By Rachel Leingang | Arizona Capitol Times
The Arizona Supreme Court will hear a case about a mechanism used by water companies to increase rates outside of a rate case.
The Court of Appeals previously ruled the system improvements benefit was unconstitutional. It allows water companies to increase rates for adding infrastructure.
The court’s eventual ruling could have wider implications, since many utilities use rate adjustments, affecting millions of Arizona customers, that could come under scrutiny if the SIB is ruled unconstitutional.