DSS building sits empty after senior housing project falters
Hopes of turning the abandoned Haywood County social services building into low-income senior apartments have been dashed, leaving the county in a quandary over who else might want the building and what other uses it could have.
The county recently moved out of the massive, aging, five-story brick office building in Waynesville. The Department of Social Services had not only outgrown the building, but it was also deemed too dated and run-down to bother renovating.
A new life seemed to be in the cards for the building as a low-income senior apartment complex — but the $8.5-million project was contingent on lucrative tax credits to offset the expense of renovating the old office building. The county learned last week that the hoped-for tax credits have fallen through, and the project is off the table as a result.
Patsy Dowling, the director of the nonprofit Mountain Projects that was behind the plan, said the low-income housing is much needed in Haywood County. She said she is disappointed that the project was knocked out of the running for the tax credits.
“Our aging population is growing, and I thought it was a great thing to be proactive to meet the needs of the senior population in our community,” Dowling said.
County Commissioner Chairman Mark Swanger said the county is likewise disappointed — not only to fill a desperate need for low-income housing but because the county is left with a big, old building on its hands.
The tax credits for low-income housing projects are highly competitive. Only five to eight low-income housing projects in the mountain region will land the tax credits this year — out of more than 20 applications.
Mountain Projects withdrew its application for the old DSS building after realizing its score wasn’t high enough to make the cut. The other 26 applications it was up against all had perfect scores.
The downfall of the Haywood County project? It was too far from a grocery store or pharmacy — 0.7 miles instead of the required 0.5 miles.
“They are very strict about how close it is in proximity to major services,” said Dowling.
The old DSS office building was just short of the criteria, costing the project critical points on its application.
“It is not an equitable system,” Swanger said of the tax credit criteria. “It seems very arbitrary when you are looking at rural areas.”
Blueprints called for renovating the old DSS building into 54 apartments, with a mix of one- and two-bedrooms. The total project cost was $8.5 million, including cost of the property and construction.
The tax credits would have amounted to $6.7 million — dramatically lowering the total cost to just $2 million. Indeed, that’s what made the project feasible. The developer partnering with Mountain Projects to do the project would have a very small mortgage in the end, allowing them to charge lower rents.
“The project doesn’t work without the low-income credits,” said Hollis Fitch, president of Fitch Development, a low-income housing developer based in Charlotte.
Fitch works across the state and regularly taps the low-income housing tax credit pool.
“It is a competitive process,” Fitch said.
Fitch’s group had put more than $60,000 into the design and planning for the Haywood project, including blueprints.
After Fitch and Dowling realized they were up against 26 projects with perfect scores — leaving no hope of snagging one of the five to eight slots — Dowling withdrew the application to save on the $5,000 non-refundable application fee.
While Mountain Projects could theoretically apply again another year, Dowling doesn’t anticipate the competition will getting any easier.
With the building not getting any closer to a grocery store, it is hard to see how it would ever land the tax credits needed to pull off the project.
“The building is where it is. We can’t move it any closer,” Swanger said. “Unless there is a dramatic change in the way in the North Carolina Housing Authority ranks its points, the chances would be remote.”
Indeed, getting that criteria changed is the only hope of jump--starting the project at this point. Swanger said he plans to take the issue up with state legislators.
Going once, going twice?
For now, the 70,000-square-foot building is officially for sale, with a price tag in the neighborhood of $1.25 million.
That’s what the developer working with Mountain Projects was going to pay the county, Swanger said.
The central offices for Haywood County Schools are still located in the building but would move out if and when it sells.
Typically, the county would sell property to the highest bidder. But, it doesn’t necessarily have to. The county could opt to sell it for a lower price to a nonprofit entity if it would in some way serve the public interest, as was the case with the sale to Mountain Projects.
Likewise, the county does not want to sell it to someone who will simply park on it as an investment.
“There would be a due diligence on our part to make sure that it is to a responsible party who will not allow it to just deteriorate and become an eyesore or safety hazard,” Swanger said. “You also don’t want someone to buy it at a very low price just to flip it.”
Obviously, the price tag to buy the property would only be part of the necessary investment from a buyer. Almost any use would require renovations.
Of the $8.5 million projected estimated cost to pull off the low-income apartments, $5.3 million was for construction, Fitch said.
The building was originally constructed as a hospital. The layout — long hallways lined with dozens of tiny rooms — isn’t conducive to many uses without major renovations. Age isn’t exactly on its side either. Part dates to 1927 and the rest to the 1950s — a whopping 72,000 square feet in all.
And, the building isn’t in the best shape either. Its sheer antiquity aside, the county scraped by on its maintenance during the years, spending the bare minimum to keep the building from falling into disrepair — but no more.
Now that it is mostly empty, a county maintenance worker is making twice-daily rounds through the building to make sure there are no water leaks, broken windows, varmints or vandals. The county has kept the utilities on. It can’t shut off the water since the school system is still occupying the front portion of the building. The heat is also being kept on, albeit at a cool 48 degrees, to avoid building shock from wild temperature fluctuations.
“To let it deteriorate further is something we would like to avoid,” Swanger said.
In hindsight, the county hasn’t exactly been the best cheerleader for the building. County commissioners repeatedly talked up the building’s short-comings when debating whether to move out.
The county relocated DSS to a repurposed office complex inside the former Walmart.
Haywood County in the real estate business
The old DSS building isn’t the only former office complex Haywood County government is trying to unload. County Manager Marty Stamey joked that it seems like he has a part-time job as real estate agent these days.
After moving several county departments once spread out in three separate office buildings under one roof at the repurposed former Walmart strip mall, the county is now looking to sell the three office complexes.:
• Annex II (board of elections/planning department): $1 million
• Annex III (health department)/annex III: $1.5 million
• Board of elections/planning department/ annex II: $1 million
• Former DSS (old hospital): $1.25 million
The buildings known as annex II and III on the Old Asheville Highway were originally medical offices, but when the old hospital moved out of its former building, doctors likewise moved their practices closer to the new hospital.
County holds up approval of MedWest collateral
A $10 million line of County credit intended to bridge short-term cash flow problems at MedWest-Haywood hospital has hit a snag.
A loan taken out by the hospital offers up the hospital building as collateral but legally it needs approval from county commissioners to do so.
