US Nitrogen Avoids Water, Sewer Charges

By Walter F. Roche Jr.

US Nitrogen has avoided paying an estimated $1.6 million in water and sewer charges thanks to a controversial permit from the Tennessee Department of Transportation that is facing an ongoing court challenge.
The Greene County chemical firm has reported to the state Department of Environment and Conservation that it has pumped some 236 million gallons of water from the Nolichucky River for use in the production of ammonium nitrate. During the same 13 month period the company has discharged 110 million gallons of water back into the river, according to the company's reports.
Based on the current rates charged by the Old Knoxville Utility District the company would have been charged about $1.1 million had it purchased the water from the district. US Nitrogen would have incurred charges of nearly $500,000 had it discharged the waste water to the Lick Creek Valley Treatment plant.
Those figures come to light as a group of local citizens are continuing their suit challenging the legality of the TDOT permit.
A hearing on that suit is scheduled for tomorrow before Judge Ellen Hobbs Lyle.
Under the permit TDOT allowed US Nitrogen to install a 12 mile dual pipeline from its Midway manufacturing facility to the Nolichucky River.
The suit charges that TDOT did not have the legal authority to grant the permit and that the pipeline was partially installed on property owned by some of the local residents, including Don Bible and Jack Renner. Both are plaintiffs in the suit.
Under the permit the pipeline was supposed to be installed within the right-of-way of state roads, but the landowners contend that the right-of-way was effectively eliminated due to repaving.
Tomorrow's hearing is on a motion by the landowners to force US Nitrogen to answer 16 questions related to the placement of the pipeline, including the work done by a surveyor hired by the chemical company.
US Nitrogen's estimated savings are based on the current rates charged by the Old Knoxville Highway Utility District and the Lick Creek Valley Wastewater Treatment Authority. The utility district charges commercial customers a little over $500 for every 1,000 gallons. The treatment plant charges $4.44 per 1,000 gallons for customers discharging more than 180,000 gallons.
US Nitrogen does discharge some wastewater to the sewer district and in fact the company has been fined $19,050 for exceeding allowable limits of some chemicals.
When the US Nitrogen project was initially made public company officials stated they planned to use both local utilities, but that plan was abandoned in favor of the pipeline.
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