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Whitestown council approves sale of water utility to Citizens Energy Group after weeks of public debate
Summary
After multiple public meetings and hours of council discussion, the Whitestown Town Council approved an ordinance authorizing the sale of the town's water utility to Citizens Energy Group. The ordinance passed 4-1; councilmembers and residents pressed for tightened contract language on wells, forced connections and asset scope.
The Whitestown Town Council voted 4-1 on Aug. 13 to approve Ordinance No. 2025-15, authorizing the disposition of the town's waterworks utility and enabling execution of an asset purchase agreement (APA) with Citizens Energy Group. The ordinance sets a minimum sale price of $37,000,000 and gives the town council president authority to execute the finalized purchase agreement once negotiated.
The vote followed more than two hours of public comment and council discussion focused on terms in the purchase agreement. Residents raised concerns that the APA, which staff said had been posted online about 48 hours before the meeting, left language that could allow future owners, contractors or affiliates to drill new high-capacity wells or otherwise affect existing private wells. Resident Tim Kramer submitted and read an affidavit calling for an election on the sale; Kevin Russell questioned whether Citizens would impose large capacity charges and warned about future rate increases.
Council members and Citizens representatives answered residents' questions on specific points. Jeff Hallman, identified in the meeting as vice president of water operations for Citizens Energy Group, said the company had no intention or ability to force private connections and did not plan to drill wells in ways that would impair existing private wells. Joe Perkins, senior vice president and general counsel for Citizens, and Hallman both said Citizens would discuss tightening the APA language to clarify the geographic scope referenced and to address residents' worries about well impacts and forced connections.
Town and regulatory context featured in the discussion. Dan Cutshaw, the town engineer, told the council that one Main Street tank is currently out of service and that the Legacy Core tank is excluded from the sale. Council members and staff noted that the Indiana Department of Natural Resources (DNR) has existing rules that require remediation if a high-capacity withdrawal affects a private well; Hallman said remediation can include lowering or replacing the private well or offering a connection where the health department or DNR requires it for public health reasons. Council members also discussed the role of the Indiana Utility Regulatory Commission (IURC) in approving future rates; speakers warned that any rate reductions are not guaranteed without IURC approval.
Council debate focused on whether to delay the vote to allow more detailed redrafting of sections 7.05 and 7.08 (the provisions residents identified as most unclear). A motion to table consideration of the second reading failed on a roll call vote (Councilwoman Cheryl Hancock voted yes; Councilman Nichols voted no; Councilman Patterson no; Councilman Smock yes; Councilman Thomas no). After additional discussion and assurances from Citizens that they would work in "good faith" to tighten language, a motion to approve Ordinance 2025-15 passed on roll call: Hancock voted no; Nichols yes; Patterson yes; Smock yes; Thomas yes (4-1).
Councilmembers said the vote approved the ordinance authorizing the sale but did not itself finalize the APA. Staff and Citizens must complete and sign the APA, and Citizens must complete its internal approval processes. Council members asked that Councilwoman Cheryl Hancock be included in any final negotiations affecting well language given her representation of areas with more private wells. Several council members reiterated that residents' desire for lower water bills had been a driving force behind pursuing the sale.
The meeting record shows continued council attention to specific contract language after the vote: Citizens representatives and town staff committed on the record to continue refining terms on well impacts, geographic scope ("town limits" versus the town's water district), and the third water tower's status. The APA as discussed at the meeting includes references to facilities and towers that some council members said were omitted or unclear in the publicly posted draft.
The council's approval starts the formal process of disposition under the town ordinance; the sale remains contingent on the final APA and any approvals Citizens must secure. The council recorded public concern about transparency and asked staff and Citizens to communicate further drafts clearly to residents before final execution.