The MedWest board failed to seek necessary approval from the county before taking out the loan, however. The hospital had already signed on the dotted line and promptly begun spending some of the loan money before the oversight was realized, prompting the hospital to seek the county’s retroactive blessing.
But, county commissioners apparently have not been willing to rubber stamp the loan. The hospital came to the commissioners six weeks ago for their approval on using the hospital building as collateral.
Since then, county commissioners have held three private meetings, which were closed to the public, citing attorney-client privilege, to discuss the loan conundrum.
Formerly known as Haywood Regional Medical Center, the hospital has a clause in its deed that prevents any transfer of the property without county approval. In the unlikely case the hospital defaults on the loan, the lender could not in fact take the building, making the current loan documents partially invalid unless the commissioners give their blessing.
Commissioner Chairman Mark Swanger said commissioners are working with the hospital to come to a suitable arrangement that helps the hospital move forward but still safeguards the building in the event of a default.
“We generally have two goals,” Swanger said. “One is that there be a viable thriving hospital in Haywood County and the second is to protect the county’s interest in the property.”
Meanwhile, the Jackson County medical community has expressed dissatisfaction that their hospital in Sylva, which is part of the MedWest system, ended up on the list of collateral for the loan.
A shorter list, in fact, might be what didn’t get listed as collateral. In all, the loan documents list enough collateral to pay the $10 million many times over. Accounts receivables are at the top of the collateral list — essentially every payment coming into the hospital could be garnished to cover the loan, which in itself would be more than enough to cover the debt. Collateral also includes all the medical equipment in the hospital, as well as the MedWest Health and Fitness Center.
The actual hospital itself, along with the MedWest-Harris and MedWest-Swain hospitals, are far down the list.
So why even list them as collateral? It’s the nature of financing these days, with skittish lenders requiring everything but the kitchen sink, and in some cases even that, to secure a loan, according to Mike Poore, CEO of MedWest-Haywood.
MedWest-Haywood has spent $4 million of its $10 million loan so far. The hospital has no other debt. And that’s why Poore is confident the debate over whether the building is included as collateral is a largely a moot point.
“There are several dominoes,” Poore said, listing all the collateral that would be tapped first in the event of a default before the hospital itself would ever become an issue.
Even then, the loan would merely take the form of a lien against the hospital, as the hospital is worth far more than the $10 million loan.
Indeed, the debate over whether the hospital should have been used as collateral on the loan seems to be playing out more on a matter of principle.
“If we thought there was much chance of default we wouldn’t be doing this. We felt we would be in and out of this moment,” said John Young, vice president for Carolinas HealthCare’s western region.
In an unusual financing arrangement, Carolinas HealthCare System has agreed to act as a bank and put up the money from its own reserves for the loan to MedWest-Haywood. MedWest-Haywood is under a 15-year management contract with Carolinas HealthCare, a network of 32 hospitals under the flagship hospital of Carolinas Medical in Charlotte.
Despite the large number of hospitals under the wing of Carolina’s management, it has never stepped in to provide financial help for an affiliate hospital.
“It has never been done before,” said Young. “I don’t know we will ever do it again, but at the time, it was the right thing to do.”
Young said Carolinas made an exception given the circumstances. For starters, the Haywood hospital desperately needed the money to bridge a short-term cash flow crisis brought on by a perfect storm of financial hits.
MedWest-Haywood had to spend $1 million to replace a broken generator, $1.6 million on a wrongful firing lawsuit by group of emergency doctors and $8 million on a new computer system to handle electronic medical records.
The hospital will actually be paid back for part of the cost of electronic medical records system by the federal government in coming years, Poore said.
“These are what you would consider one-time expenses. We knew we would have to get some kind of financing to help us through,” Poore said.
The hospital also spent an undisclosed sum buying up private doctors’ practices during the past year. It didn’t have the budget to do so, but the practices were being courted by Mission Hospital in Asheville. MedWest-Haywood feared long-term repercussions of a patient drain if it didn’t make a competing offer.
While the hospital was in the black last year, its margin was so slim — around 1 percent — it didn’t have the cash flow to cover the unexpected one-time costs.
“It is not a symptom of the engine being dysfunctional in any way,” Young said. “We realized this liquidity issue would go away, so we decided to lend them the money to get through this moment.”
Smoothing out the wrinkles
Meanwhile, the newly formed MedWest allegiance — a merger of sorts of the hospitals in Haywood, Jackson and Swain under an umbrella organization — need help finding its footing.
“Coming together under MedWest was trying to happen in a very difficult time under a very difficult set of circumstances,” Young said, offering further explanation of why Carolinas stepped up to the plate financially.
The recession was taking its toll on hospitals everywhere, particularly smaller, rural hospitals. And here, the hospitals in Haywood and Jackson were facing tougher competition than ever from Mission Hospital in Asheville.
Meanwhile, the relationship with the Jackson County medical community toward MedWest was strained. A large number of doctors in Jackson County had come forward to express concerns about how their hospital was faring under the new MedWest entity.
Carolinas has been asked for help many times by cash-strapped hospitals operating on razor-thin margins. It’s a frequently asked question by smaller hospitals when weighing whether to join Carolinas’ umbrella.
“One of the things that usually comes up is would you be willing to put capital in. Our answer is always ‘no,’” Young said. “That is not our model. Our business model is to help local hospitals find economies of scale and have the expertise to be successful in a very difficult marketplace. It is hard to do it alone.”
Poore said the financial problem faced by MedWest-Haywood is partly inherited. The hospital couldn’t get a traditional loan from a lender.
The once deep-reserves of MedWest-Haywood were spent up during a faltering time four years ago when the hospital failed federal inspection, largely on technicalities, but the resulting decertification by Medicare, Medicaid and several major insurance carriers forced the hospital to essentially shut its doors for five months. Its reserves were depleted as a result.
“I wish it could have happened a different way,” Poore said of the need for the loan from Carolinas. “I wish we had all the credit in the world and everyone was knocking down our doors to give us credit.”
Poore sees the loan more like a line of credit, a very common financial tool used by corporations both large and small.
“The line of credit is helping us pay for a lot of one time expenditures we’ve incurred this year,” Poore said.
