Feeding frenzy of sales of public water and sewer systems

Dated: July 1 2023

Views: 44

A change in Pennsylvania law seven years ago has accelerated the rate of public water and sewer system sales to private companies. The sales have left several municipalities flush with cash and customers with higher bills. The law, Act 12 of 2016, was sold as a way to put small, financially struggling water and sewer systems in the hands of private companies that could afford to fix them and prevent environmental violations. But some public water advocates say private companies have targeted stable, functioning systems and offered them sky-high prices as a way to boost shareholder returns. The state Public Utility Commission (PUC) has oversight over the rates that private companies charge and has the authority to approve or reject the sale of public water and sewer systems to private companies. Since 2016, all 22 sales of public water or sewer systems that have come before the commission have been approved. One former PUC vice chairman, Andrew Place, said the commission is too deferential to private utility companies and does not do enough to protect ratepayers. Read more here.
Source: Daily Local; 5/14/2023

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Pete McGuinn

Pete McGuinn - Your Trusted RE/MAX Main Line Real Estate Expert With over 22 years of experience as a full-time REALTOR® at RE/MAX Main Line, Pete McGuinn is a distinguished real estate professional....

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