Peoria Standard

City of Chillicothe Economic Development Committee met Sept. 5.

Here is the minutes provided by the Committee:

The Economic Development Committee held a meeting on September 5, 2018 at 4:31 p.m. in the Council Chambers at City Hall.

Present: Chairman Dan Colwell, Aldermen Connor, Sharp, Mayor White and Economic Development Director Parker

Public: Amanda Oedewaldt

Budget Review/Funds Available – Chairman Colwell talked about the new expanded spread sheet of projects. He asked Director Parker if she had any comments on the report. She stated that this spread sheet was created to show the various TIF projects and more importantly to show how the funds were being spent down and what is left to be used so that when new projects come to us we know right then the balance available in each TIF. Mayor White stated that he likes the spread sheet but it’s too much information to take in at a glance. He suggested that we make some adjustments so that it’s an easier read. Chairman Colwell also stated that they like having the information but maybe in a little different format. He offered some suggestions on how that might look. Director Parker stated that she would make the changes.

Proposal for Additional 4th Street Corridor Services – Mayor White shared with the committee the request that was made to Nate Parrott along with TESKA to give us an outline of what the zones could look like for Fourth Street that would help with future development on that major road. The Mayor asked the committee if they would approve a $4,000 expenditure for this plan. He also stated that there is money in the budget for this project. Consensus was to move this forward for full council for approval. Alderman Conner stated that she wanted to make the committee aware that the owners of Geiger’s had a concern regarding that Fourth Street Corridor plan. The concern is if some of the improvements mentioned in that plan took place (as it relates to the median and landscaped green space) it could make it hard for their semi-trucks to load and unload at their store. Chairman Colwell stated that the comment was noted in the records.

Odie’s TIF Agreement – Chairman Colwell asked Director Parker to report on this item. Director Parker stated that it was found that Odie’s had received an over payment on payouts for their TIF project. She stated that she had kept a log in their folder of all the payouts and when she was listing the pending payouts that had to be carried over for the new budget she did not add them to the prior payouts so when the last payout was requested it looked as though they had a larger balance for the final payout than they actually had. Chairman Colwell asked Director Parker to explain the process, what happens when she is given the bills and or receipts. She stated that she takes the bill stamps it with what account the funds are to come out of and what the project is and turns it into the bookkeeper to have a check cut. He then asked if the bookkeeper kept a record or running total of payouts. Director Parker stated that she has the payouts listed but not a running total where at a glance she could see what total dollars they have been paid. Chairman Colwell then asked a few question to Amanda Odewaldt in regards to the payouts. Amanda addressed the committee and stated that they had run into more issues with the project once the construction got started that caused them to spend more money than was budgeted for the project. At that time her husband had mentioned to Director Parker about being able to come back to the committee to ask for more fund to help finish up the project. But they ended up using their own funds making their equity into the project well over what they had planned to spend. Therefore she is asking the committee to consider granting them that overage of payment since the money was used on the project. She also stated that they are not in a position to payback that before the end of the fiscal year as asked. She also said that she did not realize that she was overpaid had she known she would have given that money back at that time. She stated that with all that they pay back to the city in sales tax from both stores and gaming fees and real estate taxes she felt it would not take long for the city to get back the money they are granting her.

Chairman Colwell stated that after looking at her total project from what was originally approved and the additional money that they have put in he felt in order to be in line with other TIF projects as it relates to percentages per say, he is comfortable allowing that overage to be granted to Odie’s for the project. He would also suggest that we internally change or put in place a new checks and balances system so that two sets of eyes are keeping track of the payouts so that this error won’t happen again. Alderman Sharpe stated that if there could be some type of check list that these things need to be looked at before a check is cut for payout may help this process as well. Alderman Connor agreed with the recommendations.

Updates:

Salvage Rights - 4th Street Properties – Director Parker stated to her knowledge no bids had come in yet. They do have until September 28 to turn them in.

TIF - Owens Design Group – City Attorney is working with them on redevelopment agreement

616 N. Fourth St./Overland Group - Ken is working with CEFCU in regards to ATM relocation and attorney is working with developer to get a better handle on time line for them as far as when construction may start.

TIF Plan Update – Director Parker has connected with attorney and a list is being created. She stated that she will bring a list to the committee so that they can add or delete potential projects

M&T Updates –

Council Agenda Items – 2 motions

1. Motion to direct attorney to amend or create a new redevelopment agreement with the Odie’s project

2. Approval of expenditure of $4,000 for Fourth Street - Zoning District Plan

Chairman - Actions - None

There being no further business meeting adjourned at 5:32 p.m.

http://www.cityofchillicotheil.com/MINUTES%20%20of%20Septebmer%205,%202018.pdf