The Italy Economic Development Corporation moved forward with the demolition of the unusable community center and recently acquired adjoining building.

The IEDC just finalized the purchase of two pieces of McConnell property on Main Street, one known as the former McConnell Furniture store and the other, the former clothes closet adjoining the community center.

Following a six-to-one vote, the IEDC voted to allow the Gary Burton Engineering Firm to proceed with a proposal to demolish the two buildings – the former community center and the adjoining building — and begin general preparation to construct a new community center.

The conflict came when Tom Little suggested they talk with an architect rather than just an engineering firm.

Mark Stiles, chair, said the engineering firm would hire an architect for the project and an architectural firm would hire an engineer for the project. He said architects and engineers generally work hand-in-hand on a project of this type.

Burton, who was at the meeting, said a structural engineer specialist would be required to inspect the building because many older buildings are connected with a common wall. Thus, he said they must consider the structural integrity of the remaining buildings before they could decide how to advance.

Stiles said they are trying to expedite the demolition process without making a mistake along the way.

Burton’s firm is currently serving as the City of Italy’s engineer.

City Attorney Ed Voss told IEDC members that they could move forward with the proposal but could not spend money to proceed without city council approval.

The IEDC eventually voted for Burton to bring a bid package for demolition. Once that project was complete, they could proceed with new construction on the site.

Stiles said they are initially looking at a prefabricated metal building with a storefront design.

Looking at financing the project, Voss told members they have four possible options for construction – 1) pay with cash on hand; 2) acquire a loan from a bank; 3) get a loan from the governor’s office from the Economic Development Bank; and 4) certificates of obligation issued by the City of Italy.

Voss said the governor’s office offers favorable rates. The possible drawback is loan limits are capped at three times the sales tax revenue.

Stiles said the certificate of obligation takes away the city’s ability to build something else and said they should try to avoid that route.

Mark Souder Sr. asked about possible grants for the project.

Stiles requested Elmerine Bell, board member, research possible grant writers. He requested this be an item for the January meeting.

There was some discussion regarding the financial report. Currently, the money market account is about $105,000.

Teri Murdock, city administrator, said the IEDC received about $4,900 in September, $5,200 in October and $8,440 in November sales tax revenue.

She said they made a $26,798 payment on the fire truck. This completes the payment short of the $1 final payment.

Stiles pointed out the IEDC has paid for the fire truck and purchased two pieces of property in downtown Italy without outside financing. He said the IEDC still has a $105,000 balance, “a significant achievement.”

They did not approve the financial report until other financial questions were resolved.

The EDC will not meet in December but will hold a called meeting in early January.