Mayor selects SMG to run Chevy Centre; council in no rush to give its blessing

YOUNGSTOWN —Though Mayor Jay Williams strongly urges city council to support the hiring of SMG, a company that operates more than 200 facilities worldwide, its members aren’t rushing to endorse it.

Williams, who made the SMG recommendation today, wants council to consider the deal as soon as its Wednesday meeting.

“We’ll try to take our time,” said Councilwoman Carol Rimedio-Righetti, D-4th and head of council’s finance committee. “If it takes a week or two, so be it.”

The city negotiated with SMG and Global Spectrum, both of Philadelphia, to help run the center.

Global Spectrum, which manages about 70 facilities, is not affiliated with Global Entertainment, which oversaw center operations until late last year.

Williams praised both companies, but said SMG is a better fit for the city.

SMG tentatively agreed to sign a five-year deal with the city effective Jan. 1, 2009.

The company would start as soon as council gives the city’s board of control approval to hire SMG, Williams said. A contract would be approved shortly thereafter, he said.

SMG would waive its monthly fee through Dec. 31, and be paid only for travel expenses pre-approved by the city.

Effective Jan. 1, SMG would receive a monthly management and consulting fee of $6,667. It wouldn’t receive any commissions.

The city would keep the first $100,000 in net operating income from the center. SMG would receive a percentage of net operating income above the $100,000 mark.

For the complete story, read Saturday’s Vindicator and Vindy.com.