Water Rate May Increase, but Remains One of the Most Affordable
Published on July 21, 2026
LA CROSSE, WI — In the latest update of an ongoing rate review study process that began in 2024, the La Crosse Water Utility (Utility) announced a proposed rate increase. The study executed by the Wisconsin Public Service Commission (PSC) determined that an increase is required to allow the Utility the sufficient financial capacity to provide critical services that contribute to the health and safety of city residents. If approved, rates would likely increase in late 2026.
According to the PSC’s study, this increase is necessary due to a 69.95 percent increase in infrastructure reinvestment and a 37.74 percent increase in operating expenses since 2018. The last rate increase was approved by the PSC and implemented by the Utility in 2019, after a 2018 rate review study.
“Providing safe, reliable drinking water while also promoting sustainability and customer equity is paramount,” explained Tina Erickson, Utilities Finance and Compliance Manager. “The replacement and rehabilitation of our aging infrastructure through much-needed capital improvement projects help avoid costly emergency repairs, service disruptions, and regulatory penalties. In turn, this proactive investment provides long-term savings by maintaining reliable and efficient service.”
Based on the PSC’s proposed rates, water rates for an average residential customer using 4,000 gallons per month will increase from $17.88 to $29.67 per month. Even with this increase, the cost of water in the city is less than one cent per gallon.
“Compared to other water utilities, La Crosse Water Utility’s rates remain less than half of the average cost statewide,” stated Erickson. “There is always a need to balance the upkeep and dependability of infrastructure with the affordability of rates.” Forty-three percent of over 220 miles of water pipes were installed more than 80 years ago. Proper maintenance of the Utility coupled with rising energy, material, and regulation compliance costs affect financial solvency.
A rate review study determines if current rates are fair, financially sustainable, and able to support the long-term health of a water system. It is recommended that a full rate review be completed at least every five years, or more frequently based on annual review of the Utility’s finances. The Utility is fully funded by rate payers and does not rely on property tax revenue.
A public hearing will be held for community members at 11 a.m. on Wednesday, July 29 in the Black River Beach Neighborhood Center, Maplewood North Conference Room.
If residents are unable to attend in-person, they can attend virtually on Zoom (https://us02web.zoom.us/my/pschearings) or Youtube (https://www.youtube.com/@PSCWI-Hearings). They can also listen by phone by dialing (312) 626-6799 and using the Meeting ID: 809 513 2930.