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IDA approves engineering work and contract increases for local projects including natural gas extension and meat packing site study
Summary
The IDA authorized a $10,000 Magnolia River contract increase for natural gas unit pricing, approved up to $5,000 for onsite spring water flow and quality analysis for Project Well if required, and authorized a Traffic Impact Study for Project Ponderosa not to exceed $1,200.
At its March 11 meeting the Industrial Development Authority approved several staff requests to advance county economic development projects.
Economic Development Director Tim Danielson reported the department is tracking eight active projects (approximately $1.1 billion in potential capital investment, about 125 net new jobs and roughly $8.3 million in projected annual payroll). The board approved a $10,000 change order for Magnolia River so the firm can produce unit pricing and materials lists needed to bid a natural gas extension to the Bluestone area; Danielson said the estimate will support a grant application.
Danielson also said the County's natural gas feasibility work by Blue Psi is expected by month-end and that a Claypool Hill-to-Southwest Virginia Community College line could cost roughly $9 million, including about $2 million for a decompression facility; Blue Psi may recommend two smaller lines to reduce construction regulation and cost.
Following executive session, the IDA authorized staff to provide Wilderness Mountain Water Company with three engineering firms for an onsite water analysis. If the company requires IDA-performed testing, the Economic Development Department is authorized to contract for onsite spring water flow and water quality analysis up to $5,000; the board clarified the test is for spring flow rather than a well drawdown protocol.
The board also authorized a Traffic Impact Study for Project Ponderosa, a planned meat-packing facility, contracting with Bailey Engineering & Land Surveying not to exceed $1,200 to evaluate ingress and egress. Separately, staff reported that Norfolk Southern agreed to provide preliminary engineering at no cost to evaluate potential team track locations near Raven; the siding removal at a nearby sawmill could complicate rail service options.
Board members directed staff to negotiate lease terms, including insurance, with Southwest Virginia Community College if the college requests temporary storage at Raven Elementary and to return a formal proposal next month.
Actions taken included the Magnolia River contract increase (5-0), Project Well analysis authorization (5-0) and Project Ponderosa TIS contract authorization (5-0).
