advertisement

Knapp Oil unveils new $1.5 million convenience store

Knapp Oil Co., of Xenia, is planning a new $1.5 million convenience store at its existing Citgo service station in front of Walmart. The current station is the only one in town left that doesn't offer a full-service shopping.

"We're looking forward to expanding our business in Harrisburg," said Rick Forth, vice-president of operations for the company.

The new plans include a 3,000 sq. ft.-plus convenience store southeast of the existing pumps with all new pumps and a canopy for gasoline customers. The existing islands will be converted to diesel and propane.

With its location towards the south end of Harrisburg the company's executives wanted a design that would be appropriate for a community that considers itself the "Gateway to the Shawnee National Forest."

"We are trying to design and build this facility consistent with what we think as the entrance of the Shawnee National Forest," said Ford who explained the design would include both wood and stone.

The expansion has been in the works for a while but the company delayed pushing it in the immediate aftermath of the tornado.

"We kind of slowed our plans down a little bit. Right now we are just trying to get some basic numbers on the sewer line move," Forth said.

The sewer line in question is a major 18-inch sanitary sewer line that currently cuts across the property. The line is nearly level and the current plans call a new 24-inch line that the company has agreed to install at their cost.

"They've up'd the size of the line to accommodate the lack of grade. The city has been very accommodating, but the expense is (rising)," he explained. "The benefit's not only to us but to the city."

By moving the line to the edge of the property it will allow the company to use both lots that they own as buildings aren't allowed over a sewer easement.

"I think they've come up with a plan to get around it," he said. "We're involved very heavily in a financial responsibility to get it moved."

Part of that cost could be offset in the future if the city establishes a tax increment financing (TIF) district that includes that property as has been discussed earlier this year in a proposed third TIF district to benefit the area impacted by the tornado.

The Harrisburg city council passed an inducement resolution last month on Aug. 2, encouraging the company to move forward with their plans. Under the resolution if the city creates a tax incrementing financing district that covers that area, then the company could apply for TIF incentives.

Under state law TIF incentives can't be used to build the building, but much of the site work would qualify for reimbursement including the sewer line project.

"When you make this kind of financial commitment you really need to maximize whatever is available to make it work," Forth said.

According to the Illinois Department of Transportation's Getting Around Illinois website some 12,400 vehicles a day pass along that stretch of South Commercial Street as well as an additional 1,350 trucks a day. With no stoplight immediately in front of the station Forth said they are working with the city to connect the station with Rollie Moore Drive, the access road in front of Walmart.

"The city has been very much aware of the need for entrances to the new access road and have assured (us) to 'plan' those in," explained Forth who added that it would definitely make and provide for better and safer ingress and egress to the property.

When finally complete the company expects to expand its headcount from the five employees that work there now to approximately 15.

Forth said the company hopes to start on moving the sewer line and the building construction later this year.

"We would like to have this facility open by next summer, no doubt about it," he said.

In addition to its Harrisburg plans Knapp Oil Co. recently began the process of opening up a wholesale propane plant in Eldorado.

"We're trying to get the facility up and running in Eldorado," Forth said in trying to answer how many workers that plant will employ. "An increase in jobs will be determined by our sales successes."

Knapp Oil has been a family-owned gas company operating in Southern Illinois since 1933.