| | CITY OF EAST PROVIDENCE RHODE ISLAND JOURNAL OF SPECIAL COUNCIL MEETING FEBRUARY 13, 2003 | |
The City Council meets in the Council Chamber on Thursday, February 13, 2003 and is called to order at 7:40 p.m. by Mayor Rolland R. Grant.
| Present: | Mayor Rolland R. Grant | ) | |
| | Daniel F. Harrington | ) | |
| | Norman J. Miranda | ) | Council Members |
| | Patrick A. Rogers | ) | |
| | Dr. Isadore S. Ramos | ) | |
| | | | |
| | Paul E. Lemont | ) | City Manager |
| | William J. Conley, Jr. | ) | City Solicitor |
| | Valerie A. Perry | ) | City Clerk |
The Invocation is read by Councilman Harrington and the Salute to the Flag is led by Councilman Ramos.
Section 108 Public Hearing
Authorization to Submit Application the HUD
City Manager, Paul Lemont presents a summary of the City’s Section 108 application to the City Council through a slide presentation.
Following the presentation, Mr. Lemont introduces Mr. George Lee, President and Ms. Mary Voce, Vice President of GeoNova Corporation. He states that they are attorneys with the firm, Coudert Brothers in New York which is a major international law firm. He also introduced Robert Everton who is affiliated with GeoNova. Mr. Lemont notes these are the people that staff has been dealing with.
At this time City Solicitor Conley states that anyone that wishes to speak must be sworn in.
Mr. William Mirandi, 15 Chedell Avenue, East Providence, Rhode Island thanks everyone who has been involved in the project. He asks about the railroad line and if it will be changed into a bikepath or continue as a railroad line. He also states this line is right across the way from Pond View Recycling and is not the type of site he wants to look at if he is going to pay $2 or $3 million dollars for a piece of property.
Mr. Lemont states the City has been dealing with Providence and Worcester on the railroad. It is an active and viable line and they will not abandon the railroad in front of this property, that bisects the property. They have agreed to abandon the line south of the Washington Bridge for the development of the South Quay and Unocal and Chevron properties. Discussions have been made with them about the rail line on the site and they feel it is an important part of their tie to the southern New England area.
Mr. Lemont stated that Pond View has always been a concern and states he does not know what the future holds for them. It would be nice if we could find another spot for them, but at this point it is something that the City must deal with.
Chester Mott, 28 Grant Avenue is sworn in and states he is concerned about where the City is going to dump the waste and where the sewer will run. Mr. Lemont states the site will be tied into Blackstone Valley Narragansett Bay Commission from the Bucklin Point area and will not reach the Riverside section of the City; it will be going across the river. Mr. Mott asks Mr. Lemont if this new development means more Police and Fire personnel. Mr. Lemont stated no, there would be no impact. He noted that the new fire state in Rumford was built knowing that there would be more development.
Mr. Anthony Shepard, Rosemere Drive, questions why the sellers of the property are not the ones responsible for remediation of the contaminated site. He notes that homeowners with lead paint are responsible for the cleanup and asks why the City should use its money to remediate the site when it should be the responsibility of the owner of the building. He states that the East Pointe plan states that the first phase will be commercial/retail buildings and asks if this is to be completed prior to the remediation or following the remediation? Mr. Lemont states that phase 1 will be remediated first. This phase is east of the railroad tracks, phase 2 to the west and phase 3 is the commercial/retail. Mr. Shepard asks if the entire remediation will be done in phase 1? Mr. Lemont answered the remediation of phase 1 will be completed. When that is completed they will move to the other side.
Mr. Shepard asks how the City will recoup its investment if the project is abandoned and who will hold the title to the property if GeoNova decides to leave. Mr. Lemont answers that the City, under certain circumstances could own it and then could assign it to another developer. Mr. Shepard asks if any study has been done to see if they area can sustain additional water and sewer demands for 400 units of housing. Also, can Roger Williams being already a very narrow road carry the steady 900 cars more a day from this new development? Mr. Lemont answers that the City has plenty of water, gas, and electrical services. In answer to the traffic question, he states there will be further discussions about traffic at the public meetings which will be held.