Poore said it wasn’t altogether clear initially whether they actually needed county commissioners to sign on the dotted line.
“At one point, we had 11 attorneys on the phone trying to put this deal together,” Young said. “It is unusual for one hospital to loan another hospital money.”
Poore pointed to the proactive steps MedWest-Haywood has taken during the past two years that will start paying off. It has employed doctors practices, has an outpatient surgery center under construction on its campus, has a new urgent care slated to open in Canton in the spring, and has recruited several new doctors, including a new urologist, cardiologist and neurologist just recently.
These days, it is all about fighting for market share against Mission, and that’s what Poore has been positioning Haywood to do.
“There is a demand, and if we can meet that demand, we can keep those patients here,” Poore said.
Principles aside, Waynesville looks to tap a piece of sweepstakes action through hefty fees
If you can’t beat ‘em, then you can at least benefit from ‘em.
Waynesville officials are considering joining the growing ranks of towns that impose fees on businesses that operate sweepstakes machines, a recent reincarnation of the previously outlawed video gambling.
“This board has always taken the position that one, these things are illegal; and two, we are not going to tax something that is illegal,” said Waynesville Town Manager Lee Galloway during a long-range town planning meeting last week.
The controversial machines have been through an “Are they? Are they not?” legal battle during the past few years as state legislators continue to try to outlaw sweepstakes machines and as proponents of the contraptions continue to find loopholes in the law.
“We’ve been back and forth on this a number of times,” Galloway said.
However, with no end in sight, Waynesville has decided to jump on the bandwagon. If they are going to exist anyway, why not benefit from them?
“There are folks out there that are going to find their way around (the law no matter what),” Galloway said.
At the same meeting, town leaders were grappling with where they would find money to build a skateboard park. During their talks about the sweepstakes machines, they realized they could kill two birds with one stone.
Aldermen decided to move forward with fees on sweepstakes machines to fund the skate park and other recreation initiatives.
“I think the idea of funding recreational activities would be appropriate,” said Alderman LeRoy Robinson.
The discussion led board members to another question: How much can the town charge?
Maggie Valley and Canton currently tax the sweepstakes machines in their respective towns. Both demand $2,500 for the first four machines and charge $750 for each subsequent machine. Maggie collects $8,250 a year, while Canton makes in nearly $32,000 each year. The town of Franklin makes $10,000 a year.
Galloway said that Waynesville will likely charge similar amounts. But, it could see higher benefits given the town’s larger size and potentially larger establishments.
A sweepstakes poker café opened on South Main in June 2010, and recently, two people have come into the police department asking for permits to start operations with as many as 40 to 60 machines — meaning that the new fee could be a boon for the town.
“According to Canton and Maggie Valley, they are standing in line to register machines,” said Bill Hollingsed, Waynesville’s chief of police.
No machine owners would be exempt from the new tax; no one will be grandfathered in. Waynesville will issue decals, which people can display on their sweepstakes machines, indicating that the device has undergone the proper inspection.
“They (machine owners) will not argue with that,” said Mayor Gavin Brown.
Future up in the air
While the fees could be a boon, it’s unclear just how long- or short-lived the fees could be. The sweepstakes machines could be outlawed, this time for good, once an appeal works its way through the state courts.
The General Assembly first banned video gambling in 2007. It didn’t take long before so-called “sweepstakes” cropped up as an alternative. Lawmakers viewed the sweepstakes as a reincarnation of video gambling under a different name, designed to circumvent the previous ban. So, the General Assembly went back to the drawing board and passed another ban in 2010 aimed at putting sweepstakes cafés out of business as well. But, lawsuits challenging the ban have allowed the games to continue.
“They found one judge in Greensboro, I think, who found one part of the law and said ‘Well, no, maybe this is not illegal,’” Galloway said.
The ambiguity, meanwhile, has left local law enforcement officers caught in the middle and confused about whether sweepstakes machines operating in their counties are illegal or not.
“The video poker law is unenforceable,” Hollingsed said. “It puts us in a bad position.”
Any gambling machine connected to the Internet is caught in limbo, and law enforcement officials cannot fine or arrest their owners without fear of being held in contempt themselves.
“It is very frustrating for us, I assure you,” Hollingsed said.
The only machines that are definitely illegal are stand-alone devices, including the Lucky Seven and Pot O’ Gold, which are not connected to the Internet.
“Those machines are clearly still illegal,” Hollingsed said.
Reading James Joyce proves an odyssey for this group
Reading Finnegans Wake on the best of days and in the easiest sections can challenge the most erudite of readers. The eight or so members of the James Joyce group certainly fall into that category. But this past weekend, meeting in a room at Sylva’s library, they found themselves flagging in a particularly dense thicket of Joysean obscurities.
“This one was good at manual arithmetic, for he knew from his cradle why his fingers were given him,” Barbara Bates Smith, a Haywood County resident, recited aloud. “He had names for this 10 fingers: first there came book, then wigworms, then tittlies, then cheekadeekchimple, then pickpocket, with pickpocketpumb, pickpocketpoint, pickpocketprod, pickpocketpromise, and upwithem. And he had names for his four love-tried cardinals: (1) his element curdinal numen, (2) his enement curdinal marrying, (3) his epulent curdinal weisswach, and (4) his eminent curdinal Kay O’Kay.”
When she finished, everyone sat silent for a moment, bemused or stunned or both. Michael Lodico said, breaking the silence, “I think it’s all so obvious.” Everyone laughed and got down to business.
And that business is understanding and discussing Joyce, one of the most important writers of the 20th century. Joyce challenges, provokes and mystifies. The Irish poet and writer requires an endless amount of both reader patience and reader work to untangle the literary concoction (some might say mishmash) of stream of consciousness techniques, literary allusions and free-dream associations. Not to overlook, either, the profusion of puns this native Dubliner loved to weave into his tapestry of words.
A frustrated reader and critic once described Finnegans Wake as “a 628-page collection of erudite gibberish indistinguishable to most people from the familiar word salad produced by hebephrenic patients on the back wards of any state hospital.”
