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Youngstown council to consider a $2 million loan to companies wanting to make two films in the city
Movie companies may spend $500K on city goods and services
YOUNGSTOWN
City council will consider legislation Wednesday to let a movie group borrow up to $2 million to make a pair of films in Youngstown.
Officials with Odyssey Motion Picture LLC of Santa Monica, Calif., and Alpha Pictures of Melbourne, Australia, are seeking the money.
According to the companies’ plans, an action film costing $2.5 million would be filmed in the city this year and a drama costing $2 million would be made in 2017.
“We get all the commerce that’s connected to the movies,” said Law Director Martin Hume.
The companies project spending about $500,000 in the city on goods and services including transportation, equipment rentals and purchases, catering and restaurant expenses, and insurance.
The legislation in front of council would authorize the board of control to negotiate the loan for up to $2 million to be paid back in up to 12 months.
The loan would only be given if the companies obtain an irrevocable letter of credit from a lending institution, Hume said. If the companies were to default, the lending institution would be required to pay back the loan, he said.
The company wants to start work next month, but first needs to provide the letter of credit, Hume said.
Also at Wednesday’s special meeting, council will consider an ordinance to give preferential treatment to Youngstown-based companies when the city is purchasing supplies, equipment and materials. This proposal would not include construction contracts and contracts not financed completely by city funds.
“This is limited in scope to supplies purchased with city funds such as office supplies, chemicals and cleaning supplies,” said Mark D’Apolito, an assistant law director and monitor coordinator.
A local company would receive a credit equal to 2.5 percent of the lowest bid submitted by a nonlocal bidder. That credit wouldn’t exceed $10,000 under the proposal.
For example, an out-of-town company submits a bid for $1,000. A Youngstown company has 2.5 percent – $25 in this case – in wiggle room to get the contract. If the proposal from the city company was for $1,020, it would be awarded the contract.
“The theory behind this is to help businesses in the city and provide them with assistance,” D’Apolito said.
There will be numerous other items for council to consider – and reconsider – at Wednesday’s meeting. They include:
A proposal from the administration to pass an anti-loitering ordinance. The proposal would make it illegal to sit, lie down or loiter on downtown sidewalks, streets or within 50 feet of a business.
Council opted to postpone a vote June 15, and met eight days later agreeing to approve it at its next meeting. Last week, the American Civil Liberties Union of Ohio urged city council to reject the ordinance contending it is unconstitutional and gives too much discretion to police officers to target the homeless.
With Councilwoman Basia Adamczak, D-7th, unable to attend this meeting, only one no vote from a member of council could stop this legislation from being approved Wednesday by emergency measure.
Councilwoman Anita Davis, D-6th, told The Vindicator last week that the ACLU raised some valid concerns that she’s expressed before, and that she may not be ready to vote in favor of it.
New policies for the city’s residential garbage collection program, primarily making it a fourth-degree misdemeanor to steal new 96-gallon garbage bins that are expected to arrive today in the city.
The administration wanted to charge fees to those who put out more garbage than would fit in the city-issued carts and two bulk items. However, city council rejected that request at the June 15 meeting and again at a June 30 committee meeting.
At that latter meeting, Mike Turner, sanitation superintendent, said 90 percent of the city’s 22,000 residential garbage customers would violate the limit. He later walked back the percentage, saying it was “a number I threw out. It’s a lot of people.”
Forwarding two citizen charter-amendment proposals – one to ban fracking and the other to increase the rights of part-time workers – to the Mahoning County Board of Elections.
The board will check to see if the two proposals have enough valid signatures to be placed on the city’s Nov. 8 general election ballot.
Having the board of control advertise to hire a company for about $275,000 to demolish an empty 3-million-gallon water tank on Princeton Avenue on the city’s South Side.
Allowing the board of control to seek proposals for $166,500 to purchase, install and maintain LED display lighting at the city-owned Covelli Centre.
Also on the agenda is permitting the board to enter into a $31,000 contract with All-In-One Solutions for the installation of a new phone system at the center as well as training staff on how to use it and provide a seven-year maintenance agreement.
Permitting the board to spend up to $75,000 for new bathrooms on the first floor of the city-owned 20 Federal Place office building.