Administrative law judge issues order listing requirements for Preston PSD1 board
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dbeard@dominionpost.com
MORGANTOWN - An administrative law judge has agreed with recommendations filed by Public Service Commission staff to improve the performance of the Preston County Public Service District No. 1 board - and added a warning.
"The Preston County Public Service District No. 1 be, and hereby is, warned that continuing failure to correct the deficiencies identified in the staff filing of July 20, 2026, will not be tolerated and will result in further commission action and enforcement," Chief ALJ Keith A. George wrote in his Monday order.
The staff recommendations and the ALJ’s order stemmed from complaints filed by PSD1 customers Penny Nicholson and Michelle Hatch alleging various matters of wrongdoing, incompetence and violations of state code by the PSD1 board.
Staff found no no criminal misconduct but offered recommendations "designed to strengthen the district's governance, enhance operational oversight, improve financial accountability, and ensure compliance with applicable legal and regulatory requirements."
On July 31, the PSD1 board, through its attorney, informed the PSC that it had no objections to the staff recommendations and asked the ALJ to issue an order accordingly.
George adopted the recommendations:
n PSD1 shall require all current and prospective board members to attend and successfully complete the commission's Board Member Training Program.
N PSD1 shall file its annual budget with the PSC as a closed case filing for at least five years following entry of the PSC’s final order in this case.
N PSD1 shall comply with all applicable PSC requirements, policies, and procedures governing the sale, transfer, or disposition of utility property requiring Commission approval.
N Prior to selling equipment or other assets to employees, board members, family members, or other related parties, PSD1 shall consult with the West Virginia Ethics Commission to ensure compliance with applicable ethics requirements in state code.
N PSD1 shall develop and implement written policies establishing appropriate financial controls, including restrictions on credit card usage, documentation requirements for expenditures, and appropriate internal review procedures designed to improve transparency and financial accountability. PSD1 shall file a copy of these policies within 60 days of the ALJ’s order.
N PSD1 shall maintain proper accounting records in accordance with state code and the PSC’s rules and orders; ensure that such accounts are properly audited on an annual basis; and forward a copy of the results of such audit to both the Preston County Commission and to the PSC within 30 days after submission.
N PSD1 shall file a detailed, written report with the PSC within 60 days of the entrance of a final order in this case demonstrating the steps being taken to implement the corrective measures being recommended.
If no objections to the ALJ’s order are filed, it will become the PSC’s final order in 20 days.