by German Lopez
Funding for development at Fourth, Race streets also gets approval
City Council today approved funding and accountability measures for the Cincinnati streetcar project, allowing the project to move forward.On Monday, the Budget and Finance Committee approved the measures, which CityBeat covered in further detail here. The funding ordinance closes the streetcar project's $17.4 million budget gap by issuing more debt and pulling funding from various capital projects, including infrastructure improvements around the Horseshoe Casino. The accountability motion will require the city manager to update City Council with a timeline of key milestones, performance measures, an operating plan, staffing assessments and monthly progress reports.Council members Roxanne Qualls, Laure Quinlivan, Chris
Seelbach, Yvette Simpson and Wendell Young voted for the measures.
Council members P.G. Sittenfeld, Chris Smitherman and Charlie Winburn
voted against both. Councilwoman Pam Thomas voted against the funding
ordinance, but she voted for the accountability motion.City Council also unanimously approved funding for a development project on Fourth and Race streets, which includes a downtown grocery store, luxury apartment tower and parking garage to replace Pogue's Garage. CityBeat covered that project in further detail here.
by German Lopez
Plan also includes parking garage, luxury apartments
In a 7-0 vote today, City Council’s Budget and Finance
Committee approved development plans for Fourth and Race streets to
build a downtown grocery store, 300 luxury apartments and a parking
garage to replace Pogue’s Garage.
Following the city’s $8.5 million purchase of the
property, the project will cost $80 million. The city
will provide $12 million through a five-year forgivable loan, and the
rest — $68 million — will come from private financing.
The committee hearing largely focused on the downtown
grocery store, which Odis Jones, the city’s economic development
director, called the “next step” of the city’s overall plans to
invigorate residential space and drive down office vacancy downtown.
Development company Flaherty and Collins will oversee the grocery store project, which was originally attached to the city’s plans to semi-privatize its parking assets.
The grocery store will be 15,000 square feet — slightly smaller than the Kroger store on Vine Street, which is about 17,000 square
feet — and open daily from 7 a.m. to 10 p.m. It will be run by an
independent operator, which is so far unnamed.
Flaherty and Collins CEO David Flaherty acknowledged it’s
“a compact space,” but he said it will be enough space for a
“full-service grocery store” with all the essentials, including fresh
The grocery store will be at the base of a new, 30-story residential tower, which will include 300 luxury apartments and a pool.
Across the street, the city will replace Pogue’s Garage, which city officials have long called an “eyesore,” with a new garage.
The seven Democrats on City Council voted in favor of the
plan, with Independent Councilman Chris Smitherman and Republican
Councilman Charlie Winburn abstaining.
Democratic Councilman P.G. Sittenfeld questioned the
funding sources for the project. City officials explained the $12
million loan will come through urban renewal bonds, which were
previously set aside in an urban revival plan that encompasses all of
Jones said the money was going to a hotel-convention
center deal when the city originally pitched the parking plan, but that
deal has since collapsed.
City officials also noted the urban renewal fund, which is generated through downtown taxes, can
only be used on capital improvement projects that support development
and redevelopment downtown. Although the fund could be modified by
City Council, it could never go to operating budget expenses such as police
Public dollars will go to the public garage, while private funds will carry the rest of the project.
The city’s $12 million investment comes through a
five-year forgivable loan, which means the city will get its money back
if parts of the project, including the privately funded grocery store,
fail to meet standards within five years. After the five years are over,
the loan is forgiven and any failure would result in a total loss on
Smitherman, who opposed the city’s parking plan,
criticized the city administration for not presenting the current
funding plan as an alternative to the parking plan: “What I’d like as a
public policymaker is to see all of the options in front of me so that I
can choose not just one option but maybe three options.”
Sittenfeld also questioned Flaherty about two previous projects Flaherty and Collins undertook that went bankrupt. Flaherty said the bankruptcies were mostly related to the economic downturn of 2008, but admitted the bankruptcies forced the company to make changes.
The city estimates the project will produce 650
construction jobs and 35 permanent, full-time jobs.
For the city, the project is part of a much bigger plan
that includes getting 3,000-5,000 new residential units built
downtown in the next five years to meet rising demand.“It’s hot to be downtown right now,”
Jones explained the property would have cost Cincinnati millions of dollars regardless of the city’s buyout and development plans because of a liability agreement the city made in the 1980s.“When you start from
there and you gradually come up and look holistically at the project,
taking action was not only necessary, it was prudent,” he said.
by German Lopez
City advances without parking plan, Kasich on budget defense, Seelbach questions Cranley
Got questions for CityBeat about, well, anything? Submit them here, and we’ll try to get back to you in our first Answers Issue.Even without the parking plan, the city passed a budget with no public safety layoffs and is moving forward
with plans for the Uptown interchange project, a downtown grocery store, a new garage to replace Pogue’s Garage, Wasson Way and the Smale Riverfront Park. The turnaround has
prompted some critics to question whether city officials were being
honest when they cited a list of potential problems if the city failed
to semi-privatize its parking assets to raise funds, but Mayor Mark
Mallory and supporters say a lot changed between the time the threats
were made and now, including tax revenues coming in at $4.5 million
better than projected.
The Columbus Dispatch says Gov. John Kasich has found himself “playing defense”
in the current budget cycle — a sharp contrast to the budget cycle in
2011. Both the Ohio House and Senate have greatly changed Kasich’s original budget plan. Instead of
taking up Kasich on his plan to expand the sales tax while lowering the
rate, cut income taxes by 20 percent across the board and cut small
business taxes, the House approved a 7-percent across-the-board income tax
cut and the Senate replaced the House plan with a tax cut aimed at small businesses. Both
chambers also rejected the Kasich-backed, federally funded Medicaid
expansion and the governor’s education funding plan.
Democratic Councilman Chris Seelbach says he was yelled and sworn at for several minutes
by Democratic mayoral candidate John Cranley’s campaign manager
following open questions about whether Cranley is still a Democrat.
Cranley has long opposed the city’s streetcar project and parking plan, which have both received support from a majority of Democrats in City Council, and tacitly supports Amy Murray, a Republican City Council candidate.
Estimates for Cincinnati’s Horseshoe Casino improved last month,
coming in at $2 million more than April’s estimates. The $20 million
estimate is still nearly $2 million less than the casino received on
Former mayor Eugene Ruehlman died Saturday night at the age of 88.
Ohio gas prices remain at nearly $4 this week, above the national average.
The self-proclaimed “whistleblower” who leaked details about two NSA surveillance programs has revealed himself in Hong Kong.
Apparently Kings Island is open, and Adventure Express was evacuated due to a “mechanical problem.”
The latest design for skateboard wheels is a square.
Cold War-era radiation apparently has the answer for whether adults keep making new brain cells.