County, township and Rock Hill schools leaders gathered at the courthouse Thursday, signing a 10-year $14 million local tax incentive agreement that could bring Duke Energy’s $550 million power plant to fruition.

Friday, August 31, 2001

County, township and Rock Hill schools leaders gathered at the courthouse Thursday, signing a 10-year $14 million local tax incentive agreement that could bring Duke Energy’s $550 million power plant to fruition.

Commissioners Paul Herrell, George Patterson and Jason Stephens, who penned their names on the tax break papers then relinquished their chairs to other signers, called it a great day for all Lawrence County.

"Hopefully, in less than three months, there will be digging and people will be going to work down there," Stephens said.

Lloyd Evans, Rock Hill superintendent, added his thanks to Duke and county officials after adding his signature.

"It definitely is a major accomplishment to have buildings that shortly after we move in will be totally paid for," Evans said.

Under the tax agreement, Duke will pay Rock Hill School District $3.7 million by November 2002 – before the plant is even built – to pay off the district’s bond levy being used for new school construction.

Chuck Claunch, Duke’s project development director, said that arrangement is unique, but the company realized how important the schools were to the community.

"We are right on schedule," Claunch said. "And thanks to the Enterprise Zone agreement, this project is very competitive with other sites (Duke) is evaluating."

The company is scheduled to come before the Ohio Power Siting Board on Sept. 17, when state regulators will determine whether or not the project can proceed.

Once past that meeting, Duke faces its toughest hurdle – Ohio EPA air and water permits, Claunch said.

Duke executives also must make a final decision on the project, which will come before the end of the year, he added.

Local tax treatment is often the deciding factor, Claunch said, but stressed that local officials’ continued support at the Ohio regulatory level also will be key.

The company is not debating any technicalities with Ohio EPA concerning water and air permits, he said.

"It’s purely a workload issue Any delay with state agencies would become a disadvantage to this site," Claunch said, asking for local support.

Commissioner Herrell said county officials have already traveled to Columbus last Saturday and met with Gov. Bob Taft’s representatives, asking them to make power plant permits in Lawrence County a priority.

"I’m just tickled to have this signing," Herrell added, saying the resulting construction and plant jobs, as well as the boost to county revenue, is sorely needed right now.

Commissioner Patterson said the county appreciated working with the school board, trustees, Pat Clonch with the Chamber, Ralph Kline of the CAO and others on the incentive agreement – one of the key ingredients Duke needs to make the project work.

"Everybody’s singing out of the same book to do the best for Lawrence County."

In addition to EPA permitting, Duke faces a critical eye from the Ohio Department of Natural Resources, which claims the construction area is habitat for the Spadefoot toad, a state-protected species.

Duke has made the decision that instead of debating with the state, it will acquire property elsewhere to create a habitat for the toad, Claunch said.

If all approvals are met, Duke Energy proposes to build its natural gas fired power plant, using steam turbines, on 40 acres in Hamilton Township.

Calpine Inc. – the company that first eyed Hamilton Township for a similar natural gas fired energy plant – has also requested tax incentive documents, county officials said.