Batting .200- Minor League, Not Major League Ball
Printed From: MiddletownUSA.com
Category: Middletown City Government
Forum Name: City Council
Forum Description: Discuss individual members and council as a legislative body.
URL: http://www.middletownusa.com/forum/forum_posts.asp?TID=4337
Printed Date: Nov 22 2024 at 6:42am
Topic: Batting .200- Minor League, Not Major League Ball
Posted By: acclaro
Subject: Batting .200- Minor League, Not Major League Ball
Date Posted: Jan 22 2012 at 10:56am
Out of five buildings the city of Middletown acquired, only one will be used for Cincinnati State. That is a .200 batting average for investing. In private equity with their risk/ reward capital investment strategies, they usually are hitting about .650. Hence, the city shows it is still minor league, in its analysis, and decisions associated with money, investing, and economic development strategies. indeed, is there strategy, if so, what is it?
In 2005, the city enthusiastically endorsed and maneuvered to create what it names MMF, an alleged CIC which was to focus upon a joint initiative between the private sector, in particular with the Atrium and AK Steel, and Cohen Brothers, to jointly form with an analysis and strategic partner and invest in economic development which was to advance the city of Midddletown, in the most simple terms, forward. By forward, the meaning is clear---to assure more taxes are generated and collected, more jobs created, more residents are pulled through a magnetic force to settle in the city, and a general betterment and quality of life for all.
In that period, the joint partnership bought land on the east end for Neyer to development, hired an Economic Director, two I add, one left, one left for greener pastures after an indiscretion of picking up a bar tab with a city council member, and proceeded then to retain an attorney to act as the city ED guru.
In its initial filing with the Ohio Secretary State, MMF had a written vision to focus heavily on the east end, indeed, downtown was never mentioned or a sentence written, on its import to economic prosperity. And, although the city represented in its successes through its relationship with MMF, it filed no annual reports that account for land investments, salary investments, or any costs and returns associated with MMF.
In six years, by all accounts, it appears after going through two full-time Economic Directors and a contracted/ retained lawyer, no significant benefit has been obtained from this formation. Further, no money was collected nor raised by key partners with the city through MMF, including the Atrium and AK Steel, and that the written focus of the organization that was focused entirely upon the east end, has taken a sudden and indeed, peculiar change from east end to downtown. The question is----WHY?
Over the years, Middltown has invested and made many attempts to invigorate and restore the luster downtown, all having been without question in the minds of anyone thinking rationally, a failure. Yet, it continues. One may argue a city that is vibrant is the heartbeat of a community. However, most would argue with 2-3 cars in a household, the ease of interstate transport, a downtown is a relic of the past, vibrant in the days of the horse and buggy, and when roads were two lane, not six to eight, and driving twenty minutes put one within reach of any number of massive retailers, or a click of the computer enter key bought goods and services over ebay or any number of online retailers with delivery within day, at a better price and greater savings.
The city continues to fail in its economic development efforts. One may argue as to why on many fronts, inclusive of personnel, strategy, effort, and tax policies. One thing is clear: it is not working.
The city speaks of the need to keep the framework of certain historic buildings, while destroying others. AK Steel offered the city its building and statute of its founder. The city's response? No thanks. History is vital to the city and its residents? If that be the case, the cities efforts of playing dodge ball on the vault restoration runs in contradiction to such premise. What has PAC generated? Anyone have accumulated tax return information on its net contribution? One assumes it is inevitable that PAC has been a net negative investment, other than supplanting the Manchester's ballroom so a few hundred residents could mingle once a quarter for a ball or other event.
So what is the motivation for this new found focus upon downtown? Once, the east end was the shing star on the hill; today, it is downtown. Is Cincinnati State the winner, the Phoenix rising from the ashes that is to turn Middletown around? Well, lets evaluate the batting average. One building being used out of five bought by the city and millions spent, is a .200 batting average. In baseball or private equity, that would put you back in the minor leagues riding the bus, and a substitution position playing right field when the starting rotation had most of its players out with sprained ankles. So why spend the money?
By my count, the city of Middletown and its efforts at downtown restoration is Downtown Middletown Version 6.0. You know the litany of failures over the years. Is a few hundred two year community students going to save Middletown? I hardly think so. But then again, it might help Main Street.
