FINANCE CONTROL BOARD, October 16, 2007
Present: Chairman Christopher Gabrieli, Robert Nunes, James Morton, City Council President Kateri Walsh, City Clerk Wayman Lee (Mayor Charles V. Ryan enters while the second speaker is at the podium.)
Public Comment
City Clerk Wayman Lee: ...attention. We’re going to start the public speak-out portion of the meeting. All the veterans have signed up, but I’ll just go over the rules. Each speaker will get three minutes. At one minute, I will give you a time check; at 30 seconds, I’ll give you a time check; and at ten seconds I’ll give you a time check. We have six people signed up, so I would appreciate if you could keep your comments to the three-minute limit. the first speaker will be Miss Lois Smith.
Lois Smith: Thank you so much, Mr. Gabrieli and board members I am thankful to be able to speak to you. And, by the way, I want you to know, Mr. Gabrieli, (I heard you on WHYN this morning) and you quoted Charles DeGaulle, and I just want you to be aware that I am not in the cemetery yet—one foot maybe...OK? Anyway, I know that...
CG: [unintelligible] any such wish. For those who weren’t...it had nothing to do with any individual here personally.
LS: I’m just joking with you.. I know that you all have computer net access, and I’m hoping that you will pull up today’s ABC news issue in which they discussed at some length the KIPP schools (K-I-P-P, Knowledge Is Power Program schools) in New Orleans and Houston. Mr. Gates has given $18million, and the GAP has given $65million for the development of these KIPP schools. I want you to know that in New Orleans, where they have linguistic problems and poverty problems and ethnic problems and whatever, that the KIPP schools have no locks on the kids’ lockers, and they haven’t had one theft. Amazing. And the two gentlemen talked about that. 90%+ of the kids will go on to college or have the ability to do so. And they asked for a raising of hands: how many children’s parents went to college—a sparse two or three. How many kids plan on going to college? All hands up. It was really inspirational to watch. They’re all in uniform. They’re all happy and they’re all healthy. And I had brought this to Dr. Burke’s attention some three years ago, asked him to look at that program. I know that we’re restricted in terms of the number of charter schools we can have here, but there’s nothing to say that we can’t go to SABIS and we can’t go to KIPP and we can’t go to these schools that are doing such productive work and cherry pick those things that will make our schools more proficient.
I believe last night I spoke in front of the city council, and I was told by Mr. Foley that I shouldn’t say what I was saying in that venue. You all will receive a copy, through Ann-Marie Mahnken in your office, of the speech that I gave. This is the United States, and we really have to be able to look at the good and the bad, say it as it is, and be accountable for our words (which I am) and, hopefully, we’ll keep what we have here.
Recent articles in The Republican one headline is “Test Creates the Illusion of Proficiency” says enough. Another article talked about getting local vegetables and fruits into the schools. I went to the one and only meeting I attended on...that I was invited to, and I went to it and invited to join (which I didn’t) the health committee run by at that time Dr. Beech under Dr. Burke. I asked if I could use produce, fruits locally grown in our schools. The answer was “It’s illegal.” Now I find in the article that you will find in your office that another district is getting a grant, they’re getting paid to use local vegetables and such. Wouldn’t that be nice with our hungry kids?
Then there’s an article about Minnechaug which I also produced which has a fitness center, and I’m not asking that we do anything like that. But I’m asking for an hour a day of recess and physical education so that our children can have good health, can better learn and behave without being given drugs for bad behavior. That much we could ask Dr. Burke to do immediately, and we should be doing it. We have two extra hours that he has been granted for school, and no matter what you do with those kids, no child can sit in elementary school for seven hours. It’s impossible. At this moment, they only get 40 minutes a week of recess and p.e. which means an average of eight minutes a day.
Our schools are the only thing that keeps the poverty level rising in this community. Those with enough money to do so leave if they have children or they put them in private school, and poverty rises. We need to have an impartial citizens’ committee. The school board always supports the superintendent whatever he asks, because they have jobs and perquisites sustained by Dr. Burke. This control board must take action to see that the light shines on this travesty that is our school district. And we look at what can happen by viewing the ABC news today. It clearly shows what can happen by looking at these KIPP Schools and even reviewing what we have at SABIS right here locally and Minnechaug which seems to be also doing well. And I do thank you for listening.
WL: Our next speaker will be Domenic J. Sarno.
