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Commissioner seeks agreement with Johnson City to take over White Ash sewer; proposes county cover remaining bond with interest funds
Summary
Commissioner Jim Marlo proposed pursuing an agreement for Johnson City to assume the White Ash sewer system and suggested using county interest earnings to cover the remaining USDA bond balance (transcript cited $84,610 as of Feb. 2, 2026); several commissioners said they would not approve payment without a signed intergovernmental agreement.
Commissioner Jim Marlo outlined plans July 21 to seek an intergovernmental agreement with Johnson City for Johnson City to assume ownership and operation of the White Ash sewer system, and proposed using county interest earnings to pay the remaining USDA bond balance.
Marlo said the county had previously contributed funds—about $800,000 according to the packet—to replace the system and that the county’s White Ash account currently held approximately $58,000. He cited a USDA figure of $84,610 remaining on the bond as of February 2, 2026, and proposed using county interest earnings to close the roughly $23,000–$26,000 gap. Marlo described the sewer as profitable on recent profit-and-loss statements and argued municipal oversight would provide better maintenance and regulatory compliance.
Other commissioners supported pursuing a signed agreement with Johnson City before any county funds were committed; one commissioner said they would not vote to pay the debt unless an intergovernmental agreement (IGA) or signed commitment from Johnson City was in hand. The board authorized staff to pursue formal agreement signatures and scheduled a meeting with Johnson City representatives to present the proposal.
