MINUTES - Special - 3/30/2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Continuation of Public Hearings of the Salem City Council was held in the Council
Chamber on Wednesday, March 30, 2016 at 6:00 P.M. for the purpose of discussing
conveying a portion of 297 Bridge Street for the sum of $10,001.00 and land disposition
agreement and conveyance of land to Sun King LLC for the sum of $990,000.00.
Notice of this hearing was posted on March 10, 2016 at 10:03 A.M.
Councillor Gerard arrived at 6:20 PM. All other Councillors were present
Councillor Josh H. Turiel presided.
In attendance were the following: Mayor and representatives from F.W. Webb
Councillor McCarthy moved to take up the matter of Land Disposition Agreement
first. There were no objections
#8 - LAND DISPOSITION AGREEMENT AND CONVEY A PORTION 297 BRIDGE
STREET 52,491 SQUARE FEET (FORMER UNIVERSAL STEEL) AND 311 BRIDGE
STREET, 2,015 SQUARE FEET TO SUN KING LLC AFFILIATE OF F.W. WEBB CO.
FOR THE SUM OF $990,000.00
#7 - CONVEY A PORTION OF 297 BRIDGE STREET 1,260 SQUARE FEET KNOWN
AS PARCEL B TO SUN KING LLC FOR THE SUM OF $10,001.00 WITH A
PERMANENT PEDESTRIAN AND VEHICULAR ACCESS ON THE ENTIRE PARCEL
FOR THE BENEFIT OF 30-32 BECKFORD STREET
Councillor Famico made a statement that Robert Goss Kennedy also recording with a
video camera form inside the room
Mayor Driscoll gave an update. She stated that the maximum TIF cannot exceed
$1,400,000.
Also:
1) Regarding soils management after the City and F.W. Webb LSPs spoke at last
meeting there are still concerns. The city feels it will be worthwhile to add additional
oversight of monitory by our LSP Weston & Simpson as construction takes place.
We will put our own LSP on the site, it’s an extra set of eyes.
2) Design, rendering submitted is not likely to come out the same way. F.W. Webb
designer works with the DRB even if not required have used this before where the
architects get together to vet out problems and to brainstorm views and opinions.
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Planning Board also does a good job of overseeing design to make the project much
better.
3) Hazardous Materials, for long term liability the city retained council to work with our
City Solicitor. Since it was taken by tax title not a contributor to the site and are
taking future steps.
4) Follow up with direct abutters on new concerns and provide additional information
Councillor Dibble – asked the Mayor, how we can make your comments part of the
Package of the selling price sand TIF. How can we make them meet with the DRB and
Historic Commission and make this concrete, and the liability issue working with counsel
how can we make this part of the package?
Mayor Driscoll responded the Purchase & Sales agreement is recorded at the Registry of
Deeds the conditions will be wrapped into the LDA. Environmental Counsel exist within
how Brownfields can be redeveloped and why we obtain extra protection because of tax
title.
APPEARING IN FAVOR: None
APPEARING OPPOSED:
Cindy Johnson, 13 River Street – she read a letter from the Federal Street Association
Opposed. 5 actions, detrimental to quality of life. She also read her own statement.
See Next Page.
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Lisa Spence, 17 ½ River Street – is opposed to the sale. It raises human health and
safety risk. Piles being driven still contamination under the cap AEG- disclaimer does not
and cannot guarantee safety. Dust monitoring will not stop dust. SunKing LLC did not sign
EPA Financial.
Jeremiah Jennings, 18 River Street – is opposed. The bid should be rejected due to non-
conforming. Showed pictures of how he was dressed on five different contaminated sites.
Jane Arlander, 92 Federal St., Salem read the following statement see next page:
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
David Hart, 104 Federal St., Salem – Stated he was a member of the Historical
Commission but tonight he represents himself. He stated that the pile driving vibrations
transmitted may cause damage to nearby houses and the other potential problems are
noise factors and soil sediment.
Elizabeth Nugent, 12 River St., Salem – Asking Council to please consider the current and
future residents. The site has been capped see no reason to uncap it.
Melissa Hankens, 16 River St., Salem – Urges safety of children please vote no.
Peter Nugent, 12 River St., Salem – Opposed for various reasons: Finance, Economics,
Spot Zoning, Health Reasons and Risks, Airborne Toxins, nothing makes sense doesn’t
add up. Hand written flyer passed out from people who worked on the site. He use to
pass the site walking to the train and started talking to the workers; maybe that’s why they
sent flyers. Thanks to the Council for letting everybody speak. You took this job to make
Salem better not just to follow the Administration. Vote for Vision, What you Think,
Legacy.
