Sewer system stays in town hands after Kingston Springs rejects CSWR bid

Kingston Springs officials have rejected a proposal from Central States Water Resources (CSWR) to take over the town’s wastewater system, but have not ruled out pursuing a private operator in the future.

The Board of Commissioners voted unanimously among those present on Oct. 15 to reject the proposal, following a recommendation from the town’s Wastewater Advisory Board. Commissioners said the town needs to complete significant repairs and gain a better understanding of the system’s condition before seeking another proposal.

CSWR submitted its proposal about 18 months ago, and town officials have since held multiple discussions with the company, including community meetings and conversations involving the town’s legal counsel.

Commissioners said the wastewater system has changed considerably since the original proposal was submitted, with the town making repairs and gaining a better understanding of its infrastructure. They expressed concern that accepting the proposal now could mean giving up control of the system while major repair questions remain unresolved.

One of the biggest outstanding issues involves the town’s wastewater lagoon, where officials discovered groundwater entering beneath the liner. The discovery has prompted officials to question whether the lagoon needs to be repaired at all. The town has been operating without that portion of the system for more than a year, and officials said they have not experienced violations during that time. The town has asked Tennessee Department of Environment and Conservation (TDEC) to clarify whether the lagoon can be taken out of service.

The town has completed its manhole repair project. Work on the lagoon has been paused, and TDEC has extended the town’s completion deadline for that project to October 2027.

The rejection of CSWR’s proposal does not end the town’s consideration of a private operator. Commissioners indicated they may revisit the process once the system’s outstanding repairs and regulatory requirements are better understood.

During the meeting, commissioners also explored creating a separate Wastewater Advisory Board to provide more specialized oversight and recommendations. The proposed board could include residents who use the system, commissioners and people with relevant professional experience, such as engineering or legal expertise. The group would advise the Board of Commissioners on wastewater projects, budgets and capital improvements, but would not have final decision-making authority.

No formal action was taken on creating the separate board. Town staff will research the steps needed to establish it and bring additional information back to the commission.