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AGENDA 2-16-2016

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    Posted: Feb 13 2016 at 10:06am

MIDDLETOWN CITY COUNCIL AGENDA

TUESDAY, February 16, 2016

BUSINESS MEETING – 5:30 pm – COUNCIL CHAMBERS – LOWER LEVEL

1. MOMENT OF MEDITATION/PLEDGE OF ALLEGIANCE TO THE FLAG

2. ROLL CALL

3. CITIZEN COMMENTS, GUESTS, ORGANIZATIONS’ REPORTS Julie Joyce Smith- Butler County Auditor Update

4. CITY MANAGER REPORTS Alexis Fitzsimmons- Employee Recognition Program 5. CONSENT AGENDA. . . Matters listed under the Consent Agenda are considered to be routine and will be enacted by one motion and one vote of consent. There will be no separate discussion of these items. If discussion is desired, that item will be removed and considered separately.

(a) Approve City Council Minutes: January 23 & February 2, 2016

(b) Receive and File Board and Commission Minutes: Board of Health- March 10, 2015 MidPointe Library Board- November 17, December 15, 2015 Park Board- January 4, 2016

(c) Confirm Personnel Appointments: Jeffrey Green- Zoning Administrator, Community Revitalization Department Deborah Lindsey- Part-time Bus Driver, Community Revitalization Department, Transit

MOTION ITEM

(a)    To authorize the City Manager to enter into a contract with R.A. Miller Construction Co., Inc. to proceed with the 2016 Urban Paving Sidewalk, Curb & Gutter Program.

COUNCIL COMMENTS

 

LEGISLATION

 

1. Ordinance No. O2016-03, an ordinance establishing a procedure for and authorizing an amendment to the contract with O.R. Colan & Associates for the acquisition services associated with improving Yankee Rd (Phase III) and declaring an emergency.

 

2. Ordinance No. O2016-04, an ordinance establishing a procedure for and authorizing a contract for the transfer of CITY owned property located at 1316 Vail Street to Liberty Spirits, LLC for redevelopment, and declaring an emergency.

 

3. Resolution No. R2016-05, a final resolution authorizing the City Manager to enter a contract with the State of Ohio, Department of Transportation for the resurfacing of a portion of State Route 4 (Verity Parkway) and declaring an emergency.

 

4. Ordinance No. O2016-05, an ordinance authorizing a contract with Buick GMC of Beachwood for the purchase of a GMC Sierra 15 Automobile.(1st Reading)

 

EXECUTIVE SESSION Under the authority of O.R.C. 121.22 (G) (2) To consider the purchase of property for public purposes, or for the sale of property at competitive bidding, if premature disclosure of information would give an unfair competitive or bargaining advantage.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 13 2016 at 11:19am
MUSA Readers

I would strongly suggest that you read the entire Council Workbook before the Tuesday meeting. City Hall over the next year, is planning to dump more taxpayers money into the DOWNTOWN DREAM...Here is the link:
http://www.cityofmiddletown.org/docs/council/02162016_w.pdf

Once again City Hall is going to sell property located at 1316 Vail, Midd-Town Cabinet building, that was purchased with taxpayers money several years ago for $90,000 plus another $5,000 moving expense for the grand sum of $1 to Mike Robinette.

And once again City Hall is going to set aside Ohio Law that states if the property is worth more than $5,000 it must go up for bid. This is just another inside deal as were the properties of the Thatcher Estate.

Yep..all of this while City Hall wants to add a $3 street light charge to all the water bills because they need more money.



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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 9:17am

OOOPS…Them boys down at City Hall sure are a sneaky bunch of little boogers.
When you read the report the only address used is 1316 Vail…however…when you look at the drawings this business will go all the way over to Central Ave.
Sooo not only will Mr. Robinette be getting 1316 Vail…he will be getting 1329 and 1341 Central Ave properties also.
I remember City Hall purchased the mission property for $125,000 on Central Ave and then demolished the building. They also demolished Barbs Pub.
Anyway you want to add up these numbers Mr. Robinette is getting over $200,000 worth of property for $1…Talk about a sweet deal.


S T A F F  R E P O R T

For Business Meeting:

DATE February 1, 2016

FROM: Doug Adkins, City Manager Transfer of City Owned Building for Redevelopment

PURPOSE To transfer 1316 Vail to Liberty Spirits, LLC to be redeveloped into a retail distillery related business including, barrel aging storage, finished product storage, retail sales, gift shop sales or other sales activity authorized by the Developers distilling license upon the Property. The final actual use will ultimately be dependent on changes currently pending in state law. The business could include just a tasting counter & retail sales, or it could include by-the-glass sales of liquor on premises.