Seven years on Ulysses
The James Joyce group meets for a couple hours at a time once each month, sometimes in Haywood and sometimes in Jackson counties. Members are from each of those communities. To describe the people involved as meticulous, well read and intelligent somehow falls short. They have spent about four years reading Finnegans Wake together. Saturday’s meeting began on page 282 of this more than 600-page book. The group labored happily for two hours, progressing through the middle of page 287.
Joyce, you see, isn’t a writer you rush: in his case, ripeness truly is all.
The group started reading Ulysses. That required a seven-year commitment. Ulysses is Joyce’s most important work, and stands as one of the most, if not the most, important modern novels of our time.
Jean Ellen Forrister, a retired English teacher from Jackson County, started with the group about when they began reading and studying Finnegans Wake.
She said she loves the complexities of Joyce’s work, “the weirdness,” and finds untangling his writing akin to solving a complicated crossword puzzle.
“You get it to fit all together, and there’s that sort of ah-ha moment,” Forrister said, adding that reading and studying Joyce keeps a person learning and living.
In one section of Finnegans Wake irrational numbers played a role. Forrister soon found herself researching irrational numbers — which is a real number that cannot be written as a simple fraction — and entering into discussions about them with a friend who is a math teacher.
Reading Joyce can take a person down unlikely avenues indeed.
You don’t want to walk unprepared into a James Joyce group meeting, though member Karl Nicholas, who retired from the English department at Western Carolina University, apologized for doing just that. He had just returned to Sylva from attending an event honoring the poet Robert Burns, and had been sidetracked the previous evening buying tickets for an upcoming trip overseas.
Members of the group usually prepare for meetings by reading the text, and they cross-study using A Skeleton Key to Finnegans Wake by mythologist Joseph Campbell and Henry Morton Robinson, and Annotations to Finnegans Wake by Roland McHugh.
They also rely on knowledge and skills that members individually bring into the group. Nicholas attended Catholic school, so he helps with the Catholic references, Forrister said. Nicholas and Lodico both can aid others when there are Latin difficulties. Nan Watkins can untangle knotty musical references, and so on and so on. Talk to them individually and each demurs from special knowledge or contributions, of course: “The others are scholars; my contributions are ones of support and enthusiasm. I get by,” Bates Smith said modestly.
After Bates Smith’s rendering of the “he had names for this 10 fingers,” Forrister said,
“Here’s my question. OK, in this counting system that he has, is this something unique to the kids, some little weird thing a kid made up, or is this a tradition?”
An involved discussion about counting commenced. Counting in other lands, hand symbols for numbers used in the streets of other lands, cultural mistakes that can occur when people ill advisedly use their land’s hand signals in other people’s lands.
“The French of course include the toes when they are counting,” Sandy McKinney said, offering the fact as something well known by most people.
“We’re getting the trees, but what is the forest?” Dr. Steve Wall, a pediatrician, said finally as the conversation on counting wended onward. “What is this book about? We know naught.”
The next meeting of the James Joyce group takes place at 9:15 a.m. Saturday, March 24, at Blue Ridge Books in Waynesville.
Art gets an A+ at Central Elementary
The fourth- and fifth-grade students at Central Elementary School in Waynesville were recently treated to some time-travel art thanks to Professor Mark A. Menendez (a.k.a. artist/instructor Mark Menendez), who traveled back in time to visit Leonardo da Vinci and bring back the secrets of the master’s Mona Lisa to share with the students.
Menendez skillfully weaves a little entertainment, hands-on, story telling and professional art instruction to give the students a taste of art and art history by employing and demonstrating the same techniques and processes da Vinci used to create his masterpieces.
Menendez grabs the attention of his 21st Century students by starting the program with a video showing him launching his Time Carriage and charging through a time portal to meet personally with the fabled da Vinci. Then he begins explaining the secrets he brought back with him.
In da Vinci’s day, artists didn’t have canvases to paint on. They painted on wood. But they couldn’t paint directly on the wood, because it would absorb the paint. The wood had to be covered with “gesso” a chalky white pigment that was mixed with glue, similar to plaster. But then one couldn’t draw on the gesso — so what next.
Menendez explained that da Vinci did a charcoal drawing of Mona Lisa, then in an interactive demonstration with one of the students showed how the drawing was transferred to the wooden “canvas.” The main lines of the drawing were pierced with small holes and the drawing was affixed to the gesso. Next the artist, or in this case a Central Elementary student, would take a cloth dusted with charcoal and “pounce” it (slap or bounce) over the drawing. Then Menendez would remove the drawing and there to the gasp and wonderment of students and some adults would be a beautiful outline of Mona Lisa. This entertaining and enlightening program lasts 45 minutes and goes into great detail about the techniques and tools of the period and about Mona Lisa – the painting and the person.
Menendez’s “Time for Art” program was coordinated through a matching grant between the Haywood County Arts Council and Central Elementary PTO.
“The Arts Council has a definite role to play in bringing art to our local schools,” said Kay Miller, executive director at Haywood County Arts Council. Miller said the Arts Council was helping bring about a dozen programs to students of all ages across the County, this year. She said the Council works with several long running programs like Voices in the Laurel, the Community Chorus and the Community Band and is always looking for other ways to partner with other schools and/or PTOs. Central PTO and the Arts Council partnered for two well received programs last year and have one more (a poetry residency featuring local poet Michael Beadle) scheduled for this March.
Mrs. Pitts’ fifth grade participated in the “Time for Art” program. She said it was a real treat for students to get to hear from experts in other fields.
“It’s great for them to be exposed to new ideas about the possibilities that are out there for them,” Pitts said.
Central Elementary Principal Anne Rogers called the program “awesome.”
“We love it anytime we can tap into outside resources that have educational value to share with our kids,” she said.
While Central is officially an A+ school — one that uses arts-integrated instruction including visual arts, music, drama, creative-writing etc. to enhance learning opportunities — Rogers notes that funding cuts make it hard to truly accomplish these goals.
“We are A+ in nature,” she said “and the teachers work to bring art into the class, creating lesson plans that incorporate art, science and music rather than simply talking about them.”
Menendez, a formally trained artist who lives in Andrews, teaches at several locations across the region including Mountain Home Collection in Waynesville. Menendez said that he learned at an early age, while taking art lessons, that he also had a passion for teaching art. Menendez has paintings in the Mission Nobre de Dios Museum in St. Augustine, Fla. plus many other private and corporate collections. He is also an accomplished book illustrator but he believes “Art should be accessible to everyone and needs to be encouraged in our school and in all walks of life.”
