Missouri American Water officially closed on its purchase of the City of Neosho's water and wastewater systems for $34.5 million, taking over service for roughly 5,400 water customers and 5,400 wastewater customers.
The deal isn't just a change of letterhead. It comes with a $35 million infrastructure commitment over the next five years, pending Public Service Commission approval.
What's actually getting fixed:
Facility upgrades and water/wastewater main replacements
Leak detection tech and wastewater treatment compliance work
Full removal of lead and galvanized steel service lines
Replacement of the Buffalo Creek lift station
Neosho's City Council signed off on the sale back in August 2025. The Missouri PSC gave its final approval this June. Twenty-five former city employees are making the jump to Missouri American Water along with the systems they've been running.
The pitch behind the sale: Mayor Tom Workman said the decision came down to weighing Neosho's long-term needs against the investment required to keep the systems running right. Handing the job to a utility with the scale to fund lead line removal and lift station replacements was the move.
Missouri American Water President Rich Svindland called it a chance to modernize aging infrastructure and get lead and galvanized lines out of the ground for good.
The company is already the largest water utility in Missouri, serving 1.7 million people statewide. Neosho just joined that list. If the five year investment plan holds, its pipes won't look the same by the time it's done.
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