BACKGROUND AND FINDINGS As part of demolition activities during the recession, the City demolished two buildings along Central Avenue, which in turn opened up the old Cabinet shop facing Vail. Liberty Spirits wishes to use the Vail building for retail sales of distilled liquor products including an open patio area in the green space created during the demolitions. This new business would be within the new Designated Outdoor Refreshment Area, allowing patrons another place to enjoy downtown entertainment. The building has been owned by the city for several years and there are no other foreseen uses in the near future.

ALTERNATIVES Keep ownership of the building until another use is presented. FINANCIAL IMPACTS Little. The city is not maintaining the building. Transfer to a new owner for redevelopment offers us a chance to not own the building and to offer additional development and employment opportunities downtown. RECOMMENDATION Staff recommends transfer of the property to Liberty Spirits, LLC consistent with the attached development agreement.

EMERGENCY/NON EMERGENCY This is requested as a first reading, second reading Emergency Passage at the March 1, 2016, City Council meeting.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Analytical Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 12:26pm
Unfortunate?  Unfortunate?  Unfortunate?.  Here's hoping that it isn't another example of chicanery Middletown style???
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Factguy Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 1:27pm
Giving money away to friends is getting dangerously close to a criminal inquiry. Maybe if Middletown gets cookin on all cylinders, the money pit called downtown Middletown will slow or desist. Not cool. But heck, its at least a for profit entity Robi has to pay tax on the building. Or will he?

Corporation Details
   
Corporation Details
Entity Number2402232
Business NameLIBERTY SPIRITS LLC
Filing TypeDOMESTIC LIMITED LIABILITY COMPANY
StatusActive
Original Filing Date06/09/2015
Expiry Date 
Location: County: State:
Agent / Registrant Information
MIKE ROBINETTE
5576 PINE CONE COURT
LIBERTY TOWNSHIP,OH 45044
Effective Date: 06/09/2015
Contact Status: Active
Incorporator Information
MIKE ROBINETTE
Filings
Filing TypeDate of FilingDocument Number/Image
ARTICLES OF ORGNZTN/DOM. PROFIT LIM.LIAB. CO.06/09/2015201516015578
TRADE NAME/ORIGINAL FILING07/10/2015201519165107

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Dean Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 1:59pm
Robinette investing in alcohol associated with the open carry zone Middletown thinking is the key to attracting local citizens downtown, moving from restaurant to restaurant. How much business would have been available for Grau with even a small presence by Robinette, former Economic Director.  Not much, competing interests. City almost gave Robinette the First National Bank building as well before pulling the reigns when he was high bidder. Isn't there a Subway supposed to be opening by him, but more $ margins in alcohol. With the Bash going strong, lucrative business. Interesting to know who is behind him in funding.    
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 2:20pm
Dean
It was the Bank One building that he lost the bid on not the First Nationial Bank.  The First National Bank and the old Senior Citizens buildings were given to HEP.  Robinette was involved in the Rose Furniture - Ewing building deal and also the Goetz Tower deal. Both are now on hold looking for funding
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Post Options Post Options   Thanks (0) Thanks(0)   Quote spiderjohn Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 2:26pm
sos--same old reasons
we pay--they play with city cronies
despite the "new era" change talk, the song remains the same(did anyone really like or understand that movie?)

Robinette is a nice fun guy--wish him well
but he doesn't usually hold long, and progress on 5th/3rd(hole in the side) and Rose(BIG hole on top and beyond)

?? boss A??
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 2:30pm

Goetz Tower Project:

Mr. Adkins provided an update on the Goetz Tower Project. He stated that the plan calls for 18-20 market rate studio and one bedroom apartments and ground floor commercial space. He explained that right now there’s a funding gap of $784,203 in the project. Without financial support from the City the project won’t start; he discussed options of cash/ occupancy guarantees and waiving of fees to get the project completed. 

Is Mr Adkins suggesting that City Hall may give Robinette a HUD backed loan to complete this project like they did for HEP-Cincy State?

allH

 

 

 

 

 

Manchester Inn/Sonshine Building.

Mr. Adkins provided an update on the Manchester Inn/Sonshine Building. He explained that Mr. Grau, Sonshine Building had requested additional assistance from the City to move the project forward but that many of these requests were significantly over and above the terms stated in the Development Agreement that was executed on May 20, 2014; there was additional discussion.

