PSC Re-opens Newell Case; Sets Matter for Hearing

     At a session of the PUBLIC SERVICE COMMISSION OF WEST VIRGINIA in the City of Charleston on the 6th day of June 2025.

CASE NO. 20-1033-WS-DU

THE NEWELL COMPANY

TOMLINSON PUBLIC SERVICE DISTRICT and

HANCOCK COUNTY PUBLIC SERVICE DISTRICT,

Petition for determination that the Company

is a Distressed or Failing Utility

under W. Va. Code § 24-2H-6(a).

COMMISSION ORDER

          The Commission reopens this case, sets the matter for hearing, and orders Tomlinson Public Service District (Tomlinson) to publish notice of hearing. 

BACKGROUND

          On December 22, 2020, Newell requested that the Commission declare, pursuant to W. Va. Code § 24-2H-6(a), that Newell is a distressed or failing utility.

By Order issued May 23, 2022, the Commission found that Newell is a failing utility and ordered the parties to file petitions for Commission consent and approval for the acquisition of Newell’s water and wastewater systems pursuant to W. Va. Code §24-2-12 within thirty days.

The parties were unable to negotiate asset purchase agreements and the Commission scheduled an evidentiary hearing, which took place on October 22, 2022.

          By Order issued February 23, 2023, the Commission approved a $3 million purchase price and ordered Hancock PSD to acquire Newell’s sewer system ($1,361,079) and Tomlinson to acquire Newell’s water system ($1,638,921). 

On January 26, 2024, Hancock PSD filed a petition requesting that the Commission provide a recommendation to the West Virginia Infrastructure and Jobs Development Council (WVIJDC) for funding from the distressed utilities account.

The Commission granted Hancock PSD’s request by Order dated March 18, 2024.

On July 25, 2024, the Commission granted its consent and approval for Tomlinson to purchase Newell’s water utility assets pursuant to the November 14, 2023, Asset Purchase Agreement.[1]

On April 17, 2025, Tomlinson filed a petition for a recommendation to the WVIJDC for funding from the Distressed Utilities Account in the amount of               $5 million (Petition). Tomlinson provided the following proposed funding package necessary to finance the repair of Newell’s failed distribution system:

DISCUSSION

Before the Commission issues a recommendation to the WVIJDC for            $5 million from the Distressed Utilities Account, the Commission will require Tomlinson to file its preliminary estimates of cost for the rehabilitation of Newell’s water system and a statement to justify its request with respect to the $5 million from the Distressed Utilities Account, specifically. The Commission will direct Staff to file responsive comments and a recommendation.

The Commission will direct Tomlinson to file its preliminary estimates of cost and statement justifying its request for $5 million from the Distressed Utilities Fund by July 8, 2025. Staff should file responsive comments and a recommendation by July 30, 2025.

Schedule for Comments and Hearing

Tomlinson preliminary estimates of cost and justification statementJuly 8, 2025
Staff responsive comments and recommendationJuly 30, 2025
Hearing9:30 a.m. August 14, 2025, in the Howard M. Cunningham Hearing Room 201 Brooks Street Charleston, West Virginia

Notice of Filing and Hearing

Tomlinson should publish the Notice of Filing and Hearing attached to this one time not more than twenty days and not less than ten days prior to August 14, 2025, in a qualified daily newspaper published in the counties in which Tomlinson serves its customers.

FINDING OF FACT

1.       Tomlinson filed its proposed funding package necessary to finance the repair of Newell’s failed distribution system which included $ 5 million from the Distressed Utilities Account.[2]

2.       Tomlinson requested the Commission provide a recommendation to the WVIJDC for the $5 million from the Distressed Utilities Account.[3]

CONCLUSIONS OF LAW

1.       Tomlinson should make an additional filing including a statement to justify its request for a recommendation for $5 million from the Distressed Utilities Account.

2.       Staff should file responsive comments and a recommendation within the timeframe discussed herein.

ORDER

IT IS THEREFORE ORDERED that this matter is reopened until further order of the Commission.

IT IS FURTHER ORDERED that Tomlinson Public Service District file its preliminary estimates of cost and statement of justification.

IT IS FURTHER ORDERED that the following procedural schedule is established:

Tomlinson preliminary estimates of cost and justification statementJuly 8, 2025
Staff responsive comments and recommendationJuly 30, 2025
Hearing9:30 a.m. August 14, 2025, in the Howard M. Cunningham Hearing Room 201 Brooks Street Charleston, West Virginia

          IT IS FURTHER ORDERED that Tomlinson Public Service District publish the Notice of Filing and Hearing attached to this one time not more than twenty days and not less than ten days prior to August 14, 2025, in a qualified daily newspaper published in the county or counties in which Tomlinson serves its customers.

          IT IS FURTHER ORDERED that the Executive Secretary of the Commission serve a copy of this Order by electronic service on all parties of record who have filed an e-service agreement, and by United States First Class Mail on all parties of record who have not filed an e-service agreement, and on Commission Staff by hand delivery.