City Councilor Domenic J. Sarno: Good afternoon, James, Mayor Nunes, Chairman Gabrieli, City Council President Walsh, and Clerk Wayman Lee. I’m here to speak on two issues this afternoon. Again welcome to Springfield. One pertains to our police commissioner, Edward Flynn and his disingenuous statement as he vies for the chief’s job in Milwaukee WI. [Mayor Ryan enters the hall.] We are fighting a war on the streets of Springfield. And to have a commissioner who has been here less than 18 months already job hopping sends a very disrespectful tone not only to the residents of the city of Springfield, but also to the police department. People are looking for committed leaders here in the city of Springfield. And if the cards are on the table that this gentleman doesn’t want to be here, then it’s time to leave. And the control board should look at that very seriously, because again we’re fighting a war on the streets of Springfield. You need long term commitment. We have a plenty of talent here in the city of Springfield, and a message needs to be sent that this cannot be used as a testing ground. You either want to be here or you don’t want to be here.
My second issue pertains to the police supervisors who happen to be standing behind me. They are the last contract that needs to be resolved. And again I would ask the financial control board and administration to work diligently to get this resolved. They put their lives on the line every day of the year. Some of them are here with their young children. They deserve that respect. I know we’re working under fiscal constraints, but this needs to be resolved.
But again with Commissioner Flynn, if he doesn’t want to be here (and he’s shown it with his cards on the table) it is very disingenuous. I’m out there every day knocking on doors, community meetings, neighborhood meetings—people are upset. They want commitment. They want Springfield people, and they want them to be here, not looking elsewhere. If this individual had no interest in the Milwaukee WI job, then he should have said so and not fly half way across the country to interview for this position.
Thank you very much for your time.
RS: Our next speaker: Russell Seelig.
Russell Seelig: Ladies and Gentlemen, my name is Russell Seelig. I’m secretary of a group called Concerned Citizens for Springfield. It’s an all volunteer, non-profit housing development corporation that operates primarily in Forest Park. We appreciate what the city is doing in Operation Clean Sweep which cleans up blighted properties. But we think the city should be doing more in terms of boarded up houses.
In Forest Park itself, which is a significant neighborhood in the Southwest corner of the city, we count over 30 boarded up houses. Some of these are mortgage foreclosures. Some are in tax title. We have a couple that have been torched or burnt out in other fashion. Soon the Longhill Gardens condominium complex consisting of 211 condominiums will be boarded up. As we speak, people are moving out; there’re moving trucks there today.
We’re already asking various departments of the administration to more aggressively pursue approaches to reduce the blighting influence of these boarded up properties. The tax title process of taking properties that are behind in property taxes is notoriously slower than molasses in January. One single-family property in Forest Park now has a tax bill of over $100,000. Taxes have not been paid for twenty years. It’s been in tax title since 1993 (14 years), still is not owned by the city. That property now has no market value. The cost of demolition is likely to exceed the value of an empty lot. And yet it still carries an assessed value of $160,000.
We are asking the city to consider the use of law school interns to help move along the tax title takings as has been done successfully in Housing Code Enforcement for the past three years. The interns have been a major factor in moving Housing Code Enforcement forward. All these boarded up properties are blights on their neighborhood and are crime magnets, if not for the properties themselves, then for the surrounding properties where decent law-abiding citizens do not want to live and where desperate denizens (those without many housing options) take up occupancy, further running down the area with their disturbances and criminal actions.
For burn-outs, we ask Code Enforcement to declare them blighted until either they are renovated or demolished at owner expense. The Housing Court, under the State Sanitary Code, looks favorably on action against an owner personally, not just against the property, and can impose a fine (if asked for by the city) of $1000. per day until the influence is cleaned up. One example is 11 Warner Street which was torched—it was an arson—over a year ago that has no value and yet carries a significant assessed value today.
If we want to spur economic development initiatives, initiatives that bring a net positive cash flow to the city, we must...we really must present a city that is in control of its appearance. It’s important to be crime free. It’s important to have an educated work force. It’s important to have no graffiti, to have clean streets, to have attractive neighborhoods and also to have no long-standing boarded up buildings. Thank you.
Chairman Chris Gabrieli: Thank you.
WL: Miss Vera O’Connor.
Vera O’Connor: My name is Vera O’Connor, a resident of Springfield. Good afternoon control members. There has been a lot of talk lately about the $69million owed to the city of Springfield by the state. It is my understanding that this money has been owed since the 1970s. The city of Springfield owes the state $52million, and that’s a loan. And because of that, the control board was established.
