The following has been issued as a Public Notice by the Town of Pennington Gap
If you a customer of Lee County Public Service Authority and you receive your water indirectly from the Town of Pennington (Big Hill Section, Miller-Smyth Chapel Section), due to the lack of payment and contract infractions by The Lee County PSA, your water will experience an interruption in service on December 31, 2018, at 5 pm.
This Public notice should also serve as an opportunity to keep The Town of Pennington residents informed of the unfortunate situation between The Town and Lee County PSA. In June 2018 The Town issued a notice to Lee County PSA customers of an interruption to their treated water service effective June 21, 2018. Due to the fact, LCPSA refuses to pay TOPG according to the updated water rates which took effect July 2017.
Lee County PSA obtained a 90-day injunction in July 2018. With the understanding of the court that a solution can be made.
Since this date:
The Town has provided all information requested by Lee County PSA.
The Town has also tried unsuccessfully to initiate discussions with Lee County PSA in an effort come to an agreement.
The Town has continued to provide treated water to Lee County PSA regardless of the facts that the 90-day injunction has passed and Lee County PSA continues to refuse to pay the past due amount which is currently $161,601.96
The Town is concerned with Lee County PSA’s unsound financial management in recent years, given the fact that they have been through an embezzlement investigation it resulting in a conviction. Also, The Lee County Board of Supervisors gave Lee County PSA loan forgiveness of $103,000.00 from tax dollars that are also paid by the citizens of The Town of Pennington Gap
The only action that has been made by The Leadership of the PSA since the injunction is the executive director received a pay increase and a 5-year contract extension.
The Town of Pennington sincerely apologizes to those affected by this situation however, we cannot continue to provide treated water at an increasing monetary loss. The Town has offered to create a payment plan for Lee County PSA for the past due amount in order to keep services on. The Lee County PSA has been notified they have until the close of business Monday, December 31st to make necessary arrangements to keep from services being interrupted.
If you have questions or comments, please contact the LCPSA Executive Director Tracy Puckett at 276-346-7720 or LCPSA Board Members.