The Fayette Citizen-News Page

Wednesday, April 14, 2004

Council eyes help for DAPC

The Peachtree City Council will be asked Thursday night to consider a new funding agreement with the city’s Development Authority that will offer to pay liability insurance for the authority’s officers and directors to help get the organization back on its feet.

In a memo to the mayor and council dated April 8, City Manager Bernard McMullen explained that the former intergovernmental agreement, dating from July 2001, included specifics on the hotel/motel tax the DAPC was to receive to operate the city’s amphitheater and tennis center, as well as supplements “for the purposes of debt service and economic development.”

When the DAPC gave up management of the city venues in November, it stopped receiving the guest tax revenue and essentially was left broke and holding debt estimated at more than $1 million owed to two local banks.

Revenue from the city wouldn’t be used to address the debt issue, said Mayor Steve Brown, adding that the funds would be considered a loan payable back to the city at some future date.

On March 15, the DAPC Board asked for $4,596 to pay the insurance premiums, according to a letter from DAPC Attorney Mark Oldenburg. The liability policy expires at the end of this month.

Brown, who attended the meeting, said helping out the DAPC members financially at this stage was the right thing to do.

“I have no problem doing that for the current officers because they’re doing a good job of trying to rectify the past problems,” said Brown, who fought to get control of the amphitheater and tennis center away from the DAPC for nearly two years, finally succeeding last fall.

A new nonprofit board, the Peachtree City Tourism Association, now runs the venues.

“It would be unfair for the city to leave (the DAPC) exposed when they’re trying to do the right thing,” said Brown.

Five of the seven DAPC members are brand new, appointed by the City Council since January to replace those who resigned in the wake last fall’s controversy.

The council will take up the matter Thursday at 7 p.m. at City Hall.

Also on Thursday’s agenda, shortened due to the weekend retreat: Consideration of traffic calming devices for Smokerise subdivision; adoption of the Leisure Service’s Department’s Special Events Policy; alcohol license request for W.K. Cafe Braelinn; awarding of purchase contracts for a quint fire truck and ambulance.

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