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Council to seek title for riverfront properties, not fund geothermal upgrades

Warren City Council wants to take ownership from a downtown developer of additional property that is part of the riverfront puzzle.

That developer, Robert Yoder, told council earlier this month that he’s willing to give the property to the city; but he wants a $500,000 state grant award from the city to fix a geothermal system along the riverfront.

The subject parcels are a concrete pad adjacent to the townhouses and the land behind the HIY, Inc. building right on the river.

Council on Monday expressed an intent to seek the property but took action to “postpone indefinitely” a proposal on the geothermal system funding.

“I believe council should try to acquire these properties,” Councilman John Wortman said. “We could enhance our community by making improvements” to the parcels.

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Council

“I do not feel the arrangement that has been proposed by Mr. Yoder is something that is in the best interest of the City of Warren.”

He told council that the prior council last fall “did not feel that action should be taken on” the geothermal funding.

He questioned whether the proposed trade falls within the state grant funding guidelines for the acquisition of property.

Councilman Maurice Cashman pointed out that the action before council was just to take action to acquire title “however we may get at it. I think that action is worthy of approving at this juncture. We’re not saying how we would acquire it.

Councilman Jared Villella questioned whether Yoder could acquire funding for the geothermal system repairs in other ways.

“Like it or not… he’d like to do both together,” he said, arguing that the city is not funding the entirety of other Redevelopment Assistance Capital Program (RACP) grant awards, such as for two boutique hotels. “In this instance, that funding is (the) entirety… minus $40,000 which in the grand scheme of it all feels like a pittance.”

Council agreed that taking the two items – the property acquisition and the geothermal system funding – as separate items was the proper course of action.

The panel approved a motion to direct city staff to try to acquire title or an easement to the property with the terms coming back to council. That motion was approved.

Staff will, however, have to do that without the bargaining chip of the geothermal system funds.

Mayor Dave Wortman said he has “concerns for funding for this system” and “tying it to the deal as proposed. (There are a) number of concerns or issues from my perspective that are outstanding.”

Cashman noted that Yoder had indicated he could raise rates for the users of the system and seek private financing and questioned the degree that would hit some of the entities on the system.

But, he said that private financing “is more appropriate under the circumstances.”

Councilman John Wortman said “there are certainly benefits to the geothermal project” but made a motion to postpone action indefinitely on the funding issue. That motion was approved.

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