Patricia Ranen, 190 Bridge St., Salem use to live at 82 Federal St for 36 years. They had
no air conditioning so windows were open and kids played in the backyard. Had Pituitary
Brain Tumor at 16 years old. Had 2 surgeries and radiation. Chief of Neurosurgeon at
Boston’s Hospital. Entered son into research study for Environmental concerns very rare
to be diagnosed as a child. Very bad to allow this proposal and to put children at risk.
Connie Arlander, 91 Federal St., Salem read a letter from Jim McAllister (86 Federal St.,
Salem) – See Next Page
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Resident from 190 Bridge St., urged the Council to vote No. Has lived in Salem for over
40 years and loves its history, even earns a living from the tourist industry. Do not allow
city to rezone and redevelop to destroy a historic neighborhood.
Ian Cox, 2 River St., Salem – His house is completely exposed to the project. He is
rd
expecting his 3 child. They have capped the site and asks Councillors to vote No and
protect his family.
Steve (?) – Real Estate Appraiser for 28 years. This project will have an impact on the
value of homes on River St. and abutting streets. After walking around the neighborhood
and the project feels will have a negative effect of 10-15% on home values because
utilities are on the roof and causes noise. The design of the building is like a Canyon
created to magnify sound. When windows are open because of no A/C you can hear
sounds like the beeping of trucks backing up.
Chuck Von Bruns – 3 River St., Salem – Opposed to the sale of Property and Beckford
Way. FW Webb is not bid compliant. Bidder to meet conditions or the bid should be
rejected – did not meet requirements “as is” bid. They put conditions in there RFP. Their
RFP itself paid out of escrow fund, states Webb payment held in escrow, then rescinds
escrow provisions and asked for TIF instead to equal the cost of remediation. Despite
what the Mayor says not a Limited TIF. Still a non-compliant bid, should have been
rejected, preferential treatment given to Webb. Minimum bid $600,000 not $1M. Nobody
knew. At the last meeting, he gave a 10-year analysis; update of his 10-year financial
plan only paid if property sold not repaid if not uncapped. Best Business Decision would
be for them to move within Salem. Why is the administration bending over backwards?
Why is the city willing to offer a $1Billion Company a tax credit of $400,000?
Fred Biebesheimer, 17 ½ River St., Salem – Opposed to the Project and the TIF. The
sealed bid was non-compliant. Why offer a TIF if not leaving Salem; every business will
want a TIF – Giving away public property at no cost. Spot Zoning is being proposed will
forever change feel of Salem. Once zoned B-4; always be zoned B-4, it will be destructive
to the McIntire District. Reject the bid, keep residents safe and keep the parking lot.
Steven Sass and Ellen Golub, 92 Federal St., Salem – Read the letter below:
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Resident (?) – Speaking for herself and 9 other Tenants - For 6 years has served as the
“super” a lot of work has been done in the interior and exterior. Tenants concerned about
health risk. A lot of people are afraid.
Anne Whittier, 10 River St., Salem – She is against Webb. She also read a letter from her
neighbor Carol Carr, 7 River St., Salem who is opposed to the bid.
Tim Jenkins, 18 Broad St., Salem – Read his following letter – See Next Page
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Constance Arlander, 91 Federal St., Salem –
Read her letter – See Next Page – Opposed because of Parking
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Jim Kearney – 1 ½ Cambridge St., Salem – Spoke about the Universal Steel Parking Lot
Analysis Needs vs Supply – See Next Page:
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Lou Sirianni, 6 Botts Court, Salem – The RFP should not be accepted based on two
principles. First, the RFP state any response should be compatible with the surrounding
neighborhood. And this is the wrong use. Secondly, the RFP requires “As Is” no
qualifications in proposal but two were submitted with FW Webb’s proposal a) TIFF; b)
Remediation Costs. Webb is still free to redevelop red brick building into condos for
example but the 35’ high plumbing supply building is detrimental and should not abut our
oldest historic streets.
Victoria Sirrianni – 6 Botts Court, Salem – Opposed to the Proposal. Only you Councillors
can stop it the general public does not receive benefits from this and it puts our health at
risk. Ms. Sirrianni read her letter. See next page:
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Jan Eschauzier, 15 ½ River St., Salem – Opposed to project
See her letter on the next page
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Justin Whittier, 10 River St., Salem – Opposed to proposal for two reasons – 1. NRCC
Master Plan and 2. Flood Hazard Overlay District. FW Webb is not allowed by use and no
B-4 in the NRCC.
