Othello to decide how to use development funds
City favors funding new development council
OTHELLO - The City of Othello will be refunded money originally given to the Adams County Economic Development Council (ACEDC).
City representation from Othello and other government entities within Adams County attended an ACEDC meeting to terminate the group to be refunded unused annual dues.
The city voted to terminate the group because funds provided by Adams County, Adams County cities and the Port of Othello were not used and the ACEDC did not hold regular meetings due to lack of quorum. The Othello City Council advised they did not get any economic development results from the ACEDC.
The ACEDC is expected to be fully resolved within the next few weeks, City Administrator Ehman Sheldon said. Once the group is completely terminated, the entities who paid annual dues will be refunded.
The new development group, the Adams County Development Council (ACDC), formed recently to replace the ACEDC.
City staff requested direction from the Othello City Council during a Monday night workshop on what to do with the funds when they are reimbursed to the city.
Council was given three choices for distributing the funds.
The first choice entailed putting all the funds in the general fund. The second choice involves giving all the reimbursed funds to the new development council and the final choice stipulates giving a portion of the funds to the new development council.
Council directed staff to prepare a contract to give any refunded money from the ACEDC to the ACDC.
The city council will vote on the matter Jan. 14 during their 7 p.m. meeting.
The city is expected to receive approximately $21,000 from the ACEDC.
Councilmember Ken Caylor said the reimbursed funds should be given to the new development council because the funds were originally meant for economic development.
"If they didn't use it, it wasn't needed," Councilmember Marc Spohr said about the funds.
He said he requested to see a copy of the goals, budget and mission statement from the new development council several weeks ago but still hasn't seen the information he requested. Spohr said he is not comfortable giving the funds to the new group without information showing the need for the funds because the old development council did not use the funds given to them.
Councilmember Tim Wilson said he agreed with Spohr. He said he wanted to see the information showing the need for the funds because the old development council didn't use the funds given to them.
Councilmember Ken Johnson, who serves on the new development council, said the ACDC plans to hire a full-time employee and plans to open an office.
"We are short funds," he said.
Johnson said the Adams County Board of Commissioners has provided funds for start-up costs but more money is needed to move forward.
"You can't hire someone without funds," councilmember Eleanor Brodahl said.
She said previous councils earmarked the funds given to ACEDC for economic development and it should remain for that purpose.
Mayor Shannon McKay said the new development council should not be punished for the lack of results from the old development council.
He said the new development council is already showing progress. McKay said the group is made up of city and business leaders and well-known citizens. He said the ACDC held a successful kickoff event Thursday.
"They can't do anything without funds," he said.
City Administrator Ehman Sheldon said the ACDC completed their by-laws and incorporation paperwork. The next step is forming committees to establish goals. He is the vice chairman of the new development council.
"I'm not convinced that this is the direction to go," Spohr said.