Resurrecting Balsam Mountain Preserve is one part business, two parts passion

New owners of the high-end Balsam Mountain Preserve development aren’t daunted by the choppy waters of Western North Carolina’s real estate landscape.

Despite the still tepid demand for pricey second homes in the mountains, they say they have charted a course that will bring the beleaguered development out on the other side of the storm still raging across the rest of the region.

The 4,400-acre mega-development — one of the region’s few mountainside golf developments that can rightfully carry that tag line — has its share of battle scars. It’s been through foreclosure, repossessed by investors, hawked to the lowest bidder, babysat by an out-of-state caretaker, then put up for sale.

Now, a rescue of Balsam Mountain Preserve has come full circle. Two wealthy homeowners in the development teamed up to buy the development for $6 million — a fraction of what it was once worth.

If there’s ever a development where millionaire homeowners could emerge from the ranks to become the owners, it’s Balsam Mountain Preserve. Harry Avant of Louisiana and David Carlile of Texas knew each other previously from the oil and gas industry, even before buying their respective property in Balsam Mountain Preserve several years ago.

They have hired two former members of the Balsam sales team to come back and run the place. Jimmy McDonnell and Bruce Fine both worked together at Balsam Mountain Preserve under the original owners and developers.

“We know the owners, we know the property, we know the employees, we know the project, we know the market,” Fine said of their return, this time as president and vice president.

The hunt for solid ground in today’s new real estate landscape is more than just a financial deal for the new team.

“If there wasn’t a significant upside from a financial and business perspective we probably wouldn’t have done it. These guys are not a nonprofit entity,” Fine said. “But to save a place that you really have an emotional connection to, and it could be a good business decision at the same time, is a win-win overall.”

For the past 18 months, Balsam Mountain Preserve has been in limbo. The former owners defaulted on $19 million in debt and went into in foreclosure. The development landed in the hands of a private equity firm that immediately began looking to unload it.

So what, exactly, did Avant and Carlile get for their $6 million purchase of Balsam Mountain Preserve?

For starters, they own a really, really nice Arnold Palmer golf course. All the amenities, from the swimming pool to tennis courts to clubhouse to riding stables, are also included.

But as for what’s marketable — the pieces of the development that are worth something — there are about 130 to 150 home sites left to sell off.

Only one lot has sold in Balsam Mountain Preserve this year, however.

“2011 was kind of a lost year for Balsam. It was for sale and people knew it was for sale,” Fine said.

Despite the unimpressive showing, the new team isn’t fretting over whether Balsam Mountain Preserve will make it. Optimism over the new owners is already fueling sales, Fine said. There are two contracts pending — one on a new lot and one on an existing lot being resold by a property owner.

“We have more activity in the week we have owned this place than we’d had all year,” Fine said early last month. “People are moving forward now because it is stable. They like the story about the homeowners who have joined together and bought the place.”

Few golf course developments can claim to have that bumpy road behind them.

“Every other one has the loom of foreclosure and takeover,” McDonnell said.

Fine said few are going to emerge as intact as Balsam.

“There are so many communities in the mountains that have nothing there other than a front entrance and some renderings on paper.  Those are the places that have fallen off the end of the earth,” Fine said.

At Balsam Mountain Preserve, there is enough “critical mass” already in play, Fine said. The golf course is finished, the swimming pool has water, a restaurant and clubhouse are functioning. Roads actually lead to the lots — a novelty compared to some subdivisions that lack even that bare essential.

Most importantly, though, are the 70 homes on the ground and another 110 property owners of lots. Too many subdivisions in the mountains are empty ghost towns, and just like no one wants to eat in an empty restaurant, no one wants to be the first to build — not when it’s such a buyer’s market. And that’s why homes on the ground are an important part of Balsam’s critical mass.

 

Nowhere to go but up

As the rest of the nation plunged into a recession in 2008, WNC seemed insulated from the real estate crash — its quality of life, desirable views and retirement reputation helped it hang on.

But by the end of that year, the economy finally caught up with the region — and with Balsam Mountain Preserve. Lot sales simply evaporated.

With no cash coming in, the former developers Chaffin and Light, a highly reputable company known for massive eco-developments from South Carolina’s coast to Colorado, defaulted on its $19 million loan.

Chaffin had bargained hard for a work out, hoping to get an extension or refinance on the outstanding debt. Meanwhile, property owners at Balsam made a bid to save their own development from foreclosure. They raised $8 million and explored forming their own LLC to bail out Balsam Mountain Preserve and own the development themselves.

But the private equity firm, TriLyn, was unwilling to negotiate for anything less than a full payoff of the $19 million owed.

Marc Antoncic, the managing partner of the firm, arguably was in a tough spot. He was supposed to be earning investors a return on their money — not losing their money. So he had a choice. Cut his losses, take what he could get and get out — even if it meant selling Balsam at a rather substantial loss.

His other choice was to step in to the developer’s shoes himself, hoping to turn it around.

“You can’t rescue everything, but you can’t just sit back and hope it goes away,” Antoncic said in an interview 18 months ago, shortly after his take over. “If you bail today, you lose all that. We would turn over a good asset to someone else.”

