Indiana Utility Regulatory Commission
302 West Washington Street, Room 306
Indianapolis Indiana 46204
The Indiana Utility Regulatory Commission today denied a motion to dismiss brought by the Indianapolis Water Company in which the company argued that the commission did not have the authority to determine the value of the company.
In Cause No. 41821, the Commission found that it does have jurisdiction over the matter, and has the authority to determine the value of the Indianapolis Water Company. However, at this time the Commission makes no ruling on how the value of the property will be determined.
State law gives the City of Indianapolis the first right to purchase the water utility at a price set by the IURC. On September 12, 2000, the City of Indianapolis filed a petition asking the Commission to establish a value of the Indianapolis Water Company and to establish terms and conditions of the sale of the property.
On October 5, 2000, the Indianapolis Water Company filed a motion to dismiss, arguing that the Commission did not have the jurisdiction to act on the city’s petition, and that the city did not comply with the statutory requirements to purchase the company.
NiSource bought Indianapolis based IWC Resources, the parent of Indianapolis Water Company in 1996 for nearly $290 million. Indianapolis Water Company provides water and related services to approximately 259,000 customers in Marion, Boone, Hancock, Hamilton, Hendricks and Morgan counties.
Indianapolis Water Company was put on the market as the result of the October merger of NiSource with Columbia Energy Group of Virginia.