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HomeMy WebLinkAbout2002-03-05 Business and Economic Development Committee Minutes � Business and Economic Development Committee � March 5, 2002 Minutes � Councilors Attending: Rohman, Palmer, Farrington, Tremble � Staff Attending: Barrett, Daniels, Hupp, McKay, Bates, Dyer, D'Errico, Ring, Martzial - 1. Resolve to Su�port the Continued Study of the East-West Highway by the � Federal Hi4hway Administration in Conjunction with Canada and Other Governmental Agencies � Daniels indicated the East West Highway Association has asked the City to pass a resolve, along with several other communities including Brewer, for the continued study by the Federal Highway Association regarding the access between Halifax through Maine including Bangor. One route runs through Quebec and northern New York down � into the Ontario-Buffalo region to Windsor and the other route would be through Bangor and continuing through New Hampshire, Vermont, into northern New York. The study will look at the economic impacts of the East-West Highway system. The � study will determine which route might be more feasible. Palmer indicated that the I- 95 between Bangor and Newport is designated as the east-west highway. He serves on the MDOT advisory committee along with city staff in discussions about extending the I- � 395 to connect with Route 9. A motion was made and seconded to recommend � passage of the Resolve at the full Council level. � 2. Residential Rehabilitation Loan — 39 Randolph Drive Martzial indicated this is a standard rehab loan with one issue to be brought to � the Committee's attention. During the time period the owner was applying for the rehab loan, the sewer line collapsed. Approximately a year ago, the City established a � sewer line replacement policy to replace the line up to ninety days and, after the first year, at a zero percent interest loan. The loan of roof re-shingling and replacement windows is standard. The owner has lived at the property since 7uly of 2001. The new � valuation will be approximately $78-79,000 with 95-100 percent of value. A motion was made and seconded to approve staff's recommendation for loan approval. � 3. Addition of Thirteen Parking Spaces on Exchange Street Last summer, the Downtown Parking Advisory Committee recommended � additional on street parking on Exchange Street. The City Engineer has determined that 13 spaces can be added without compromising traffic and safety concerns in that area. All of the proposed spaces will be one-hour spaces. A motion was made and '_ seconded to approve staff's recommendation. The item will be brought to full Council for their approval. � � � Palmer asked Bates to check Broad Street where there used to be a loading zone � and now it two parking s.paces. He wondered if a painted divider was marked in the large section if it might preclude vehicles from parking in the middle of the space. � 4. Bass Park Report Dyer discussed the Bangor State Fair-Midway Contract Extension. Due to � changes in State law regarding games of chance offered at fairs, Fiesta Shows suffered a significant loss in potential income since they are no longer able to run such games during the Bangor State Fair. In recognition of this change, Fiesta has requested an � option for extending its existing contract to include calendar years 2004-2006. The current agreement expires in 2003. During discussions, several other issues also arose. This amendment will acknowledge and recognize that the City may be replacing or � renovating the existing Auditorium/Civic Center at some point during the term of the contract. The amendment will require that the concessionaire agree that the � description of the premises he may use may be amended by the City and that the City will not be responsible for any loss by concessionaire as a result of such a change. In addition, it was recommended that a sentence be added which indicates that the fees � associated with the contract shall be renegotiated should State of Maine law be changed in such a way as to benefit the concessionaire. A motion was made and , seconded to approve extension of the agreement. The item will go to full Council for � final approval. Dyer gave a recap of concession sales this year compared to the last two years �` to date. This year the B State games were played at Bangor and the A, C and D State games were played elsewhere. For the year 2002, receipts from concession sales � through 10 actual play dates are $97,719 compared to 11 dates last year of $93,638. In the year 2000, it was $88,727. There are still three additional play dates to be included in the final numbers. Dyer felt the net profit should be close to the 60% mark. � In response to Palmer, Dyer said the food per capita is very strong compared to Augusta and, during basketball, is strong compared to the Cumberland County Civic Center. Palmer asked about vendors in the stands. Dyer said it would help the numbers, � but it is difficult to find the kids who are interested. Dyer said it would represent 5% of a $100,000 total. Barrett asked about the roof status. Dyer said that one leg of power was lost which affected the scoreboard a bit but everything was changed over to � another log. It's a Bangor Hydro problem with the underground cables running from a � pole on Buck Street into the back of the building and will be digging the back of the auditorium area around March 18"' for repair. Palmer asked about wrestling. Dyer said � the