Aldermen approve BAE PILOT agreement, South Mammoth area re-zoning

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The two rezoned parcels outlined in red on the City of Manchester’s zoning map.

MANCHESTER, N.H. – Changes are coming to southern Manchester and discussion on those changes took center stage during Tuesday’s Board of Aldermen meeting.

Representatives of BAE Systems were on hand to finalize an agreement that would bring a new BAE Systems facility, and 400 new jobs, to Goffs Falls Road.

In that agreement, BAE Systems requested a “Proposed Payment in Lieu of Taxes” or PILOT agreement with the city, offering a set fee of $225,000 to the city annually for 10 years in exchange for relief from property taxes.

According to a statement submitted to the board, the agreement would help stabilize site maintenance and improvement costs for BAE Systems as it begins to occupy the now vacant building while providing a steady stream of revenue for the city.

After 10 years, the two parties could renew the agreement as long as BAE Systems decides to continue leasing the property from the New Hampshire Business Finance Authority.

With the exception of Joseph Kelly Levasseur, the entire board enthusiastically supported the agreement, and even Levasseur indicated that the positives of the agreement outweighed its negatives.

Alderman John Cataldo, who represents the area where the property is located, indicated that nearby businesses are expecting increased business from the new facility.

The measure received unanimous approval from the board, but another item impacting land just a few miles away did not obtain the same level of support later in the meeting.

Approval arrived on a proposal to rezone a pair of lots abutting South Mammoth Road and the Londonderry border, overcoming a pair of mayoral vetoes.

The proposal sought to amend the city’s zoning ordinance, allowing multi-family homes on the lots, which had previously been zoned for low-density residential use.

During past meetings, neighbors spoke in opposition to the proposal, fearing that the zoning change would fundamentally change the character of the area, which is suburban in nature.

Discussion on the board was fierce as well, with opponents also fearing increased traffic and added burden on municipal services while supporters spoke of the need for increased housing stock in the city.

While the ordinance change and the BAE proposal were not directly linked, connections were made between the two agenda items, with Aldermen and local residents mentioning the need to house those 400 new workers at the BAE facility.

Cataldo took the item off the board’s consent agenda for one last discussion, citing the concern he received from residents regarding the ordinance change. He was not alone on the board, with Anthony Sapieza believing that a more gradual adjustment in density would have been more appropriate in this neighborhood and for the wellbeing of the city as a whole.

“A vote for this is to turn Manchester into a city of renters instead of a city of homeowners,” said Sapienza. “Homeowners build roots.”

Supporters, such as Aldermen Keith Hirschmann, cited increased tax revenue from new housing developments on land zoned for multi-family use, such as the new developments on Hackett Hill in his ward.

The measure split into two votes, one on accepting the unanimous recommendation report of the Committee on Accounts, Enrollments and Revenue Administration on the proposal and one on the passing the measure outright.

Mayor Joyce Craig, sharing her experiences living in that area as a child, vetoed both votes, citing the impact on the neighborhood as well as the demand for single-family homes in that area. Craig added that dozens of new single-family homes currently are in the process of being build nearby that area in Londonderry, telling the board that support for this measure would push potential new residents away from the city and into Londonderry or other nearby towns with lower density zoning.

Both vetoes were overridden by a 10-3 vote of the Aldermen, with Cataldo, Sapienza and Kevin Cavanaugh voting in opposition. Alderman Normand Gamache was not present during the vote.

About this Author

Andrew Sylvia

Assistant EditorManchester Ink Link

Born and raised in the Granite State, Andrew Sylvia has written approximately 10,000 pieces over his career for outlets across Massachusetts, New Hampshire and Vermont. On top of that, he's a licensed notary and licensed to sell property, casualty and life insurance, he's been a USSF trained youth soccer and futsal referee for the past six years and he can name over 60 national flags in under 60 seconds according to that flag game app he has on his phone, which makes sense because he also has a bachelor's degree in geography (like Michael Jordan). He can also type over 100 words a minute on a good day.