MAHONING COUNTY Official gives update on Centerpointe

Commissioners have expressed support for the project.
By IAN HILL
VINDICATOR STAFF WRITER
YOUNGSTOWN -- Mahoning County Administrator Gary Kubic says a financing agreement for the construction of the Centerpointe business park should be ready by mid-July.
"We want to take as much time as possible to make sure we are comfortable, but we are close," he said.
Kubic discussed the agreement Thursday after a 31/2-hour executive session among county commissioners, Centerpointe representatives and state economic development officials.
"The intent, I think, of all parties was to come to a consensus of the essential parts of an agreement, which I think was achieved today," Kubic said.
Centerpointe Developer Jonathan Levy had expected to reach an agreement Thursday. After the meeting, Levy said his group, the state and the county were "moving down the road together.
"I look forward to coming to an agreement," he said.
Details of park
The 180-acre park would be in Austintown, north of Rutland Avenue between state Routes 46 and 11. Levy has said the park could be the site of $45 million worth of warehouses, retail businesses and offices, creating 1,000 to 1,500 jobs over 10 years.
Kubic said after Thursday's meeting, lawyers for Centerpointe and the county would write the agreement and the county would then review it.
He wouldn't go into specifics, but noted that the agreement would include a plan for the county to sell bonds to pay for infrastructure in the park. Levy has discussed asking the county to sell between $3 million and $4 million in 20-year bonds.
Half of the real property tax revenue from the park would then be used to service the debts on the bonds. The remaining half would go to local schools and government, like most property tax revenue.
Tablack's concerns
County Auditor George Tablack, who also attended Thursday's meeting, has expressed concern that if the project fails, the financially strapped county will be stuck repaying the bonds.
Kubic said the county is working to find a way to guarantee that the debt on the bond is paid if the project fails.
The agreement also is expected to include money from the Ohio Water Development Authority, which helps finance projects related to solid waste, water supplies and water pollution control, he said.
Kubic added that he was pleased the county was able to discuss the project with representatives from the state Thursday. Julie Michael Smith, the governor's regional representative for the state department of development's Youngstown office, attended the meeting.
"We see an opportunity for job creation and new investment in the community and that is the same objective as the state of Ohio," Kubic said.
Commissioners Vicki Allen Sherlock and David Ludt both said they felt Centerpointe would benefit the county. Commissioner Ed Reese also has expressed support for the project.
On Wednesday, Reese suggested that the county use $400,000 in unclaimed funds to help pay for infrastructure in the project. Kubic said that idea was not discussed during Thursday's meeting.
hill@vindy.com