City Council

AGENDA – MEETING OF THE COUNCIL OF THE CITY OF NORWICH DECEMBER 6, 2010 7:30 PM PRAYER PLEDGE OF ALLEGIANCE ADOPTION OF MINUTES: Meetings of November 1 & 15, 2010 PROCLAMATIONS AND SPECIAL OBSERVANCES 1. Rob Simmons – report on trip to Wuxi, China 2. Presentation of plaques from the Historic District Commission 3. Presentation of Bully Busters T shirts 4. Presentation of plaque to Ed Seder PETITIONS AND COMMUNICATIONS 1. Amendment No. 3 to the amended and restated power sales contract between CMEEC and City of Norwich Department of Public Utilities. CITY MANAGER’S REPORT CITIZEN COMMENT ON RESOLUTIONS NEW BUSINESS – RESOLUTIONS 1. Relative to appointments and re-appointments to the Historic District Commission. 2. Relative to the Norwich Golf Course Authority being authorized to expend $1,164,570.00 to cover the cost of anticipated expenses during calendar year 2011. 3. Relative to appointing Jennifer Christopher to the Uncas Health District. 4. Relative to appropriating from demolition account #15232-88110 a sum not to exceed $7500 to pay for a hazardous material survey at 182 Cedar Street, the William A. Buckingham School. 5. Relative to the sum of $6,543.33 being allocated from the Esther Gilbert Fund to be used for the upgrade of social media technology in the children’s and young adult department of the Otis Library. CITY CLERK  PROCLAMATIONS AND SPECIAL OBSERVANCES #1 MEMO MEMORANDUM TO; THE HON. PETER NYSTROM MAYOR, CITY OF NORWICH, CT FROM: ROBERT R. ‘ROB’ SIMMONS SUBJECT: TRIP TO WUXI, CHINA DATE; NOVEMBER 15, 2010 EXECUTIVE SUMARY: During the period October 17-21, 2010, a delegation went from Norwich, Connecticut to Wuxi, China to explore ways to generate economic development. The trip was promoted by Mayor Nystrom of Norwich but no government funds were expended. The Wuxi New District was formed by the Chinese government in 1992 in an area of 220 square kilometers to promote economic development through science, technology and innovation. Wuxi currently has a population of 8 million people. One aspect of this development was the recruitment of close to 100 Sister Cities from dozens of countries from around the world. Four are from the United States including, Norwich. Thirty one attended the conference. Also important were major investments in infrastructure, education, technology facilities and global promotion to include the 5th Wuxi International Sister Cities Forum which our delegation attended. Clearly the scope of what we experienced in the form of economic development is beyond the limited capacity of the city of Norwich; but what we learned has application both to Norwich and to the State of Connecticut. END SUMMARY. 1. THE TRIP – From October 17-21, 2010 a delegation travelled to Wuxi, China, on request of Mayor Peter Nystrom of Norwich and on invitation of Mayor Mao Xiao Ping of Wuxi, China. 2. PARTICIPANTS – The trip was organized by ICEA Director Libo Suen of Norwich and included Attorney Samuel P. Browning, Businessman Alexander Lin of Norwich and former Congressman Rob Simmons of Stonington. 3. PURPOSE – The City of Wuxi extended the invitation to attend the 5th International Sister Cities Forum following the historic Sister City signing  ceremony between Mayor Peter Nystrom and Wuxi Binhu District Mayor Yuan Fei in Norwich on August 16, 2010. The purpose of the trip from the Chinese perspective was to display the progress that is being made in China to attract foreign investment and high technology business. The purpose from our point of view was to explore reverse investment opportunities for Chinese businessmen in Norwich under an EB-5 or similar program. [See details at Attachments 1-3.] 4. WUXI, CHINA – Wuxi New District was formed in 1992. It consists of the Wuxi International Science & Technology Park, Wuxi Airport Industrial Park, Wuxi Export Processing Zone, two townships and four villages covering 220 square kilometers. It plays a leading role among the 54 national high-tech zones in China and specializes in high tech innovation. 5. OBSERVATIONS & RECOMMEDATIONS – During the course of the visit we made several observations and recommendations as follows: a. Cluster Strategy: The Chinese in Wuxi have promoted at strategy to co- locating high-tech educational and business activities that specialize in certain aspect of their global economy. This creates a synergy that attracts foreign businesses to Wuxi. Over the years Connecticut has organized its economy into specialized clusters as centers for investment. [See Attachment 4.] These include aerospace, bioscience, software and information technology, maritime, insurance and financial services, plastics and tourism to name a few. It is recommended that any opportunities for reverse investment focus on these clusters as the best possible opportunities for foreign entrepreneurs in the Norwich area and in the state of Connecticut. b. Hospitality & Tourism: The City of Wuxi and the international Sister City program have been very successful