In hindsight, it now seems he made the wrong choice.

He didn’t turn it around, and only got $6 million for the development in the end.

“Literally every deal they had on the table, whether it was Jim Chaffin or the homeowners, everyone of those was better than what they ultimately got,” Fine said.

“They had some great opportunities in front of them they chose not to take,” McDonnell agreed.

Homeowners, for their part, are optimistic for the first time since 2009 when Balsam Mountains Preserve headed down the path to foreclosure.

“Ever since then Balsam has been in a real state of uncertainty,” Fine said.

What would happen to the golf course had been one of their biggest fears. Well-groomed fairways with that perfect phosphorescent green hue come at a steep price. The golf course had been losing $1 million a year. The original developers, Chaffin and Light, were underwriting the cost of the golf course operations. Picking up that price tag is part of what sunk the developers.

After foreclosure, homeowners had to pony up the money to operate the course.

 

A new model

There are only a handful of developments in WNC in the same league as Balsam Mountain Preserve: of a similar acreage, prestige, price range and quality. And they too are seeing a comeback, suggesting the market has at long last bottomed out, Fine said.

“Prices are lower compared to where they were at in 2006, but they are coming back,” Fine said. “It sounds cliché-ish, but for someone who wants to be here this is when people want to strike. We aren’t at the bottom anymore.”

That financial strategy is part of Fine’s sales pitch. But the other part is far more emotional.

“The person who is waiting for the bottom is putting off living their life,” Fine said.

Indeed, the pent-up demand is why Fine has such a rosy outlook for 2012.

“The dynamic is people have put their plans on hold for anywhere from three to four years,” Fine said. “I’ve been sitting on the sidelines, I’m not any younger, I’m not any healthier, my grandkids are getting older.”

And that reality could drastically change the real estate paradigm in WNC. Before, baby boomers looked for lots to build their dream home on. But building a house — from deciding on a layout for the master walk-in closet to choosing the color of granite for the kitchen counter — can take two to three years. These days, prospective buyers want to get on with it — and perhaps spare their marriage the strain of a custom-built house — even if it means they won’t be picking out their own light fixtures or tile floor design.

“People want something they can move into,” Fine said. “In conjunction with that dynamic, people are also no longer buying what they can afford, they are buying less than they can afford in a lot of cases.”

People used to buy at the upper end of their limit — assuming that real estate would always be worth more next year anyway. But with appreciation less of a sure bet these days, second-home buyers are rethinking.

“Seriously, do I need 6,000 square feet in retirement? That’s how affluent people are thinking today,” Fine said.

Which means Balsam Mountain Preserve must retool its model — as with the rest of WNC’s developers.

“It is not going to be all about 2-acre single family home sites,” Fine said. “If you sit around and wait for individual home site buyers to come visit you one at a time, it will be years and years and years before you sell through all your availability.”

What’s in Balsam Mountain Preserve’s cards now would have been borderline blasphemy several years ago: smaller lots, pre-built homes, and even perhaps townhomes.

“Balsam has never had that, ever,” Fine said.

There are about 35 lots in the current phase of the development already platted and ready to sell. Another 100 or so are in the works, and will like take the form of smaller, more closely spaced lots rather than larger, spread-out ones. And, they could be sold with homes already on them rather than empty lots.

As a development, Balsam Mountain Preserve doesn’t particularly want to get into the spec home business. Developers generally sell lots, builders build homes.

But that’s where Balsam Mountain Preserve once again hopes to tap its unique base of homeowners.

Homeowners, eager to see their own community succeed, may actually finance construction of model homes by a builder. The homeowner would theoretically be helping out the builder they used and liked when building their own home, make a little money and help land new neighbors to keep Balsam Mountain Preserve stable.

“The developers who can facilitate these alliances between people who can finance — i.e., non-banks — and the builders, those are the communities that are really going to thrive in this segment,” Fine said.

Dogs’ anti-freeze deaths sadden families

Two dogs in the rural countryside of Upper Crabtree in Haywood County died from antifreeze poisoning last week, a tragic fate that has left the dog owners wondering whether it was an accident or malicious deed.

Pat and Stone Reuning and their 4-year-old son woke up on Christmas morning to find their dog Badger staggering and throwing up profusely. The progression of symptoms was rapid and alarming. Pat had to make lots of noise inside so her son couldn't hear Badger having seizures in their backyard, and by the afternoon the dog was clearly in such agony that Stone shot it.

Their neighbor's dog, Abraham, started to show the same signs the next day, and his owner Ryan Sutton rushed him to the vet.

Unfortunately, it was too late. Antifreeze poisoning has to be caught within four to five hours after it is swallowed for treatment to save the animal's life, said Dr. Kristen Hammett, the owner and senior veterinarian of Waynesville Animal Hospital.

As soon as they got home, Sutton's wife typed up a flyer about the antifreeze poisoning and set out on a mission, hoping whoever had left antifreeze out would put it up and everyone with dogs — which is just about everyone in Upper Crabtree — would keep them close.

