YOUNGSTOWN ARENA Officials extend deadline for deal



The revised memo hints at the communications snag.
By ROGER G. SMITH
CITY HALL REPORTER
YOUNGSTOWN -- The city calls the new deadline for the downtown civic center project "progress."
The city and FaulknerUSA, the chosen developer, extended Thursday's deadline to reach a deal until May 30.
The extension was expected. City officials indicated last week that they needed more time to reach a development contract.
Mayor George M. McKelvey called the extension a good thing because it sets deadlines for two additional, important elements.
The new deadline covers contracts for the design and construction of the proposed arena and management of the building. Previously, the two sides were to negotiate those contracts after the development deal. Work on the project has to wait until those contracts are ready.
"We've accelerated the process," McKelvey said.
Staying on pace
Reaching all the contracts by May 30 keeps the project on pace for a summer construction start, he said.
McKelvey described himself as optimistic about reaching a deal. He cautioned, however, that there are no guarantees.
To naysayers that he described as out to "destroy" the project, McKelvey said: "Good luck."
FaulknerUSA said in a statement that negotiations are progressing "exceptionally." The company called the first deadline "aggressive."
Greg Williams, president of FaulknerUSA's development division, said extensions on such large projects are common.
"This phase of a development project is a complex procedure. There is an intensive amount of work involved in crafting the specifics of the deal," he said.
Amendment to memo
The extension was done as an amendment to the memo of understanding the two sides signed late last year. That document outlined the work that needs to be done and contracts that must be negotiated.
The revised memo hints at a communications snag that emerged last week. Law Director John McNally IV acknowledged there had been communication problems among the developer, the city and its consultants. The city said it didn't have much of the information it needs to reach an agreement. The developer said it has done its part.
The updated memo contains an outline of meeting times, dates and places "to ensure progression of negotiations."
There will be a regularly scheduled telephone conference Wednesday and a meeting May 28 at the office of the city's Cleveland-based lawyer, Ulmer and Berne. There will be meetings in Cleveland on May 29 and 30, if necessary, to conclude negotiations to either reach a deal or end talks.
rgsmith@vindy.com