He has taught his “Time for Art Program” for students of all ages at venues like Cullowhee Valley Elementary, Andrews High School, Pisgah High School, John C. Campbell Folk School and many more. To learn more about Menendez and his programs visit www.timeforart.tv.
Competition scant so far in Haywood commissioner race
Two seats are up for election on the Haywood County Board of Commissioners this year, and both Mark Swanger and Kevin Ensley are looking to retain their seats.
Both incumbents seemed relatively unconcerned about this year’s election.
“I’m optimistic,” Swanger said.
While the candidate sign-up period just started this week and continues until the end of the month, Swanger and Ensley were the only ones who had declared they would run by press time Tuesday.
Ensley, 50, has been on the five-member board for eight years and is currently the only Republican on the board. Swanger, 61, has also served as a commissioner for eight years.
Both commissioners listed the board’s response to the recession and the privatization of its solid waste operations among the most important measures taken by the board during their recent terms.
“I feel like the board as a whole has had a good handle on reacting to the economy,” Ensley said. “My first term there was money and revenues coming in. This term … the decisions have been harder because of the economic downturn.”
The county is operating on less tax revenue and has found ways to function more efficiently, he said.
But it has cost jobs.
Early last year, the county cut jobs for the third year in a row to help offset a budget shortfall — eliminating five full-time positions and freezing four vacant posts.
There have been 50 county jobs cut in three years. In 2009, Haywood County employed 557 full-time staff members; it now employs 507.
“I think the most difficult decision that the board did was reduce the number of employees,” Swanger said. “I think our board has done a very good job navigating the economic recession.”
Ensley added that more cost cutting measures could be in Haywood County’s future.
Ensley cited a bill being considered by the state legislature that would allow counties to combine their health and social services departments as a way to trim costs, save on overhead and eliminate any redundant services.
“Now that we have those under one roof in Haywood County, we could realize several hundreds of thousands of dollars in savings,” Ensley said.
Swanger agreed that the board must continue to look for ways to provide necessary services at an economical rate and take proactive steps to combat shrinking budgets.
Last year, the county signed a contract to privatize its solid waste operations — which will save the county an estimated $800,000 a year.
In addition to cutting costs, the board earlier this year signed a long-term lease with Mountain Projects for the Mountain Area Resource Center, which will act as a one-stop site for seniors seeking various services.
“I am pretty happy with what we have been able to do with our senior services,” Ensley said, adding that he would like to continue to augment the county’s senior offerings and possibly allow elderly-focused nonprofits space in the MARC building.
Although Swanger said most of the board’s future goals are a continuation of past milestones, if re-elected, he plans to keep the tax rate from increasing and continue to work with the Economic Development Commission and Haywood Community College to create jobs in the county.
“I think jobs are real important now,” agreed Ensley, adding that he would look for grants to fund county water and sewer projects, which could create jobs.
For example, Canton expanded its sewer system on Champion Drive, which directly created jobs, and it could indirectly add jobs to the area as new businesses move in, Ensley said.
Tourists caught in the middle not amused by tit-for-tat Cherokee sign debate
Pity the poor visitors trying to find their ways to Cherokee if the N.C. Department of Transportation heeds requests of local leaders in Haywood and Jackson counties when it comes to directional signs.
First, Jackson County wanted a “This way Cherokee” sign added in Haywood County that would bring visitors past their own doorstep en route to Cherokee rather than through Maggie Valley via U.S. 19.
More recently, in what smacks of tongue-in-cheek retaliation — though Maggie Valley officials might be perfectly serious, given that small town’s current economic woes — Haywood County sent an official request that the DOT install a sign along U.S. 441 in Dillsboro that would helpfully inform travelers from the Atlanta area they can actually reach Cherokee by coming back through Waynesville and Maggie Valley.
Amusing, perhaps, but here’s the time-travel differences for motorists: Dillsboro to Cherokee via U.S. 441 is 14 miles and takes fewer than 20 minutes. Dillsboro to Cherokee via Waynesville and Maggie Valley is 45 miles and takes about an hour.
Possible? Yes. Circuitous? Definitely.
“That’s crazy,” said John Marsh of Decatur, Ga., after listening to a CliffsNotes version of the now three-month old sign squabble. Marsh was in Dillsboro this past weekend with a friend on one of his frequent visits to this area.
“That probably seems funny to everybody to talk about, but it isn’t if you don’t know this area and how to get around. It’s confusing,” he said.
Theresa Brady, visiting the area for the first time from her home in northern Virginia, said she relies on GPS information and highway directional signs to guide her travels.
Brady was at the Huddle House in Dillsboro with friends. They’d stopped to eat on their way to Harrah’s Cherokee Casino.
“I don’t know what all that’s about, but it doesn’t make sense,” she said. “Signs should tell you the safest and fastest” route.
Her traveling companion, Jane Langley, agreed, saying she’d found navigating Western North Carolina difficult enough without the potential added burden of directional sign games.
“It sounds ridiculous,” Langley said.
Dillsboro reacts
Shop owners in Dillsboro seem sympathetic toward Maggie Valley’s economic struggle to survive following the latest round of death convulsions by the theme park Ghost Town in the Sky. Dillsboro experienced something similar when Great Smoky Mountain Railroad in 2008 moved its headquarters to Bryson City and cut train routes to the small town.
Interestingly or ironically or both, railroad owner Al Harper was heavily invested in the most recent failed attempt to revive Ghost Town. One could even say Harper broke the hearts of two small WNC towns.
Be that as it may, however, the Dillsboro shop owners didn’t particularly care for the potential confusion visitors to the region would experience if the DOT pandered to Haywood County and Maggie Valley’s for an alternative sign leading Cherokee travelers the long-way around.
“The whole thing sounds pretty silly,” said Travis Berning, a potter and co-owner of Tree House Pottery on Front Street in Dillsboro. “That’s kind of a long way around to go through Haywood — (the sign) needs to show the most direct route.”