in part because of the 3,000 year old history of the city and its facilities for tourism and hospitality. Furthermore, the highest ranking officials in the city participated in most aspects of the Forum. Clearly the Norwich area and Connecticut, while not as ancient, have first class tourism and hospitality centers which can be used to attract foreign investment. For example, when the Mayor of Binhu District and Wuxi officials came to Norwich to sign the sister city agreement they stayed at and were very impressed by the Mohegan Sun Resort. It is recommended that Norwich and the state consider its tourist and hospitality assets as key components in reverse investment and economic development; and that ranking officials play a direct role in hosting all significant events to demonstrate their commitment to attracting foreign investment. c. Printed & Electronic Media: Chinese officials of Binhu District and Wuxi City distributed extensive printed materials in Chinese and English for the forum and for other uses. It is clear that their major investments in education, infrastructure and construction are matched with advertising dollars as well [See Attachments 5-8.] While attractive and expensive, they were also bulky and heavy to carry. It is recommended that Norwich  and the state rely more on electronic and internet based materials to convey their messages. DVDs can also be useful and perhaps a smaller single sheet guide to internet based web-sites. It is also recommended that the state consider a new advertising campaign given the fact that it has been at least ten years since this was last done. Finally, what Norwich needs is the following: i. Two separate pages on the website written in Chinese addressing economic development and tourism; 1. That are easy to navigate and available through computer searches conducted through the Chinese equivalent of Google; 2. That are “front loaded” to discuss economic development and tourism, not just a history of the city; 3. That contain relevant links to state and local activities of economic interest such as DECD, CDA, CI, The Knowledge Corridor, BEACON, Norwich Chamber, Eastern CT Chamber of Commerce, 2009 Connecticut Economic Review and so forth [See Attachments 10-12]; 4. That would also contain links to the region’s tourist attractions such as Foxwoods, The Mohegan Sun and so on; 5. That would have an email address monitored by a Chinese speaking volunteer; and 6. That these pages could be easily printed out for conference or mailing purposes. ii. Exportable materials that can be downloaded to DVD on lap top computer for use at conferences and for visits: 1. That have Chinese subtitles; 2. That are specifically prepared for economic development; 3. That would show attractive Norwich scenes, the industrial park, NFA, and maps to show the closeness to Boston, MA and New York City, NY; and 4. That show real estate opportunities to include a selection of vacant properties immediately available for use. d. Personal Interaction: During the visit, there was at all times a high level of interaction between guests and Chinese officials. Questions were answered in a timely fashion and specific requests were handled without difficulty. Clearly Norwich and the state do not have the personnel resources of Wuxi, China. Nonetheless, we have demonstrated over time that volunteers from our chambers of commerce and from organizations like the Main Street Partnership can handle visitors. For example, the cruise ship visits in New London rely heavily on volunteers. It is recommended that ranking officials work with volunteers and non-profits to coordinate visits from Chinese officials and businessmen interested in making investments in Norwich, Connecticut. e. 530 Entrepreneur Service Center and the EB-5 Program: Binhu District of Wuxi City has created a 530 Entrepreneur Service Center specially  designed to attract overseas Chinese entrepreneurs to China. There is a “one-stop shop” service, visa services, medical insurance, housing and even education for foreign children. Applicants also get a workplace and $1.0 million RMB as a start-up fund from the City. [See Attachment 7.] The closest thing we have to this is the EB-5 program established in the U.S. to attract foreign investment in exchange for permanent resident status. Currently there are over 40 EB-5 Regional Centers in the U.S. the nearest one being the whole state of Vermont. Sadly the criteria for the program does not work in favor of Connecticut because our rural towns often lack incentives or facilities for investment and our cities are too large too meet program criteria. National assets such as Silicon Valley and the Knowledge Corridor are not eligible because they do not meet investment criteria. As a result we are losing a great opportunity for investment. During the visit we discussed this issue with Mayor Kris Wang of Cupertino, CA, who agreed that a legislative “fix” to this program was needed. It is recommended that we approach the