City economic development officials and members of the Gahanna Community Improvement Corporation asked the Committee of the Whole Monday for a $5 million supplemental appropriation to pay off a commercial loan tied to 12 parcels in the Creekside District so the CIC can proceed with demolition and reuse under a state grant that must be spent by Dec. 31. Director Jeff Gautke introduced the proposal and said the CIC has secured nearly $500,000 in state grant funds for demolition but cannot use that money while the properties remain mortgaged. "To determine the ultimate use of the land, you must first control the land," Gautke said.

Gautke told the committee the supplemental appropriation would let the CIC extinguish the mortgages so demolition can proceed and the parcels can be marketed for redevelopment consistent with the city's Creekside redevelopment strategy. He described the request as the latest step in a nearly seven‑year effort to assemble sites for mixed‑use redevelopment in Creekside and said failing to pay off the note could lead to foreclosure and the loss of the grant and assembled parcels. The director said the CIC's grant requires that demolition occur or be under way by Dec. 31 and that the targeted payoff date for the note is Sept. 30, though payoff could occur earlier. He added the carrying cost of the note is about $700 per day, so earlier payoff would reduce carrying costs.

Councilmembers and CIC members asked clarifying questions about whether demolition must be complete versus started to meet the grant conditions, which demolition companies believe could be done in the available time but where the administration has requested formal clarification from the state Department of Development. Councilmember Schnetzer asked the city to provide the state's response to his office by email when available. Several members emphasized the long history of attempts to redevelop Creekside and described the CIC as a common municipal tool for site assembly. Councilmember Renner said he was "very strongly in favor and support" of the request. Director Byrd said the requested funds would come from the unreserved, unappropriated balance of the general fund.

No formal vote was held; the committee granted a waiver to move the item to the regular council agenda for first reading next week and consent consideration on a later meeting. Staff said all but one of the 12 parcels are vacant; demolition estimates are being developed, and the city may request a future supplemental appropriation if demolition costs exceed the grant and payoff amount by a material amount. The administration noted some implementation uncertainty: demolition schedules can be unpredictable and the state's exact grant timing rules remain to be confirmed. The CIC members present included George Maris, Jody Carter and Betty Collins; Mayor Chadwin, Councilmembers Padova and Renner serve as CIC representatives on record.

Next steps: staff will place the item on the regular agenda for first reading, share the state's clarification about demolition timing with council when received, and work to finalize demolition estimates and any required follow‑up appropriation requests.