I am beseeching you to look into the matter and to try and recoup this $69million so that the city of Springfield can repay the state the $52million, and we’ll be left with $17million. Wouldn’t it be nice? So we could also support the supervisors over there with that $17million. So, that’s my thought. I thought I’d....I think it would be a great legacy for the control board to leave this city of Springfield. So I urge you to consider this. God bless you all and I thank you.
WL: Next speak is Timothy Collins.
Timothy Collins: Good morning. I’m here to ask you to consider re-opening the teachers’ contract, particularly on the issue of value added. I have some homework for you. I’ve put together some packages for you.
There’s five things in the packages: number one is the arbitrator’s decision which was all around this value added system that superintendent wants to bring in. The city and the union spent tens of thousands of dollars on that, both calling experts and the arbitrator’s decision clearly states that this is not something that should be used to make high-stakes decisions about teachers. The second thing is a letter from Kathy Skinner, the Massachusetts Teachers’ Association head of the center for educational policy and practice. She indicates to you conversations that she had with William Saunders who refused to testify at that arbitration hearing and lists some of the flaws. Also listing the flaws, I have a position paper by the National Association of State Boards of Education, the Educational Testing Service and the Council of Chiefs of State School Offices from Washington, D.C.—all of which warn against using value added systems in high stakes decisions relative to teachers. I’m very concerned about this. We have 1960 teachers in their first five years, because of the actions of your predecessors on the Romney Healy finance control board. We hired 400 new teachers this year. Instituting practices like this is very uncomfortable for teachers and makes them want to leave our district. I’m also concerned about the bidding process. The RFP went out only had one responder, Mr. Saunders who has a vested interest, because he was named in the arbitrator’s decision that this is not what we should be doing. (I don’t think it’s good business practice to award $500,000. when you only have one responder to the RFP.)
I have another concern and I spoke to—along with other union officials—you Chairman Gabrieli and some other members here about the employee assistance program here in the city. To add injury to insult, it was privatized. I got a call from a member yesterday and told me something outrageous. So I called the number listed for Springfield’s E[mployee] A[ssistance] P[rogram]. Because I have the health insurance, I was directed to an 800 number. I dialed that 800 number; it directed me to another 800 number which was a pornographic chat line. Workers in the city who need help should not be faced with something like that. I called personnel to see if we can get this thing straightened out. Why in the world the old control board got rid of one employee who was there and responsive and helped our workers in need I don’t understand. But this is outrageous.
And, lastly, to my brothers and sisters that are standing behind me, if you read Constance Sweeney’s ruling on our lawsuit, the previous financial control board violated the law by freezing the wages. If you read the law today, there is absolutely no legal justification for these men and women who protect our city to have their contract and their wages frozen. Please act responsibly and legally and give ’em what they legally deserve. Thank you for your time, and I’ll leave these [packets] for you. [Applause]
WL: Our last speaker: Marshall Moriarty.
Marshall Moriarty: Good afternoon. My name’s Marshall Moriarty. I’m an attorney in Springfield, and I represent the Springfield Police Supervisors. My law office is in Springfield. I reside at 1350 Parker Street in Springfield, and I’m a registered voter in Springfield. One thing I’d like to say first is thank all the support of the previous speakers. I think they have said what we want to say today very eloquently. But hopefully I can add something to your thoughts when you consider the wage freeze of this Springfield Police Supervisor are under. First, let me say that over four years ago, the wage freeze was instituted by the then-Mayor Albano. Four years ago, let’s think what...where we’ve been in four years. I don’t believe there was an Iraqi War four years ago. I don’t believe some of us were mayor four years ago. I think some of us were contemplating running for governor four years ago. We had a Massachusetts resident running for president four years ago. Think where we’ve been over the past four years. And these men and women who put their lives on the line day in and day out have suffered a wage freeze for over four years. We...I concur entirely with Mr. Collins; the wage freeze is illegal. As far as we’re concerned, it’s immoral. As far as we’re concerned, we can see no justification for the wage freeze. There were 28 unions under the wage freeze. Now, there exists one whose membership over four years ago exceeded 80. Now it’s down to 66. We talk about economic development; we talk about the security of the city of Springfield, but you refuse for some reason to respect the men and women who put their lives on the line, who are the main force in the Springfield police department that provide the security and protection of the citizens of Springfield, the visitors and also the business people that come into Springfield. We have one simple message for you: please end the wage freeze now, right now. Please end it. Thank you. [Applause]
Control Board Meeting
Chairman Chris Gabrieli: Good afternoon. Having completed public comment and before going meeting agenda, I would like to move to have an executive session with regard to strategy on a non-collective bargaining personnel matter. It will be, I believe, a brief executive session. I realize some of you are here for other matters, but I also believe it’s important for us to do that. So....
