RUMFORD — Selectmen unanimously approved a credit-enhancement agreement Thursday night with Gateway Plaza LLC, doing business as Amato’s off Route 2 opposite Hannaford.
The agreement, a tax-increment financing plan, requires Gateway Plaza to pay percentages of its yearly tax for five years. From year six and annually thereafter, the company would pay the full amount.
“If we didn’t do a TIF, their tax would be $11,250, based on a $500,000 project,” Town Manager Carlo Puiia said.
He then told the board that the TIF projection should be a percentage schedule rather than a monetary schedule.
The board then discussed the matter before Selectman Jolene Lovejoy motioned that year one (next year’s taxes) would be paid at 5 percent of normal rate, year two at 22 percent, year three at 40 percent, year four at 58 percent and year five at 76 percent.
It was seconded and approved by a 4-0 vote. Selectman Jeremy Volkernick was absent.
“This is not a gift,” Selectman Brad Adley said.
In other business, the board voted 3-1 to table a decision to approve a request for $10,000 from cable franchise fees for a planned upgrade of programming equipment at local access station WVAC.
Selectmen Chairman Greg Buccina, Lovejoy and Adley wanted WVAC representative Len Greaney to check with other River Valley area towns served by the station first for contributions, and then return to the Rumford board. Selectman Jeff Sterling dissented.
A new crosswalk was approved to be painted between the two entrances to Fitch Engineering, crossing Prospect Avenue to Yvonne’s Car Wash.
The board also voted 3-1 to approve placing resident Emile Barre’s non-binding question to extend Lincoln Avenue 930 feet from Maple to Spruce streets on the June town meeting warrant.
Lovejoy said the extension “would alleviate a lot of traffic in the residential area.”
Puiia said the area hasn’t been engineered yet to determine how to resolve water issues.
Adley, the lone dissenter, said he wouldn’t support it, because it had previously been placed before town meeting voters in 2010 and “got beat pretty hard.”
“If we’re going to spend money for roads, we should spend it on roads in the business park,” he said.
Selectmen also unanimously approved entering a fire protection agreement with Oxford County commissioners for Milton Township, for which the county would pay Rumford a fee of $5,000.
Previously, Rumford firefighters have protected Milton on a cost per service basis, fire Chief Bob Chase said. Now, however, the county wants to budget for the service by paying a flat fee.
When asked by the board if $5,000 would cover it, Chase said it would. Last year’s cost was $2,519 and the year before, it was $3,612, he said.
Selectmen also learned that should they wish to renegotiate the fee, they can opt out with 90 days notice.
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