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CHARLESTON - The West Virginia Public Service Commission has agreed to reopen its case on the Newell Company as a result of funding issues, officials announced Thursday.
The PSC declared the Newell Company, which had been owned and operated by the Fiesta Tableware Co., to be a failing utility in 2022, followed by an order on Feb. 23, 2023, for the Hancock County Public Service District and Tomlinson Public Service District to take over its operations.
Water assets, with 650 customers, were to be transferred to the Tomlinson PSD at a cost of $1.63 million, with sewer services for 425 customers going to the Hancock County PSD for $1.36 million, according to the PSC. Funding was to be secured through the West Virginia Infrastructure Development Council.
According to the PSC, officials with the Hancock County PSD petitioned for the case to be reopened, noting an engineering study had reported necessary repairs to the sewer system would cost between $10.5 million and $15.5 million, instead of the anticipated $9.1 million. The petition also states the WVIDC denied Hancock County PSD's request for $1.3 million to assist with the takeover costs.
The PSC held a hearing concerning the utility in September 2021 at the Weirton Municipal Building, with officials noting, at the time, it was the first time the PSC had held a public hearing for a "distressed or failing" utility. Such a process was implemented through the 2020 passage of the Distressed and Failing Utilities Improvement Act by the state Legislature.
The Newell Company had been in operation since July 10, 1905, according to the West Virginia Secretary of State's Office. The efforts to sell the utilities followed a series of moves by the china manufacturer in 2020, including the sale of some of its product lines as well as the closure of Hall China in East Liverpool.