The Toulon city council held its monthly meeting Monday and approved TIF (Tax Increment Fund) financing of the new grocery store to be built in Toulon.
In a majority vote, the council allocated up to $310,000 over a 10-year period TIF payments, or $31,000 per year, to Stark County Ventures, LLC.
The projected total cost of rebuilding the store on the same location, which was destroyed by fire, equals $420,000 if on budget. If not, then an estimated $50,000 in overruns equals $470,000.
The breakdown of the $420,000 is $220,000 supplied by Stark County Ventures and the remaining balance of $200,000 through TIF financing.
Stark County Ventures is planning on seeking a $250,000 maximum bank loan to supplement its portion of the cost. Toulon will pay $25,000 in TIF per year up to the $31,000 figuring in the overrun costs.
Real estate taxes of approximately $5,000 is projected that will be repaid to the city’s TIF account. Also, sales tax of approximately $14,000 will bring revenue into the city’s general fund.
A Thursday, October 23 meeting is scheduled for the 57 members of Stark County Ventures and they will be presented with the approved TIF financing figures from the city.
Councilmembers Ryan Kelly, Misty Turnbull, Donna Lefler and Mayor Larry Hollis voted to approve the TIF financing. Debbie Wyant, Connie Jacobson and Rob Finney abstained (counted as a “no” vote).
It was uncertain if they owned property in the TIF district that would exclude them from voting. Should they be included in the TIF district, then they would have a conflict of interest by voting on the measure.
Only one bid was received from Jim Mercer to construct 1,050 feet of roadway at the new Toulon Ridge subdivision. The base quote was $38,777 with a total quote of $42,924 for the project that included a fabric underneath for ground stabilization.
Previously, $25,000 was approved in TIF money by the council for this project, so the additional $17,924 was approved with the passing of this agenda item.
Originally a November 14 completion date was set for all work, but that may have to be rescheduled, given that it is only three weeks from the approved bid.
Kelly, Turnbull, Lefler and Hollis voted aye with Wyant, Jacobson and Finney abstaining because of TIF district questions surrounding their status.
The city TIF account has $138,212.47 total in it with $138,209.82 in savings and $2.65 in checking. Allocated from the total is $25,000 for the new subdivision road and $3,200 for the sidewalk at the Toulon Library.
The subtotal equals $110,012.47, minus the newly approved $17,924 for the remainder of the subdivision road cost that brings the subtotal down to $92,088.47 in the account.
The TIF administrator, Teresa Macy, was allocated on approval by the council, to be paid $1,000 a year for duties performed.
Halloween hours were established for this year’s Trick-or-Treat on October 31 to be held from 5 to 7 p.m. People wishing to participate should have their front porch light turned on to indicate they are available for Trick-or-Treating.
The agenda item of vacating the alley on Olive and Thomas Streets was tabled until next month to clarify ownership of adjacent properties.
The east-west section of the alleyway was not approved in past council meetings because a super-