City of Catlettsburg v. Public Service Commission

Decision Date06 October 1972
PartiesCITY OF CATLETTSBURG, Appellant, v. PUBLIC SERVICE COMMISSION of Kentucky et al., Appellees.
CourtUnited States State Supreme Court — District of Kentucky

John Hopkins, Hazelrigg & Cox, Frankfort, James E. Adkins, Catlettsburg, for appellant.

David O. Welch, Corp. Counsel, City of Ashland, Gray, Woods & Cooper, Ashland, E. Gaines Davis, Jr., Smith, Davis & Duff, Morris E. Burton, Frankfort, for appellees.

CATINNA, Commissioner.

This is an appeal from a judgment of the Franklin Circuit Court affirming an order of the Public Service Commission which approved a sale of the Catlettsburg, Kenova & Ceredo Water Company to the City of Ashland. We affirm.

The City of Ashland and the City of Catlettsburg, both located in Boyd County, have a common boundary. Ashland owns a municipal water system from which it supplies customers both within and outside the city limits. Catlettsburg is supplied water by the Catlettsburg, Kenova & Ceredo Water Company, a privately owned utility, which also serves outlying rural areas and the City of Kenova, West Virginia. The entire system of the company is located outside the City of Ashland, and no customers are served within the city; however, the two water systems are connected by a twelve-inch water main.

As a result of negotiations between the City of Ashland and the water company, an agreement was entered into for the sale and purchase of the company's system by the City of Ashland.

In December 1970, the City of Ashland and the water company filed with the Public Service Commission their joint application for approval of the sale and purchase of the water system. The City of Catlettsburg was permitted to intervene and object to the sale and purchase.

Although the City of Catlettsburg questioned the legal authority of Ashland to acquire the water system and to operate it within the corporate limits of Catlettsburg without first obtaining a franchise, the Commission limited the scope of its hearing to the question of whether Ashland was ready, willing, and able to continue providing adequate service.

The Commission, in approving the sale, found that Ashland was ready, willing, and able to continue providing adequate service; that it had ample funds to purchase the system; and that such was in the public interest.

The Commission also found as follows:

'(3) That the Public Service Commission is not the proper body to determine the legal issues raised in this proceeding with regard to the necessity of the City of Ashland obtaining legislative consent from the City of Catlettsburg to operate a utility within the latter City's corporate limits.'

Upon an appeal by the City of Catlettsburg, the Franklin Circuit Court ruled: '* * * the order appealed from is neither unreasonable nor unlawful, and should be affirmed as a matter of law.'

The City of Catlettsburg argues that the judgment of the Franklin Circuit Court should be reversed and the...

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  • Bowie v. Louisiana Public Service Com'n
    • United States
    • Louisiana Supreme Court
    • November 29, 1993
    ...Utah, 595 P.2d 871 (Utah, 1979), cert. denied 444 U.S. 1014, 100 S.Ct. 664, 62 L.Ed.2d 644 (1980); City of Catlettsburg v. Public Service Comm'n of Kentucky, 486 S.W.2d 62 (Ct.App.Ky.1972); Blue Grass State Telephone Co., v. Public Service Comm'n of Kentucky, 382 S.W.2d 81 (Ct.App.Ky.1964);......

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