ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, May 12, 1995                   TAG: 9505120031
SECTION: VIRGINIA                    PAGE: B-3   EDITION: METRO 
SOURCE: Associated Press
DATELINE: VIRGINIA BEACH                                LENGTH: Medium


NORFOLK COULD THREATEN PIPELINE

An agreement to settle the long-standing fight between Virginia Beach and North Carolina over the proposed Lake Gaston water pipeline has run into another potential obstacle: the city of Norfolk.

And while officials believe that Norfolk's objection to the settlement can be resolved, it's uncertain whether that can happen within the 60-day period that is spelled out for legislative ratification of the deal.

``We are going to need some time,'' said Del. Thomas Moss, a Norfolk Democrat who is speaker of the House.

The problem is a provision in the agreement that prevents Norfolk from selling surplus water outside its immediate area. The restriction would prohibit the city, which is Virginia Beach's current water supplier, from selling water to such nearby neighbors as Hampton and Newport News.

``We think that violates the principle that this is one region,'' said Norfolk Mayor Paul D. Fraim.

Norfolk's objection poses a more serious threat to the proposed 76-mile pipeline than the opposition of legislators from areas around the lake.

Lawmakers representing the rural Southside region along the Roanoke River basin had been expected to fight the deal, but they lack the votes necessary to kill it in the General Assembly.

Norfolk's delegation, however, is much more influential, and its support is considered essential. The agreement, signed April 28, must be ratified by June 27.

Gov. George Allen has said he will call a special session if he's assured that the agreement will pass.

Louis R. Jones, a member of the Virginia Beach City Council, said the neighboring localities are trying to work out something to compensate Norfolk for limiting its water market.

Norfolk receives about $6 million a year from Virginia Beach for approximately 32 million gallons of water a day. The Lake Gaston pipeline will provide up to 60 million gallons a day.

``Virginia Beach and Norfolk might be able to arrive at what might be a fair compensation for the city agreeing to limit its customer base,'' Fraim said.

Sen. Kenneth Stolle, R-Virginia Beach, said something needs to be done soon, or the whole deal might go down the drain.

``The city of Norfolk doesn't lose any money,'' Stolle said. ``This is a windfall for them. All I can think of is they want more of a gold mine than they already have.''

If the settlement is approved on time, Virginia Beach could begin receiving Lake Gaston water by the spring of 1998.

Meanwhile, state Sen. Joseph Gartlan Jr., D-Fairfax County, announced Thursday the appointment of six members of the Senate Committee on Privileges and Elections to review the Lake Gaston agreement. One Southside legislator, Sen. Charles Hawkins, R-Chatham, is among them. He has said he opposes the agreement.



 by CNB