Industrial Development Board IDB Votes On Appropriation of Megasite Funds

Staff Photo by Jeff Depew

Staff Photo by Jeff Depew

The Jefferson County Industrial Board met on Friday, March 22, 2013 in the low level of the Jefferson County Health Department. The Meeting was Called to Order by Chairman Duignan. Absent from Roll Call were Board Members Worley and Miller.

Board Members were informed that Board Member Hodge had resigned his position and that the vacancy, along with the expiring terms of three other Board Members(Jenkins, Miller and Keck), is in the process of evaluation for placement by the Jefferson County Commission.

Upon a Motion from Board Member Keck and a 2nd from Board Member Jenkins the Minutes were Approved. The Financial Report was Approved with a Motion from Board Member Huff and 2nd from Board Member Masters.

Board Member Cason stated that there was no further information regarding the Planning Sub Committee charged with identifying site selection of possible County owned land for use as an Industrial or Business Park.

Master made a Motion to delay election and installation of officers for the IDB until expired and vacated terms are placed by the County Commission. The Motion was 2nd by Cason and Passed Unanimously.

The Jefferson County Historian, Bob Jarnagin, had contacted the IDB to provide information on the Poor Farm Cemetery located on property owned by the IDB. Though the property was previously up kept by an adjoining property owner, the property owner’s situation has changed and is no longer able to upkeep the property. Historian Jarnagin will be requested to address the needs and issue during the next Industrial Development Board Meeting.

Garrett Wagely, the new Director of Economic Development for Jefferson County and an ad hoc member of the IDB, was introduced to the Board. Director Wagley gave an overview of the proposed Megasite, stating that it is still early in the process. He said that the property acquisition company of Blanchard and Calhoun has around 500 acres of property, spread out over the location of the proposed Megasite, under contract or slotted to be under contract for options. Wagley stated that only a small portion of funds allocated by the Jefferson County Commission ( $442,311) have been spent for options, expenses incurred from the acquisition company, as well as expenses for community outreach to date ($65,000).  In answer to questions by the Board, Wagley estimated that $ 21,000 had been spent on Community Outreach in January and February. He informed the Board that fees for the acquisition company will come at closing and will be a % of the closing costs. The option money for property will be held and will come back to the County should the Megasite project fail to progress. Wagley estimated a 60-90 day timeframe to assess the feasibility and potential success of the proposed project.

Jefferson County Mayor Palmieri was requested to address the Board regarding his recent announcement favoring withdrawal from the current project and regrouping with a business plan for development. He stated that the early assumption was that there would be shared funding of the proposed Megasite project with the State of Tennessee and TVA, however both have backed away from the project, leaving the tax payers of Jefferson County to assume the entire risk for the project. The Mayor cited feasibility and costs associated with delivering water and sewer to the area. He said that there are not enough solid commitments and information to be convincing that it is an appropriate risk of tax payer dollars.

Board Members Jenkins and Keck concurred that the initial investment is minimal to investigate the possibility of the proposed Megasite. Board Member Master stated that he is in favor of continuing with the process on the proposed time frame and that the time will come when the feasibility of the project is clear.

Keck made a Motion to, with recommendation of the County attorney, have an outside attorney (Mark Mamantov) draw a resolution for the appropriation of funds for the proposed Megasite. 2nd Jenkins. Masters made a Motion to Amend with the stipulation that the cost of the outside attorney not exceed $3,000 without returning to the IDB for additional approval-2nd Huff. The Amendment and the Amended Motion Passed. Chairman Duignan will address the resolution with attorney Mamantov. The Meeting was Adjourned.

Source: K. Depew, News Director