New York and American Water have reached a deal to reimburse ratepayers for recent bill spikes.

As News 12 reported, more than 800 customers expressed outrage over skyrocketing bills.

In an interview with Newsday, Gov. Andrew Cuomo announced the company will suspend a recently implemented "conservation rate."

That rate levies the highest charges on customers who used the most water.

Cuomo says the move eliminates a fourth tier of water costs. It also makes refunds retroactive to April.