Middletown has the buildings waiting on Cinncinati State's success. The problem is---when you are batting .200, there aren't too many in the stands attending the ball game when the team has a record of losing year after year. What will the batting average be in five years? I wagered .100 on my bet with my Vegas agent, odds 100/1 in my favor. When the Sorg Opera house is added, the battling average drops to .167, enough to yank the minor league player back to knot hole coaching. Reaching The Show just isn't possible for Middletown, even with its new lineup of council members.
And so it goes. Good night, and good luck.
http://www.youtube.com/watch?v=TBUS3vQtDCA - http://www.youtube.com/watch?v=TBUS3vQtDCA
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Replies:
Posted By: Vivian Moon
Date Posted: Jan 22 2012 at 12:39pm
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Gentlemen
I have spent numerous hours over the past several weeks researching Middletown Moving Forward Inc., at the state, county, and local level and I have the following information to share with you…
Question: Is Middletown Moving Forward a NFP or CIC ?
To be a CIC, the entity Middletown Moving Forward must first file the Article for Incorporation under ORC 1702. Then they would need to file ORD 1724 to be named a CIC. As of this date there is no Middletown Moving Forward Inc CIC registered in the Auditors Office State of Ohio.
Question: Why does it matter if Middletown Moving Forward is a NFP or a CIC ?
I was told that it would be unethical and a violation of the law in their opinion, for the City of Middletown to give funds to a NFP, to purchase property because it does not fit within the confines of a NFP.
Last week I called Denise Hamet, of the ED Dept and requested proof that MMF was in fact a CIC. She sent the following information and stated that I should note the Purpose of the corporation:
MIDDLETOWN MOVING FORWARD, INC
• The Non Profit ORC 1702 Middletown Moving Forward, Inc.
• Purpose for which the corporation is formed: To advance, encourage and promote
the industrial, economic, commercial and civic development of the City of Middletown
and the greater area
• paperwork was signed by City Manager, Bill Becker May 31, 2005.
• Initial Directors: Allen McCoy, Doug McNeil, Ken Cohen
• Leslie Landen is listed as Statutory Agent signed May 31, 2005
• J Kenneth Blackwell signed paperwork June 7, 2005
vcm: This undated document “MMF Comments” was sent to me by Denise Hamet with scanned copies of the NFP 1702 paperwork of Middletown Moving Forward, Inc. I do not know if this document was included with the original NFP filing on May 31, 2005
MMF Comments
The purpose of this meeting is to discuss the MMF – the public / private partnership between the City and the Chamber / business community
HISTORY:
• Atrium’s move to the east end “jump started” interest in the area
• City purchased 30 acres on the east end
• Formed public / private partnership CIC to manage & optimize east end growth
• Goals included funding for a full time ED and REP’s for east end developer
• Bill Murphy was hired as ED and Al Neyer, Inc. (Chris Dobroszi) was the selected developer
• Neyer hired Woolpert Consultants and worked with the City to define the east end master plan
ACCOMPLISHMENTS:
• Great hope and exchange of ideas is created between the City and the private sector
• Public charrettes on the master plan / east end developments created public awareness & acceptance of
City’s focus on the east end development
• Neyer purchased 30 acres from the City, obtains a grant fro the State for jobs ready sites
• Paychex commits to lease
• Neyer coordinates east end development concept plan ideas with all land owners and plan is approved
• Interchange enhancement plans are initiated
• Neyer buys the Bond Property
• Additional funding for economic staff is approved by the City
• City adopts “Open for business” motto
CHALLENGES & GOALS:
• Recommits efforts to the public / private partnership – the variety of skills and experience “at the table”
is remarkable
• If all parties work collaboratively, everyone benefits – the sum is greater than the individual parts and
the strengths offset the weaknesses
• Economic conditions deteriorate, but interest in the area remains strong for several reasons – Atrium,
site location, ED efforts
• The public and private sector need to recommit to better & more frequent communication and
coordination
• More public support from the Chamber on ED issues – Ken Cohen as spokesperson
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Posted By: acclaro
Date Posted: Jan 22 2012 at 1:43pm
Here's some batting tips to raise the batting average above .176.
1) Realize HOPE is not an ACCOMPLISHMENT, unless running Barack Obama's 2008 Presidential campaign.
2) Re-write the entire PLAN. The focus is all on east end in 2005. Why th MMF given $75,000 for a DOWNTOWN project?
3) Recognize a slogan of 'OPEN FOR BUSINESS" DOES NOT attract business. Low taxes, great leadership, educated workforce, and market demand does. Perhaps sign ordinances should be aligned with the OFB strategy?
4) Don't worry about re-branding, and quit waffling from east end to downtown. KNOW your targeted area, ergo- SWOT.