Hope House

Mr. Adkins discussed plans to relocate the Hope House Mission from Main Street to open up additional property for downtown redevelopment. Some of the locations currently being considered are Tytus Avenue and the former Abilities First Building on Grove Street. He explained that the Model Group is an integrated property development, construction, and management company with a passion for revitalizing urban neighborhoods. The Model Group is a recognized leader in historic preservation, mixed-use urban development, senior living communities, and affordable housing that is indistinguishable from market-rate housing. Depending on the final location selected, the Model Group could assist Hope House in the new construction or a redevelopment of a men’s shelter away from Main Street. This new shelter would, theoretically, require the use of HUD funds and include some defined amount of permanent supportive housing, such as Section 8 vouchers, to assist chronically homeless people in Middletown. The ongoing influx of HUD funds, along with other financing that could include LIHTC funds, make this project viable without City funds in support. He provided information about the work that the Model Group had done in Cincinnati on Burnett Avenue. He reported that in a short period of time the Model Group helped to lead a major transformation of Burnett Avenue from crime and blight to commercial activity, retail activity, green space, streetscape 7813 improvements, and high quality residential living.
You can bet that those on Main celebrated this news. THOSE PEOPLE will soon be out of sight and out of THEIR DOWNTOWN.

Rose Furniture

Mr. Adkins explained that with Hope House relocated, the Model Group would have interest in exploring a mixed-use, market rate, residential/commercial project using the strip of historical buildings along Main Street including the Rose Furniture Building.

Reed Klopp

Mr. Adkins discussed potential options of another long-term project. If the owner will not stabilize and renovate the Reed Klopp Building, the City could attempt to take title in lieu of abatement and foreclosure and utilize the building in a second round of residential redevelopment with Steve Coon.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 2:48pm
Spiderjohn
It is evident from the words of Mr Adkins that City Hall plans to continue giving away prperty and pouring taxpayers money into the black hole aka THEIR DOWNTOWN DREAM....While they scream they don't have money to turn on the street lights.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Dean Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 3:02pm
My mistake....too many musical chairs on free buildings, rather 1 $ buildings, to keep up with who got what and what is on hold. Don't understand why the property city declaring an emergency not going out to bid. This is same issue Robinette brought up on Bank One building and in violation of state law. Journal News had a story regarding this and quotes from Robinette that complained. Not cool!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Dean Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 3:05pm
Are the street lamp revenues at 3.00 a pop, generating $800 K, going to be thrown back into the General Fund that finds its way out back door to more buck buildings for Robinette and others? Not cool!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 3:18pm
Dean
We discussed the Ohio Law concerning this in detail here on MUSA when City Hall gave away the first building, the Masonic Temple. 
Call it what you may...these are inside deals that favor friends of City Hall.
The books should name this tax account the TAXPAYERS INVESTMENT ACCOUNT.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Cooper Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 4:00pm
The city of Middletown is very fortunate to have such fine stewards of financial oversight and concern looking after the common Joe citizen within Middletown, namely Dan Picard and Steve Bohannon, vigilantly monitoring the street light new funds so they will be used as planned by the city leadership LOL. Main Street is getting all funding while other neighborhoods get nothing.

And now, a  little help from the peanut gallery----

 

EXCLUSIVE: City received 2 higher offers for building

By Rick McCrabb

Staff Writer

MIDDLETOWN —

The city received two higher offers — one for $67,500 more — for a building it owns than the price City Council is considering accepting, the Journal-News has learned.

At last week’s council meeting, members were told Toast of the Town Events LLC, offered $135,000 for the Bank One building, 2 S. Main St., and artist and owner Chris Walden planned to convert the building into an art gallery and event center. They heard a presentation from Doug Adkins, director of community revitalization, and will vote on the emergency legislation at their next meeting, April 15.

Adkins told council the offer was unsolicited and said it made “good sense” because it generated revenue, fit the downtown business plan and got the city out of the landlord business.

Council member Dora Bronston questioned Adkins why the city decided to sell the building now when it had received offers before. Adkins told council the city hadn’t received any offers, only inquiries about the city-owned property.

Bronston again asked Adkins if the city had only received inquires, but no offers.

“That is correct,” he told Bronston.

But the Journal-News learned Monday that Mike Robinette, a Middletown developer and the city’s former economic development manager, made two offers to purchase the Bank One building. The first offer, dated March 24, 2014, was for $185,000 and it was signed by Steve Coon, one of Robinette’s business partners. The second offer, with the same date, was for $202,500, $67,500 more than the city is considering accepting. That one was signed by Robinette.

When questioned about it Monday, Adkins told the Journal-News the city was “already in negotiations” with Walden when Robinette’s offers were received, and the city typically only actively negotiates with one party at a time.