**MOTION PASSES UNANIMOUSLY.
[Recess]
Potential Replacement of the Police Commissioner
Chairman Chris Gabrieli: OK. Thank you for your patience. We apologize, but a purpose of the control board is obviously to be able to support important actions and moments for the city. And we met in executive session to discuss strategy around the possibility—not the certainty—the possibility (it’s been publicly reported and ...) as we understand it of the police commissioner resigning (possibility)...and felt, given the importance of public safety in Springfield, that we...and any place...that we needed to understand both the current facts as well as what would happen should there be a need to make a change. So before addressing what to do if there’s a need to make a change, I’d like to ask the city counsel if he would please---am I saying the title correctly?—
City Solicitor Ed Pikula: City solicitor.
CG: City solicitor. Excuse me. City councilors are [gestures toward Kateri Walsh]... OK...city solicitor, if you please would clarify for us what the contractual obligations mutually are from the current police commissioner to us and from us to him with regard to his continuing employment.
EP: Certainly. The duration of the agreement is a five-year term. Under the first three years of the agreement, the commissioner cannot be removed unless we have just cause. and “just cause” is defined under the statutes of basically misconduct in office. Thereafter the other two years that just cause provision wouldn’t apply. And there are terms that deal with the fact that if we...if he resigns as the result of a suggestion of the city that we would have to pay him some severance pay. So those are the terms of this agreement. Any questions?
CG: So as I understand it, subject only...only for cause could he can be terminated by us.
EP: Yes.
CG: Nor could we ask for his resignation...
EP: That’s correct.
CG: Without incurring...if he resigned under that circumstance which is if he then went on and we had asked for it, we would owe him significant severance.
EP: Yes. It would be ill-advised to ask for a resignation due to the terms that say that if he did resign as the result of a suggestion after saying, “Hey, I’m willing to stay” it could trigger some legal action [and] us owing severance pay.
Mayor Charles V. Ryan: My understanding of the contract is that if commissioner Flynn were to resign now (by “now” I mean in the next matter of weeks) that he’d be entitled to no severance pay.
EP: That’s correct.
CVR: On the other hand, if the city (and by this, I assume, we’re talking the city government) formally suggests that he resign...called by office holders asking for a resignation, that would result in a necessity to pay 12 months salary, isn’t that right, as severance?
EP: It could trigger that severance clause....
CVR: That’s page 8 of the contract?
EP: On page 8.
CVR: Thank you.
City Council President Kateri Walsh: Is the commissioner required to give us a notice?
EP: There is a 30 day notice provision which the commissioner may ask for a waiver if he should decide to leave earlier.
KW: [unintelligible] ...the Mayor said, if he leaves on his own, we have no further obligations?
EP: That’s correct.
James Morton: In the contract, who is it that can suggest that he leave? Who has the authority to suggest that he leave?
EP: Under contract, no one, but if the city does formally request that could trigger the clause.
JM: And the city would be, whom?
EP: The city’s the city of Springfield. It asks through its control board or asks through the Mayor as its executive decision maker or its executive decision-maker or executive director of the control board if those powers are delegated to him.
CG: So...thank you. Any other questions? My understanding is that the police commissioner has done up to this point a good job implementing reforms and, I certainly know, joined the Mayor and me in advocating the administration and increasing funding for police officers which they have helped us out with in addition to the control board’s decision to proceed. I’m assuming, and I believe all of us are assuming, that you, Mr. Mayor, and you, Mr. Lisauskas as executive director, continue with him as with all employees to confirm that he is meeting, you know, his duties...we’re not...he continues to perform his duties. And I assume you would inform us if you thought otherwise (and you have not). Is that a fair assumption? So I don’t believe that we have an employment decision to make as an organization at this point.
