FOR IMMEDIATE RELEASE
NEWS RELEASE
June 15, 2011
For More Information, contact:
Luther Strange
Joy Patterson (334) 242-7491
Alabama Attorney General
Suzanne Webb (334) 242-7351
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AG SEEKS TO INTERVENE IN JEFFERSON COUNTY SEWER CASE
(MONTGOMERY) – Attorney General Luther Strange today filed a motion to
intervene on behalf of consumers in matters involving the Jefferson County Sewer
System. According to a report released yesterday by the system’s court-appointed
receiver, a 25 percent rate increase is planned for September. The Attorney General
seeks to join litigation in his role to represent the interests of consumers during
upcoming rate proceedings.
The motion was filed late this afternoon in Jefferson County Circuit Court in a
case involving the financial crisis and tremendous debt of the Jefferson County Sewer
System, Bank of New York Mellon v. Jefferson County.
The Attorney General seeks to intervene because the ongoing case has a
substantial impact on pending rate increases and “on the rights of ratepayers and their
ability to obtain service at just and reasonable rates from a public utility which is a
monopoly provider.” The motion notes that ratepayers include homeowners, tenants,
religious, charitable and other non-profit organizations; small businesses; commercial
and industrial businesses; and state agencies and other governmental offices, “all of
whom are in need of and will benefit from legal representation in these rate
proceedings.” The motion further notes that “no other party represents the rights of
ratepayers in this litigation. Jefferson County is the owner of the utility, and the
Receiver is the operator of the utility. While Jefferson County and the Receiver have
expressed concern for ratepayers’ interests, both have other significant interests in the
litigation.”
Attorney General Strange said, “Even before we filed this motion, I have been
meeting with concerned parties to try to facilitate a constructive and effective approach
to this complex problem. It is my hope that our intervention will enable this office to
serve as a catalyst to bring all sides together as we work to reach a broader resolution to
the severe difficulties facing the Jefferson County Sewer System, its ratepayers, and its
creditors.”
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501 Washington Avenue Montgomery, AL 36104 (334) 242-7300
www.ago.state.al.us
