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Home My WebLink About1993-06-16 Community and Economic Development Committee MinutesCOMMUNITY & ECONOMIC DEVELOPMENT COMMITTEE Wednesday, June 16, 1993 MINUTES MEMBERS PRESENT: Councilor Charles Sullivan Councilor Wm. Shubert Councilor Jane Saxl OTMEES PRESENT: Councilor Pat Blanchette - Kenneth R. Gibb, Director of Community & Economic Dev. Rodney G. McKay, Community Development Director John Lord, Planning Officer - - WI The meeting was called to order by Chair Sullivan at approximately 5:00 PM. AGENDA ITEM Y1 - Penobscot Bridge Committee i�This item was reviewed at the last C&ED meeting (on 6/2/93). Ken Gibb reviewed the remaining openings to be filled on the Penobscot Bridge Committee. Councilor Pat Blanchette has expressed interest on being a member; this. leaves one Council slot vacant. Planning Board Chair Tom Drummond will be asked if he would be interested Othethen r volunteers are - City Eng he Wouesignate a member from the Planning Boar - eer Jim Ring, Warren Caruso (BONG), Nancy Sieginbind (interest dncitisen representing All Souls Church); Steve Sealer (Director of Facilities for EMMC); and John Quirk from Hogan Road Association. Ken stated that he spoke with Jean Belgium; she says she is very interested in the development of the Broadway area as she is a Property owner there. Her husband is Glean Porter _ they have talked this over and are requesting permission to share the y lresponsibility as Glenn has more time then she has and he would ike to be the primary person with the understanding that Jean will attend when he is not able to. Ken told them he would bring their suggestion back to the C&ED Committee. into.Several people in the Hancock Street area have been enlisted interest Molly Stone was One who was contacted and she was very businesseandn property on the committee. Bill Varney, a nearby p parear ty owner, was called twice but no calls back the lis from him yet. Ken stated that t of volunteer members should be sent in to DOT as soon as possible. If the Committee accepts the list that Ken has presented, then two slots have to be filled - 1 from the Council and 1 from a business/property owner. to AGlennPorter'�s was made Councilors Sullivanst and Jean en stat d that hwillhan'sand Councilors to see who would like to fill the remaining representing Council slot. I Ren asked the Council's direction in how should he proceed if Bill Varney does not want to be a member] They affirmed that Nen should then talk to the Chair of the planning Board. AGENDA ITEM k3 - Sign Ordinance amendment John Lord spoke to the Committee with regard to the sign ordinance amendment presented before the Committee a year ago. It was amended to permit directory signs in the downtown development district. The C-4 Zane sign requirements expressly prohibit free standing signs. Free standing signs are defined; directory signs are not (with some confusion because of it). To clarify the fact that the only kind of free standing sign that is to be permitted in the downtown development district is a directory sign, this amendment will be in addition to the existing definition. Committee unanimously agreed to recommend this to the Council for approval. so voted. AGENDA ITEM S2 - Waterworks option The current option agreement with Bangor Waterworks Associates (EWA) to develop the Waterworks site expires on June 30, 1993. BWA has requested an extension of the option for one more month (from June 30th -July 31st, 1993). Staff has meant with BWA recently to decide where the project is headed. Bob Baldacci, Jr. of BWA spoke to the Committee with respect to BWA's procedures from the beginning of this project to current date. He stated that originally the BWA project was a concept that would provide a good return considering the substantial rehab costs involved. The problem now is that where they are in the project with the competing forces in the market and the current recession that is occurring, that in order for BWA to continue with the waterworks development they know that there would be continued delays. Costs to date that BWA has invested total approximately 5'15,000 not counting the in-kind work that WSRC has contributed to the project. Obviously, EWA feels they have demonstrated a commitment and they think that what they've been able to accomplish so far has substantial value for the waterworks property. In realizing that the City is not interested in continuing delays however, Bob has conferred with other local developers and investors that might be interested in taking over this development site. BWA is currently negotiating with a developer (who does not yet want his name xeleased). This person has a strong track record; financially he is sound; and he has done similar projects in Maine that have been very well received. It The proposed project would be a commercial development of a restaurant facility and an upscale Inn. Bob stated that this will bring in additional jobs and tax benefits; more so then BWA'e previously proposed time share development. Bob stated that this new proposal would be using the 'corporate shell" (BWA) that they have created, which is a Subchapter S Corporation that is in good standing. This is the entity that has secured all of the permits up to this time. They feel that this is a significant asset to help move this process along. He stated that there is no intention to delay this process any longer then what is necessary. He also stated that the individual he is working with has been encouraged to negotiate an agreement with BWA within 2 weeks. This, consequently, means that a 30 -day extension from the end of June 1993 to the end of July 1993 is necessary. At that time it i Bob's hope to have a new concept to negotiate an option agreement between the new developer and the City. It is estimated that this developer will be spending in the neighborhood of $200-300,000 on Improvements to the property. Bob stated that the developer, in fact, is already in the process of receiving quotes for repairin the roof as well as landscape work he wants to do. He would like to close with the City as soon as he has all of his costs outlined; then do the improvements, have the City inspect the work and get a deed and assume full responsibility for insurance and security. I£ the prospective new development project does not work out, BWA does not plan to continue with the time share project. With Bob's time share project, the City Would have been involved with tax increment financing as a way of dedicating some of the future tax revenues back into the project in order to make I t work; this would also more than likely be a part of this newest project. The project would he privately awned, stable- and tax generating to the City. It the projectdoes not work for the owner, it does not revert back to the City as it will be privately owned. Regarding parking on the site (which is limited), the thought is to use valet parking. It is hoped that a deal can be worked out with other adjoining property owners, i.e. like the lower hospital parking lot which is not used in the evenings. Ren went on to update the Committee as to the existing deteriorating condition of the waterworks building as well as the serious security problems at the site and, if the City takes the property back, they will definitely have to spend money to either protect it or make a decision to demolish it. Public Works has given Staff an estimate of costs involved just to board up the building, fix the windows and fence it in. This would cost $8- 10,000. Consequently, Staff is very much in favor of the 1 month extension. 4 Staff and the new developer will be coming back to meet with the CESD Committee at the July 21st meeting. The Committee made a unanimous motion to grant the 30 -day - option extension to HWA with the purpose of finalizing their deal with the new developer. Seconded. So voted. The meetingwasadjourned at approximately 6:30 PH Wu