March 29, 2001

IURC APPROVES SALE OF ARLINGTON UTILITIES

Today the Indiana Utility Regulatory Commission authorized the receiver of Arlington Utilities to sell the assets to Arlington Regional Water and Sewer District.

McMahon and Associates, Inc. made the request in Cause 41540. The Huntington Circuit Court appointed McMahon and Associates as the Receiver for Arlington Utilities on September 28, 2000. McMahon has managed all aspects of the water and sewer utility since that time.

Extensive repairs were necessary when the Receiver took over in September 2000, and it is apparent that alternative solutions for long-term water and sewer services are necessary.

Arlington Regional Water and Sewer District consists of the homeowners of Arlington Heights. Money for the $1.4 million dollar sale will come from the Indiana Drinking Water and Wastewater State Revolving funds. The money will be used to acquire the existing water and sewer systems and to fund the construction of main extensions for both water and sewer from the Town of Roanoke.

The Town of Roanoke will take over the operation of the utilities and when connections are complete, the existing Arlington treatment facilities and water supply will be retired from service.

District Customers will pay a combined water and sewer rate of $90 per month. If the grants and loans are not approved, or if sewer bills will exceed $90 a month, Arlington Rural Water and Sewer District will not close on the transaction and the assets will remain the property of Arlington Utilities.

Arlington Utilities serves about 66 homes and 200 people who live in Arlington Heights.

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