Alex Marks, 8 Botts Ct., Salem – Two comments regarding Sun King’s Proposal. First,
Sun King ‘s bid is likely below the land’s fair market value because the City of Salem
appraised the land based on B-1 Zoning. The city’s land appraisal of $990,000, which
was used to estimate a fair market value and to establish the RFP’s minimum bid, was
based on zoning that limits lot coverage to 40% and building height to 30 feet. Sun King
met the minimum bid but also asked for B4 zoning, which allows up to 80% lot coverage
and 45’ building height. The City did not re-appraise the land based on B4 zoning to more
accurately reflect the fair market value of the parcel in this transaction. If approved, the
City will be conveying this parcel below its fair market value. Secondly, Sun King’s bid
creates a “buildout” risk. Sun King and any subsequent owner can build with 80% lot
coverage, no setback in front or on the sides, 45’ high and use enclosed parking to meet
those requirements. If Sun King were to resell the land or if another company purchased
the business, the value of these more generous building rights might be exploited. A
review of the Planning Board’s deliberations before approving the zoning change shows
no discussion of this buildout risk. While it is clear that FW Webb does not plan to
buildout to a B4 maximum, I think it is important for the City to consider today, the
potential unintended consequences of B4 zoning before ceding ownership. The images
on the following (showed images) are hypothetical examples of buildout closer to what is
allowable under B-4 zoning. Potential buildout when compared to current proposal could
double the lot coverage and increase building volume by 140%.
Barbara Cleary, 104 Federal St., Salem – Is opposed to the sale of the Universal Steel
Site to FW Webb and to the vote to allow the Mayor to enter into a Land Disposition
Agreement. See letter below
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Linda Jenkins read the following letter from Meg Twohey – See Next Page
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Tim Dogget, 9 Lynn St., Salem – Opposed to Sale. The Urban Renewal of 1970’s,
almost 50 years ago, was to preserve the Historic aspects of Salem. It wanted to develop
Historic Districts. Please think seriously about changing zoning - if change arbitrarily for
one project then everybody’s zoning is at risk.
Jane Stauffer, 28 Beckford St., Salem – Spoke about history of Beckford Street and Way.
The sewer pipes and gas main are not effected as is. It’s a safe way for pedestrians to
get to Bridge Street.
Anne Knight, 11 River St., Salem – Has lived there since 1978. Opposed to sale of land
and Beckford Way to FW Webb. We need to preserve the ordinary things like our
pathway to Bridge St. It’s like repainting a masterpiece. When you walk down the path,
you are reminded you are walking down a path for the 1600’s – need to preserve it.
David Whittier, 10 River St., Salem – Opposed to Sale. Objections as a carpenter – we
need to repair and preserve Salem’s past. Deal with train shaking homes but to deal with
construction damage to homes. We accept restrictions to live in a Historic District and pay
more for renovations and changes. Now Salem is going to give money away.
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Jennifer ? – 3 River St., Salem – Opposed to Sale – not compatible with neighborhood.
Historic Neighborhoods are bread and butter to city; plumbing stores are not. Stores can
be relocated, historic neighborhoods cannot.
Sandra Roberts, 190 Bridge St., Salem – Opposed to Sale - Has lived in Salem for 50 and
has worked in the travel and tourism for 20 years. Listed as Historic Landmarks. Tourists
dismayed by lack of parking and leave city with their money. Vote NO. Will not enhance
entrance corridor. There are health factors as well.
Danielle (?) from Watertown, MA – Opposition to project. On a state level and national
level well known as a Historic Place. Trade that flourished between Salem and China.
Take Visitors to Salem because of history. Preserve past, present and future.
Susan Weldon, 106 Federal St., Salem – Read a letter from a new resident (letter not on
submitted for record)
Lillian Hsu – 17 Cambridge St., Salem – Statement as a private citizen not as a member
of the Public Arts Commission. Oppose the sale of FW Webb. New comer to Salem
about 2 ½ years ago. Salem offers quiet neighborhoods as well as urban districts, you
can walk to the train station, the growth of restaurants that has been happening. Keep
considering this long-term vision instead of short-term only.
David Hart, 104 Federal St., Salem read a letter from Darrow Lebovici from 122 Federal
St. opposing the sale.
A letter was read from John Carr, 7 River St., Salem – Opposed to sale. There have been
procedural flaws. Councillors need to have the political courage to make the right
decision. FW Webb has choices; the neighbors do not.
Josiah Fisk – residential 358 Essex St., Salem; Business 8 Front St., Salem. Still feels as
though he does not know enough and have enough information. What build out would
look like and future implications of changing the zoning. Have not heard from Webb why
so important to them. Why then the City offer them a break of this is so important to them.
This is in your hands – I have faith that you will make the right decision.