Mr. Shepard cites the East Providence Consolidated Plan for 2002-2005 indicates a large percentage of people exceeding 55 years in the population. The project targets additional senior clientele. Mr. Lemont states that the targeted groups are younger and empty nesters, people that will come over from the East Side who do not what to take care of their lawns and maintenance of their properties. Mr. Lemont states that the City is taking an industrial wasteland and turning it into $5 million dollars. He explained when you do this, the property in the area rises and it rises to meet what the market demands. If the owner of Phillipsdale Landing so chooses to sell, he can do that, or upgrade his property. It is a market condition and states he cannot predict what that will be.
Mr. Shepard asks how this development wills affect the Industrial Highway. Mr. Lemont answers that at the next Council meeting a presentation will be made as to the latest plan that the City has come up with to develop the highway.
Mr. Shepard states there would be 27 housing units per acre. He states he cannot envision that many condos on that site since it could become very dense. Mr. Lee, of GeoNova explained that some of the units would be a lot higher than others. Mr. Shepard notes that we already have many other parks in the City that abut the waterfront access. Mr. Shepard notes that he does appreciate all the effort that staff has put into this and hopes that it is a success.
Mr. Lemont assured Mr. Shepard that marketing studies have been done and assures him that GeoNova has done their homework in this regard.
Councilman Dan Harrington requests an answer to an earlier question as to why the City is supporting the cleanup costs rather than the owner, Mr. Lemont answers that in order for anyone to develop the land, it will have to be cleaned up first and this is where we need government intervention. Without it, the site could not be cleaned up. He states our representatives in Washington are in support of this and recognize the incentive to go into this property and get it redeveloped. If the government does not step in, it will not be developed. Mr. Lemont states that the reason this land is being sold at a depressed price is that is has the problems of contamination. GeoNova can enhance the value of the land by first cleaning it up so that the City will have land that will be substantially more valuable than what it is now.
Ms. Maryann Mathews, 51 Outlook Avenue, East Providence was sworn in. She states that to here it looks like GeoNova is only putting in 20% down on this development. She states GeoNova is buying this property for $200,000 and we are paying for the rest. We are paying for that through a BEDI grant. She states the City should take the money, remediate the property and get it to a place where it could be attractive and put it out to a qualified developer. Mr. Lemont states that we are not in the business of buying and selling land. The money that GeoNova has put in is very substantial. The $200,000 is only for the acquisition of the land. GeoNova also has $1.9 million in the project.
In answer to Ms. Matthews' statements, Mr. George Lee, President of GeoNova explains that most of the time, developers are not interested in distressed land. This is why we have the BEDI grant. Banks are not going to give any kinds of loans to cities or businesses where areas that are distressed. He points out that his company goes in there, cleans up the site so that it is marketable. This is why we have the BEDI initiative and more and more government initiatives. He noted that his company has developed the process for remediating these brownfields sites and that the mission of his company coincides with the City’s desires. Ms. Mathews states that she is in favor of development in the City, but asks that the Council think about what we are doing. She states that the City is cleaning up the property with the grant it receives and feels that GeoNova should pay for the cleanup. The City should assess the cost to the owner which would come out of the BEDI funds.
At this time, Mr. Lemont introduces Mr. George DeTarnowski, of the Central RI Development Corporation in Warwick. Mr. DeTarnowski testifies that the EPA has similar types of grants which help to remediate the land and get them up to a saleable, marketable level and the formula that was presented tonight is in fact correct with respect to current government approaches to these environmentally distressed properties. We have brownfields sites across the country and need to get these lands cleaned up so that a developer can go in to redevelop them. Mr. DeTarnowsky states that the City of East Providence is very much consistent with what is going on throughout the country.