"She went to every neighbor in our immediate area," Sutton said.

Sutton called one neighbor who he knew "does a lot of mechanicing" and asked if he'd possibly left out used antifreeze.

"He said he knows better," Sutton said. "It is so well known that it is toxic, not just to dogs but to little kids, too."

That's what makes Sutton and the Reuning's so suspicious of the antifreeze poisoning.

"At first, I thought it was an accident. I really did," Pat said. But now she's not so sure. "Someone has been out here poisoning dogs — that's what we think," she said.

Badger and Abraham went everywhere together, whether loafing at each other's house or adventuring about. They mostly roamed on the Sutton's 150 acres but occasionally would stray. Dog owners are supposed to keep their dogs on their own property, according to Haywood County's animal laws. But, it's almost a given that in rural areas like Upper Crabtree, dogs can be found wandering.

"People used to let their dogs roam in this community, or at least they used to," Pat Reuning said.

"I growed up in Crabtree, and that's the way most people did," Sutton added.

Abraham is the second dog Sutton has lost to antifreeze poisoning in less than two years. Both were English Setter bird dogs, which run about $1,500 each not counting the hours of personal time spent training them. Sutton, an avid bird hunter, plans to buy another, but this time will put in an underground fence.

"I don't want another one to die. I am going to have to protect my investment this time," Sutton said.

Sutton said they will probably never know for sure whether it was an accident or deliberate.

"We thought and thought about what could have happened. It seems somebody is doing it on purpose," Sutton said.

One of their neighbors has complained about several dogs in the area, including Badger and Abraham.

Just before the antifreeze poisoning, Abraham was caught eyeing the neighbor's chickens so the neighbor tied him up until Sutton could come over and get him back.

Just before Sutton's last dog died a little under two years ago, Badger was caught eyeing the chickens and was accused of picking one off.

The neighbor had called Haywood County Animal Control to complain more than once about dogs in the neighborhood.

Haywood County Animal Control investigated the antifreeze poisoning last week several days after it occurred. If someone did it on purpose, they could be charged with animal cruelty.

"You have to be able to prove that the person deliberately set it out and was malicious about it. Whether they were upset with the person and the animal was going to pay the price or whether they were upset with the animal," said Jean Hazzard, the director of Haywood animal control.

Hazzard said she has not seen a case of deliberate antifreeze poisoning.

"Sometimes it is not always deliberate. You would be surprised the people who don't realize that dogs will lap it up. It is sweet to a dog," Hazzard said.

For Pat, she is still struggling to explain this first encounter with death and loss to her 4-year-old.

"So far he is still saying 'When is Badger coming back? When is Badger coming home?'" Pat said. "It breaks my heart."

The unusual, toxic properties of antifreeze

It takes just a thimbleful of antifreeze to kill a cat, less for a bird, a smidgeon more for a dog.

Once lapped up, the animal dies a highly unpleasant death in 24 to 72 hours.

Antifreeze tastes sweet to dogs but even the far more finicky pallets of felines have a weak spot when it comes to antifreeze, said Dr. Kristen Hammett, the owner and senior veterinarian of Waynesville Animal Hospital.

The first symptoms manifest almost immediately, with the pet essentially acting like a drunken sailor — staggering, wobbly and often throwing up. Then it clears up, leaving the owner to assume whatever had gotten into their pet is all better. But within a few hours, the irreversible damage of kidney failure has set in, with gruesome and agonizing seizures and convulsions. Blood tests and a kidney examination can confirm antifreeze poisoning.

"It is not something we see every month, but it is not rare," Hammett said. "Sometimes it is accidental, sometimes it is malicious."

In the summer, Hammett always keeps an eye out in parking lots for the telltale green sheen of an antifreeze leak, occasionally spewed out by an overheated radiator. If she spies it, she heads inside and implores the store owner to clean it up right away. She has seen cats die after licking spots of antifreeze from their owner's driveway.

Home mechanics should always dispose of used antifreeze immediately after changing their coolant, she added.

The treatment for antifreeze ingestion is an unusual but surprisingly simple trick of chemistry.

Antifreeze in and of itself is not toxic. The active ingredient, namely ethylene glycol, is technically harmless — except enzymes in the liver convert it into another substance, and that substance causes complete kidney failure.

The treatment for swallowing antifreeze is an IV of grain alcohol straight into the blood stream.

"It keeps the liver so busy converting the grain alcohol it lets the antifreeze pass through the body unchanged," Hammett said.

— By Becky Johnson

Waynesville begins fund drive to pay for historic arch replica

Donations are already rolling in for the Waynesville Art Commission’s latest public art piece, a replica of the historic Smokies’ arch over Main Street, but the group is still looking for donors.

“I am real pleased with the response so far,” said Jan Griffin, head of the art commission.

The art commission has already sent out its first wave of fundraising letters to many of the established local families of Waynesville and plans to mail more letters in the coming weeks. The donations will help pay for a “Gateway to the Smokies” arch, which will be installed in the mini-park at the corner of Main and Depot streets. The original arch spanned Main Street itself for several decades, proclaiming the town as the “Eastern Entrance to the Great Smoky Mountains National Park.”

