MARION, OH–Aqua is announcing that it has reached an agreement with the Village of La Rue in Marion County. The system includes a water treatment plant producing about 50,000 gallons of water a day, 4.8 miles of water mains and an elevated storage tank all serving about 300 homes. In June, Aqua finalized the purchase of Lawrence County’s 5,300 customer Union Rome Sewer system.
The agreement between Aqua and the Village was reached in January and the Public Utilities Commission of Ohio approved the sale in June. Closing of the sale is scheduled on August 1. Affected customers will receive details about the transition in a welcome packet distributed by mail following the closing.
Key elements of the agreement include:
- Aqua will pay the Village $2.25 million for the assets which will be used to retire system debts,
- Aqua will invest an estimated $750,000 in the system within the next four years to optimize operations and meet regulatory demands,
- The village employee who currently works for the system will remain in his position through a contract with the Village.
“Operating a water system is increasingly difficult for small communities as expenses mount and standards become stricter,” said Robert Davis, Aqua Ohio’s president. “I’m glad that Aqua is able to help the residents of La Rue. Our team has operated the nearby Marion water system for decades and are continually improving it as we do in all of our systems. In La Rue, we’ll use our engineering and operational expertise to modernize the operation starting with improvements to their filtration process.”
Village Mayor Dustin Ford Said, "Soaring costs and regulatory requirements make it difficult for small systems to operate without unreasonable rate increases. Aqua plans to make the needed improvements at the plant, and in the water distribution system that would strain the Village's budget. The company can leverage their size and buying power. Over time, rates will be lower than they would have been if we maintained ownership ourselves.”
“We’re glad to be able to present La Rue with a solution to their challenges,” said Tony Mancari, Aqua’s Director of Municipal Services. “Many more Ohio communities are partnering with Aqua to explore options and evaluate how to best meet debt, compliance and operational needs. Aqua is positioned to consult and assist local leaders in navigating the challenges and opportunities associated with their water and wastewater utilities.”
“I’ve been a resident of Marion County nearly all of my life,” said Division Manager Scott Ballenger, who will lead the operation of the system once the agreement is approved. “I’m glad to be able to help our neighbors in La Rue and grow our footprint in the community.”
In the short term, Aqua will focus on improving the water treatment plant’s filtration process, replacing control valves and upgrading water quality monitoring technologies. Then, the company will begin strategically replacing the distribution system’s valves, hydrants, water mains and water meters.
About Aqua Ohio
Aqua Ohio, is the state’s largest regulated water and wastewater utility, serving 500,000 people in 19 counties. Visit AquaAmerica.com for more information or follow @MyAquaAmerica on Facebook and Twitter.