Monarch Utility Consolidation
Questions and Answers
Why is my water company being consolidated with Monarch?
We are merging all of the Texas utility companies under our SouthWest Water corporate
umbrella into one company. By merging the utilities, our customer care representatives can
access tariff (official document containing service charges, rules and policies) information in
one location, opposed to having to look up the utility, then the tariff information. Additionally,
the number of routine regulatory filings and reports will decrease.
What impact will this consolidation (merger) have on my service?
This consolidation will have no adverse impact on the service you are currently receiving.
Your daily service and our day to day operations will continue as normal. Think of the
consolidation/merger as an administrative paperwork process which involves transferring the
assets/liabilities of one utility company to another.
Will my rates change?
Not as a result of this consolidation. Remember, this is simply a transfer of assets/liabilities
within the corporate structure of SouthWest Water Company. Daily operations and customer
service offerings will not be affected. Monarch, however under a separate process regulated
by the Texas Commission on Environmental Quality (TCEQ) will file an application to change
its rate later this year.
If I have a billing issue, water issue or need a technician, who do I contact?
You will continue to contact our customer care department using the same phone number or
web address you previously used for all of your customer care needs. This
consolidation/merger will not affect our daily operations or customer service efforts.
When does this consolidation officially happen?
The consolidation is not official until approved by the state’s regulatory authority, the Texas
Commission on Environmental Quality (TCEQ). We have filed the application with TCEQ and
expect it to be approved around the middle of July.
How many utilities are involved in the merger?
We have eight utility companies that will be consolidated into Monarch. They are: Diamond
Water Company, Hornsby Bend Utility Company, Huntington Utility Company, LLC, Midway
Water Utilities, Inc., Company, Mid-Tex Utilities, Inc., SW Utility Company, Water Services,
Inc. and Windermere Utility Company, Inc.
Will I be charged Monarch's rates?
No, not immediately Water Services, Inc., has transferred it’s assets to Monarch Utilities I, LP.
Water Services’ rates will remain in effect until Monarch files for a rate change.
If there is more efficiency, will my rates go down?
Probably not, but future rates increases could be less than they otherwise would be without
the consolidation. This is because, once the consolidation is finalized, the rate payer
population will increase to approximately 45,000 active water and sewer connections.
For example, let say Water Services was in need of major plant improvements. Currently,
those costs are spread across only a small customer base which could result in a substantial
rate increase. Now divide that same improvement cost among 45-thousand customers; the
costs would be much less.
###