Bluefield proposes sale of sanitary board to West Virginia American Water

Yahoo

27-03-2025

bluefield — An ordinance authorizing the sale of Bluefield's wastewater collection and treatment system to West Virginia American Water company had its first reading Tuesday before the Bluefield Board of Directors.
Mayor Ron Martin said during Tuesday's board meeting that West Virginia American Water had approached the city about purchasing its wastewater collection and treatment system. The board unanimously approved this first reading.
'West Virginia American Water approached the city of Bluefield and the Sanitary Board and made a proposal to talk about potentially selling it, and we've been in discussions for the last year and a half to get us to this point,' City Manager Cecil Marson said after the meeting.
Marson said the city had a long way to go before any sale could be finalized. Before the board of directors can vote about accepting the proposal, there must be a public hearing, a second reading for the ordinance and approval from the Public Service Commission of West Virginia.
'We're still a long way before it's finally sold,' he said. 'It will probably be anywhere from eight to 12 months if we go that far, but there's still a long ways to go.'
A public hearing about the West Virginia American Water sale is scheduled for Monday, April 7 at the Bluefield Arts Center in downtown Bluefield. The hearing will begin at 6 p.m.
'That's a good forum for all the folks to come and we encourage everyone to ask questions so they can fully understand why we're going down this path and what we've got set up to work on,' Marson said.
Under the proposal, the city's current sewer rates will stay in place until Jan. 1, 2029.
'Well, I think it's the stable fees because the rates won't change for the next five years,' Marson said about the city's reasons for considering the water company's proposal. 'But really what the board's weighing is to keep up with our infrastructure. An example I would give you is the Midway Project that the Sanitary Board's done a phenomenal job with. That project's taken us eight years to get to the starting point right now. We have to bond, go through grants to get funding and right now with what West Virginia American Water's proposing we've got five major projects that are on our radar for them to get done in the next five years.'
The Bluefield Sanitary Board has done 'phenomenal' work, but the city still has big infrastructure challenges which need to be addressed, Marson said.
'That actually factored into it, but I would say the sanitary board is a great organization that's done a really good job and I think it's strengthened our position really to have this discussion and do what we can for what's best for the citizens.'
The Bluefield Sanitary Board is a joint board with representatives from both Bluefield, Va., and Bluefield, W.Va., as well as an organization called the Bluefield Sanitary Board, Inc. that also involves representatives from Tazewell County, Va., Marson said. There have been discussions with these representatives as well as the water company.
'We've had numerous meetings,' Marson said. 'The shareholders are the city of Bluefield; but yes, we've had numerous discussions to get to this point.'
'It has to go through PSC first,' Marson said. 'Once that's been done, there will be a huge announcement that it's been sold.'
Under the proposal, West Virginia American Water would finish the following capital projects which the Bluefield Board of Directors passed on July 9, 2024 at a project cost of $35 million with completion occurring no later than five years from the date of closing:
• Midway Sewer Replacement Project
• Nichols Road/Thompson Pump Station Project
• Wintercreek Sewer Replacement Project conducted in tandem with the Town of Bluefield stormwater replacement project
• Union Street Replacement Project conducted in tandem with the City of Bluefield stormwater replacement project
• Completion of College Avenue Phase III Sewer Replacement Project connecting Phase I and Phase II capital line projects.
The city would receive a payment through the agreement.
'And yes, if the deal does go through, it will be close to $19 million to $20 million for the city,' Marson said.
Another part of the proposal calls for the water company to establish a regional wastewater operations center within Bluefield, W.Va. city limits in a newly constructed or remodeled building with a new facade and at a location agreed upon by both parties. This new or remodeled building would need to be big enough for allow for 25 water company employees.
Contact Greg Jordan at
[e-mail]