MEXICO – At Wednesday night’s Mexico selectmen’s meeting, Town Manager John Madigan and selectmen tried to allay fears that the town must cough up $400,000 next year to repay a state grant.
Last summer, Mexico acquired a $400,000 Community Development Block Grant to help fund a $2.8 million renovation of a former bag mill on Lowell Street in Rumford that became the River Valley Technology Center.
A stipulation for receiving that money was the creation of 40 jobs at the center within two years.
So far, three jobs have been created. Additionally, unease is spreading in the wake of a budget shortfall for the center and the resignation of its first executive director, which are forcing the organization to reorganize.
Last Thursday, Madigan, a member of the center’s Board of Directors, told fellow members that he had received a letter from the Department of Economic and Community Development stating that if 40 jobs weren’t created, the town would have to make arrangements within 90 days after the July 1, 2006, deadline to repay the $400,000.
To the 19 people crowded into the municipal building’s conference room Wednesday night, Madigan said that he intends “to make sure (center directors) do everything we can to create the jobs.”
Madigan said that the town can request an extension if the jobs aren’t created by the deadline. That’s one reason why he said he “wasn’t really concerned” about the matter.
“Mexico did a good thing to try and use its grant capability to get (the center) going. Eventually, these jobs are going to be there, but it may be one year, it may be two years, it may be three years,” Madigan said.
He and selectmen said that people needed to keep a positive attitude.
“To me, this (unease) is all premature right now. Things are happening, and I think we have time to protect the town’s interest,” he said.
“The latest resignation and the budget problem, we can overcome. We still have time to comply with the rules of the grant,” Madigan said.
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