MEETING NOTES DECEMBER 19, 2023

Willoughby City Council Meeting Summary

• December 19, 2023 •

Ken Kary • Councilman Ward 2

NOTE

These notes “are not” the official minutes for Willoughby City Council.

The views I express in these Council Meeting Summaries are my own and do not reflect any official view or position of the City of Willoughby.

The “official” Council Minutes are posted on the City of Willoughby Website

https://willoughbyohio.com/city-council/

Committee Meetings:

ENVIRONMENTAL PLANNING COMMITTEE MEETING:

Committee: Ken Kary, Dan Anderson, Dan Garry

*The purpose of the Environmental Planning Committee meeting is to review the following:

#14-10-23- Tree clearing and earthwork of approximately 5.3 acres and construction of asphalt pavement and storm sewers for a T-Hangar on land located at Lake County Executive Airport.

This is a plan for the Airport to lease property to a private individual who will build a new hangar on Lost Nation Road. This E.A.S. was approved and the project will be presented to Planning Commission January 11, 2024 for review.

ECONOMIC DEVELOPMENT COMMITTEE MEETING:

Committee: Dan Anderson, Ken Kary, Mike Merhar

**The purpose of the Economic Development Committee Meeting is to discuss Residential Improvement Districts (RIDs).

RESIDENTIAL IMPROVEMENT DISTRICTS (RIDS)/TAX IMCREMENT FINANCING (TIFS)

Chairman Anderson stated this meeting derived from the previous Economic Development meeting in which a RID was discussed for Andrews Ridge Phase 1. He hopes to determine the opinion of Council on RIDs and TIFs.

Lake County Auditor Christopher Galloway stated he was not an expert on RIDs, but when he was a trustee for Concord Township, he became familiar with TIFs. He stated that the city of Painesville is the only other municipality in Lake County that has a RID; he said TIFs are more common in Lake County. He stated that RIDs and TIFs work the same way, both found in the Ohio Revised Code. A TIF is typically used in a commercial district or a specific parcel where RIDs are used in a residential district. Typically, a RID is over a 30 year period and you are capturing the increase in value on a parcel(s) which is a result of development. For example, if there is a piece of land valued at $100,000 and a $11 million factory is built on it, the municipality would capture the difference between the $100,000 and the new value of $11 million and divert that money to a fund that would be used for infrastructure improvements that are within the defined area as written within the ordinance. He stated a RID works the same way. From his standpoint as County Auditor in dealing with the Department of Taxation, RIDs and TIFs are treated the same. He stated the auditor’s office needs to know if there is an agreement with the school district where the City captures the money and gives it to them or if the auditor needs to parcel the money out to the school district and then the City gets their piece. Procedure wise, the Auditor just needs to know if money needs to be distributed to another entity. Mr. Kary asked about RIDs in Lake County. Mr. Galloway stated that in the system at the auditor’s office, they all look like TIFs. He would have to look at the legislation to determine what is a RID and what is a TIF. Mr. Kary questioned why there are so many RIDs in Cleveland. Mr. Gallaway stated he couldn’t speak to Cleveland, but when the RID legislation was originally passed it was a mechanism for redevelopment of blighted areas. Mr. Kary questioned why a RID or TIF wasn’t done when JoJo’s Ice Cream went up or when The Standard was developed. Mr. Carr stated that when Shepards Glen was denied, he stated there were other developments i.e., the Standard, he stated he would defer to the Council members of those wards if they wanted to pursue a RID. Mr. Galloway noted that Cleveland has a lot of redevelopment going on and probably a lot of infrastructure that is very old; he stated that if he were in Cleveland he would probably want to put a RID on every parcel he could. He stated that with either a RID or a TIF, the money has to be used for a specific project or improvement. The legislation that is written needs to be very specific. He stated that some communities have used a RID to build a new fire station (he noted this was done in Liberty Township which is not blighted). He stated that TIFs and RIDs are interchangeable; it depends on the need. He said TIFs and RIDs are normal and the City shouldn’t be afraid of using them. The municipalities need to determine if they want to leave the schools “whole” or not. He stated most TIFs and RIDs are typically 30 years especially if they are tied to a bond; you could have a 30 year TIF or RID and pass legislation to end it if the project had been paid for. Mr. Merhar asked what specifics have to go into a RID or TIF as far as how broad or narrow it needs to be. Mr. Galloway stated he suggested asking Law Director Lucas for those answers. Law Director Lucas stated RID money, with the establishment of the district, is limited to the district; you can narrowly define the infrastructure i.e., sewers or sidewalk or it can be broad (but still needs to be limited to the district). Mr. Lucas stated the district needs to include the parcel numbers.

