Frank Parlato Jr. issued a $139,524 check to the city of Niagara Falls on Tuesday afternoon to cover back taxes owed on his One Niagara building from 2005.

The payment reduced the total amount owed to about $670,000, which includes school, city and county taxes for 2006 and the first half of 2007.

“It may not sound like a lot when looking at the total amount I owe, but to me, it’s a serious chunk,” Parlato said about the payment. “I’m gradually catching up and it won’t be long before we’re caught up all together.”

The check issuance wasn’t the only business Parlato had with the city Tuesday. He also filed permits to open up the top floor at One Niagara, which will provide a panoramic view of the American falls from the air and include a restaurant and other vendors.

“It’s going to be a great attraction,” he said about the ninth floor. “It’s going to allow people to see why we’re named ‘Niagara Falls.’ ”

Parlato is hoping to open the top floor to the public by next week. Located at the corner of Rainbow Boulevard South and Niagara Street, the nine-story glass building already has a food court and vendors operating out of the first floor.

“Investing in the property first always has been the goal,” he said, pointing out he doesn’t receive any state or local subsidiaries. “Every big-time developer downtown is in a holding and waiting pattern except me. I’m developing.”

Parlato said the $139,524 tax payment was accumulated through “tourist dollars from around the world.” By making the payment Tuesday, the last day of the month, he avoided another $800 worth of interest tacked onto his final tab.

“This is one of many payments I will be making until it’s all paid off,” he said.

City Administrator Bill Bradberry said the additional money to city coffers will make a difference, but he stopped short of praising Parlato for paying off back taxes.

“There shouldn’t be anything ceremonial about a person paying back taxes when they owe as much as he does,” Bradberry said, adding he would like Parlato to set up a payment plan schedule with the city. “It is good to see he’s making an effort to pay off his taxes, and I hope he continues to do so.”

Parlato said he plans on making another back tax payment in October.

The positive news out of One Niagara is in stark contrast from a year ago at this time when Parlato was battling the city over code violations inside the building. He was arrested in May of 2006 for missing a court date about the code violations. In response, Parlato filed court documents in late July 2006 against the city and state, alleging he was improperly arrested and never notified of the court date.

Earlier this year, Parlato again butted heads with the city after being cited for running a paid parking lot at One Niagara. The city then restricted vendors from operating along the outside of the building, citing a provision in the city’s charter and a homeland security threat due to the property’s proximity to the Rainbow Bridge.

“All fighting — that’s how I would describe my three years since taking over this building,” Parlato said.

The former Occidental Chemical office building had just lost its main client, the Small Business Administration — Disaster Assistance Office, when Parlato took ownership. That meant a loss in rent revenue of $800,000 a year, he said. The site was also plagued by the huge hole leftover from the proposed AquaFalls project.

“It was a joke and an insult, in a way, to the community,” said Parlato, who eventually filled the hole where the parking lot now sits. “The first thing I wanted to do was to fill that hole because it was an eyesore.”

He said the recent renovations to make the ninth floor suitable for the public cost about $400,000. Meanwhile, he said the vendors located inside One Niagara are having a profitable tourist season.

“Reports of my demise are slightly exaggerated,” Parlato said.