That, however, is exactly the contention of Maggie Valley leaders when it comes to Jackson County’s request for a second sign on their turf. In Haywood, the route to Cherokee through Maggie is shorter than the one through Jackson County, prompting Maggie to rebuke Jackson’s sign request there.
But, Renae Spears, a Bryson City resident who has the Kitchen Shop on the main drag in Dillsboro, pointed out that the road to Cherokee through Maggie is curvy and narrow.
“Obviously, from Dillsboro to Cherokee it is four lanes, which is the quickest and safest way to get there,” Spears said. “And if I direct anyone to Cherokee, that’s exactly the way I send them.”
And while she was on the subject of which way to Cherokee, Spears added that when headed west from Asheville she prefers to use four-lane highway if going to the reservation. Not, she said, U.S. 19’s mainly two-lane route via Maggie Valley to Cherokee.
“It’s not as safe or direct,” Spears said in explanation.
This raging sign dispute started simply enough, when Jackson County governmental and tourism leader were reviewing state data and discovered the county’s visitation numbers were below par when compared with neighboring communities. That led to a flurry of activity intended to pump up those visitation stats.
Not surprisingly, Jackson County decided it needed a cut of the 3.5 million visitors who make their way to Harrah’s Cherokee Casino each year. The tribe supports Jackson County’s request.
Jackson County Manager Chuck Wooten said last week he was astounded that what seemed such a simple request had snowballed into a multi-town, multi-county, even regional dispute.
“I had no idea it would cause such a stir,” Wooten said.
Wooten added he’d recently told Waynesville Mayor Gavin Brown that if he had known about the ensuing uproar to come, he’d never have written to Waynesville Manager Lee Galloway asking for the town’s backing on a new directional sign. Wooten did not say, however, that the county would have backed one iota away from making the request directly to DOT.
Has Maggie found its heroine?
Longtime Maggie Valley resident Alaska Presley has seen it all when it comes to Ghost Town in the Sky’s ups and downs.
Presley, now 88, and her late husband Hugh met R.B. Coburn, founder of Ghost Town, more than 50 years ago when he walked into a hotel that the couple owned in Maggie Valley and told them about his plans. It was the beginning of Presley’s connection to and love for the amusement park, which has spanned nearly two-thirds of her life.
Now, Presley is putting her own personal wealth on the line to rescue the shuttered theme park, and hopefully bring back the missing lynchpin in the Maggie tourism trade.
SEE ALSO: Resurrecting a ghost town
Presley knows first hand how important Ghost Town was historically in driving tourist traffic in Maggie. Presley, along with her family, has owned and sold a number of Maggie businesses throughout the years, including Mountain Valley Lodge, Holiday Motel and a trout fishing operation.
Ghost Town enjoyed decades of prosperity after R.B. Colburn conceived of the idea more than half a century ago. As a result, the town of Maggie Valley grew up around it, a string of mom-and-pop motels, diners and shops catering to the 150,000 tourists that once streamed into Maggie to visit the park.
However, the park began a long and steady decline in the 1990s. It began to show its age around the edges and was not well-maintained. The attractions grew dated, yet Coburn failed to add new amenities to cater to the changing tastes of modern tourists.
Ghost Town’s eventual closure in 2002 dealt a major blow to Maggie Valley’s economy, which continued to decline.
When a group of investors appeared and reopened the park four years later, they were seen as saviors. Business owners and leaders were willingly to help in anyway that they could as long as it meant that Ghost Town, once a economic boon for the town, would return for good. Businesses provided supplies on credit, from electricians and plumbers making repairs to hard goods purchased from oil companies to building supply stores — all under the assumption Ghost Town was a good cause. Meanwhile, Maggie residents, including Presley, loaned money to the new owners in exchange for shares in the company.
However, the park fell into debt and filed for Chapter 11 bankruptcy in 2009. The park opened and closed several times as the owners struggled to get out of debt. But in the end, the park left a trail of $2.5 million in unpaid debt to small businesses and hundreds of thousands lost by helpful investors.
BB&T — which was owed $10 million by the new owners for the park’s purchase and later renovations — filed for foreclosure. Eighteen months later, the foreclosure was finalized, and Alaska Presley placed her bid to buy Ghost Town.
Resurrecting a ghost town: Alaska Presley hopes to revive Maggie Valley by reopening the once-popular Ghost Town amusement park
Tears gathered in Alaska Presley’s eyes as she moved one step closer to attaining a Maggie Valley icon that has remained close to her heart but out of her possession for more than 50 years.
Surrounded by supporters, former Ghost Town employees and her lawyer, Presley, a longtime Maggie Valley resident, listened as a foreclosure attorney dryly recited the property boundaries of Ghost Town in the Sky, a once-popular amusement park in Maggie Valley. Presley was one of about 20 people who attended the public auction of Ghost Town on Feb. 10 outside the Haywood County Courthouse.
She is the only person who bid on the property at auction, offered $2.5 million for the property and its equipment. Competing buyers can file an upset bid for 10 days. Presley is now counting down the days until Feb. 20 to see if anyone places a counterbid.
Presley, 88, hopes to leave a functioning and profitable Ghost Town as her legacy to Maggie Valley.
SEE ALSO: Has Maggie found its heroine?
“Maggie Valley has some of the best people in the world,” she said. “And without Ghost Town, they have been having a very, very hard time.”
When the amusement park finally went up for sale, Presley just had to buy it. She said that a forever closed and abandoned Ghost Town is her “greatest fear.”
“Maggie Valley needs it,” Presley said. “I’m most interested in getting it going for the prosperity of Haywood County.”
However, Maggie residents are no longer quick to pin their hopes on the reopening of an amusement park that has been a continual cause for disappointment during the past decade.
Driven by her heart
Acquiring Ghost Town has been a long process and restoring the amusement park to its original glory will be a struggle all its own, which is why Presley began renovating it months before the foreclosure was finalized.
“This is the third time I’ve tried to help bring it back,” she said.
The to-do list is phenomenal. The rides and mock Old West town are decades old and in continual need of repair and upkeep, let alone the neglect they’ve seen since the park shut down three years ago.
Presley has already started touching up the buildings, which are quick to show their wear given the beating they take from the elements on the high-elevation mountain top.
Although she has made a few strides, there is still a lot of work to do and not much time to complete it before June, when she hopes to open at least a portion of the park.
