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<br />') ( <br />~~ <br /> <br />TUESDAY <br /> <br />FEBRUARY 13, 1979 <br /> <br />The Court feels that Section 15.1-875 and Section 15.1-1250.1 <br />of the Code of Virginia of 1950, as amended, are not applicable <br />to this situation. <br /> <br />When the City of Martinsville undertakes to dispose of its <br />surplus water outside of the municipality and within Henry <br />County, it is subject to legislative control of the Board of <br />Supervisors of Henry County and the jurisdiction which it has <br />conferred upon its Public Service Authority. <br /> <br />The Court, therefore, feels that the injunction should be made <br />permanent. The appropriate Decree may be prepared. <br /> <br />~- <br /> <br />City Attorney Worthy's Memorandum to Council <br /> <br />The purpose of this memorandum is to pinpoint what I consider <br />the error in the opinion of Judge Thompson in the above case, <br />a copy of which is enclosed herewith. <br /> <br />No one has any argument with the general proposition set <br />forth in the letter opinion that a municipal corporation <br />conducting an extra-territorial public utility is subject <br />to the conditions in force within the outside territory <br />in which it acts, nor is there any quarrel with the more <br />specific proposition that the City of Martinsville, whenever <br />it sells surplus water in Henry County, does so subject to <br />the jurisdiction that the Henry County Board of Supervisors <br />has conferred upon its Public Service Authority. This leaves <br />the question of just what kind of jurisdiction has been <br />conferred upon the Henry County Public Service Authority by <br />its Board of Supervisors? <br /> <br />_. <br /> <br />Apparently Judge Thompson is of the oplnlon that this <br />jurisdiction is exclusive, or else he would not have <br />reached the conclusion that he did in this case. However, <br />such a conclusion is completely unsupported by the evidence <br />that was adduced at the hearing. The ordinance of August <br />24, 1970, which gave Henry County PSA county-wide jurisdiction, <br />also contained the following language of limitation: <br /> <br />"...none of the powers granted by said Act (the <br />Virginia Water and Sewer Authority Act) shall be <br />exercised by the Authority in the construction, <br />improvement, maintenance, extension, or operation <br />of any project or projects which in whole or in <br />part duplicate or compete with those utilities, public <br />or private, serving substantially the same purposes." <br /> <br />Identical language was also contained in the ordinance of 1974 which <br />created the 220 South Water Project. In Fairfax County v. Water Company, <br />