Granting TIF a key to memory care facility project

By Wayne E. Rivet

Staff Writer

Matthew Walters believes Bridgton is the ideal location to build a 48-bed memory care facility.

To make the financial numbers work, however, Walters says the project will require a TIF — tax increment financing.

What is a TIF? It is a public financing method that is used as a subsidy for redevelopment, infrastructure and other community-improvement projects. Through the use of TIF, municipalities typically divert future property tax revenue increases from a defined area or district toward an economic development project or public improvement project in the community. TIF subsidies are not appropriated directly from a municipality’s budget, but the municipality incurs loss through foregone tax revenue. 

A TIF has to be approved by voters. Bridgton currently has three TIFs — one for the Magic Lantern, one for Route 302 project and one granted to a senior housing project off Harrison Road.

Walters, who is the managing member of Woodlands Senior Living (WSL), appeared before the Selectboard Tuesday night via Zoom to gauge their level of interest in supporting a TIF before starting the planning and project approval process.

WSL is a Maine-owned company with 40-plus years of experience. It has facilities in eight Maine locations, and for the past 20 years has specialized in memory care facilities.

Walters, whose father Lon had appeared twice before local officials regarding a proposed project here, said Bridgton is “underserved” in terms of assisting those with memory impairments.

WSL has entered into a purchase/sales agreement for two lots (total about 17 acres) on North High Street, contingent upon TIF and Planning Board approvals. At this year’s town meeting, voters cleared a path for the project to be considered by amending the Land Use Ordinance to include such facilities in that district.

“This project would bring significant economic benefits and added value to the tax base,” Walters said. “The model has been tested and proven to be effective.”

The facility would cover 24,000 square feet and would be similar in style to projects in Madison and Farmington. Citing cost and size, Walters said only a memory care facility will be constructed. 

“We like the location. It sets up nicely for what we want to do,” he said. “It wouldn’t be sufficient to expand beyond a memory care community.”

The facility would create 32 to 35 full-time jobs, Walters noted.

Selectman Bear Zaidman said Walters should talk with Wastewater Engineer Brent Bridges regarding the cost to install a sewer line from the proposed memory care site to connect with the town’s wastewater system. The town, at one time, considered pushing the expansion out to Route 93.

Walters will check into it, but also noted that if the project gains approvals and construction can start as planned, developers would not want to delay completion due to the wastewater system not being ready to go. The target date to open the facility would be spring or summer 2022 (Walters figures it will take 14 months to develop the project).

Regarding the TIF question, Walters said Farmington agreed to a 100%, 10-year model while Madison went with 85% over 15 years. Walters reiterated the need for a “high percentage up front.”

“We need to recoup extra investment to develop the project sooner than later,” he said. “We’re flexible if it’s more aggressive on the front end, where we get the greatest benefits to offset costs.”

Selectman Paul Tworog asked that Walters provide tables outlining other TIF agreements WSL negotiated, regardless if the TIF has since expired, so give local officials points of reference. Chairman Lee Eastman would “love to see the project go because I see a need” but he is hesitant about agreeing to a 100% TIF. Other officials agreed that 100% may be too much to their liking, but are willing to see what figure can be agreed upon.

Eastman also asked if Walters could provide visuals regarding what the project might look like. Walters agreed to the request, but also pointed out that officials could get a good idea about it by taking a “virtual tour” that is available on the WSL website.

More discussion will take place at the next board meeting on Nov. 24.

In other business:

Lake level draft questioned. As part of creating a formal policy regarding management of lake levels at Woods Pond and Highland Lake, a draft proposal was to be sent to lakefront property owners for review and input, which the selectboard would consider at their Nov. 24 meeting.

Officials looked to use Lakes Environmental Association’s mailing list to reach out to these owners, but apparently, the list proved incomplete. Deb Brusini, who is president of the Highland Point Association, said their group failed to receive a draft copy. Officials planned to get one out to her.

Barry DeNofrio did receive the draft proposal, but didn’t like what he saw. A long-time water level recorder at Woods Pond, DeNofrio cited incorrect numbers in the draft, and had asked that they be corrected and a second notice sent out to lakefront property owners. “That’s the proper response,” he said.

“It has to be put out in a factual manner,” he told the board Tuesday night. “You may be entitled to mistakes, but it needs to be corrected.

