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AKRON - In a special meeting the Akron Town Council passed a motion to guarantee a $40,000 Fulton County Economic Development Commission loan and a $10,000 grant in a two-to-one vote with Jean Conner voting against. The loan is scheduled to be repaid in 10 years.
The council, in this month's regular meeting, decided to guarantee the loan pending the findings of the State Board of Accounts.
The funds will be used by the Akron Revitalization Committee for improvements to downtown buildings, and infrastructre.
Council President Roger Gearhart told council members that he checked with the state and said it was OK to guarantee the loan.
Member Jean Conner told Gearhart that she had also checked with a district representative and that he told her that an ordinance and three readings are required. She said the representative advised her not to approve the loan and that the town would be deeper in debt if the loan could not be repaid by the revitalization committee.
Gearhart said, "Yes, the town's liability would be there but we need to put a stamp of approval on what direction the downtown area is to take."
Akron Revitalization Committee president Kirk Robinson told the council that reports that the 501(c)3 application was denied were wrong.
"Nothing has been denied," he said.
ARC member Channing Utter told the council the 501(c)3 was difficult to obtain: "We are a not-for-profit organization."
Utter said the ARC members were already on the line for ongoing projects. "This came from a community needing to do something. This was started 30 years ago and failed because people were afraid of the risks. We're honored that FEDCO believes in us enough to help with the financing. The goals are to save this thing and to redevelop the downtown district."
Gearhart agreed: "It is unbelievable to think there is a group of people to see this thing though."
Conner said, "We are also looking at a new pumper. I don't want to over-extend ourselves."
Gearhart said he didn't think the town was over- extending. "We're not sinking the town, we're talking about grants."
Councilman Phil Allen said the council needed to support ARC. "There is no obligation on our part and if ARC would default we would re-work our budget to pay it. It would only be $5,000 a year."