Ms. Mathews asks how many other sites Mr. Lee and his company has done. He states this is his first project. As lawyers for developers of these sites and notes that he was the chief lawyer for investors that built the San Francisco Football Stadium which was developed by private money. Also the new Padre Stadium in San Diego. These people have been very comfortable in putting their money into his firm. He noted the architects are top-notch architects who have received awards for parks that they have done in lower Manhattan. He also introduced his engineers and noted the people he works with are all experts. Ms. Mathews states that this loan would be the City’s and we would be responsible for the loan. Mr. Lemont stated yes, unless someone comes along and takes us out of it.
Ms. Mathews asks about the infrastructure and doesn’t see anything about the costs of infrastructure in this plan. She asks that the City look into more options before giving approval tonight. She asks what will be the requirements for the new construction jobs? Mr. Lemont responded there are no higher scale jobs as yet other than the basic retail jobs.
He noted that the questions Ms. Matthews is asking will be to be answered further down the line.
Ms. Connie Crowshaw, 4 Miriam Street was sworn in and stated the prior questions are very valid and notes she would like to see the area developed. She asks if a marketing study has been done that this number of units and prices of these units would be feasible. Mr. Lee stated yes, a study was done and said the Providence area has become a very attractive area and noted some sites. He believes that the area is very possible for nice homes and there will be people interested from the suburbs of Boston, east side of Providence and the prices are comparable.
Ms. Crowshaw is concerned about the high-rises and how many floors these units will have. She asks if they will affect the view and values of other properties? Ms. Mary Voce of GeoNova answered they will be 4-stories and no more than that. Ms. Crowshaw asks if they would need a variance to go even higher. Ms. Voce noted that when they laid it out, they were aware of the four-story limitation.
Ms. Crowshaw states that the City is taking on a lot of liability. She would love to see it developed, but is concerned about the liability.
Mr. Glen Almquist was sworn in. He states he is very excited about the development There will be an additional tax base and he is in full support of it. We need it for our schools, infrastructure, etc. He states he just moved his business to East Providence this year and is very familiar with Brownfield development projects. He states he is working on two brownfields development projects at the moment and many of the questions that have been asked will be answered by the developer such as environmental studies, traffic etc. in the coming months. Mr. Almquist stated there will be a lot of questions asked by regulatory authorities. Regarding the question on how much the developers are contributing, he states that these projects are a risk, but you have to have the foresight and experience to go into the project with the understanding that it will happen. He commends GeoNova for the foresight and the willingness to take that risk in our community. He states that the value of the property is less than what it would be if remediated. He thinks it is fantastic that the City is able to get the funds committed from the Federal Government to do this type of project.
Mr. Gordon Smith, 1461 South Broadway was sworn in and states he is in support of the project, but is concerned over the possibility of Mr. Lemont’s firing. He states there should be more press releases and public relations forum to tell the story in the newspapers.
Mr. Peter Midgley was sworn in. He states he is in full support of the project and notes that other cities and towns do what they have to do to get their cities developed. It is good for the tax base and feels that if we do not move forward and take a chance with this development, the alternative would be to have a continuous dirty industrial site in this area.
State Representative, Paul Moura was sworn in and states he is in favor of the project, it is a wonderful concept, and that the City needs to move forward with their waterfront development.
Councilman Isadore Ramos voiced his concerns in that this is the first time the City has given a loan of this size. He states that GeoNova is made up of three levels in their corporation and which one would be responsible for this development? He asked how many lawyers does GeoNova actually have practicing in Rhode Island and who would be doing the legal work for this project? How many years of audits of GeoNova and their financial statements? In regard to his concern over the traffic on Roger Williams Avenue, Dr. Ramos asks if the City has ever done a survey for Roger Williams Avenue. He concludes by saying that the concept for the development is good, but would like to see some of this issues addressed.
Councilman Pat Rogers praised Mr. Lemont on his presentation of this project. He stated there have been some good questions raised and these questions will all be answered. He notes we have three choices in that we need revenue, the risk is fully secured in that we are bonded and have the BEDI grant committed by the Federal Government
Councilman Norman Miranda states that the city needs to take a chance. This is a good project and will only help the City’s tax base. He states the old economic base of industrial mills such as Washburn Wire is over and that this is a new beginning.
