Chairman Susan Levy opened the meeting at 7:03 p.m.
The Committee met with the two largest property owners of the area designated as Black Bear TIF; George Conway and Lionel Labonte. The purposes was to see if they are interested in the town continuing to actively pursuing the development of the TIF District into an industrial/business park. Mr. Labonte noted he had a desire to build a building and had approached the former Town Administrator with regards to building a 150,000 square foot building in the park. Unfortunately, he was told that the type of development was not adequate for the park; therefore, he built his facility in Brentwood.
There was discussion of past activities that had been proposed for the District. Committee member Gary Levy noted in prior years he had discussions with George Conway relative to the railroad crossing at the end of Forbes Road that would have accessed the easterly side of the railroad. However, it never was implemented. George Conway noted there was a company that was interested in locating in the TIF zone. However, the company chose to locate in another community nixing any opportunity to install the crossing.
The committee discussed several options that could be implemented in order to obtain the right-of-way into the TIF District. One to upgrade the railroad bridge in the Town of Newfields. The second, the construction of a new bridge off Route 108 on to the northerly side of the TIF District, and third, the crossing at Forbes Road.
Discussion ensued as to whether or not the railroad crossing at Forbes Road is still a viable option. Mark Stevens indicated that as recent as two weeks earlier, he had conversations with legal counsel regarding the crossing. He noted that the cost of the crossing would be in the order of approximately $500,000.
Members discussed what size investment would be necessary in the district to repay a bond to install the crossing. Gary Levy asked if it were possible for the Town Administrator to have the Finance Department work up a scenario as to the assessed value costs that would repay the expenditures. It was requested that three scenarios be determined. One expenditure of a half million dollars, one million dollars, and a million and a half dollars of TIF money and what the repayment schedule would be.
Gary Levy asked Mark Stevens how long it would take to find out if it is possible to build the railroad crossing. Mr. Stevens noted he would need to have a conversation with the PUC and the railroad.
Lionel Labonte noted the potential of locating a million square feet of useable space on the total acreage of the property. It was agreed that the Town Administrator would provide the information relative to the repayment schedule at the next TIF meeting.
The Committee thanked Mr. Labonte, Mr. Stevens and Mr. Conway for their time and set a meeting for February 19, 2009 at 7:00 p.m. for a follow-up meeting with Mr. Conway and Mr. Stevens to receive an update from them on the railroad crossing. The Committee then discussed the outstanding payment from the TIF District to the town’s general fund of approximately $290,000. The Town Administrator noted that at the end of the 2007-2008 fiscal year, $175,094 of TIF captured revenue can be used to repay that debt. Apparently the prior administration did not set up the proper accounting to insure that the district would repay the town’s general fund when TIF captured revenue returned to a positive cash flow. He further noted that it would be up to the Council to take the necessary action to move the funds from the TIF district to the general fund for repayment.
Chairman Levy then asked for a motion on the minutes of the November 20, 2008 meeting. Motion was made by Gary Levy, seconded by Mike Ricker to adopt the minutes as amended. Motion was adopted unanimously. .
There being no further business, motion to adjourn by Gary Levy and seconded by John Ahlgren to adjourn. Meeting adjourned at 8:50 p.m.
