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Harrison County Commission votes to hire Steptoe & Johnson to defend state TIF law in litigation
Summary
The commission approved engaging Steptoe & Johnson for litigation support related to provisions of the West Virginia tax increment financing act after members debated legal costs, settlement options and the statute's constitutionality.
The Harrison County Commission approved a motion to engage the law firm Steptoe & Johnson to represent the commission in litigation concerning certain provisions of the West Virginia tax increment financing (TIF) act.
Commissioners said the work aims to defend the statute that allows some TIF districts to be extended and to protect county economic-development projects tied to outstanding bonds. The vote followed more than an hour of discussion about prior negotiations, potential legal costs and whether parties had tried to settle the dispute outside court.
Commissioner Trekov said the county must "follow due process" and defend the county's use of the TIF extension, arguing that the law has enabled infrastructure investment and job creation in Harrison County. County counsel explained that bondholders and developers requested resolution because uncertainty had blocked bond restructuring tied to Charles Pointe and related projects. Opponents of the engagement questioned the expense and said settlement talks had not been exhausted.
The commission's approval authorizes county staff to execute an engagement to retain Steptoe & Johnson for litigation support related to the TIF statute. The motion was approved by voice vote; a commissioner recorded opposition on the floor, and at least one speaker warned of continued legal fees to taxpayers if the dispute proceeds to protracted litigation.
The item arose amid several related agenda items, including proposals to intervene in litigation in Kanawha County and prior filings in federal court. A letter from James R. Christie, attorney for Genesis Partners (the Charles Pointe developer), was read into the record stating Genesis would not make public comments due to pending cases and that Genesis expects the state will prevail in defending the statute.
The commission did not set a dollar cap on future legal fees during the discussion; commissioners repeatedly asked staff and counsel for additional cost estimates and for confirmation that settlement options had been pursued.
The engagement will proceed under the terms negotiated with the county attorney and will be paid consistent with the engagement letter or other funding sources identified in subsequent staff actions.
The commission moved on to related agenda items including an executive-session request and later a special meeting to receive further updates on restructuring negotiations and bond matters.
