Economic Development Commission

Committee Members Staff to the Committee Chairperson Councilman Vincent Loffredo Christine Marques, Director of ECD Members Councilwoman Jeanette Blackwell Brian Gartner, ECD Staff Councilman Anthony Gennaro Councilwoman Steven Kovach Councilwoman Linda Salafia ECONOMIC DEVELOPMENT COMMITTEE MIDDLETOWN CONNECTICUT REGULAR MEETING TUESDAY, MARCH 12, 2024 MINUTES A Regular Meeting of the Economic Development Committee of the City of Middletown was held on Tuesday, March 12th 2024 at 7:00 PM. This meeting was a hybrid meeting with in-person participation in Room #208 of the Municipal Building and remote access via WebEx. Committee Members Present: Chairman Vincent Loffredo, Councilwoman Linda Salafia, Councilwoman Jeanette Blackwell, and Councilman Steven Kovach. Staff Members Present: Christine Marques, Director of ECD, Brian K. Gartner Jr, ECD Staff, Marek Kozikowski, Dir. of Land Use Members of the Public Present: Krishna Winston, 655 Bow Lane, Diana Martinez, 143 Prospect Street, Chris Cambareri, Director of Economic Development Middlesex Chamber of Commerce, Lorenzo Jones. Absent: Councilman Anthony Gennaro. 1. Call to Order A. Chairman V. Loffredo called the meeting to order at 7:00 PM. 2. Approval of Minutes A. Discussion - Chairman V. Loffredo opened the floor to discussion. Councilman Steven Kovach and Councilwoman Jeanette Blackwell are both recognized by the Chair, and both council members expressed their appreciation for the substance of the minutes. Motion made by Councilman Kovach to approve the meeting minutes of the February 21 st meeting, seconded by Councilwoman Salafia and passed unanimously. 3. Public Session A. Chairman V. Loffredo recognized Krishna Winston, 655 Bow Lane Middletown CT, who addressed item number one under new business; Miller/Bridge Street Farm Proposal. Krishna Winston expressed her support for the Cultivating Justice organization recognizing their admirable work ethic to promote the number of farmers of color, and working with youth to better the community. Krishna Winston advocated favor for extending Cultivating Justice’s lease agreement. B. Chairman V. Loffredo recognized Diana Martinez, 143 Prospect Street Middletown CT, and she updated the committee on her LLC Dee’s Crafty Bee’s project scope and mission. Diana Martinez expressed her interest in communities, such as Miller and Bridge Street that are geographically isolated from local food sources in supporting them to have access to fresh agricultural and food products at no cost. The project would also serve as incubation space to allow community residents to practice growing food and expand their interests in farming to potentially acquire their own land and establish their own businesses. If you require special accommodations for any meeting, please call the ADA Coordinator at (860) 638-4540, (voice) or (860) 638-4812 (TDD/TTY), or the Town Clerk’s Office at (860) 638-4910 at least ten (10) days prior to the scheduled meeting. Page 1 of 6  C. Additionally, Diana Martinez addressed 17 Miller Street and expressed her support for resident Mr. James whose home has been foreclosed, and is potentially at risk of eviction. Diana Martinez informed the committee that Mr. James is elderly and disabled, and evicting him from his home would be damaging. Diana Martinez asked the committee to examine and evaluate their policies for surplus city properties, and foreclosures, dealing with current residential inhabitants and developing a plan to support them in the transition process. D. Chairman V. Loffredo closed the public session, as there were no additional attendees. 4. New Business 1. Miller/Bridge Community Farm Proposal Chairman V. Loffredo recognized EDC staff member Brian Gartner who provided an update on the Miller/Bridge Community Farm Proposal to the committee. Dee’s Crafty Bees is seeking a lease agreement for city owned parcels on Miller Street. They currently hold a license agreement for the site, and they collaborate with Chicks Ahoy Farms and the KATAL Center and their Cultivating Justice initiative, and are looking to partner with the City of Middletown. A similar proposal in 2019 for The North End Action Team (NEAT) to utilize the space received committee vetting, and was approved by Common Council yet was never implemented. Throughout the legal review process, General Counsel acknowledged that the property is within the sanitation district, and if sanitation services are required, the tenant will use city services. Based on a preliminary review the Deputy Tax Assessor explained that the properties would be exempt from taxes due on the property. The proposed city standard lease language would use the template currently in effect for R.M. Keating leases, and would be modified to be specific to the tenants to meet applicable building codes, and ADA compliance as a public park. Chairman