MEETING OF A COMMITTEE TO ESTABLISH THE BEST DISPOSITION FOR THE OLD EDDY SCHOOL
January 27, 2003

Present: Rodd Hopper, Bob Zak, Jo Cameron, Selectmen; Troy Hersom, Dirk Poole, Steve Ward, School Board; Mike Smith, former School Board member; Martha Speed, Board of Appeals; Bob Crink, Amanda Russell, Stuart Smith, Erin Cooperrider, Planning Board; Ralph Lombardi, Sue Carlson, Joan Spurgat, Blythe Edwards, Rick Elder, Old Eddy School Committee; Beth McPherson, Genesis Fund; Bob Hardina, ElderCare Network; Jim Hatch and Steven Theodore, architects for Genesis

Architect Steven Theodore showed several blueprints, some of the Eddy School building as it is presently arranged, and others showing the changes to convert it into affordable housing for the elderly. The architects have found that the building is well located, with proper setback, and the ground floor already set up for handicapped students. It has two means of egress from the second floor, and a covered walkway connecting the two buildings. On the second floor, the existing stairs and fire escape are satisfactory. The skylights in the upper story roof are of great value, need to make use of them in the new design.

Although an electrically-operated elevator would be too expensive, it is possible to install an enclosed hydraulic lift parallel to the existing staircase. Realtor Ralph Lombardi (of the OES Committee) asked about chair lifts on the stairs. The existing staircase has a sharp turn, so it would not be practicable. A platform lift could rise and lower over 30 feet; it would have to accommodate a wheelchair. The space under consideration is 36 by 48 inches, cramped but adequate. Since the lift would be a cantilevered construction, it need only go down 14 inches into the foundation.

A variety of units will be available, variably priced ($355/month for studio; $550/month for one-bedroom). Of the ten apartment units proposed, six will be on the ground floor, four on the upper floor. Five will be studio apartments, with baths and Pullman kitchens; four will be one-bedroom flats with the same. On the ground floor will be public spaces: a central sitting room and dining area, kitchen, office, library, a common bathroom, as well as storage areas, central walkway and porch deck. Elevation drawings showed the possible exterior appearance
of the building. It would be nice to try to restore the original (that is, 1857) window emplacements.

Among the questions raised, Is the septic system adequate? No, it will have to be upgraded. What about the water supply? A new storage tank, pump and well will be needed. What is the cost of a full sprinkler system, required for safety standards? Around $25thou for 7500 square feet. Are there any issues concerning the foundation? The live loads would be far less for the proposed facility than for a school, roughly 40 tons vs. 80 tons.

Financing: Seven units would be subsidized, three rented at market value. Funding most likely would come from the Rural Development Facility Agency at a 4 5/8% loan rate; in addition, Genesis would utilize a Community Development Block Grant. $25,000 is the allowance for a low income resident. Acquisition funding will be needed, suggested at $175.000 to buy the building from the Town. The Town would be the grant applicant. ElderCare Network would be the new owner, a non-profit corporation serving low income people.
The issue of zoning was raised. Edgecomb to date has no zoning. However, minimum lot size for residences is 2-acre lots. Bob Crink (Chair, Planning Board) said the school building and 2 acres comprises 80,044 square feet, well under the 88,000 foot maximum for a 10-unit construction to be legal for septic field purposes.

According to Crink, contract or conditional zoning cannot be used. Our current maximum is one living unit on two acres. However, the Appeals Board could approve a variance; a Town Meeting could vote for or against such a variance.

Martha Speed, speaking for the Appeals Board pointed out such a variance request would have to pass four criteria to be granted: 1) if the property under consideration cannot yield a reasonable economic return unless a variance is granted; 2) if the need for the variance is due to a unique situation not present in other properties in the locality; 3) if the granting will not change the essential character of the locality and 4) if the hardship is not the result of actions by the applicant or prior owner.

Steve Ward (School Board/OES Committee) asked, if the Town approves this use for the old school, can we change the land use ordinances to create a special district? Bob Crink pointed out, that with covenants included in the deed, a hardship variance would become possible [Isn't this "result of action by applicant?"]
Martha Speed (Appeals Board) objected, in that such a vote by the Town [favoring the school to become low income housing for the elderly] would appear to coerce the Appeals Board, an entity which must by law hand down totally disinterested judgements. Selectman Rodd Hopper said that there are 17 acres of tax-defaulted property surrounding the old school, on which the liens have matured; however, the Town's policy is to
let the residents stay on those properties while the taxes are being paid.

For ten units, 11 acres are needed, to comply with the land use standards. Perhaps the owner of these properties could be offered lifetime living rights in exchange for the 11 acres needed. This would make the Genesis proposal a compliant project (to the Planning Board) so there would be no necessity to go to the Appeals Board. A delegation from the Committee will approach the owner about these possible arrangements.

As of now, prior to the Town Meeting, the Selectmen and the Genesis Fund should go before the Planning Board, who will have to deny the application according to current State law. Then the application should proceed to the Appeals Board. The Planning Board will need from Genesis a complete application and site plan, and evidence of title or right interest. Steve Ward asked, Can we, the Town, enter into a good faith agreement with Genesis, to equip them with "a letter of intent"? Would Genesis accept that? Of all the entities involved with this disposition of the old Eddy School, the Genesis Fund bears the greatest risk.

A factor not yet considered is Maine's Payment In Lieu of Taxes (PILOT), which represents 2% of gross revenue, by State statute. The calculation, based on the above proposed rental fees, results in an annual PILOT of $992.40. Who will be paying this? The Town? Or Genesis/ElderCare Network?

The Selectmen and the School Board are in agreement that any proceeds from the disposition of the Eddy School property should go to pay down the debt on the news Edgecomb school. However, this will have to be confirmed by vote of the Town Meeting However, Blythe Edwards (OES Committee) observed, all of this discussion is about only one disposition option. Other routes should be researched before presenting to the Town Meeting. The selectmen expressed concern about possible voter backlash. What if the Town
were to vote in favor of a hard sale of the property? If sold at a profit, by how much would it reduce Edgecomb's taxes? If offered for sale, Ralph Lombardi pointed out, the property might be snapped up in a couple of months, or it might take as long as four years to sell it. Can the Town justify the maintenance costs of an empty building for so long? Deterioration would be inevitable; for instance, the roof needs immediate replacement.

Rick Elder (OES Committee) said that it would be very difficult to make that school building marketably viable. It is too close to the road, it needs a new roof, it is not suitable for a private residence.

The next meeting of this Committee will be in mid-March, after the Planning Board and Appeals Board meetings. This meeting was adjourned at 7:30 p.m.