However, I do think it is important—I think we all feel it’s important—that we not leave any room for a situation in Springfield where there was ambiguity about whether there’s clear, well-informed, competent leadership in place for the police department. And so, based on that, I would like to make a motion to empower the Mayor and the Executive Director of the control board to immediately appoint a acting commissioner of police in Springfield should that need arise through the resignation, potential resignation, of the police chief [sic] between meetings. I don’t want there to be any...I would argue that we should not have any, you know, bureaucratic impediments to appropriate leadership in...and I know the Mayor has strongly encouraged that point, and I think it’s a good point.
As to a permanent commissioner, should that arise, I think at the next regularly scheduled meeting of the control board, we would take up the question of what process would be appropriate: a national search, no search.... You know, we had a search relatively recently. You know those are issues that are well worth discussion. All three of us who are new to this board, you know, know nothing of the past history. I think you [KW] know something, although you weren’t on the board. The Mayor is the only person.... You [SL] weren’t the executive director either, so I think some facts would need to come forward. We would take that very seriously; it’s a very important issue.
I’ve thrown out an important motion. I don’t want to cut off any discussion.
Robert Nunes: I second.
CG: Thank you. Any discussion before we take a roll call vote on the motion?
KW: Mr. Chair, I would just like to say that I think it’s very important for the people of Springfield to know that there’ll be no break in public service.
CG: Thank you.
WL: On the motion to empower the Mayor and Executive Director to appoint an acting police commissioner if the need arise
**MOTION PASSES UNANIMOUSLY.
CVR: I’d like to indicate, Mr. Chairman, that immediately upon the closing of this meeting (it’s a short agenda) with this source of the board, Mr. Lisauskas and I are ready to communicate at the end of this meeting what our choice would be if this eventuality is necessary.
CG: Terrific. OK. Thank you. To the official, or the original, agenda.
Executive Director Steve Lisauskas: Thank you, Mr. Chairman, I would like to...
CG: I would like to indicate that we did discuss strategy, but no votes were taken in executive session.
SL: Thank you, Mr. Chairman. Behind your agenda is the minutes. I would ask if there’s a motion or any further changes to make...otherwise move for approval.
**MINUTES APPROVED UNANIMOUSLY.
Transfer of Property – 31 Elm Street
SL: Thank you. The next two items on the agenda, as the board members are well aware, a priority for this board and a priority of the Governor has been economic development. We’ve been acting through our chief development officer, David Panagore who will be presenting the next two items, both property transfer items related to the future economic development of two particular properties in downtown...in the neighborhood of downtown.
Chief Development Officer David Panagore: Mr. Chairman, Mr. Mayor, board members. Thank you very much. Before you first on 101603 executive order related to a transfer of certain parcels related to the...what’s called the “Court Square Building.” This is, as we all know, on Court Square. You’ll also see in your package a...next to your desks there, a graphic like this [hold up street plan for south side of Court Square].... Anybody in the audience did want one I could have a few extra copies. The...what you have is before you for the Court Square project is identified three parcels of land (one, two and three) these are tax title properties. The request before the board is that you transfer these from the city that are currently in tax title to the Springfield Redevelopment Authority, to delegate to the Mayor at the appropriate time to transfer those properties to the Redevelopment Authority. The Redevelopment Authority this past month...if you look at right next to parcel two, you see a rectangular parcel of land. There is another parcel of similar size directly abutting that: those two parcels of land, the Redevelopment Authority acquired directly through eminent domain this past month, have already settled the value of the parcel of land immediately next to the number two. This will, in a sense, square off the parcel. And we would be then, through the Redevelopment Authority, moving forward later this fall to issue a request for qualifications (which would also include a request for proposals) to qualified developers to redevelop the Court Square property.
With this vote, the control board would be authorizing the transfer of these three parcels upon minimum terms that the Redevelopment Authority that all funds that may arise upon the sale of these parcels would fall back to the city in payment of back taxes that were owed on these properties minus third party costs (meaning costs incurred by the Redevelopment Authority to, say, hire somebody to fence the property or to do a title search, something like that) in addition to a 7% overhead charge for those matters that the Authority might incur above and beyond that they could not find reimbursement for.
With that, I invite any questions of the board on this matter
CG: Mr. Panagore, I’m just curious on the diagram as shown there’s some areas next to parcel number three as well? Is that also...
DP: Next to the L-shaped parcel, immediately adjacent number three, that’s actually a public alleyway. You’ll see that if you and then you’ll see another slender parcel right below that about, say, call it eight feet wide by maybe 40 feet long sort of. That’s actually part of the property that abuts Main Street, so the access to the back area of that lot would be through the public alley immediately adjacent what’s identified as property number three and as well through the area known as property number two.
