Norman approves $2K for renovations to help new business

NORMAN — The Norman Town Council on Monday agreed to provide $2,000 to help local business owner Alfonso Carrillo upgrade the former BP gas station that he will use as the storage facility for his wood pallet production company.

The $2,000 will help fund the construction of a new $5,500 garage door for the former gas station. Carrillo, whose is already using Norman’s former community center as his business’ warehouse, will cover the rest of the cost for the new door as well as some smaller renovations. Because Carrillo is taking on that cost, Council agreed to let Carrillo use his new storage facility rent-free for six months while he continues to pay his $450-per-month rent bill for the warehouse. After the six months are up, Carrillo’s rent for the former BP station will be $200 per month — bringing his total monthly rent bill, not including utility costs, to $650 for two buildings.

“That’ll give me enough time to ramp up everything,” Carrillo said of the six-month rent waiver.

Carrillo came into Monday’s meeting with a price estimate for the new garage door, but he didn’t have a specific amount of money he wanted from the town. He wanted to make a deal that would be mutually beneficial for both parties, and he asked the Council how much money they were able to spare.

After reviewing their budget — which had been slashed considerably to accommodate the town losing all of its sales tax revenue due to the county-wide sales tax distribution method from per capita to ad valorem — the Council members determined that $2,000 was the most they could contribute.

Carrillo noted that the renovations will increase the property’s value.

“If y’all ever decide to sell it, the money y’all can get out of it is gonna be (higher),” Carrillo said.

“I agree with you on that,” Mayor Pro Tem Stephen Cranford said. “The return on us will be real nice.”

“But we will never sell it out from under you,” Mayor Tonia Collins assured Carrillo. “That’s one thing we would never do.”

During last month’s meeting, Town Council first learned that Carrillo had signed a six-month lease for the former community center. His tenancy provided a much-needed boost to the town’s finances, and that boost will be especially valuable over the next several months. June was the last month of the fiscal year 2019-2020. The new fiscal year, with the ad valorem distribution method in effect, began on July 1.

Norman has never imposed taxes on its residents, and the only service the town offers is street lights. Some Council members have said they don’t want to levy new taxes, even if they could afford the staff to do so, citing low local income levels as a primary reason.

Because the town can’t add taxes or increase tax rates to make up for its lost sales tax revenue, Council members have been thinking about alternative ways to generate income. One of the options Council discussed on Monday was renting out the Norman Stage.

“I’ve had people come to me and ask me about renting the stage to have parties and use the picnic tables,” Collins said.

A rental price for the Norman Stage hadn’t been set yet, so the Council determined that the facility’s rental rate will be $100 for a full day, or $75 for a half day.