So far, the commission has received about $2,000 in private donations toward a new Waynesville arch that will cost between $5,000 and $6,000.

“We are very pleased with that,” said Griffin. “The interest is very, very high. We’ve got an awful lot of really excited people about it.”

With one possible exception.

Town Manager Lee Galloway received a phone call from Bryson City Town Manager Lee Callicutt a couple of months ago regarding the wording on the arch. The piece will read “Gateway to the Smokies,” a slogan that Bryson City has used on its seal and police department badges for decades.

“He said that he had been directed to pass the concern of the Town of Bryson City on to me,” Galloway said.

Some in Bryson were less than thrilled that Waynesville’ arch would bear their catch phrase. Nothing else came of the concern.

The art commission has created and installed three permanent public art pieces around town during the past few years. The latest addition will be the archway, the second art piece referencing the Smokies in the mini-park on the corner across from the historic courthouse. Already in place is a metal railing with mountain peaks and salamanders.

The art commission premiered its artistic renderings of the arch earlier this fall.

Ed Kelley, who has headed the project, is now taking the sketches of the arch to an engineer who will act as a consultant, suggesting specifically how the arch will be made and what it will be made of.

“Everything has to be very specific,” Kelley said.

Once the parameters are set, the commission will take bids from several area artists and award the project to the lowest bidder.

People who wish to donate to help pay for the arch can write a check to the Town of Waynesville and drop it at the municipal building on Main Street. Donors should note that the money is for the art project in the memo line.

Clyde’s top cop sidelined on suspension

Clyde’s police chief has been placed on suspension, but town leaders are not saying why.

Police Chief Derek Dendy is currently on a 30-day unpaid suspension, with the possibility of further action pending the outcome of a hearing in two weeks. Clyde Town Administrator Joy Garland cited state personnel laws as preventing the town from discussing the reasons for the suspension. Dendy has been a police officer for the town of just more than 1,300 since September 1998. He was promoted to chief in 2008.  

Mayor Jerry Walker said a pre-disciplinary hearing for Dendy is set for Jan. 9 at 2 p.m. with the five-member town board. This hearing presumably affords Dendy the opportunity to respond to further disciplinary action being considered by the board.

Walker noted town leaders opted for an unpaid suspension because otherwise, the mayor said, “it’s just a month-long vacation.”

Motorcycle battle royale: Maggie parleys with Rally in the Valley, Thunder in the Smokies to negotiate truce

The coordinators of the annual Rally in the Valley motorcycle event have strapped Maggie Valley leaders a seemingly impossible ultimatum that could leave the town in straits no matter what they decide.

Rally in the Valley coordinators asked the town to bar any other motorcycle festivals from coming to town the week before or after its September rally in hopes of ensuring a bigger draw for its own event. If the town didn’t comply, Rally in the Valley would be no more.

The town dutifully responded by asking Maggie’s other big motorcycle event of the fall, Thunder in the Smokies, traditionally held the weekend before Rally in the Valley, to move dates.

But, Rally in the Valley then upped its demand. If Maggie wants to keep the Rally in the Valley, it can be the only motorcycle festival held there during the entire fall.

“The Town of Maggie Valley has always welcomed The Carolina Harley-Davidson Dealers Association and their customers to Maggie Valley,” said Sandy Owens, a spokeswoman for the association that puts on Rally in the Valley, in an email. “We are hoping that we can come to an agreement with the town that will allow us to move forward with future successful fall rallies.”

Owens declined to comment further.

And with that, the town found itself between a rock and a hard place: it will lose Rally in the Valley if town officials do not meet the terms, but it will lose Thunder in the Smokies if it does.

The town has a long standing agreement with the company that hosts Thunder in the Smokies, which puts on a May rally in addition to its one in September.

Handlebar Corral Production has run Thunder in the Smokies in Maggie for nine years, and has said it will stop holding both its fall and spring event if the town sides with Rally in the Valley.

Chris Anthony, owner of Handlebar Corral Production, said it would be “practical” to pull out of both commitments — its fall and spring Thunder in the Smokies events.

However, should Rally in the Valley leave Maggie, Thunder in the Smokies has indicated that it would like the rally’s spot on the third weekend in September.

 

Fat lady yet to sing

Negotiations between Maggie Valley and the Carolina Harley-Davidson Dealers Association will not concluded “anytime soon,” said Mayor Ron DeSimone.

DeSimone said that the town has done its best to convince the Harley-Davidson Association to continue hosting its annual Rally in the Valley motorcycle event in Maggie. The town has offered to keep the 2012 event schedule status quo while proposing that the 2013 schedule could be negotiated.

“Balls in their court,” said DeSimone, who spoke at a public meeting on the issue last Wednesday.

The association is expected to make a decision in the next month, and it’s unclear whether it will choose to stop holding the motorcycle rally in Maggie if it doesn’t get exclusive booking or it will continue as it has for 12 years.

