ENROLLED
COMMITTEE SUBSTITUTE
FOR
H. B. 2322
(By Delegates Seacrist, Hunt and Amores)
[Passed March 11, 1995; in effect ninety days from passage.]
AN ACT to amend and reenact section two, article thirteen-a,
chapter sixteen of the code of West Virginia, one thousand
nine hundred thirty-one, as amended, relating to the power
of county commisisons to create, enlarge, reduce, merge,
dissolve or consolidate public service districts subject to
the approval of the public service commission.
Be it enacted by the Legislature of West Virginia:
That section two, article thirteen-a, chapter sixteen of the
code of West Virginia, one thousand nine hundred thirty-one, as
amended, be amended and reenacted to read as follows:
ARTICLE 13A. PUBLIC SERVICE DISTRICTS FOR WATER, SEWERAGE AND
GAS SERVICES.
§16-13A-2. Creation of districts by county commission;
enlarging, reducing,
merging, or dissolving
district; consolidation; agreements, etc.; infringing upon powers of county commission;
filing list of members and districts with the
secretary of state.
(a) The county commission of any county may propose the
creation, enlargement, reduction, merger, dissolution, or
consolidation of a public service district by any of the
following methods: (1) on its own motion by order duly adopted,
(2) upon the recommendation of the public service commission, or
(3) by petition of twenty-five percent of the registered voters
who reside within the limits of the proposed public service
district within one or more counties. The petition shall contain
a description, including metes and bounds, sufficient to identify
the territory to be embraced therein and the name of such
proposed district: Provided, That after the effective date of
this section, no new public service district shall be created,
enlarged, reduced, merged, dissolved or consolidated under this
section without the written consent and approval of the public
service commission, which approval and consent shall be in
accordance with rules promulgated by the public service
commission and may only be requested after consent is given by
the appropriate county commission or commissions pursuant to this
section. Any territory may be included regardless of whether or
not the territory includes one or more cities, incorporated towns or other municipal corporations which own and operate any public
service properties and regardless of whether or not it includes
one or more cities, incorporated towns or other municipal
corporations being served by privately owned public service
properties: Provided, however, That the same territory shall not
be included within the boundaries of more than one public service
district except where the territory or part thereof is included
within the boundaries of a separate public service district
organized to supply water, sewerage services or gas facilities
not being furnished within such territory or part thereof:
Provided further, That no city, incorporated town or other
municipal corporation shall be included within the boundaries of
the proposed district except upon the adoption of a resolution of
the governing body of the city, incorporated town or other
municipal corporation consenting.
(b) The petition shall be filed in the office of the clerk
of the county commission of the county in which the territory to
constitute the proposed district is situated, and if the
territory is situated in more than one county, then the petition
shall be filed in the office of the clerk of the county
commission of the county in which the major portion of the
territory extends, and a copy thereof (omitting signatures) shall be filed with each of the clerks of the county commission of the
other county or counties into which the territory extends. The
clerk of the county commission receiving such petition shall
present it to the county commission of the county at the first
regular meeting after the filing or at a special meeting called
for the consideration thereof.
(c) When the county commission of any county enters an
order on its own motion proposing the creation, enlargement,
reduction, merger, dissolution or consolidation of a public
service district, as aforesaid, or when a petition for the
creation is presented, as aforesaid, the county commission shall
at the same session fix a date of hearing in the county on the
creation, enlargement, reduction, merger, dissolution or
consolidation of the proposed public service district, which date
so fixed shall be not more than forty days nor less than twenty
days from the date of the action. If the territory proposed to
be included is situated in more than one county, the county
commission, when fixing a date of hearing, shall provide for
notifying the county commission and clerk thereof of each of the
other counties into which the territory extends of the date so
fixed. The clerk of the county commission of each county in
which any territory in the proposed public service district is
located shall cause notice of the hearing and the time and place thereof, and setting forth a description of all of the territory
proposed to be included therein to be given by publication as a
Class I legal advertisement in compliance with the provisions of
article three, chapter fifty-nine of this code, and the
publication area for the publication shall be by publication in
each city, incorporated town or municipal corporation if
available in each county in which any territory in the proposed
public service district is located. The publication shall be at
least ten days prior to the hearing.
