Civic Theatre seeks debt plan with county
By Kathleen Folkerth
DOWNTOWN AKRON — The Akron Civic Theatre could enter into an agreement with Summit County to have more than $1 million in debt paid over the course of 25 years if Summit County Council approves the idea.
The issue was discussed during Council’s July 30 Finance Committee meeting.
According to Chris Burnham, president and executive director of the Summit County Port Authority, the $1.1 million is owed to the Port Authority by the Civic. The Port Authority then must pay the money back to the county.
The county extended a
line of credit to the Port Authority
in 2002 for construction, renovation and operation of
the theater. Under previously enacted legislation, the
deadline for repayment was extended to Jan. 31, 2008.
The full amount is due
in the form of a balloon payment in January, Burnham
said. Instead, the Port Authority proposes that the
Civic pay off the debt with payments of $25,000 for
25 years. The Port Authority would add in
another $50,000, so the county would receive $75,000
per year.
“This would take away the
obligation of the balloon payment and allow it to be
paid over a period of time,” Burnham said.
The funds would not go into the
county’s general fund, Burnham said. Instead,
they would go to Greater Akron Investment Partners,
which is working with the city of Akron to bring jobs
to the region and invest in projects with Israeli companies.
Burnham said this is “a
legal way for counties to invest in businesses.”
Council member Pete Crossland
(D-at large) asked what happens if the Civic cannot
pay its annual share. Burnham said he was comfortable
with the Civic’s ability to pay.
“They made a $50,000 payment
this year, $100,000 before that,” he said. “That
was a pretty significant obligation they were able to
meet.”
Some Council members raised concerns
because of the Civic’s recent separation from
The University of Akron, which had managed the theater
since 1996. As of June, the two are no longer partnering.
Howard Parr, interim managing
director of the Civic, said the theater’s future
is bright.
“We are feeling really
good about our position right now,” Parr said.
He added he has sought to increase
involvement in the theater by members of its board.
“There are some basic revenue
issues that need to be addressed,” Parr said,
noting that a capital campaign is expected to kick off
this fall. A Sept. 15 fund-raising concert headlined
by Akron native Chrissie Hynde also is in the works.
“The response in the community
has been tremendous,” Parr said. “Nobody
is withholding support.”
After much discussion, the committee
voted to recommend Council approve the legislation at
its meeting Aug. 6.
The committee also recommended
legislation that would allow the Summit County Clerk
of Courts Office to put out a request for proposals
from banks for use of credit cards and debit cards for
the transactions it processes in the legal and title
divisions.
“Any more, today, most
people don’t carry cash,” said Council President
Nick Kostandaras (D-District 1).
The Public Safety Committee met
but didn’t have a quorum, so the three members
present discussed the issues before them informally.
Member Crossland made motions on legislation that he
would like the committee to move on during the next
regular Council meeting.
The committee members said they
would recommend putting
on time a resolution regarding a contract with Intellitech
Corp. to provide software and support for a “Pay
to Stay” program at the Summit County Jail. The
system would charge those who stay at the jail a fee
of $100 for their first day and $20 for each following
day. The county would get 70 percent of the total collected,
while Intellitech would get 30 percent.
Tari Cooley, of the Summit County
Sheriff’s Office, said those whose cases are dropped
or are found not guilty would not have to pay the fee.
Nor would anyone who can be declared indigent.
Council members Cazzell Smith
(D-District 5) and Frank Comunale (D-District 4) expressed
concerns about the plan. They said they didn’t
think most people who serve time have the money to pay
the county.
“I hate this,” Comunale
said. “Most of those incarcerated are in for drugs
and minor crimes. Most companies won’t hire someone
with a record.”
John Jacobs, chief executive
officer of Intellitech, said the company has been in
operation for eight years. About 25 Ohio counties currently
participate in a “Pay to Stay” program,
he said.
In other business, the Planning
and Economic Development Committee kept on time legislation
regarding a proposed “sin tax” to help fund
a soccer facility in northern Summit County.
“We have come to an agreement
that this is something we’ll look at for the March
ballot,” said committee chair Ilene Shapiro (D-at
large).
Summit County Council is scheduled
to meet Aug. 6 at 5:30 p.m. for caucus and 6 p.m. for
the regular meeting in Council Chambers on the seventh
floor of the Ohio Building, 175 S. Main St.
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