V. Loffredo recognized Councilman Steven Kovach, who questioned why the committee is receiving all this information prior to a lease. Christine Marques responded that this is to inform and update the committee, currently there is a draft lease form, and once the agreement is finalized it will be submitted to the committee. Councilman Steven Kovach looked for clarification regarding DOT activity, and city compliance. Christine Marques explained under state statute the city has to allow them to perform their state action, and DOT just notifies. DOT is undertaking the construction of a new bus repair facility on North Main Street which will require fill to be added to that site to raise the level above the flood plain. DOT may need to remove fill from the embankment adjacent to the park. DOT has agreed that they will perform park improvements, and has been working with the city. Chairman V. Loffredo recognized Councilwoman Linda Salafia who sought clarification regarding the definition of a license agreement. B. Gartner explained the purpose of the license agreement, which is to allow short-term access to a property, in this scenario to take advantage of the growing season in 2023. It is a mechanism for short-term rentals. Chairman V. Loffredo recognized Councilwoman Blackwell who echoed Councilman Steven Kovach’s concerns, and asked why the lease agreement was not presented before the committee. Councilwoman Blackwell inquired about the procedural steps regarding leases, and asked the committee to consider extending the process to future prospective tenants, which was discussed at the previous EDC meeting. Page 2 of 6  Councilman Steven Kovach made note that the committee procedures for lease agreements be standard and universal, and suggests that the same process is followed for all applicants across the board. B. Gartner explained that the intention was to provide all available and pertinent information, to the committee since this proposal has been on the table for the last six months. Chairman V. Loffredo explained this is a unique proposal, and procedurally this different, and Christine Marques informed the committee that Diana Martinez requested this proposal be brought forward. Councilwoman Blackwell made note that this procedure felt different. Councilwoman Linda Salafia asked if there was a dollar amount included in the lease agreement, and B. Gartner responded that the agreement was a dollar an acre a year. The property is four acres, so the total is four dollars a year. Chairman V. Loffredo recognized Diana Martinez for further clarification regarding her proposal, and she informed the committee she has not yet received a copy of the draft lease, and was not aware of the multiple versions of the lease in circulation. Currently the park is not ADA compliant, it is overrun with shrubs on one end, and requests DOT consider improving the park. The current license agreement is only in effect until June, and asks the committee to consider approving the lease before the expiration of the current license agreement. Councilwoman L. Salafia expressed her support for the idea, and clarifies the role of the Park and Recreation Department; and the change of the name from Roosevelt Park to Miller/Bridge Street Park. Christine Marques explained Director Holden is aware of the project, and has expressed no concerns. B. Gartner provides clarification; ADA improvements must be made to comply with the current zoning and building codes. Chairman V. Loffredo recognized Land Use Director Marek Kozikowski. Marek is aware of the similarities to NEAT proposal, and the lease agreement would require a CGS 8-24 review, to review conformance with City’s Plan of Conservation and Development. C. Marques is optimistic the lease will be submitted to the Common Council for their next scheduled meeting. Councilman Steven Kovach asked if General Counsel has been present in committee meetings for approval of leases, and expresses his concerns for the precedence having Counsel present for this lease sets for future lease applicants, and he wants to ensure the committee is not treating Diana Martinez differently from other applicants. 