Mayor opts against using Promenade Park funds

People have fun at The Red, White & Kaboom Fireworks with the Taste of Toledo at Promenade Park. THE BLADE Enlarge | Photo Reprints

After a heated fight with Toledo City Council over the potential designation of $750,000 for a Promenade Park makeover, the Bell administration announced Wednesday it no longer will seek to obtain the money from the city's capital improvements fund.

Tom Crothers, the city's deputy mayor for external affairs, told councilmen gathered for an agenda review meeting that the administration is worried about a possible budget deficit at the end of the year and wants to hold on to the $750,000 to help make up for any shortfalls. As a result, the city will withdraw Mayor Bell's request to put the funding toward renovating the downtown park and look for another source of funding for the project.

A majority of City Council members opposed the Promenade Park allocation, voting 7-4 last month to put the money instead toward repaving city streets. Council's attempt to redirect the funds collapsed after Mayor Bell vetoed the decision and reissued a request to invest in the park.

Mr. Crothers denied the city's withdrawal of the legislation had anything to do with a lack of support from council.

"That's really not the reason," Mr. Crothers said. "The fact is, our expenditure side is overbudget."

Toledo's income tax revenue has been steadily increasing over the past few months, and the administration is on track to meet its goal of selling $4.85 million in city assets to plug this year's budget hole. But some city departments have spent more than expected, city Finance Director Patrick McLean said. He pointed to the fire department, which has burned through its overtime budget for the year. The city is also picking up pension contributions for members of the police command officer's union, something it hadn't expected to do until the end of the year, Mr. McLean said. Federal grants for hiring police officers also have been less than expected, the director indicated.

While hesitant to say for certain whether the city will face a deficit, Mr. McLean said administrators are making efforts to cut back on spending. "We are at a point where we know we need to take some remedial action and we are taking steps to do just that," he said.

Meanwhile, the city will continue to pursue funds for the Promenade Park project. Mr. Crothers said the city is appealing to the Ohio Department of Transportation for permission to use $2.2 million in unspent loan money allocated to the city to redevelop the Marina District.

Now that a large portion of the district has been sold to Chinese developers, the city could use the loan funds for Promenade Park, the deputy mayor said.

Plans for the park include almost doubling its size by linking it with the former federal building site between Summit and Water Streets, and creating a terraced slope down to the waterfront, complete with a water feature and permanent stage. The $750,000 would pay for the first phase of the project, allowing the city to lay the soil for the expanded park and plant grass and shrubbery. The expected cost of the project is $6 million.

Councilmen against putting capital improvement funds into Promenade Park expressed satisfaction with the city's announcement, some characterizing it as a sign the administration had relented in the face of public opposition.

"I was very pleased that the Bell administration has reconsidered. I do believe that it had limited public support," Councilman D. Michael Collins said. "I believe the mayor was making a political statement, recognizing the fact that the decision was very unpopular with the voters and it could impact his ability to be re-elected."

Councilman George Sarantou, who sponsored the effort to put the money toward street repair, said he hopes some of the capital improvement funds will be left over for next year so they still can be used for streets. He said dozens of residents have contacted him about the need to repave residential roadways.

"It's very important that we use as much as we can to have the infrastructure problems taken care of," Mr. Sarantou said. "Clearly the citizens who took the time to call City Council and the mayor's office and to email … made a difference."

But Councilman Adam Martinez, who voted in favor of the original Promenade Park legislation and to uphold the mayor's veto, said he was disappointed in the outcome. He said the city should have had a better grasp on its financial situation before trying to persuade council to vote in favor of allocating funds to the park.

"I'm very upset," Mr. Martinez said. "I supported the mayor's veto on the auspices that he had a plan for the downtown area. And I was very let down."

Mr. Collins said he was alarmed to hear the city may be facing a budget shortfall for 2011. He said the city has spent millions to update its accounting system and should have known earlier whether it would have the money to spend on the park.

"It's pretty concerning to me that here we are finishing our third quarter and now we're making predictions that we may need the money to balance our budget," Mr. Collins said. "That should have been recognized at the end of the second quarter."

Contact Claudia Boyd-Barrett cbarrett@theblade.com or 419-724-6272.