The public service commission controls utility rates in the state.
Attorney Tom Michael, who is representing the Gap View Village homeowners association, argued during Monday's hearing that the rate increases proposed by Jefferson Utilities should not go forward until the profits of Snyder Environmental Services are determined.
Michael expressed frustration over several issues, including a settlement that had been worked out between Jefferson Utilities and the PSC on the rate increases.
Michael said his clients did not know about the settlement.
"There's a lot that I don't like about how this process has been presented," Michael said.
Jefferson Utilities requested rate hikes that would have given them an additional $700,000 a year, said Dan McDonald, an attorney for Jefferson Utilities.
The PSC later agreed to a rate increase that would give Jefferson Utilities $82,500 a year, McDonald said.
Jefferson Utilities took issue with that agreement and a settlement was reached between the PSC and Jefferson Utilities that would allow rate increases worth about $180,000 in additional annual revenue, McDonald said.
Snyder was at Monday's hearing and said during a break that the PSC has viewed his company's operations as "honest and fair."
Snyder said he has been "much maligned" by critics.
The rates that Jefferson Utilities charges do not compare favorably with national averages, Peter Appignani, a Gap View Village resident, said previously.
The federal government estimates the average family in the U.S. pays about $2 for every 1,000 gallons of water, Appignani said.
Residents in the Deerfield development, off W.Va. 480 near Ridge Road in the Shepherdstown area, would have to pay $100 for every 5,000 gallons under one of the proposed surcharges from Jefferson Utilities, Appignani said.