"INTEREST in east end does not translate into SUCCESS.
5) Pull out the GPS- downtown is not considered east end development within the Master Plan.
6) More public support from citizens AND Chamber of Commerce.
7) Actually implement regionalized concepts, just don't speak about them
8) Put a little cash away for streets and infrastructure.
9) Have the private joint partners put some skin (ergo CASH $$$) in the game instead of "yes" and neutral advisory partners. No money in, no benefit out.
Do this, an batting average raises to .200, but an improvement.
Three strikes and you out. Strike two, two outs, bottom of ninth, and you Middletown, are behind.
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Posted By: VietVet
Date Posted: Jan 22 2012 at 1:47pm
Well then......based on the economic development to date, and the failed attempts listed by acclaro, and the information on the MMF organization and the gameplan indicated by the document received by Vivian from our "highly successful" econ. devel. dept., lead by Hamet, I'd say that most of us should be asking for our money back that was used to date. It sure has been a disaster as to the intentions versus what was really accomplished.
The document received by Vivian, indicates the history to be development in the east end. The concentration started out east but has now shifted to the downtown area, with the east end now stagnant with the off ramp area around McDonalds, CVS pharmacy and the former Ramada Inn barren. The work was done to a certain point and then abruptly stopped. The former car dealership and other abandoned buildings still stand. Looks like hell and is in no way, a decent-looking entry point to the city. Why? What happened to Kohler's fancy little ramp area that he talked about months ago?
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Posted By: Vivian Moon
Date Posted: Jan 22 2012 at 1:57pm
MIDDLETOWN MOVING FORWARD, INC
• The Non Profit ORC 1702 Middletown Moving Forward, Inc.
• Purpose for which the corporation is formed:
To advance, encourage and promote the industrial, economic, commercial and civic development
of the City of Middletown and the greater area
• paperwork was signed by City Manager, Bill Becker May 31, 2005.
• Initial Directors: Allen McCoy, Doug McNeil, Ken Cohen
• Leslie Landen is listed as Statutory Agent signed May 31, 2005
• J Kenneth Blackwell signed paperwork June 7, 2005
I received an email from Denise Hamet stating that Les Landen believes that MMF has met the requirements to be a CIC
However the paperwork that I received from Denise Hamet only proves that Middletown Moving Forward Inc is a NFP with the purpose of acting like or pretending to be a CIC. However that does not make them a legal CIC.
Once again I will state that as of this date Middletown Moving Forward Inc. is not registered as a CIC in the Auditors Office State of Ohio .
So at this point I would suggest that you email your city council person and request that Mr Landen explain and show proof that MMF is in fact a legal CIC in the State of Ohio at the next City Council Meeting. He also needs to explain why MMF is not registered with the Auditors Office State of Ohio.
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Posted By: acclaro
Date Posted: Jan 22 2012 at 2:30pm
If MMF did nothing to accomplish anything in its 6 years of existence, why would the city pass $75,000 to it for a downtown acquisition when everything written in the objectives and focus is on the east end?
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Posted By: TonyB
Date Posted: Jan 22 2012 at 11:45pm
Once again this whole "are they or are they not" boils down to what acclaro calls "a low batting average". It really seems that it's not about "development" but control. Look at the statements made by the mayor and others. They bought the buildings downtown not to develop but to control what is developed. The stated goals and the public statements just don't seem to match up very well, not to mention that east end development stalled once the recession of 2008 hit. What really is unnerving to me is that we seem to be going down the same "half-a**" road that has been traveled before. The laws concerning CIC's seems pretty straightforward; why has the paperwork not been filed and if it has, where is it? Where's the annual financial report that shows where and how the $10k was raised. I stated once before that if MMF could only raise $10k in a 6 year period, they'd have been better off panhandling!!! A dishevelled look, a sign and a tin cup standing at an intersection would have generated more than $10k in 6 years time!!!
I'm not sure the question should be is MMF an effective organization; it should be are they a LEGAL organization and why did our city council give them $75k so they can decide the fate of a 120 year old building? If they can't follow the law, what makes them responsible enough to decide the "cost-effectiveness" of rehabbing a building that none of them have any expertise in. They may be batting below the Mendoza line but they certainly have generated one Major League clusterf***!!!
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Posted By: ground swat
Date Posted: Jan 23 2012 at 6:46am
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Jones stated several times that she studied and investigated CIC groups all over the state I believe she said there are over 200 filed with the state its not rocket science. Are they or aren't filed correctly with the state? Why must it always be foggy in this Admin.
