LaGrange County RDC Okays Subsidy Termination with LCRUD
Saturday Mar 18, 2017 10:35am
By: Tim Murray
The LaGrange County Redevelopment Commission approved an agreement suspending the financial ties between it and the Regional Utility District Friday morning.
The Redevelopment Commission financed the construction of the sewer and water infrastructure at Fawn River Crossing Industrial Park next to the Toll Road several years ago. The LaGrange County Regional Utility District took on operation of the utilities.
But with the Toll Road Concession Company coming on board as a new customer of the sewer and water utilities, both the county and the utility district see the need for ending the financial ties between them, as R-D-C Attorney Kurt Bachman explained:
"One of the things that goes along with that is the final payment of a subsidy that is calculated to be $51,298. It will terminate all obligations of the county to the utility district and vice versa. They can't give [the infrastructure] back to you without your permission any more. It's sort of hard to say no to the subsidy if you know that if you can't agree to it you're going to get the plant back."
The RDC also recommended the county commissioners give the property the utilities are located on to the utility district.
If approved by the county commissioners, the agreement would end the annual subsidies the county has paid to the utility district.