Memphis denies sewer access to developers at Walnut Grove and Houston Levy

The Tennessee Board of Utility Regulation convened on March 13, 2025, to address a significant dispute involving a request from a Memphis property owner seeking access to the city's gravity sewer system. The meeting highlighted the complexities surrounding municipal sewer access and the implications for local development.

Joe Jarrett, representing a group of developers, presented their case to the board, asserting that they own 110 acres of commercially zoned property at the intersection of Walnut Grove and Houston Levy. Jarrett's team is seeking permission to connect to a sewer line located on their property, which they claim has been unjustly denied by the city of Memphis. The developers argue that the city’s refusal is based on an incorrect classification of their property as being in the Mary’s Creek Basin, rather than the Grays Creek Basin, which they contend is where their property primarily drains.

Jarrett emphasized that their request is straightforward and that they are willing to bear all costs associated with the connection. He pointed out that other developments in the area have been granted access to the Grays Creek sewer system, raising concerns about fairness and equitable treatment. The developers have been in discussions with the city since 2019, but have faced significant communication challenges, receiving little response from city officials.

In response, representatives from the city of Memphis, including Cece Drayton, legal counsel, and Scott Morgan, the public works director, defended the city's position. They stated that the city is not legally obligated to extend sewer services beyond its municipal boundaries and that the determination of sewer availability is based on existing policies and infrastructure capacity. They argued that the property in question is indeed in the Mary’s Creek Basin and that extending services would violate city policy regarding inter-basin transfers.

The board members engaged in a thorough discussion, questioning the implications of potentially overriding the city’s decision. They expressed concerns about the capacity of the existing sewer infrastructure and the precedent that could be set for other developments seeking similar access.

As the meeting concluded, the board acknowledged the complexities of the situation and the need for further deliberation. The outcome of this case could have significant implications for future developments in the area and the city’s approach to managing its sewer infrastructure. The board is expected to continue discussions and may issue a decision in the coming weeks.