high school wrestling will meet on March 15"' and at this point everything Dyer has heard is positive. Average attendance over two days is approximately 3,000. Dyer said the food per capita was close to $4.00. � 5. BanQor International Airport Update � Hupp reviewed the cash flow information as of January 31, 2002 for BIA, which was distributed to the Committee prior to the meeting. Tremble asked for information � for the same prior year. Barrett indicated it is included in the annual audit. Tremble said the FAA was paid $658,000 in fees, and Hupp said that it was the aircraft parking � � apron. She said it was money that BIA put into the project and not a payment to the FAA. Tremble asked about GA's performance. Hupp said it wasn't as strong but � indicated that the international flights have increased. Hupp presented and reviewed a graph showing February passenger statistics and passenger enplanements have increased 11.6% over last year at this time. � American Eagle will be changing half of their Boston flights to the regional jets � beginning in April. Hupp and Russell will be meeting at the Halifax Airport to discuss trans-border service and Bangor to Halifax service. A meeting with Northeast Airlines is scheduled for April to discuss a Bangor to Detroit service and will be providing the � Council with an air service proposal prior to that meeting. Staff attended a travel agents convention in Ba�timore, Maryland. Staff is working with the BCVB regarding the Folk � Festival. Hupp talked about the Small Community Air Service Development Program through the federal government which has allocated $20M this year for that program. BIA will be applying for grants prior to April 13�'. The funds would be designated for marketing. Palmer asked for statistical data comparing BIA to the national market. It is ,� possible that Mike Boyd will be comin in May as part of the Maine International Trade Center Day and will most likely meet�ith the Council. Palmer asked that it be broadcast on the Ci 's overnment channel. � tY 9 6. Presentation for Develo�ment of the Maine Enterprise Park � Going from the original 1992 vision for the park and an updated vision presented in February of 2001, Daniels reviewed staff's recommendation for the next steps. Sally � Bates proceeded with a Power Point presentation. The Committee was provided with a paper copy of the presentation. On April 4th, stafF will be making a presentation to the � Target Board of Directors for funding associated the development of their next spec building. Staff is looking to work in conjunction with developing a building of 40-50,000 sq ft broken into modules and working with other companies in the area that have gone from the incubation to the production phase. He cited an example of Stillwater � Scientific. Rohman asked about the demand for office space in the park and indicated the new proposal is a deviation from that plan. Rohman asked if stafF were comfortable � in adopting a new theme. Barrett said that property hasn't sold in the park because the City has been very specific and broadened it to include doctor's ofFices. Barrett felt the new theme was appropriate and a worthwhile investment to attract companies to take � the next step from research and development into a production mode. Rohman asked � for details about the proposal to Target Development. Daniels indicated he was seeking � the Committee's thoughts on this issue. McKay indicated that Target started out as a City of Bangor development corporation and then went regional. It has $750,000 in assets. Target has built a development in Orono with state support and has been � successful. The Target Board has invited Bangor to make a presentation. Staff would like a strategy to develop buildings that would be supported financially by Target and potentially by a state bond issue as a spec building through a proposal of the " Governor's could also provide money. Another opportunity would be to have a child '� care facility. The subdivision plan for that area needs to be redone as well. Staff has � decided that the way to go is to have a high quality business park. If Target puts up � � money and the City, through a Community Development Program, takes some of the � � risks for down periods, that banks can pravide financing. Tremble taiked about the � childcare facility and McKay said the site wouid be geared fioward people in the park. Palmer agreed with Tremble that a day care center should be in the park. Barrett felt �he quality of the park is covered by the City's restrictions. Trembi� expressed concerns �' about bringing down the level af the standards of business, and Daniels said very strict criteria can be developed when a busir�ess approaches the City regarding the space. McKay talked abaut medical research optians and bank backup facilities. McKay said � that there is an architectural frm worlcing on building plar�s and wili be coming back ta the Cammittee regarding the financing portion at the ne� BED meeting. The architecturaE frm is putting tagether a preliminary design layout with cas� estimates. �' Daniels indicated there are businesses looking for this type of space. � A mation was mad� and seconded to stafF to proceed and come back to the cammittee with a detailed propasal. � 7. Executive Sessian — Discussian and Consideration of Eminen� Domain This item was requested by Councilor Baldacci, who was not in attendance, and � the item was tabled ta the next meeting. 8. � � � � � � � � � � � , I