Photo Courtesy/Alderson Broaddus University

PHILIPPI — Alderson Broaddus University, which filed for bankruptcy last week, is now asking the West Virginia Public Service Commission to prevent the City of Philippi from shutting off AB’s utilities.

On Aug. 8 the PSC approved a petition by the City of Philippi, which is owed more than $770,000 in overdue electric, water, sewage and garbage bills by AB. The petition requires AB to show why their utilities should not be terminated.

In a letter dated Aug. 30 to Kathy Buckley, executive secretary of the West Virginia Public Service Commission, three reasons the utilities should not be terminated are listed by James Garvin, chairman of the board of trustees for AB.

“AB operates a day care center on its campus,” the letter states. “The children and staff need continuous utility services until such time at the bankruptcy trustee determines whether the day care center should continue to operate.”

The letter also stresses that “AB’s science laboratories contain numerous chemicals which need to be maintained at normal room temperatures. The absence of electrical power may result in excessively high temperatures which, according to Emergency Management officials, could have deleterious effects on the chemicals stored in the laboratories.”

Lastly, Garvin states that “the impending bankruptcy proceeding will result in the imposition of the aforementioned automatic stay and necessitate the appointment of a trustee to manage the bankruptcy estate of AB. AB expects that appointment will occur promptly, but the bankruptcy trustee will need some limited period of time to assess the affairs of AB and to make a determination as to how best to address the legitimate concerns of the municipal utility.”

“For the reasons specified above, AB requests that the Commission deny the Petition of the City of Philippi and direct the City of Philippi to continue providing utility services until such time as it can reach an agreement with AB’S bankruptcy trustee or until such time as the United States Bankruptcy Court enters an order addressing the provision of utility services,” Garvin writes.

In August, the West Virginia Higher Education Policy Commission voted to revoke Alderson Broaddus’ authorization to confer degrees in the state.

The order prevents Alderson Broaddus from conferring any degrees after Dec. 31, and the university is prohibited from enrolling any more students.

Later that week, the Higher Learning Commission announced that “Alderson Broaddus University in Philippi, West Virginia, voluntarily resigned its accreditation with the Higher Learning Commission, effective Dec.31, 2023, due to its upcoming closure.”

Later in August, two class action complaints were filed against Alderson Broaddus University, on behalf of students and faculty at the school.

The complaints were filed Aug. 8 in Kanawha County Circuit Court in Charleston. The defendants in both complaints are listed as Alderson Broaddus University and James Garvin, chair of the AB Board of Trustees and Governors.

The two class action complaints include claims of fraud, misrepresentation and breach of contract.

Alderson Broaddus University filed for bankruptcy Sept. 31 in the United States Bankruptcy Court for the Northern District of West Virginia.