H. B. 2322
(By Delegates Seacrist, Hunt and Amores)
[Introduced February 1, 1995; referred to the
Committee on Political Subdivisions then
the Judiciary.]
A BILL 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, all relating to public
service commission jurisdiction with respect to county
commission orders for public service districts and to
dissolving districts.
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 or dissolving district;
consolidation; agreements, etc.; infringing upon
powers of county commission; filing list of
members and districts with the secretary of
state.
The county commission of any county may, on its own motion
by order duly adopted or upon the recommendation of the public
service commission, propose the creation of such public service
district within such county, setting forth in such order a
description, including metes and bounds, sufficient to identify
the territory to be embraced therein and the name of such
proposed district, or twenty-five percent of the registered
voters who reside within the limits of such proposed public
service district within one or more counties may petition for the
creation thereof, which 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 under this section without the written consent and approval of the public service
commission, which approval and consent shall be in accordance
with rules and regulations 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 such 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 such 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 such proposed district except upon the adoption of a resolution of the governing body of such city, incorporated
town or other municipal corporation consenting.
Such 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 such
territory is situated in more than one county, then such petition
shall be filed in the office of the clerk of the county
commission of the county in which the major portion of such
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 such county at the first
regular meeting after such filing or at a special meeting called
for the consideration thereof.
When the county commission of any county enters an order on
its own motion proposing the creation of a public service
district, as aforesaid, or when a petition for such creation is
presented, as aforesaid, the county commission shall at the same
session fix a date of hearing in such county on the creation 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 such 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 such 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
such 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 such hearing. In all cases where proceedings for the
creation of such 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 such 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.
All persons residing in or owning or having any interest in
property in such proposed public service district shall have an
opportunity to be heard for and against its creation. At such
hearing the county commission before which the hearing is
conducted shall consider and determine the feasibility of the
creation 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 such 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 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 such area or that the creation 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 the district as amended. 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 expansion, merger or
other means, it shall refuse to enter an order creating the
proposed district and shall enter an order expanding, merging or
consolidating the area with an existing public service district,
in accordance with rules and regulations adopted by the public
service commission for such purpose: Provided, That no expansion
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 expanded 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, expanding, merging,
dissolving or consolidating the district: Provided, however,
That within ten days after the entry of an order creating,
expanding or 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 and regulations relating to
such filings and the approval, disapproval or modification of
county commission orders for creating, expanding, merging,
dissolving or consolidating districts: Provided further, That
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.
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 establish 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 with like effect as if a district were
being created. The commission shall at all times attempt to bring about the expansion 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. 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.
NOTE: The purpose of this bill is to provide for
clarification with respect to the duties of county commissions in
implementing orders issued by the public service commission and
to add dissolution orders to the statute requiring public service
commission review and approval.
Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language
that would be added.