GALION, Ohio — Galion City Council passed legislation Tuesday evening that would designate a Tax Increment Financing (TIF) district. The district is expected to attract a 70-room hotel to Galion.
“We need to advance this so that we can meet their construction schedule. Which was reportedly January,” said Mayor Tom O’Leary.
O’Leary addressed confusion presented on social media.
“The city is not funding this hotel. The money that is going to go into this is going to come from new taxes that are paid by the developer that we’re going to direct a portion of those to pay for this infrastructure,” said O’Leary.
The $5.5 million Sleep Inn and Mainstay Suites project will consist of 70 beds, said O’Leary. During the council meeting he said he would contact the contractors in the morning if the ordinance passed.
“I hope to get them in town soon,” he said.
In other news, O’Leary confirmed in his report to the council that the 299,000 square foot HTI facility owners intend on donating the building to the city. The building was headquarters to Galion Iron Works in 1971.
The city’s acceptance of the building awaits council approval, said O’Leary.
“I have a little intrepidation because it’s a big undertaking, but it has tremendous potential,” he said. Other than roof work, he said the facility could be a valuable asset to the city.
He reminded council members of the belief that every 1,000 square feet equals one employee.
O’Leary said no industry or business has currently expressed interest in moving in to the facility.
Other legislation
The second reading of Ordinance 2015-85 that mandates citizens and residents living in Galion cut weeds and grass passed Tuesday evening. According to the ordinance, citizens are required to keep weeds and grass cut to a length that does not exceed eight inches.
The language excludes gardens, said council member Sarah Capretta.
In other action, council voted and unanimously agreed to amend the state mandated income tax code section which gives state officials the right to inspect homes and apartments owned by landlords.
According to Law Director Thomas Palmer, section 23 of the income tax amendment is left up to the council’s discretion.
Palmer said the income tax revision is state mandated and redefines how the state and its municipalities codifies income tax.
That ordinance, 2015-91, will move on to a third reading and is expected to pass at Galion’s next council meeting, Nov. 24. The state’s legislation must come into effect in municipalities by the end of the year, said Palmer.
“We want to make sure the public has a chance to read it,” said council member Dr. Thomas Fellner.
Council also passed an Ordinance 2015-94 to allow the Galion Public Library to be its own entity. Palmer said the library has been owned by the city since 1988 or 1989.
“The library has asked for their library back,” said Palmer.
Council then unanimously passed an ordinance (2015-95) that will allow residents to petition for a water service extension. Some residents, council member Michael Richart explained, live barely outside the city limits.
“The current ordinance language basically mandates they get annexed into the city before they get that city water,” said Richart. “That should probably be changed.”
Council President Carl Watts said there have been many requests for a city water extension lately.
The new ordinance would extend the city’s water services to residents who petition for it and extensions would be limited to residents’ water — not businesses.
Council member Shirley Clark saw the new ordinance as a chance for creating revenue.
“It sounds like it would be a win situation for everybody. It would bring more revenue into the city and certainly help those people out there are so close to the city,” said Clark.
Mayor Tom O’Leary agreed.
“Our revenue is stubbornly flat … this would be a first step forward on generating more revenue,” he said.
The next Galion city council meeting is scheduled for Tuesday, Nov. 24 in the Galion Municipal Building at 7 p.m.
