PORTLAND — The city of South Portland has lost its “business friendly” designation from Gov. Paul LePage’s administration as a result of its ordinance blocking the export of tar sands, or oil sands, from its waterfront.
Doug Ray, a spokesman for the state’s Department of Economic and Community Development, confirmed Friday that South Portland is the first “business friendly” community to lose the designation that provides some preferential consideration in applying for federal grants and a state-approved “Open for Business” sign in the town.
“The administration is very disappointed and finds it hard to believe that local elected leaders in South Portland would then turn around and pass an ordinance (Clear Skies) that is clearly anti-business, anti-growth and anti-jobs,” Ray wrote in an email. “What message does this send to the business community that might be left wondering, what business sector will be targeted next?”
The city’s revocation from the program was first reported in the South Portland and Cape Elizabeth weekly newspaper, the Sentry, Friday morning.
The city is fighting a lawsuit from the Portland Pipe Line Corp., which seeks overturn the so-called Clear Skies Ordinance passed in July 2014.
Ray said that Economic and Community Development Commissioner George Gervais met with Assistant City Manager Jon Jennings on Feb. 20 to notify him of the decision to revoke South Portland’s business-friendly designation. There are 31 municipalities with that designation, first introduced by LePage with a batch of nine communities in 2012.
The designation typically expires after two years, when a town or city would have to reapply. South Portland received the certification in 2013.
“We are currently exploring various improvements to the program including certification criteria, the ongoing review process, and overall benefit to communities,” Ray said. “The program was not intended to simply serve as a rubber stamp and for us to then walk away.”
Jennings was not immediately available for comment by phone or email Friday morning.
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