By Ryan Clark
NKyTribune reporter
For the past two weeks, the city Commission has made headlines because of how they were regulating and not necessarily about what was being done. It was through no fault of theirs — they were hosting the first digital caucus and legislative meetings in the history of the city due to the regulations put in place to combat the COVID-19 virus. That itself seemed to be of a higher importance than what was actually being done.
But that ended Tuesday night.
As Commissioners again came together digitally for their regularly-scheduled caucus meeting, their agenda was loaded with things that will bring change, jobs and service to the city.
“There are several things we’ve taken a big step forward on,” Mayor Joseph U. Meyer said.
Three topics surged to the forefront of discussion:
1. An ordinance to issue the city $30 million in bonds to acquire the IRS property, with the goal to “get it ready for the market,” according to City Manager David Johnston. The city had agreed to purchase the site on March 12.
The breakdown would look like this:
Acquisition: $18.45 million
Demolition: $5 million
Site work/Contingency: $4.05 million
JR Green Reimbursement: $2.5 million
TOTAL: $30 million
Johnston said the bond ordinance options could include several choices from a general bond market (which is taxable and tax-exempt), to a government lease (or bank qualified loans). He said he would return to the Commission with a recommendation when he knew more information about rates, and Mayor Meyer agreed the Commission would need to be consulted before the final decision was made.
Watching city commission meeting live — at safe distancing.
Site work and contingences would include: construction management, site work, environmental assessment and clean-up (if needed), surveying, platting and possible grant matching.
The Commission will hear a first reading of the proposal at their legislative meeting next Tuesday.
2. Commissioners then heard two proposals involving Rumpke Waste & Recycling, both of which should improve the city’s relationship with the company. First, Neighborhood Services Director Ken Smith revealed a six-month project involving the proposed selling of the property at 4397 Boron Dr. (the current home of the transfer station and the city’s Public Works offices, garage, outbuildings and road salt dome) for $8 million.
“A real win for the city,” Smith called it. As part of the agreement, it would bring 50 new jobs to the city, as well as a new transfer station.
Second was the hiring of Rumpke to a new 10-year contract beginning July 1 which will cost the city almost a quarter of a million dollars less a year than its current contract.
This prompted Commissioner Denny Bowman to step up the praise. “This is a win-win for the city and its citizens,” he said.
Mayor Meyer echoed the sentiments, noting that the contract with Rumpke — a document which is currently over 200 pages — had been cut to 19 pages.
“This is a fantastic improvement,” he said. “With lower overall prices, that’s a win. And the contract allows for more flexibility than in the past.”
IRS site
But, he encouraged the public to go online and see for themselves. “Make up your own minds,” he said.
Both proposals will be placed on the consent agenda for next week’s meeting.
3. Third was the moving forward of the additions of Hotel Covington in the old YMCA and Gateway Bookstore building located at 614 Madison Ave.
In January, Commissioners approved a development agreement for the sale and redevelopment of the property. As part of that agreement, the city agreed to issue Industrial Revenue Bonds in order to assist with the financing (which would realize the benefits on new payroll and net profits taxes).
These proposals would officially issue the bonds and the Payment In Lieu of Taxes (or PILOT) agreement, where the city accepts an annual payment of 20 percent of the amount of property taxes owed during the term of the bonds.
“It’s really a positive step for our community,” Mayor Meyer said.
The proposal will also be on the consent agenda next Tuesday.
And, speaking about all three projects, the Mayor sounded impressed with the work of the city staff: “It’s really a positive step that we’ve taken forward here today,” he said. “This will be very helpful for the people of Covington.”
Boron Dr. garbage transfer station in Latonia
Also Tuesday:
• Mayor Meyer praised the city staff once again, this time for the city’s improved credit rating, which was released last week. The rating has now moved up to A1, which according to Moody’s means the bond (or what is being rated) is “upper-medium grade and subject to low credit risk.” The modifier ‘1’ means “the obligation ranks in the higher end of its generic rating category.” Mayor Meyer noted it’s the second consecutive year the city’s rating has increased, because “The city really does have strong fiscal policies now,” he said. “We have been really responsible in our budgeting practices. All of the work over the past few years has resulted in recognition by people who know what’s going on.” Meyer said it’s because of this fiscal responsibility that the city can engage in the kinds of projects it discussed Tuesday night — even during a time of fiscal unrest. “We have a strong platform to move forward,” he said.
• Commissioners heard an approval requesting a $132,384 grant from the Recreational Trails program to be leveraged with $33,097 of donated and city funds to develop three miles of trails in Devou Park to expand access and connection to the 10 miles of existing trails. The proposal was put on the consent agenda for Tuesday.
• Commissioners encouraged residents to fill out their Census 2020 materials to make sure to provide an accurate count for the federal government.
• Next week, commissioners will hear the second reading of a new mobile food vending ordinance, where the city can expand food truck use by issuing permits for the vehicles to be used on “certain city-owned property and streets, and by revising the restrictions on mobile food units on private property.” The ordinance will get a second reading and vote in two weeks.
Etc.
Commissioners
• Plan to accept the resignation of Police Officer Alex Turner.
• Plan to hire Oliver Anthony for the open project engineer position within the Public Works Department.
Both proposals were placed on the consent agenda for next Tuesday.
The next regularly-scheduled Covington Commission meeting will be a legislative meeting held at 6 p.m., April 28. Residents are encouraged to watch it online, and send in comments beforehand.
Meetings will be broadcast live through the TBNK’s cable and streaming outlets and available here to watch the live commission meeting Tuesday or here (click on “latest videos” just under the photos of the commissioners.
Or watch:
Fioptics channel 815
Spectrum Channel 203
