Pennsylvania American Water and Towamencin Township to Terminate the Sale of Wastewater System
Pennsylvania American Water (PAW) and Towamencin Township have decided to terminate the sale of the township's wastewater system. This decision comes after the Pennsylvania Public Utility Commission (PUC) finalized new criteria for reviewing such sales on July 2, 2024. The original asset purchase agreement (APA), initially between Towamencin and NextEra Water, then transferred to PAW, is substantially different from the PUC's new criteria.
PAW President Justin Ladner expressed gratitude for the partnership but acknowledged that the original deal structure is unlikely to meet the new PUC approval criteria. Despite this setback, PAW continues to pursue other opportunities, including seeking PUC approval for the acquisition of the Elizabeth Borough Municipal Authority's wastewater system in Allegheny County next month.
Pennsylvania American Water (PAW) e il Comune di Towamencin hanno deciso di annullare la vendita del sistema di reflui del comune. Questa decisione è stata presa dopo che la Commissione Pubblica dei Servizi dell'Pennsylvania (PUC) ha finalizzato nuovi criteri per la revisione di tali vendite il 2 luglio 2024. L'accordo di acquisto degli asset (APA) originale, inizialmente tra Towamencin e NextEra Water, poi trasferito a PAW, è sostanzialmente diverso dai nuovi criteri della PUC.
Il presidente di PAW, Justin Ladner, ha espresso gratitudine per la collaborazione ma ha riconosciuto che la struttura originale dell'accordo è poco probabile che soddisfi i nuovi criteri di approvazione della PUC. Nonostante questo contrattempo, PAW continua a cercare altre opportunità, compresa la richiesta di approvazione alla PUC per l'acquisizione del sistema di reflui dell'Autorità Municipale di Elizabeth Borough nella Contea di Allegheny il mese prossimo.
Pennsylvania American Water (PAW) y el municipio de Towamencin han decidido cancelar la venta del sistema de aguas residuales del municipio. Esta decisión se produce después de que la Comisión de Servicios Públicos de Pennsylvania (PUC) finalizara nuevos criterios para revisar dichas ventas el 2 de julio de 2024. El acuerdo de compra de activos (APA) original, inicialmente entre Towamencin y NextEra Water, y luego transferido a PAW, es sustancialmente diferente de los nuevos criterios de la PUC.
El presidente de PAW, Justin Ladner, expresó gratitud por la asociación, pero reconoció que la estructura del acuerdo original es poco probable que cumpla con los nuevos criterios de aprobación de la PUC. A pesar de este contratiempo, PAW continúa buscando otras oportunidades, incluyendo la solicitud de aprobación a la PUC para la adquisición del sistema de aguas residuales de la Autoridad Municipal de Elizabeth Borough en el Condado de Allegheny el próximo mes.
펜실베니아 아메리칸 워터(PAW)와 타와멘신 타운십은 타운십의 폐수 시스템 판매를 종료하기로 결정했습니다. 이 결정은 펜실베니아 공공 유틸리티 위원회(PUC)가 2024년 7월 2일에 이러한 판매를 검토하기 위한 새로운 기준을 확정한 후 내려졌습니다. 원래의 자산 구매 계약(APA)은 타와멘신과 넥스트에라 워터 간의 계약에서 PAW로 전환된 것으로, PUC의 새로운 기준과 상당히 다릅니다.
PAW의 회장 저스틴 래드너는 협력에 대한 감사를 표했지만 원래 거래 구조가 새로운 PUC 승인 기준을 만족시킬 가능성이 낮다고 인정했습니다. 이러한 차질에도 불구하고 PAW는 다음 달 애러겐니 카운티에 있는 엘리자베스 보로 시의 폐수 시스템 인수에 대한 PUC 승인을 요청하는 등 다른 기회를 추구하고 있습니다.
Pennsylvania American Water (PAW) et la municipalité de Towamencin ont décidé d'annuler la vente du système d'eaux usées de la municipalité. Cette décision intervient après que la Commission des services publics de Pennsylvanie (PUC) a finalisé de nouveaux critères pour examiner de telles ventes le 2 juillet 2024. L'accord d'achat d'actifs (APA) original, initialement entre Towamencin et NextEra Water, puis transféré à PAW, est substantiellement différent des nouveaux critères de la PUC.
