COMMITTEE SUBSTITUTE
FOR
H. B. 2322
(By Delegates Seacrist, Hunt and Amores)
(Originating in the House Committee on the Judiciary)
[February 28, 1995]
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, 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,
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 (3)
by petition of twenty-five percent of the registered voters who
reside within the limits of such the proposed public service
district within one or more counties. may petition for the
creation thereof , which 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 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 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
such 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 such the
proposed district except upon the adoption of a resolution of the
governing body of such the city, incorporated town or other
municipal corporation consenting.
(b) Such 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
such the territory is situated in more than one county, then such
the petition shall be filed in the office of the clerk of the
county commission of the county in which the major portion of
such 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 such
the county at the first regular meeting after such 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 such the
creation is presented, as aforesaid, the county commission shall
at the same session fix a date of hearing in such 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 such 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 such 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 such 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 such the hearing.
(d) In all cases where proceedings for the creation,
enlargement, reduction, merger, dissolution or consolidation of
such 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 such 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 such the proposed public service district
shall have an opportunity to be heard for and against its
creation, enlargement, reduction, merger, dissolution or
consolidation. At such 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 such 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 such 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
expansion,, enlargement, reduction, merger, dissolution or other
means consolidation, it shall refuse to enter an the order,
but,shall creating the proposed district and shall enter an order
creating, expanding, enlarging, reducing, merging, dissolving 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
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 expanded
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, expanding
enlarging, reducing, merging, dissolving or consolidating the
district: Provided, however, That within ten days after the
entry of an order creating, expanding enlarging, reducing, 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 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 establish
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 with like effect as if a
district were being created. The commission shall at all times
attempt to bring about the expansion 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.