Board approves interim financing guarantee for Middle Peninsula planning district to smooth large dredging grants

The Mathews County Board of Supervisors approved a resolution backing interim financing for the Middle Peninsula Planning District Commission (MPPDC) at its May 15 meeting to help the region manage large, multi‑million‑dollar grants for projects such as dredging.

County staff and board members said dredging grants require the planning district to pay upfront for work and then await reimbursement on a schedule set by the grant. To avoid cash‑flow interruptions, the planning district sought authority to obtain a revolving loan; the interlocal agreement would make each member jurisdiction responsible for a percentage share if the planning district ever defaulted.

A county official explained the downside is limited: if the MPPDC defaulted — an outcome described as extremely unlikely because federal and state grant reimbursements are ordinarily guaranteed — Mathews County would be responsible for 14.29% of the outstanding obligation. The board discussed the value of the planning district’s regional approach for projects such as dredging, where shared equipment and coordinated scheduling can reduce costs and speed work.

After discussion, the board moved, seconded and approved Resolution 25‑16 supporting interim financing for the Milton/Middle Peninsula planning district and authorizing Mathews County’s participation under the terms of the interlocal agreement.

Board members noted the MPPDC is pursuing the purchase of a dredge to lower recurring contractor mobilization costs and said the planning district’s pooled approach allows smaller counties to pursue projects they could not undertake alone.