HomeMy WebLinkAbout2023-04-18 Business and Economic Development Committee Minutes BUSINESS & ECONOMIC DEVELOPMENT COMMITTEE
Tuesday, April 18, 2023 @ 5:15 PM
City Council Chambers
MEETING MINUTES
City Councilors Present: Davitt, Fournier, Leonard, Schaefer, Sprague,
Yacoubagha (via Zoom).
City Staff Present: Bolduc, Krieg, Laurie.
Chair Sprague called the meeting to order at 5:15 P.M.
1. UPDATE ON COMMERCIAL KITCHEN, Action requested to provide staff
direction
Economic Development Officer Steve Bolduc presented to the Committee. Stated
that global consulting company has determined Maine has distinct competitive
advantage in terms of locally-made food products, and feels Bangor should be
taking advantage of that. Bangor has abundant water supply, affordable land, close
proximity to large northeastern cities, and positive history of farming. Hurdles to
taking advantage of these are primarily significant start-up costs that prevent
people from taking advantage of these opportunities, as well as lack of facilities.
Institution of a commercial kitchen would significantly help overcome these
hurdles. City already owns building that can house this project.
Councilor Davitt expressed support and noted that City also has already received
federal grant for this project.
Councilor Schaefer expressed support and commented this project will be
important for encouraging entrepreneurship.
Councilor Fournier asked if any of the federal funds have been spent yet. Bolduc
responded they had not, but City funds have been used for asbestos removal, etc.
Federal funds have not yet been received by City, as commercial kitchen project
and contract are still going through approval process via City Council.
Councilor Davitt asked to clarify this process and use of funds. Development
Director Anne Krieg responded that next step will be to put out RFB for contracting
work and determine full project cost estimate.
Chair Sprague asked for any public questions/comments.
Member of the public, Dwayne Roberts, presented to the Committee. Asked if
there is any chance that kitchen would be open this year. Committee members
responded in the negative. Roberts stated that he is looking for somewhere to
clean and pack mushrooms, and that he (as well as other interested parties) will
want to know details such as kitchen opening date, rental fee for use, rental term
length, equipment availability, etc.
Member of the public, Evan Richert, presented to the Committee via Zoom. Stated
that he is on the Boards of both Upstart Maine and Banair, and has spoken with
ED Officer Bolduc quite a bit re: commercial kitchen. Expressed support for project.
Felt will also serve important function as community center, but will require
business and management plans in order to be successful. Also felt project will be
consistent with City's Economic Development Strategy.
Member of the public, Sylvie, presented to the Committee via Zoom. Stated that
she would like to provide advice on several points—(1) institute fund for purchasing
products like flour in bulk, (2) invest in broader marketing strategy and economic
development support, (3) institute business plan to hone in on proposed uses for
kitchen to ensure they are cohesive, and (4) bring in management to oversee
scheduling, cleaning, storage and security, and build trust amongst kitchen users.
Member of the public, Allison Mayo, presented to the Committee via Zoom. Shared
her experiences with other commercial kitchens and noted challenges present for
business owners who are dependent on these kitchens to run their businesses.
Felt that proper management will be key to success of project.
Councilor Yacoubagha expressed that all public comments had been very helpful.
Chair Sprague commented that project is a very exciting prospect, but felt that
concept still needs to be further clarified (i.e. shared kitchen model vs. kitchen
business incubator model). Hesitant to start spending funds and renovating
building until these pieces have been clarified and business & management plans
are in place.
Councilor Davitt suggested moving forward with certain building essentials that will
be part of renovation process regardless of final usage plans, as federal funds
need to be used for this project.
Councilor Schaefer recommended that request for funds to be used on building
infrastructure be added to next Council agenda.
Chair Sprague and Councilor Schaefer disagreed on this point.
Development Director Krieg proposed having staff sketch out a rough development
plan to include multiple kitchen use options that can be presented to Committee
within the next six months.
Councilor Leonard expressed his support to move the process along as quickly as
possible.
2. REVIEW OF THE WORK FOR:
A. BANAIR CORPORATION
B. TARGET AREA DEVELOPMENT CORPORATION
ED Officer Bolduc presented to the Committee. Stated that both
organizations are non-profits that started in the late 1970s to assist the City
in creating development projects of all varieties. Since then, Target Area
Development Corporation (TADC) has become focused on land
development and industrial parks, and Banair Corporation (BC) has
become focused on the airport and commercial properties. Both are
managed by Boards of Directors. BC's Board is composed of three City
Councilors and the Airport Director, and TADC's Board is composed entirely
of inembers of the community who are not connected with the City's
government. Bolduc also noted that TADC has recently begun to shift focus
onto supporting entrepreneurial efforts. Felt that both organization's focuses
complement one another quite well.
Councilor Leonard noted that Councilors presently on BC Board are the
Council Chair, Government Operations Committee Chair, and Business &
Economic Development Committee Chair, and asked why the Chair of the
Airport Committee was not included. Also asked if this was something that
Council had the authority to change in the future. City Manager Debbie
Laurie responded that only BC Board has the authority to change this, as it
is written into their by-laws.
Chair Sprague noted that amendments to by-laws were recommended at
BC Board meeting in June 2022, and asked if those amendments had been
accepted and finalized. Bolduc responded that he recalled them being
considered but pending acceptance until certain points could be further
clarified. Chair Sprague recommended that Committee provide guidance on
the direction of BC.
All Committee members agreed that further discussions re: relationship
between City and both organizations will be needed.
3. COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM (CDBG)
A. DRAFT CONSOLIDATED PLAN, Action requested to provide staff
direction
Development Director Krieg presented to the Committee. Stated that draft
of Consolidated Plan is being presented to Committee so that members can
provide comments if desired.
Councilor Davitt asked if funding recommendations were the same as last
year's recommendations. Krieg responded that an increase had been made
to proposed housing expenditures based on previous Committee
discussions.
Councilor Schaefer noted that the Social Services category had been left
empty on the drafted plan and asked why this was the case. Krieg
responded that there are still unused funds from previous years that have
been earmarked for Social Services, and these will be used before
recommending any use of new funds in this category.
Chair Sprague confirmed that drafted plan is only representative of
recommendations for new funds being received this year, and does not
include unused funds from previous years— Krieg responded that this is the
case.
B. MANUFACTURED HOUSING IN REHABILITATION PROGRAMS,
Action requested to accept staff recommendation
Krieg noted that error had been made in text of agenda item — it should refer
to the homebuyers' assistance program, rather than the rehabilitation
program. Staff's recommendation is to allow first-time homebuyers
purchasing manufactured homes to utilize program funds.
Councilor Schaefer moved acceptance of staff recommendation, seconded
by Councilor Yacoubagha. Vote unless doubted, no doubt.
Meeting adjourned at 6:23 P.M.
Meeting minutes respectfully submitted,
Sarah Pritchard
Admin. Asst.
C&ED