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The Creek That Changed Its Name and Found Its Soul

 


The Creek That Changed Its Name and Found Its Soul: 5 Surprising Lessons from the Allegheny Frontier

In the rugged high-elevation terrain of Pocahontas County, West Virginia, the landscape functions as a palimpsest—a surface where the past is never truly erased, only layered over by the shifting priorities of the present. To a casual observer, Dougharts Creek is simply a cold-water stream winding through the Alleghenies at 2,500 feet. However, for the cultural cartographer, this waterway reveals itself as a longitudinal record of Appalachian transformation.

Dougharts Creek is a "deep-map" of American history. Its journey—from a site of harrowing frontier survival to a Gilded Age playground for the social elite—offers a rare glimpse into how geography dictates human destiny.

1. The Linguistic Drift: How a Name Traverses Cultures

The fluid identity of Dougharts Creek is a masterclass in how language adapts to terrain. In historical registers, the stream appears as Douthard’s, Douthat, and Douthat’s Creek. This variability is not a failure of record-keeping, but a testament to the "cultural layering" of the region.

The name’s root lies with Michael Daugherty, a native of Ireland who secured one of the first land patents in this valley from the Commonwealth of Virginia. As Scotch-Irish and German settlers permeated the Alleghenies, the name "Daugherty" underwent a distinct phonological shift. In the localized dialects of the frontier, vowel sounds were stretched and softened; these "clerical idiosyncrasies" eventually saw the name transcribed as "Douthard" in county deeds. By the late 19th century, the regional influence of the Douthat family further pulled the nomenclature toward its current form. These linguistic ripples remind us that a map is a living document, reflecting the merging identities of the pioneers who first claimed the soil.

2. The "Loudest Tone": The Brutal Reality of Pioneer Isolation

While modern visitors view the creek as a scene of serene beauty, the early 19th-century experience was defined by a level of environmental hostility that is difficult to fathom today. The story of the Herold family, who arrived around 1825, illustrates the crushing weight of mountain isolation.

Christopher Herold, a man of "pure German parentage" known for his "business sagacity" and prodigious memory despite being unable to read English, established a massive estate here. Yet, nature remained the ultimate arbiter. During a particularly savage winter, Christopher’s son Andrew was forced into the high mountains to keep cattle alive on "browse." While he was trapped by impenetrable snow, his brother Peter died at the homestead. Because the frozen landscape rendered travel impossible, a neighbor, James Gibson, Sr., was forced to scale a precipitous high point within hearing distance of the mountain party. Straining against the altitude and the wind, Gibson used "the loudest tone he could command" to shout the news of the death across the peaks.

"The funeral rites were performed under difficulties indescribable."

Andrew did not return until the spring thaws, emerging from the wilderness "emaciated and nearly unrecognizable." This level of disconnection reveals the landscape not as a managed recreation area, but as a formidable adversary capable of silencing a family’s grief for an entire season.

3. The 50-Year Bridge: The Long Shadow of the Civil War

The Civil War left a scar on the Dougharts Creek corridor that took half a century to heal. As a contested borderland, Pocahontas County suffered "devastating results" that were both economic and physical. The most poignant symbol of this era was the bridge across Knapps Creek near Minnehaha Springs.

Destroyed during the conflict, the bridge was not rebuilt until 1910. For fifty years, the community lived with a literal and symbolic gap in their infrastructure. To move goods or visit neighbors, one had to contend with the temperamental waters of the creek, which could turn from a trickle to a torrent in a single afternoon. This "50-year gap" highlights the profound exhaustion of the region; the pre-war "milling era" had been a time of steady growth, but the post-war reality was defined by "years of toil and hardship" as families struggled to replenish livestock and grain supplies seized by passing armies.

4. Yellowstone in the Alleghenies: Wild Experiments of the Resort Era

As the timber industry's "Floating Era" began to wane, the community pivoted toward a new identity: Minnehaha Springs. This era capitalized on the limestone springs feeding the creek—pure, constant-temperature waters that became the foundation for medicinal tourism.

The centerpiece of this transformation was the Allegheny Club, completed in 1915 on the brow of a hill overlooking the strategic confluence where Dougharts Creek meets the valleys of Cochrans and Laurel Creeks. In a startling experiment in wildlife conservation and exotic sport, the club’s private park featured:

  • Elk imported directly from Yellowstone National Park.
  • Chinese and Austrian pheasants introduced for high-end sport.
  • Native wild deer protected within the sanctuary of the club grounds.

The social atmosphere moved from the rough-and-tumble logging camps to a world where guests were "dressed to the nines." In a striking contrast to the desperate shouts of James Gibson a century prior, the valley now echoed with the music of midnight dances where "Lady Baltimore cake" was served to the social elite.

5. From Sawdust to Sanctuary: The Great Economic Pivot

Today, Dougharts Creek has transitioned from a site of intense industrial extraction to one of high-value conservation. Historically, the creek was an engine of production; "up-and-down" sawmills harnessed the water to process massive white pine stands, allowing settlers to replace their log cabins with "choice pines" and frame houses. This era of branding the landscape reached its peak with the establishment of the "Driscol" post office in 1890, named after Colonel John Driscol, a titan of the timber industry whose name literally became the town's identity during the extraction boom.

That era of sawdust has been replaced by a modern valuation of "privacy and solitude." As the timber was depleted, the land was rebranded once more—this time as "secluded recreational tracts" bordering the Monongahela National Forest. The economic output is no longer the "freshets" of logs floating downstream to Ronceverte, but the preservation of environmental purity. The shift from an industrial corridor to a sanctuary for native trout and bear hunters highlights a broader Appalachian trend: the realization that the region’s most valuable asset is its unspoiled wilderness.

Conclusion: The Enduring Meridian

Dougharts Creek remains a "hospitality place," even though the grand hotels of the early 20th century have largely vanished to fire and time. It stands as a testament to the resilience of the Allegheny frontier, having functioned as a land-survey meridian, an industrial engine, and a high-society retreat.

As we look at the quiet waters of the creek today, we are reminded that our own landscapes are undergoing similar, invisible transformations. The names we use and the way we value the land are merely the current chapter in a narrative that vibrates around this fixed line of water. It invites us to honor the "goodly heritage" of those who endured the "difficulties indescribable," and to ask ourselves: what legacy are we currently carving into the maps of tomorrow?

The Hydro-Social History and Evolution of Dougharts Creek

Executive Summary

Dougharts Creek, located in Pocahontas County, West Virginia, serves as a longitudinal record of Appalachian transformation, evolving from a mid-eighteenth-century frontier to an industrial timber hub, and eventually into a high-value recreational and conservation corridor. Historically known by various names—including Douthat, Douthard’s, and Daugherty’s Creek—this waterway is a vital component of the Greenbrier River watershed.

The region’s history is defined by three distinct eras:

  1. The Pioneer and Settlement Era (Mid-18th Century – 1860): Characterized by Scotch-Irish and German migration, large land patents, and the establishment of self-sufficient agricultural and water-powered milling operations.
  2. The Industrial and Extractive Era (1870 – early 1900s): Defined by large-scale timber harvesting, the "floating" of logs to Ronceverte, and the influence of lumber magnates like Colonel John Driscol.
  3. The Resort and Conservation Era (1912 – Present): Marked by the rebranding of the community to Minnehaha Springs, the rise of "Springs" resort culture (symbolized by the Allegheny Club), and a modern shift toward recreational land use and environmental stewardship within the Monongahela National Forest.

Despite the destruction of the landmark Allegheny Lodge in 1983 and the decline of large-scale industry, the corridor remains a significant site of historical memory and environmental importance, maintaining its identity as a "hospitality place" defined by its rugged wilderness and high-quality cold-water springs.

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Geographical and Hydrographic Profile

Dougharts Creek is a high-elevation stream situated in the Allegheny Mountains at approximately 2,500 feet (705 to 762 meters). It serves as a collector for mountain streams, including Cochrans Creek and Laurel Creek, before joining Knapps Creek near Minnehaha Springs.

Environmental Characteristics

  • Climate: Classified as Cfb (temperate oceanic), featuring moderate temperatures and consistent year-round precipitation.
  • Flora: Historically dominated by white pine, hemlock, and massive hardwood stands.
  • Geology: The substrate is heavily influenced by limestone, resulting in numerous cold-water springs characterized by extreme purity and constant temperatures.
  • Spatial Significance: The creek has historically served as a central meridian for land surveys and mineral exploration.

Proximity to Key Industrial and Mineral Sites

The following table outlines the distance of the creek's central coordinates (38.16457, -79.98117) to various historical prospects:

Feature Name

Feature Type

Distance

Bearing

Beard Tract Prospect

Prospect

2.4 km

NNW

McLaughlin Tract Prospect

Prospect

4.3 km

NNW

Hal Moore Tract Prospect

Prospect

5.5 km

NE

Potluck Quarry

Quarry

6.9 km

SE

Grimes Tract Prospect

Prospect

6.9 km

WNW

Sampson Tract Prospect

Prospect

7.1 km

NE

Marlinton Quarry

Quarry

13.1 km

NW

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Etymological and Historical Nomenclature

The naming variations of the creek—Dougharts, Douthat, and Douthard’s—reflect the phonetic shifts of the Appalachian frontier.

