A review of North Bay's Community Improvement Plan (CIP) and a request to transfer $250,000 of taxpayer money into the fund, raised a number of questions from City Councillors about the workings of the plan and whether it could be expanded to include the struggling West Ferris area of the city.
The CIP provides grant incentives to landowners and developers to promote investment in new development or redevelopment in the downtown, the airport, and brownfields.
Adding West Ferris to the plan would require additional money, at a time when a request has been made to transfer $250,000 into the CIP's reserve as bridge funding to meet current demands, allowing time for completion of the CIP review.
See related story: North Bay's Community Improvement Plan could be getting a top-up
Community Services chair Mark King agrees that West Ferris would benefit from the Community Improvement Plan.
"I think everybody recognized through the committee process that there is a concern on council's part with respect to Ferris, and I certainly share that concern. I would support actually extending the CIP down into the Ferris area on Lakeshore Drive, but as you heard from our senior planner that is somewhat of a complicated process, but I see that happening."
Councillor Mike Anthony told council many success stories are the result of grants being handed out through the Community Improvement Plan.
“CIP is one of the few tools we have as a city to help. West Ferris is an area, that I believe all of us around the table acknowledge, we would like to see flourishing as much as other areas. Is there a way to make this happen?"
Planning and Building Services Manager Beverly Hillier told council there is a way to figure out how it can be done, but it’s 'not as simple as snapping your fingers.'
Part of the process requires public consultation and public meetings at council, prior to writing the plan.
"Community Improvement Plans have set criteria for the evaluation of projects as well as what the funding contribution will be. There’s a very specific Planning Act process that has to be followed for the creation of Community Improvement Plans.Typically it takes six to nine months to complete," explained Hillier.
"We need to look a variety of things including objectives. It’s essentially writing a new plan for West Ferris. What are the objectives of the plan? What part of Ferris? Is it all of Lakeshore Drive? Is it part of Lakeshore Drive? Is it only commercial? How do you figure that out and how do you figure out the planning that comes along with it?”
Councillor Derek Shogren is on record as saying West Ferris needs to be included in the review of the CIP sooner rather than later.
“You can see it as you drive down Lakeshore Drive. Some buildings have gotten old and need a refresher and I think Lakeshore Drive can be vibrant in this city. There's a lot of potential but we have to start somewhere. We can't as a municipality give tax breaks to businesses but one thing we can do is these community improvement plans. A small business on Lakeshore Drive that gets $30,000 to fix up the outside of their restaurant or whatever it might be, goes a long way. West Ferris needs our help," said Shogren.
"We've got many areas of the city that are important, the downtown is one of them. West Ferris is another one. Will the CIP need more money? Absolutely. Will staff maybe have to figure out where some of this money is coming from? Absolutely. If it's something that we deem as important to the city, the revitalization of West Ferris and Lakeshore Drive, we better find the money."
Councillor Chris Mayne wanted to know if part of the grant process required asking developers whether they had gone through other commercial channels such as banks, or other levels of government to ensure that council is the 'lender of last resort' before using municipal taxpayers money.
He was told by staff that, "It's not a requirement of the Community Improvement Plan that other levels of funding be established prior the city contributing to the CIP. As long as it's reviewed in the context of the plan and meets the eligibility requirements of the plan, then it's reviewed and evaluated on those merits."
Noting that the grant would increase the property owner's equity, Mayne also questioned whether a provision was in place to recoup part of the grant money if the building were to be sold within a specified timeline.
"An investor could make a significant capital gain, in a short period of time. If there is some value to the building through municipal tax dollars, I think the taxpayers have the right to see some of that money come back into the fund. Basically, keep the money in the fund, almost like an incubator fund where the money goes out, comes back to be reinvested again."
Mayne was told it currently is not a requirement of the plan.
Councillor Anthony wants to see a mechanism in place to follow the CIP process.
“I do want to see the public aspect, where we can see that, when funds are given out, it’s natural that you can say where they were given, if it was a renovation project or it was the front of the building or whatever it was. But some form of information that can be shared since it’s taxpayer’s dollars. And that we move to include Ferris", said Anthony.
The next step in the CIP review is the Downtown Waterfront Master Plan public meeting on May 22.
Council will vote on whether to accept the recommendation to transfer money into the CIP at its next meeting in two weeks.