CG: Any other questions?
**MOTION PASSES UNANIMOUSLY.
KW: Mr. Chairman, I have a question, but it’s not on the parcel today, but I wonder if there’s anything new with First Church? It’s not indicated on the map, but it is certainly important piece of what’s going on.
DP: First Church...we’re continuing our discussions with First Church. The city voluntarily moved, acting actually through the Redevelopment Authority, given its adjacency to this parcel, to undertake an appraisal of that property. We undertook that. We’re having discussions with the...with First Church right now about that. It wouldn’t be prudent right now to go into those in detail, but certainly it’s a priority for myself, for the Mayor, and whether the Mayor wishes to further comment, I so leave.
CVR: I think that’s fine where you are.
KW: Thank you.
Transfer of Property – Taylor Street for Worthington Street Land Swap
DP: The next second before you is...I believe it would be numbered 101604, an executive order approving other parcels of land. I will go into that in a second. The...under the Chapter 169, the enabling legislation for the control board, the control board is authorized (and the control board has used this on prior occasions)...the control board is authorized not only to purchase, sell or lease land, but also to be able, upon making certain findings, to dispose of land or enter into contracts without the...without abiding by the particulars of Chapter 30B, the state procurement law. The board is required under that to make certain certifications and, if you...if the board so pleases, I would first move through that and identify the parcels. On p. 2 of the order, you would find a second paragraph...second full paragraph “whereas the board finds the decision to engage in a land transfer with SFC is necessary and essential” (that’s a first finding). Second finding would be the certification that it was an arms-length transaction, that would be the next clause. And the third, the...would be as well now under the “now therefores” you will find “that we are required to provide notice to House and Senate committees upon the approval of the board prior to the transfer.” As you can see, what it provides by this is a series of findings and then a series of public notices to the state to ensure that a arms length transaction has occurred, that no self-dealing of any sort has occurred. That’s the general authority that the board has under Section 9B of the statute.
In this matter what you will find attached here, you will find a graphic. On Taylor Street, there is the Performance Food Group facility; this is also called Springfield Food Service. Performance Food Group is relocating in the city to the Smith...the Springfield Smith and Wesson Industrial Park on Roosevelt Avenue, building a new $30million facility. It so happens that this facility on Taylor Street has been leasing for any number of years prior to this administration the properties across the street for its parking. This parcel is marketable with parking (their current facility). Without that parking, it’s not very marketable (employee parking, etc.)
They also have purchased properties on Worthington Street where the city owns property. So we are before you today to discuss a land swap whereby the city would swap certain tax title property on Taylor Street for the property on Worthington Street. Thus the city would be able on Worthington Street to assemble a larger parcel, while on Taylor Street, the Performance Food Group facility would be able to have parking so that that property could be marketable, so that we can move a new user into the city in that current facility.
In order to arrive at an arms length transaction, as you’ll see on the second page of the board order, we sought the advice and engagement of the chairman of the board of assessors. And the value of the two properties to be transferred by Springfield Foodservice to the city are valued at $384,600., and the four properties to be transferred by the city to Springfield Foodservice would be $49,000., and, in addition, we may incur $16,000. of demolition costs for a small building on those properties.
You will also see in your packet a letter from Springfield Performance Food Group signed by Sean Griffin, the president and CEO, indicating their excitement about their relocation and their expansion of business in Springfield and their acceptance and knowledge of their proposal to swap these properties and their agreement thereto on the terms and conditions on the board order. So, therefore, we are before you today to request the board’s authorization to enter into agreement with Springfield Foodservice (also known as Performance Food Group) to transfer these parcels, to engage in a land swap, to provide appropriate notice to the House and Senate committees and to do so forthwith so that when the Performance Food Group opens later this month, we’ll immediately be able to work with them to market their existing facility so a new user may go to the site.
CVR: In all cases, it’s true that the Secretary of Administration and Finance has to sign any one of these deeds along with the Mayor?
DP: Yes, absolutely. As an additional requirement, the Secretary of Administration and Finance is required to sign off on all sale or transfer of any parcel of land from the city.
CVR: OK.
KW: May I ask at any point is there interest in the property that’s being swapped or is it too soon?
