In 2022, the Chester Water Authority (CWA) learned of an Asset Purchase Agreement that involved the Governor’s Office, the PA Department of Community & Economic Development (DCED), the DCED appointed Receiver, the City of Chester, and Aqua. Two months later, the PA Supreme Court agreed to hear the CWA’s appeal of the lower Court’s decision about who owned the assets of the CWA. Oral arguments were scheduled for November 30, 2022.
Early in November of 2022, the DCED appointed Receiver for the City of Chester filed an Amended Recovery Plan for the City of Chester which included monetizing the assets of the CWA and asking the PA Commonwealth Court to give him sole control over the City’s municipal authorities. Two days later, the Receiver filed Bankruptcy in the Federal Court, which put a hold on all Court cases, including the CWA’s appeal scheduled for November 30th before the PA Supreme Court.
In August of 2024, the DCED appointed Receiver filed to dissolve the CWA Board of Directors and enable him to control and sell the assets of the CWA. Then in September, the CWA filed a request with the Federal Bankruptcy Court to remove the hold on the PA Supreme Court’s hearing of the case about actual ownership of the assets of the CWA.
Ironically, the DCED has been monitoring the financial distress of the City of Chester for nearly 30 years. They engaged consultants to manage the finances of the City, which set the stage for this hostile takeover. Governor Shapiro has the authority to reverse the actions of this DCED appointed Receiver, but yet he refuses to answer to the ratepayers of the CWA and their elected representatives. Governor Shapiro: 717-788-8990.