West Virginia American Water and Town of Cedar Grove Reach Agreement on Water System Acquisition
April 12 2021 - 4:56PM
Business Wire
Joint petition seeks approval from the Public
Service Commission for West Virginia American Water to provide
water service to the Kanawha County community
West Virginia American Water and the Town of Cedar Grove have
reached an agreement that will allow West Virginia American Water
to purchase the town’s water system and provide safe, reliable
drinking water to its customers. The Town of Cedar Grove serves
approximately 395 customers along Rt. 61 in the Upper Kanawha
Valley.
“Our goal is to provide clean, dependable water service to
customers throughout West Virginia,” said Robert Burton, president
of West Virginia American Water. “West Virginia American Water
looks forward to improving the Cedar Grove water system, allowing
the town’s leadership to focus its time and attention on other
matters of importance while our company handles water operation and
maintenance going forward.”
West Virginia American Water will acquire the Town of Cedar
Grove’s water distribution system, excluding its water treatment
plant, and establish an interconnection between the company’s water
lines in Kanawha County and the town’s water system. West Virginia
American Water recently acquired water systems in the neighboring
towns of East Bank and Glasgow which previously received its water
supplies from the Town of Cedar Grove.
“It’s simply becoming too difficult to keep up with all the
repairs necessary to maintain a reliable system, which makes me
worry about the prospect of critical infrastructure failures that
could cripple the Town,” said James Hudnall, mayor of Cedar Grove.
“I don’t want our citizens to suffer because of an inability to
properly maintain the system or respond quickly to issues. We’re
doing our best to address issues as they occur, but we aren’t
actively investing in infrastructure replacement, and we aren’t in
a position to do so financially.”
Under the agreement, West Virginia American Water will make
needed investments in the town’s water distribution system to
improve water quality and system reliability. Upon closing, the
company will own and operate the water lines as part of its Kanawha
Valley water system, at which time the company will begin replacing
aging infrastructure and installing new water meters. All customers
currently served by the town will become customers of West Virginia
American Water at the time of close. The proposed agreement
requires the approval of the Public Service Commission.
West Virginia American Water, a subsidiary of American Water
(NYSE: AWK), is the largest investor-owned water utility in the
state, providing high-quality and reliable water services to
approximately 545,000 people. With a history dating back to 1886,
American Water is the largest and most geographically diverse U.S.
publicly traded water and wastewater utility company. The company
employs more than 7,000 dedicated professionals who provide
regulated and market-based drinking water, wastewater and other
related services to 15 million people in 46 states. American Water
provides safe, clean, affordable and reliable water services to our
customers to help make sure we keep their lives flowing. For more
information, visit amwater.com and follow American Water on
Twitter, Facebook and LinkedIn.
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version on businesswire.com: https://www.businesswire.com/news/home/20210412005943/en/
Megan Hannah, External Affairs Manager Megan.Hannah@amwater.com
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