ATHENS–Following a Sept. 16 executive session regarding litigation with Chill Labs LLC and the Lake Towns at Lake Palestine subdivision, located in Precinct 4, Henderson County Commissioners’ Court approved the County Attorney’s Office to represent Henderson County in the suit, as well as extending the temporary restraining order to Oct. 21.
County Attorney Clint Davis said there were “healthy” and “good” discussions in the court. “I think that I speak for both sides of the aisle, none of us would like to be in the situation we’re in, we obviously would have liked it to have gone smoother with this development over the course of 12 months, but yet, it didn’t work out the way we wanted to,” Davis said. “But our recommendation today is that the court agree to the extension of TRO (temporary restraining order) on action on the letter of credit with Cattlemens Bank and extend that out until Oct. 21.”
Davis said the county attorney’s office would sign off on an agreed order “is what I would envision, we would sign off on an agreed order with the attorneys for Cattlemens Bank and the attorneys for Chill Labs agreeing to the extension of that temporary restraining order until the 21st (of October). And hopefully that would give us time during, that would give us a month and week, to work on some of the other things, possibly getting a new letter of credit extended, new bond extended, new development plan extended, the purchase of the property closed and get on track to start construction late October/early November.”
Said County Judge Wade McKinney, “I appreciate the efforts brought forth by all parties related in this, it is the county’s desire that we have development and that these developments take place, and individuals who come into our county enjoy a wonderful lifestyle. The world isn’t perfect and we run into some of these.”
John Lassiter, a partner of the Burr & Forman law firm in Jackson, Miss., also spoke to the court on behalf of Chill Labs. “We did discuss in executive session a prospective closing date on the 19th of this week and there’s been some difficulty in gathering the funds to close that because there are individuals who are interested in this but are worried about the existing construction deadline that’s set from the county. And so I would renew my request that there be a contingent extension based on the closing that we, based on our ability to close before the TRO expires.”
Lassiter added, “If we could go to these individuals, including our bonding company and tell them that the county would be agreeable, if we were to close, to an extension of the construction deadline until Sept. 17 of 2026, I think that would be a tremendous help to us.”
After further discussion, McKinney called the request “no slight imposition.” There was no motion made on the extra request but it was read into the meeting’s minutes. “We would like to get the property developed,” said Precinct 3 Commissioner Chuck McHam. “We know that it’s not going to be developed in a month. So, the extension would allow those property owners the extra 12 months to get the development going.” He added, “Our intention is to get the property developed, and the county not be developing it.”
The website Law.com shows the civil suit was filed Sept. 3 in Henderson County district court with the plaintiff as Chill Labs LLC and the defendants being Cattlemens Bank (which has locations in Oklahoma and Texas) and Henderson County. The plaintiff’s counsel is listed as Natalie A. Cosmich, an associate at Burr & Forman. The website trellis.law shows the matter before Third District Court Judge Mark Calhoon.
Additionally, the court approved Amendment No. 13 of the Southern Health Partners contract for inmate health care at the Henderson County jail, which includes an extra nurse at night and bringing in a dentist every 30 days instead of every two months. Sheriff Botie Hillhouse recounted the hundreds of health issues addressed  by Southern Health Partners at the jail, which he said saves the county $705,000 per year. This year as part of the amendment, Southern Health Partners will get a 5% increase for its jail salaries.
Stated McHam, “I think it’s worth noting that, and I don’t think the majority of the population realizes it, but we want these people behind bars but after we put them there, they’re not forgotten, and that a lot of them have chronic illnesses. And we’re seeing drug problems and alcohol problems, and all of that has to be taken care of, just on this $1.2 million.” McHam added that it’s all “very costly.” Hillhouse said chronic issues are “getting worse and worse every year.”
Said McKinney, “We’re actually running a 500-bed medical facility.” Hillhouse also spoke of mental health issues being addressed so those inmates can be legally competent to stand trial, allowing a higher turnover of jail beds. McKinney said in Texas, there are 4,500 forensic beds, which Hillhouse noted is fewer beds today than in 1962.
Said Hillhouse, “The (Texas) legislature has poured money into building them, but there’s no money to staff them. It’s a broken system that needs to be addressed, and it’s got to be addressed above county government.”
In other business, the court:
• Approved a request from the Henderson County Tax Assessor-Collector to refund tax overpayments, issuing two checks totaling $26,677.27.
• Appointed Cyndi Williams as a new member of the Henderson County Child Welfare Board.
• Approved a contract with the Office of the Attorney General for the fiscal year 2026 Statewide Automated Victim Notification Services (allowing crime victims to get status notifications about those accused), known as the SAVNS Grant Award, which reimburses the county.
• Approved a contract with SylogistGov Inc. for the maintenance of fiscal year 2026 Statewide Automated Victim Notification Services, with the new contractor saving the county about $8,000 per year, moving costs from about $18,000 to around $10,000, said County Grants Coordinator Danielle Vaughn.
• Approved a Special Road Use Indemnity Agreement with Terracon Consultants Inc. for county roads 4304 and 4305 South, located in Precinct 4, which is related to a solar farm being built west of Moore Station, according to Precinct 4 Commissioner Mark Richardson.
• Approved a right-of-way permit for Crescent Heights Water Supply Corp. to bore a water line under County Road 1405 and in the right-of-way of County Road 1406, which are located in Precinct 1.
• Approved a right-of-way permit for Moore Station Water Supply Corp. to repair a leak on County Road 3607, located in Precinct 3.
• Approved paying fiscal year 2025 bills of $597,513.90.
• Approved a replat creating two lots on Beverly Drive near Malakoff in the Briarwood Harbor subdivision, located in Precinct 1.