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Posted By: acclaro
Date Posted: Jan 23 2012 at 10:08am
I understand it, the city filed under ORC 1702 under Articles of Incorporation, required for any NFP. That filing is recorded and on file at the State Secretary's office. Under ORC 1724, as I understand it to be, there is no record of any annual reports, there is no record of any name in the records that MMF is a CIC with the state auditor's office.
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Posted By: Vivian Moon
Date Posted: Jan 23 2012 at 4:47pm
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Gentlemen
I now have proof that Middletown Moving Forward Inc is a CIC.
ORD No. 02005-122 Middletown Moving Forward 1724 paperwork
This ordinance was passed by City Council November 15, 2005
and is signed by Betsy Parr and Noah Powers
So now the only question is why have they not registered with Ohio State Auditor’s Office ??
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Posted By: Mike_Presta
Date Posted: Jan 24 2012 at 5:40am
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A more important question is, since every community improvement
corporation “shall prepare an annual financial report” (ORC 1724.05) and since “The
financial report shall be filed with the auditor of state within one hundred
twenty days following the last day of the corporation’s fiscal year” (ORC
1724.05), and since “If any community improvement corporation fails to prepare…and
to file that report…All of the rights, privileges, and franchises conferred
upon that community improvement corporation by those articles of incorporation
then shall cease” (ORC 1724.06); and since there is no record of MMF ever
having filed an annual financial report, then hasn’t MMF ceased to exist???
And let’s not forget Law Director Landen’s pious speech
regarding his obligation to keep council on the “straight and narrow” a few
months ago. No doubt he will
be advising council on this matter soon.
-------------
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Posted By: Vivian Moon
Date Posted: Jan 24 2012 at 12:08pm
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Mike
You are correct on every point.
As of this date Middletown Moving Forward Inc has never filed an annual report over the past 6 years with the Auditor Office of the State of Ohio.
I have been told that filing of the annual reports is what makes MMF a legal CIC. Since they have not filed the annual reports they are not registered as a CIC with the State Auditor's Office
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Posted By: VietVet
Date Posted: Jan 24 2012 at 12:48pm
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A call to the Statehouse in Columbus to ask questions, get clarification and fill them in on the details from this forum perhaps? Worth the time or not?
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Posted By: Bobbie
Date Posted: Jan 24 2012 at 2:35pm
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Is there any council member that would like to chime in on this? Will the 75k be retracted? Seems to me this is an illegal and very unethical transfer of money.
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Posted By: TonyB
Date Posted: Jan 24 2012 at 2:45pm
Bobbie,
No one from council will admit to an error. That would be akin to "I don't know what I'm doing". Can't see anyone on the current council who would make such an admission!!! Someone dropped the ball here so it sounds like a "team" error!!! It seems that they need to be demoted to a lower league but I'm not sure there's a league below this one!!! This would be hilarious if it weren't for the fact that they are doing more damage to a city that simply can't afford any more damages!!!
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Posted By: acclaro
Date Posted: Jan 24 2012 at 3:39pm
Suspect the city and MMF will say since they never did anything, they never really launched their CIC nor filed an annual report as it was in a "holding" pattern, no money, no focus, etc.
The real damage is this economic development effort has done nothing as it was intended when launched, and after 6 years, the city pulls them out to front $75,000 for another building they want to control downtown. Certainly operating as a NFP, not a CIC, but what is the city economic development efforts doing over the time this MMF NFP was created....not much.
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Posted By: TonyB
Date Posted: Jan 24 2012 at 5:55pm
acclaro,
I just don't see how they can say they never did anything. They have a web site. They've had meetings. They raised money. To make such an admission begs the question, what the hell have you been doing? Why are we giving you $75k if you've done nothing for which you were tasked? Once again, smoke and mirrors and hope that no one calls them on such bulls***!
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Posted By: Vivian Moon
Date Posted: Jan 25 2012 at 8:34am
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Acclaro - Suspect the city and MMF will say since they never did anything, they never really launched their CIC nor filed an annual report as it was in a "holding" pattern, no money, no focus, etc.
Acclaro
I might agree with that however the ORD 1724 was passed as an EMERGENCY measure on November 15, 2005 so they must have needed ASAP the powers of the CIC to conduct some type of real estate business.
Please read the documents and you will notice that MMF CIC has enormous powers
I have posted all the 1720 and 1724 paperwork on my web site.
