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AGENDA 3-01-2016

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whistlersmom View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote whistlersmom Quote  Post ReplyReply Direct Link To This Post Posted: Mar 12 2016 at 2:43pm
Council and Dougie should reimburse the citizens for the $95,000 loss on the Vail property. A two and one half times reimbursment (voted in by council for everyone) would amount to $237,500. If council and Dougie had hired someone to maintain their property, maybe Rose Furniture bldg., the Ormond bldg. and the building on Vail would not have had the roofs collapse. Of course, hiring more inspectors to abuse our elderly property owners was more important than maintaining their property. Maintaining the infrastucture (including city owned buildings) is a fiduciary responsibility ignored by this council.
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Vivian Moon View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Mar 12 2016 at 4:00pm
Oh Whislersmom, 
it's more money than just the $95,000...it's also the two improved lots with the nice wrought iron fence out front plus the 10 year tax. 
But no one at City Hall can understand why we are going broke.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote swohio75 Quote  Post ReplyReply Direct Link To This Post Posted: Mar 14 2016 at 9:30am
Let's be clear, the 10-year tax abatement is for 1357 Central Ave, and is exempts from property taxes any improvements made to the building that increases its taxable value.  

Vail property is not included as part of the CRA agreement.




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Vivian Moon View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Mar 14 2016 at 10:23am

S T A F F  R E P O R T
For Business Meeting: March 1, 2015 DATE: 2/17/2015
TO: Douglas Adkins, City Manager
FROM: Alexis Fitzsimmons, Assistant Economic Development Director


Liberty Spirits LLC Community Reinvestment Area Agreement

PURPOSE To obtain authorization from the Middletown City Council for the City Manager to enter into a Community Reinvestment Area (CRA) agreement with Liberty Spirits LLC, to support the development of a craft/artisan distillery, with a tasting room and retail area at 1357Central Ave. in downtown Middletown.
BACKGROUND AND FINDINGS The City of Middletown (the City) Staff has been working with the Liberty Spirits LLC to develop the 1357 Central Ave location. The project includes $300,000 in improvements and will create four (4) part time permanent positions with approximately $80,000 in new payroll. The work on the building is set to be completed by June 30, 2016.
ALTERNATIVES  There is no other alternative.
FINANCIAL IMPACTS In accordance with the School Compensation Agreement with the Middletown City School District, the City will pay the District 25% of what they would have received in real property taxes, if the CRA agreement was not in place.
EMERGENCY/NON EMERGENCY Non Emergency –
1st Reading March 1, 2016
 2nd Reading March 15, 2016

Attachments: CRA Application & CRA Agreement
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Mar 14 2016 at 10:41am

Swohio75

If you read this agreement it states that Robinette will invest $300,000…in the 1357 Central Ave building only?
It also states that this will have a tasting and retail area also...Isn’t that what the Vail and other two Central Ave properties were to be used for?

Since all of these properties are located in the same area it is my understanding that they ALL would be entitled to this same tax abatement. Or when Robinette starts work on the other properties he will simply return to council and request more tax abatements on these properties?

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2016 at 6:52am

Updated: 11:55 p.m. Tuesday, March 15, 2016 | Posted: 7:53 p.m. Tuesday, March 15, 2016


Middletown council approves tax break for micro-distillery


By Mike Rutledge

Staff Writer



MIDDLETOWN — 

Liberty Spirits LLC, the startup micro-distillery that plans to open in June at 1357 Central Ave., was granted a 10-year, 100-percent abatement for that building, Middletown City Council decided with a 4-1 vote Tuesday.

Micro-distilling “is a growing business, we welcome you downtown, and you’re in the DORA (designated outdoor refreshment area), so we’ll be expanding, and I think it’s a great thing,” Vice Mayor Dora Bronston told company owner Mike Robinette after he gave a brief explanation of his plans.

Bronston and council members Talbott Moon and Steve Bohannon had expressed concerns at the March 1 meeting about the $1 sale by the city of a dilapidated building at 1316 Vail Ave. and the proposed abatement on the other building. But council unanimously approved the $1 sale then, and after hearing from Robinette, only Moon opposed the sale Tuesday.

