City Council Economic Matters Meeting - October 15, 2025 Summary
Economic Matters Committee Meeting - October 15, 2025
The Economic Matters Committee convened for its final meeting of the term on October 15, 2025, to address agenda amendments, board appointments, lease negotiations for Market Plaza, and housing development legislation. The committee also discussed the city's economic development update, focusing on new data regarding business permits, maritime industry growth, and childcare accessibility. Aldermen Savage and Jackson presided over the discussion of complex financial relationships with the Medco concessionaire, expressing strong support for local businesses while demanding clearer terms for city-owned property usage.
Consent Calendar
- Approval of Minutes: The committee unanimously approved the minutes from the September 17, 2025, meeting.
- Appointment of Stuart Cohen: A motion for a favorable recommendation to appoint Stuart Cohen to the Alcohol Beverage Control Board passed unanimously. Mr. Cohen, a retired resident of 50 years with a legal background, was recommended for his interest in city government and familiarity with local establishments. His nomination will proceed to a final vote at the October 27th City Council meeting.
- Appointment of David Nobel Watkins: The committee took no action on the appointment of David Nobel Watkins to the Recreational Advisory Board because he was not present. It was moved to request his attendance at the next meeting (October 24th or 27th) for interview and questioning.
Public Comments & Testimony
- Market Plaza Business Owners (Chris Hannon, Kevin Havens, Kenny Pemleton): Representatives from McGarvey's, Iron Rooster, and other Market Plaza businesses expressed full support for continuing the current lease terms at $28.50 per space per day. They strongly opposed reverting to the Hillman Parking Garage prevailing rate, stating that such a rate (potentially $61.50) would be ultimately untenable and threaten the viability of the entire plaza. They argued that the current arrangement generates $100,000 more annually for the city than projected parking revenue and that a single business failure could cause a cascading collapse of the entire plaza.
- Alderman Savage: Alderman Savage expressed total alignment with the business owners, stating that the plaza is a "downtown lifeblood" and that the current financial arrangement is a "win-win" for the city, businesses, and community spaces. He criticized the Medco concessionaire for delaying approvals and threatened to terminate the concession agreement if Medco does not agree to continue the current favorable terms.
- Alderman Jackson: Alderman Jackson expressed frustration regarding the uncertainty surrounding the lease renewal and the administrative burden placed on city staff, while affirming the council's commitment to supporting the market businesses.
Discussion Items
- Market Plaza Lease Negotiations (Legislation 03325): The committee discussed the lease for Market House. City Attorney Ashley Leonard reported that the tenants have agreed to the city's demands, including a $100,000 expansion into renovations. The Finance Committee requested that these funds be tied to city-approved capital expenditures rather than deductible from performance rent; the tenants agreed to this condition. Alderman Savage noted he originally voted for this tenant entry eight years ago and fully supports the current terms.
- City Capital Facilities Charges Payment Plan (Legislation 03725): Alderman Jackson proposed legislation to allow small developers (six or fewer dwellings) to pay water and sewer installation fees prior to obtaining residency and occupancy permits, rather than upfront. Alderman Jackson stated this measure is necessary to encourage "small missing middle housing" and support developers who struggle with upfront financing, citing similar successful legislation in Montgomery County. The Planning and Zoning Director supported the inclusion of a fine for properties occupied before payment to ensure fee collection.
- Economic Development Update: New Economic Development Manager Adam Stratt presented data showing a commercial vacancy rate decrease to 4.6%. He noted that maritime-oriented industries comprise roughly 5% of new permits. Alderman Savage expressed interest in relaunching the "Economic Gardening" program and requested data analysis on daycare accessibility, citing the high cost for middle-income families and the difficulty in meeting staffing ratios.
- Pedestrianization and Urban Planning: Alderman Savage highlighted the strategic importance of pedestrianization for economic development, referencing his membership in the Congress for New Urbanism. He suggested the Economic Development Office consider external expertise to help navigate business reluctance regarding street closures and pedestrian zones.
Key Outcomes
- Unanimous Approval: The committee voted unanimously (Aye) to recommend favorable approval for:
- The lease of city property known as Market House (03325) with the agreed-upon terms.
- The City Capital Facilities Charges Payment Plan (03725) to facilitate small-scale development.
- Deferred Action: No action was taken on the appointment of David Nobel Watkins, with a request issued for his attendance at the next meeting.
- Strategic Directives:
- The committee directed staff to finalize the interest resolution for Market Plaza tenants and submit a formal request to Medco under Appendix 10 for an "alternative rate" to avoid the 17.5x multiplier fee.
- Alderman Savage requested that future resolutions include language to guarantee lease continuity through the end of the fiscal year (June) to provide certainty to tenants.
- The Economic Development Office was directed to explore relaunching the Economic Gardening program and to investigate strategies to improve daycare accessibility for working families.
- Committee Adjournment: The committee adjourned after expressing gratitude for the term's work, with Alderman Savage praising the committee's transition into a proactive body for innovative economic solutions.
Meeting Transcript
Welcome everyone to the Wednesday, October 15th meeting of Economic Matters. Joining here in the chambers today are Alderman Savage and myself. We are going to make one adjustment to the agenda today, and that is we are going to add uh 03725 to the agenda. Do I have a motion to approve the agenda as amended? So move. I will second. All in favor. Aye. Ms. Jackson, I do not have the uh agenda in front of me. Can you please tell me what's the first step? Uh up first next is the minutes uh for our September 17th meeting of economic matters. Uh yes. Uh up next is the uh approval of the minutes for our September 17th meeting of economic matters. Can I get a motion to approve? So move. I will second. All in favor. Aye. Aye. Up next, appointments and reappointments. First, the appointment of Mr. Stuart Cohen to the Alcohol Beverage Control Board. Mr. Cohen, come up to the table, sir. Welcome, sir. Thank you so much for joining us today. Oh, it is usually are, and I apologize for the late start. I got stuck on a bus. So, Mr. Cohen, um, thank you so much for joining us today. Thank you so much for your interest in this position. Uh, the question that I always like to ask everyone who expresses interest in our boards and commissions is uh what made you want to join our current uh joint want to join the alcoholic beverage control board. I uh I was interested in participating in uh more participating further in city government, and I uh perused the list of vacancies on boards. This one seemed the most interesting, so I submitted my request to be appointed to this board. Um I've been uh resident of the city for I guess a dozen years and in the county and then in the city for oh almost 50 years now. So I am uh have uh uh visited many of the establishments that would be uh under the purview of the uh committee, and uh I just thought it would be a very interesting thing. I have time on my hands, I'm retired. Uh and I guess that's the best answer I can give you. I like the visited many of the establishments. Familiarize yourself with the products. Um Alderman Savage, do you have any questions for Mr. Cohen? Yes, Mr. Chair. So yeah, just looking at the so first of all, thank you for your interest, serve. I know we have a number of vacancies, so really appreciate your time. Um and just looking at the code requirements. It does say members must have a demonstrated reputation for honesty, integrity, and character. So I certainly think we both attest to that.
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