  • Origins: The name is traced to Michael Daugherty, a native of Ireland and one of the first permanent settlers to secure a Virginia land patent in the valley.
  • Linguistic Transition: Scotch-Irish dialects eventually altered "Daugherty" to "Douthard" in official records.
  • Regional Influence: By the late 19th century, "Douthat" became common, likely due to the influence of the Douthat family in neighboring Virginia counties.

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Pre-Bellum Settlement and the Pioneer Experience

The settlement of Dougharts Creek involved Scotch-Irish and German populations moving west from the Shenandoah Valley. Pioneers were drawn by fertile valley land and abundant game, including bison, elk, and deer.

Foundational Land Patents

Early land ownership was dominated by figures who shaped the civil structure of Pocahontas County:

  • Michael Daugherty: Established the foundational boundaries of the community.
  • Colonel John Baxter: A land speculator who held thousands of acres and sold tracts to incoming German families to increase the land's productive value.
  • The Herold Family: Christopher Herold, a German immigrant who arrived around 1825, became a dominant economic force. Despite being unable to read English, his "business sagacity" allowed him to amass a vast estate.

Social Expansion: The Herold Family Settlements

The Herold family’s marriages linked the creek community to broader regional networks:

Child Name

Spouse

Settlement Location

Susan Herold

Philip Moyers

Upshur County, WV

Henry Herold

Elizabeth Lockridge

Driscol (Minnehaha Springs), WV

Benjamin Herold

Mary Boone

Driscol, WV (later Missouri)

Christopher Herold, Jr.

Sally Ann Hefner

Homestead on Douthards Creek

Josiah Herold

Mary Ann Cleek

Douthards Creek vicinity

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Industrialization: Timber and Milling

Between 1825 and 1860, the community prospered through the exploitation of timber and the use of water power for milling.

Technological Evolution

  • Water-Powered Mills: Early "up-and-down" sawmills allowed settlers to transition from log cabins to frame houses built of "choice pines." Notable operators included Robert Gay, Samuel W. Beard, and Christopher Herold.
  • Steam Power: The first steam-powered circular sawmill arrived in the county in 1854 via James Cain. After 1870, portable steam mills accelerated the deforestation of remote slopes.

The "Floating" Era and Colonel John Driscol

In the late 19th century, logs were skidded to the creek and floated during "freshets" (high water) to the Greenbrier River and onward to Ronceverte. This era was personified by Colonel John Driscol, a prominent lumberman. The community was officially named "Driscol" in 1890, serving as a trading point for logging camps.

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Conflict and Recovery: The Civil War

Pocahontas County served as a contested borderland, leaving the Dougharts Creek region vulnerable to military movement and resource seizure.

  • Regional Devastation: Families like the Herolds and Sharps saw livestock and grain supplies seized by both Confederate and Union scouting parties.
  • Infrastructure Loss: The bridge across Knapps Creek near Minnehaha Springs was destroyed during the war and was not rebuilt until 1910.
  • Economic Impact: The recovery required decades of "toil and hardship" to rebuild the community's agricultural and social foundations.

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The Resort Era: Minnehaha Springs

As timber resources depleted, the community transitioned to a recreational economy, rebranding from "Driscol" to "Minnehaha Springs."

The Improvement Company

Founded in 1912, the Minnehaha Springs Improvement Company built a bathing pool and a two-story hotel (completed 1914) to capitalize on the local medicinal springs. The resort offered swimming, horseback riding, and "recuperation."

The Allegheny Club (Allegheny Lodge)

Established in 1915 by the Allegheny Sportsmen’s Association and built by Winston Herold, this $20,000 facility became a high-society landmark.

  • Conservation Efforts: The club grounds hosted early wildlife experiments, including a herd of elk from Yellowstone National Park and imported Chinese and Austrian pheasants.
  • Cultural Significance: Famous for midnight dances and "Lady Baltimore" cakes, it served as a summer home for socialites like Colonel H.R. Wylie.
  • Demise: The Lodge was destroyed by fire on October 17, 1983, signaling the end of the grand resort era.

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Social Infrastructure: One-Room Schools

The social life of the creek centered on its one-room schools. These institutions provided both education and community gathering spaces. Notable educators included:

  • Miss Anna Wallace: Taught first grade; credited with starting the education of many local residents.
  • Miss Catherine Ervine: Known for her strict style and for holding evening classes in her home for students needing extra help in history and geography.

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Contemporary Land Use and Environmental Stewardship

Today, Dougharts Creek is primarily a site of consumption and conservation, heavily influenced by the Monongahela National Forest.

Recreational Real Estate Trends

Modern property values are driven by the creek’s appeal as a "secluded recreational tract" offering access to bear hunting, trout fishing, and hiking.

Property Address / Acreage

Recent Value

Features

Douthards Creek Rd (12.92 ac)

$59,000

Secluded recreational land

1123 Douthards Creek Rd (0.89 ac)

$235,000

3 Bed / 2 Bath residence (Sold 2025)

1444 Douthards Creek Rd (27.33 ac)

$269,000

Large residential tract (Estimated)

0 Douthards Creek Rd (18.00 ac)

Tax Basis

Fee Simple; Agricultural/Timber status

Environmental Monitoring

The West Virginia Department of Environmental Protection (DEP) monitors the creek for non-point source pollution, specifically sediment runoff from logging. As a primary tributary to Knapps Creek, maintaining its water quality is essential for the cold-water habitat required by native trout and for the municipal water supplies of downstream communities on the Greenbrier River.

 

Pioneers of the Allegheny: A Cultural Geography of Dougharts Creek

1. The Living Artery: Understanding Dougharts Creek

Dougharts Creek—documented in historical registers as Douthat, Douthard, or Douthat’s Creek—is far more than a simple hydrological feature of Pocahontas County, West Virginia; it serves as a "longitudinal record" of the region’s transformation. Geographically anchored at 38° 9' 52" N and 79° 58' 52" W, the stream sits at an elevation of approximately 2,500 feet within a temperate oceanic climate (Köppen classification Cfb). This environmental setting, characterized by consistent precipitation and a rich limestone substrate, produced the cold-water springs that would eventually define the region’s social and economic identity. The creek acts as a vital collector for mountain waters, including Cochrans Creek and Laurel Creek, before its confluence with Knapps Creek near Minnehaha Springs. This confluence represents a critical transition zone where rugged, timbered Allegheny slopes yield to fertile alluvial valleys.

The Evolution of a Name The shifting identity of the community is etched into the very name of the creek. Originally traced to Michael Daugherty, a native of Ireland and early patent holder, the name underwent a linguistic metamorphosis. Due to the phonological shifts of Scotch-Irish dialects—where vowel sounds were frequently altered—and the clerical whims of early record-keepers, "Daugherty" evolved into "Douthard" and "Douthat." The modern "Dougharts" preserves an older phonetic spelling, illustrating how cultural layering and local speech patterns can reshape a landscape's identity over time.

The specific geological allure of these limestone-filtered waters and fertile valleys eventually drew the first wave of human inhabitants determined to tame the trans-Allegheny wilderness.

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2. The Call of the Wilderness: Motivations for Settlement

In the mid-eighteenth century, a wave of Scotch-Irish and German pioneers migrated from the Shenandoah Valley, lured by the prospects of the frontier. For these settlers, the venture was a high-stakes gamble between a shimmering vision of abundance and the grueling physical requirements of mountain survival.

The Promise (Expectation)

The Reality (Environment)

Fertile Valley Land: The hope of securing vast, productive acreage for self-sufficiency.

Dense Hardwood Forests: Immense stands of white pine and hemlock requiring back-breaking labor to clear.

Abundance of Wildlife: A landscape "teeming" with uncounted herds of bison, elk, and deer.

Extreme Isolation: Rugged terrain that left settlers frequently cut off from the outside world.

Pristine Waters: Streams described as "alive with fish and aquatic birds" and pure cold springs.

Hostile Weather: Severe winters and difficult terrain that made movement and communication nearly impossible.

Driven by these motivations, a few foundational families stepped forward to secure the legal framework of the valley through the Virginia land patent system.

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3. The Foundational Families: Daugherty and Herold

The formal history of the creek is anchored by two distinct archetypes of the pioneer experience: Michael Daugherty and Christopher Herold. Daugherty, an Irish immigrant, established the initial community boundaries through early patents. However, the arrival of Christopher Herold in 1825 signaled a major shift toward a more permanent landed estate. Despite being of "pure German parentage" and unable to read English, Herold became the dominant economic force along the creek through three critical traits:

  • Business Sagacity: A keen natural instinct for commerce and land acquisition that allowed him to amass thousands of acres.
  • Surprising Powers of Memory: An intellectual resilience that compensated for his lack of formal literacy in the English language.
  • Strategic Expansion: The ability to leverage his large family to settle and control the headwaters of both Dougharts Creek and the nearby Elk River.

Though these families successfully claimed the land, they soon discovered that legal ownership was no protection against the unforgiving and often lethal elements of the Alleghenies.

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4. Survival in the Alleghenies: A Narrative of Hardship

The story of the Herold family during one particularly brutal winter serves as the definitive account of pioneer survival. When heavy snows threatened their livestock, Andrew Herold was forced to drive the cattle to a mountain "browsing" area. While he was isolated, his brother Peter died at the homestead. The environmental hostility was so absolute that no direct word could be sent; eventually, a neighbor had to climb a high peak and shout the news across the frozen valleys using "the loudest tone he could command."

