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Business Development Corp. to see reorganization

By CRAIG HOWELL, City editor
POSTED: September 5, 2008

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Changes are on the way for one local economic development agency following a meeting Thursday.

Officials from throughout Hancock and Brooke counties, including New Cumberland, Weirton, Follansbee and Wellsburg, gathered at Williams Country Club to discuss ideas for the future of the Business Development Corp. of the Northern Panhandle.

Most of the officials gathered agreed that changes are needed, and many said there is a lack of communication, not enough funding or control of developable land, and problems with the structure of the board of directors.

"It's not the first time we've talked about it," Hancock County Commissioner Dan Greathouse said.

Some of the restructuring proposed has included hiring a seasoned economic development specialist and eliminating the current board membership with a goal of getting rid of any conflict and inefficiency.

The BDC was formed in 1993 with the intention of consolidating all of the development efforts in the two counties. It has been designated as the lead economic development agency for Hancock and Brooke counties, with the majority of its funding being provided by a grant from the state.

Its projects have included Roll Coater, Three Springs Business Park, Rue 21, Rig Packaging in Wellsburg, the Baymont Inn, as well as keeping Aladdin Signs in the area with a move to Beech Bottom.

John Frankovitch, a member of the BDC board, said that while efforts were made in the past, much of the focus was on the Three Springs Business Park.

"It was driven by Weirton Steel," Frankovitch said of the efforts at the business park, explaining this also caused some conflicts and sometimes caused businesses interested in the area to go elsewhere.

Follansbee Mayor Tony Paesano explained that he once was a member of the BDC's board, but saw little progress and cooperation taking place in the organization. He said he eventually made the decision to leave because of these and other issues.

"Little by little, I became disenchanted," Paesano said.

Several in attendance expressed frustration with having a lack of knowledge of what projects are being developed, with Weirton Mayor Mark Harris stating he was told that city officials could not know about the work because of confidentiality issues.

Some officials in attendance said there also are issues with communication between the BDC and local governments and other agencies, with particular mention of the Brooke County Economic Development Agency.

"It's sporadic," Brooke County Commissioner Bernie Kazienko said.

As part of the reorganization efforts, the two county commissions and local municipalities would be asked to contribute funds to assist in the organization's operations. A suggested budget passed out Thursday included $30,000 from each of the commissions and a total of $40,000 from the municipalities, with each city contributing a portion. There also would be approximately $25,000 from private industry and additional funding from the state.

An attendee asked if those contributing funds would have a position on the board and how the contributions from the cities would be divided.

"You want to have an equal stance," New Cumberland Councilman Art Watson said.

Paesano suggested having each city contribute $6,000, basically dividing the $40,000 equally.

Greathouse said they would like to see a three-year commitment from everyone so the efforts can begin moving forward. In addition to hiring a new development professional and restructuring the board, officials also plan to meet with the state EDA and Gov. Manchin's office to discuss the efforts and the need for state funding to assist with property acquisition.

Those in attendance agreed that many of the details would be worked out further in the coming months as the reorganization progresses.

(Howell can be contacted at chowell@weirtondailytimes.com)

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