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Work on Emerson Commons to begin soon

PARKERSBURG — Work is expected to begin soon on developing infrastructure for the county’s tax increment financing (TIF) district at Emerson Commons.

Wood County Commissioners Robert Tebay and Jimmy Colombo passed two resolutions Thursday dealing with the bonds for the project and awarding the contractor the job for the project. Commission President Blair Couch was absent from Thursday’s meeting.

The TIF district covers 383 acres on both sides of Interstate 77 at its intersection with West Virginia 2 and encompasses the interchange and development already underway. The project includes public improvements, including water and sewer extensions, road improvements and a new stoplight on W.Va. 2, which would be paid for out of money generated from businesses on the property.

It would get infrastructure in place without having to rely directly on the state and state funding to do it.

Roger Hunter, senior bond attorney with Bowles Rice, said the project is being funded through $4.7 million in bonds paid solely from the tax increment revenue generated from the development of the project.

Although the commission has oversight on the project, there is no liability for the commission and no backing of the county in regard to the bonds.

These bonds are being purchased by two buyers, one being the developer of Emerson Commons LLC and the other by a property company owned by project developer Joseph Pope.

”Those two purchasers will buy all of those bonds, $2.5 million and $2.2 million (respectively),” Hunter said.

The developers are looking to build retail businesses, restaurants, hotels and other businesses in the TIF district.

One of the anchor businesses planned for the site is Menard’s, a hardware, outdoors and home improvement chain of stores based in Wisconsin.

The developers are still working out details with Menard’s, but said everything seemed to be on track.

”Menard’s is a key player in making this happen,” Hunter said.

County officials had questions about the payment of the bonds in the incentives for the developers to pay the bonds off in a timely manner.

Hunter said their conservative estimates have the bonds being paid off earlier than expected. There was a possibility the developers would be able to refinance at some point at a lower rate.

If additional improvements are needed, the county would be able to call a public hearing and explain what is happening and determine a course of action.

”The checks and balances are in place so every dollar collected goes towards the payment of the bonds,” said investment banker Joe Nassit of Piper Jaffray and Co. ”If the development goes better than expected, the bonds will be paid off sooner. If delayed, they will be paid off over time.”

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