“It has taken so long (to foreclose),” Presley said. “It’s kind of up in the air how much I can get done before the season.”
But, she does have a plan. Presley’s top priority is getting the chair lift and the incline railway working again. Tourists can only reach the mountaintop amusement park by the riding one of the two contraptions up the steep slope — but they have been in a seemingly perpetual state of malfunction in recent years.
Visitors would park in a large lot at the bottom of the mountain and ride either the lift or railway up to the park’s entrance. Neither are currently operational.
She has already purchased the parts needed to repair the incline railway, but it will still be about five months before it’s fixed, she said.
She must also assess the condition of the rides, particularly the roller coaster and drop tower.
“What’s good I’ll keep; what’s good I’ll refurbish,” she said, adding that she has yet to have anyone evaluate them, and some may not be repairable.
In the past, rides did not receive the proper care and maintenance. They looked rundown and often broke down. When Ghost Town briefly reopened five years ago, the kiddy rides and Wild West Town were up and running, but the roller coaster and drop tower — which attracted a more adult crowd — failed to pass state inspections. Although the previous owners attempted to repair the coaster, it only opened temporarily before it was once again deemed a safety hazard.
Next to the rides and cosmetic improvements, one of the biggest projects associated with the renovation is a overhauling of its water system. The previous owners did not shut off the water to Ghost Town after it closed, subjecting the full pipes to the mountain freeze-and-thaw cycle. The already aging system is now likely in desperate need of repair.
“That will be one of the worst things to do,” Presley said.
If she can overcome those hurdles and open Ghost Town for part of the tourist season, Presley can start earning revenue and hopefully move the park toward self-sustainability.
Bittersweet turn of events
People are cautiously optimistic about Presley’s endeavor.
“Only an Alaska Presley could ever get Ghost Town to run again,” said Waynesville Mayor Gavin Brown said. “She is a very sharp lady; she sees value there. (But) In today’s market, in today’s world, I don’t see any value there.”
While people disagree about what, if anything, the amusement park is worth, Presley’s long history with Ghost Town and her wherewithal seem undisputable.
“If anybody can do it, she can do it,” said Teresa Smith, executive director of the Maggie Valley Chamber of Commerce. “I think she will definitely do the very best she can to get it up and running.”
Although the park has been closed for more than a year, the chamber still receives phone calls everyday asking if and when Ghost Town will reopen — an encouraging sign that if it is rebuilt, people will come.
“It encourages families to come here,” Smith said. “It would just be something else for people to do.”
But, the economy is still struggling, and gas prices continue to bounce up and down. Both are problems that have affected Ghost Town’s visitation numbers in the past and could influence its bottom line in the future as well.
“I think this go around those same worries are going to be there,” Smith said.
Town Alderman Phil Aldridge, who attended Friday’s event, said that residents are weary of anyone championing Ghost Town’s potential success after so many years of disappointments. Maggie Valley residents and business owners have had their hopes dashed before when investors promised to revive Ghost Town and bringing prosperity back to the valley.
But still, Aldridge leans toward the hopeful point of view.
Ghost Town was the “heartbeat” of Maggie Valley, he said. “It certainly can be again.”
When the amusement park profited, so did the town and county. In its heyday, 400,000 people visited Ghost Town each year, and families would pack into restaurants and motels along Maggie Valley’s main strip. Since the beginning of the recession and the park’s first closure in 2002, however, business in the valley has drastically declined.
Clock ticking
If Presley can’t open the park this season, it would cause “more damage,” she said. An open park means money to help cover upkeep and the employee payroll. It could also eventually mean more improvements — something already weighing on Presley’s mind.
“It needs to have some high-tech stuff,” she said, throwing out the idea of adding a zip line.
And, while some little boys still play cowboys and Indians, the Wild West theme has lost some of its luster now that the golden years of John Wayne and “Bonanza” are over.
“The western theme is passé now, and it needs the help,” Presley said. “The gun fights are good, but they are not enough.”
Although Presley was unable to provide more specifics regarding improvements, she estimated that the entire project will cost in excess of $11 million. And, she said she is not planning to take out any loans, adding that Ghost Town has had enough debt problems.
“Poor management and bad debts has plagued it for years,” Presley said. “A friend thought there was demons on that mountain; it has had such bad luck.”
So, for now, she will foot the bill herself.
“I have enough — to get started anyway,” Presley said. “I believe in paying as you go.”
Presley said she did not know how many employees she will need to reopen and operate the amusement park, but she has already hired Robert Bradley, a former gunfighter in the Wild West Town, to help with renovations and an armed guard to keep hoodlums off the property.
“It’s been vandalized pretty bad, but I got guards up there now, and I’ve got cameras all over the mountain,” Presley said.
Like Presley, Bradley has been around since Ghost Town beginnings.
“I started fallin’ off the roof in 1962,” he said, adding that Presley made him promise not to fall anymore now that he has passed 65.
Bradley, who has known Presley for most of his 67 years, is happy to help and anxious to get back to work as director of entertainment — his previously held title.
“I could probably put a show on next week,” Bradley said.
“Give us two hours,” chimed in Tim Gardner, a.k.a. Marshall Red Dawg.
While Ghost Town has been shut down, Bradley and some of the old band of entertainers from the Wild West Town have traveled around the U.S. doing shows. People are still interested in seeing their performances, he said.
What is Ghost Town worth?
During Friday’s foreclosure proceeding, Presley bid $2.5 million for Ghost Town. But, that is not what she will actually pay for the property.
The actual price tag is only $1.5 million, thanks to an interesting and non-traditional financing arrangement Presley struck to bail Ghost Town out of foreclosure.
When Ghost Town’s previous owners went bankrupt, BB&T was their biggest creditor — holding $10.5 million in debt.
BB&T chased Ghost Town into bankruptcy and to the doorstep of foreclosure. But for the past 18 months, it hasn’t pulled the trigger on foreclosure — likely because it knew that the beleaguered park would fetch nowhere near what the bank was owed. The idea that anyone would pay anything close to $10 million for the dilapidated and broken down amusement park is inconceivable.
“Who is going to pay $10 million for Ghost Town? Well, nobody is,” said Waynesville Mayor and lawyer Gavin Brown.
