Annapolis Economic Matters Committee Meeting – July 1, 2026
Annapolis Economic Matters Committee Meeting – July 1, 2026
The Economic Matters Committee of the Annapolis City Council met on July 1, 2026, at 11:15 AM. Present were Alderman (Chair), Alderman Savage, and Alderwoman Alsip Johnson. The committee received updates on the downtown Main Street program transition, the maritime apprenticeship program, and general economic development, and heard public testimony on a proposed distillery tasting room.
Downtown Business Partnership (ID 14826)
- Economic Development Director (Adam) reported that the city has ended its contract with the Downtown Annapolis Partnership (DAP) and is bringing the Main Street program in-house. The Office of Economic Development is stabilizing the program and will eventually create a new organization through a solicitation process, with significant community and stakeholder input. The director emphasized that the goal is to build a program that serves as a unifying force across the entire designated Main Street area (including Main Street, Market Street, Inner West Street, Maryland Avenue, and State Circle).
- Alderman Savage asked about models from other jurisdictions. The director cited examples from Cumberland, Frostburg, Sykesville, Berlin, and Frederick, noting that successful programs typically operate on a rule-of-thirds funding (grants, fundraising, municipal support).
- Alderwoman Alsip Johnson raised concerns about event diversity and outreach. The director agreed to coordinate with the special events coordinator and explore ways to broaden programming. The chair (Alderman) also noted the state has authorized local tax credits for main streets/arts districts and expressed interest in developing a targeted incentive program.
Maritime Apprenticeship Program (ID 7126)
- The director reported progress: Port Annapolis plans to register another apprentice, and the Maritime Trades Association of Maryland will register an apprentice at Full Keel Marine in July. They are awaiting a $50,000 grant payment to expand the pipeline.
- Alderman Savage asked about reaching out to Anne Arundel Public Schools and the Seafarers Union. The director acknowledged a delay in coordinating a tour of the union's facility but committed to scheduling it. The committee discussed the six-apprentice pilot target and the need for data to inform future budget decisions.
General Economic Development Update (ID 826)
- The director presented data on new businesses: 16 new businesses opened in the first six months of 2026, creating 96 full-time and 26 part-time positions (109 full-time equivalents). The busiest month was April. Notable openings: Peter Chang's restaurant and Señor's Market. Building permits totaled nearly $10 million, mostly alterations, with key projects at the county courthouse, 150 South Street, and Maryland Hall.
- A new initiative to create an economic development brand is underway, partnering with Chandler Thinks of Franklin, TN. Target industries: maritime (especially autonomous naval systems and blue tech), environmental technology, and AI. The director announced that BAI Labs, an AI firm focused on environmental engineering, has signed a lease and will locate in Annapolis, bringing five engineering jobs.
- Alderman Savage raised concerns about permitting delays and the outdoor dining code. The director acknowledged learning curve issues with the new outdoor dining regulations and agreed to gather feedback from businesses before next season. The chair mentioned interest in annexation to bring county parcels into the city and the need to streamline permitting.
Public Comments & Testimony
- Steven Marciniac, a resident (1204 Maple Avenue, Annapolis), testified about his plan to open a distillery tasting room on Main Street. He is developing a half-alcohol-content whiskey (20% ABV) and would use a contract distiller (McClintock Distilling in Frederick). He noted that the city code appears to prohibit a tasting room without food service; he seeks a path to allow a small tasting room. Aldermen expressed support and directed him to work with the Economic Development Director to find a solution.
Key Outcomes
- No formal votes were taken on the agenda items. The committee received updates and provided guidance.
- The Economic Development Director was directed to explore a path forward for Mr. Marciniac's distillery tasting room, including clarifying code definitions.
- The committee agreed to revisit the outdoor dining code and permitting process in future meetings.
- A motion to adjourn was made, seconded, and passed by voice vote (all ayes). The meeting adjourned.
Meeting Transcript
First economic matters meeting here in the chamber are myself, Alderman Savage and Alder Woman Alsip Johnson. First off, can I get a motion to approve the agenda? So moved. Can I get a second? All those in favor? Aye. Second, can I get an approval of the minutes from our May 6th meeting? Can I get a second? All in favor? I okay. So up first is ID 14826, the downtown business partnership update. Please join us at the table. So for folks' um background, in case you missed the press release, uh, we have ended our contract with the downtown business partnership. They are still a fantastic organization in the city. Uh we just no longer give them um direct city funding. Is that a correct? Yeah, yes. Sorry, I'm getting used to the new mics here. Um, so I uh I think the way to frame it is that previously, you know, in the past fiscal years, they had the designation as the main street program for the city of Annapolis. They're treated as an outside agency. Um, and now the decision was to sort of recalibrate what what a main street program looks like for Annapolis. So what we're doing right now in the Office of Economic Development is we're bringing it in-house, we're stabilizing the program, um, and then we're long-term planning, hoping to stand up a new organization, um, you know, with with ample community participation to better define this program and um you know ensure that it's meeting the goals of this administration. Um, meeting the goals, do we have kind of a set idea of what we want to turn our main street program into? That's we have an idea of how to get there, let's say. We so I've I've submitted an action plan to the city manager's office, and I put together a brief for the mayor. Um, with that action plan, again, it would establish a significant amount of community engagement and feedback loops with those stakeholders on Main Street. So um, you know, it's not just the businesses that are there, although they make a big part of the experience that is walking through Main Street in Annapolis. And when I say Main Street, I don't just mean Main Street, I mean the entire designated main street community, which includes other portions of downtown. Um we also wanted to include feedback from residents, from institutions, uh, you know, from uh other business associations that make up our downtown area because it's not just the downtown Annapolis Partnership, you also have the Interwester Association, and you also have the Maryland Avenue and State Circle Business Association that um that make up the entire ecosystem. So we're looking at holistically, we're gathering feedback, we're gonna create those parameters, and we're gonna include that in what will eventually be a solicitation to find a partner to help us stand up this organization long term. Okay. Um, so you still didn't quite answer my question of what our goal is for what is our vision for the main street area. When I say that I mean like the commercial corridors in general, so yeah, Main Street, marketplace, uh, Maryland Avenue, Inner West Street, I'm including all that in like our designated main street area. So there are four pillars to a successful Main Street program. Um there's also a fifth pillar that the state incorporates in its in its implementation of the program at at its level. I guess the reason I didn't provide a very clear answer is because we don't we don't want it to be like a top-down mandate. We want the the stakeholders to be able to help us define what those goals should be and how what a successful program looks like. We know that a successful program includes yes programming and events, but also includes significant placemaking. It includes a love, you know, economic vitality is one of the pillars. So we want to see small business development come out of this program. You see that in a lot of other main street programs throughout the state, where they take an active role in attracting and placing businesses in vacant storefronts. So we want we want to essentially see a partner or a partner organization, one that we can work with on a day-to-day basis to um to meet the needs of our of our main street ecosystem. So again, I'm sorry if it's not very detailed right now, but it's because we're still in a phase where we're gathering information. We're going to be reaching out to you know these different stakeholder groups, as I mentioned, including the business community, and having their feedback help guide that, you know, guide those decisions on what the goals really should be for the program long term. Okay, I think that makes sense, and that's a very good answer for why we should keep it more broad at this point. Yeah. It's still early stage. Now, one of the main things that the downtown business partnership took care of was they uh led the charge on specific events uh in conversations offline with the mayor's office. I understand that we're still trying to figure out who's going to be taking uh lead. Um for me, one of the big ones is the tree lighting every year and uh the menorah lighting every year.
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