City gives grant to new business
Denies funding of wellness center
Staff reporter
Marion City Council faced two tough issues Monday evening when it had to decide which businesses should receive city grant funds and how much should be awarded.
City economic development director Jami Williams told the council that $1,528.80 was available in the city's grant fund. TC's What Not Shop had applied for a $5,000 grant. The grant committee had approved the grant but had limited funds available.
Councilman Gene Winkler said only so much money was available.
Originally the city had provided $25,000 for the program with funds provided through special sales tax earmarked specifically for economic development. Numerous grants had been awarded with only one business failing. Williams pointed out that the grant program was successful.
Theresa Carroll, owner of the business, told the council the city had mislead her in promoting the grant program.
Councilman Bill Holdeman said he wanted everyone treated the same. Winkler asked city administrator David Mayfield if funds were available in the budget. Mayfield responded they weren't.
Mayor Martin Tice asked if funds were available in the economic development budget. Mayfield said they were. When the dust settled following several motions, the council approved a total of $5,000 be granted to the business and the halt of grant applications. Jerry Kline opposed the motion.
Randy Crawford, representing Marion Fitness Center, formerly Marion Wellness Center, requested the council consider a $5,000 grant for the center even though the grant committee had denied his request.
Williams explained that the committee was concerned that the center may not meet economic development requirements as dictated through the special sales tax. Economic development efforts should have an impact on sales tax revenue, broadening property taxes, and/or creating more jobs. Unfortunately, the wellness center did not meet any of the criteria.
It was noted that a private investor had offered to provide a $5,000 donation to the new owners. With that, the council denied the request for grant money.
In other business:
— The council approved a flexible spending account for city employees. Employees will have the option of having money taken from their biweekly paychecks and placed in an account to be used for medical expenses not covered by health insurance.
— Marionks.com domain name will be purchased by the city.
Through a memo, Mike Fruechting, owner of the domain name, made another offer to the city which the city approved. The city will pay Fruechting $4,000.
— Marion Economic Development Advisory Board members were re-appointed. Anita Seacat was re-appointed for two years, and Hilary Dolbee, Max Hayen, and Margaret Wilson for three years each.
Williams said three additional members were being sought to make the total membership 12.
— Teresa Huffman, Marion County Economic Development Secretary, reported her activities.
— Winkler reported on upcoming Chingawassa Days activities, June 1-3. Country music group Trick Pony will be the Saturday night headliner with a worldwide Elvis impersonator contest on Friday night.
— Bill Holdeman reported truck parking was needed with 20 spaces available. Mayfield said Rob Hartley had looked at a city-owned area on South Third Street but determined it was not going to work.
Williams reported that Ampride had rented all spaces the first month which reduced the number of trucks needing an area to park.
Councilman Stacey Collett asked why someone wasn't looking at this as a business opportunity?
— Resident Jim Davis asked the council why city bills were being processed out of town.
City clerk Angela Lange said the city was short an employee in the clerk's office which would result in overtime if the bills were processed locally.
— Mayfield informed the council that Marion County Commissioner Dan Holub had requested a public meeting with city officials to give the public an opportunity to ask questions. Tice suggested the meeting be after a regular council meeting.
— A 30-minute executive session was called for attorney-client privilege between the council, Mayfield, Baldwin, Marion Planning Commission, Fredrickson, and USD 408 Superintendent Lee Leiker.
The meeting reconvened with no decisions.
— A $100 donation was approved for Big Brother Big Sisters Bowl for Kids Sake.
The next council meeting is at 5:30 p.m. March 12 in the city building.
