VANDALIA — The Vandalia City Council voted on Monday to change the way it deals with funds in the city’s Cultural Arts Fund that is held at the Dayton Foundation.
The change, intended to allow the funds to be invested more aggressively, changes the dollars in the fund from public funds to private funds. The change mirrors the change made with a separate fund, Public Art in Vandalia, that was made in 2017.
The source of the funds in both accounts were annual donations made by the city as well as interest income and returns on investments. In 2017, in conjunction with an opinion by the Auditor of State’s Office, the city determined that the PAIV funds were not public funds because they had been donated to a “third party for a public expense.”
At that time, the Cultural Arts Fund was deemed to be public funds and therefore subject to the city’s current investment policy as well as the Ohio Revised Code. Those guidelines are very conservative however, and intended to preserve capital which results in a low return.
By making the funds private, they can be invested more aggressively and therefore earn a greater return to fund projects.
Council’s move on Monday terminates the existing agreement with the Dayton Foundation and puts in its place a new agreement that allows up to 4% of the annual interest income of the fund to be used for projects. Projects up to $10,000 must be approved in advance by the City Manager and projects that exceed $10,000 must be approved by city council. The program will be operated by the City Manager’s Office with the assistance of the Vandalia Cultural Arts Committee.
In other action on Monday, the council approved the purchase of a battery backup system upgrade at a cost of $28,804.64. The unit will replace the systems at the Justice Center and Fire Station #1.
Council also approved the equipping of three police vehicles and a command vehicle by K.E. Rose Company in Huber Heights at a cost of $41,875.
Barrett Paving Materials once again gave the city its lowest bid for asphaltic concrete, but council also also approved the purchase of asphalt from Valley Asphalt at times when Barrett cannot provide for the city’s needs. The city has budgeted $35,000 from the Permissive Motor Vehicle License Tax Fund for the purchase of asphalt for minor street repairs, potholes, and water main breaks.
Council also authorized City Manager Jon Crusey to enter into an agreement with the US Air and Trade Show (USATS), the producers of the Vectren Dayton Air Show, to provide police and city services in direct support of the show being held June 22-23. In return, the city will receive on Flight Line Chalet and 200 tickets each day of the show. Any expenses the city has above $21,900 will be reimbursed by USATS.
On Wednesday, the city manager’s office announced that the council study session and business meeting scheduled for Monday, April 1 has been cancelled. Council’s next meeting will be held Monday, April 15 with a study session scheduled at 6 p.m. and the regular meeting to be held at 7 p.m.
Reach Darrell Wacker at (937) 684-8983 or on Twitter @VandaliaDrummer.