Delaware City Council on Oct. 26 voted to issue up to $7-million in notes to pay for the Peachblow and Winter roads intersection project.

Delaware City Council on Oct. 26 voted to issue up to $7-million in notes to pay for the Peachblow and Winter roads intersection project.

The project will realign Winter and Peachblow roads so each empties onto U.S. Route 23 at a single, signalized intersection about 370 feet north of the existing Peachblow-23 intersection.

The Ohio Department of Transportation expects to begin work in 2010.

City spokesperson Lee Yoakum on Oct. 27 said the intersection is not in the city. City limits extend to a portion of Peachblow on the east side of U.S. 23. The immediate area's future annexation into the city is included in development agreements that are in place with property owners.

The intersection will be the southern terminus of the city's 4.5-mile Glenn Road Parkway, which will connect U.S. 23S with U.S. Route 36E.

Yoakum said "development interest" is focused on the parkway and the intersection improvements will "help kick-start development along that area of Glenn Parkway."

Overall, the level of development interest has been affected by the economy, he said.

Ohio Health-Grady Memorial Hospital plans a 105-acre Delaware Health Village on the east side of Glenn Parkway, at Ohio Health Boulevard.

The city has received $2-million in federal stimulus funds that will be used to pay back the notes for the intersection, city finance director Dean Stelzer told council. An additional $2.36-million from the Mid-Ohio Regional Planning Commission also will go toward the project.

The city can reissue its debt for the remainder of the intersection project cost for up to seven years, Stelzer said, until fees collected from the Southern New Community Authority are sufficient to pay down the debt.

The fees are collected when homes are built in that area, Stelzer said.

"The amount being collected is not quite there for the authority to be self-funding as yet," he told council.

The estimated cost of the project is $6.3-million, according to city estimates.Right-of-way acquisition was expected to be completed last week to meet the guidelines for the stimulus funds, said city engineer Bill Ferrigno.