congressional delegation with suggestions on how to either improve the program or seek waivers from some of its restrictions so that a regional center can be established in Connecticut. We understand that Senator Leahy is working on an amendment to the legislation, and we need our delegation to approach him soon with recommended changes. f. Chinese American Association: Norwich and southeastern Connecticut have a substantial Chinese population – some say numbering 12,000 or so. Also, we are located between Boston, MA, and New York City, NY, which also have large Chinese populations. It is recommended that local Chinese Associations be used directly and in association with other business groups in attracting Chinese investment to our part of the state. g. Alpha Bet Soup: Wuxi’s K-Park advertises a “one stop shop” where the foreign investor is assisted in every step of the process to settle in Wuxi. [See Attachment 8.] The local government has over 100 government personnel who are part of the China Chamber of International Commerce; and other activities such as the 530 project have additional personnel dedicated to assisting foreign investors and entrepreneurs. Connecticut has numerous business related public and private organizations such as DECD, CDA, CI, CERC, NFIB, Rotary, CCM and various Chambers of Commerce. There are also business development organizations at our colleges and universities. The Chinese link these together into a workable whole. It is recommended that the City of Norwich host a meeting of these various Connecticut groups to explore how we can better coordinate our business recruitment activities. It is also recommended that we explore ways to extend the reach of the Knowledge Corridor into eastern Connecticut. h. Industrial Park System: The Chinese in Wuxi and elsewhere have invested heavily in industrial parks that feature high-tech facilities, academic institutions and global sponsorships from multinational corporations. They are assisted in their outsourcing services by an international company  called iSoftstone which promotes “innovation across borders”. Connecticut has in years past invested in industrial parks, to include a facility in Norwich. It is understood that these facilities have vacancies and are not necessarily promoted in an aggressive fashion. It is recommended that the City of Norwich meet with state agencies responsible for these facilities to see what can be done to promote their lease or sale. In particular, the vacancies need to be listed on the internet and by web-page. It is also recommended that we contact the Boston, MA, office of iSoftstone to see what advice they can give to improve our own “in-sourcing” activities. [See Attachment 9.] i. Environmental Issues: The Chinese in Wuxi continuously promote their “green” buildings and commitment to the environment. In Wuxi, for example, there are extensive wetlands that have been development into parks for human recreation. And some of the new buildings are promotes as “green.” There is also extensive traffic congestion, vehicular exhaust, smog, industrial pollution and airborne dust – so much so that we saw the sun on only one day during the trip. It is recommended that Norwich and the state highlight the clean air, clean water and truly exceptional environmental features of our location and the quality of life it offers to those who wish to live and work here. j. Real Estate: Real estate in China is very expensive. We saw single family dwellings that would sell in Connecticut for $500-650,000 and were told that the sale price was closer to $2-3,000,000. A 3,000 square foot apartment sells for as much as $300,000. As well, the government retains title to the land when a property is sold. By contrast, real estate in Norwich is cheap by comparison – a bargain. On this basis it is recommended that we focus on housing and commercial land costs when trying to attract investors from China or other high cost area of Asia. When matched with a quality work force, this can have real appeal. k. Educational Facilities: University facilities in Wuxi host over 30,000 students many of who are focusing on math, science and engineering. They are joined by foreign investors like Pfizer, IBM, Sunsystems and do forth. This creates a synergy that adds value too any high-tech company locating in Wuxi. Connecticut’s Knowledge Corridor also has more academic institutions that Silicon Valley; and boasts extensive high-tech companies. It is recommended that Norwich and the state do more to promote our own centers of excellence and how they could provide assistance to any company wishing to re-locate Norwich or in state. Several of the materials we took on the trip to “sell” Norwich and Connecticut are at Attachments 10-12. l. Future Plans: Mayor Nystrom is to be commended for signing the Sister City agreement with Wuxi and for promoting our delegation visit without spending any taxpayer dollars. The trip was a good first step in the process of developing relationships and learning how to enhance reverse investment and EB-5 related development – that is, for in-sourcing rather than out-sourcing jobs. We look forward to working with Mayor Nystrom,  the City of Norwich, the State of Connecticut and our congressional delegation to implement the recommendations we have set forward. 