43
Judges ask MVSD for more documentation before reimbursement hearing
By Ed Runyan
YOUNGSTOWN
The two judges of jurisdiction over the Mahoning Valley Sanitary District have scheduled a 1:30 p.m. Aug. 29 hearing regarding the $5 million reimbursement of surplus funds to Youngstown, Niles and McDonald approved last month by the MVSD board.
The court of jurisdiction is composed of common pleas court judges Lou D’Apolito of Mahoning County and Ronald Rice of Trumbull County.
The judgment entry filed Thursday in Mahoning County Common Pleas Court setting the hearing date in Trumbull County Common Pleas Court orders the MVSD to provide information to them 10 days before the hearing about the end users of the water the district supplies.
The district sells treated water from Meander Creek Reservoir to Youngstown, Niles and McDonald, which supply it to Girard, Canfield, Lordstown, Craig Beach and portions of 10 townships in Mahoning and Trumbull counties, according to Vindicator files.
The entry orders the district to provide the names of all political subdivisions and other entities that get their water after it passes through Youngstown, Niles and McDonald.
It also orders the district to provide the judges with a “complete accounting of receipts and disbursements” as provided in Ohio law governing surplus funds for sanitary districts.
The statute says a water district such as MVSD can use surplus funds for “retiring bonds, reducing the rate of assessment or for accomplishing any other of the legitimate objects of the district.”
The statute says at least once per year, the water district board “shall make a report to the court and the advisory council of its proceedings and an accounting of receipts and disbursements to that date.”
The judgment entry adds the judges “expect the MVSD will be prepared to address the lack of an advisory council despite the requirements of” the statute requiring the existence of a council.
The judgment entry also orders the district to provide the court with the bylaws and minutes of the district’s board of directors meeting minutes regarding discussions about returning surplus funds.
Matt Blair, district president, when asked Thursday about the judgment entry, said the district did have an advisory council for a short time after the law was changed in 1998, but there hasn’t been one for many years.
It wasn’t the MVSD’s requirement or in its power to force the communities to have such a council or to force them to meet, Blair said. No previous court of jurisdiction ever required the MVSD to have such a council, he added.
The judges wrote a letter to the district’s attorney two weeks ago questioning the appropriateness of refunding $5 million in surplus district funds to Youngstown, Niles and McDonald when the money could be used to pay for dam repairs, other projects or just a refund to all water customers.
The district board voted in June to reimburse Youngstown $3.7 million, Niles $1.2 million and McDonald $100,000 in three installments through the end of the year.
Blair has said the MVSD has enough surplus money to complete the upcoming renovation of the Meander Dam, other projects and provide the reimbursement.