Blacksburg begins talks with York County utility about gas company sale

Negotiations have officially begun between the town of Blacksburg and the York County Natural Gas Authority regarding the possible sale of the town's gas company.

Officials unanimously voted during a regularly scheduled meeting Tuesday to authorize town attorney Larry Flynn to start serious talks with the York County organization.

"All the legalities are being worked out, but we are making a recommendation to give authority to (Flynn) to negotiate the sale of the gas department," Blacksburg Mayor David Hogue said.

The Blacksburg Gas Company,

which has been in operation since 1950, provides

service to approximately 624 customers. The system has a fair market value of between $2.1 and $2.4 million.

If a settlement is reached, those customers would join York Natural Gas' large service area which includes approximately 52,000 customers in York County and the Northeast portion of Cherokee County.

The gas authority currently provides service to residential, commercial and industrial customers.

Town officials were approached by representatives from the gas authority approximately a year and a half ago about possibly acquiring the Blacksburg Gas Company.