There is still a chance that the association will move forward with the event again this coming year, DeSimone said.

“It’s not a done deal yet,” he said.

Discussions at a recent public meeting lasted no more than 20 minutes and focused mostly on whether dates could be retroactively changed should the association pull its event from Maggie’s roster.

However, one resident spoke up about his concern about losing any motorcycle events.

“I want to impress upon you how much money the motorcycles bring to this battle,” said Maggie resident James Carver, who owns Maggie Valley Restaurant. “Save those motorcycles.”

Maggie Valley boosts four motorcycling events each year: Rally in the Valley in the fall, RoadRUNNER Touring Weekend in the summer and Thunder in the Smokies’ fall and spring events.

Each event brings a crowd into the valley — people who will spend their money at Maggie’s shops and sleep in its hotels. And, like many Western North Carolina towns, much of Maggie Valley’s income is based around tourism.

By hosting large-scale events at its fairgrounds, Maggie aims to attract more visitors and money to the town. The loss of one event such as Rally in the Valley would further wound Maggie’s already hurting economy.

“It (Rally in the Valley) brings a lot of business to the town,” said Audrey Hager, Maggie’s festival director. “Also, it’s a big fundraiser for the chamber so that hurts as well.”

The town is still trying to figure out how much impact each event has on the local economy.

The Harley-Davidson Association, which runs Rally in the Valley, has complained that attendance and revenues are down, Hager said. The association has lost “substantial money” during the last few years, she said.

“They cannot sustain the losses they’ve had the last three years,” Hager said.

Without competition from other motorcycle events, the rally would likely see a rise in attendees and profits.

As for Thunder in the Smokies, Anthony admitted that the money generated from running such an event is not always great but said a big factor in attendance is the weather.

“If the weather is good, our crowd is good,” Anthony said. “When I say good, not great.”

Anthony said he did not know how much the events impacted Maggie.

“We don’t really know what the total is that we’re bringing to Maggie Valley,” Anthony said.

Neither event organizer has disclosed their attendance numbers to the town. The numbers would help quantify each event’s impact on Maggie.

Tug-of-war heats up over highway sign pointing to Cherokee

Counties and towns in the region are sparring over a highway sign that points the way to Cherokee, each hoping to capture a share of the 3.5 million annual visitors en route to the tribe’s casino by bringing that traffic past their own doorstep.

There are two routes to Cherokee — something any tourist could figure out using the Internet or an in-car GPS unit. However, only one route has a highway directional sign pointing the way to Cherokee, namely the route through Maggie Valley.

Jackson County officials are urging the North Carolina Department of Transportation to post a second highway sign letting travelers know they don’t have to get off the highway and head through Maggie but can continue on past Waynesville and Sylva to reach Cherokee as well.

Jackson sees itself as the big winner from such a sign but has appealed to Waynesville to join it in its request.

“We thought Waynesville might also be the beneficiary of that (sign),” said Jackson County Manager Chuck Wooten.

Currently, Cherokee-bound tourists coming off Interstate 40 are funneled toward Maggie on U.S. 19 just before they get to Waynesville.

Waynesville leaders discussed the issue at their town board meeting last week but postponed a decision until next year.

Neither Town Manager Lee Galloway nor Mayor Gavin Brown had spoken with officials in Maggie Valley about their take on the matter. However, at least one board member is against siding with Jackson County over Maggie Valley.

“I don’t feel like we should go against our own,” said board member Gary Caldwell.

As for Maggie Valley, officials said they had not heard about or had only heard tell of the possible signage.

Tim Barth, Maggie Valley’s town manager, said he was not aware that Jackson County had reached out to Waynesville looking for support. However, he said he would oppose such a sign.

“We would prefer that they come through Maggie Valley,” Barth said.

If the sign was erected, Maggie Valley would likely see fewer people driving down its main drag – which could further harm tourist businesses that are already struggling.

“Obviously, less people would be coming through the town then, and we depend on people coming through the town,” Barth said.

People traveling to Cherokee sometimes stop at restaurants or stores along the way, which is the main reason why Jackson County wants the sign — to cash in on some of those travelers’ checks.

“Our whole goal was to increase traffic (to the county),” Wooten said.

 

Which way?

For leaders in Cherokee and within the Eastern Band, having two routes to the reservation is about keeping customers happy.

“It’s important for our customers to have a choice,” said Robert Jumper, the tribe’s travel and tourism manager. “We want people to be able to come, in their most comfortable way, to Cherokee.”

If visitors are not happy with a particular route, they might not come back, said Jumper, who expressed support for the sign. He added that the additional route, which runs past Waynesville, would benefit both Haywood and Jackson counties.

When people call the Cherokee visitor center, they are directed through Maggie Valley or Jackson County based on their driving preferences.

Although vehicles traverse fewer road miles on the route through Maggie Valley, the low speed limits and a windy, two-lane road makes the scenic drive longer than expected, including a rather lengthy dead zone for cell phone users.

