10  ILLINOIS BUSINESS LEADER
MEMBER SPOTLIGHT
Illinois American Water is the largest 
regulated water utility in the state, 
providing safe, clean and reliable 
water and wastewater services to ap-
proximately 1.3 million people across 
148 communities and operating a 
quality control and research labora-
tory in Belleville. 
	
The company, as a subsidiary of 
American Water, has the resources 
and expertise necessary to address 
critical issues facing the industry, 
like treating for contaminants of 
emerging concern, climate variabil-
ity impacts, cyber-threats, emerging 
regulatory compliance, and removing 
lead service lines. And with water 
and wastewater systems aging nation-
wide, Illinois American Water is in-
vesting significant capital to address 
infrastructure and resiliency needs.
	
Since 2015, Illinois American 
Water has invested more than $2 
billion in water and wastewater sys-
tem improvements across its service 
territory. During 2025, approximately 
$280 million was directed to system 
upgrades, from new pipes to hy-
drants to technology. The company is 
planning $570 million in completed 
or planned investment through 2027, 
with $412 million in water system 
and $158 million in wastewater sys-
tem improvements.
	
Much of this investment is di-
rected toward critical improvements 
for acquired water and wastewater 
systems. For many smaller munici-
palities, infrastructure challenges that 
require significant capital investment 
are a burden, and often capital im-
provements are thereby delayed, in-
creasing the scope and cost of needed 
improvements. This can negatively 
impact rates and affordability.
	
When Illinois American Water 
looks to purchase a system, they 
develop community partnerships and 
work with local governments and or-
ganizations to understand their needs 
and usage, explore available options 
for delivery and treatment, and assess 
the most cost effective, sustainable, 
and environmentally friendly solu-
tion for addressing the communities 
urgent water and wastewater system 
infrastructure needs.  The company 
analyzes how an acquisition will 
affect affordability, including the im-
pact of the acquisition on future and 
current customers.  
	
Since 2017, Illinois American 
Water has spent more than $269 
million to purchase 21 water and 
wastewater systems under the Illi-
nois System Viability Act, adding 
96,000 connections in 28 commu-
nities across 30 counties.  One such 
system was owned by the Village 
of Ransom, which for years faced 
a drinking-water-quality crisis, as 
two groundwater wells that sup-
plied the system showed high levels 
of radium, leading the U.S. EPA to 
issue a consent decree and forcing 
the Village to provide bottled water 
to residents. By selling to Illinois 
American Water, Ransom avoided 
the system investment costs required 
to meet stringent state and federal 
regulations.  Upon purchase, Illinois 
American Water invested $2 million 
to install 10 miles of water main and 
connect the Village to the nearby 
Illinois American Water

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