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Other entity files objection to BASA sale

CENTER TWP — Supervisors have not completed the filing process to object to the sale of the Butler Area Sewer Authority to Pennsylvania American Water Company, but township solicitor Michael Gallagher told township supervisors that there are other objectors to the transaction.

Gallagher said at a meeting of the township supervisors Wednesday, May 10, that the Pennsylvania Office of Consumer Advocate has filed a protest of the sale.

“In a nutshell what their protest points out is if the sale would go through, then the amount of the bill … it would cost the consumers probably double their rate,” Gallagher said. “The Office of Consumer Advocate has asked that they hold full hearings including telephone and virtual input hearings for buyers and customers to investigate into the cost of the increase.”

Gallagher said the office’s protest does not affect Center and Summit townships’ objection to the sale.

BASA serves nearly 15,000 customers in 32.5 square miles, which includes Butler, Butler Township, Center Township, East Butler, parts of Connoquenessing, Summit and Oakland townships, and a small portion of Penn Township.

The sale of the sewer authority’s assets to Pennsylvania American Water for $231.5 million is being reviewed by the Pennsylvania Public Utility Commission. If the sale is approved by the PUC, the proceeds that remain following the payments of debts and other liabilities will be split evenly between Butler and Butler Township.

Supervisor Don Pringle told the people in attendance that the township is trying to fight the sale because once a nonprofit company is given to a corporation, there are no “take-backs.”

“If you don’t like it after it’s approved, too late,” Pringle said. “I think this is going to be a generational thing forever.”

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