“The most direct route, of course, is through Maggie,” said Teresa Smith, head of the Maggie Valley Chamber of Commerce. “Obviously, it’s a straight shot (to Cherokee), and a majority of our businesses are on this main thoroughfare.”

However, the Great Smoky Mountain Expressway through Jackson County is generally the quickest route, a divided-highway with a faster flow of traffic, but drivers miss out on the views when going over Soco Gap in Maggie.

Jackson County has applied for a similar sign in the past, but nothing happened.

While the DOT has indicated that it would be possible to place a second sign near the existing one at Exit 103 on the by-pass, it is still unknown whether it will actually happen, Wooten said.

Hoping to sway the transportation department, the county has applied to others for support. Representatives from Cherokee and the Eastern Band of Cherokee Indians have signed their names to letters that indicate their support for the new sign.

“We feel that giving the motoring public an additional option of four-lane travel will provide better flow of traffic and enhance safety on both routes to Cherokee,” reads the letter signed by Jumper; Michell Hicks, principal chief of the Eastern Band; Jason Lambert, the tribe’s executive director of economic development; and Matthew Pegg, executive director of the Cherokee Chamber of Commerce.

The letter also states that the route through Jackson County provides drivers with a “direct, unimpeded” road to Cherokee.

A similar letter written by Jack Debnam, Chairman of the Jackson County commission, states that the expressway route offers an alternative that is easy for any type of vehicle to travel, during any type of weather.

Smith admitted that ice and snow have made the trip over Soco Gap hazardous on occasion but said that the road is nowhere near impassable.

“Vehicles have traveled it for years,” Smith said. “It’s not like it’s impossible. It’s not like it’s dangerous.”

Lynn Collins, executive director of the Haywood County Tourism Development Authority, declined to comment on the topic until she could meet with other members of the tourism board.

Haywood to cash in on landfill methane

An alternative energy project to convert methane landfill gas into electricity will cost Haywood County a little extra after a wrench was thrown into the plans.

The county will have to fork over an additional $45,000 and bring in a new contractor to finish the job after the original company hired to do the work was unable to complete it.

In 2010, Haywood County embarked on a three-phase $1.2 million project to use methane gas emanating from the old Francis Farm Landfill near Waynesville.

KSD Enterprise was contracted in September 2011 to build a generator and its associated parts to convert the gas into electricity, which would then be sold on the power grid. However, it became evident that the company had not factored an integral part of the project — a system to actually connect the generator with the utility lines — into its bid and did not plan to supply it. Without it, the heating system would not work.

KSD Enterprise was the sole bidder on the contract and agreed to complete the job for about $45,600. Haywood County leaders were pleasantly surprised by the bid, which was lower than anticipated. As a result of a low bid to start with, the project will still come in below budget even with the extra cost for the missing component.

“They (KSD) are really the only provider who could meet our timeline,” said Mark Cathey, senior project manager with McGill Associates, which is overseeing the venture.

Now, the county must shell out an additional $45,750 to another company to manufacture and install the interconnector. The Haywood County Board of Commissioners approved a contract for the missing link with the Wake Forest-based PowerSecure Inc. at its Monday meeting.

The commissioners reduced the scope of KSD Enterprises’ contract to exclude the interconnector.

The county contends the original contract with KSD Enterprises stipulated that they would provide the interconnector. It could press the company to make good on providing the component, but such action would mean costly delays.

“We do not have the time frame to do that,” Cathey said.

The county must complete the project by April 15 in order to receive a $1 million grant from the N.C. State Energy Office — thus the cost of a lawsuit would severely outweigh the benefits.

The county does not want to jeopardize a $1 million grant to haggle about $45,000, said David Francis, a Haywood County tax administrator and solid waste committee member.

With the $1 million in state funds, the county will need only to chip in the remaining $200,000.

When the county put the project out to bid, it received only one response. It was somewhat pigeonholed by the terms of the grant and the state utility commission’s restrictions on generator sizes. Otherwise, the county might have gotten a greater response, Cathey said.

 

Methane power

The county kicked off the more than yearlong alternative energy project with the drilling of 21 gas extraction wells. The wells direct and funnel the flow of the gas, which would otherwise drift horizontally in the ground before rising into the air.

Even without the considerable funding boost from the state, the county would have been required by the Environmental Protection Agency to somehow dissipate or otherwise use the gas. Methane, a byproduct of decomposing trash, is a volatile pollutant that contributes to global warming.

Once the project is complete, methane will power a generator to make electricity. The county plans to sell the power to Haywood Electric Membership Corporation, which serves 25,000 customers in the Haywood area.

The county still doesn’t know how much gas the now-closed landfill will actually produce and therefore, don’t know how much money they will make on the sale of the resulting electricity to HEMC.

“We probably won’t know for a year because the landfill is so wet,” Francis said. Once the land dries, it will release the methane more quickly, he said, adding that the county should be able to profit off of the gas for 15 years.

 

In other news

The Haywood County Board of Commissioners met for two hours Monday to discuss and approve a myriad of county business items. Among them are:

• The county commissioners approved a resolution allowing the Haywood County Sheriff’s Department to enter into mutual aid agreements with other town and county law enforcement agencies. The agreements will set guidelines for how and when these agencies will cross jurisdictional lines to fight crime.

