Initiative Committee Approves Incentives, Discusses LED Signs
YOUNGSTOWN, Ohio – City officials voted to provide $6,400 to a company that wants to construct an 8-foot-high concrete block fence topped with razor wire, while they again deliberated whether electronic signage proposed by a Market Street business owner met city standards.
The Youngstown Initiative Committee approved the funds from the city’s façade program to American Farms Produce II Inc., 87 Brooklyn Ave. The company, wa supplier of wholesale produce to grocery store, restaurants and other businesses, plans to construct the fence to combat a rash of thefts and vandalism at the company. The fence will cost a total $16,000.
Appearing before the city’s design review committee earlier this month, the company’s president, Chris Herubin, put losses for just one week at $7,000.
“It keeps jobs in the city,” said Anthony Farris, city law director. The company has 15 full-time employees.
Also debated during Tuesday’s committee meeting was a request for funds by FightChannel LLC, which wants to install two 41-inch-by-78-inch light-emitting diode -- or LED -- signs, one 19-inch-by101-inch sign, steel siding and two awnings on its building at 2930 Market St. The LED signs would replace existing signage on the building.
The company promotes professional boxing, martial arts and mixed martial arts videos, and plans to produce “how to” videos and market merchandise from that location, Tom DeAngelo, city economic development coordinator, told members of the Initiative committee.
The company’s proposal had been before the city’s design review committee at its May and September meetings but members deferred action due to lack of supporting materials. The company is seeking $18,244 toward its $45,560 project.
The proposed LED signs can be programmed remotely, which is why the company’s owner, Arthur Menaldi, wants to use them, said Heidi Beach, an accountant representing FightChannel at Monday’s meeting. “It’s very important to Mr. Menaldi that we have these digital signs because that’s how he’s going to promote his business,” she said.
Members of the committee questioned whether the proposed signage meets the city’s requirements.
“I participated in preparing our sign regulations and I have some issue as to whether these sorts of advertising signs on the business meet them,” Farris said.
“When I look at these signs, I see an advertisement for an off-premises business,” Farris said. “Those are in violation of our sign regulation because that is not an advertisement for the business being conducted here.”
Beach said she believed the company had secured the necessary permits for its signage.
“I have no evidence of that. I don’t know how that could have possibly been permitted, what is up there now, because that is an off-premises sign so I don’t see how they are in any way in compliance with our ordinance,” Farris said.
Following the meeting, Ray DeCarlo, city zoning specialist, said no permits had been issued for the LED signs, and the signs now on the building are larger than permitted under the permits that were issued for them.
David Bozanich, city finance director, questioned whether the signs, even if permitted by the city, might run afoul of state law. State Route 7 runs along Market Street, and there could be an issue with the Ohio Department of Transportation regarding what is permitted to be shown. The state could see the LED signs as a potential hazard for motorists.
The committee also voted to waive participation by the U.S. Small Business Administration for Team Steel Fabricators’ $143,282 project. In July, the committee approved providing up to $14,328 toward the project, which will involve roof repairs for the installation of two cranes and increasing the door opening in the third bay of the company’s building to accommodate larger jobs, plus capital purchases. The company is located at 1158 Hubbard Road.
Financing for the project was approved by PNC Bank Aug. 14 but there has been a delay in securing SBA approval, DeAngelo said. “The project has fallen behind quite a bit in scheduling,” he remarked.
SBA participation protects the bank’s investment in the project, not the city’s share, said T. Sharon Woodberry, city economic development director. “In this case, because the bank approved it, it would appear that SBA’s not really required for the loan,” she said.
The program is designed to allow people to obtain financing they might not get otherwise, Bozanich said. “But should a company be strong enough not to have to go through SBA, we still want the investment in the city,” he explained. “That’s why we allow the committee the flexibility to waive [SBA participation].”
Copyright 2013 The Business Journal, Youngstown, Ohio.
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