The Pioneer Survival Toolkit

  1. "Browsing" Cattle: Driving livestock to specific mountain areas to forage on native vegetation when valley pastures were buried in snow.
  2. Acoustic Communication: Utilizing high geographical points for long-distance shouting when travel was physically impossible.
  3. Physical Resilience: The endurance to survive months of isolation on meager rations (Andrew returned in the spring emaciated and unrecognizable).
  4. Communal Funeral Rites: Performing burials under "difficulties indescribable" without the benefit of outside professional services.

Such extreme trials necessitated more than individual grit; they required the expansion of these families into a broader, more resilient network of kinship and community cooperation.

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5. Kinship and Community Architecture

The growth of Dougharts Creek was managed through a strategic "kinship web" of land transfers and marriages. Colonel John Baxter, a political leader holding thousands of acres, sold significant tracts to the Herolds to increase the region's productive value. This architecture was reinforced as the Herold children married into other local families, seeding the surrounding counties and even distant states with the community's influence.

Child of Christopher Herold

Spouse

Settlement Location

Susan Herold

Philip Moyers

Upshur County, WV

Jane Herold

Capt. John Buzzard

Huntersville, WV (later Missouri)

Elizabeth Ann Herold

Samuel Hogsett, Jr.

Harrison County, WV

Henry Herold

Elizabeth Lockridge

Driscol (Minnehaha Springs), WV

Peter Herold

Unmarried

Died young on Douthards Creek

Benjamin Herold

Mary Boone

Driscol, WV (later Missouri)

Christopher Herold, Jr.

Sally Ann Hefner

Homestead on Douthards Creek

Andrew Herold

Maria Seybert

Frost, WV

Josiah Herold

Mary Ann Cleek

Douthards Creek vicinity

These family networks provided the essential stability needed to transition the valley from a raw wilderness into a hub of local industry, milling, and education.

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6. From Production to Preservation: The Enduring Legacy

The mid-nineteenth century saw the valley transition into an industrial timber hub. Early "up-and-down" water-powered sawmills, like those operated by Robert Gay or Samuel Beard, eventually gave way to steam-powered circular mills introduced by James Cain in 1854. During high-water "freshets," massive harvests of white pine and hemlock were floated down the creek to the Greenbrier River and onto the milling complex at Ronceverte. This era was personified by the 1890 establishment of a post office named "Driscol," founded by Mr. McElwee to serve as a trading point for the local logging camps.

This prosperity faced a sudden and violent halt during the Civil War. As a contested borderland, the valley suffered the seizure of livestock and grain by passing armies, and the destruction of the Knapps Creek bridge, which was not rebuilt until 1910. After years of post-war toil, the community pivoted toward a "Springs" resort culture. Rebranded as Minnehaha Springs, the area became a destination for "recuperation and restoration." Winston Herold completed the $20,000 Allegheny Club in 1915, which once featured a herd of elk imported from Yellowstone.

Today, the landscape has shifted from extraction to conservation. Much of the land is now part of the Monongahela National Forest, where the "secluded recreational tracts" are prized for their privacy and trout-filled waters.

Key Takeaways for the Aspiring Learner

  • [ ] Resilience as a Constant: The community overcame both the environmental hostility of the Alleghenies and the "devastating results" of the Civil War.
  • [ ] Cultural Synthesis: The "Dougharts" identity is a blend of Irish and German heritage, reflected in the phonological evolution of local nomenclature.
  • [ ] Environmental Adaptation: The economy transitioned from subsistence "browsing" to water-powered milling, then to steam-powered extraction, and finally to modern conservation.
  • [ ] Industrial Evolution: The rise and fall of the "Driscol" era illustrates how the establishment of post offices and trading points followed the rhythms of the timber industry.
  • [ ] Kinship Matters: Strategic marriages and land deals were the "social glue" that allowed a scattered wilderness population to function as a unified, lasting community.

The Waters of Transformation: A Chronological History of Dougharts Creek, West Virginia

1. Introduction: The Creek as a Living Record

Dougharts Creek represents more than a mere hydrological feature winding through Pocahontas County; it is a longitudinal record of Appalachian transformation. Positioned at the critical transition zone where the rugged, timbered slopes of the Allegheny Mountains descend into the fertile alluvial valleys of the Knapps Creek corridor, this waterway has served as a central meridian for human ambition since the mid-eighteenth century. Its history is etched into the very karst topography that defines the region, where limestone-filtered springs served as a catalyst for both frontier survival and subsequent industrial exploitation.

Geographic and Hydrographic Profile

  • Coordinates: 38° 9' 52" N, 79° 58' 52" W
  • Elevation: 705 to 762 meters (approx. 2,500 feet)
  • Hydrography: A primary collector for Cochrans and Laurel Creeks; a critical cold-water tributary to Knapps Creek.
  • Geological Context: Situated within a landscape of significant mineral potential, including proximity to the Potluck Quarry and the iron ore prospects of the Beard and McLaughlin tracts.

The creek’s purity and constant temperature, derived from its deep-seated limestone substrate, initially drew surveyors and pioneers alike into the trans-Allegheny wilderness. For those arriving from the Shenandoah Valley, the basin offered a "goodly heritage" of resource-rich forests and fertile bottomlands.

2. The Frontier Era: Pioneers and the Perils of Isolation (Mid-18th Century – 1825)

The early history of the creek is marked by a distinct cultural layering, evidenced by the etymological evolution of its name. Originally settled by Michael Daugherty, a native of Ireland who secured an early patent from the Commonwealth of Virginia, the name shifted through "Douthard’s" and "Douthat" due to the phonological shifts of Scotch-Irish and German dialects and the clerical idiosyncrasies of frontier record-keeping. This "etymological layering" mirrors the blending of ethnic identities into a unified mountain community.

Life on the frontier was defined by extreme environmental hostility. While the forests were "alive with fish" and "teeming with bison," the mountains could also be a prison during the brutal winters of the early nineteenth century.

The Legend of the Browsing Party

During one particularly catastrophic winter, Andrew Herold was forced to drive his cattle into the high mountain reaches to "browse" on native vegetation to prevent their starvation. While Andrew was trapped by impassable snows, his brother, Peter Herold, died at the family homestead. Because the winter made travel between neighbors impossible, James Gibson, Sr. was forced to scale a high ridge and, using "the loudest tone he could command," shout across the valley to inform Andrew of the tragedy. Andrew did not return until the spring thaw, emaciated and nearly unrecognizable—a testament to the crushing isolation of the Allegheny frontier.

As the struggle for basic survival stabilized, the community transitioned from the perils of the wilderness toward the establishment of a formal civil society grounded in land ownership.

3. Pre-Bellum Growth: Land Patents and Early Industry (1825 – 1860)

By the 1820s, Dougharts Creek shifted from subsistence living toward a burgeoning domestic economy fueled by water power. The acquisition of large land patents—most notably from Colonel John Baxter to the Herold family—signaled the end of the pioneer era. This period saw the symbolic move from primitive log cabins to sophisticated frame houses built of "choice white pine." This transition was not merely architectural; it represented a shift toward social stability and the emergence of a landed mountain class.

Foundational Family

Key Figures

Primary Contributions

Baxter

Colonel John Baxter

Political leader and land speculator; facilitated the early patent transfers that populated the valley.

Herold

Christopher Herold

Of German parentage; accumulated an "immense landed estate" and established milling operations; secured regional influence through strategic intermarriages.

Lockridge

Lanty Lockridge

Established foundational boundaries in the lower valley; key figure in early agricultural development.

Cleek

Michael Cleek

Contributed to the early civil and agricultural structure; his descendants later intermarried with the Herolds to consolidate valley holdings.

This era of relative prosperity and community building was abruptly halted as the national crisis of the 1860s reached these remote mountain heights.

4. The Civil War: A Devastated Borderland (1861 – 1865)

The American Civil War transformed Dougharts Creek into a contested borderland. While spared from large-scale pitched battles, the community suffered the "devastating results" of constant military transit. Positioned between strategic Allegheny heights and valley supply hubs, the region became a target for both Union and Confederate scouting parties.

The long-term consequences of the conflict included:

  • Infrastructure Paralysis: The destruction of the Knapps Creek bridge at Minnehaha Springs in 1861 left the community without a reliable trade crossing until 1910, stifling economic growth for half a century.
  • Systemic Resource Depletion: Repeated seizures of livestock and grain from prominent families like the Herolds and Sharps stripped the valley of its accumulated capital.
  • The Struggle for Reconstruction: The community faced "years of toil" to rebuild the social and economic fabric of the pre-bellum era.

Ironically, the hardship of the post-war recovery paved the way for the arrival of outside capital, as the community's need for growth eventually facilitated the extractive legacy of the timber boom.

5. The Timber Boom: The Era of "Driscol" (1870 – 1910)

Following the war, the shift from "up-and-down" water mills to portable steam-powered circular sawmills signaled a technological revolution. This period was dominated by Colonel John Driscol, a lumberman whose influence was so pervasive that the community was renamed "Driscol" in 1890. This era highlights a thematic contradiction: the community’s identity became synonymous with the man responsible for the rapid deforestation of its namesake valley.

The timber transport sequence integrated the creek into a global market:

  1. Harvesting: Felling of virgin white pine and hemlock on steep slopes.
  2. Skidding: Logs were dragged to the banks of Dougharts Creek.
  3. Freshet Floating: Logs were launched during high-water "freshets."
  4. Confluence: Movement from Dougharts Creek to Knapps Creek and the Greenbrier River.
  5. Global Export: Logs reached the massive milling complex at Ronceverte, from which Pocahontas County timber was shipped worldwide.