Robinette told council he acquired the 4,000-square-foot Central Avenue building in mid-2015 and gutted it, repaired the roof, replaced the heating and cooling, and installed electricity and plumbing. The tax abatement only will eliminate taxes on that building’s added value that was created by the renovation. Liberty Spirits is expected to save $650 per year, or $6,500 over the decade. The company still will pay about $908 yearly in property taxes, based on its earlier value, City Manager Doug Adkins has said.

Robinette plans to operate a modest-sized tasting room and retail space at 1357 Central until the 4,000-square-foot structure at 1316 Vail also is renovated. At that point he plans to continue operating out of 1357 Central, while opening a larger tasting and retail space at the Vail address, which will be reconfigured to also face Central Avenue, with an outdoor entertainment area in front.

If Ohio Lawmakers this year allow craft distillers to operate bars the way craft wineries and microbreweries can, Robinette also plans a full bar at the Vail building.

Buildings like the two being reclaimed by Liberty Spirits are what city officials had in mind in 2010 when they created the downtown’s Community Reinvestment Area, Adkins said, noting many downtown structures have sat vacant so long, they’re in great disrepair.

“It’s one thing to open your business,” Adkins said. “It’s another when you have to put another $50,000 in it, just to be able to get it to where you can use it, before you can even get to your business plan.”


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    spiderjohn View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote spiderjohn Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2016 at 1:00pm
    lol--like investing $50,000 to opening a bizness is something unique--probably so down there in Doug's special area

    thanks to Mr. Moon for having enough character to resist "the force"

    u da man, Tal!
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    middielover View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote middielover Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 8:23am
    Spider

    I watched the YouTube video of council meeting this morning. Moon voted against the 10 yr abatement valued at about a toal of $6,000.

    Moon then later in the meeting voted to wave $16,000 in tap in fees for a Buffalo Wild Wing at the old mall.

    Seems Moon's free market principles are highly flexible.
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    swohio75 View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote swohio75 Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 8:32am
    Purely strategic move on Tal's part.

    CRA is available to an property owner wanting to make improvements in the CRA area.

    Exemption is for any improvements made to the building that increases the building's taxable value.  

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    acclaro View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote acclaro Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 9:52am
    sw75, completely disagree with your assessment.

    Mr. Moon was not sufficiently provided reassurance the business plan presented supported an underpinning confidence Liberty Spirits would be a success. More importantly, he knew the property was valued more than $5,000, therefore requiring by state revised code and local codified ordinance, a bidding process. H therefore made the correct decision, the only one on council to do so. Too bad JL and TM aren't around to jointly serve or the rubber-stamp mindset would be derailed.  
    'An appeaser is one who feeds a crocodile, hoping it will eat him last.' - Winston Churchill
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    swohio75 View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote swohio75 Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 10:31am
    I disagree.

    He voted FOR the Vail property transfer from the city at $1.

    He voted AGAINST the CRA tax exemption for the Central Ave property, which was acquired from a non-public entity.

    Regardless if LS is a success, the CRA deals only with increased value of the property based on improvements made.  
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    middielover View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote middielover Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 10:56am
    From what I saw of the meeting, Robinette was present to answer questions. Moon asked no question on either the CRA abatement or the $16,000 in fees forgiven to the Wings project.
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    spiderjohn View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote spiderjohn Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 11:25am
    I pretty much agree with all of you, and I did not watch or hear about the proceedings(other than the arm-twisting prior to the decision).

    Disappointed with how a couple of Council members voted, but not surprised at all.

    Don't see why we would wave tap-in fees to a chain that is doing well and will probably do well here--they could pay the $16,000

    imo the distillery project has much more risk
    so---anyone in town who improves their business property should now ask for a 10-year 100% tax abatement on the improvements?

    too many former tax-revenue producing properties are being purchased then gifted to FUCC(friends of councilmembers and cronies) that now pay no taxes of any type and are constantly in need of public support.

    All of these tax liabilities(don't forget the schools' share) is being shifted to remaining property owners, along with city fee increases. It all seriously adds up. Seems to me these actions only make it tighter on the non-benefitting citizens.

