Council Extends Line Of Credit For CRA, Purchase Land For Future Substation

WAYNE – As Tuesday’s regularly scheduled Wayne City Council meeting closed with a pair of executive session topics, councilmembers approved funds for the Community Redevelopment Authority (CRA) and purchased land for future development of a substation.

From the council chambers inside City Hall, both Greg Ptacek and Mike Powicki with the CRA approached the board with updates on their projects but also needed an extension of their line of credit.

CRA is a branch of the City of Wayne which deals with real estate while also looking to develop areas of town. Mayor Cale Giese said the group has been targeting 7th & Main.

“Which had sat empty for 18 years,” said Mayor Giese. “This whole process with getting two houses down and Jimmy Johns. I believe they’re in discussion with the brown house on the corner directly to the north of those three properties.”

The Jimmy Johns property will have an alley way put in along with a retaining wall to separate the two pieces of property. Another area where the CRA is working on is 2nd & Logan.

After issuing a line of credit earlier this year for the CRA to attack their aggressive projects, council approved a $200,000 extension line of credit.

City Administrator, Wes Blecke added the CRA could almost be seen as a department within the City of Wayne but they’re a stand alone entity.

“They don’t have a funding stream right now,” Blecke added. “I mean one thing we discussed briefly discussed was they could ask for property tax asking. But I think the city council is a little hesitant to that as well. There’s other creativity ways. They can get an admin fee off of TIF projects. So, there’s some other creative ways to do things.”

CRA is waiting on a house sale along with rent from Jimmy Johns once they’re operational and needed an extension in their line of credit with the City of Wayne.

After utilizing their $200,000 line of credit previously issued, the CRA has around $75,000 remining. The group will be funding site prep for the Jimmy Johns property (Jimmy Johns assisting up to $20,000); potential purchase of property at 721 Main (brown house); work on 2nd & Logan property along with monthly expenses and were going to be roughly $77,000 short on the low-end.

Councilmembers also secured land just north of Great Dane, on the corner of 14th Street and Centennial Road.

Mayor Giese mentioned this would be a future location for a substation.

“Wayne currently runs on one substation,” Giese mentioned. “So, what that means is we have one transformer that’s turning the power that comes into town on those big wires into the electricity that you use in your home. So, if that were to go down, we would be in big trouble.”

Just in a supply chain, the City of Wayne is around three years out in order to get a new substation up and going. But this will set up the City of Wayne for the next 100 years of growth being secured with an eventual multi-million dollar project.

The City of Wayne purchased the 3.26 acres for $286,120 and also get 0.39 acres for a dedication of property for a street.

Two final agenda items went into closed session being negotiations for the purchase of real estate at the old Final Touch property and potential litigation matter on the R. Perry Construction, Inc. project.

The first was in executive session due to the discussion of purchasing real estate as the City of Wayne will continue to pursue negotiations at the old Final Touch property and are in need of storage and expansion for several departments.

The second was in closed session but public documents our on record that the City of Wayne is being sued by BJ Woehler and Brad Roberts to halt the sale of the land which was filed in late July.

With the Second annual Burnout Competition approaching, the event will have a date change to a Saturday on September 17 (Friday last year). Dyno out of Parker, South Dakota will bring their equipment which will rate the horsepower of the vehicles and set up by 10 a.m. with the burnout competition starting in the afternoon.

Cruise Main in Wayne has two more events on Friday, August 19 and Friday, September 16 from 7 – 9 p.m. leading up to the burnout competition and Dyno day on Saturday, September 17.

Last year, there were 20 burnout entries with no prize money as this year’s best burnout will receive $1,000. A bounce house, inflatables and street vendors will be available throughout the day into the evening of September 17.

Council approved the street closure of Logan Street from Fairgrounds Avenue to 2nd Street from 8 a.m. until 10 p.m. for the burnout and Dyno day competition.

Ptacek later approached council about a change in description for addition to liquor license. Johnnie Byrd Brewing Company owns the old 1912 building and expanded into the former space where Boutique Black Label was located. The state patrol, food inspector and fire marshal have all completed their inspections.

Council approved the application for the additional indoor area as Greg will be on another future agenda item will be an extension to an outdoor beer garden on the east side of the building.

A work change directive number one was approved in the amount of $12,406 due to the water main being too shallow. Robert Woehler and Sons, Inc. is the contractor for the project as the “Chicago Street Improvements Project” is extending and connecting South Sherman to South Lincoln.

Another approval item was passed by council for the Wayne State College Homecoming Parade and Band Day on Saturday, October 8 for the Temporary Use of the State Highway System for special events.

The next regularly scheduled Wayne City Council meeting will be on Tuesday, August 16 at 5:30 p.m. while a council retreat has been set for Tuesday, August 30 at 5:30 p.m. from the Wayne Fire Hall.

Complete ‘View from Wayne American’ with Cale Giese and Wes Blecke.