Water woes in our future?
A few weeks ago, the West Virginia Public Service Commission (PSC) held a public hearing on the purchase of two small community water systems near Charles Town. That was the tip of an iceberg.
Jefferson Utilities, Inc. (JUI) and the Charles Town Utility Board (CTUB) are competing to buy both systems. CTUB is a publicly owned utility serving Charles Town, Ranson and the unincorporated areas around both cities. A few years ago, CTUB took over the Ranson water system and the Jefferson County Public Service District, which had provided water to some of those unincorporated areas. JUI operates several small community water systems around the county.
A major difference between folks served by public water and those served by a privately owned system is regulatory authority. Rates are set by the city or town council in the former case, and by the PSC for the latter. I personally prefer being served by a public water system, because if I have a complaint, I can go to the city or town council. If I’m served by a private provider, my only recourse is to the PSC in Charleston. The three members of the PSC are appointed by the governor to fixed (staggered) terms. Those appointed in recent years have displayed a pro-conglomerate bias.
Also, the PSC is required by statute to guarantee a private water provider a profit. By contrast, a publicly owned system is prohibited from making a profit. Generally, rates are a bit lower under publicly owned systems than under privately owned ones.
But there’s more. West Virginia American Water (WVAW), a statewide conglomerate based in Charleston, has offered to purchase JUI. The rumored price is $40 million.
There is speculation that WVAW, once it’s ensconced in Jefferson County, will begin maneuvers to take over the publicly owned systems in our county. History suggests this.
WVAW owns the water system of Charleston (population 48,000), and those of much of the Kanawha Valley. In 2014, the drinking water of 300,000 people (17 percent of the population of the entire state) was contaminated, due in large part to WVAW’s incompetence. Hazardous chemicals spilled from a storage tank just up the Elk River from WVAW’s only intake, and WVAW reacted tardily. WVAW had been told it needed to have an auxiliary intake on the Kanawha River, to guard against such accidents, but had refused to do so. WVAW has still not installed an auxiliary intake.
Furthermore, when WVAW decided that its water was again safe, it gave the public incorrect instructions for cleaning out pipes, causing many to get sick.
I have no opinion on who should purchase those two small water systems. But I oppose the WVAW takeover of JUI, for the reasons explained above. There will be a public hearing on that question, perhaps as soon as early December. I don’t know if the hearing will be held in Jefferson County or in Charleston. I think it ought to be held in Jefferson County, but I will attend the public hearing wherever it’s held.
John Doyle is a delegate for the West Virginia District 67. He can be reached at johndoyle@wvhouse.gov.