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County closes out $7 million LP project The Clarke County Commission voted Tuesday to close out the project agreement with Louisiana Pacific Corporation (LP) concerning its mill south of Thomasville. The approval is pending final review by County Attorney Bruce Wilson. The county is still awaiting a rail spur agreement with LP, the attorney said. A portion of the rail at the site will be leased to LP for their exclusive use. The rest of the rail will serve the remaining 365 acres of the north industrial park. At the end of the project, the county has spent approximately $7.109 million, including purchasing rural property and site preparations, he said. (The commission originally approved a $7.25 million project on June 14, 2005.) "It has been a large project," Wilson said, with many entities involved. During the construction of the plant, rail and pipe costs were very high. "There were overruns on the rail cost. However, the county had limited the liability for those overruns to monies that LP would have otherwise paid us for timber. "The project agreement called for them to pay us ($590,000)," Wilson said. "(Approximately) $350,000 would be set in an escrow fund to take care of any overruns on the rail." "…Norfolk Southern Railroad also had additional requirements that the engineers were not aware of going in," the attorney said. "…Based on those changes and based on construction costs, the rail ended up costing over a million dollars more than everybody expected. "(In addition) there were more wetlands than were projected going in. The expenses for site prep and all were higher." Once the project is finalized, the county will receive $1.577 million in grant money from EDA (Economic Development Administration). There should be a $13,000 reimbursement through a Community Development Block Grant, Wilson said. The county will receive $243,548.34 from LP by April 1 once the deed for 822.86 acres is transferred. The Alabama Department of Transportation contributed $5 million for the access road to the LP site and turn-lane on Highway 43. County Commissioner Rhondel Rhone praised the work of attorney Wilson, County Engineer Sam Noble, County Administrator Annie Deloise Morris, and Debra Bolen, Executive Director of the Clarke County Economic Development Partnership, for keeping the project within budget. Morris was particularly cited for her expertise in dealing with monies from various agencies such as EDA, ALDOT, Alabama Department of Economic and Community Affairs and U.S. Housing and Urban Development. Other action In other action: • The commission approved an agreement with property owner Ricky S. Tidwell for placing a new polling station in the Walker Springs community. A 12 x 28 foot trailer will be placed on Tidwell's property at a cost to the county of $250-a-year. • A resolution will be created honoring the life and work of the late Ellen Toland, a former county administrator. • Three names, Byron Carlisle, Grady Gould and Keith Horton, were appointed to the county Merit Board. The appointments were recommended by the Utility Department and the Road and Bridge Department. • Promotions were approved for Ashley Banks and Llewellyn Thomas, employees at the Clarke County Jail. • Brad Brown, a laborer with the Road and Bridge Department, was approved for permanent status. • There will be a bridge inspection review in the county April 3, said County Engineer Sam Noble. Representatives from the Alabama Department of Transportation and Federal Highway Administration will review all the bridge documentation and inspection programs. • A request will be sent out for bids for the printing of the county voting list. • The county will send a letter of support to the Mobile County Emergency Management Agency regarding the construction of a new radio tower in north Mobile County. • The commission approved a resolution naming April 6-12 as County Government Week in Clarke County.
• A loan was renewed with Merchants Bank. It had matured on March 12. An initial $750,000 loan had been set up for four years to purchase trucks for the Road and Bridge Department, County Attorney Wilson said. The renewal balance is $419,824.44, and the new interest rate is 3.49 percent over four years.
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