A recent financial plan from JXN Water, the court-appointed receiver in charge of rebuilding the capital city’s water and sewer infrastructure, is now proposing Jackson sell the systems altogether. The idea comes amid the utility’s call for yet another set of rate increases.
In February, U.S. District Court Judge Henry Wingate, who is overseeing the receivership, greenlit a 12% rate increase after a drawn-out debate. Through court hearings that spanned nearly a year, JXN Water faced pushback from local advocates and city officials who blamed the utility for driving up costs to a point where rates would become unaffordable for residents.
JXN Water is now saying it needs to increase rates again in 2027 by 10%, followed by 9% and 8% hikes in 2028 and 2029, respectively. Those numbers are a stark jump from figures the utility mentioned in court hearings last year, where it said it would need 3% annual rate increases from 2027 to 2029.
But Ted Henifin, the head of JXN Water, said the city could reduce the need for rate increases if it sold its water and sewer infrastructure. With the revenue it would get from selling those assets, the city could pay off significant debt that’s driving the need for rate increases, Henifin explained in the August financial plan…