2. New Lease agreement for farmland at Long Hill Road for Fair Weather Growers, LLC Chairman V. Loffredo recognized Land Use Director M. Kozikowski, who presented an update on the city acquirement of land at Long Hill Road, mostly farmland. The land has been vacant since city acquisition, and in the effort to reactivate city farmland, the city submitted an RFP through Purchasing and Land Use office. Fair Weather Growers provided a response, at $50/acre, and expect to grow fruits and vegetables. Marek explained that over a five-year lease the city would generate an expected revenue of $4,125.000. The lease agreement has been reviewed by G.C and signed by Fair Weather Growers, LLC. Councilwoman L. Salafia inquired about the location of the property, and M. Kozikowski and B. Gartner responded. The site is approximately 16.5 acres. Chairman V. Loffredo inquired about ownership of the water tower, and M. Kozikoswki answered that the city owns the water tower, and the lease is dealing specifically with the three parcels of land. There are no maintenance concerns or responsibilities affecting the cities capacity for the other land parcels. Page 3 of 6  Councilman Steven Kovach asked for clarification regarding the number of interested parties, and M. Kozikowski responded with an update describing the RFP process. Fair Weather Growers was the only response. Councilwoman Blackwell asked Director M. Kozikowski about the other additional acres, M. Kozikowski responds the land in question is sloped and unusable and bordering the road. Fair Weather Growers is using the tillable and on the site. Councilwoman Blackwell inquired about the license agreement, and M. Kozikowski responded it was for hay growing, once or twice a year. Chairman V. Loffredo made note that the Land Use Department has been managing and directing this process, and will need P&Z approval, Conservation and Agriculture Approval, and Finance and Government Operations Approval. If all committees vote in favor it will be presented to, the Common Council for final approval. Councilman Steven Kovach motioned to approve the resolution approving the Fair Weather Grower lease, seconded by Councilwoman Linda Salafia, and was unanimously confirmed the committee. Councilwoman Blackwell asked if the committee if all prospect tenants present before the EDC going forward. Chairman V. Loffredo explained it was encouraged for prospective applicants to come before the committee, but it not a requirement. Councilwoman Blackwell informed the committee that Fair Weather Growers was not invited to the EDC committee, and Chairman V. Loffredo made note that it is a beneficial opportunity for prospective lessees to meet before EDC but individual presence is not mandatory, so echoed by Councilwoman Blackwell. 3. Land Donation of Miner Street, Map/Lot 06-0057 Chairman V. Loffredo recognized Director M. Kozikowski who addressed the committee on the land donation of Miner Street. A GIS map depicts the property in question, adjacent to the State of Connecticut I-91 corridor, and expressed the city should accept the land as it abuts other city property. The city commissioned a title search, reviewed by G.C, came up clean, and is appraised at $8,060.00 and assessed at $5,640.00. Chairman V. Loffredo asked M. Kozikowski if there are taxes due on the property, and requests this information be presented to the committee. Chairman V. Loffredo opened the floor to discussion, recognized Councilman Steven Kovach who expressed the committee should figure out if there are encumbered taxes on the property, and presented the idea of tabling this until the committee is informed. Chairman V. Loffredo recognized a proposed resolution on the agenda item, read the proposed resolution, and opened the floor to debate. Councilman S. Kovach made a motion to approve accepting the property as a donation contingent on a report detailing no taxes are owed on the property, seconded by Councilwoman L. Salafia. Chairman V. Loffredo recognized the amended resolution, and called for a vote, and the committee unanimously affirmed. 4. Grant Agreement for $372,000 CT DEEP OSWA grant award for open space purchase of 2200 South Main Street a. Director M. Kozikowski addressed the EDC committee that in 2020 the department of land use submitted grant application to State of CT Energy and Environmental Protection through their open space and watershed acquisition program, and were awarded $372,000.00 grant to acquire 83-acre parcel. Property was purchased-authorized by Common Council on July 6 2021, and the Page 4 of 6  Department of Land Use and State of CT have been making progress on finalizing the grant agreement. There is a draft resolution before the EDC committee. Chairman V. Loffredo inquired about how the city qualified for this OSWA grant, and Director M. Kozikowski addressed the history of the project. The 2200 South Main Street property was identified as a priority property for the city to acquire for open space and conservation considering its scale and price. The total price was $1.4 million, from which $372,000.00 came from the grant and the rest came from the 21st Century bond. Councilwoman L. Salafia inquired about the size of the property, and M. Kozikowski responded it is a total of 83 acres, 73 acres located within Middletown and 10 located in Durham. Councilwoman J. Blackwell, made note the interest that Middletown will only ten acres of the park that is located in Durham. She requested M. Kozikowski to send spreadsheets and documents detailing the number of open spaces throughout Middletown. M. Kozikowski asked for clarification, if Councilwoman J. Blackwell wants all open space or properties purchased specifically with the bond money, and she requested both. M. Kozikowski informed the EDC that the balance of the open space bond was just shy of $1.5 million with the value of the grant borrowed against it. The $372,000 will be deposited into the bond fund, bringing it to $1.9 million available for purchase of public land. Councilman S. Kovach made a motion to approve draft resolution, seconded by Councilwoman J. Blackwell. The Chairman called for a vote, and the EDC unanimously approved the draft resolution. The resolution grants the Mayor to sign the agreements. 