PSD and Snowshoe Sewer Takeover

The Pocahontas Public Service District's attorney, Tom Michael, and Thrasher Engineering representative Ken Moran appeared before the commission at Saffer's behest.

Saffer had a list of questions prepared for the duo, most of which dealt with the cost of acquiring Snowshoe Mountain Resort' s existing sewage treatment plant and the liability that the county might inherit from that transaction.

"Once the transaction occurs, then it's your system, it's your problem, it's your leak, it's your law suit," Saffer said. The commissioner noted that the resort has had "numerous violations" cited by the DEP.

Michael said any cost incurred would not be a liability to taxpayers, but rather, to ratepayers; however, he did acknowledge that the existing system had some problems, as found by Thrasher Engineering during an analysis of he facility.

Moran said he had no exact figures for the cost of refurbishing Snowshoe's plant, but that $500,000 was the figure used three years ago to cover the cost of replacing manholes, rims, sealing manholes, cleaning lines, rerouting lines and working on pumping and lift stations.

Saffer said he thought that was lot of work to be done for half-a-million dollars. He said a PSD member had told him the transfer had to take place sooner than planned because the PSD had to pay the attorney and the engineers.

Michael acknowledged that was the case. Thrasher Engineering is up to $1 million in costs, while Michael himself has up to $100,000 in costs so far and the project still lacks an National Pollutant Discharge Elimination System (NPDES) permit.

"That's not going to get done without payment," he told Saffer. "This project has been delayed; it's run up everybody's costs.

"It's absolutely about the money," Michael said.

Michael reminded him that the PSD would also acquire all of Snowshoe's customers and that the PSD had been "tasked" by this commission to take over the plant.

The attorney told Saffer that the engineers have worked known costs of upgrading the existing plant into the rates.

The resort and Snowshoe Water and Sewage will indemnify the county and the PSD for any claims prior to the transaction date and for those after if they are a result of the resort's "grossly negligent conduct," Michael said.

However, that does not mean the plant comes with a warranty, he continued. It also means the PSD will have to actually have a loss before Snowshoe will pay, but that would come at time of judgment, he said, not after the PSD had paid for a loss.

As for those previous DEP claims against the resort's treatment plant, Michael said Snowshoe is getting credit for transferring the plant.

Saffer's other bone of contention dealt with meters-or the lack thereof-at individual properties on the mountain, meaning that people who don't pay can actually get away with it.

Michael said he and the engineers were aware of the problem, but disagreed that Snowshoe homeowners would not be liable for the sewage bill. He said the PSD could file a motion of lien or seek collection through the court system.

"We were aware of it during the rate-making phase," he said.

Tom Shipley, whose family farm will be affected by the plant in its current location, was at the meeting; however, no PSD member attended the half-hour long session.