By 1910, the depletion of the virgin forests necessitated a radical rebranding of the region’s identity, moving from extraction to recreation.

6. The Resort Era: Minnehaha Springs and the Allegheny Club (1912 – 1983)

The shift to a recreational economy saw the community rebranded as "Minnehaha Springs." Capitalizing on the constant temperature of the limestone springs, the Minnehaha Springs Improvement Company marketed the area as a site for "rest, recreation, recuperation, and restoration." The Allegheny Club, built in 1915 on the "brow of a hill" overlooking the confluence of the Douthards and Knapps Creek valleys, became the epicenter of this era.

Parallel to this high-society culture was the development of social infrastructure, specifically the one-room schoolhouses. Educators like Miss Anna Wallace, Miss Sally Cromwell, and the Ervine sisters (notably Catherine Ervine, who held evening classes in her home) provided the "strict but effective" intellectual foundation for the community, ensuring the social fabric remained intact as the economy shifted.

Early Conservation (Scientific/Sport)

High Society (Social/Leisure)

Importing Yellowstone elk to the Allegheny Club grounds.

Formal dances featuring orchestras and midnight "Lady Baltimore" cakes.

Introduction of Chinese and Austrian pheasants for sport.

Guests "dressed to the nines" for mountain retreats.

Preservation of wild deer populations within club boundaries.

The Allegheny Lodge as a summer home for the regional elite (e.g., Col. H. R. Wylie).

The destruction of the Allegheny Lodge by fire on October 17, 1983, served as the catalyst for the creek’s final transition toward modern conservation.

7. Modern Stewardship: Conservation and the National Forest (1983 – Present)

In the contemporary era, Dougharts Creek has moved from a site of production to one of conservation and consumption. The expansion of the Monongahela National Forest has reclassified the "commodity" of the valley: timber and ore have been replaced by the high market value of "solitude and unspoiled wilderness."

Current primary uses of the Dougharts Creek corridor include:

  • Environmental Monitoring: The West Virginia DEP monitors the creek for sediment runoff to protect the cold-water habitat necessary for native trout.
  • Public Land Access: The corridor provides a gateway to tens of thousands of acres for bear hunting and backcountry recreation.
  • High-Value Real Estate: Secluded tracts are marketed for their "privacy and solitude," with property values reflecting the demand for recreational sanctuary.
  • Watershed Protection: Maintenance of water quality for the downstream Greenbrier River municipal supply.

8. Conclusion: The Legacy of the Watershed

The history of Dougharts Creek is a narrative of resilience and adaptation. It is a microcosm of West Virginia itself—reflecting the transition from the struggle of the frontier to the scars of industrial extraction, and finally to a future of environmental stewardship. The communication methods have evolved from the desperate "shouting across valleys" of the Herold era to the precision of modern DEP water monitoring, yet the underlying motivation remains the same: the preservation of a "goodly heritage" within the Allegheny shadows.

The enduring spirit of the Allegheny frontier, forged by the pioneers of the 1750s, remains vital in the modern stewards of the 2020s who protect the towering hardwoods and pure limestone springs of this remarkable watershed.

 

Why a Local Waste Deal is a Legal Minefield

 


The $4 Million "Handshake": Why a Local Waste Deal is a Legal Minefield

1. Introduction: The Price of a "Done Deal"

In Pocahontas County, the clock is ticking toward a crisis. With the local landfill slated for closure, the Pocahontas County Solid Waste Authority (PCSWA) is under immense pressure to secure new waste infrastructure. But in the rush to solve a looming problem, the Authority has bypassed the law, entering into a Letter of Intent (LOI) with JacMal Properties, LLC that is a masterclass in regulatory noncompliance.

This is not just a technicality; it is a $4.1 million "handshake" that risks the financial stability of the county. While framed as an urgent necessity, a rigorous audit of the JacMal deal reveals a "textbook case" of how public business should not be conducted. By cutting corners on constitutional debt limits and competitive bidding, the PCSWA has constructed a legal minefield that threatens to trigger litigation, criminal sanctions, and the forfeiture of nearly $2 million in state funding.

2. The Unconstitutional Debt: A 15-Year Financial Trap

The most glaring legal failure of the JacMal LOI is its direct assault on Article X, Section 8 of the West Virginia Constitution. The deal proposes a 15-year triple net lease with monthly payments of $16,759.00, culminating in a mandatory purchase price of $1,103,495.24.

Under the "Spelsberg Standard" established by the West Virginia Supreme Court of Appeals, this is not a series of annual expenses—it is the illegal creation of "present indebtedness." To be constitutional, a multi-year deal must include a non-appropriation clause giving the county the absolute right to walk away at the end of any fiscal year. The JacMal LOI is dangerously silent on this. Instead, it locks taxpayers into a massive installment sale.

The $4.1 Million Breakdown:

  • Total Rental Payments: $3,016,620.00 (180 months at $16,759)
  • Mandatory Final Purchase: $1,103,495.24
  • Total Taxpayer Obligation: $4,120,115.24

By mandating a "must-buy" provision at the end of the term, the PCSWA has effectively signed a high-interest mortgage without the constitutionally required vote of the citizens.

"The mandatory purchase provision at the end of the 15-year term removes any remaining pretense of a 'true lease.' This 'must-buy' requirement ensures that the PCSWA is legally bound to acquire the assets, thereby solidifying the entire multi-million dollar commitment as an unconstitutional debt at its inception."

3. The "No-Bid" Problem: Bypassing the Fairness in Competitive Bidding Act

The PCSWA didn’t just overlook the West Virginia Fairness in Competitive Bidding Act (W. Va. Code § 5-22-1); they essentially hand-picked a winner before the starting gun even fired. By pre-selecting JacMal as the sole developer, the Authority has bypassed the requirement to award contracts to the "lowest qualified responsible bidder."

The investigative "smoking gun" lies in the technical specifications. The LOI sets hyper-specific standards—such as a "Grizzly brand" trash crane and precise steel structure dimensions—before any public solicitation occurred. "Locking-in" a specific brand of heavy machinery and a specific developer before asking for a price is a direct violation of the public’s right to a competitive market.

To justify this, the Authority cites the "emergency" of the landfill’s closure. However, West Virginia law reserves "emergency" status for unforeseen disasters, not "predictable planning" failures. The closure of a landfill is a scheduled event; using it as an excuse to dodge transparency is legally indefensible.

4. The Illegal Land Transfer and "Straw-Man" Ownership

The deal’s treatment of public assets is equally troubling. The PCSWA intends to transfer 2 to 3 acres of public land to JacMal through a negotiated private sale. This is a flat-out error of law. Under W. Va. Code § 7-3-3, the disposal of county property must be conducted via public auction or competitive bidding.

Furthermore, the LOI proposes a "straw-man" ownership strategy where the Authority keeps the land title while JacMal owns the structure to "reduce or eliminate" property taxes. This is a direct violation of the anti-evasion clause of W. Va. Code § 11-3-9(b).

Perhaps the most catastrophic "pocketbook" issue is the risk to state grants. The PCSWA currently holds $1.9 million in escrow for construction. State rules (SWMB Series 5) are clear: grant monies "cannot be passed on to a third party." Because JacMal would own the facility for 15 years, the PCSWA would likely be disqualified from using this $1.9 million, forcing local ratepayers to shoulder the entire $4.1 million burden themselves.

"No property is exempt from taxation which has been purchased or procured for the purpose of evading taxation... If the Authority retains title purely as a 'straw-man' owner to shield a private developer’s profit-generating asset, the property loses its exempt status."

5. The "Exclusivity" Clause: An Abdication of Fiduciary Duty

Section 6 of the LOI contains an "Exclusivity" clause that bars the PCSWA from even discussing other offers. This contractual blockade is a staggering abdication of fiduciary duty and a likely violation of the West Virginia Ethics Act. By granting JacMal a monopoly, the board has abandoned its duty to find the most economical solution for the county.

Furthermore, the LOI contains several provisions that are Void Ab Initio (invalid from the start) under W. Va. Code § 5A-3-62:

  • Prohibited Indemnity: The LOI forces the public (PCSWA) to be responsible for "intentional or accidental damage" to the structure or crane—shifting all risk from the private owner to the taxpayer.
  • Missing Cancellation Clause: State law mandates that every public contract allow for a 30-day "cancellation for convenience." This LOI attempts to lock the county in for 15 years.
  • Illegal Penalties: The agreement requires a $200,000 "penalty" payment if the project isn't built, which constitutes prohibited liquidated damages.

6. The Design-Build Oversight: Ignoring Professional Standards

Because the project combines design and construction, it is subject to the West Virginia Design-Build Procurement Act. The PCSWA has ignored every step of this mandatory framework.

Crucially, the Act requires the appointment of an "independent criteria developer"—a licensed architect or engineer—to set project standards. In this deal, JacMal (the developer) defined the performance criteria for themselves. This creates a massive conflict of interest where the fox is not only guarding the henhouse but designing its security system at the taxpayer's expense. Without State Design-Build Board approval, the project could be halted by the state at any time.