• A public hearing regarding the revised Flood Hazard Development Ordinance, new flood maps and a flood insurance study at 5:30 p.m. Jan. 23 prior to the commissioner meeting.

• The county will hire three full-time night custodians, a cost of about $94,000, to clean the new county building, formerly the old Walmart.

• The Haywood County Animal Welfare Association will receive $32,000 during the coming year from the N.C. State Spay/Neuter Program. The association is a nonprofit that provides low or no-cost spay and neuter services for low-income pet owners.

• Haywood County will get $459,635 from selling the property occupied by Smoky Mountain Mental Health Center to the agency. The mental health agency had leased two buildings on 1.79 acres of county-owned land for years but will now purchase it.

Haywood has low infant mortality rate

Haywood County has a lower infant mortality rate than the state as a whole, according to a report given at last week’s county commission meeting.

The Haywood County Health Department updated the commissioners on the county’s child and infant deaths as well as the prevention work of its Child Fatality Prevention Team.

The county infant mortality rate is 3.4 percent, compared to the state’s rating of 7.9. The rate is calculated using the number of infant deaths and births in a given area.

Lisa Davis, head of the county’s fatality prevention team, said she believes collaborations between agencies with a similar goal — healthy births — are integral to decreasing the number of deaths.

“That collaboration is paramount to continuity of services to families,” she said.

Early prenatal care, the availability of Medicare to pregnant women, and the quality pediatric care also increase the likelihood that an infant will be healthy when it’s born.

Also possibly contributing to Haywood’s lower infant mortality, however, is that women with high risk pregnancies or complications detected in utero give birth at Mission Hospital in Asheville, which is equipped with the region’s only neo-natal intensive care unit.

To help avert such tragedies as infant and child death, the state mandated in 1995 that each county have a Child Fatality Prevention Team, which investigates the death of any child in the county and educates people on child safety. The team receives only $500 a year — enough to cover lunch during meetings for its 18 members.

“We see it as a community responsibility to prevent child fatalities,” said Lisa Davis, who has headed Haywood County’s prevention team for six years.

The team not only teaches parents to lay infants on their backs to sleep but also passes out flyers to students leaving Tuscola High School about avoiding cell phone use while driving.

New drivers are “inexperienced” and more likely to get into an accident, Davis said.

Research has shown that going over the speed limit and talking or texting on a cell phone while driving increases that likely of having an accident.

The information collected and recommendations made by these teams have resulted in a number of state safety laws including: penalties for landlords who don’t install smoke detectors in their rentals; the Child Bicycle Safety Act; and a statute making it illegal for anyone under 18 to drive while using their cell phone.

Information collected by individual counties gives the state health department a better understanding why children are dying and how deaths might be prevented.

A child is considered anyone under the age of 18.

The team reviews whatever records are available regarding a child’s death. All the information is confidential, and the team does not contact the deceased’s parents. Rather, they see if a government agency or health care provider could have done something more to stop the death.

“We try to look at the records to determine if there were any services or deficiency in services that might have prevented that child’s death,” Davis said.

Last year, the Child Fatality Prevention Team met three times to review the deaths of five children. Two adolescents died after sustaining injuries in car accidents; one infant died from a birth defect; and one child and one infant died due to an illness.

Davis said she is not aware of any child fatalities in Haywood County this year.

“We are so blessed,” she added.

 

Infant Mortality Rate by County in 2009

• Haywood County: 3.4 percent

• Jackson County: 8.9 percent

• Macon County: 8.6 percent

• Swain County: N/A

* Babies are not delivered at the Swain County Hospital.

 

Child Deaths by County in 2009

• Haywood County: 3

• Jackson County: 4

• Macon County: 0

• Swain County: 0

Chamber hopes to regain footing with new director

After several years without a full-time promoter, the Maggie Valley Chamber of Commerce plans to bring back an executive director to help the valley rebound from a recession fraught with business closures.

“We need that presence,” said Teresa Smith, president of the Maggie Valley Chamber of Commerce. “There has been a little bit of a loss with not having someone work there full-time.”

Four years ago, former chamber director Lynn Collins left to become the executive director of the Haywood County Tourism Development Authority. After her departure, the Maggie Valley chamber chose to save money by not hiring a replacement.

“We decided to try to act without an executive director to try to put some money in the bank,” Smith said.

Instead, Smith took on some of the directorial duties until the chamber finances turned around.

“We are operating now on a positive note,” Smith said.

The chamber will not have to foot the entire salary for the new director on its own, however. The Haywood County Tourism Development Authority last month approved a $15,000 allocation to the Maggie Valley Chamber of Commerce to cover part of the new director’s salary.

The committee charged with filling the director position has not yet decided on a salary for the position, said Jan Pressley, head of the search committee. The remainder of the salary cost will come out of the chamber’s general budget.

The Maggie Valley Chamber of Commerce has a $150,000 budget this year — a sharp decline from the $300,000 budget it had in 2007. The decrease is due in part to a drop in chamber membership among businesses.

