Pennsylvania American Water, a subsidiary of American Water, is the largest regulated water utility in the state with approximately 1,200 dedicated employees working to provide safe, clean, reliable and affordable water and wastewater services to approximately 2.5 million people.

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SOURCE American Water

FAQ

What did American Water (AWK) acquire in the Sutersville-Sewickley wastewater deal?

American Water, through Pennsylvania American Water, acquired the Sutersville-Sewickley Municipal Sewage Authority wastewater system. According to Pennsylvania American Water, the transaction adds a system serving around 500 customer connections in Sutersville Borough and Sewickley Township in Westmoreland County, expanding its regulated wastewater footprint in Pennsylvania.

How much did Pennsylvania American Water pay for the SSMSA wastewater system acquisition (AWK)?

Pennsylvania American Water completed the SSMSA wastewater system acquisition for $3.25 million. According to Pennsylvania American Water, this purchase price covers a system serving about 500 customer connections in Sutersville Borough and Sewickley Township, subject to Pennsylvania Public Utility Commission approval granted on March 26, 2026.

Will SSMSA customers see lower bills after the American Water (AWK) acquisition?

SSMSA customers with average household usage will see lower monthly bills compared with prior rates. According to Pennsylvania American Water, SSMSA aligned its rates with the company’s structure before closing, resulting in reduced average bills; any future rate changes require Pennsylvania Public Utility Commission review and approval.

What infrastructure investments are planned after the SSMSA wastewater acquisition by Pennsylvania American Water (AWK)?

Pennsylvania American Water plans to invest about $700,000 in the SSMSA wastewater system over five years. According to Pennsylvania American Water, these capital improvements aim to enhance the quality and reliability of wastewater service for roughly 500 customer connections in Sutersville Borough and Sewickley Township.

When was the Sutersville-Sewickley wastewater acquisition by American Water (AWK) approved and completed?

The Pennsylvania Public Utility Commission approved the acquisition on March 26, 2026, and closing occurred on August 13, 2026. According to Pennsylvania American Water, completion on that date officially transferred the SSMSA wastewater system and its approximately 500 customer connections into its regulated operations.

What customer assistance programs will SSMSA customers receive after joining Pennsylvania American Water (AWK)?

Customers gain access to Pennsylvania American Water’s H2O Help to Others Program. According to Pennsylvania American Water, this program offers income-eligible customers grants of up to $500 per year, significant bill discounts, arrearage forgiveness, and water-saving devices and education to support affordability.