7. Conclusion: A Call for Transparency and Lawful Process

The JacMal Letter of Intent is not a viable path forward; it is a blueprint for legal and financial disaster. By proceeding, the PCSWA risks being labeled an "impaired authority," inviting state intervention and the loss of nearly $2 million in existing grant funds.

To protect Pocahontas County, the Authority must immediately abandon the current LOI and restart the process with a lawful, competitive bid or a state-approved Design-Build plan. Land must be sold via auction, and any lease must include the constitutional protection of annual fiscal discretion.

The residents of Pocahontas County deserve efficiency, but not at the cost of the mandatory protections of the public purse. The question remains: is the Solid Waste Authority more committed to a "done deal" with a private developer, or to the laws of the State of West Virginia?

--------------------------------------------------------------------------------------------------------------------

Legal and Regulatory Assessment of the JacMal Properties, LLC and Pocahontas County Solid Waste Authority Letter of Intent

Executive Summary

A rigorous legal analysis of the Letter of Intent (LOI) dated February 25, 2026, between JacMal Properties, LLC and the Pocahontas County Solid Waste Authority (PCSWA) reveals systemic noncompliance with the West Virginia Code and the West Virginia Constitution. The proposed "Transaction" for the development of a waste management transfer station is fundamentally flawed, attempting to bypass mandatory competitive bidding, circumvent constitutional debt limitations through an improperly structured lease-purchase arrangement, and violate statutory protocols for the disposal of public real property.

The project, as currently structured, creates an unconstitutional aggregate debt of over $4.1 million without a public vote or the necessary non-appropriation clauses. Furthermore, the pre-selection of JacMal as the sole developer violates the Fairness in Competitive Bidding Act and the Design-Build Procurement Act. Proceeding with this agreement in its current form exposes the PCSWA to significant litigation risk, potential criminal sanctions for officials, and the loss of state grant eligibility.

--------------------------------------------------------------------------------

I. Constitutional Debt Limitations and Fiscal Jurisprudence

The primary legal barrier to the LOI is its conflict with Article X, Section 8 of the West Virginia Constitution, which governs the creation of public debt by local fiscal bodies.

The Spelsberg Standard and Non-Appropriation

Under West Virginia law, a multi-year public contract is only constitutional if it contains a "non-appropriation" or "fiscal funding" clause. This clause must grant the public entity the absolute, non-binding right to terminate the agreement at the end of each fiscal year if funds are not appropriated for the next period.

  • Deficiency: The JacMal LOI lacks this clause, characterizing the 15-year term as a fixed obligation.
  • The "Must-Buy" Requirement: The agreement mandates a final purchase of the assets for $1,103,495.24. This "mandatory purchase" removes the pretense of a true lease, solidifying the commitment as an unconstitutional debt at its inception.

Disguised Installment Purchases

The proposal functions as a high-interest installment sale rather than a service-linked lease.

  • Monthly Rent: 16,759.00 over 180 months (3,016,620.00 total).
  • Final Purchase: $1,103,495.24.
  • Total Obligation: $4,120,115.24.
  • Legal Conflict: West Virginia jurisprudence (e.g., McGraw v. Caperton) requires lease-purchase agreements to be "open-end contracts" where the government is not obligated to complete a purchase. The JacMal LOI shifts all financial and structural risk to the public entity while denying it constitutional protections.

--------------------------------------------------------------------------------

II. Procurement and Competitive Bidding Violations

The project constitutes a major public improvement and construction project, triggering mandatory compliance with the West Virginia Fairness in Competitive Bidding Act (W. Va. Code § 5-22-1).

Pre-Selection and Lack of Competition

Public entities must solicit competitive bids for any construction project exceeding $50,000.

  • Bypass of Competition: The LOI identifies JacMal as the sole entity for design and construction before any public solicitation has been issued.
  • Technical Lock-in: The LOI specifies exact technical standards (e.g., a 60' \times 80' steel structure and a "Grizzly brand" trash crane) which prohibits the required "lowest qualified responsible bidder" process.
  • Exclusivity Clause: Section 6 of the LOI binds the PCSWA to ignore other potential bidders, violating its fiduciary duty to taxpayers.

Improper Emergency Justification

The LOI cites the "pressing need" caused by the closing of the Pocahontas County Landfill to justify expedited action.

  • Legal Standard: An "emergency" under W. Va. Code § 5-22-1 is restricted to unforeseen events like natural disasters.
  • Analysis: The planned closure of a landfill is a predictable event requiring long-term planning, not a legal emergency that justifies suspending bidding laws.

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III. Defects in Real Property Disposition

The transaction involves the transfer of approximately 2 to 3 acres of PCSWA-owned land and 6.83 acres of easements/rights-of-way to JacMal.

Auction and Bidding Mandates

Under W. Va. Code § 7-3-3(a), the disposal of public property must be conducted via public auction or competitive bidding.

  • Error of Law: The LOI proposes a negotiated private sale to a private LLC, which is not permitted.
  • Failed Exceptions: To sell to a private party without an auction, the price must be at least 75% of the appraised value, a Class II legal advertisement must be published for two weeks, and a 30-day waiting period must follow. The LOI’s exclusivity provision makes satisfying these "equal opportunity" requirements impossible.

Property Interest

Proposed Disposition

Statutory Requirement

Legal Status

2-3 Acre Parcel

Negotiated Private Sale

Public Auction/Competitive Bid

Noncompliant

6.83 Acre Easements

Part of Bundle

Fair/Adequate Consideration

Procedural Error

Structure Ownership

Private (JacMal) for 15 yrs

Bidding for public construction

Noncompliant

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IV. Design-Build Procurement Act Violations

Integrating design, construction, and financing into a "turnkey" package places the project under the West Virginia Design-Build Procurement Act (W. Va. Code § 5-22A-1 et seq.).

  1. Lack of Board Approval: A public agency cannot pursue design-build without explicit approval from the state Design-Build Board. The JacMal LOI makes no mention of this board.
  2. No Independent Criteria Developer: The law requires the selection of an independent licensed architect or engineer to define technical standards. In this proposal, JacMal is defining its own performance criteria, creating an inherent conflict of interest.
  3. Two-Step Process Failure: The Act requires an invitation for qualifications followed by proposals from 3-5 qualified firms. The PCSWA's pre-selection of JacMal bypasses this transparency.

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V. Taxation and Prohibited Contractual Clauses

"Straw-Man" Ownership and Tax Evasion

The LOI suggests the PCSWA might retain land ownership to "reduce or eliminate" real property tax assessments.

  • Anti-Evasion: W. Va. Code § 11-3-9(b) states no property is exempt if it was procured for the purpose of evading taxation.
  • Leasehold Interest: Even if the PCSWA holds the title, JacMal’s pro-profit leasehold interest in the facility would likely be separately taxable.

Prohibited Clauses under W. Va. Code § 5A-3-62

The "customary terms" mentioned in the LOI include several provisions that are void ab initio for West Virginia government entities:

  • Indemnification: The LOI shifts responsibility for accidental damage to the structure to the PCSWA. W. Va. Code § 5A-3-62(a)(1) prohibits public entities from indemnifying other entities.
  • Cancellation for Convenience: State-related contracts must allow the government to cancel for convenience with 30 days' notice. The LOI’s fixed 15-year term lacks this mandatory provision.
  • Liquidated Damages: The requirement to reimburse JacMal up to $200,000 if the project is not constructed is likely a prohibited penalty.

--------------------------------------------------------------------------------

VI. Ethics and Fiduciary Duty

Private Gain Prohibition

W. Va. Code § 6B-2-5(d) prohibits public officials from having a financial interest in a public contract. The PCSWA must ensure no board members or "associated businesses" have interests in JacMal. The Ethics Commission rarely grants exemptions for non-competitive, multi-million dollar deals.

Abdication of Duty

By agreeing to an exclusivity clause (Section 6), board members have effectively abdicated their duty to seek the most economical disposal solution for citizens. This may be viewed as using public office for the "private gain of another person" (JacMal) by securing a monopoly without a public bid.

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Conclusion and Strategic Findings

The Letter of Intent is not a viable blueprint for a lawful public-private partnership. Every material aspect—financing, land transfer, and procurement—violates established West Virginia law.

Key Risks of Proceeding:

  • Void Contract: The lack of a non-appropriation clause and the violation of the Bidding Act render the agreement void ab initio.
  • Funding Disqualification: Under SWMB rules, state grant monies cannot be passed to a third party or used for improvements on property not owned by the Authority. Because JacMal would own the station for 15 years, the PCSWA would lose eligibility for grants, placing the entire $4.1 million burden on local ratepayers.
  • Legal Action: Officials face potential civil and criminal penalties for violating procurement and debt laws.

Recommended Action: The PCSWA must abandon the current LOI. Future development must start with an approved siting plan, followed by competitive procurement adhering to the Fairness in Competitive Bidding Act or the Design-Build Procurement Act. Any land disposition must occur via public auction.

 

AI Methodology

 

Document Analysis and Legal Framework
 
I am beginning an analysis of the Letter of Intent between JacMal Properties and the Pocahontas County Solid Waste Authority. My initial review of the proposal reveals a complex structure involving a property sale, a private-sector design and construction project, a 15-year lease-back arrangement, and a mandatory buyback clause. I am synthesizing these components to determine if the deal structure aligns with West Virginia statutes governing public entities.
 