Ms. Sievers asked if money for other places like libraries would remain whole like a school district. Mr. Galloway stated the City would need to determine through legislation whom they are holding harmless in terms of the revenue. He noted that the school district receives 60% of the taxes, but money also goes to the library. Most municipalities try to hold the school system harmless. Mr. Merhar noted that money is not being taken away from them, they are just not receiving additional money. Regarding Andrews Ridge, Mr. Kary stated the failing storm and or sanitary sewers were never mentioned prior to the approval of two EAS’s that were before Council and the Planning Commission. Now the City needs to use taxpayer money to make the repairs. Mr. Kary stated the developer should have been responsible for paying for the repairs.

Mr. Anderson stated he is in favor of a RID for infrastructure repairs on sewers; he doesn’t feel sidewalks should be included. Mr. Merhar stated he was willing to consider a RID noting that if the City doesn’t do one, the City would be at a disadvantage. Mr. Carr stated he would be supportive of a RID. Mr. Tomaselli stated he isn’t a fan of RIDs, but the agreement with George Davis for the wetlands and the park triggered a lot of good projects for the City outside the sanitary sewers. If the City would have asked him for storm sewer money, the other agreement might have fallen apart. Mr. Kary stated it’s disappointing when a developer has an obligation to upgrade a plan and now the City is going to take care of it for them. He stated he felt there are agencies that could use the money and they won’t be getting it because the City will be getting the money. Residents vote for levies and now those tax dollars won’t be going to those programs. He said it bothers him that seven members of Council can make the decision on where voted tax dollars are spent. Mr. Galloway told Council not to concern themselves on whether or not to use a RID; it is an acceptable normal tool. Keep in mind, the RID is capturing the revenue of the increase value on the homes to apply towards a sewer. None of the people have voted on the levies yet because no one is living there yet. You would not be disenfranchising their tax vote, because they haven’t made one. Mr. Kary said to put it out to vote. Ms. Sievers stated she was not in favor of RIDs; she would like to see a shortened time frame (not 30 years). Mr. Anderson noted that the City could pass legislation to stop a RID prior to 30 years. Mr. Thielman stated that the City’s current two RID’s are non-school RID’s and the City takes 100% of the county portion and the City’s portion for the first 10 years. After the first 10 years, that is reduced to 50%. The City could put a term limit in the RID legislation. The parameters for the SOM Center Road RID included sidewalks, signalization, paving and sewers.

AGENDA

REGULAR COUNCIL MEETING

December 19, 2023

APPROVAL OF MINUTES-

Regular Council Meeting of December 5, 2023

STANDING AND REGULAR COMMITTEE REPORTS

No major reports

CORRESPONDENCE

Clerk Novak read a request for a D5I liquor license permit for Julias at WH LLC, 37819 Euclid Avenue, Willoughby, OH 44094. Mr. Carr noted this is the new restaurant at the Willoughby House. Mayor Fiala said this is a special license that cannot be transferred. Mr. Thielman noted that with a D5I permit, the establishment has to have a certain number of seats in a restaurant and square footage and a certain amount of revenue needs to come from food as opposed to beverages. This license is not transferable; it must stay at that location. There were no objections.

PUBLIC PORTION

Brent Woerner, American Legion Post 214, Pelton Road, Willoughby, Ohio – On behalf of the American Legion and Wreaths Across America, Mr. Woerner thanked the City for their participation in placing wreaths.

UNFINISHED BUSINESS

ORDINANCE NO. 2023-146 TABLED

An ordinance agreeing to change portions of the boundary of the City of Willoughby with the Village of Waite Hill, and superseding Ordinance No. 2023-6.