DP: It is both too soon and, primarily, the responsibility lies with Performance Food Group. But it is a refrigerated warehouse of several hundred thousand square feet in size, well over 100,000. And so therefore, there is significant interest in it as a readymade, you know, turn-key facility. Part of the constraint on though is that they haven’t had any parking for employees, and we need to formalize that.
KW: OK. Thank you.
JM: [unintelligible]...proposed uses for the Worthington Street?
DP: At this time, no immediate...but given the adjacencies of other uses that the city is interested in assembling those...the police station is there, the proposed, the state has recently come forward on the matching funds for a homeless resource center is also there, and so assembling that strip of land along the side seems like a prudent preliminary move.
**MOTION PASSES UNANIMOUSLY.
CG: Just want to compliment you, Mr. Panagore and everyone else who’s worked on this land swap looks like a very attractive move that certainly, if you believe the assessed values, very favorable to the city and, more importantly, if you look at the benefits to supporting a company that’s expanding here, creating a spot that can take further jobs, creating an opportunity, you know, on Worthington Street.
Nice to see the Court Square motion so, you know, we have long-term plans, but it’s nice to see these short-term real actions happening. So thank you very much for that, and hope we all can continue to make that kind of thing happen.
DP: Thank you.
CG: Make the chairman look good.
DP: Thank you very much.
CG: ...and members.
Appropriation for Federal Mandate – Levy/Dike Work
SL: Thank you, Mr. Chairman. Number...the next item on the agenda is appropriations order 10-16-05. It’s a request for an appropriation to fund levy and dike work along the riverfront. As members, I’m sure, can easily recall, about a couple of years ago, Hurricane Katrina hit down in Louisiana, and with levies and dikes failing, resulted in some significant flooding of the city.
As Springfield experienced flooding many, many, many years ago (very significant flooding like many other cities and towns did) and the Army Corps of Engineers proceeded to create a system of levies and dikes in Springfield along the Connecticut River. After...in the aftermath of Hurricane Katrina, the federal government has required a survey of levy and dike systems in various cities and towns, and Springfield was one of them, being along the Connecticut River in a flood plain, that the survey that was conducted indicted the need to do slightly over $1million worth of work along 3.5 miles of levy and dikes in Springfield. So it would be repair and maintenance of over $1million worth of earthen berms and dikes, concrete flood walls, and other structures designed to protect Springfield primarily...significantly downtown Springfield, but Springfield in many significant areas along 3.5 miles of the river from any potential flooding.
The work is required by the federal government. There could be some impact on insurance rates for property owners if the work is not conducted. It needs to be conducted...it needs to be completed (excuse me) by early...late winter, early spring. DPW, in anticipation of working on a very tight timeframe, has put the project out to bid, and the requested transfer of $1, 056,780. is the exact...is the bid price amount from the lowest price vendor. The source of the appropriation...the control board acting about a year ago, maybe nine months ago, transferred $3million into a stabilization reserve fund for capital. And that fund was created understanding that at some point needs, capital needs, will arise. It’s approximately, as I mentioned, $3million in that account. This would, by 2/3 vote of the board, move $1million from that account to fund what is a federal mandate. Be happy to answer any questions.
CVR: Federal government made it very clear that this is a must do, and if it isn’t done and done in timely fashion, it turns the prop...the Corps of Engineers turns it over to FEMA who will then de-certify all of the properties along the river that now are eligible for flood control insurance. So it’s a...they’ve got a big stick on this one.
KW: So this basically is a federal unfunded mandate, and the federal government mandates it, but they don’t give us any funds to do it.
SL: That’s correct.
CVR: That’s right.
KW: ...which doesn’t seem quite fair, and I’m sure you’ve run into that before.
RN: State and federal. Right, that’s it. That’s right.
JM: Are we aware of whether any adjoining communities have the same responsibility?
SL: They have, and two or three adjoining communities have already funded that work. They funded it within the last month.
CVR: Springfield and Chicopee.
KW: If you don’t do this, they somehow penalize you, correct?
SL: They penalize the property owners by, as the mayor indicated, de-certifying them for flood insurance.
CVR: It’s really an enormous penalty. We couldn’t afford to let that happen.
CG: The safety benefits, but it’s tough to [unintelligible] There’s compliance benefits and benefits to taxpayers who count on us to do that, so...
SL: Absolutely.
CG: Any further discussion?
**MOTION PASSES UNANIMOUSLY.
Executive Session to discuss litigation, collective bargaining and real property.
**MOTION PASSES UNANIMOUSLY.