Identifying Regulatory Constraints
 
I am thinking through several potential legal friction points, specifically focusing on whether the proposed 15-year lease and mandatory purchase obligation constitute an illegal incurrence of public debt under the West Virginia Constitution. Additionally, I am investigating whether the project’s structure bypasses mandatory competitive bidding and public procurement laws, and if the exclusivity and indemnification clauses are enforceable for a public authority.
 
Next Steps in Legal Research
 
To move forward, I will examine West Virginia Code Section 22C-4 to define the specific powers of Solid Waste Authorities regarding property disposal and long-term financial commitments. I also plan to research state case law regarding 'lease-purchase' agreements to verify if the financial terms of this proposal require voter approval or specific statutory authorizations.
 
Public Procurement and Bidding Mandates
 
I am evaluating how the proposal’s construction terms intersect with West Virginia's competitive bidding requirements. While the agreement suggests a private developer will manage and build the facility, state law generally requires public entities to solicit competitive bids for any construction project exceeding $50,000. I am analyzing whether the proposed 'lease-back' structure—where the authority eventually owns the facility—functions as a legal workaround or a violation of the 'lowest qualified responsible bidder' mandate.
 
Debt Limitations and Mandatory Obligations
 
A significant insight involves the constitutional restrictions on long-term public debt. I am synthesizing state case law which indicates that for a lease to be valid without a public vote, it typically must include a non-binding cancellation or 'non-appropriation' clause. The current proposal, which includes a mandatory $1.1 million purchase requirement at the end of the term, appears to create a fixed financial obligation that may conflict with Article X of the West Virginia Constitution.
 
Authority Powers and Liability Risks
 
I am investigating the specific powers granted to Solid Waste Authorities under the state code regarding property acquisition and indemnity. The proposal requires the public authority to reimburse the private developer up to $200,000 if the project is cancelled, and grants the developer exclusive negotiation rights. I am thinking through whether a public agency has the legal capacity to waive competition or guarantee private expenses in this manner, as these terms may exceed the authority's statutory boundaries.
 
Reviewing Statutory Details
 
My next actions involve a deeper dive into the full text of the state’s government construction and waste management codes. I will specifically look for exemptions that might apply to public-private partnerships and examine the tax implications of private structures located on public land to ensure the proposed tax-avoidance strategy is legally sound.
 
Public Property Disposal and Transaction Conflicts
 
I am analyzing the legality of the proposed land transfer, noting a significant internal contradiction: the agreement implies the developer will acquire the land while simultaneously suggesting the public authority will maintain ownership to secure tax exemptions. I am synthesizing West Virginia statutes to determine if a Solid Waste Authority can legally sell public land to a private entity without a public auction or competitive process, as state laws typically require transparent bidding for the disposal of government assets.
 
Mandatory Debt and Constitutional Barriers
A critical insight from my research into state case law suggests that the mandatory $1.1 million buyback clause at the end of the 15-year lease may be legally untenable. While West Virginia allows certain lease-purchase agreements for 'necessary services' when they include non-binding cancellation or yearly non-appropriation clauses, a 'must-purchase' requirement creates a fixed, long-term debt. I am thinking through how this obligation likely bypasses the constitutional requirement for voter approval and the strict aggregate debt limits imposed on political subdivisions.
 
Indemnity and Private Reimbursement Limits
 
I am evaluating the $200,000 reimbursement clause, which obligates the public authority to cover private development costs if the project stalls. My analysis of the state's liability framework and 'Little Miller Act' principles indicates that public entities are generally restricted from using public funds to indemnify private contractors for their own pre-construction expenses. I am investigating whether this commitment constitutes an unauthorized expenditure of public funds or an illegal guarantee of private commercial risk.
 
Investigating Procurement Circumvention
 
My next phase of research focuses on whether this 'turnkey' arrangement qualifies as an illegal circumvention of the state’s construction laws. I will examine whether framing a $3 million construction project as a 'lease' allows the authority to bypass the requirement to award contracts to the lowest qualified responsible bidder. I am also looking for specific 'Public-Private Partnership' (P3) regulations that might either permit or strictly prohibit this type of negotiated deal without open competition.
 
Property Disposal and Bidding Requirements
I am synthesizing the statutory requirements for the disposal of public land, as the proposed sale of acreage to a private developer appears to bypass mandatory transparent bidding processes. Under the state's environmental and local government codes, a Solid Waste Authority's power to 'hold and dispose of property' is generally constrained by the requirement to seek fair market value through public auction or competitive solicitation. I am analyzing whether the private sale envisioned in this agreement constitutes an unauthorized transfer of public assets.
 
Turnkey Construction and Procurement Conflicts
 
A major insight involves the potential circumvention of the Fairness in Competitive Bidding Act. While the developer is tasked with designing and building the transfer station, state law mandates that every public construction project exceeding $50,000 must be awarded to the lowest qualified responsible bidder. I am thinking through the legal implications of a 'lease-back' model that attempts to reclassify a multimillion-dollar public works project as a private real estate transaction to avoid these rigorous procurement standards.
 
Fiscal Integrity and Mandatory Purchase Clauses
 
I am resolving a contradiction regarding the project's financial structure: the proposal mandates a final purchase of over $1.1 million, which functions as a fixed debt. State supreme court precedents indicate that while multi-year leases for essential services are permissible if they include 'non-binding' cancellation clauses, a mandatory obligation to buy property at a future date creates a present indebtedness. This likely violates constitutional debt limits and avoids the necessary voter approval required for such long-term financial commitments.
 
Analyzing Indemnity and Exclusivity Legality
 
I am investigating the $200,000 reimbursement guarantee and the exclusivity clause, which prevent the public authority from negotiating with other vendors. My synthesis of the state's liability framework suggests that public entities often lack the plenary power to indemnify private firms for their commercial risks or to waive the public's interest in open competition through exclusive dealing. I will now focus on identifying specific case law regarding the 'illegal gift' of public funds to determine if these financial guarantees are enforceable under state law.
 
Public Assets and Disposal Procedures
 
I am synthesizing the statutory limitations on how a Solid Waste Authority can alienate public land. While the proposal involves selling a portion of a public site to a private developer, my analysis of the state code suggests that such entities are public agencies subject to strict transparency requirements. I am thinking through whether the disposal of this real estate without a public auction or competitive process constitutes a noncompliant transfer of government property, as public officials generally lack the discretion to negotiate private land sales outside of established statutory frameworks.
 
Debt Ceiling and Mandatory Buybacks
 
A significant insight involves the legal distinction between a flexible lease and a 'mandatory purchase' obligation. In West Virginia, for a long-term financial commitment to bypass constitutional debt limits, it must typically include an annual non-appropriation clause that allows the public entity to walk away without penalty. I am analyzing the current agreement’s requirement for a $1.1 million final purchase, which appears to create an unconstitutional 'present indebtedness' by locking the authority into a multi-million dollar obligation without the required voter approval or fiscal safeguards.
 
Procurement Bypassing and Construction Laws
 
I am resolving the tension between the proposal's private 'design-build' approach and the state's Fairness in Competitive Bidding Act. Every public construction project over $50,000 is legally mandated to be awarded to the lowest qualified responsible bidder. I am evaluating whether structuring this project as a 'triple net lease' where the authority eventually assumes ownership is a legal maneuver to circumvent procurement laws, potentially rendering the entire contract void as an unauthorized attempt to bypass competitive markets for public works.
 
Analyzing Indemnity and Next Steps
 
I am investigating the legality of the $200,000 reimbursement clause, which functions as an indemnity for the developer’s pre-construction costs. My synthesis of state liability rules indicates that public entities are generally prohibited from using tax funds to guarantee private commercial risks or making 'gifts' of public money to private vendors. My next actions will focus on verifying if the 'triple net' structure improperly shifts government tax-exempt benefits to a private entity and identifying specific precedents that classify such reimbursement guarantees as illegal expenditures.


Error of Law--JacMal Private Sale

 

 


Comprehensive Legal and Regulatory Assessment of the JacMal Properties, LLC Letter of Intent for the Pocahontas County Solid Waste Authority Transfer Station Project

The proposed partnership between JacMal Properties, LLC and the Pocahontas County Solid Waste Authority (PCSWA), as delineated in the Letter of Intent dated February 25, 2026, presents an intricate framework for the development of a critical waste management infrastructure. However, a rigorous legal analysis of the "Transaction" and the "Project" reveals profound errors of law and systemic noncompliance with the West Virginia Code and the West Virginia Constitution.1 The current structure of the agreement attempts to bypass mandatory competitive bidding requirements, circumvents constitutional debt limitations through an improperly structured lease-purchase arrangement, and violates statutory protocols for the disposal of public real property. This report provides an exhaustive examination of these legal deficiencies, situated within the broader context of West Virginia’s rigorous standards for the expenditure of public funds and the management of municipal assets.

