Upper Arlington City Council authorized the city manager Monday to apply for a $700,000 grant from the state to be paid toward demolition of structures at the Kingsdale shopping center redevelopment.

Upper Arlington City Council authorized the city manager Monday to apply for a $700,000 grant from the Ohio Department of Development Clean Ohio Assistance Fund to be paid toward demolition of structures at the Kingsdale shopping center redevelopment.

Council president Frank Ciotola asked whether the city was obligated to pay any matching funds.

"It's a 100 percent grant," said Matt Shad, deputy city manager for development. "Our match is going to be considered the purchase of the property and some of the study materials put together to do it. Probably we'll spend $10,000 or $15,000 for could be a $700,000 grant.

"The grant will be received by the city and it will be a pass through in the sense that once we hire a contractor for the demolitions, we can submit those bills directly to the state," he said. "We don't even pay those bills. We just pass the bill on to the state."

Council also questioned whether the grant would be paid toward city obligations under its contracts for the development of Kingsdale or toward the developers. Shad said portions would go to each.

"The 700,000 flows to the city?" Ciotola said. "That stays in our coffers?"

"It will be in the state's hands," Shad said. "Upon proof of demolitions, those bills will be paid directly by the state

"We have our own obligation per our development agreement to tear down the Zollinger Road building," he said. "That was an obligation that looks to exceed at this point a couple hundred thousand dollars. Additionally, the remainder would be money Continental did not anticipate to tear down the medical building and the rear of Giant Eagle.

"It would help reduce the cost of creating office space, which should make those more competitive in the market," Shad said.

Council also heard the third and final reading of a new taxicab ordinance to conform the city's code with the practices of the city of Columbus, eliminating a licensing mechanism by which cabs from outside Upper Arlington could choose the city's code in lieu of the Columbus licensing system.

Council adopted modified financial policies, while proposed changes to city council rules were postponed to the next conference council session.

Council also entered executive session to discuss labor contract negotiations.