Council hears hotel feasibility study feedback, request for increase in CVB funding

Hillsboro Mayor Drew Hastings presented city council members with figures from the city’s recent hotel feasibility study, calling it a “huge win-win for the city,” and suggested an approximate $10,000 increase to the city’s Convention and Visitors Bureau funding during Monday night’s council meeting.

Hastings said that the hotel study is based on “about a $4 million development” and the proposed hotel, which would be in uptown Hillsboro, would be “upper-middle” level, such as a Hampton Inn.

“This is based on about a $4 million development,” Hastings said. “The combined 10-year visitors spending impact from this project, which again reflects kind of conservative numbers, is about $55 million, which comes down to about five and a half million dollars a year, which is a large impact. I can’t think of many things that we could do to have a larger impact on Highland County and Hillsboro than this.”

Hastings said that in addition to construction jobs for the development of the hotel and the jobs related to the hotel, there could be an additional “28 to 30 jobs outside of the hotel as a result of increased visitor traffic” added to the community.

Hastings said that the city’s bed tax would increase “almost triple what we get now,” not counting its effect on the county’s bed tax.

“There’s really no downside to having a hotel project here in this city in a proposed site in the uptown area,” Hastings said.

Hastings said that he would be “getting the ball rolling” to proceed with hotel plans as soon as possible.

Hastings then told council that “the time is right, really right now, to increase our share of funding to the [Highland County Convention and] Visitors Bureau.”

Former CVB director Bob Lambert recently resigned, according to Highland County Commissioner Tom Horst, who was at the meeting.

“Tom Horst, for a while now, has been wanting a much higher commitment from us in the visitors bureau,” Hastings said. “They’re currently looking to put a new director in the visitors bureau. We would like to see that they can get the best that they can get, so we would propose increasing funding so they can spend a little more on hiring a director and maybe some other help.”

Hastings said the city currently contributes “one-eighth of our [lodging] tax, or .125 percent,” to the organization, but there does not appear to be any legislation that dictates that amount.

“I would like to ask that we give 50 percent of this lodging tax, which takes it from about $4,000 a year to about $15,000 or $16,000 a year,” Hastings said. “Really, though the percentage increase sounds like a lot, it really isn’t. We’re talking a$10,000, $11,000 increase, but this is directly tied into having higher hopes and hopefully expectations with the visitors bureau in expanding their efforts, which will help the entire hotel project all along.”

Last year, council put a one-month moratorium on the lodging tax, saying they would seek an opinion from the Ohio attorney general.
   
However, according to a statement from the Ohio Attorney General’s Office on July 21, 2015, the city has not requested an opinion on the lodgings tax. A 2015 audit of the Highland County Convention and Visitors Bureau stated the city’s tax “should not have been levied.”
   
Highland County Prosecutor Anneka Collins also told the city of Hillsboro in August 2013 that the city tax was inappropriate since the county lodging tax pre-dated the city tax by several years. 

Collins referenced a March 29, 2013 opinion by Ohio Attorney General DeWine.

Council president Lee Koogler said that the city will “have to find the money somewhere” and asked Hastings to give his proposal to the finance committee to consider in an upcoming meeting.

Hastings also reported that he met with Bradley George of the Paint Creek Joint EMS and Fire District to discuss the district’s use of the Hillsboro Firehouse.

“There’s been some off-and-on use of some of the facility there, and they had asked for further use of the facility,” Hastings said. “He and I agreed to have an agreement in principle for the disposition of the fire house by the end of 2016. That’s about four months, five months from now, and that would give both the city and Paint Creek a year for planning and logistics to get this fire house situation resolved.”

Later in the meeting, council members unanimously passed a resolution to re-bond the existing 2007 Street Improvement and 2010 General Purpose bonds, but city auditor Gary Lewis clarified that he will be have to check on the re-bonding of the General Purpose bond based on Hastings’ report.

“I didn’t know about this until the mayor mentioned it, as far as with the issue with the fire station, and that’s the General Purpose [bond],” Lewis said.

Lewis said that he would have to consult with the bond counsel regarding that particular bond.

“We don’t necessarily have to go forward with that one,” Lewis said. “We still have the Street Improvement Bond, so we can still do that one. It is possible that we can still do that with the fire department as well, but I would want to check with bond counsel first.”

Hastings also thanked Chris Lewis and Scott Lewis of Lewis Financial for their efforts in organizing the city’s recent fireworks display during the mayor’s report.


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Safety and service director Todd Wilkin presented a resolution to accept the fact findings report in the matter of FOP vs. Hillsboro.

At council’s June meeting, Hastings had told council that a special meeting may be necessary to approve the report, which was “looking at issues that the FOP and the administration are at odds over,” according to the mayor.

Wilkin said that despite one typo made in the report by the fact-finders, which is scheduled to be corrected this week, the report needed to be passed Monday.

“I talked to [labor consultant] Bob Cross today, and he too is making the recommendation to approve the fact-finders report,” Wilkin said. “If not, we would need to meet in a special council meeting.”

Council voted 6-0 to approve the report, as council member Rebecca Wilkin was absent Monday.