    Does Mr.Robinette even live in Middletown to share these burdens?
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    Vivian Moon View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 12:00pm

    The remarks made by Bohannon at the March 1st meeting concerned the fact that other projects in the downtown area by Robinette have not been completed due to lack of funding. Bohannon requested proof that Robinette had the $300,000 needed to fund and open this business.

    I did watch the meeting and no reference was made by anyone that Bohannon’s concerns were answered or that Robinette had shared any financial records with council members before this meeting.
    Another sad night for the voters of Middletown when council members are not able to ask questions so they can make an informed vote.




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    Dean View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Dean Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 12:38pm
    Spiderjohn, you are absolutely correct. It will be the commercial and residential property bill having fees and taxes raised to cover the give-aways.

    I have been informed through a few city employees Steve Bohannon met with Mr. Robinette privately, and the outcome was pretty much, go pound sand Steve, you are screwing this done deal up. Apparently, Bohannon got the message.

    Downtown is obviously going to be a non tax zone, and any business with the give away precedent established, will be demanding everything given by the city, the water tap in fee waived, no taxes, buy the land at city expense.

    The actions don't help the property owner values rise, instead, the cause them to drop, associated with the liabilities property owners have on taxes and fees to pay for the give-aways by the city.

    Picard says council doesn't get involved in city business, other approving or not approving what the city decides. By meeting with Robinette, Bohannon did the opposite. These practices of behind the door meetings are not justified.         
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote middielover Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 1:45pm
    V MOON

    Why did Bohanon and TMoon not ask any questions?
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    Dean View Drop Down
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Dean Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 1:51pm
    They knew the answer. Robinette did not have the cash. Awaiting gap cash (100%) from MMF program. 
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote middielover Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 2:02pm
    If they knew the answer, why not ask him in public meeting. Why are they being so secretive. What does Bohannon and Moon have to hide?
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote VietVet Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 2:03pm
    Originally posted by Vivian Moon Vivian Moon wrote:

    <p ="Msonormal">The remarks made by Bohannon at the March 1st meeting
    concerned the fact that other projects in the downtown area by Robinette have
    not been completed due to lack of funding. Bohannon requested proof that
    Robinette had the $300,000 needed to fund and open this business.

    <!--if !supLineBreakNewLine-->

    <!---->



    <p ="Msonormal">I did watch the meeting and no reference was made by anyone
    that Bohannon’s concerns were answered or that Robinette had shared any financial
    records with council members before this meeting.
    Another sad night for the voters of Middletown when council members are not able to ask questions so they can make an informed vote.

    <p ="Msonormal">



    <!--if !supLineBreakNewLine-->

    <!---->





    Interesting. Adding to Vivian's comments...... Then why did Bohannon go along with the program if he didn't receive the information he requested to make his decision? If any of you were on council, and you asked for some info. to make an informed decision, would you have gone ahead and voted to approve this cluster? Would you keep voting to help Robinette out knowing his track record on developing these buildings once he gained ownership of them? Has Robinette been successful and shown any progress toward improving any downtown building since he made the real estate scene in the downtown area? What have the council people been given from Robinette to convince them he has the financial resources to achieve any building improvements?

    So now, they are going so far as to ignore council's requests? What is disturbing is members of council, once denied their request, just sit there in silence instead of demanding what they need. Apparently, we weren't too far off calling them puppets for the city. No council member with a spine other than Moon? If so, what a waste the others must be.
    I'm so proud of my hometown and what it has become. Recall 'em all. Let's start over.
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote FmrMide81 Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 2:07pm
    Apparently Donald Trump's candidacy has had one effect-the scrutiny of his past real estate dealings have shown all real estate developers that you NEVER use your own money in a deal. Wait for some sucker (say, Middletown fr'instance) to offer to pay things for you.
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote spiderjohn Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2016 at 10:17pm
    Hard to say middie lover, since most things are now discussed and decided prior behind the scenes. Frustrating when one would like to hear open discussion and details. Makes watching Council meetings somewhat pointless, however that is how admin and current Council prefers. Sad and somewhat a slap in the face to caring citizens imo, though it explains why many don't care or want to be involved any more.
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