High Court Blocks Chester Takeover, Secures Water Authority’s Independence

Chester Water Authority

HARRISBURG, PA — Pennsylvania’s highest court delivered a decisive victory Wednesday for regional water customers, ruling that the City of Chester cannot unilaterally seize or sell the Chester Water Authority, a decision lawmakers say safeguards ratepayers across Chester and Delaware counties.

State Reps. John Lawrence, R-West Grove, and Bryan Cutler praised the 5-1 ruling by the Pennsylvania Supreme Court, which reversed a prior Commonwealth Court order and clarified the independent legal status of the Chester Water Authority.

“After years of advocating for CWA’s independence, I am grateful the Supreme Court affirmed that the City of Chester has no authority to order a unilateral sale of CWA,” Lawrence said. He called the ruling “a substantial victory” for ratepayers and residents in both counties, saying it halted efforts to force customers to absorb the financial fallout of Chester’s municipal bankruptcy.

In its opinion, the court found that amendments enacted through Act 73 of 2012 fundamentally reshaped the governance of the authority. The ruling noted that the CWA board was reconstituted under the law to include representatives appointed not only by Chester but also by Chester and Delaware counties, meaning no single municipality controls the authority’s assets or projects.

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Under the plain language of the statute, the court said, governance of the authority is shared among all three legislatively designated entities, stripping Chester of any unilateral power to seize or sell the system.

Lawrence has led the legislative fight against a CWA sale for more than five years, filing legislation, offering floor amendments, and pressing senior officials from both the Wolf and Shapiro administrations during public hearings. He also successfully forced the release of records under Pennsylvania’s Right-to-Know Law and, alongside Cutler, filed an amicus brief that the Supreme Court cited extensively in its ruling.

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Cutler said the decision reaffirmed the role of the legislature in shaping public authorities across the Commonwealth.

“Today’s court decision shows that legislative authority does indeed still exist here in Pennsylvania,” Cutler said. He added that the ruling confirms Act 73 of 2012 remains controlling law and ensures residents of Chester and Delaware counties retain a voice in how the authority is run.

While Cutler’s 100th Legislative District includes the reservoir used by the authority rather than its customer base, he called the decision critical to protecting both the water system and the interests of his constituents.

The ruling effectively closes the door on years of legal and political battles over a potential sale of the Chester Water Authority, cementing its independent status and preserving regional oversight of one of southeastern Pennsylvania’s most critical public utilities.

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