Councilman Daniel Harrington congratulated Mr. Lemont and the Department of Planning for securing the $5 million. He asked why GeoNova was proposing to be a limited liability corporation, and also asked how they intended to raise the private capital for the remainder of the project.
Mr. George Lee answered that they were talking to different financing companies and talking with development companies about possible joint ventures.
On motion by Mr. Miranda, seconded by Mr. Rogers, and on a roll call vote, it is unanimously voted to move forward with the Section 108 Loan Guarantee Program.
The meeting recesses for five minutes.
The meeting reconvenes with all Council members present.
COUNCIL BUSINESS
(By Councilman Patrick A. Rogers)
Replacement City Manager - Discussion regarding search and hiring process. Planning Department and City Solicitor to report back to City Council at next scheduled meeting with recommended professional independent consultant to assist and guide City Council in this process.
Councilman Rogers says the process needs to be put in place to make sure we get the best City Manager that we can have for the future. Given the fact that none of the Council members of this Council have had prior experience in hiring a City Manager, he would like to have the City Solicitor instructed to come back at the next Council meeting with some recommendations on how the Council should proceed.
Councilman Miranda states he agrees with Mr. Rogers about the Solicitor advising the Council on the process. He also states that he was one of the Councilmen that did not want to vote for the dismissal of the City Manager, but he knows that it has happened and the Council needs to work as a team and he’s ready to do that. He says if Mr. Rogers is putting that in the form of a motion, he will second it. Councilman Rogers says “yes” he is putting it in a motion.
Councilman Ramos states that he doesn’t believe what happened in the back room should be reported out here in public. He says there were no votes taken anywhere other than here in public where the Council voted 5-0 to accept Mr. Lemont’s resignation.
He also states that he resents comments made by the Mayor that Dr. Ramos’ comments didn’t amount to a hill of beans. He says when he votes, he stands by his convictions.
Councilman Harrington says the time is short, but that is no excuse to skip any steps. He says the more input we get, the better we can make the decision, and he supports the motion.
Mr. Conley informs the Council that he will be out of town at the next regularly scheduled meeting, and asks if this matter can be deferred until the following meeting, which will be held on March 4, 2003. The Council agree.
Mayor Grant apologizes to Dr. Ramos for his comments, which he meant that there were no votes. Dr. Ramos accepts his apology.
A roll call vote is taken on the motion to have the City Solicitor report back to the Council with the procedures to follow in searching for a new City Manager.
| Mr. Harrington | Aye |
| Mr. Miranda | Aye |
| Dr. Ramos | Aye |
| Mr. Rogers | Aye |
| Mayor Grant | Aye |
The motion passes 5-0.
Unanimous Consent - Councilman Miranda
Councilman Miranda reports that he attended a meeting with members of the School Committee, the Superintendent, Ernie DiSaia and the architect about the demolition and construction of Kent Heights School. He says that everything is on target, and the School Committee would like to have a joint workshop with the City Council.
Unanimous Consent - Mayor Grant
Mayor Grant states he received a surprising amount of phone calls regarding cars that were left on the street during the recent snow storm. He asks that the Police Chief be instructed to enforce the parking ban and tow the cars that are not moved.
On motion of Councilman Miranda, seconded by Councilman Ramos, it is unanimously voted to have the City Manager instruct the Police Chief to have the cars that are left on the streets during a parking ban towed from the area after 5:00 p.m.
Unanimous Consent - Councilman Rogers
Councilman Rogers asks that the City Clerk be informed of all City workers and School Department employees who have been called to Active Duty so that they may be recognized with a Citation.
On motion of Councilman Ramos, seconded by Councilman Miranda, it is unanimously voted to approve Councilman Rogers’ request.
There being no further business, the meeting adjourns at 9:20 p.m.
Attest:
Valerie A. Perry, CMC
City Clerk