Relating to responsibility of board of public service district that is being dissolved

SB 625 Text

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Senate Bill 625 History

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WEST virginia legislature
2026 regular session
Committee Substitute
for
Senate Bill 625
By Senator Woodrum
[Reported February 4, 2026, from the Committee on Government Organization]

A BILL to amend and reenact §16-13A-18a of the Code of West Virginia, 1931, as amended, relating to the responsibility of a board of a public service district to cooperate with a county commission in the sale of assets of a public service district that is being dissolved, sold, or merged with another public service district.
Be it enacted by the Legislature of West Virginia:

ARTICLE 13A. PUBLIC SERVICE DISTRICTS.

§16-13A-18a. Sale, lease, or rental of water, sewer, stormwater, or gas system by district; distribution of proceeds.

(a)
In any case where a public service district owns a water, sewer, stormwater, or gas system, and a majority of not less than 60 percent of the members of the public service board thereof deem it for the best
interests

interest
of the district to sell, lease, or rent such water, sewer, stormwater, or gas system to any municipality or privately owned water, sewer, stormwater, or gas system, or to any water, sewer, stormwater, or gas system owned by an adjacent public service district, the board may so sell, lease, or rent such water, sewer, stormwater, or gas system upon such terms and conditions as said board, in its discretion, considers in the best
interests

interest
of the district.
Provided,
That such sale, leasing

(b) A sale, lease,
or rental
authorized by subsection (a) of this section
may be made only upon:
(1) The publication of notice of a hearing before the board of the public service district, as a Class I legal advertisement in compliance with the provisions of §59-3-1
et seq.
of this code, in a newspaper published and of general circulation in the county or counties wherein the district is located, such publication to be made not earlier than 20 days and not later than seven days prior to the hearing;
(2) Approval by the county commission or commissions of the county or counties in which the district operates; and
(3) Approval by the Public Service Commission of West Virginia.
(c) If the county commission or commissions of the county or counties in which the district operates have previously ordered the dissolution and sale or merger of a water or sewer public service district system to any other public service district, municipality, or privately owned public utility system, and has received approval of the dissolution, sale, or merger from the Public Service Commission, the notice, hearing, and approval of the board of the public district that is to be dissolved, sold, or merged is not required. The board of a public service district that is being dissolved, sold, or merged with another public utility shall cooperate with the county commission in the sale of district assets and shall execute, or cause to be executed, any necessary documents related to the sale and transfer of such assets.
(d)
In the event of any such sale, the proceeds thereof, if any, remaining after payment of all outstanding bonds and other obligations of the district, shall be ratably distributed to any persons who have made contributions in aid of construction of such water, sewer, stormwater, or gas system, such distribution not to exceed the actual amount of any such contribution, without interest, and any balance of funds thereafter remaining shall be paid to the county commission of the county in which the major portion of such water, sewer, stormwater, or gas system is located to be placed in the general funds of such county commission:

Provided,
That no such distribution shall be required in the case of a sale between political subdivisions of the state.

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