Constitutional Debt Limitations and the Jurisprudence of Public Obligations

The primary legal impediment to the execution of the Letter of Intent lies in its conflict with Article X, Section 8 of the West Virginia Constitution, which governs the creation of public debt by local fiscal bodies.2 The proposal establishes a 15-year triple net lease with a monthly rental rate of $16,759.00 and a mandatory purchase requirement at the term’s conclusion for $1,103,495.24.1 Under West Virginia law, this arrangement does not constitute a series of independent annual expenditures but rather creates a present, aggregate indebtedness for the entire 15-year term.2

 

The Spelsberg Standard and the Necessity of Non-Appropriation Clauses

West Virginia jurisprudence regarding multi-year public contracts is anchored in the distinction between "indebtedness" and "current expenses".2 The Supreme Court of Appeals has held that a municipal contract for services or property acquisition that extends beyond a single fiscal year is unconstitutional unless it contains a "non-appropriation" or "fiscal funding" clause.2 This clause must allow the public entity the absolute, non-binding right to terminate the agreement at the end of each fiscal year if the governing body fails to appropriate the necessary funds for the subsequent period.2

 

The Letter of Intent for the JacMal Project is conspicuously silent regarding such a clause.1 Instead, the agreement characterizes the 15-year term as a fixed obligation, even detailing specific exceptions to the triple net structure, such as JacMal’s responsibility for the trash crane and major structural repairs.1 Without a non-binding cancellation provision, the PCSWA is effectively pledging its future credit and taxing power to fulfill a long-term debt obligation, a maneuver that requires a vote of the citizens under Article X, Section 8.2 

 

Furthermore, the mandatory purchase provision at the end of the 15-year term removes any remaining pretense of a "true lease".1 This "must-buy" requirement ensures that the PCSWA is legally bound to acquire the assets, thereby solidifying the entire multi-million dollar commitment as an unconstitutional debt at its inception.3

 

Disguised Installment Purchases versus Service-Linked Leases

The West Virginia Supreme Court’s ruling in McGraw v. Caperton established that while the state may enter into lease-purchase agreements, these agreements must be structured as "open-end contracts" where the government is not obligated to procure any minimum orders or complete a purchase.5 The JacMal proposal, conversely, functions as a high-interest installment sale disguised as a lease.1

 

The total aggregate of monthly payments over 180 months equals $3,016,620.00, which, when added to the mandatory final purchase of $1,103,495.24, brings the total acquisition cost to $4,120,115.24.1

In contrast to valid lease revenue bond structures used by entities like the Morgantown Building Commission, where bonds are retired through periodic rents but with the risk of non-appropriation resting on the lender, the JacMal LOI shifts all financial and structural risk to the public entity while denying it the constitutional protection of annual fiscal discretion.2 The lack of a "non-binding cancellation clause" as defined in the Spelsberg decision is a fatal legal error that renders the proposed definitive agreement void ab initio under West Virginia Code § 5A-3-17.2


Financial Structure Element

Proposed Value / Term

Legal Requirement / Deficiency

Lease Term

15 Years

Requires annual non-appropriation clause 2

Monthly Rental Rate

$16,759.00

Must be tied to services actually rendered 2

Mandatory Final Purchase

$1,103,495.24

Constitutes unconstitutional present debt 2

Termination for Convenience

Not Included

Mandated by W. Va. Code § 5A-3-62(a)(15) 9

Total Aggregate Obligation

$4,120,115.24

Requires public vote if structured as debt 2

 

Procedural Noncompliance with the Fairness in Competitive Bidding Act

The Project described in the Letter of Intent constitutes a major public improvement and construction project.1 Under the West Virginia Fairness in Competitive Bidding Act, specifically W. Va. Code § 5-22-1, public entities are mandated to solicit competitive bids for every construction project with a total cost exceeding $50,000.10 The JacMal proposal represents a direct violation of this foundational principle of public procurement.

 

Pre-Selection and the Bypass of Competition

The Letter of Intent identifies JacMal as the sole entity responsible for the design, contracting, and construction of the transfer station.1 By executing this LOI and moving toward a "Definitive Purchase Agreement," the PCSWA is essentially awarding a construction contract for a facility it will eventually own (through the mandatory purchase) without any competitive process.1 Section 2(b) of the LOI even goes as far as specifying technical requirements—such as a $60' \times 80'$ steel structure, concrete ramps with grades not exceeding 10%, and a specific "Grizzly brand" trash crane—before any public solicitation has been issued.1

 

This pre-selection of a vendor and the "lock-in" of specific technical standards before the bidding phase is prohibited.11 W. Va. Code § 5-22-1(c) requires that the contract be awarded to the "lowest qualified responsible bidder" following a public advertisement.10 The JacMal arrangement attempts to circumvent this by framing the construction as "private" because JacMal initial pays the costs; however, because the public entity is contractually obligated to reimburse these costs through a 15-year lease and a million-dollar purchase, the law views this as a public construction project subject to mandatory bidding.10

 

Improper Use of "Sole Source" Rationale

The LOI alludes to the "pressing need" and "imposed timelines necessitated by the closing of the Pocahontas County Landfill" as a justification for expedited action.1 While W. Va. Code § 8-27-23 and § 5-22-1 allow for limited exceptions to bidding in cases of extreme emergency, these are narrowly defined.13 An "emergency" generally refers to unforeseen events like a natural disaster or an immediate threat to public safety.15 The planned closure of a landfill and the subsequent need for a transfer station is a predictable event that requires long-term planning, not an "emergency" that justifies the suspension of competitive bidding laws.15

 

Furthermore, any attempt to categorize JacMal as a "sole source" provider under W. Va. Code § 5A-3-10 would fail because there are numerous construction firms and waste management developers capable of building a standard steel-frame transfer station.17 The inclusion of an "exclusivity" clause in Section 6 of the LOI is particularly egregious, as it binds the Authority to ignore other potential bidders in direct contravention of its fiduciary duty to the taxpayers of Pocahontas County.1

 

Defects in Real Property Disposition and Asset Transfer

The Transaction contemplates the acquisition by JacMal of approximately 2 to 3 acres of real property currently owned by the PCSWA, along with easements and rights-of-way totaling 6.83 acres.1 The transfer of public land to a private entity is governed by strict statutory protocols under W. Va. Code § 7-3-3 and § 22C-4-23, which the Letter of Intent fails to observe.19

 

The Auction and Competitive Bidding Mandate for Land Sales


Under W. Va. Code § 7-3-3(a), the disposal of county or district property must be conducted via a public auction or through competitive bidding.19 The JacMal LOI proposes a private sale at a "purchase price agreed to by the Parties".1 This negotiated private sale of public land is an error of law. While Section 7-3-3(b) allows for transfers to other government agencies for public use without an auction, it does not permit a direct, non-competitive sale to a private LLC.19

 

Even if the PCSWA attempted to utilize the "private party sale" exception under § 7-3-3(e), it would be required to meet several stringent conditions that the LOI does not address:

  1. The purchase price must be at least 75 percent of the appraised value.19

  2. The Authority must publish a Class II legal advertisement for two consecutive weeks.19

  3. A minimum 30-day waiting period must follow the publication of formal offers on the Authority’s website.19

The LOI's exclusivity provision explicitly prohibits the Authority from soliciting other offers, thereby making it impossible to satisfy the "equal opportunity" requirements of the land disposal statutes.1

 

Rights-of-Way and Easements as Public Trust Assets

Section 1(b) of the LOI specifies that JacMal will acquire a "right of way, to run with the land" and "all easements necessary" for the project.1 These interests in real property are also subject to the "fair and adequate consideration" standard.19 By pre-agreeing to transfer these rights to JacMal as part of a bundled transaction, the PCSWA is neglecting its duty to value these assets independently.21 The West Virginia Ethics Commission has noted that the "part-time appointed" status of most Solid Waste Authority board members does not exempt them from these rules; they must remain recused from any sale where a conflict might exist, and the method of sale must be public to ensure integrity.21


Property Interest

Proposed Disposition Method

Statutory Requirement

Legal Status

2-3 Acre Parcel

Negotiated Private Sale

Public Auction or Competitive Bid

Noncompliant 19

6.83 Acre Easements

Part of Transaction Bundle

Fair and Adequate Consideration

Procedural Error 19

Land Fill Road ROW

Transfer with Property

Subject to public use easements

Restricted 22

Structure Ownership

Private (JacMal) for 15 years

Bidding for public construction

Noncompliant 10

Design-Build Procurement Act Violations

The Project, which integrates design, construction, and financing into a single "turnkey" package, falls squarely within the definitions of the West Virginia Design-Build Procurement Act, W. Va. Code § 5-22A-1 et seq.23 The PCSWA’s attempt to execute this project through a negotiated LOI with JacMal represents a comprehensive failure to adhere to this mandatory regulatory framework.

 

The Role of the State Design-Build Board

A public agency in West Virginia cannot pursue a design-build project without first obtaining explicit approval from the Design-Build Board.25 The board must determine that the project delivery method is appropriate based on specific criteria, including the need for early cost commitments and a construction timeline faster than traditional methods.24 The JacMal LOI makes no mention of this board, nor does it provide the necessary written plan for funding that must be submitted for state review.25

 

Failure to Appoint an Independent Criteria Developer

A critical safeguard in the Design-Build Procurement Act is the requirement for the agency to select an independent "performance criteria developer".26 This individual, typically a licensed architect or engineer, must define the technical and aesthetic standards for the project and cannot be a member of the design-build team.24 In the JacMal proposal, JacMal itself—through the LOI and the attached April 2025 plans—is defining the performance criteria.1 This creates an inherent conflict of interest and violates the statutory requirement that the public entity maintains independent professional oversight over the project’s technical specifications.24

Invitation for Qualifications and Price Proposals

The Act requires a two-step competitive process: an invitation for qualifications followed by an invitation for proposals from three to five of the most qualified design-builders.27 The PCSWA’s pre-selection of JacMal and the negotiation of a $16,759.00 monthly lease rate in a private LOI bypasses these transparency measures.1 Any contract entered into without following these steps is a violation of state law, and the Design-Build Board has the authority to withdraw approval or halt the project at any time prior to the start of construction.25

Property Taxation and the "Straw-Man" Ownership Strategy

Section 1(c) of the Letter of Intent explores the possibility of the PCSWA retaining ownership of the land "in order to reduce or eliminate the possibility that the real property will be subject to real property tax assessments".1 This strategy is legally flawed and suggests a potential intent to circumvent West Virginia’s tax laws.

