About Knox Chapman Utility Knox Chapman Utility District lies in parts of the eastern portion of Tennessee in Knox, Blount and Sevier counties and covers an area of approximately 60 square miles. It is immediately adjacent to the City of Knoxville and lies roughly between Knoxville, Maryville, Alcoa, and Sevierville. In addition to the nearby Great Smoky Mountains National Park, the District is influenced by Douglas and Loudon Lakes, and the cities of Maryville, Alcoa, and Knoxville, and by the Tennessee Valley Authority Lakes as a source of raw water supply and an attraction for new industry.Knox Chapman Utility District ( KCUD ) was incorporated as a municipal corporation pursuant a decree enacted on April 20, 1955 in the County Court of Knox County, Tennessee, pursuant to provisions of the District Act, which provides that such an incorporated municipal corporation shall exist in perpetuity and possess the powers set forth in the District Act.