NEW BUSINESS

RESOLUTION NO. 2023-147 MOTION CARRIED 7 to 0

A resolution accepting the amounts and rates as determined by the Budget Commission, authorizing the necessary tax levies, certifying the same to the Lake County Auditor, and declaring an emergency.

RESOLUTION NO. 2023-148 MOTION CARRIED 7 to 0

A resolution authorizing the Director of Finance to transfer funds from the General Fund to various other funds, and declaring an emergency.

RESOLUTION NO. 2023-149 MOTION CARRIED 7 to 0

A resolution amending Resolution No. 2023-44 to provide for current expenses and other expenditures of the City of Willoughby, Ohio, during the period ending December 31, 2023, and declaring an emergency.

RESOLUTION NO. 2023-150 MOTION CARRIED 7 to 0

A resolution authorizing temporary appropriations totaling $28,711,665 for current expenses and other expenditures of the City of Willoughby, Ohio, during the period ending March 31, 2024, and declaring an emergency.

RESOLUTION NO. 2023-151 MOTION CARRIED 7 to 0

A resolution approving Change Order No. 2 in the Willoughby Osborne Park Coastal Improvements Project with SmithGroup, and declaring an emergency.

RESOLUTION NO. 2023-152 MOTION CARRIED 7 to 0

A resolution approving EAS #14-10-23 for tree clearing and earthwork of approximately 5.3 acres and construction of asphalt pavement and storm sewers for a T-Hangar on land located at Lake County Executive Airport.

RESOLUTION NO. 2023-153 MOTION CARRIED 7 to 0

A resolution authorizing the Mayor to accept a Grant through the Ohio Department of Natural Resources (ODNR), to provide Financial Assistance for the engineering and design phase of the Chagrin River Floodplain and Riparian Restoration Project, and declaring an emergency.

NOTE:

For accuracy, this section has been copied from the council meeting minutes

MAYORS REPORT

Mayor Fiala reported that a Charter Review Commission will convene in 2024; each Councilperson should submit their appointment to the Commission. He stated legislation will be on the agenda for the first meeting in January for the purchase of radio equipment for the new police facility. There is a long lead time for the equipment and money from the safety levy will be received in January.

DIRECTOR’S REPORTS

Parks & Recreation Director Keller – No report. Mr. Carr asked if there were any comments from the public about the closing of the Euclid Avenue pool. She stated a few parents of children who worked at the pools commented they thought it was sad the pool would be closing. Ms. Keller stated she is ready to start talking about the options for the pool.

COUNCIL REPORTS

Ms. Sievers – Ms. Sievers thanked the American Legion and Bill Dittebrand for his presentation for Wreaths Across America at the Willoughby Memorial Gardens.

Mr. Tomaselli – No report. Mr. Tomaselli thanked Judean Keller, Chief Schultz and Rich Palmisano for assisting with the Miracle on Erie 5K run.

Executive Session - The purpose of the Executive Session is in accordance with ORC 121.22(G)2 to discuss the sale of property.

Motion made and seconded to go into Executive Session in accordance with ORC 121.22(G)2 to discuss the sale of property at 7:32 p.m. Mr. Dru Siley and Mr. Justin Gantz from Liberty Development Group were invited to participate in the Executive Session.

ADJOURNMENT

COMMENTS BY COUNCILMAN KARY

Sorry, but there are no additional comments in this Summary. I am running behind and need to play “catch up.” Important Planning Commission Meeting this evening and a City Council Meeting Tuesday.

A lot of “HOMEWORK” to address. I promise to catch up as I move into the January meetings. Take care and “BEST WISHES” to all. Just for the record, at the January 2nd Council Meeting, I and the other council members were sworn in for another term. I promise to do my best to represent you and your concerns for Willoughby and Ward 2 over the next two years.

NOTE

The views I express in these Council Meeting Summaries are my own and do not reflect any official view or position of the City of Willoughby. The “official” Council Minutes are posted on the

City of Willoughby Website

https://willoughbyohio.com/city-council/

Ken Kary