MENTONE -ÊMoney from Mentone's share of the Economic Development Income Tax will help support the Bell Memorial Library, day care and senior citizens center at the former Frank Saemann Manufacturing Building.

Monday, the Mentone Town Council unanimously approved a resolution in which Mentone will pay $2,000 per year for 20 years plus $25,000 of in-kind labor and materials. In addition, Mentone will pay an estimated $5,000 for maintenance, insurance and utilities for the senior citizens center portion of the building.

EDIT is income tax money that can be used only for capital projects and improvements. The Kosciusko County Council approved EDIT this year and the tax began being collected July 1. However, towns, cities and the county cannot begin receiving the money until 2002.

Originally, the town was asked to pay $4,000 per year for 20 years plus $5,000 for maintenance, insurance and utilities. However, with in-kind gifts totaling $25,000, the town's share reduces to $2,000 per year, plus maintenance, insurance and utilities. The $5,000 could be less depending on costs.

Even at $9,000 per year for 20 years, councilman Ed Lamar said, that is a small price to pay for a $500,000 grant and the town would be getting rid of an eyesore. An additional benefit to the town, he said, is more parking.

The town council also approved application for a $500,000 grant from the Indiana Department of Commerce.

R.P. Murphy & Associates was approved to be the grant administrator. Costner & Associates Architects Inc. was approved as architect for the project. Both are contingent upon receipt of the IDOC grant.

The cost to renovate the Saemann Building will total approximately $1.14 million. Approximately $941,000 is construction costs; $125,000 is professional fees; and $88,000 is grant-related costs and administration.

The senior center portion of the building is 3,044 square feet.

Tim Kelty, of R.P. Murphy & Associates, said IDOC encourages the town to participate financially in the project. If the town doesn't, Kelty said, IDOC would question why they should.

Kelty said that after the grant closes out, IDOC would require the senior center to remain a senior center for five years. After that, if the center isn't used much, the town could rent or lease it out or use it for other town needs.

Brian Reed asked if it was better to tear down the building and rebuild instead of revitalizing the building.

Bob Murphy, of R.P. Murphy & Associates, said an independent appraisal said the building would cost more to tear down that what the ground is worth.

Indiana Department of Environmental Management also said there are environmental concerns if the building was torn down, said Lamar. A new senior citizens center, he said, would cost more than a million dollars to build and would be smaller than the facilities at the Saemann Building.

In addition to the half-million dollar IDOC grant, Mentone will commit the requisite local funds of $638,868.18 by the Bell Memorial Public Library from the LIRF and Capital Projects Fund and general obligation bonds it will issue.

In other business, the council:

• Tabled a decision to donate $500 to Kosciusko Development Inc.

• Approved a quote of approximately $25,000 from Phend & Brown to pave Walnut, Franklin, Maple and Jackson streets; the first alley north of Main Street; and half an alley between Oak and Elm streets north of Washington Streets. The cost for the half alley will be shared with Butch Warren, who will pay $800 toward the cost.

• Reed told the council he and councilman Ed Rock went to IDEM to talk about a new sewage facility that has been in discussion for a few years. Though IDEM turned down their grant request, IDEM asked the town to "think bigger, become a regional area." Rock said the meeting with IDEM was positive and IDEM would help them look for grant money if they thought bigger on the sewage facility.

• Approved town marshal Jim Eads' request for $380 to attend a drug program in Goshen.

• Approved by a vote of 2 to 1 raising deputy Frank Banghart's hourly salary from $7.60 to the maximum of $8 effective Aug. 1. Councilman Mike Diemer opposed.

Eads said Banghart will be working less now that deputy Jason Westafer returned from the police academy. Banghart has been with the department since January 1995.

• Announced the cemetery board will meet at 6:30 p.m. Aug. 14 in the town hall.

Clerk-treasurer Jim Tibbets announced the public hearing for the 2001 budget will be at 7 p.m. Sept. 8. The budget adoption will be at 6:45 p.m. Sept. 11, prior to the regularly scheduled council meeting.

Members of the Mentone Town Council are president Ed Rock, Ed Lamar and Mike Diemer. [[In-content Ad]]