Just double click on the image to enlarge.
http://www.rootsweb.ancestry.com/~ohcmiddl/MMF1720-1724.htm
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Posted By: Vivian Moon
Date Posted: Jan 25 2012 at 9:00am
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Gentlemen
If you did not work last year and therefore had no income…don’t you still need to file city, state and federal tax returns stating this fact?
So why has the City not filed the CIC Annual Reports with the State Auditors Office?
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Posted By: Vivian Moon
Date Posted: Jan 25 2012 at 6:57pm
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Acclaro
I can not answer your question because your private message box is full.
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Posted By: acclaro
Date Posted: Jan 25 2012 at 7:41pm
House cleaning complete.
Isn't MMF and the city leaders alot like Downton Abbey? For those that don't watch the BBC, Downton Abbey is a remake in some respects of the classic Upstairs/ Downstairs of Victorian aristocracy in the late 1800's early 1900's pre WWI in Great Britain. That is what Donham 1 reminds me of---Downton Abbey, the downstairs aids and servants taking care to keep the upkeep impeccably for the Upstairs aristocrats.
When reading Vivian Moon's quite comprehensive posting of MMF's documentation, many peculiarities came to mind. Under Exhibit A-2, it states MMF shall use its reasonable efforts to develop and maintain the means of raising funds, including capital, for the city to borrow. That is encapsulated within Articles I, II, and III in the documentation.
Is it not peculiar that MMF is to raise money for the city, but the city INSTEAD has $75,000 to give MMF? Role reversal.
And for any property or asset the city provides MMF, that MMF invests, imrpoves, and sells, MMF can recoup its expenses and then the city makes the difference. Isn't that defeating the premise of the concept of a non profit, for which MMF sells property for a capital gain, which the city makes a margin and profit? How does such practice lend itself to a NFP? That reference is under section (i) on Exhibit A-5.
Upstairs/ Downstairs and Downton Abbey. Whatever one wishes to call it, aristocratic society and "upkeep" seems to be maintained by MMF as an entity and the rather startling contradictions contained within the ordinance which was the basis for the Articles contained in Ms. Moon's comprehensive documentation.
Also, is there a list of inventory of targeted assets MMF has on a website as is referenced within the ordinance and did they file with the state AG so they could do legal fund raising?
I remain amazed at these constant EMERGENCY ORDINANCES which are brought forth and passed. This one is documented as well. Why was it an emergency when MMF stated it had just raised $10,000 over 6 years, and some speculate that was a grant. Why was this an emergency if it did nothing to advance the city of Middletown in 6 years. Is there ever a point when council DOESN'T deem a vote a NON EMERGENCY? Apparently not, unless this was and emergency for acquiring property for Neyer, which would be accounted within MMF's annual report.
http://www.youtube.com/watch?v=yoe3CoxcYm0 - http://www.youtube.com/watch?v=yoe3CoxcYm0
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Posted By: Vivian Moon
Date Posted: Jan 25 2012 at 9:01pm
Acclaro
I’m addicted to PBS on Thursday and Sunday evening.
Now to answer your question…The more I research the more questions I seem to have concerning this matter and that is why I posted the original MMF paperwork for others to read. NO ANNUAL REPORT has ever been filed with the State of Ohio.
Without seeing the annual reports we will never find the answers to our questions.
We have been told over the years that MMF was just an advisory committee to the City…however…it is clear from reading the 1724 paperwork that they were organized to be much more.
So now the million dollar question is….What happened?
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Posted By: spiderjohn
Date Posted: Jan 25 2012 at 9:09pm
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look around yourselves, and to your surroundings
nothing has happened
mmf is really not necessary, and has proven such themselves
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Posted By: acclaro
Date Posted: Jan 25 2012 at 9:50pm
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There is no economic development. Revenue generation? Taxes. same answer the city has had for generations.
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Posted By: TonyB
Date Posted: Jan 25 2012 at 11:16pm
This council and the ones before it abuse the city charter on a regular basis with their "emergency" ordinances. Its only because they don't want to have a first reading and then vote. Takes up too much precious time from all the other important work they have to do!!! (Yeah, right!)
The purpose of MMF was never just economic development; they've done other things that weren't part of their charter. The real point in all of this is that they have not followed the law and they are not a legal entity. When will the State of Ohio take this matter to task? This is really becoming more than just an "oversight" on the part of city administration. This is a clear violation of the law and dereliction of duty by city council if they don't immediately rescind the $75k!!!
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