He said he expects council to approve the deal on the table, reject the deal, or give staff direction to complete some other action regarding this property.

“Some people were unhappy when the city purchased these buildings,” Adkins said. “Some people complained that the city shouldn’t be landlords or own property. Now that we are considering getting out of owning and leasing the buildings and are doing so at a small profit, some people are upset that we didn’t make enough profit. There are always going to be critics of any action taken.”

On Monday, when asked why she was persistent at the last council meeting, Bronston said she had received several phone calls from “concerned citizens” about the potential sale of the Bank One building. Bronston refused to answer additional questions, saying some of the discussions with City Council and city officials occurred in executive session.

Robinette told the Journal-News his first offer was rejected by city leaders, so his company increased its offer by $17,500, or just under 9 percent. When he had asked about the building and if the city was interested in selling it, he was told the building was not on the market, he said. Robinette received an e-mail from Gilleland that said the city appreciated his offer and what his company had done to stimulate the downtown economy, he said.

So, he said, his company “dropped the matter,” but after he learned the property was for sale, he submitted proposals.

He said his company had hoped to renovate the former bank building and convert it for commercial use and possibly highlight Middletown’s rich history in the steel, paper and banking business.

He said the city has “a certain amount of liberty” who buys buildings, but he wished bids would have been accepted, following the procedures outlined in Section 200.09 of the Codified Ordinance of the city of Middletown that states any city-owned property valued at more than $5,000 must be advertised in the newspaper or general circulation in the city, and the city should receive bids for at least 15 calendar days.

“The city should get the highest and best price they can get,” Robinette said. “There should have been a public competitive process so they could test the market.”

The building is valued at $137,980, according to the Butler County Auditor’s Office.

The city paid $275,000 in December 2010 to the Perry Thatcher estate for several downtown properties: CG&E Building, First National building, Masonic Temple and the Bank One building, Adkins said. He said the city received $202,000 from Higher Education Partners for the purchase of the former CG&E Building that is being used by Cincinnati State Middletown. If the Bank One building is sold, the city would make $62,000 off its investment.

City Council has donated the First National building to Cincinnati State Middletown and the Masonic Temple building to the Art Central Foundation.

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Post Options Post Options   Thanks (0) Thanks(0)   Quote VietVet Quote  Post ReplyReply Direct Link To This Post Posted: Feb 14 2016 at 4:31pm
Time to contact the state? Time for an internal investigation as to the property manipulation within this city if what we are hearing is illegal? Time to contact all Cincy and Dayton TV stations to get some publicity on this? Is there enough here to make a case?


Or do we live with it?
I'm so proud of my hometown and what it has become. Recall 'em all. Let's start over.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote spiderjohn Quote  Post ReplyReply Direct Link To This Post Posted: Feb 15 2016 at 7:58am
Once again our city admin is so desperate to show progress in the former downtown area that they are again giving away taxpayer-purchased property to a private entity--this time for another BAR!

If I owned a current liquor establishment on my own dime, I would be very concerned and upset by this subsidized new competition, creating a very unfavorably slanted playing field. Still--this has been admin's shameless un-caring way of operating for over 30 years( with not a very good track record). If this new place takes off ( after being given over $200,000 worth of public property and priority(EMERGENCY--that word) treatment.

So if a couple of other privately-owned liquor establishments lose business or close because of this place, I' m sure that it will be trumpeted as a huge success.

And gifted to a former admin economic director who has already owned two dormant former downtown area properties
All with MMF , Chamber, council and admin blessing.

This approach hasn't worked with the Manchester/Sonshine deal so far.

Interesting to say the least.....
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 15 2016 at 9:08am
Spider
This is a blanant misuse of City Hall power to chose the Winners and Losers in their very own Monopoly Game.
As granny said  "Actions speak louder than words". City Hall has spoken loud and clear...they don't give a damn about the rest of Middletown other than to pick our pockets for fees and taxes. 

BTY...I'm still waiting for those 3,000 to 5,000 students to show up downtown at Cincy State

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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 15 2016 at 9:11am

Cooper

I have heard that City Hall had two bids on the Masonic Temple before it was given to Art Central.

Please remember that the Thatcher commercial building downtown were paying property taxes every year. Now the majority of these buildings are sitting empty or non profit and pay nothing.

While the above article and Mr. Atkins would like you to believe City Hall made a profit on this deal the numbers from the Downtown Fund tell a much different story. City Hall also forgave loans and liens against the Thatcher buildings.