5. Conservation Easement and Agreement for Conservation and Public Recreation at 2200 South Main Street The committee voted in favor of the proposed conservation easement. 5. Old Business 1. 21st Century Bond A. Provided to the committee for their information. No substantive update. 2. The Village at Riverside (Arcade Redevelopment Project) A. No substantive update. Positive news is anticipated in the near future. 3. Riverfront Master Plan A. C. Marques provided an update to the committee that the assistance agreement with the State Dept. of Economic and Community Development is close to being executed. The City has completed their due diligence, and is now waiting on supporting documents for the properties on River Road. Once remedial action plan is completed, the city can prepare to submit RFP to hire developers for the three properties on River Road. 4. 80 Harbor Drive A. Staff informed the committee there was a minor flooding event over the weekend, however no water entered the building and there was no damage. The project is on schedule to reach substantial completion for tenant to start their fit out and open on May 1 st. B. Chairman V. Loffredo inquired about the status of the elevator, and B. Gartner explained that the elevator shaft and infrastructure has been completed and are waiting on elevator installation. Currently the project team is waiting on supplier to install the unit. B. Gartner informed the committee the lift will only allow access from the first floor to the second floor, as the third floor is envisioned as preparation space and not constantly used public space. Page 5 of 6  5. R. M. Keating A. General updates 1. City staff continues to work with multiple tenants at R.M. Keating. ECD staff will provide budget analyst documents to committee members upon completion. B. Lease agreements 1. Brian Gartner Jr., updated the committee that several lease renewals will be presented to the EDC committee at an upcoming meeting. Chairman V. Loffredo made note that the lease renewal applicants will be invited to attend the EDC meeting. 6. Grant Earmarks A. CIF Grant Title Searches for the River Road properties have been completed, and the City will execute the assistance agreement once received. B. Community Challenge Grant: 1. 418 and 422 Main Street redevelopment projects are substantially complete. 2. 584 Main Street construction progress continues to be made on the former Shlien’s building. The western third of the structure was demolished due to being structurally deficient. Rough framing is mostly compete. The project will include 3,500 sq.ft of commercial space on the first floor, and 12 market rate apartments on the second and third floors. 3. 545 Main Street construction is ongoing, and progress continues to be made. A new roof, new windows, and siding have been installed. C. Urban Act Grant for 545 Main Street: D. Urban Act Grant and Congressional Earmark (HUD) for R.M. Keating 1. City staff continue to work with HUD to furnish the necessary documents and positive progress continues to be made. Staff provides an update on the proposed improvements. 7. 210 Dripps Road A. No substantial updates at this time. The EDC voted to start the potential divestment process. 8. 17 Miller Street A. Planning and Zoning Commission approved the C.G.S § 8-24 review on 2/28/2024 9. 20 Portland Street A. Planning and Zoning Commission approved the C.G.S § 8-24 review on 2/28/2024 B. 18 Portland Street holds an easement over a portion of 20 Portland Street C. Diana Martinez indicated at the January EDC meeting that another party maybe interested. Staff has reached out to Diana Martinez to request their information. 10. Economic Development Fund Balance A. Provided to the committee for their information. Staff will provide the applicable sections of City Code relating to Economic Development Fund Balance. 11. National Register Designation for the Beman Triangle A. No substantive Update. B. Chairman V. Loffredo requests staff to communicate with Middlesex Historical Society and State and provide an update at the next meeting. 6. Adjournment A. Having no further business in front of the committee the committee moved to adjourn at 8:55 PM. Page 6 of 6