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If 4-Corners Businesses Don't Want Sewer, Town Will Abandon Plan

Town Manager Mark Haddad told the Finance Committee Monday night that he is "not going to support the municipal sewer proposal for the Four Corners unless the businesses want it."

He stressed that he is working closely with commercial property owners in this area, adding that no one has opted out as the actual district delineation has not yet been created by the Board of Selectmen. He quickly added that both Ixtapa and Craven's Package Store cannot expand and "so the issue is do we leave them out or put them in?...Until the district is created, no one can opt in or opt out." He said that this district would have "nothing to do with the Center Sewer District" and would have a separate Enterprise Fund for its operation.

There are four articles addressing the Four Corners Sewer project on the Spring Town Meeting warrant. The first is to establish the sewer district. Those included in this district would be required to pay full cost of the project - estimated at close to $3M, including engineering and the actual construction. Payment would be made through betterments with an assessment for each property in the district.

Haddad advised that there is a potential for a Mass. Works Development Grant, with grant applications going out in June for 'shovel ready projects.' He suggested, "Maybe we appropriate the $285K for engineering and then when we go to apply for the Mass. Works Development Grant, if we get it, it is a no brainer." The $285K would be paid back to the town through betterments.

There is another potential source of money, if the Town declares the Four Corners as an Economic Opportunity Area, where businesses would be eligible for a 10 percent tax deduction through the state.

Haddad stressed that the "Betterments are for all in the district whether you want to opt out or not." FinCom member Bob Hargraves asked what the maximum tax revenue would be for a full build out, and Haddad's estimate is $93,874. This amount is a best guess on what can be built on the vacant 16 acres owned by New England Power, and projects ue of $40K.

Asked what happens if New England Power has no plan to develop anything on its 16-acres of land, Haddad responded, "Too bad. They will just have to pay."

Selectman Jack Petropoulos calculated that without New England Power's estimated tax revenue for a full build out of their property of $40,941 and the $17, 137 from the Joe Wong property which the town would get either way because Wong also has the option to build his already approved septic plan, that "the best case is that we will get $35K in tax revenue per year."

He pointed out that if the town agreed to provide a 10-year Tax Incentive Financing (TIF's) to these owners for build outs, it would take years just to get to the $35K in new tax revenue.

FinCom Chairman Gary Green, a resident near the Four Corner area cautioned that it is not just about "economic development but also a potential for economic blight. It is almost a picture perfect failure of economic development. Be careful. The whole argument is not just economic development."

Resident Kevin Lindemer asked, "How many [commercial] property owners came to the town and asked for sewerage so they could build out?"

Selectman Anna Eliot replied, "Our citizens asked us. I have been approached by business owners who want to come here. "She added, "Most parcels in the district are already approved except New England Power."

Haddad noted that it is really Shaw's Supermarket, Joe Wong and Steve Catalano, owner of Dunkin' Donuts properties that are the businesses that would be affected, adding that, "New England Power doesn't count." He reiterated, "I am not going to support it unless the businesses want it." FinCom member Art Prest added that New England Power would most likely just fold any costs to them into their rates.

According to Prest, Shaw's Plaza can't lease out space there because it doesn't have sewer there. He noted that medical offices, salons and food service would all need sewerage.

His colleague Bud Robertson replied, "Shaw's is the only one that knows whether or not what Art says is true. Those at corporate will make the decision. If they say yes, I'll support it. If they say no, I won't support it."

With seemingly more questions that need to be addressed, the Finance Committee took no position, pending additional information that should be available for their next meeting.

Groton Herald

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