Robert Kennedy, 17 Carlton St., Salem – As discussion progressed over time, TIF still
hasn’t been set to $400K. They want to get best deal, the more they get the more we are
on the hook. Webb has done $1.4B in sales/yr – they don’t need the $400K TIF. Give the
money to someone who needs it. Will they put on the addition and then sell the building?
Safety Issues – EPA has serious issues – lead in water in Flint Michigan. We are relying
on same agency to protect us from airborne contaminates. He lives near the plant, city
doesn’t care about noise and construction. Worry about how things progress. There is a
special meeting right after this.
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Mike Cusick, 19 Putnam St., Salem – Neither for nor against this because there are too
many unanswered questions. 1. Any provision to improve Bridge St. i.e. sidewalks,
shoulders 2. Dumping is a problem any provisions to clean this up 3. Area infested by
rats; the whole corridor infested when property capped on Boston & Bridge rats came up.
Cancer research denominator what are those numbers need a baseline for numbers.
Toxic Waste not just Universal Steele but other factories. Parking don’t know the capacity
until real numbers are obtained. The garages are empty. There was only 1 bid on this site
– why only 1 bid? Power Plant in Boston dozens of bids to redevelop why only 1 here.
The Master Plan written many years ago, plan is not wrong
Councillor Arthur Sargent – need to act more like a business. If sell property give up total
control as of now as the owners, we have the ultimate control. The parking lot brings us
30-50K/yr. We shouldn’t disturb a capped site and open it. Webb could have bought this
from Universal Steel but they let the city pay the $3M to clean up. They formal Sun King
LLC to buy it, not FW Webb and then they can walk away. Then they get the leverage. If
it goes bad, then we get it back. We need to maintain leverage and ownership. Maximize
revenue to pay more for parking. I’m asking my colleagues to maintain ownership treat
people as you would to live. Consider their property values and quality of life – do not sell.
After everyone spoke, Mayor came back up to podium to make a number of comments on
what she heard tonight. Thanked everyone for being here. But would like to clarify a few
points. Just because she is for this project does not mean she doesn’t support quality of
life issues or that she is bending over backwards to help a private business. Many of you
did not want this parking lot, it was only meant to be temporary. Shared the RFP with the
neighbors and nobody against it. The city could have just auctioned this off but decided to
go this way to give more public input. Webb was the only proposal submitted. Then we
negotiated with them. They included requirements – doesn’t mean we accept them. TIFs
have been used many times to provide relief when reinvesting in the city. The TIF will not
be higher than $400K. Could be less, not just writing them a check or billing them
$40,000/yr for 10 years. Heard additional Public Health Concerns. I would never put
public health above people. It pains me to hear about those affected with Cancer nor do I
expect Councillors to put a project above health. Over the years, not one person called
about clean up. This was not a big neighborhood issue. EPA had a process. We have
homes living near this contaminated site. If we were to have a No Build Policy for every
brownfield we would not have any redevelopment. We have all these sites from years
past and if we didn’t redevelop we would have not growth. This is not a failed city
planning experiment. This is a good proposal and planning board will make it better.
I don’t like being in the middle of a hostile projects with neighbors. I care I want to make
this better. Talked about reinvesting resources into Bridge St., then Boston St., then
Canal St. Sorry this is hostile but this corridor is commercial may be zoned residential but
I see it as commercial. My motives are pure I care about the neighbors. This is the
process; there are no hidden agendas. Webb has been a good partner. I’m listening –
I’m keeping track of the comments from the 40+ speakers
CITY OF SALEM
CONTINUATION OF PUBLIC HEARINGS
MARCH 30, 2016
Councillor Sargent – Zoning what you want and what you don’t want. Made R2 from
commercial. The Planning Board decided years ago and they were good people as well
as good vision for down the road. Other Brownfields are not owned by the city
Justin Whitter – Care about the outcome. We oppose – The Mayor has talked about
hostility; there’s no hostility just disagreement – don’t agree with proposal development
Receiving a TIF is like getting something in return for sale and purchase. The NRCC
does allow increase in height but not setbacks.
Tim Jenkins – City Could have done this a different way. If an auction – R-2 Zoning only
thing that could be built was R-2. Could not do that because can’t be residential. Not fair
that the Mayor spoke again.
Councillor Famico moved that both hearings be closed. Councillor McCarthy seconded
the Motion. So Voted.
Councillor Famico moved both matters to the full council and the special meeting be held
next. Councillor Eppley seconded the Motion.
So Voted.
On the motion of Councillor Furey the meeting adjourned at 9:50 P.M.
ATTEST: CHERYL A. LAPOINTE
CITY CLERK