Representatives from Maryland American Water presented an overview of their company and services during Monday’s Pocomoke City Mayor and Council work session, outlining potential opportunities for collaboration on water and wastewater system improvements.
The delegation explained that American Water is the largest privately owned water and wastewater utility provider in the United States, serving more than 14 million customers across 14 states.
Representatives described the company’s community investment model, citing examples such as a $125,000 grant to build a splash pad in Bel Air, Maryland. “We want to make the communities we live in better from a water and wastewater perspective, but also from a community perspective,” one representative said.
They detailed how the company funds infrastructure upgrades and uses its size to lower costs. “We buy [supplies] for a fraction of the cost because we have national contracts,” they told the council, adding that American Water’s bench of technical staff could assist smaller municipalities struggling to maintain systems or retain certified operators.
The team also emphasized that American Water is regulated by the Maryland Public Service Commission, which reviews and approves all rate changes, and that the company’s business model centers on long-term capital investment rather than short-term contracts.
Mayor clarifies City’s position
After the presentation, Mayor Todd Nock thanked the representatives for their time but clarified that Pocomoke City is not seeking to sell its wastewater system.
“I don’t think that we’re necessarily interested in selling our wastewater [assets],” Nock said. “We’re more interested in really getting you guys to go in and do the analysis for us of our wastewater treatment system—so we can know what upgrades we absolutely need to make, where we’re failing, and what’s becoming obsolete.”
Nock cited the importance of the city’s sewage hauling operation as “one of our greatest assets” and a key source of stability for the town. He said the City’s immediate need is an expert assessment to ensure its system can support growing development and prevent “something catastrophic” in either older or newer neighborhoods.
Council inquiries
Council members questioned the company about operations in other communities, particularly Cape Charles, Virginia, where American Water manages both water and wastewater systems, and asked about customer satisfaction, potential rate impacts, and exit options if Pocomoke were ever dissatisfied.
Representatives reported that the Cape Charles wastewater plant, built roughly 15 years ago, had required modernization and that American Water had already invested more than $2 million in improvements during its first year of ownership. They confirmed that in all of Maryland and Virginia, the company had never had a municipality seek to terminate its partnership.
When asked about future water rates, they explained that all rates must be approved by the Maryland PSC and are based on the true cost of service. “Affordability is a focus for us,” they said, noting that options such as phased rate adjustments and assistance programs could help maintain stability for residents.
Next steps
The presentation was informational only. Council members took no action but thanked the company for attending. Nock said the City is open to further discussion about commissioning a comprehensive analysis of the wastewater treatment system to guide future upgrades.
