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HomeMy WebLinkAbout2007-12-05 Business and Economic Development Committee Minutes ' , BUSINESS AND ECONOMIC DEVELOPMENT COMMITTEE ' December 5, 2007 Minutes , Councilors in attendance: Palmer, D'Errico, Farrington, Hawes, Gratwick, Staff in attendance: McKay, Bolduc ' 1. Briefing by United States Postal Service on Need for New Postal Facility (moved to last ' Item) 2. FGS/CMT, Inc., Fessenden Geo-Environmentai Services Proposal to Purchase, Renovate ' and Reuse Building #26 at 113 Maine Avenue McKay said this proposal involves one of the buildings the City acquired from the ' University of Maine System when it relocated to downtown Bangor. The building is 4700 sq. ft. and is a sound one-story masonry building. It has no functioning utilities. Due to a family illness, Mr. Fessenden was not able to attend this meeting but wouid like to , acquire the building and property to relocate their office to it. They currently lease a building from the Airport. Fessenden wouid like to renovate the building for his companies use. The proposal is for $300,000-$350,000 in renovations and $35,000- 40,000 in site improvements. The proposal is to acquire the property at $50,000. ' McKay and Bolduc presented photos of the current site and the proposed architecturai renderings. If approved tonight, the Committee will also have final design review approval. It will also require approval by the Historic Preservation Commission. The ' Fessenden's also proposed a new drive to the building as well as parking on the north side of the building. Responding to Hawes, McKay said the facility has not been a functioning building since its use by the Dow Air Force Base. It has been used for cold ' storage by the UMS. Gratwick asked about the properry boundaries. McKay said that staff proposed that the property line be as close to as possible to the property line of Parkside Learning. The City wouid retain a portion. Gratwick asked if the offer price is ' an appropriate one. McKay said if the price is an issue it should be discussed in executive session at the end of the meeting. McKay's only reservation about the proposal was the price offered by the Fessenden's. However, when looking at the total ' cost per square foot, it is considered reasonable. Farrington also spoke about the offered price. A motion was made and seconded to discuss the proposal in further detail during Executive Session. A motion was then made and seconded to move into , Executive Session. 3. Executive Session - Economic Development— Negotiations for Disposition of Maine ' Business Enterprise Park Property - M.R.S.A. § 405(6)(C) 4. Committee Action on Above Item. ' Committee directed Staff to negotiate a Development Agreement with FGS/CMT, Inc. for future consideration by the Committee. 1 ' ' 5. Executive Session — Economic Development— Negotiations for Disposition of Property ' - M.R.S.A. § 405(6)(C) REMOVED FROM AGENDA 6. (Formerly Item 1) Briefing by United States Postal Service on Need for New Postal , Facility Bangor Acting Post Master Mike Mitcheil introduced Chris Madden, Real Estate Specialist , for the Post Office. Madden works out of Windsor, CT. For a new Bangor Post Office, he is looking for about 6500 sq. ft. to be located on a one-acre site. One of his ' requirements is to physically visit the City and introduce himself to officials and to describe the proposal. Madden said his ne� step is to advertise a preferred geographical area and asked for the Committee's suggestions. Once that conclusion is ' reached, he would contact the City regarding the preferred area and the advertising to be undertaken. Hawes asked if Madden had specific areas in mind. Madden said within the general facility of the existing postal facility is usually the guidelines. Proposals ' received from within the preferred area will receive the highest priority. Hawes asked if the City will need to respond to the advertisement. Madden said he usually deals with the owners directly. Gratwick asked why a new facility is necessary, as well traffic and , security. Madden said the postal service for 30 years hasn't been on budget. No tax dollars are supporting the postal service. It is supported all by revenue. The current space is much larger than needed by the postal because the letter carriers moved out. ' The current building is a General Services Administration building so the postal service is paying rent to the GSA. The postal service is also paying for security personnel expenses. Responding to Barrett, Mitchell said it is not a matter of not liking the � current location or landlord but the cost is considerably higher than what would normally be paid for square footage leasing. Parking is an issue, crossing the street is an issue, the security is more than what the postal service requires. Madden said the postal ' services likes to blend in and be a good neighborhood. Barrett asked if Madden is looking for pre-built or new construction, lease vs. own. Madden said he thinks they are leaning towards own. Gratwick asked about contracting in their current space. Madden � said no. Gratwick talked about design and energy efficiency and if the City would have any input. Madden said he would work with the City on the building exterior. Regarding not contrecting for less space in the current facility, Madden said it goes back , to the rent and the security issue; i.e. the postal service is paying for security that it doesn't need. Mitchell said it is his understanding that GSA would like the postal service to move from its current location. Barrett asked if GSA is aware that the postal service , is looking to move. Paimer talked about the condition and dangers of the parking lot across the street from the Federal Building. He indicated that it is not a user friendly building. Palmer asked for staff's thoughts and felt it should be located in the downtown ' area. In response to Paimer, Mitchell said there are no plans for a drive-up window. McKay came up with 30 plus sites. It seems that almost every site would involve some private ownership. Because of that, McKay was not prepared to mention the sites. It ' would involve City participation. Responding to Hawes, Madden said once all proposals are in, Madden will contact the City letting them know what was received, what was liked and why. He will be looking for City comments at that time. A committee will come to look at the sites. The list of preferred sites will also be posted in the postal ' facility. The advertisement will go out in January-February for a 30-day advertising timeframe. Responding to Palmer, Madden said he prefers a freestanding building as � , , � opposed to a strip mall. He would consider a mix. Palmer asked about traffic flow. Mitchell said roughly 700-1,000 daily at the window. He also spoke about the postal box ' service. Palmer said he is excited about the process and hopes that it can be worked out for the betterment of all involved. Barrett asked the number of planned parking spaces. Mitchelt said close to 50. Barrett asked McKay if he could offer a geographical , area. McKay talked about the Council considering expanding what is traditionally called the downtown district, the bow area, down Main Street toward I-395. He spoke about the Broadway corridor. McKay said he preferred the downtown area. Gratwick asked � about the committee making the final decision and the cost per square foot for new construction vs. renovation. He stressed the importance of the downtown area. Madden said the postal service will have the final say of the new location but stressed , they want to be good neighbors. As far as renovation vs. new construction, the costs are close. It depends on the location. Hawes asked Madden what he needed from the Committee at this meeting. Madden said he is looking for the geographicai area for , their advisement. Mitchell said it needs to be clearly defined. Barrett agreed with McKay's suggestion that be a current downtown location and the Main Street to Lincoln Street area. Downtown as it is traditionally understood, plus the Main Street Corridor, , plus any lots that are extremely close to downtown. Barrett asked McKay to put a map together for Madden. It wiil include a description of the sites as well as a signed letter from Council Chair Hawes. Gratwick spokes about LEADS building standards, a policy , that the City has recently adopted. Madden said the postal service has the best record in the US for being energy efficient and green conscious. , ' ' ' ' , ' , , '