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Elevator costs raise council’s ire

Ever-rising relocation tab scorned

– The city’s attempt to spend nearly $1 million renovating elevators at Citizens Square has drawn criticism and a request for an inquiry from the City Council.

Council President Tom Smith, R-1st, on Tuesday questioned how the city could miss problems with the elevators when inspecting the building for purchase. With the council already approving $815,000 to cover construction overruns and moving costs last month, Mayor Tom Henry’s administration should appear before the council to ensure there aren’t any more surprises, Smith said.

“Are there any other problems we need to know about this building?” he asked. “Did we buy a money pit?”

The Fort Wayne Redevelopment Commission voted Monday 3-2 to spend up to $950,000 from one of its tax-increment districts to upgrade elevators at the new home for city and county government. The mayor’s appointees supported the expense and the council’s appointees opposed it.

Councilman John Shoaff, D-at-large, used the opportunity to question the role of the commission, in that it is approving large expenses without any real council oversight. He said the council needs to ensure that large decisions are not delegated to unelected boards.

“I don’t think it’s their decision to make unilaterally,” he said.

Redevelopment commission member Casey Cox had asked to delay the vote until the council could discuss it, but that request was rejected.

A divided council in August 2009 approved buying the 220,000-square-foot office building for $7.3 million and then approved borrowing $17.2 million to finance that acquisition and remodeling of the building. Henry conducted a grand opening for the new home for city and county governments in June.

Councilman Mitch Harper, R-4th, said he plans to send a letter to the administration asking whether the city will bring the contract for the work to the council for approval, which he said he believes should occur. Greg Leatherman, redevelopment executive director, previously said the contract would go to the commission for approval.

Condo abatement

The council voted unanimously to grant a tax abatement for the $10 million conversion of the Anthony Wayne Building into condominiums. The project will create a few dozen retail and other jobs downtown.

The abatement will save the developer about $1.5 million over a decade, but the developer will pay $1.5 million in new taxes on the building over that same time.

blanka@jg.net