By Bob Strohm
bstrohm@wbcowqel.com

The tax rate for staying at a hotel in Galion is on its way to being cut in half after the Galion City Council approved the first reading of the bed tax ordinance Tuesday night.

Passing with a 6-0 vote, the newly proposed rate would cut the current rate in half to 3 percent. That money is used to fund the Galion Visitor’s Bureau. Currently the money being collected on the 3-percent tax is sitting in an account due to the city not having a visitor’s bureau. Mayor Tom O’Leary noted during discussion prior to vote that it is a positive for the community.

“It is designated to lower a tax that is not competitive and if it can attract more investments to the city I see it as a positive,” O’Leary said. “This is being supportive of Galion’s growing hospitality market.”

The second step of the project will be to repeal the other 3 percent bed tax to allow for a 3 percent countywide bed tax.

Bucyrus Visitors and Tourism Bureau director Patricia Ratliff was on hand to deliver letters approving the tax rate reduction from the Bucyrus Visitor’s and Tourism Bureau, the Ohio Association of Conventions and Visitor Bureaus, the Bucyrus Area Chamber of Commerce, the Galion and Crestline Chamber of Commerce, the Ohio Lincoln Historic Byway, and an e-mail from Bucyrus Mayor Jeff Reser to O’Leary.

The Galion City Council approved the second reading of an alley vacation to Avita. The alley, which is unnamed, would then be used for development . The alleyway being vacated by the city to Avita is 164.91 feet.

Prior to passage of the second reading Dr. Thomas Fellner attempted to make a motion suspending the rules requiring a third reading, however that motion was shot down when Council Woman Susan Bean voted against the motion.

Council members passed the first reading of the investment committee’s motion to move $3 million from the city’s account at Star Bank into the city’s account with PNC Bank. The move would be used as liquid assets for the downtown hotel and wastewater treatment plant projects.

Safety Service Director John Swain was authorized to make payments of $21,230.34 for various city improvement projects, as well as $216,171.25 for loan payments to PNC Bank for back payment to AMP.

O’Leary noted that the power bill was $10 million, and that by the mid-2020s the debt incurred will be paid off. O’Leary explained that the move will allow for the city to eliminate rate stabilization which was charging the city 10’s of thousands of dollars per month.

Fixing an oversight by the city auditor as well as the state auditor, City Council approved amending appropriations for 2016 to match the carryover surplus for the Depot Fund as well as electrical upgrade instead of the total amount of money for the project. As a result the Depot Fund will get a reduction of $8,211.70. The Electrical Upgrade Fund will see a reduction of $1,331,128.39 to match the amount of money that is still left from the 2015 projects.

An amendment to City Council rules was approved. Part of the rule changes follow the Robert Rules of Order and reduces the advertising of council meetings.

City Council approved the appointments of Joice Hayden-Cating to the Freese Board of Trustees; Sharon Barnes, Gloria Lust, Patty Roston, Dan Brown, and Council Woman Shirley Clark to the Uptowne Design Review District; Reverend Rick Maddox and Clark to the Historic West Main Design Review District; and John Sipes, Kris McCarthy, and Clark to the Harding Way West Design Review District.

In Law Director Thomas Palmer’s report, he noted that paperwork for the Central Hotel as well as the HTI building has been completed. Palmer also stated that a 2015 year-end report will be given by Treasurer Rodney Sparks due to Sparks being at the position for only one month.

In his report, O’Leary was optimistic on the future of the city.

“There are a lot of development projects falling into place which bodes well for Galion,” O’Leary said.