This year, the chamber has about 170 members, down from 220 members five years ago. The decline in membership is due largely to the economy.

“A lot of the businesses have gone out of business,” said Jena Sowers, the visitor’s center manager for the Maggie Valley Chamber.

Restaurants, attractions and performance venues have closed their doors. And, of course, a large number of Realtors and contractors have left the housing trade, Sowers said.

“It was sad because when we would get the letters from them dropping out, they said if they ever go back in business they would rejoin,” Sowers said.

The loss of members made it difficult to afford the executive director salary — even though the recession was perhaps the time when the business community in Maggie needed a full-time leader the most.

The chamber has also been hurting from a loss of funding from the tourism authority, which it once relied on heavily.

The tourism authority subsidized basic operations and overhead of the chamber and visitor center to the tune of $64,000 a year, compared to only $29,000 a year now.

That number is inching back up with the recently-approved $15,000 earmark from the tourism authority to help cover the director’s salary. The funding will come out of a special pot of room tax dollars designated for tourism promotion in Maggie Valley.

 

The face of Maggie businesses

The chamber has received seven applications for the executive director position, and the search committee expects to hire someone in January.

The director will oversee marketing, the daily business of the visitor’s center, work with other entities, including town officials and the lodging association, and be present at various meetings.

Because she also runs the Maggie Valley Inn and Conference Center, Smith could only devote some of her time to the chamber whereas a full-time director can focus all of his or her energy on the job.

“I think the biggest obstacle that I had was being able to be in attendance at a lot of meetings,” Smith said. “I think that just having that presence out there … will be an advantage.”

Like many small towns in the U.S., Maggie Valley has battled business closures, high unemployment and low economic growth during the past several years.

Businesses closed, leaving fewer chamber members and less dues money, which in turn prevented the chamber from hiring a director to help fix those very issues.

The lack of a chamber director also forced the town to pick up some of the slack by hiring a festival coordinator to continue to bring events to Maggie Valley.

Chamber of Commerce members seem to agree that a full-time director could only help Maggie Valley.

“It can’t hurt,” said Dan Mitchell, owner of Laurel Park Inn.

During the past several years, with the closure of the amusement park Ghost Town in the Sky and Soco Gardens Zoo, Maggie Valley has “sort of died,” Mitchell said.

Laurel Park Inn usually closes during the winter but will remain open after a bad business year, he said.

It will take collaboration between business owners to revive Maggie Valley, Mitchell said.

“When you bring (a customer) in, you’re helping the valley,” he said.

Because her business Nutmeg Bakery is relatively new to the area, Brenda Schwartz said she is not sure what the chamber has done in the past but wants to see Maggie Valley expand beyond motorcycle rallies.

“I’d like to see more business development,” Schwartz said. “It needs to be a diverse group.”

Since October last year, at least nine new businesses moved to Maggie Valley. Four qualify as bars. But the new ventures also included a hair salon, an antique shop and grocery store.

Brenda O’Keefe, owner of Joey’s Pancake House, has seen several directors come and go during her business’ more than 40 years.

“I do think we need a director,” O’Keefe said. “I would want them to be out in the community.”

The director should be a regular face around town and in businesses, especially those that are currently struggling, and should hold marketing seminars for its members, she said. Maggie Valley businesses need to work on cultivating a repeat customer base — something that has helped her business through slow times.

“Give people what they want, and they will come,” she said.

The director should also reach out to businesses that are not chamber members, or rather possible future members, and paint a rosier picture of Maggie Valley’s future, O’Keefe said.

New 911 technology could save critical seconds in emergency dispatch

Emergency agencies throughout Haywood County expect to be clocking in quicker response times soon.

Fire, police and EMS divisions within the county will begin using a new Computer-Aided Dispatch and Mobile Data Information System this week, aimed at improving efficiency as well as interagency communication.

“It will reduce the response time a bit,” said Kristy Lanning, director of technology and communications for Haywood County.

Currently, dispatchers field incoming emergency calls and contact the appropriate responders — be it police, fire or an ambulance. With the new system, agencies will be able to access information about an emergency in real-time as the dispatcher inputs it.

The county will save money by funding the multijurisdictional project rather than purchasing a system for each emergency response agency.

The Haywood County Board of Commissioners heard an update on the project at their meeting Monday.

The $354,944 project is being paid for with designated Emergency Telephone System Funds, a small surcharge on monthly phone bills that is earmarked for county 9-1-1 systems. The cost was spread over two years and included software, hardware and some of the mobile equipment, which allows public safety officials to connect to the new system from their vehicles.

Individual agencies will pay for annual licensing, maintenance and upgrades to the system. A new administrator position has been created to oversee use and management of the new system.

It also uses GPS technology to locate the emergency responders who are nearest to a particular location.

“This is a huge step forward,” said Mark Swanger, chairman of the Haywood County Board of Commissioners.

The commissioners approved the project in April, and public safety officials have spent the subsequent months implementing the system and training employees how to use it.

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