On September 3, 2019, the Gorham Town Council approved the referendum proposal to purchase approximately 141 acres of land by the Town of Gorham from the M.P. Rines Trust.
If approved, the property located along Libby and Cobb Road and abutting the current industrial park will be sold to the Town of Gorham for $4 million on or before January 17, 2020.
According to Town Manager Ephrem Paraschak, the proposal will be on the November ballot as a referendum question.
“The question will ask voters to approve a bond for 5.9 million dollars for the purchase and development of the next industrial park for the Town.” Four million dollars will be allocated toward the purchase of the land, while the additional $1.5 million will be used to “start the initial phases of designs, approval and initial construction of roads and infrastructure.”
Currently, the town has limited space available for industrial development. The town’s original industrial park is almost at capacity and the Olde Canal Business Park located off of Mosher Road is quickly filling.
“This plan would supplement the Town’s commercial growth over the next ten to twenty years by getting industrial zoned land available for development,” said Paraschak.
In terms of impact, the purchase and development of the land will aid schools over the long-term. “As commercial properties develop, they provide a valuation to the tax base that supports both municipal and school operations,” explained Paraschak. “The Town also has the ability to TIF larger properties or zones (sheltering tax value from state and county tax formulas) which results in state aid to education, municipal revenue sharing, and lower County tax commitments.”
For taxpayers, the initial effect to the mil rate would be an estimated $.08 or less with the TIF funds. This amount would lessen as lots are sold, the bond payments decrease, and/or future TIFs become available to pay for the initial amount borrowed or for future infrastructure investments. According to Paraschak, “the payback of the industrial park when developed would more than cover any initial investment by the taxpayers and lessen future tax impacts felt by Gorham residents.”
The Town will be working with consultants over the next few months to create a visual representation of what the industrial park may look like in concept and plan. As a more specific plan comes to fruition, it will be released to the public prior to the vote in November.
A public hearing is scheduled for October 1, 2019 to discuss the referendum.