Airport Infrastructure

Published 12:00 am Thursday, June 16, 2011

No ‘yes’ yet: aldermen ask for time to mull swap idea

By John Howell Sr.

Panola Partnership CEO Sonny Simmons asked Batesville city officials at their June 6 meeting for a swap that would allow his organization to pay for airport industrial park infrastructure improvements that the city has agreed to provide.

In return, Simmons asked city officials to make a one-time contribution equal to one-half the amount the Partnership pays for the sewer, water and gas infrastructure extensions that the city had originally agreed to pay for.

Sign up for our daily email newsletter

Get the latest news sent to your inbox

“So it saves the city 50 cents on the dollar and it gives us a little bit of extra money that we can put into that general fund account,” Simmons told they mayor and aldermen.

Simmons made the request because of the Partnership’s funding structure which includes about $30,000 monthly paid by LS Power in lieu of ad valorem taxes.

“We can’t touch that LS Power money for the general operation or our organization. It can only be used for infrastructure improvements or any type of capital improvements related directly with economic development,” Simmons said.

“Because we can use the LS Power funds to offset infrastructure costs or capital improvements, we would accept that responsibility to provide that money to buy the materials and the labor to have that water line extended if the city would give us an additional contribution to go to our general fund account,” Simmons said.

“We recently did a very similar deal with the county, where they did the roadwork and furnished materials,” Simmons said as he discussed his proposal with aldermen and Assistant City Attorney Colmon Mitchell.

“A simple way … to do this,” Mitchell said, “would be to let the city handle it just like it always does and y’all (Partnership) could donate money to the city to cover the cost.”

“That would be the same thing we did with the county,” the Partnership CEO replied. “They did the upfront cost of the road and all that work we did out there and then we just wrote them a check.”

“That would work,” Mitchell said. “The city would treat it just like a regular project, except the funds are coming as a gift from Panola Partnership.”

“And then we, in turn, make a gift to Panola Partnership for half that amount?” Alderman Bill Dugger asked.

“It sounds to me like a good way to work it, a good thing to do, a win-win thing, but I would really like for this to soak in … to see if there are any pitfalls,” Dugger continued.

“If possible, … can we discuss that today?” Simmons asked. “We need to take some action on it right away, if we’re going to do this so that we can stay on the same timeline with everything,” he added.

“I don’t know about that,” Dugger replied.

“Can we wait a couple of weeks to do it?” Alderman Stan Harrison asked. Harrison recommended the board meet one hour earlier for its June 21 meeting to discuss the Parnership’s request.

Simmons agreed, and further discussion was tabled until the second June meeting of the board of mayor and aldermen.

During his presentation Simmons had told aldermen that the additional funding for the Partnership’s operating budget would be used to create high quality marketing materials to publicize the airport industrial property and to allow him to make more in-person visits to industrial location consultants.

However, a reason for the Partnership CEO’s urgency may have been further revealed later in the meeting during an executive session. Mississippi’s open meetings law requires elected officials to meet in public but allows certain exceptions, including discussion of an economic development project.

Telling about a project during executive session allows Simmons to comply with confidentiality agreements he signs with the Mississippi Development Authority during negotiations with an industry.

No action was required by the city officials, Mitchell said following the executive session. Simmons briefed the mayor and aldermen on a project that could require action later, the attorney said.

During his remarks in the open session, Simmons said he hoped the industrial area being developed would become, “the best looking industrial park of its size in all of north Mississippi.”

The Partnership CEO showed an artist’s rendering of a 16 foot by 8 foot, solar-lighted sign at the park entrance, placed near the brick and wrought iron fence that has been constructed along Highway 35 at the entrance. He also showed a rendering of possible building placement, showing “how buildings can be located on that site with the road infrastructure in place, buildings from 66,000 up to 500,000 square feet.

“If we are fortunate enough to have a major industry come in here we’re going to save the back portion of that industrial park … so that we can build a 500,000 square foot building if we need to, and hopefully, one day that will be needed,” Simmons said.

With other work either completed or nearing completion, the park should soon arrive at a “build-ready” condition, Simmons said.

Last spring, Simmons, Batesville Mayor Jerry Autrey and Alderman Eddie Nabors, City Engineer Blake Mendrop and then-Partnership President Dennis Dye made a trip to Washington to secure a $238,000 Appalachian Regional Commission (ARC) grant “so that we can build two dirt pads ready for concrete to be poured. That shows a prospect who comes into our community that we’re build-ready,” the Partnership CEO said.

Prior to Simmons’ discussion of the airport industrial park, the CEO requested the city annual funding contribution to the Panola Partnership. He sought $110,000, the same level of funding the city provided last year.

Batesville Main Street Director Colleen Clark also spoke to city officials with her funding request. She asked them to increase annual funding for Batesville Main Street to $20,000 to bring it the city back to the amount of support provided during fiscal 2010.

City officials cut Main Street funding to $15,000 in 2011.

Aldermen voted unanimously to take both requests under advisement.