Bedford Council Locks In Hikma Pharmaceuticals Tax Deal, Restocks Storm Damaged Police Fleet

BEDFORD, Ohio – Bedford City Council moved through a packed agenda of nine ordinances on July 6, approving a long term tax incentive for Hikma Pharmaceuticals, two grant applications through Cuyahoga County, a major road and water line project, and a series of vehicle and equipment purchases tied to April’s hailstorm. Council approved every ordinance unanimously, with Mayor Stanley Koci presiding alongside Ward representatives Sandy Spinks, Steve Salvi, Frank Spiker, Frank Smith Jr., Cory Berry and Tony Longino. City Manager Michael Mallis presented most of the items. Residents also used the public comment portion of the meeting to raise concerns ranging from a sinking brick repair to communication gaps during last week’s heat wave. Hikma Pharmaceuticals Incentive Approved Council adopted a Job Creation and Retention Program grant for Hikma Pharmaceuticals USA LLC as the company expands its Bedford operations. City Manager Michael Mallis described the agreement as a 15 year incentive offering a 40 percent rebate on the company’s income tax, capped at $300,000 annually. Hikma’s Bedford operation sits on the former Ben Venue Laboratories site, which Hikma acquired in 2014. Demolition work is currently underway at the site as part of the expansion. Once Hikma completes its hiring, which is expected to bring the company past 300 employees, its estimated payroll will reach roughly $25 million, according to the city. Even after the rebate, Mallis said Bedford would still collect around $500,000 a year in income tax from the company. The agreement also includes clawback provisions that allow the city to recover incentive dollars if Hikma relocates or closes during the 15 year term. Mallis noted the clawback has only been triggered once before in the city’s history. County Grant Applications Target Parking Expansion Council authorized the city manager to apply for a $150,000 Community Development Block Grant and a $50,000 Community Development Supplemental Grant through the Cuyahoga County Department of Development. Applications are not due until later this summer. Mallis said one possible use of the funding is expanding the parking lot at 34 S. Park, a property the city recently acquired. The existing home on the lot is expected to come down later this year, though the parking expansion itself would not happen until 2027. He said the finished lot would provide more parking in that area than existed before the nearby Commons expansion. Greencroft Road Water Main and Resurfacing Project Council approved a contract with Katz Construction for the Greencroft Road water main replacement and resurfacing project. Mallis said Katz submitted the lowest bid after a public bidding process. The project includes replacing the water line along Greencroft, a full road resurfacing, and spot sewer repairs identified after the city used a main line camera to inspect the system. He said most of the sewer line is in good condition. A construction start date has not been set and will be determined during a preconstruction meeting, though the work is expected to take place in 2026. Council separately approved a related contract with GPD Group to provide construction management and inspection services for the Greencroft project. Storm Recovery Drives Police Fleet and Equipment Purchases Several ordinances stemmed from the April 15 hailstorm, which damaged more than 60 city vehicles. Mallis said the city has repaired every vehicle that could be repaired and is being reimbursed in full through its insurance carrier. Several totaled vehicles are being retained for salvage and repurposed into other departments, including the building department and parks and recreation, where some vehicles had well over 100,000 miles. Council approved a contract with Montrose Ford to purchase a 2026 Ford F150 Responder for the police department, along with a separate contract with Ganley Automotive of Aurora to purchase six 2027 Dodge Durangos for the department. A related contract with Hall Public Safety will outfit two of the new Durangos. Mallis said the city is moving away from replacing Ford Explorers and Tahoes with the same models, opting instead for Durangos to save money. Combined vehicle costs are expected to run around $300,000, with about $185,000 coming back through insurance. Mallis said the city negotiated with its insurer to treat the hailstorm as a single event, meaning only one deductible applies rather than a separate deductible for each of the more than 60 damaged vehicles and properties. Council also approved a contract with Atwell’s Police and Fire Equipment Company to purchase new Glock firearms for the police department, replacing weapons issued roughly five years ago. The city is receiving a credit of just over $9,000 for the returned firearms. Splash Park Irrigation System Approved Council approved a contract with Advanced Irrigation Systems to install irrigation at the Commons splash park, a project Mallis s