Instead of going forward with the foreclosure, BB&T sold its note to Presley for $1.5 million — a far cry less than the $10.5 million the bank is owed.
“What they (did) is just cut their losses and run,” Brown said.
When Presley purchased the note, she all but ensured that Ghost Town would be hers. Presley now owns BB&T’s entire $10.5 million note against Ghost Town — even though she only paid $1.5 million for control of the note. Someone would have to bid more than $10.5 million before they could top what she has in it.
The foreclosure is a mere formality, as was the $2.5 million Presley bid for the park. In essence, her $2.5 million bid will come back to her since she is the primary note holder.
So, not counting the court fees and related costs, how much did Presley pay for Ghost Town?
The simple answer is $1.5 million — the amount BB&T sold its note for, Presley said.
Other possible investors have until Feb. 20 to place an upset bid. However, John Doe cannot simply walk off the street and offer a few cents more than Presley’s current bid for Ghost Town. Upset bids must be at least 5 percent higher and bidders must put down a percentage of their bid up front.
As for the millions owed to private investors and small businesses by Ghost Town’s former owners? They won’t be seeing a dime.
The queen of local beekeepers
As the weather cooled this past weekend, Kathy Taylor’s bees were nowhere in sight; sheltering themselves within their manmade, wooden hives, the bees had calmed again after an unseasonably warm winter left them stirring.
This time of year, the queen bee lays her eggs and the worker and drone bees that surround her focus on keeping themselves, and more importantly their leader, alive. A Marxist society, the worker bees happily labor for the benefit of the queen. Without her, they would transform into swarms of anarchists.
This winter has been particularly trying for the insect, however, which usually cluster during the coldest months of the year. The mild temperatures have caused the bees to stir and eat up some of the honey they have stored.
“This is a bad thing for the bees,” said Taylor, president of the Haywood County Beekeepers Association. The association is a local chapter of the state beekeepers association.
As the stores dry up, the bees will die from hunger unless the beekeeper gives them sugar water or other sustenance.
And, if the plants bloom too early, they will not bloom later in the year for the bees, which look for buds to break open as they start a new season of honey making.
Production usually begins in the early spring, with the budding of plants and the rising of the sun. The sooner bees feel the warmth, the sooner they will begin that day’s work so beehives should face the sunrise.
“So if the sun rises in the east — and I reckon it still does — you want it to face east,” Taylor said.
People should also be considerate of their neighbors when they are looking for somewhere to settle their bees because the insect knows no bounds when it comes to searching for quality pollen.
“You can’t say that I live at 195, and you can’t leave here,” Taylor said.
While bees will travel about 100 yards in an adequately pollinated area, they can travel up to three miles hunting for their favorite plants or water — which is key, she said.
If the neighbor has a pool, make sure to keep a sufficient amount of water nearby the hive to prevent the bees from surrounding the pool. Along with pollen, a water source is critical to honey production.
Bee farmers should also strap down their hives somehow or fence them in to prevent predators from attacking them. This year, Taylor said she has seen more animals than usual daring to romp around homes forging for food, which for many could include her bees and their honey store.
“Think about it,” she said. “What did Winnie-the-Pooh love?”
The beekeeper must not be greedy and take all the honey either as it keeps honeybee alive during the winter.
“If we extract too much, then we take away from the bees,” Taylor said.
A swarm of combs
Standing just more than five feet tall, Taylor is the type of person who greets everyone, even complete strangers, with the phrase “Hello, precious.”
Her naturally nurturing personality has become quite handy during the past few years as she cares for and expands her beekeeping operations — which can be an arduous task.
Taylor backed into beekeeping after her husband retired in 2006.
“He said, ‘What are we going to do?’ and I said, ‘Let’s start an orchard,’” she said.
As she began, Taylor, owner of KT’s Orchard & Apiary Barn in Canton, saw the need to nurture bees alongside her fruit trees and bushes, but she didn’t know where to start. At the time, Haywood County did not offer beginner beekeeping classes so she traveled to Hendersonville.
Taylor began beekeeping in 2007 with two hives, which during the years expanded to 21 colonies housed at various locations near her Pigeon Ford Road home in Canton, in Beaver Dam, and in Buncombe and Jackson counties.
Several years later, in early 2010, Taylor helped charter the more than 75-member Haywood County Beekeepers Association.
The group holds school events, participates in local festivals and teaches beginner classes for burgeoning beekeepers.
Taylor suggested that any new or wannabe beekeepers take a beginning beekeeping course. The class teaches the basics of beekeeping and allows people to get acclimated to the bees and overcome any fears they might have.
“The bees know if you’re not calm,” she said. “That’s why beginner bee school is so important.”
And, any gardener or farmer has good reason to keep bees, she said, and bees have made a resurgence alongside the buy local movement as people realize that they need pollinators to help grow other products.
“Just think of the things you would not have without bees,” she said.
Bees cross-pollinate at least 30 percent of crops, including apples, berries, cucumbers and almonds, according to a report by the Natural Resources Defense Council.
The bees also teach the novice or less experienced grower about their favored plants.
“Dandelions, oh my goodness gracious,” Taylor said of the bees love for that particular weed.
Start your own hives
The Haywood County Beekeepers Association will host a two-day introductory course starting this Saturday. The class will run from 9 a.m. to 4 p.m. on Feb. 18 and 25 at the N.C. Cooperative Extension Service building.
Topics include equipment, selecting beehive locations and getting honeybees.
The cost is $35 per person, $45 per couple and free for students under 18. The fee includes a yearlong membership with the association.
828.456.3575
More bee buzz
The Smoky Mountain Beekeepers is another local organization that brings together beekeepers and offers starter classes for novices in Swain and Jackson counties. The association will host a course in beginner beekeeping from 8 a.m. to 4 p.m., April 14, in Bryson City. Robert Brewer, University of Georgia’s Apiculture Extension Coordinator, will lead the bee school. Brewer is a certified International Honey Judge and co-founder of the Young Harris Beekeeping Institute. Topics covered will include basic bee biology, how to get started in beekeeping, insect and disease control.
The pre-registration fee is $15 prior to April 1 and $20 thereafter or at the door. The course fee will cover the cost of lunch and reference materials.
828.586.5490.