Council committee adopts corrected ordinance to provide $1.5 million loan to Mill Creek Conservancy District

The Cincinnati City Council Climate, Environment and City Operations Committee voted to adopt a corrected version of an ordinance authorizing a $1,500,000 loan to the Mill Creek Valley Conservancy District, Chairwoman Mika Owens said at the committee meeting.

The loan is structured as a reimbursement on a 0% interest basis with a six-year disbursement period during which no payments are required, followed by a 10-year repayment period beginning in year seven, Andrea Yang, executive director of Greater Cincinnati Water Works, told the committee. Yang said the loan’s milestones include hiring an executive director, developing a sustainable revenue stream, conducting community outreach and seeking support from other jurisdictions.

The measure passed the committee after Owens moved to adopt the B version of the ordinance and Vice Chair James seconded; a roll call recorded yes votes from Owens, James, Council Member Mark Jeffries and Council Member Walsh, and the chair said, "It passes. On for passage." The committee did not record any no votes in the roll call conducted on the motion.

Why it matters: GCWW and MVCD officials said the U.S. Army Corps of Engineers is preparing to turn over completed sections of Mill Creek flood-control improvements and that the conservancy district lacks permanent staff and sustainable revenue to operate the assets. Arun Hindapur, deputy director for stormwater, told the committee the channel is roughly 17 miles and that conservancy district operations currently depend on minimal local contributions and occasional grant funding.

Costs and scope: Presenters cited roughly $275 million in construction costs for channel work and about $200 million for barrier-dam improvements in today’s dollars; annual operation and maintenance estimates cited for the channel ranged from about $2.5 million to $3.0 million, and the barrier-dam O&M was described as roughly $4.5 million per year. Andrea Yang and Hindapur said the district would need a revenue source to meet those obligations when the Army Corps completes its work.

How the loan would work: Yang described the loan as provided on a reimbursement basis with no interest. Disbursements would occur over a six-year period while MVCD meets required milestones; repayment would be one-tenth of disbursed amounts annually during the 10-year repayment period. Officials said one available revenue mechanism under state law is assessment of real property benefits under Ohio Revised Code §6101, which requires studies and approval through the conservancy court.

Council concerns and equity: Members questioned how assessments would be structured and whether the burden could fall disproportionately on low-income neighborhoods. Council Member Mark Jeffries urged care to ensure the assessment approach is equitable, noting much of the Mill Creek watershed lies outside Cincinnati and that the city should avoid placing undue costs on vulnerable communities. Andrea Yang and Arun Hindapur said the district would need to analyze benefit apportionment and explore multiple allocation methods — by property, square footage or value — and prioritize affordability.

Public testimony and partners: Gerald Checo, president of the Mill Creek Valley Conservancy District, urged the council to invest in the district’s capacity before Army Corps turnover. Dave Schmidt, executive director of Mill Creek Alliance, called the loan "a very smart investment by the city to safeguard economic resources and as a stepping stone to help rebuild" impacted communities. Other speakers, including Mill Creek Alliance board member Chris Carr and resident volunteer Larry Falcon, highlighted both flood-protection and recreational benefits tied to Conservancy District property.

Next steps: Committee members adopted the corrected ordinance version and the chair said the item is "On for passage," advancing it for the next step in the legislative process. The committee adjourned following the vote.