VCEDA Board Approves $5.26 Million for Economic Development Projects in Three Counties

LEBANON, VA – SEPTEMBER 11, 2026 -- Loans totaling $5.26 million for economic development projects in three counties were approved by the Virginia Coalfield Economic Development Authority (VCEDA) board during a meeting, September 10 in Lebanon, VA.

VCEDA Executive Director/General Counsel Jonathan Belcher noted activity since the last board meeting has focused on lead generation efforts, outreach marketing events, seed capital projects and other applications, as well as assisting the Virginia Coalfields Expressway Authority.

“Manufacturing, information technology and seed capital (small business startups) are currently the most active sectors as far as active projects,” Belcher noted.

He added that on the marketing site, a new regional image booklet, as well as new sites and buildings brochures have been completed and that a lead generation campaign for the Intersection Business Park continues. A new site brochure, website landing page and ad for that location have been completed. He noted work is also underway to develop website landing pages for other sites in the region.

Belcher, who also serves as the executive director of the Virginia Coalfields Expressway Authority (CFX), gave an update on the authority’s work on the CFX project in Virginia. The presentation outlined the current project status and preliminary planning for the future. He also provided an update on a recent meeting with West Virginia transportation officials to discuss the project status in that state.

During Thursday’s meeting, loans approved were as follows:

• An up to $3 million loan to the Scott County Economic Development Authority (IDA) to be used to finance the purchase of equipment, machinery and tools to assist with an expansion announced last fall of VFP, Inc. at its Duffield, VA location;

• An up to $2.015 million loan to the Russell County Industrial Development Authority (IDA) to be used to finance the purchase of real estate for future economic development purposes in Russell County; and

• An up to $250,000 loan to the Wise County Industrial Development Authority (IDA) to be used to finance the purchase of approximately 9.015 acres of real estate known as the former J.J. Kelly school site in Wise, VA.

Changes to the VCEDA Seed Capital Matching Fund for FY2027 were approved which included requiring the completion of a business education component for all applicants. Awards under the updated program will be limited to 12 each in the fall and spring rounds of the program. The board also agreed to appropriate $240,000 from the VCEDA regional account to be used to fund the program in FY2027.

The board also agreed to approve a request from the Town of St. Paul Industrial Development Authority (IDA) to continue to forbear the monthly payments on the up to $1 million loan previously approved to the IDA for the Western Front Hotel project through January 2027 and to waive any accrued interest during the forbearance time period (September 14, 2024 to January 14, 2027).

Grant disbursement deadlines were extended for two projects including, a grant to the Town of Clintwood for the Jettie Baker Center, which was extended to May 21, 2027; and a grant to the Dickenson County Industrial Development Authority for Red Onion site development and infrastructure was extended to September 23, 2027.

In other business, the VCEDA board welcomed Vince Barnett back to the board as Virginia Economic Development Partnership’s representative on the board. He replaces Tim Stuller, who recently retired.

Lastly, a nominating committee comprised of the members of the executive committee was appointed to recommend a slate of officers for calendar year 2027 which will be presented to the full board for approval at the regular November or December board meeting.

About Virginia Coalfield Economic Development Authority and Southwest Virginia’s e-Region: The Virginia Coalfield Economic Development Authority, created by the Virginia General Assembly in 1988 to enhance and diversify the region’s economy and help create jobs, markets Southwest Virginia’s e-Region and its focus on electronic information technology, energy, education, emerging technologies, and entrepreneurship. VCEDA is a unique economic development organization that manages funds for economic development projects from a percentage of the coal and natural gas severance taxes paid by coal and natural gas companies that operate in the region. Located in southwestern Virginia, the region includes Buchanan, Dickenson, Lee, Russell, Scott, Tazewell, and Wise counties and the City of Norton. www.vceda.us or www.e-Region.org.

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PHOTO CAPTION: VCEDA Executive Director/General Counsel Jonathan Belcher, right, provides an update on VCEDA activities during a meeting of the board Thursday in Lebanon, VA.