6. CONCLUSIONS – Connecticut is facing serious economic challenges. Business closures, revenues losses to the state, unemployment, home foreclosures, growing deficits and spending growth are all working together to create an economic environment we have not seen for a generation. On this basis it was fortuitous that Norwich’s Mayor Peter Nystrom asked a delegation to travel to our Sister City of Bin Hu District, Wuxi, China. What we observed there was a system not unlike what we have here in Connecticut except that it is newly built and there is sense of excitement that it will work for the Chinese because they have never done it before. For us, then, it is really a question or going back to the basics and re- establishing a system of interaction and promotion that is tried and true. Granted, some of our infrastructure is aging and we cannot afford some of the things that the Chinese are doing with their huge cash reserves of trade dollars. But if we look squarely at the assets we have, and the people resources, it is not hard to imagine promoting Norwich and Connecticut to our Asian neighbors. This takes leadership, vision and will which we believe we have in abundance. END OF CONCLUSIONS. 7. ATTACHMENTS – 1. Itinerary of visit to Wuxi, China. 2. Map of Wuxi, Binhu District. 3. Name list of Foreign Guests. 4. Connecticut Industry Clusters, DECD. 5. Service Outsourcing Industry in Binhu District, Wuxi City. 6. Wuxi Municipal Service Center for Foreign Countries. 7. Wuxi 530 Enterprise Service Center. 8. K-Park Transformation and Taihu Intelligent Valley. 9. iSoftstone Innovation Across Borders. 10. Gateway to Innovation – New England’s I-91 Corridor. 11. 2009 Connecticut Economic Review. 12. Eastern Connecticut Chamber of Commerce Business Directory.  PETITIONS AND COMMUNICATIONS 11 RECEIPT The undersigned acknowledges of a copy of Amendment Number 3 dated as of December 1, 2010 to the Amended and Restated Power Sales Contract between the Connecticut Municipal Electric Energy Cooperative and the City of Norwich, Department of Public Utilities, which Amendment Number 3 has been recorded for consideration by the legislative body ofthe City of Norwich, Department of Public Utilities and may be disapproved and thereby invalidated by vote ofthe legislative body within thirty (30) days in accordance with Connecticut General Statutes § 7-233 and will be maintained or filed in this office for public inspection. Dated: rvOO. d-'3) do \0 By: Sandi Greenhalgh, Cit Norwich City Hall 100 Broadway Norwich, CT 06360 en 1'0) -f2;'; c:::> s :0 0 0 :z::.s:~") z rn ""­ c::> £=.27:::~ <: ; ::;:i~("):;c N '\.~~ J .::...-.: ~':..:-, :,~:::, .. C-~) ~.,;,::J (""\ C"; .i':"'~ ": w en :I: C)r-:::- "'(] .-' ""'-~ -HT,~ ::0­ A5 ~ m :::I: C.-I 0  AMENDMENT NO.3 TO THE AMENDED AND RESTATED POWER SALES CONTRACT BETWEEN CONNECTICUT MUNICIPAL ELECTRIC ENERGY COOPERATIVE AND CITY OF NORWICH, DEPARTMENT OF PUBLIC UTILITIES DATED AS OF DECEMBER 1, 2010 en r-..) -I? c:l s ::0 z~-CJ OZ :z: c::> l--n C" -.-::;:0 ~ __ ~-:', :;-~ ~_;::J1~ <: ~~~?'"~''''' ':=J _,c_"; ___ l •• " C~ -< ~'~-~-I' I'V \..oJ m -'-0- ­ C)r~~-;:;:: -jfTlj~ ::Oi- 1) < m :::":G) r:-:> :::r: 0 0  AMENDMENT NO.3 TO THE AMENDED AND RESTATED POWER SALES CONTRACT THIS AMENDMENT NO.3 to the Amended and Restated Power Sales Contract is made and entered into as of December 1, 2010, by and between the CONNECTICUT MUNICIPAL ELECTRIC ENERGY COOPERATIVE, a public body corporate and politic organized and existing under and by virtue of the laws of the State of Connecticut (hereinafter referred to as "CMEEC") and the CITY OF NORWICH, DEPARTMENT OF PUBLIC UTILITIES by and through the municipal electric utility which constitutes an electric department, agency or other body of such municipal corporation (the "Purchaser"). WIT N E SSE T H: WHEREAS, CMEEC has heretofore entered into a contract dated as of January 1, 2000 (the "Original Amended and Restated Power Sales Contract") for the supply of electric power with the Purchaser and similar contacts with the other members of CMEEC (collectively the "Purchasers") which was amended by Amendment No. 1 thereto dated as of May 1, 2005 ("Amendment No.1") and Amendment No.2 thereto dated as of July 1,2006 ("Amendment No.2," and together with the Original Amended and Restated Power Sales Contract and Amendment No.1, hereinafter referred to as the "Amended and Restated Power Sales Contract") and; WHEREAS, in order to provide greater flexibility to CMEEC and the Purchasers to partICIpate in projects beyond the termination date of the Amended and Restated Power Sales Contract which will provide benefits to consumers, it has been determined to be in the best interest of