City Council to Meet With Airport Trustees
The Grove City Council voted 3-2 to reject a list of "stipulations" from the Grove Municipal Airport Authority but stopped short of taking further action to resolve the controversy over transfer of property to the city. They agreed to hold a joint special meeting with the airport board at 1 p.m. Thursday, March 16 to see if a compromise can be worked out.
Voting against the rejection of the stipulations were councilors Larry Parham and Gary Bishop.
The major issue still to be worked out is indemnification of authority and trustees against possible legal action due to the transfer of the property. City Attorney Ron Cates said "indemnification just cannot be. Council does not have the authority to do that." He said that "the stipulations are inconsistent with the 5-0 vote taken by the council at their last meeting and are a shifting of the risk from the trust authority to the citizens of Grove.
You don't have statutory authority to indemnify," Cates said.
Also rejected on the "stipulation" list is for the city to modify the Lease and remove the provision which allows the city to terminate the lease upon satisfaction of the airport authority debt, and some of the wordage associated with the city agreeing to pay all fees and expenses "involved in or associated with the transfer of property."
The City did agree to mutually agree on the location of the jointly-owned tract which will have a value of approximately $100,000, and pay for "ministerial" fees in conjunction with the transfer of land. Specific legal descriptions of the co-titled land will be written. Legal descriptions of the rest of the land have already been written and forwarded to the airport trustees, City Manager Bill Galletly said.
Councilman Terry Ryan was concerned about "new issues" which have arisen more than three months after the initial discussions began between the council and trustees. "I am concerned that another laundry list may come back," he said.
He was especially upset by the wording in a letter from Max Schuermann, vice chairman of the airport authority, to Mayor Nuckolls which said the City had no right to demand or require any participation or distribution of the Trust Estate."
Ryan said "we simply requested transfer of the land to protect it from risk in case of a lawsuit." Ryan mentioned the current threat of a lawsuit against the council from a petition from 10 residents, and the current events which may lead to a Grand Jury investigation of city officials, as evidence that we live in a "litigious society."
"Let's not throw the baby out with the bathwater," said David Adzigian, a trustee, while airport user Troy Kyman said "we are so close to getting this worked out, let's not stop now." Bryant Chestnutt, trustee, said "don't throw the whole thing away."
Cates and David Jones, attorney for the trust, agreed to have further conversation about the legal aspects of the property transfer.
GMSA and GIDA have both previously voted to transfer all real property, except for the Grove Civic Center, to the city, without any difficulties.
In other action:
--Council approved for the city to advertise for bids in connection with the city's annual July 4 fireworks display;
--Approved purchase of office furniture through county budget funds for the Grove Fire Department at approximately $2,000;
--Approved a revised street and parking lot maintenance contract for sweeping, to K&C Construction of Grove;
--Approved a REAP contract in the amount of $44,690 in state funds for paving the parking lot at All State Tank, through Grand Gateway;
--Took action to close a portion of Elm Street in Honey Haven First Addition. Objecting was Planning & Zoning Board Member Judith Read, who felt that the action should first come before the P&Z Board.
--Authorized the Mayor to sign all documents relating to Pride Plating's application for a $100,000 grant and interest free loan of $100,000 for the Department of Commerce and set a public hearing date of March 14 at City Hall, Room 5. Pride Plating's expansion will add up to 20 jobs over the next two years, City Manager Bill Galletly said.
Voting against the rejection of the stipulations were councilors Larry Parham and Gary Bishop.
The major issue still to be worked out is indemnification of authority and trustees against possible legal action due to the transfer of the property. City Attorney Ron Cates said "indemnification just cannot be. Council does not have the authority to do that." He said that "the stipulations are inconsistent with the 5-0 vote taken by the council at their last meeting and are a shifting of the risk from the trust authority to the citizens of Grove.
You don't have statutory authority to indemnify," Cates said.
Also rejected on the "stipulation" list is for the city to modify the Lease and remove the provision which allows the city to terminate the lease upon satisfaction of the airport authority debt, and some of the wordage associated with the city agreeing to pay all fees and expenses "involved in or associated with the transfer of property."
The City did agree to mutually agree on the location of the jointly-owned tract which will have a value of approximately $100,000, and pay for "ministerial" fees in conjunction with the transfer of land. Specific legal descriptions of the co-titled land will be written. Legal descriptions of the rest of the land have already been written and forwarded to the airport trustees, City Manager Bill Galletly said.
Councilman Terry Ryan was concerned about "new issues" which have arisen more than three months after the initial discussions began between the council and trustees. "I am concerned that another laundry list may come back," he said.
He was especially upset by the wording in a letter from Max Schuermann, vice chairman of the airport authority, to Mayor Nuckolls which said the City had no right to demand or require any participation or distribution of the Trust Estate."
Ryan said "we simply requested transfer of the land to protect it from risk in case of a lawsuit." Ryan mentioned the current threat of a lawsuit against the council from a petition from 10 residents, and the current events which may lead to a Grand Jury investigation of city officials, as evidence that we live in a "litigious society."
"Let's not throw the baby out with the bathwater," said David Adzigian, a trustee, while airport user Troy Kyman said "we are so close to getting this worked out, let's not stop now." Bryant Chestnutt, trustee, said "don't throw the whole thing away."
Cates and David Jones, attorney for the trust, agreed to have further conversation about the legal aspects of the property transfer.
GMSA and GIDA have both previously voted to transfer all real property, except for the Grove Civic Center, to the city, without any difficulties.
In other action:
--Council approved for the city to advertise for bids in connection with the city's annual July 4 fireworks display;
--Approved purchase of office furniture through county budget funds for the Grove Fire Department at approximately $2,000;
--Approved a revised street and parking lot maintenance contract for sweeping, to K&C Construction of Grove;
--Approved a REAP contract in the amount of $44,690 in state funds for paving the parking lot at All State Tank, through Grand Gateway;
--Took action to close a portion of Elm Street in Honey Haven First Addition. Objecting was Planning & Zoning Board Member Judith Read, who felt that the action should first come before the P&Z Board.
--Authorized the Mayor to sign all documents relating to Pride Plating's application for a $100,000 grant and interest free loan of $100,000 for the Department of Commerce and set a public hearing date of March 14 at City Hall, Room 5. Pride Plating's expansion will add up to 20 jobs over the next two years, City Manager Bill Galletly said.
posted by Editor | 2:02 AM
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