(d) In all cases where proceedings for the creation,
enlargement, reduction, merger, dissolution or consolidation of
the public service districts are initiated by petition as
aforesaid, the person filing the petition shall advance or
satisfactorily indemnify the payment of the cost and expenses of
publishing the hearing notice, and otherwise the costs and
expenses of the notice shall be paid in the first instance by the
county commission out of contingent funds or any other funds
available or made available for that purpose. In addition to the
notice required herein to be published, there shall also be
posted in at least five conspicuous places in the proposed public
service district, a notice containing the same information as is
contained in the published notice. The posted notices shall be
posted not less than ten days before the hearing.
(e) All persons residing in or owning or having any
interest in property in the proposed public service district
shall have an opportunity to be heard for and against its
creation, enlargement, reduction, merger, dissolution or
consolidation. At the hearing the county commission before which
the hearing is conducted shall consider and determine the
feasibility of the creation, enlargement, reduction, merger,
dissolution or consolidation of the proposed district. If the
county commission determines that the construction or acquisition
by purchase or otherwise and maintenance, operation, improvement
and extension of public service properties by the public service
district will be conducive to the preservation of public health,
comfort and convenience of such area, the county commission shall
by order create, enlarge, reduce, merge, dissolve or consolidate
such public service district. If the county commission, after
due consideration, determines that the proposed district will not
be conducive to the preservation of public health, comfort or
convenience of the area or that the creation, enlargement,
reduction, merger, dissolution or consolidation of the proposed
district as set forth and described in the petition or order is
not feasible, it may refuse to enter an order creating the
district or it may enter an order amending the description of the
proposed district and create, enlarge, reduce, merge, dissolve or consolidate the district as amended.
(f) If the county commission determines that any other
public service district or districts can adequately serve the
area of the proposed public service district, whether by
enlargement, reduction, merger, dissolution or consolidation, it
shall refuse to enter the order, but shall enter an order
creating, enlarging, reducing, merging, dissolving or
consolidating the area with an existing public service district,
in accordance with rules adopted by the public service commission
for such purpose: Provided, That no enlargement of a public
service district may occur if the present or proposed physical
facilities of the public service district are determined by the
appropriate county commission or the public service commission to
be inadequate to provide such enlarged service. The clerk of the
county commission of each county into which any part of such
district extends shall retain in his office an authentic copy of
the order creating, enlarging, reducing, merging, dissolving or
consolidating the district: Provided, however, That within ten
days after the entry of an order creating, enlarging, reducing,
merging, dissolving or consolidating a district, such order must
be filed for review and approval by the public service
commission. The public service commission shall provide a hearing in the affected county on the matter and may approve,
reject or modify the order of the county commission if it finds
it is in the best interests of the public to do so. The public
service commission shall adopt rules relating to such filings and
the approval, disapproval or modification of county commission
orders for creating, enlarging, merging, dissolving or
consolidating districts. The provisions of this section shall
not apply to the implementation by a county commission of an
order issued by the public service commission pursuant to this
section and section one-b, of this article.
(g) The county commission may, if in its discretion it
deems it necessary, feasible and proper, enlarge the district to
include additional areas, reduce the area of the district, where
facilities, equipment, service or materials have not been
extended, or dissolve the district if inactive or create or
consolidate two or more such districts. If consolidation of
districts is not feasible, the county commission may consolidate
and centralize management and administration of districts within
its county or multi-county area to achieve efficiency of
operations: Provided, That where the county commission
determines on its own motion by order entered of record, or there
is a petition to enlarge the district, merge and consolidate districts, or the management and administration thereof, reduce
the area of the district or dissolve the district if inactive,
all of the applicable provisions of this article providing for
hearing, notice of hearing and approval by the public service
commission shall apply. The commission shall at all times
attempt to bring about the enlargement or merger of existing
public service districts in order to provide increased services
and to eliminate the need for creation of new public service
districts in those areas which are not currently serviced by a
public service district: Provided, however, That where two or
more public service districts are consolidated pursuant to this
section, any rate differentials may continue for the period of
bonded indebtedness incurred prior to consolidation. The
districts may not enter into any agreement, contract or covenant
that infringes upon, impairs, abridges or usurps the duties,
rights or powers of the county commission, as set forth in this
article, or conflicts with any provision of this article.
(h) A list of all districts and their current board members
shall be filed by the county commission with the secretary of
state and the public service commission by the first day of July
of each year.