American Water (NYSE: AWK) wins Maryland PSC OK for $2M rate hike
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
American Water Works Company, Inc., through its subsidiary Maryland American Water, received approval from the Maryland Public Service Commission for a settlement that provides a consolidated annualized increase in water revenues of approximately
The increase is driven primarily by approximately
For residential customers in the Town of Bel Air using 4,000 gallons per month, the average bill will rise by about
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- None.
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
Current Report
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 26, 2026
(Exact name of registrant as specified in its charter)
Commission File Number: 001-34028
| (State or other jurisdiction of incorporation) | (IRS Employer Identification No.) | ||||
(Address of principal executive offices, including zip code)
(856 ) 955-4001
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol | Name of Each Exchange on Which Registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 8.01. Other Events.
Public Service Commission of Maryland (the “MDPSC”) Approval of Settlement in Maryland-American Water Company (“Maryland American Water”) General Rate Case
On February 26, 2026, the MDPSC issued an order (the “Order”) approving the joint settlement of the general rate case filed on August 1, 2025 by Maryland American Water, a wholly owned subsidiary of American Water Works Company, Inc. (the “Company”). A joint stipulation and settlement agreement by and among Maryland American Water, the Office of People’s Counsel, and the Staff of the MDPSC was filed with the MDPSC on January 22, 2026. The Order approves a consolidated annualized increase in water revenues of approximately $2 million, with approximately $1 million of the increase to be included in rates effective concurrently with the date of the Order, and the remainder effective January 1, 2027. Maryland American Water’s view of its return on equity (“ROE”), common equity ratio and debt ratio (each of which is based on the information included in the Order and the joint stipulation and settlement agreement, but was not disclosed therein), is 9.75%, 52.32% and 47.68%, respectively. The annualized incremental revenue is driven primarily by approximately $22 million of capital investments completed by Maryland American Water since its last general rate case approval in 2019.
A copy of the press release issued by Maryland American Water on March 2, 2026 has been filed as Exhibit 99.1 hereto and is incorporated herein by reference. References and links to websites and other information contained in this press release are not provided as active hyperlinks, and the information contained in or accessed through these hyperlinks shall not be incorporated into, or form a part of, this Current Report on Form 8-K.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
The following exhibits to this Current Report have been filed herewith (except as noted below):
| Exhibit No. | Description | |||||||
| 99.1* | Press Release, dated March 2, 2026, issued by Maryland American Water. | |||||||
| 104 | Cover Page Interactive Data File (the cover page XBRL tags are included and formatted as Inline XBRL). | |||||||
| *Filed herewith. | ||||||||
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| AMERICAN WATER WORKS COMPANY, INC. | ||||||||||||||
| Dated: | March 2, 2026 | By: | /s/ DAVID M. BOWLER | |||||||||||
| David M. Bowler | ||||||||||||||
| Executive Vice President and Chief Financial Officer | ||||||||||||||
3
Exhibit 99.1
Maryland American Water Granted New Rates by Maryland Public Service Commission
Increase Supports $22 Million in Completed Infrastructure Investments;
First Rate Adjustment Since 2019
Bel Air, Md. (March 2, 2026) –The Maryland Public Service Commission (PSC) has approved a settlement for new water rates for Maryland American Water. The approved rates represent a total annualized revenue increase of approximately $2 million.
The company’s rate request was filed on August 1, 2025, and supports approximately $22 million in completed capital and infrastructure investments in treatment system and distribution improvements since its last approved rate request in 2019.
“We are committed to making the necessary investments to continue the high-quality service our customers expect and deserve and ensure compliance with state and federal regulations,” said Laura Runkle, President, Maryland American Water. “Our capital planning approach to consistent and efficient investment helps improve water service reliability for the 24,000 people we serve.”
The new rates will be implemented over two years. Effective February 26, 2026, residential customers in the Town of Bel Air using 4,000 gallons per month will see their average bill increase by approximately $10 per month. On January 1, 2027, their bill will increase by another $10 per month. In the Severn District, residential customers previously billed a quarterly flat fee will transition to a monthly flat fee, which will increase by approximately $1.50 per month effective February 26, 2026. This is the first rate adjustment since 2019.
Maryland American Water also supports various important customer affordability programs by providing customers with bill paying assistance programs, payment arrangements and budget billing options, all available on the customer MyWater portal at marylandamwater.com. Income-eligible customers may also apply for assistance through the company’s H2O Help to Others program, administered by Dollar Energy Fund. More information can be found at marylandamwater.com under “Customer Service & Billing” and “Customer Assistance Programs.”
Customers will receive information about the new rates in their next Maryland American Water bill. Information will also be available on the company’s website at www.marylandamwater.com under Customer Service & Billing, your Water Rates.
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, 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 18 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 Maryland American Water
Maryland American Water, a subsidiary of American Water, is the largest regulated water utility in the state, providing safe, clean, reliable and affordable water services to approximately 24,000 people.
AWK-IR
Media Contact
Marybeth Leongini
Senior External Affairs Manager
marybeth.leongini@amwater.com
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FAQ
What did American Water Works (AWK) announce about Maryland water rates?
American Water Works’ subsidiary Maryland American Water received approval for new water rates, giving an annualized revenue increase of about $2 million. The settlement supports roughly $22 million of completed infrastructure investments since 2019 and is the first rate adjustment for these customers since that year.
How much additional revenue will AWK’s Maryland American Water earn from the new rates?
The approved settlement provides a total annualized revenue increase of approximately $2 million for Maryland American Water. About $1 million is reflected immediately with the order, while the remaining $1 million becomes effective on January 1, 2027, tied to prior infrastructure investments.
How will the new Maryland American Water rates affect Bel Air residential customers of AWK?
Bel Air residential customers using 4,000 gallons per month will see their average bill increase by about $10 per month from February 26, 2026. Their bills will rise by another $10 per month on January 1, 2027, reflecting the phased implementation of the approved rate settlement.
What change will Severn District customers of AWK’s Maryland American Water see?
Severn District residential customers will move from a quarterly flat fee to a monthly flat fee structure. With the new settlement, their monthly charge will increase by approximately $1.50 starting February 26, 2026, aligning billing with the updated rate design and implementation schedule.
What investments support the new Maryland American Water rates for AWK?
The new rates support approximately $22 million in completed capital and infrastructure investments by Maryland American Water. These projects include treatment system and distribution improvements made since the last approved rate request in 2019, aimed at maintaining reliable service and regulatory compliance for about 24,000 customers.
What return on equity is associated with AWK’s Maryland American Water rate settlement?
Maryland American Water’s view of its return on equity under the settlement is 9.75%. The company also cites a common equity ratio of 52.32% and a debt ratio of 47.68%, based on information in the order and joint stipulation and settlement agreement.
Filing Exhibits & Attachments
5 documents
American Wtr Wks Co Inc