Sandusky City Hall moving to downtown

SANDUSKY — There is no more uncertainty or doubt surrounding a possible move.A definite decision, decades in the making, finally took place.During Monday's public meeting, Sandusky city commissioners voted 5-2 to vacate City Hall and, by mid-2018, relocate administrative offices into parts of three vacant downtown structures.All told, through a public-private partnership, the project totals a $23.5 million investment in Sandusky.The vote involved commissioners approving three intertwined acts:1. A 30-year lease with Cleveland-area firm Marous Development, the project's developer, which owns and/or controls these buildings.By 2025, seven years after signing a lease, the city could buy and outright own all the space it would occupy. The deal required a lease because only Marous, and not the city, could leverage state and federal tax credits for this project. The tax credits help offset the local financial contribution from Sandusky's coffers.2. A $1.425 million loan for Marous because the company can't immediately receive any tax credit money.Going forward, the loan represents one of two options:• Option A: Marous would begin making repayments on the loan, starting in 2026.• Option B: The loan amount acts as a down payment of sorts for city officials so, by 2025, they could purchase and outright own this space. The total purchase price would be $4.3 million, meaning the city must pony up an additional $2.875 million.3. A $450,000 city grant through an economic development account to partially offset the $5 million in private funds committed for constructing 18 apartments and three storefronts at this site.Sandusky city commissioners on Monday voted to relocate the administrative offices of City Hall into downtown. The relocation plan calls for renovating three adjoining buildings on Columbus Avenue and Washington Row near Small City Taphouse.Landmark legislationIn recent months, commissioners approved related relocation paperwork. But Monday's vote represented the final piece to sanction this plan.Sandusky ex officio mayor Dennis Murray Jr. — along with commissioners Dick Brady, Nikki Lloyd, Naomi Twine and Dave Waddington — supported the move for many reasons.Among the more notable, they contend, a City Hall in downtown Sandusky:• Creates a $23.5 million total investment, through public and private funding, in downtown, smack-dab in Sandusky's business district• Provides dozens of construction jobs, with a majority going to local contractors, as per the agreement stipulates• Reactivates three blighted buildings, and preserves their historical significance, as the new City Hall is going inside those structures on Columbus Avenue and Washington Row near Small City Taphouse• Allows for more residential and commercial activity, as the plan calls for building three storefronts along with 18 apartments• Reimagines the possibilities for what could become of the existing City Hall waterfront site on Meigs StreetA year's worth of planning culminated in officials realizing Sandusky's current 61-year-old municipal headquarters on Meigs Street presents many challenges for renovations. Upgrading these shortcomings, including accessibility and security, would be costly and most likely lead to an inferior product as opposed to building and relocating elsewhere."We have been talking about vacating this facility for a long time, and it's long past time that we do so," Murray said.For Sandusky to continue its ongoing renaissance, Murray believes it must take calculated ventures, which might seem daring in nature."There are a small percentage of communities our size and a lot larger that are going to be successful over the next 10 to 20 years, and those are the communities investing in themselves and taking a chance," Murray said. "Help is not on the way. Take a look at the turmoil going on in (Washington), D.C., right now. It's a bunch of crazies who are in charge."Commissioners Greg Lockhart and Wes Poole voted against the measure because, in short, they believe the money could be better spent elsewhere, such as on infrastructure improvements and road repairs. They also argued several of their concerns, such as parking, were never addressed during this process.Sandusky city commissioners on Monday voted to relocate the administrative offices of City Hall into downtown. The relocation plan calls for renovating three adjoining buildings on Columbus Avenue and Washington Row near Small City Taphouse.Making sense of the dollars and centsThe City Hall relocation plan totals a $23.5 million investment with funds coming from two different sources:1. The public portion, equaling $18.5 millionIt breaks down with:• $6.5 million paying for moving administrative services into parts of three adjoining vacant downtown structures, including the former Calvary Temple church, on Columbus Avenue near Small City Taphouse. The move should occur by mid-2018.• $12 million paying for building an entirely new complex, or justice center for police and municipal court operations. Officials expect to select a site by summertime. The move should occur by mid-2019.Local officials said they'll shift expiring debt — budgeted for other city buildings, which are almost paid off in full — to fund the relocation plan. Accounting for tax credits the project developer secured, the city's obligation would end up totaling about $13.7 million. The amount includes costs for both the City Hall and the justice center projects.The Sandusky Municipal Court's budget, through past and future fines, could pay an estimated 50 percent of the justice center cost. 2. The private portion, equaling $5 millionThe project developer vowed to commit an additional $5 million in private money to construct the 18 apartments and three storefronts, which the company, and not the city, would own.Reach reporter Andy Ouriel at ouriel@sanduskyregister.com and follow him on Twitter @AndyOuriel.Sandusky city commissioners on Monday voted to relocate the administrative offices of City Hall into downtown. The relocation plan calls for renovating three adjoining buildings on Columbus Avenue and Washington Row near Small City Taphouse.