And then we have the Manchester-Sonshine deal…mercy



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Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 18 2016 at 7:39pm

Posted: 5:46 p.m. Thursday, Feb. 18, 2016

Middletown micro-distillery closer to opening

By Mike Rutledge

Staff Writer

MIDDLETOWN — 

Liberty Spirits LLC, a start-up micro-distillery, is planning to buy the property at 1316 Vail Ave. from the city of Middletown for $1, with plans to rehabilitate the 4,000-square-foot structure by late fall.

In the meantime, owner Mike Robinette plans to initially open the micro-distillery operation in another 4,000-square-foot building two properties away at 1357 Central Ave. in late June. The distilling of alcohol itself likely will start in late May.

“We’re calling the business Liberty Spirits purposely, because we’re going to build on the American Revolution era and in particular Patrick Henry, and his famous speech, ‘Give Me Liberty or Give Me Death,’” said Robinette, a former Middletown city employee who is owner/broker at Geo CRE Commercial Real Estate in Hamilton, and owner of Liberty Spirits.

“We’re going to produce un-aged products, including vodka, gin, what they call light whisky or moonshine, we’ll have some flavored moonshine, and then we’ll do aged bourbon and whisky,” Robinette said.

Middletown City Council, which has received mixed feedback from the idea, including from people concerned about opening of another alcohol-serving establishment downtown, will consider the sale to Liberty Spirits at its March 1 meeting.

During the summer, “We’ll have a modest-sized tasting room and retail space in that property until we’re able to gain ownership of the building that’s one building away from ours that has a Vail (Avenue) address, but it actually faces on Central Avenue.”

When the Vail property is finished later in the year, “our plan there is to enlarge the tasting and retail space, and move it over there, and then there’s a bill pending in the (Ohio) legislature that will allow craft distillers to have bars similar to the way craft wineries and craft breweries can now,” Robinette said. “If we’re able to get that legislation passed, we’ll open a full bar there, in addition to the tasting room and retail space.”

The Journal-News will have more coverage with an in-depth report on the distillery plans Friday.


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    Post Options Post Options   Thanks (0) Thanks(0)   Quote middletownscouter Quote  Post ReplyReply Direct Link To This Post Posted: Feb 19 2016 at 9:15am
    I attended the meeting on Tuesday and during the discussion of this item Mr. Adkins did mention that they were carrying forward lessons learned from previous contracts in that there would be hard deadlines in which the business has to be open or else the property would revert to the city.
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Analytical Quote  Post ReplyReply Direct Link To This Post Posted: Feb 19 2016 at 9:29am
    How unfortunate that that previous city real estate contracts lacked even the most basic language regarding redeveloper/developer project performance provisions.  This is a basic element and prerequisite of such transactions.

    Do these top level city folks really know what they are doing?  After all, since the city chooses to be involved in the real estate business, maybe they do need professional real estate consulting or staffing assistance!  
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 19 2016 at 9:40am
    Middletownscouter,
    I will agree that this is the best written contract I have seen cocerning the transfer of city property...however I believe this was from the strong input of our two new council members...not Mr. Adkins. 
    The other contracts were an absolute joke. 
    Still not the legal way to dispose of city owned property..must be appraised...and placed up for bid. 
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Cooper Quote  Post ReplyReply Direct Link To This Post Posted: Feb 19 2016 at 10:20am
    Ms. Moon, this property has a tax value of over $200,000. May I ask why this is not being bid upon? And then to not be bid and given for $1. The citizens have really been zoned out for years in Middletown. If this was in any surrounding  city, at least half the residents would be upset and calling the city manager and law director demanding their taxes would be recouped at the maximum level.  
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Vivian Moon Quote  Post ReplyReply Direct Link To This Post Posted: Feb 19 2016 at 12:07pm
    Cooper
    The $250,000+ is the amount of tax dollars that have been used for this property just to break even...not the appraised value.
    I wish I could answer your question. Citizens need to ask the city manager and city council members to answer that million dollar question.
    City Hall can spin and tell the citizens what ever they want...but the numbers tell the truth.






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    Cooper View Drop Down
    MUSA Resident
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    Joined: Apr 25 2014
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    Post Options Post Options   Thanks (0) Thanks(0)   Quote Cooper Quote  Post ReplyReply Direct Link To This Post Posted: Feb 19 2016 at 12:14pm
    I'm sorry, maybe I am wrong. But, doesn't the state statute state any public property that has value over $5,000 has to go out to bid? If a city had the right to spend a million dollars and give it to whoever they wanted, for a dollar, without bidding----isn't that rather corrupt? I believe the state statute requires a bid doesn't it. 
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