Wilkin also told council that the bids have been returned on two CDBG projects awarded to the city last year through the Highland County Commissioners’ office. The projects include repairs to the infrastructure on South East Street and the curbs on South High Street and “will commence through the commissioners office here in the next couple of weeks,” Wilkin said.

In his report, Wilkin announced that Brian Crum of the water treatment plant is the city’s employee of the month. Crum, who has been with the city for 16 years, “helps the city whenever and wherever possible,” Wilkin said.

The community is invited to attend a public hearing on the proposed Moberly’s Branch walking/bike trail on Thursday, July 14 at 6 p.m. at the Hillsboro Fire House or to contact Wilkin with any feedback on the plans.

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Council members heard the first reading of a resolution to amend Hillsboro Code Section 114.03 to provide for local food vehicles and to amend the fee schedule for applications for permits.

“It’s not just on food trucks,” finance committee chair Dick Donley said. “It’s on all transient vendors.”

Donley reported that the finance committee moved to recommend to council changes to the transient vendors ordinance. According to Donley, the proposed changes include updating the fee to $200, restricting vendors from “setting up within 200 feet of a similar permanent business location and also the location must be safe for pedestrians and traffic.”

“We agreed that all other parts of the current ordinance can remain the same,” Donley said.

At the beginning of the meeting, DP Grill food truck owner Nick Beatty came before council to answer any questions or provide any feedback on the food truck’s operations.

As previously reported in The Highland County Press, Donley told council during their June meeting that the food truck’s safety, health regulations and low license fees were all questioned during a recent finance committee meeting.

“I wasn’t asked much about how my business has been going and how things have been working,” Beatty said.

Beatty said that he also could provide information on food truck standards and operations in other cities.

“I won’t keep any books closed or anything like that,” Beatty said. “Thank you for at least letting me operate so far.”

No council members had any questions for Beatty on Monday.

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Highland County Historical Society trustee and design and review board member Avery Applegate addressed council members regarding the Colony Theatre murals and on the building in general.

Applegate thanked the city for donating the murals to the society.

“We are going to start next Monday with the removal process,” Applegate said. “We appreciate the city gifting us that.”

Applegate also volunteered to assist with any future plans regarding the Colony Theatre, including proposed designs for the space if the building is torn down.

“As a historical society, of course we would love to see this thing restored and kept, but we know that that’s probably not a very feasible thing,” Applegate said.

Speaking as a representative of the design and review board, Applegate added that if the Colony building is torn down, she would like to “see something in that spot.”

“I have offered to be on any committees, if anybody wants an opinion or anything like that, I offer my time and services in that respect,” Applegate said. “We would like to see something that pays homage to the Colony Theatre there.”

Applegate suggested a structure with a “facade, maybe pushed back” to be built in its place.

“My concept is something that kind of mimics the shape of the Colony, pushed back farther, maybe some potted trees, benches, create a little space to sit and take in a view of the town or whatever, and have a marquee,” she said.

Koogler said that as the property maintenance and restoration committee continues to look into the Colony Theatre, they will accept any input from the community.

Council also voted 5-0 to approve the city’s donation of the murals to the historical society, at Applegate’s request, for the society’s records. (Council member Justin Harsha, who is also a member of the Historical Society board of trustees, abstained.)

• • •

Committee chair Ann Morris reported that the property maintenance and restoration committee met prior to Monday’s council meeting to discuss vacant or blighted residential properties and the proposed demolition of the Colony Theatre. Morris said that the demolition will cost an estimated $51,000 for the back half and $45,000 for the front, along with moving an electric pole that will need to be done by AEP.

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Hastings reported that the Hillsboro Planning Commission discussed a zoning code diagnosis received from a zoning consultant and will be having a meeting with the consultant this month. They also moved to designate the new Hillsboro Christian Academy location as “business C” in the city’s zoning.

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Harsha, who chairs the street and safety committee, reported that the Festival of the Bells “went off without a hitch.” Harsha, who volunteered during the festival as the city’s representative, thanked the city for the use of its street sweeper and Hillsboro Police Chief Todd Whited for obtaining an observation tower for the festival security.

• • •

In addition to the previously mentioned legislation, council voted 6-0 to approve the following resolutions:

• A resolution to increase appropriations in the State Highway Fund by $2,700.

• A resolution to increase appropriations in the General Fund by $2,000, to accommodate a donation to the police department.

• A resolution to accept the bid of Miller Mason Paving Company for 2016 for asphalt resurfacing of various streets. The bid of $105,220 includes resurfacing of all of West Pleasant Street; the 200 and 300 blocks of Muntz Street; the 100 block of East Pleasant street; the 400 block of Vine Street; the 100 block of South Elm Street; and the 400 block of West South Street.

• A resolution to authorize an increase in compensation for Civil Service Commission members from $75 per year to $225 per year, retroactive to 2015.

• A resolution to accept the 2017 tax budget proposed by the auditor. A public hearing was held prior to the council meeting Monday, with no public comment.


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Morris told fellow council members that the Dog Park Association officially disbanded at their last meeting. Three of the association’s members at the meeting were recognized and applauded by council members for their efforts.