 

The Anti-Evasion Clause of W. Va. Code § 11-3-9(b)

West Virginia Code § 11-3-9(b) explicitly states that "no property is exempt from taxation which has been purchased or procured for the purpose of evading taxation".28 If the Authority retains title purely as a "straw-man" owner to shield a private developer’s profit-generating asset from assessment, the property may lose its exempt status.28 Tax exemptions for government-owned property are predicated on the "public use" of the asset.28 In this case, while the transfer station serves a public function, the facility is owned by a private entity for the first 15 years and is operated as a profit-generating leasehold interest.1

 

Taxation of Leasehold Interests in Public Property

Even if the PCSWA retains the fee simple title, the "leasehold interest" held by JacMal may be separately taxable.30 W. Va. Code § 11-3-9(a)(27) provides an exemption for property subject to a lease-purchase agreement only if the "title to the leased property rests in the [public entity] so long as lessee is not in default".28 The LOI, however, specifies that JacMal shall own the transfer station during the lease term.1 This structure places the ownership of the improvement in private hands, which generally subjects it to ad valorem property tax under West Virginia law, regardless of the landowner’s status.29 The proposal’s attempt to "reduce or eliminate" these taxes through artificial ownership splits is legally unsustainable and likely constitutes a "non-public use" for tax purposes.28

Prohibited Contractual Clauses under 5A-3-62

The "Definitive Purchase Agreement" contemplated by the LOI is required to contain terms "customary for transaction of this kind".1 However, for a public entity in West Virginia, "customary terms" are strictly limited by W. Va. Code § 5A-3-62, which identifies several prohibited contract clauses that are "void ab initio".9

 

Indemnification and Liability Limitations

Section 1(f) of the LOI states that the PCSWA "shall be responsible for intentional or accidental damage to structure or trash crane".1 This functions as an indemnity clause, shifting the risk of loss from the owner (JacMal) to the public tenant. W. Va. Code § 5A-3-62(a)(1) explicitly prohibits terms that require the state or its subdivisions to "indemnify or hold harmless any entity".9 Furthermore, Section 5’s requirement for the PCSWA to reimburse JacMal up to $200,000 for expenses if the project is not constructed is a form of prohibited liquidated damages or penalty that likely violates the prohibition on "limit[ing] liability for direct damages" caused by third parties.9

 

Cancellation for Convenience

W. Va. Code § 5A-3-62(a)(15) requires that all state-related contracts must allow the government the ability to "cancel a contract for convenience with 30 days' notice".9 The JacMal LOI proposes a 15-year term without any such provision.1 Any agreement that lacks this cancellation right is fundamentally noncompliant and would be unenforceable if challenged in a court authorized by the West Virginia Legislature.9

 

Choice of Law and Governance

While the LOI correctly identifies West Virginia law as governing in Section 8, the proposed structure involves "customary" terms that might inadvertently include prohibited arbitration clauses or extra-judicial dispute resolution.1 W. Va. Code § 5A-3-62(a)(2) and (a)(7) strictly prohibit binding arbitration and require all disputes to be heard in a West Virginia authorized court.9 The PCSWA must ensure that the "Definitive Agreement" does not contain these standard commercial clauses that are illegal for government entities.9

 


 

Summary of Errors of Law and Noncompliance

The proposed agreement, as structured in the Letter of Intent, fails to meet minimum legal standards across six distinct areas of West Virginia law.


Legal Category

Specific LOI Deficiency

Controlling Law / Regulation

Consequence

Public Debt

Mandatory purchase and lack of non-appropriation clause.

W. Va. Constitution Art. X, § 8

Agreement is unconstitutional and void.2

Procurement

Pre-selection of JacMal for construction without public bid.

W. Va. Code § 5-22-1 (Bidding Act)

Civil and criminal penalties for officials.8

Design-Build

Integration of design/build without board approval or criteria developer.

W. Va. Code § 5-22A-1 et seq.

State can halt project and withhold permits.25

Land Sale

Negotiated private sale of PCSWA land to an LLC.

W. Va. Code § 7-3-3

Transaction is illegal; requires public auction.19

Taxation

Splitting title to evade taxes while JacMal holds leasehold.

W. Va. Code § 11-3-9(b)

Forfeiture of exemption; potential tax fraud.28

Contractual

Prohibited indemnity and lack of 30-day convenience cancel.

W. Va. Code § 5A-3-62

Clauses are void ab initio; contract unenforceable.9

 

Narrative Conclusion and Strategic Findings

The Letter of Intent between JacMal Properties, LLC and the Pocahontas County Solid Waste Authority is not a viable blueprint for a lawful public-private partnership. Every material aspect of the proposal—from the financing of the construction to the transfer of the land and the structure of the lease—violates established West Virginia law or regulatory policy.

 

The most critical failure is the creation of unconstitutional debt. By committing the Authority to a 15-year payment schedule and a mandatory million-dollar purchase without a non-appropriation clause, the document ignores over a century of West Virginia fiscal jurisprudence.2 This is compounded by the "Exclusivity" provision, which serves as a contractual blockade against the competitive bidding required for both the construction of the facility and the sale of the land.10

 

Furthermore, the "Design-Build" nature of the project has been initiated without the mandatory oversight of the state Design-Build Board, and the technical specifications have been pre-ordained by the developer rather than an independent professional.26 This lack of independent oversight, combined with the "straw-man" ownership strategy designed to evade property taxes, suggests a transaction structured for the primary benefit of the private developer rather than the public health and welfare of Pocahontas County.28

 

To proceed, the PCSWA must abandon the current Letter of Intent. Any future development of the transfer station must begin with an approved siting plan, followed by a competitive procurement process that adheres to the Fairness in Competitive Bidding Act or the Design-Build Procurement Act. Any land disposition must occur via public auction or a rigorously documented competitive process, and any lease must preserve the Authority’s constitutional right to annual fiscal discretion. Proceeding under the current LOI exposes the Authority to litigation, the loss of state grant eligibility, and potential criminal sanctions for its officers.8

Works cited

  1. Letter of Intent - JacMal 022526.pdf

  2. IN THE SUPREME COURT OF APPEALS OF WEST VIRGINIA January 1994 Term No. 22312, accessed April 11, 2026, https://www.courtswv.gov/sites/default/pubfilesmnt/2023-11/22312.pdf

  3. Caddell v. LEXINGTON CTY. SCHOOL DISTRICT 1 :: 1988 :: South Carolina Supreme Court Decisions - Justia Law, accessed April 11, 2026, https://law.justia.com/cases/south-carolina/supreme-court/1988/22917-2.html

  4. Constitutional Law - Scholar Commons, accessed April 11, 2026, https://scholarcommons.sc.edu/cgi/viewcontent.cgi?article=2916&context=sclr

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  7. The City of Morgantown, accessed April 11, 2026, http://morgantownwv.gov/AgendaCenter/ViewFile/Agenda/_02072023-2457

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  9. West Virginia Code | §5A-3-62, accessed April 11, 2026, https://code.wvlegislature.gov/5A-3-62/

  10. West Virginia Code | §5-22-1, accessed April 11, 2026, https://code.wvlegislature.gov/5-22-1/

  11. Purchasing Policies - WVDE, accessed April 11, 2026, https://wvde.us/sites/default/files/2017/10/Policy8200_with_Cover.pdf

  12. 2005 West Virginia Code - §5-22-1. — :: Bidding required; government construction contracts to go to lowest qualified responsible bidder - Justia Law, accessed April 11, 2026, https://law.justia.com/codes/west-virginia/2005/05/wvc5-22-1.html

  13. West Virginia Code Chapter 8. Municipal Corporations § 8-27-23 | FindLaw, accessed April 11, 2026, https://codes.findlaw.com/wv/chapter-8-municipal-corporations/wv-code-sect-8-27-23/

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  16. Commission meets with Solid Waste Authority and WV DEP - Pocahontas Times, accessed April 11, 2026, https://pocahontastimes.com/commission-meets-with-solid-waste-authority-and-wv-dep/

  17. West Virginia Code | §5A-3-10, accessed April 11, 2026, https://code.wvlegislature.gov/5A-3-10/

  18. West Virginia Code | §5a-3, accessed April 11, 2026, https://code.wvlegislature.gov/email/5a-3/

  19. West Virginia Code | §7-3-3, accessed April 11, 2026, https://code.wvlegislature.gov/email/7-3-3/

  20. West Virginia Code | §22C-4-23, accessed April 11, 2026, https://code.wvlegislature.gov/22C-4-23/

  21. Contract Exemption 2024-05 - West Virginia Ethics Commission, accessed April 11, 2026, https://ethics.wv.gov/SiteCollectionDocuments/PDF%20Contract%20Exemptions/2024%20Contract%20Exemptions/CE%202024-05%20President%20of%20Shepherd%20Univ.pdf

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