When the Austin Area Commission for the Arts first applied for funding from the State’s 2000 bonding bill, it was with the blessing of the Austin City Council.

Monday, October 18, 1999

When the Austin Area Commission for the Arts first applied for funding from the State’s 2000 bonding bill, it was with the blessing of the Austin City Council.

It turns out the AACA needs more than a blessing from the council to get state money for the restoration of the Historic Paramount Theatre.

"In order to get any state funds, it turns out the facility or building has to be owned by a government agency," AACA president Janet Anderson said. "So we have a resolution before the council tonight giving them the option to buy the theatre – it’s a formality to allow the request to go through."

The council will vote on acquiring the Paramount – for the sum of $1 – at today’s 5:30 p.m. council meeting. The title transfer, however, will only occur on the condition that the state of Minnesota approves $550,000 in funding for the theatre’s restoration in the 2000 bonding bill. The city will also have to provide funds to match the requested $550,000.

It would be a change in name only. The AACA would still operate the facility, only the organization would pay for the privilege by leasing the Paramount – and the rent money would go toward paying the city back for the matching funds loaned from the city’s coffers for the project.

"People should understand none of this will happen unless we get the funding, and that’s a long shot," Anderson said. "There’s terrific competition for it."

Anderson also explained that – funding or no funding – the AACA would continue to fundraise for the project as it has in the past. Saturday night was a benefit concert and there are several other events coming up in the run up to Christmas: Ghost Stories by Circle of Friends on Oct. 24 to mention one.

"We’ll still need money, even if we get the funding, to pay the city back for their matching funds," Anderson said. "But we feel it’s a real positive that the city is willing to explore ways to help the project."

Mayor Bonnie Rietz said a few preliminary discussions must be taken care of first.

"This afternoon we’ll be meeting and discussing that, it’s one of the items on the agenda for the Finance Committee," Rietz said. "We’re going to see how the council feels about the purchase."

Rietz herself is supportive of the purchase.

"I just think it would be a great benefit to the downtown area to have the Paramount up and running at full speed," she said.

Also on tonight’s council agenda is a public hearing on a preliminary plat to be known as Southgate 5th Addition, which would be located immediately west of Southgate Elementary School.

The petitioner, Joel Bigelow & Sons of Byron, is proposing to plat the site into 33 residential lots which would include 10 lots designated for twin home development. The remaining 23 lots would be for single family homes.

In other matters, the council will vote on resolutions declaring costs to be assessed on four street improvement projects, one sanitary sewer and water, two sidewalk repair and one street lighting.

The council meets at 5:30 p.m. in the Council Chambers on the lower level of the City Hall portion of the Municipal Building at 500 4th Ave. NE. Members of the public are encouraged to attend.