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County staff proposes handling Tree Brand water tower through county deed to access ADECA funds

2171572 · January 1, 2025
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Summary

Economic development staff told commissioners that Tree Brand Packaging needs additional fire suppression for an expansion and that ADECA funds must flow through a municipality or county; staff recommended the county take the deed and administer grant payments, with an agreement tying maintenance to the local water authority.

Cleburne County economic development staff reported that Tree Brand Packaging plans an expansion that requires a new water tower to provide additional fire suppression capacity. Staff said the Alabama Department of Economic and Community Affairs (ADECA) can provide funds for the project, but those funds must flow through a municipality or county government rather than a private entity.

The county’s economic-development official said a likely path is for the county to accept a deed for the property, authorize an agreement with the local water authority to own and maintain the tower, and then pass ADECA funds through the county to the construction contractor. Under the proposed arrangement, Tree Brand would pay the construction costs initially and the water authority would handle ongoing maintenance under an interlocal agreement.

“I think it would be a lot easier if it would flow through the county,” the county official said, noting that ADECA funds generally require municipal or county involvement for administration and compliance. Staff said they had been in discussions with Director Boswell and Senator Price and recommended a clear agreement among the county, the water authority and Tree Brand before funds are transferred.

Commissioners asked staff to draft a resolution that would let the county proceed if needed, to communicate with the city and the water authority, and to present formal agreements for review. Staff said they will prepare documentation on property deeds, project plans and agreements and bring them back to the commission. The commission also discussed the need to keep the city of Ranburn involved because the water authority operates in that area.

Why this matters: The approach would allow the county to act as the public sponsor required by ADECA to channel state economic-development funds, potentially accelerating construction of infrastructure that supports a local employer’s expansion. Commissioners emphasized the need for clear maintenance agreements and municipal coordination.

Staff will draft resolution language and circulate plans and agreements to commissioners and municipal partners for review at a subsequent meeting.