Mill funds stay in St. Marys budget

ST. MARYS - Despite opposition, $650,000 set aside to renovate the East High Street grist mill will remain in the 2016 budget.

Council member Greg Freewalt at Monday night's regular meeting proposed removing the line item from the budget until renovation plans are finalized.

The motion was rejected by a 4-2 vote. Council members Freewalt and Ken Koverman voted to remove the money while John Bubp, Todd Fleagle, Dan Uhlenhake and Bob Fitzgerald voted to retain it. Councilman Robin Willoughby abstained.

The disagreement occurred during first reading of the city's $42.7 million budget for 2016.

Council members discussed setting aside the money for mill renovations if city officials can acquire the structure from the owner and the land from the Ohio Department of Natural Resources. The $650,000 would not go toward purchasing the land and building.

"I've talked to over 40 people and out of 40 people I ran across, three people ... are interested in (having the city renovate) the building. Over half of them were violently against it," Freewalt said.

Work to restore the mill could start next year.

"There are no final plans on that. The only reason this line item was in the budget was if we had final plans that council would approve, the money would be there to be spent. Taking it out won't prevent anyone from making plans," council president Dan Hoelscher said.

The money will not be spent unless council members formally approve the expenditure, he said.

Fleagle agreed with Freewalt that a plan must be in place before the money is spent but added the money could be reappropriated if the project does not happen.

The money is part of a state Community Development Block Grant and would need to be returned if not used for the project, law director Kraig Noble said.

"If we don't use the $650,000 for this building to enhance the downtown, to solve the problem we have downtown with the appearance of the building, that money could go elsewhere. The last thing I want is that $650,000 to go to another community in Ohio when we have a real need here," Fleagle said.

He suggested holding public hearings to determine how residents feel about renovating or removing the mill.
   Finance committee members met twice prior to sending the full budget before full council.

Also Monday, council members,

• approved an ordinance to bring the city's income tax law into compliance with a state law that takes effect Jan. 1. The ordinance makes municipal tax collection compliant with House Bill 5, public service and safety director Greg Foxhoven said earlier this year.

• approved an emergency ordinance authorizing the issuance of notes in anticipation of issuing bonds for the 2015 street program.

"This simply allows us to go to the bank and borrow money up to $50,000 to pay property owners' share of the street project. We estimated that our actual cost would be about $36,000 but we've heard cement may go up," Foxhoven said. City officials pay for the property owners' share of the project and then collect the money from them. Owners may have the costs assessed on their property tax, Foxhoven said.

• appointed Becky Ballenger and Larry Badgett to the St. Marys Housing Council.

• heard first reading of an ordinance authorizing the purchase of materials, equipment and services for city departments for 2016.

• heard second reading of an amendment authorizing the city auditor to transfer 75 percent of the money in the electric fund,or about $615,000, to the general fund with the other 25 percent remaining in the electric fund. All the money currently goes into the electric fund.

• heard second reading of a resolution allowing for the sale of city property through Internet bidding. This would be the third year the city has sold items through govdeals.com, Foxhoven explained.

• heard a request to zone 1.628 acres of land on the south side of McKinley Road west of the RJ Corman Railroad as industrial. The request will be sent to the St. Marys Planning Commission. M & S Assembly is located on the property, which was recently annexed into the city.

• heard from Bubp that he will research the possibility of making the city a Purple Heart community. He will look into possible costs and requirements of making the city a community recognizing the armed service medal.

• rescheduled the Dec. 28 city council meeting to 5:15 p.m. Dec. 30.