Loading...
HomeMy WebLinkAbout2010-06-23 Business and Economic Development Committee Minutes BUSINESS AND ECONOMIC DEVELOPMENT COMMITTEE Wednesday,June 23,2010,5:00 pm City Council Chambers MINUTES Councilors: Chair Weston, Bronson,Gratwick, Nealley Staff: McKay, Harrington,Wallace, Bolduc Others: John Karnes of R&K Construction; Bruce Brookings (local contractor);Charley Birkel, 170 Randolph Drive;Chuck Nightingale,234 Pine Street; Charles Boothbys, 249 Kenduskeag Ave.,; Francine Wickes, 240 Pine Street;Valerie Carter, 112 Birch Street; Mike Socolow, 187 Elm Street; Nicky Lovell,72 Garland Street 1. 227 Pine Street Rod McKay reviewed. This property is a single family house situated on the corner of Pine and Garland Streets; it was acquired by the City through tax liens. The house is dilapidated and needs to be either demolished or sold for rehabilitation. It is in a single family zoned neighborhood on a small lot of less than 5,000 sq. ft. Community Development funds can be used for demolition or rehabilitation of the property. It has an assessed value of$99,200; the City assessor's office values the lot at$14,240 (80%of the total assessment). The City's Public Works Director has provided an estimate for demolition of the property at$20,564 and removal of hazardous materials at about$4,000. Unpaid taxes on the property total $5,120. If the property were demolished,the City would have an investment of nearly $30,000. Comments and proposals have been solicited from neighboring property owners; they have also been invited to attend this evening's meeting to give their comments. A local contractor,John Karnes, has submitted a proposal to purchase and rehabilitate the property at an estimated cost of just over$100,000. Part of that proposal is that the City through its Community Development program would provide loan financing of$80,000 to Mr. Karnes to do the rehabilitation. Once the property is rehabilitated, it would become a single family rental. John also proposes to pay the taxes that are in arrears for the purchase price of the property. If during the process of readying the property he finds that it is not feasible to rehabilitate, he would demolish it at no cost to the City and the land would revert back to the City. Chair Weston inquired if the lot at 227 Pine Street is large enough to accommodate our current ordinances to which Rod McKay replied that the current building is grandfathered—if the building were demolished, Code Enforcement Officer Dan Wellington has assured me that legally you could build another single family house on that lot. Chair Weston inquired what the City's procedure is now that others might come forward with an interest to buy this property. Rod replied that a Request for Proposals (RFP) could be issued, or as we've done in the past go with the proposal that Mr. Karnes has submitted. We did not solicit the current proposal by Mr. Karnes and we understand there may be another contractor, Mr. Brookings,that may have an interest in making a proposal but I do not have a copy of that proposal at this time. We can go that route if you like. As an update,Jeff Wallace, Rehab Specialist in the Community Development office, confirmed to the Committee that Bruce Brookings did submit a proposal on June 22, 2010 to rehab this property. His proposal also includes using CDBG funds through Community Development. At Chair Weston's invitation, residents in attendance from the Pine Street neighborhood and other nearby neighborhoods spoke to the Committee on what they would like to see done at this location as follows: Charley Birkel,of 170 Randolph Drive, spoke with regard to his knowledge of John Karnes excellent work on the rehabilitation of 51 homes of former military housing in the Randolph Drive area that the City awarded to R& K Construction (company owned by Mr. Karnes). Chuck Nightingale, of 234 Pine Street, stated that as a carpenter and knowing the condition of this house it would take a significant amount of work if at all to be able to rehab the property at 227 Pine Street. He knows that other homes in that neighborhood on the north side of Garland Street are valued at over$100,000. He added that over the last 25 years at least 6 accidents have occurred at that corner.The house also abuts a historical district across the street, so he's not sure how a rental unit fits into that. Charles Boothbys, 249 Kenduskeag Ave., suggests developing the lot as a community garden saying that the lot could accommodate 40 lots of community gardens of 4'x11' in size with 3' walkways around all the plots. He recommends keeping the asphalt driveway to the existing garage for off-street parking for the gardeners;this would reduce the number of garden plots by possibly 5. He added that there is a lot of interest in community gardens across the country and feels there's enough interest in Bangor; would need to form a committee to oversee the assignment of plots and make sure it is properly handled. Francine Wickes, 240 Pine Street, likes the idea of the community garden but is concerned about how it would be organized; likes the idea of either one person or a committee to oversee it—it would be a great service to that neighborhood. She does not feel another residence is needed in the neighborhood; also expressed concern how a house that has had 30 cats living in it can be redeemed. Valerie Carter, 112 Birch Street, is very interested in the community garden as well saying that there are multiple benefits of community gardens to communities. Mike Socolow, 187 Elm Street, supports the idea of the community garden for this area;feels forming a board/committee to oversee this garden will not be a problem and would like to be a member on it. Kate Garland, resident of Clifton, Maine, works for the Penobscot County Cooperative Extension and, as part of her job, manages one of the public gardens located in Orono @ the Rogers Farm Experimental Station. She added that Mr. Boothbys informed her of this meeting and she is very interested in the work he is doing in this effort. Nicky Lovell, 72 Garland Street, stated that her house abuts this property and as her lot is small would like the opportunity to have the lot at 227 Pine Street. She also supports the idea of a community garden and would help with it. She'd prefer to have Community Development money used to raise the property since the money is there. Bruce Brookings, a local contractor, spoke to the Committee on his experience with restoring homes in Bangor adding that with his experience he could restore the property on 227 Pine Street into a nice single family home. He submitted his proposal to the Community Development office on June 22, 2010. Discussion followed among Councilors present on various ways to approach this issue: of going forth with only the two proposals currently submitted; drafting policy that abutters of property such as this have the right to purchase the parcel; designating appropriate areas in Bangor for community gardens; rehabbing vacant blighted properties into clean, attractive homes that also pay City property taxes. Nicky Lovell of 72 Garland Street further asked that before any decision is made on the RFP's once they're received back by the City that all Councilors take a tour of the property in order to see exactly what the property is like before they make their decision on whether it should be rehabilitated or not. Councilor Gratwick made a motion that an RFP be drawn up for the rehabilitation only of 227 Pine Street, Bangor, Maine and that it be brought back to the BED Committee for reconsideration at their August 4, 2010 meeting(proposals back to the City by July 28). Councilor Nealley seconded. Motion approved 2 to 1 in favor. Councilor Nealley made a motion to go into Executive Session—Economic Development— Amendment to Lease Agreement—1176 Union Street—1 M.R.S.A. §405 (6)(C). 2. EXECUTIVE SESSION—Economic Development—Amendment to Lease Agreement—1176 Union Street—1 M.R.S.A. §405 (6) (C) 3. Committee Action on Above Item A motion was made to approve as presented an amendment of the lease agreement between the City of Bangor and the Bank of America. Seconded. Motion approved 2 to 1 in favor. 4. EXECUTIVE SESSION- Economic Development—Disposition of Property—498 Maine Avenue—1 M.R.S.A. §405 (6) ( C ) 5. Committee Action on Above Item A motion was made to approve as presented the purchase option agreement between the City of Bangor and Bangor Natural Gas for a building and lot at 498 Maine Ave. Seconded. Motion approved 3 to 0 in favor.