Cuyahoga County Executive Chris Ronayne says a sales tax extension was the only viable option for financing a new county jail in Garfield Heights.
In an interview, Ronayne said he “didn’t see another way” to pay for jail construction besides renewing a 0.25% sales tax for another 40 years. Even a potential tax on legalized marijuana sales wouldn’t raise enough money, he said.
“Every revenue stream possible couldn’t give you, in the time that you needed to get it, the capital infusion to get it done,” Ronayne said.
A divided County Council approved the tax extension in a special end-of-year meeting last month – meaning that voters will not have a say on whether consumers should pay the debt on jail construction for decades to come.
Ronayne argued that building a new jail was preferable to continuing to maintain the current downtown facility, which he said is in bad shape.
“We were in a difficult dilemma,” he said of his administration and council. “It’s a bit of a devil’s choice, but I think in the end we took a route that saves taxpayers money.”
The Democratic county executive spoke with Signal Cleveland last week about some of the major projects – and taxpayer expenses – that came across his desk in his first year leading county government.
The interview covered the new jail, Cleveland’s waterfront development plans and the potential for county costs at Browns Stadium and RocketMortgage FieldHouse.
A new Cuyahoga County jail in the suburbs
As a candidate in 2022, Ronayne supported putting the sales tax extension on the ballot for Cuyahoga County to decide. Last month, that didn’t happen.
In the interview, Ronayne sought to explain his apparent reversal in position. He said his backing of a voter referendum in 2022 was tied to the proposed jail site. At the time, then-Executive Armond Budish wanted to build the jail on industrial land on Transport Road that would have needed environmental cleanup.
“What I was saying with that was, I can’t support that site in good conscience. But if we want to go across to the voters and see where their support – I didn’t think it was going to pass,” Ronayne said.
He said he supports the new location in Garfield Heights. “And for that reason, and with that context, we’re moving,” he said.
The county estimates the tax, which has been on the books since 2007, will raise $67.5 million this year. Over the years, it is expected to bring in enough money to cover debt service on a $750 million jail.
If we had an intelligent design team that worked on proper healthcare accommodation within the [jail] campus, perhaps we could limit…the number of ambulance visits to the hospital
Chris Ronayne
Ronayne said the new jail would deliver a “shot in the arm” to Garfield Heights. After the move, roughly 1,000 jail employees would begin paying income taxes to the suburb rather than the central city. But that means Cleveland would take a financial hit when those employees – and their tax payments – leave.
The county executive argued the jail move won’t be a total monetary loss for Cleveland. For one, he said, he wants a new courthouse to remain downtown. Then there’s the possible benefit to the city of redeveloping the current site of the aging Justice Center, he said.
Another challenge to work out is ensuring that jail detainees receive timely medical care. Ronayne said he’d like MetroHealth Medical Center to weigh in on the new jail’s design. The county executive raised the possibility of providing medical and mental health services on site.
“If we had an intelligent design team that worked on proper healthcare accommodation within the campus, perhaps we could limit, trit down, the number of ambulance visits to the hospital,” he said.
Making a deal on Cleveland’s waterfront TIF district
Mayor Justin Bibb’s administration is pushing to create a tax-increment financing district downtown to raise money for infrastructure work surrounding lakefront developments.
By redirecting future property tax collections, the TIF district would deprive the county of health and human services levy dollars. Ronayne suggested he’s open to the idea, but would like to see some benefit for the county. Perhaps the district could help fund “mutual initiatives” of the county and city, such as a new courthouse or human services, he said.
“I think we have to have an honest conversation about, OK, so you TIF this district, what could the City of Cleveland contribute to that’s a part of the county agenda and portfolio?” Ronayne said.
Ronayne said the county has a supporting role to play in Bibb’s redevelopment plans on the lakefront and Cuyahoga riverfront. That includes such projects as the Irishtown Bend stabilization, Canal Basin Park and reopening the subway level of Veterans Memorial Bridge.
But the county hasn’t considered putting up money of its own for a costly piece of the city’s lakefront plans: building a land bridge to connect downtown with the lakefront across the Shoreway and railroad tracks.
Stadium costs loom for Cuyahoga County and Cleveland
Browns Stadium – which could receive a major overhaul as part of lease negotiations with the NFL franchise – stands as another financial conundrum on the lakefront.
The City of Cleveland owns the stadium and pays to maintain it with the help of the countywide sin tax. Signal Cleveland reported last year that Bibb floated the idea of the county chipping in for Browns Stadium work.
Ronayne acknowledged there have been informal conversations about the county putting money into the stadium, but said, “at this point, we have not been asked for anything official.”
We’ve got to figure out a long-term maintenance strategy.
Ronayne on maintaining Cleveland’s downtown sports facilities.
Rocket Mortgage FieldHouse is also awaiting an infusion of $24 million in taxpayer money for repairs. But there isn’t enough anticipated sin-tax revenue left to foot the full cost of the work, and it’s not clear how the city and county will cover the gap.
Ronayne said the county hasn’t found the money yet. Local leaders need to come up with a longer-lasting way to fix up sports facilities that are now around three decades old, he said.
“Now we’re riding our bike while fixing it, and we’ve got to figure out a long-term maintenance strategy,” the county executive said.
Sports – along with entertainment and the arts – are important parts of downtown Cleveland’s future, he said. But Ronayne said city neighborhoods and the suburbs also need baseball diamonds, football fields and ice rinks.
“You don’t want to create a downtown playground that sacrifices neighborhood needs to the extent that kids aren’t able to play on ballfields,” he said.
Getting the money flowing for a Freshwater Institute – and more work for the new year
Ronayne made Cleveland’s water – in Lake Erie and the Cuyahoga River – a focal point of his campaign. He wants to create what he’s calling a “Freshwater Institute,” a curriculum that would help students connect with the city’s waterfront.
He initially sought $2 million from Cuyahoga County Council for the institute, but later withdrew that request, according to council. A former County Council member has pledged money, however: U.S. Rep. Shontel Brown committed $500,000 to the project. That earmark is still being worked out in Congress, Ronayne said.
It’s not the only project in need of funds. Only a portion of the $8 million needed has been raised for a new Cuyahoga County Child Wellness Campus, where the county could connect children in distress with services.
“I’m a believer that the money follows the idea,” he said.
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