HERMITAGE Commissioners OK refinancing of bond issue

A change in zoning setback rules clears the way for Bob Evans to resubmit plans.
By HAROLD GWIN
VINDICATOR SHARON BUREAU
HERMITAGE, Pa. -- City commissioners will save $201,000 in interest by refinancing a bond issue borrowed in 1999 to renovate and expand the municipal building and other properties.
Commissioners approved the refinancing plan Monday, getting an interest rate that will range from 1 percent to 3.8 percent over the remaining 16 years of the loan. The old bond issue carried rates ranging from 3.8 percent to 4.75 percent.
The new bond issue will total $5.8 million and have an interest savings of $201,000, most of which will be realized this year.
Officials said the city's August debt service payment will be reduced from $362,000 to $178,000, a savings of $184,000 that can be allocated to any use in the city.
Bob Evans restaurant
In other business, commissioners approved a zoning change that will clear the way for Bob Evans Farms Inc. to resubmit plans to build a restaurant along Pa. Route 18 in Hermitage Square Plaza.
The company had been denied permission in March because design plans showed the restaurant would be only 25 feet from the road. Zoning law at the time required a minimum 50-foot setback.
However, a new regulation adopted Monday reduces the setback to 25 feet in commercial and institutional zoning districts. The new rule says the 25 feet must be considered a greenway that can contain a sidewalk, landscaping and utilities but no parking lot or building.
Marcia Hirschmann, city director of planning and zoning, said Bob Evans has been waiting for the setback change to again submit a plan for its restaurant.
Rezoning denied
Commissioners voted 4-1 to turn down a request to rezone 3.2 acres of institutional land on North Hermitage Road to central commercial.
Owner Luann Franklin wanted the zoning change and has already razed a house on the land, which is on the north side of the entrance to the Hermitage School District elementary school complex.
All of the school district land is zoned institutional.
Commissioner Pat White cast the dissenting vote, claiming that to deny the request would be "a form of discrimination."
The city approved rezoning seven acres along Hermitage Road on the south side of the school district driveway from institutional to central commercial three years ago, he said.
It was done for some businessmen, but now the city won't do the same for a resident, White said.
Commissioner Larry Gurrera said the earlier zoning change was only done after the property owners and the school district came to an agreement about what types of businesses would be banned from that location. The list includes things like bars, adult-entertainment facilities, fast-food restaurants and gun stores.
The school district was unable to reach a similar agreement on the Franklin property and opposed that rezoning request, he said.