Local water company proposal will bring $1 million to support Town priorities
Chattanooga, Tenn. (March 22, 2018) – Tennessee American Water, the local supplier of water for the Town of Signal Mountain for 93 years, will bring $1 million in new revenues to support the priorities for the community.
In the RFP (Request for Proposal) that Tennessee American Water submitted to the Town Council, one exclusive benefit was that the company would become a new taxpayer and provide funds that can be used to support community initiatives, said Val Armstrong, president of Tennessee American Water.
“As a partner with Signal Mountain, we know the benefit of having additional resources that can be applied to critical issues,” she said. “Tennessee American is solely in the position to offer additional support for the local community. We will bring added value to our 93 year-long relationship.”
Tennessee American Water proposed a Signal Mountain value proposition of $11.2 million based on a decision by the Town Council on existing water company property.
“Our purchase option brings long lasting benefits to the community,” said Ms. Armstrong. “The 10-year value to Signal Mountain ranges from $10.4 million to $11.2 million. The value includes $1 million that comes from being a new taxpayer. This only applies to the Tennessee American proposal.”
Tennessee American Water’s tax payment for Signal Mountain comes from the payment of property taxes, gross receipt taxes and payroll taxes over the 10-year period. For comparison purposes, since 1995 Tennessee American Water has paid approximately $27 million in Hamilton County and $21 million in Chattanooga property taxes. This 23-year period provides a snapshot in time of Tennessee American Water’s 130-year history in the community as a taxpayer.
Tennessee American Water has partnered with The Town of Signal Mountain for 93 years to provide high-quality water to Signal Mountain families and businesses. Tennessee American Water contributes in the communities we serve by volunteering with local organizations, investing in water infrastructure and through local property taxes. Tennessee American Water employees are passionate about their work and bring decades of experience to our local water operations. For over 130 years, our water comes from the Tennessee River and is filtered as part of the treatment process in our award-winning facility.
ABOUT TENNESSEE AMERICAN WATER
Tennessee American Water, a subsidiary of American Water (NYSE: AWK), is the largest investor-owned water utility in the state, providing high-quality and reliable water services to approximately 375,000 people in Tennessee and northern Georgia. With a history dating back to 1886, American Water is the largest and most geographically diverse U.S. publicly-traded water and wastewater utility company. The company employs more than 6,900 dedicated professionals who provide regulated and market-based drinking water, wastewater and other related services to an estimated 15 million people in 46 states and Ontario, Canada. American Water provides safe, clean, affordable and reliable water services to our customers to make sure we keep their lives flowing. More information can be found by visiting www.tennesseeamwater.com.