
A planned second water tank at Southern Gap moved a step closer with approval of a $250,000 grant to help prepare the project as demand for water increases.
The Virginia Coalfield Economic Development Authority approved the funding for the Buchanan County Industrial Development Authority to cover planning, design, engineering, permitting and related costs.
The proposed 1-million-gallon tank would serve Southern Gap and the planned Breaks Regional Airport development. According to the IDA’s funding application, the existing 500,000-gallon tank on Airport Road cannot meet household water needs and firefighting demands when Southern Gap is fully developed.
“The IDA has determined that the development of Southern Gap has reached the necessary levels that a second municipal water tank is needed within the development site to provide the necessary domestic and fire-flow water supply for the continued development of Southern Gap,” said Jonathan Belcher, VCEDA’s executive director and general counsel.
Plans call for the new tank to be built beside the existing tank on Airport Road. Once built, it would transfer to the Buchanan County Public Service Authority for permanent operation.
Newly appointed Buchanan County Economic Development Director Jeremy Ward said the project will help provide the infrastructure needed to support continued growth.
“As we continue to expand upon the Southern Gap Development, we want to ensure we have the proper capabilities to provide such critical infrastructure as municipal water,” Ward said. “This project is essential for the current and future developments at Southern Gap, as well as the future Breaks Regional Airport.”
The announcement did not include a construction timeline or an estimated total project cost.
Created by the Virginia General Assembly in 1988, VCEDA supports economic development and job creation across seven Southwest Virginia counties and the city of Norton. It funds its work with a portion of coal and natural gas severance taxes paid by companies operating in the region.