CMEEC and the Purchaser that the Amended and Restated Power Sales Contract be amended by this Amendment No.3 to extend the term of the Amended and Restated Power Sales Contract to December 1,2049. NOW, THEREFORE, in consideration of the mutual undertakings herein contained, the parties hereto agree as follows: SECTION 1. AMENDMENT Section 13{b) of the Amended and Restated Power Sales Contract IS hereby amended by changing the date of December 1, 2029 to December 1, 2049. SECTION 2. EFFECT OF AMENDMENT Except as amended by this Amendment No.3, the Amended and Restated Power Sales Contract will remain in full force and effect. SECTION 3. COUNTERPARTS This Amendment No. 3 may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. -2­  IN WITNESS WHEREOF, the CONNECTICUT MUNICIPAL ELECTRIC ENERGY COOPERATIVE has caused this Amendment No.3 to be executed by its Chairman or Chief Executive Officer and the Purchaser has caused this Amendment No.3 to be executed on its behalf by an authorized officer of the municipal electric utility constituting an electric department agency or other body of the Purchaser as of the date first written above. (SEAL) Witness CONNECTICUT MUNICIPAL ELECTRIC ENERGY COOPERATIVE By _ By _ Title Witness CITY OF NORWICH, DEPARTMENT OF PUBLIC UTILITIES By _ By _ Title -3­  RESOLUTION #1 BE IT RESOLVED that William Champagne (D) be appointed as an alternate member to the Historic District Commission to fill the vacancy due to the resignation of Desiree Champagne for a term to expire on December 31, 2012 or until a successor is appointed. BE IT RESOLVED that the following be re-appointed to the Historic District Commission as regular members with terms to expire on December 31, 2015 or a successor is appointed: Cort Murphy (D) Judith Hamblen (R) BE IT RESOLVED that the following be re-appointed to the Historic District Commission as alternate members with terms to expire on December 31, 2012 or until a successor is appointed: Pamela Muccilli (U) Marco Middleton (D) Mayor Peter A. Nystrom  RESOLUTION #2 WHEREAS, an agreement between the City of Norwich and the Norwich Golf Course Authority in effect at the time of the acquisition of the golf course provided that the Norwich Golf Course Authority might not expend more than $100,000 in any one year without the approval of the Council of the City of Norwich; and WHEREAS, the Norwich Golf Course Authority has annually advised the Council of the City of Norwich of its expected revenues and expenses for the upcoming calendar year; and WHEREAS, the Norwich Golf Course Authority anticipates it needs to expend additional funds during calendar year 2011 to meet operating and capital improvement expenses; and WHEREAS, the Norwich Golf Course Authority expects to receive revenue of $1,164,570.00 from operations during 2011 and to expend the same. NOW THEREFORE BE IT RESOLVED BY THE COUNCIL OF THE CITY NORWICH that the Norwich Golf Course Authority be and hereby is authorized to expend $1,164,570.00 in order to cover the cost of anticipated expenses during calendar year 2011. CITY MANAGER ALAN H BERGREN #210030  RESOLUTION #3 BE IT RESOLVED that Jennifer Christopher (R) be appointed as a member to the Uncas Health District to fill the vacancy due to the resignation of Deborah Monahan for a term to expire on January 9, 2013 or until a successor is appointed. Mayor Peter A. Nystrom  RESOLUTION #4 WHEREAS, the property located at 182 Cedar Street, the William A. Buckingham School, has been vacated and the city is in the process of securing the same; and WHEREAS, the cost of performing a hazardous material survey of the structure is estimated at $7,500. . NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF NORWICH, that a sum not to exceed $7,500 be and hereby is appropriated from demolition account # 15232-88110 to pay for a hazardous material survey of the aforementioned structure at 182 Cedar Street. City Manager Alan H. Bergren  RESOLUTION #5 WHEREAS, the Otis Library is our community library providing services for our youth and young adults; and WHEREAS, the Otis Library has continuing needs to stay current with new technology; and WHEREAS, the Millennial generation thrives on instant communication technology and the Otis Library needs to provide updated forms of communications and access to them; and WHEREAS, the Otis Library intends to improve access to social media technology available in the children and young adults department. NOW THEREFORE BE IT RESOLVED BY THE COUNCIL OF THE CITY OF NORWICH that the sum of $6,543.33 be and hereby is allocated from the Esther Gilbert Fund account, number S 4000‐8000, to be used for the upgrade of social media technology in the children’s and young adults department at the Otis Library. This allocation will use the remaining funds in the Esther Gilbert Fund account number S 4000‐8000. A statement of gratitude is given in memory of Esther Gilbert for her thoughtfulness on behalf of the youth of Norwich, Connecticut. H. Tucker Braddock #02015210