Monongalia County Commission authorizes Series 2026 bonds to advance Westridge Phase II with safeguards

Monongalia County’s commission on July 15 approved authorizing resolutions that allow the county to issue Series 2026 excise-tax and property-tax bonds intended to refund outstanding district bonds and support the amended Phase II of the Westridge development.

The commission voted 2-0 to adopt the bond-authorizing orders after bond counsel outlined the structure, repayment sources and protections for the county. The resolutions authorize a mix of instruments including junior subordinate excise-tax revenue refunding and improvement bonds, fourth‑lien excise-tax bonds to be placed with the developer, and property‑tax subordinate tax increment revenue bonds identified as Series 2026A and 2026B.

Tom Ammons, bond counsel for the county, told commissioners the plan would make $10,000,000 available at closing on the property‑tax side for refunding prior developer‑held bonds and possible new-money projects, and described an approximately $5,200,000 contingent tranche that would be released only if specified metrics are met. He said the excise‑tax side contemplates roughly $70,000,000 of junior subordinate funding and additional developer‑placed bonds sized near $18,000,000, while the not‑to‑exceed authorization on the property‑tax side could reach $22,500,000.

"These bonds are repayable solely from the property‑tax revenues and the excise‑tax revenues," Ammons said, adding that the county would not be on the hook for repayment if revenue shortfalls occur. "If there is any shortfall in revenues to pay interest . . . it’s not a default for the county."

The resolutions include several safeguards described to protect the county: repayment limited to district TIF and excise revenues, caps on interest accrual tied to two years of interest on principal, and a requirement that bond closings proceed only after Chapter 11 creditor negotiations are resolved and final dollar amounts are determined. Bond marketing will target institutional purchasers who have completed due diligence, a representative from Cruz Municipal Advisors said.

Commissioner Sean Secura said the commission and staff will work closely with counsel and financial advisers before finalizing closing documents. "Before the president would move forward with any of the finalization of the actual documents, we'll be in complete concert with our counsel and our financial advisers as far as to make sure that all the conditions have been met," he said.

The commission’s action authorizes the president of the commission to execute closing documents so long as the final terms remain within the parameters set in the authorizing orders. Officials said they do not expect to close until mid‑August or later, after outstanding Chapter 11 matters and creditor claims are reconciled and precise funding allocations are finalized.

The vote concluded the public portion of the item; commissioners thanked bond counsel and advisors for their work preparing the transactions. The resolutions passed with the two commissioners present voting in favor; one commissioner, Jeff Arnott, was absent.