Le président de PAW, Justin Ladner, a exprimé sa gratitude pour le partenariat, mais a reconnu que la structure de l'accord original est peu susceptible de respecter les nouveaux critères d'approbation de la PUC. Malgré ce contretemps, PAW continue de rechercher d'autres opportunités, y compris la demande d'approbation de la PUC pour l'acquisition du système d'eaux usées de l'Autorité municipale d'Elizabeth Borough dans le comté d'Allegheny le mois prochain.
Pennsylvania American Water (PAW) und die Gemeinde Towamencin haben beschlossen, den Verkauf des Abwassersystems der Gemeinde zu beenden. Diese Entscheidung fiel, nachdem die Pennsylvania Public Utility Commission (PUC) am 2. Juli 2024 neue Kriterien zur Überprüfung solcher Verkäufe festgelegt hatte. Der ursprüngliche Asset-Purchase-Agreement (APA), zunächst zwischen Towamencin und NextEra Water und dann an PAW übertragen, weicht erheblich von den neuen Kriterien der PUC ab.
Der Präsident von PAW, Justin Ladner, äußerte Dankbarkeit für die Partnerschaft, erkannte jedoch an, dass die ursprüngliche Struktur des Deals wahrscheinlich nicht den neuen Genehmigungskriterien der PUC entsprechen wird. Trotz dieses Rückschlags verfolgt PAW weiterhin andere Möglichkeiten, einschließlich der Beantragung von PUC-Genehmigungen für den Erwerb des Abwassersystems der Elizabeth Borough Municipal Authority im Allegheny County nächsten Monat.
- PAW continues to pursue other acquisition opportunities, such as the Elizabeth Borough Municipal Authority wastewater system
- Termination of the Towamencin Township wastewater system sale agreement
- Inability to meet new PUC criteria for the sale of public water and wastewater systems
On July 2, 2024, the Pennsylvania Public Utility Commission (PUC) finalized new criteria for reviewing the sale of public water and wastewater systems. The terms of the APA initially agreed to by
“We are grateful to the Board of Supervisors for their partnership and the trust they placed in us to address their environmental compliance challenges and much needed investment in their treatment plant,” said Pennsylvania American Water President Justin Ladner. “Unfortunately, and upon further review, we both agree the structure of the original deal is unlikely to meet the approval criteria recently established by the PUC. Pennsylvania American Water has a long history of delivering water and wastewater solutions that bring greater value to communities, and we will continue to take that same approach across the Commonwealth.”
Notably, next month, Pennsylvania American Water will seek PUC approval of its proposed acquisition of the Elizabeth Borough Municipal Authority, a wastewater system in
“Upon review and approval by the PUC, we look forward to serving new customers in Elizabeth Borough,” Ladner said.
Cautionary Statement Concerning Forward-Looking Statements
Certain statements in this press release are forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements relate to, among other things, the proposed transactions discussed above. These statements are based on the current expectations of management of Pennsylvania American Water. There are a number of risks and uncertainties that could cause actual results to differ materially from these forward-looking statements, including with respect to (1) the terms and timing of the termination of the Towamencin APA; (2) the ability to obtain and/or the timing of the PUC’s approval of the proposed acquisition of the wastewater system of the Elizabeth Borough Municipal Authority; (3) regulatory, legislative, local or municipal actions affecting the water and wastewater industries, which could adversely affect Pennsylvania American Water; and (4) other economic, political, business and other factors that may impact or affect the water and wastewater industries generally or Pennsylvania American Water specifically. Forward-looking statements are not guarantees or assurances of future performance or results, and Pennsylvania American Water and its affiliates do not undertake any duty to update any forward-looking statement.
About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in
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About Pennsylvania American Water
Pennsylvania American Water, a subsidiary of American Water, is the largest regulated water utility in the state, providing high-quality and reliable water and wastewater services to approximately 2.3 million people.
AWK-IR
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Media:
John Kelemen
External Affairs Manager
484-238-5216
John.kelemen@amwater.com
Source: American Water Pennsylvania
FAQ
Why are Pennsylvania American Water and Towamencin Township terminating the wastewater system sale?
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When did Pennsylvania American Water (AWK) acquire the rights to the Towamencin wastewater system APA?
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