Warsaw Community Economic Development Director Jeremy Skinner spoke to the Warsaw Common Council Monday, May 1, regarding a resolution for an economic incentive for Mentor Media. Photo by David Slone, Times-Union.

By David Slone
Times-Union

WARSAW — The Warsaw Common Council reviewed a draft Monday night, May 1, of a revised application for funding for nonprofit organizations for 2024, and approved a resolution for a $250,000 loan for Mentor Media.

On the revised application, Mayor Joe Thallemer said he’s had some discussions with several council members and he wanted to bring the application to the council Monday night at least to look at and discuss the change to the city’s direction in funding. No action was taken Monday night.

A copy of the “call for proposals to provide specific services (not-for-profit entities)” states the city is redirecting its emphasis for nonprofit funding requests. Contracts that meet specific service needs for the city and deliver measurable benefits to “our taxpayers is the focus of our not-for-profit collaborations,” it states.

Contracts with the city will be considered for programs that meet the specific needs of the city, and those are listed as public transportation services, animal control services, environmental protection of local lakes and streams, assistance for victims of domestic violence, administration and support of rental assistance programs and critical repairs for housing deemed affordable, and support of Warsaw Main Street programs.

Thallemer said he wanted the council to review the application Monday and make any changes if needed by the May 15 meeting so the application can be made available to nonprofits by next month. Applications are due June 30.

Council President Jack Wilhite said, “I’m glad to see a step in this direction. Over the years, (I) had discussions with various council members. I always had a little bit of an uneasiness with some of the way that we approached this particular topic.”

He said all the nonprofits in the city have valuable programs and projects and it’s “very difficult” to say no to anybody. As community leaders, Wilhite said it was incumbent on the council to make sure they’re using the taxpayers’ funds in a way that is “responsible that we are doing it for city services.”

Wilhite said he supported the change in the application.

Councilwoman Cindy Dobbins said when they were looking at the application, they tried to think about services that they thought it was important for the city’s citizens to have access to, but also services that if the city offered them would be cost-prohibitive to do so.

Diane Quance, councilwoman, said another thing they looked at was, over the last two years the city tried to come up with enough money to attract and retain quality employees. Over at least the next coming year, she said the city foresees the need to continue to compensate its employees at a rate in which they can retain them and replace any that might leave.

“So one of the purposes of taking this step is to free up some funding in the next coming year. And, again, this was meant to be looked at on a year-to-year basis as to what we would need to fund,” she said.

For the nonprofit application, Thallemer said, “We primarily looked at contract services that were within last year’s budget that met those contract fee for services, if you will, that potentially had measurable metrics that could serve a majority of our community, and not just take not-for-profit requests randomly from anyone.”

He said the idea, at least for 2024, was to narrow it down to the services the council felt were so important in the past and to limit it to that at this point.

“Again, to try to have some management control of the budget, knowing the salaries continue to rise as do everything else,” Thallemer said.

As part of the application, it now includes a report form for the end of the services for the city to evaluate the services that were provided.

There was some discussion the council could change the specific needs for the application annually.

With no action required Monday night, the council moved on to the $250,000 forgiveable loan to Mentor Media.

Warsaw Community and Economic Development Director Jeremy Skinner reminded the council that in April, they approved the memorandum of understanding which outlined the city’s incentives to Mentor Media and their requirements to meet to receive those incentives.

The resolution he presented Monday was the next step that approved the form of the loan, assuming Mentor Media accepts the loan.

“The loan is pretty much the same that we had spoke about last month. It would be the $250,000 forgiveable loan, assuming that they meet the metrics in terms of employment and salaries. It’s on a revolving yearly basis, so they would be issued a $50,000 loan in 2023, and assuming that they meet those requirements, it would be forgiven and they’d be issued another $50,000 in 2024 and so on,” Skinner explained, for the five years.

Thallemer told the council he met with Mentor Media last week. Their building is being constructed at the Warsaw Technology Park and Mentor Media is anxious to get started.

“They want to be moved in by August, which I hope that happens. They’re very anxious,” Thallemer said.

Mentor Media will locate its operations in part of the 101,200-square-foot shell building at 1395 Polk Drive, which is still under development. The operation will consist of medical device end-of-line processing and supply chain management services. The Warsaw operation also will serve as a medical device service hub, including controlled storage warehousing, ISO Class 7 cleanroom and final packaging lines. The cleanroom will house a pre-validated sterile packaging system complaint with the new EU medical device regulation.

The company plans to hire nearly 50 employees in the next three years and hiring will begin before this fall.

The Warsaw Redevelopment Commission approved last month a MOU for the purchase of $250,000 in equipment for Mentor Media. Monday, the commission approved the execution of the purchasing of that equipment, Skinner told the council.

The council unanimously approved the resolution for the loan.

In other business, the council:

• Approved a resolution to transfer American Rescue Plan Act funds for street improvements to neighborhoods. The funds transferred were $125,000 for street lights replacement and $250,000 for road repairs.

The city received $3.4 million in ARPA funds and have utilized about half of that, Thallemer said. All the money has to be allocated by Dec. 31, 2024. He said most of the dollars were spoken for.

• Approved a resolution to transfer $30,487.38 from surplus bond proceeds to the fund pledged to the payment of principal and interest on those bonds.
• Heard the city’s cable franchise fee for the first quarter from Mediacom was $268.46.
• Recognized Boy Scout Troop 819, sponsored by Sacred Heart Catholic Church, who attended the meeting as part of the requirements to earn their citizenship and community badge.