Lexington-based Kentucky American Water has announced that it intends to buy the water and wastewater assets of the City of Millersburg in Bourbon County.
The utility said it plans to begin providing water and wastewater service to Millersburg when the transaction is completed later this year.
No purchase price was disclosed.
Millersburg's water system currently provides service to about 500 customers and provides wholesale water service to the Harrison County Water Association and Nicholas County Water District, Kentucky American said in a news release. Millersburg's sanitary sewer system serves about 300 customers.
Millersburg Mayor Nathan Zingg said in a statement that customers will see "lower rates and higher water quality" because of Kentucky American's "efficiencies and economies of scale."
"This agreement will yield a stronger, sustainable financial posture for the city and allow the city to refocus municipal resources," he said.
Kentucky American Water is a subsidiary of Voorhees, N.J.-based American Water, the largest publicly traded U.S. water and wastewater utility company.