Posted on Tue, Dec. 26, 2006


PSC should force utilities owner to pay for repair of systems



A UTILITY OWNER should be required to repay the state and two local governments for repairs made to substandard water and sewer systems he operated in Lexington and Richland counties.

Cayce and Richland County, along with the state, paid to improve systems that were poorly run by Piney Grove Utilities, owned by Reece Williams IV.

For some reason that escapes us, Mr. Williams’ attorneys don’t think he ought to pay. As a matter of fact, they had the audacity to suggest that the state doesn’t need the money. Excuse us? Since when did government get so flush that it could subsidize a private company’s sloppy and — frankly, careless — management and maintenance of water and sewer systems?

Cayce and Richland County didn’t assume control of the systems because they wanted to or because they had extra money to spare. They did it to protect the public health and to make sure citizens got safe, quality services, something Piney Grove apparently wasn’t concerned about.

Cayce took over a sewer system in the Lloydswood neighborhood after Piney Grove allowed raw sewage to spill into a creek. The plant’s operator had quit, saying he had not been paid. Residents had complained about the system for years.

Richland County stepped in to run the Franklin Park community’s water system after Mr. Williams’ company had failed to install a treatment system that state health regulators had said was needed. The company failed to improve the Lower Richland neighborhood’s water for 20 years. After Richland County installed the treatment system last year, lead levels in tap water decreased significantly.

State and local officials want the S.C. Public Service Commission to revoke a $125,000 bond that could be used to cover most of the cost of the repairs. Cayce has spent more than $66,000 on repairs to the Lloydswood sewer system, and Richland County has spent $65,265 on the Franklin Park and Albene Park utilities. The Department of Health and Environmental Control shelled out $18,935 to keep the Lloydswood system running until Cayce took over.

When Mr. Williams got into the utility business, the idea was to make money. Had the businesses been successful, he would have reaped the benefit. One of the risks of being in business is that there is a possibility it could fail. Just as he would have reaped the benefit had these systems been profitable, it’s Mr. Williams’ responsibility to clean up his mess once things went wrong.

In addition to facing the revocation of this bond, DHEC has fined Mr. Williams more than $4 million for problems with utilities in the Columbia area. That’s largely a symbolic fine; chances are it’ll never be paid. In addition, DHEC has fined the utilities owner $35,000 for problems in York County.

There is a troublesome pattern of neglect here that shouldn’t go unnoticed. The PSC, which is expected to make a decision early next year, shouldn’t give Mr. Williams a pass. It should revoke his bond and force him to live up to his responsibility.





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