Norpaco Identified as Manufacturer for Bysiewicz Site

Dean Spilka, president of Norpaco Gourmet Foods, appeared before the Economic Development Committee and presented his vision for a new manufacturing plant on a city industrial park site officially called Liberty Park, known locally as the Bysiewicz property. The property in question is one which the Army Corps of Engineers has identified as a possible site for its Army Reserve Training Center.

In November we reported here that the owner of the property was seeking incentives for an unnamed manufacturer to build a plant in Middletown. The owner also sought incentives to allow private development as opposed to development by the Army. The property-owner incentives were approved by the Common Council in December.

On Monday night Spilka, president of Norpaco, and Stephen Stachelek, Vice President of Finance for the company, appeared to talk about expanding their operation in Middletown. Currently located in New Britain, Norpaco produces bottled hot peppers stuffed with salami and provolone (known as Pepper Delights), poppers, panini rolls, pesto, Italian salads and other gourmet Italian specialty foods.

Founded in Norwich in 1946, the company moved to Bristol, and then New Britain and has grown into a $13.8 million company with 100 full-time employees. They have outgrown their current plant, and are looking to construct a 50,000 square foot building, expandable to 70,000 square feet, with the potential for 140 and which will bring $80,000 in taxes to Middletown annually.

The company is seeking a designation in the Urban Jobs Program which will bring them a temporary 80% tax abatement, half covered by the state, half by the city. They are also looking for assistance with relocation funds.

"It's a huge financial package with lots of relocation," Spilka told the commission. "I could have moved the operation to South America or Mexico, but that's not what we do."

Spilka and Stachelek also told an Eye correspondent that they would be willing to consider green methods for their new plant, and would encourage the city to create public transport for workers to the site.

The commission approved the plan which will come before the Common Council at its February meeting.

Also at the meeting, Jacqueline Williams and John DeSena of JDS Holdings were given approval to approach the Common Council for purchase a blighted property at 82 North Main Street. DeSena has improved two other blighted properties in town, oneat 471 Washington Street and one at 1359 Newfield. The Council must approve the conveyance of blighted property as designated by city ordinance.

Representatives from Kleen Energy and Buckeye Pipeline explained to the commission how a low-sulfur, low-pressure oil pipeline is being proposed from just below the Arrigoni Bridge to the Kleen Energy site in Maromas. The pipeline will be built along deKoven Drive, River Road, Eastern Road, Bow Lane and then through city property before it reaches the Kleen Energy site. Buckeye Pipeline needs approval for temporary easements as it drills and digs and permanent easements for the pipeline.

Kleen Energy's William Corvo explained that Kleen Energy will produce electricity using natural gas, unless there is an emergency, or economic hardship in using gas. Corvo said that the plant will be built to a standard of environmental integrity which will emit the lowest particulate matter in the nation, 2.5 parts per million as opposed to the current standard of 10 parts per million.

The committee approved the easements which will be considered by the Common Council. Planning and Zoning and Inland Wetlands must approve other portions of the Buckeye site plan.

The meeting ended with a discussion of shovel-ready projects. Newly seated state representative Matt Lesser attended in the interest of getting attention for Middletown's projects when the Obama administration distributes economic incentive money for infrastructure projects.

The Eye published a list of preferred projects as compiled by the mayor and staff, which was sent to Governor Jodi Rell for consideration.

"The governor's parameter for 'shovel-ready' set the bar too high," commission chair Gerry Daley said.

"The legislature doesn't necessarily agree that the money is going to go to the governor without some input," Lesser added.

Commission member David Bauer added that the state has a history of siphoning off project dollars for grants like the one being considered.

"The state takes an unconscionable level of the funds right off the top," he said. "And we don't see the value the state's involvement adds."

When asked by Lesser to identify the top three projects for consideration the commission agreed that North End redevelopment was the highest priority, with Westfield water improvement and improvements to Industrial Road following closely behind.

The committee also voted to recommend the creation of a separate parking department, and to consider extending the contract for city lobbyists Panuzio & Giordano.

Bysiewicz property deal proposed

In a Thanksgiving holiday eve meeting, Middletown's Economic Development Committee entertained a proposal from City Planner Bill Warner to encourage development on Liberty Park, known in town, and to the Army Corps of Engineers, as the Bysiewicz property.

The property, on Middle Street, is one of three the Army Corps of Engineers is still considering for development for an Army Reserve Training Center. The city would prefer the selection of Cucia Park for the Training Center.

Warner's proposal comes after learning that a Berlin manufacturer would like to purchase three or four parcels on the Bysiewicz property to expand a manufacturing plant which would employ more than 100(with expansion in the next three years), and bring annual taxes of approximately $123,ooo for the proposed 70,000 square foot building.

The problem is that the manufacturer has been spooked by the Army's interest in the land, and is afraid to proceed without assurances that the deal will go through. The developer is unsure of taking the "bird in the hand" of three developed lots, when the Army holds out the promise to buy all twelve lots.

After negotiations with the landowner, Warner has proposed three alternate deals to encourage the manufacturer and developer, and to assure that the Army would not, and could not take the property for it's Army Reserve Training Center. Under the terms of the primary deal, Bysiewicz would inform the Army that he was no longer interested in selling the property (thereby ending the Army deal for the property). In return, if the Army purchases Cucia park, the city would provide tax abatements for all the Bysiewicz property, with the added incentive that the city would buy an additional development lot at fair market value, sweetening the deal for Bysiewicz.

According to Attorney Michael Dowley, representing Bysiewicz, "This agreement would not be completed unless the city sells Cucia Park to the Army. To me it's something that really works for the city."

Gerry Daley, chair of the Economic Development Committee, the deal "precludes the possibility that the Army will take this parcel, that the city will lose the opportunity to develop it and collect taxes, and it immediately encourages this commercial development."

Asked how this proposed deal might be greeted in Westfield, Westfield Residents Association President, Arline Rich said, "I like the proposal. It closes out the Army on the Bysiewicz property, and emphasizes the sale of Cucia Park."

Warner also proposed two other scenarios which proposes that the city buys lots from Bysiewicz, if the development deal with the manufacturer fails to gel on a timely basis, to prevent the Army from occupying prime industrial property, and preventing taxable development.

Committee member David Bauer, who supports the plan, asked for specific details, such as value of the proposed property, warning that a deal which is too open-ended might commit the city to expenditures it can't afford. Daley suggested that language in the proposal which hinge on the purchase of Cucia park by the Army, provide the necessary escape clause.

Officials declined to identify the potential manufacturer from Berlin.

The committee voted unanimously to send the proposal to the Common Council for consideration at its December meeting next Monday.