Peoria Standard

City of Chillicothe Economic Development Committee met November 7.

Here is the minutes as provided by the committee:

The Economic Development Committee held a meeting on November 7, 2018 at 5:30 p.m. in the Council Chambers at City Hall.

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

Public who spoke: Sandy Levell, Andrew Myers and Kainon Murnan

Meeting was called to order at 5:36 p.m. Chairman Colwell asked for the budget report. Director Parker shared the report presented and noted that the HELP Loan balance written is the balance that includes the recent payoff of a loan. She also mentioned that another payoff should be coming later in the week. Therefore the HELP Loan balance available to be loaned out is $222,927.93. She also stated that the balance of the Facelift program is currently at $53,042 but once the pending facelift projects pay along with the ones up for approval at this meeting (if approved) the balance would be a little over $19,000. There had not been any payouts on the pending TIF development projects so those numbers are the same as last month.

Façade Applications:

Chillicothe Chamber

The Chamber is requesting funds to replace rotten wood around and above the front windows. This grant will help them have it removed, replaced and insulated. They will also purchase a new front door, prime and paint all exposed wood and molding surrounding the door. Color will be close to match existing color currently on building. Two estimates were turned in. Lowest bid came in at $9,600.00. 

If approved the maxim this program can pay out is 80% or $5,000.00.

Hair Company

Sandy Levell would like to redo both sides of her 2nd Street businesses. One side is retail space the other is the beauty shop. On the beauty shop side she wants to paint the front of the building along with her existing awing and put up a new door. On the retail side install a new awning with the addition of putting in a new front entrance door facing 2nd St. She plans to change that pink and black painted awning to Turquoise and Brown. She would also be adding some new lighting along the windows. Both buildings would be painted on the outside.

The estimated total cost of the project is $11,603.00. If approved the maximum this program can pay out is 80% or $5,000.

Sandy Levell explained the drawing of her project to help with clarification of her vision. Alderman Jenkins commented that she has had her business for some time in the downtown areas and felt this project should move forward to Council for approval.

Troy Mitchell

Troy at 924 N. 2nd Street where KJS Kids is located would like to replace the front door and put in new windows. He will also be removing the old sign post in the front of the building and correcting the air conditioner water drainage that ran right down the front of his building. With getting the new matching door and triple glazed vinyl windows (that match the upper windows) his estimated total cost of the project is $6,646.06. If approved the maximum this program can pay out is 80% or $5,000.

Dawn Childers

Dawn would like the front of her building (the retail side) Childers Sales 806 N 2nd Street to be painted to look like a Treasurer Chest. There was a before and after photo of the project presented for the committee to view. It was decided that Director Parker will contact Ms. Childers and let her know that the committee would like to have her share her plan with her neighbors to make sure they are in agreement because it is such a large change to the look of the building and therefore the look of the neighborhood. Director Parker will report back to the committee once she has talked the project concerns over with Ms. Childers. If approved the estimated total cost of the project is $3,600, the maximum this program can pay out is 80% or $2,880.

TIF Redevelopment Agreement

Kainon Murnan would like to purchase 1016 North 2nd Street. He intends to have a store front that would display and sell artisan creations. He would like to enhance the artisan community in Chillicothe. The front of the building would be used to display and sell refurbished furniture, home décor and new product lines. The back portion of the building would be a workshop. The basement would be used for storage. They intend to be opened and available for customers on a consistent basis with steady hours of operation. He is asking for the city to help with property acquisition through a TIF redevelopment agreement that would grant him $25,000 to help him acquire the property. The purchase price of the building is $40,000. He will put in $15,000 of his own funds. Alderman Colwell asked Kainon if this business would be his only source of income. Mr. Kainon stated that he does work elsewhere and this business is a joint partnership with his wife and parents. They plan to grow this business into a community involved place where people can be creative in a number of areas.

Alderman Jenkins asked about the balance of the TIF funds in the downtown area. Mayor White stated we have committed majority of our TIF funds but they have and will not all be spent this fiscal year. Therefore cash flow wise this project would be ok.

HELP Loan

Amanda Odewaldt – Item was pulled

Andrew Myers is looking to Amend his current loan with us by adding $17,000 for equipment needed to handle his business expansion. Mr. Myers addressed the committee. He has taken on more work and is in need of equipment to help with that work load. In addition to the equipment he would be installing a new overhead door that is wider and can accommodate the dumpsters that are being dropped of with his contract from PDC. Mr. Myers also addressed the committee about the permit for the fence. He asked if the $50 permit fee could be waived because the city is requiring him to put up the fence. After some discussion it was determined that the committee would recommend to council that the fee be waived.

If loan is approved Council, a separate note be given to Mr. Myers and we will amend the mortgage that is used as collateral on his first loan to reflect the higher loan amount. The additional funds would be put on a 5 year note at 3% interest rate.

Old Business:

Overland Group – Plans have been just been completed last week and should be to you all for review/comments very soon.

616 4th Street – Demo Complete

Bacon Building Update – Making progress daily. Basement is totally cleaned out. They are working now cleaning out the retail space areas facing 2nd Street. The plan is to have 3 apartments upstairs and 2 retail spaces in the lower level. We will get to see a rendering of what the finished product will be once he has a final plan for the look of it.

Owens Design Group Update: Spoke with Greg, they have started work on their new building. They are starting the middle section and then will work toward the back to get things cleared out while allowing the furniture store to continue to operate in the front portion of the building. Things are moving along. He is waiting on final work from architect.

TIF Plan Update: The Mayor, Rachael, Denise and Attorney will be meeting right before the Council meeting on Monday. The last time that plan was updated was in 2009.

M & T Update:- At the committee meeting the PACVB shared a report on how they have been marketing the City of Chillicothe. A hard copy of that report was given to each member and that same report was emailed out to all City Council members and Mayor.

Council Agenda Items – 6 motions

      1. Façade application – Chillicothe Chamber

      2. Façade application –Hair Company

      3. Façade application- Troy Mitchell

      4. TIF Redevelopment Agreement – Kainon Murnan

      5. HELP Loan – Andrew Myers, Resurrection Welding

      6. Fence Permit Waiver

Chairman - Actions - None

There being no further business meeting adjourned at 6:48 p.m.

http://www.cityofchillicotheil.com/MINUTES%20%20of%20November%207,%202018.pdf