In a letter to the board, DeNofrio questioned language used in reference to water levels. 

“First, the phrase ‘Seasonal High’s and Low’s’ is not correct. Those terms refer to lake water levels. The correct term should read ‘Seasonal Dam Settings.’ Below that the ‘High’ should read ‘Summer.’ The ‘Low’ should be ‘Winter.’ The Selectboard can notset the lake levels, that is Mother Nature’s job. The Selectboard can determine ranges or targets,” he wrote.

DeNofrio called attention to inaccurate lake settings, and noted that the process the town followed this year in lowering Woods Pond proved to be a “disaster,” saying the beach area was “flooded” on Election Day and erosion had occurred.

Selectman Bear Zaidman cut off further discussion noting the issue was not an agenda item, but would be fully discussed at the Nov. 24 meeting.

Signing off. Jim Cossey thought a solution to slowing down motor vehicle travel on Highland Road was on its way.

After presenting a petition to town officials regarding speeding, Cossey met with Police Chief Phil Jones to discuss options. One was to purchase a solar-powered, computer-style speed limit sign, which neighboring Harrison has found to be an efficient deterrent. The sign not only flashes if a motorist is exceeding the posted limit, it also records speeds and time of day, giving law enforcement good travel data. The cost of two devices is $5,744. 

To get the ball rolling immediately, Cossey received donations from Upper Highland Road residents to cover the cost. Cossey found that if the money was donated to the Police Department’s Donation Fund, he would not have to pay sales tax. The town would pay for the signs and take ownership of the devices. The signs were ordered, and would be delivered this month.

As part of the deal, Cossey sought for the town to reimburse donors by including money in the next municipal budget.

Selectmen immediately hit the brake.

First, Chairman Lee Eastman chimed in, “I don’t see how it works. It doesn’t add up. You say it’s a donation, but then ask to be paid back. That doesn’t qualify as a donation. My opinion, we don’t take the money, it’s not proper protocol to handle it that way.”

Selectwoman Carmen Lone felt Chief Jones followed board instructions to look into the problem, develop some options and bring them forth to the board. 

“We did not talk about purchasing new equipment. This is like someone creating a budget for us,” she said. “I understand they (Highland Road residents) are passionate about it…but we didn’t approve this.”

Chief Jones had conversations with Maine DOT, and found that current speed limit signs (which cost about $150) should be relocated to be more effective.

Selectman Fred Packard added, “I agree, it is not being funded the proper way. We have to have it in the budget; it’s not a great year to begin with. I am not saying it may not be necessary, it’s highly traveled, but this is not the way to do it.”

Town Manager Bob Peabody noted that citizens are not authorized to place speed limit signs. Speeding is a problem in other areas of town, as well, so the selectboard said they need to consider options that serve all and not a fewresidents.

Cossey offered to donate the money so the town could buy the signs, but the string attached would be the signs be placed in the Upper Highland Road area. 

The selectboard, however, felt if the donation was accepted and the town owned and maintained the signs, it should decide best use, be it on Highland Road, at times, or in other perceived trouble spots, like Kansas Road and North High Street.

Chief Jones noted that Harrison moves its signs, and puts them in storage during the winter months to preserve their longevity.

Eastman again emphasized the need to follow protocol. He cited how speeding was a concern near Highland Lake Beach, and a solution was worked out — the placement of removable speed bumps.

Before a vote on the issue, Eastman wanted some clarification, asking “I thought a gift is a gift, and the town may want to move them at some point, it has to be understood.”

Cossey responded, “I’d have a hard time agreeing to that.”

The motion to accept the donation was turned down, 4-1 (Packard voting yes).

Lone asked Chief Jones to develop recommendations since “we still have the problem and we still need to solve it.” A traffic study was suggested, but will likely not occur until next summer when activity is busier in that area.

The Chief said one problem with using the town’s mobile message board is it is too wide to park on the side of the road. Peabody said the town could ask a property owner to place it on private land, but he would strongly encourage obtaining a temporary easement, and not “just a handshake,” to cover the town’s liability.

With the negative vote, Cossey hoped to be able to cancel the sign order.

In another travel matter, Eastman requested that a stop sign be placed at the end of Narramissic Road after he was nearly hit twice. The road is a town road, and Chief Jones said the request was “very much appropriate.” A sign will be installed.