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Date: 2/21/2022
BELCHERTOWN - With a quarterly meeting upcoming in May for the Massachusetts Vacant Storefront Program (MVSP), the Belchertown Select Board discussed applying for the program and establishing a vacant storefront district in town.
Town Planner Doug Albertson explained this program could provide an incentive to fill some of the vacant businesses in town.
“This is an interesting program, and it does take a bit of a commitment from the community, but the short answer is if people need to rent vacant storefronts, they can apply through this program for grants, but the town does have to put up a match,” he said.
Albertson explained the program would help businesses rent out vacant storefronts for a tax credit.
“The town applies to the state’s Economic Assistance Coordinating Council to have a designated, defined district as a certified vacant storefront district. When the state certifies the area, businesses and individuals may apply for a refundable economic development incentive program tax credit for leasing and occupying the space,” he said.
Once approved, Albertson said the town would be required to file annual reports to the state about the program’s progress.
“The town would then give annual reports to the state’s Office of Business Development detailing which businesses are still in operation along the number of jobs created by the businesses, the number of square feet occupied, the number of remaining storefronts that are vacant and any new vacant storefronts,” he said.
While the application could go through, Albertson said there are several reasons for the application to be denied.
“There are some reasons they would not approve an application; the location is not in a high need area, the town does not offer reasonable support for the program, the business does not fill a need or a void in the district, it does not fulfill the matching funds requirement or the petition does not demonstrate the municipality’s ability to attract interest in vacant storefronts,” he said.
Albertson said the town had already defined a district when applying for the state’s Rapid Recovery Program in 2021.
“What we are thinking of doing for our district is defining it as basically the courthouse following down Route 202 all the way up to what used to be the Wayne Medical Building and then over to Stop and Shop,” he said.
By beginning work on the program now, Albertson said the town would be prepared for the MVSP’s next quarterly meeting in May.
“They have quarterly meetings, so it makes sense to give ourselves three months to get things in order ahead of their next meeting in May. So, we can refine the district and put more time in what we want to do,” he said.
In terms of applying for the program, Albertson said the town would be required to provide the number of businesses and vacant business in town.
“They want to know the number of stores, the total number that are vacant and how many have been vacant for over a year. They want to have an outreach strategy for finding, attracting businesses into vacant storefronts,” he said.
Town Administrator Gary Brougham added that there were at least 30 vacant storefront locations available in town.
Albertson explained the application requires much more information for interested businesses than the town, including experience, website information, previous business experience and other details about their business.
Select Board Chair Jen Turner said the town could be responsible for up to $20,000 a year to match the tax credit for businesses.
“You can apply up to twice a year and the match is only up to $10,000 so for $20,000 a year we could match up. It is just an incentive program for the businesses because once the district is created the businesses then apply for the funding,” she said.
With the grant, Turner said the business would be able to use the funding for any of their needs.
Board member Ron Aponte said he was in favor of applying for the program because it ties directly into budget season.
“I think the timeline fits perfectly because in essence, what this could become is part of our budget discussions, if it is going to cost the town $10,000 or $20,000, we can weigh that versus the budgets, proposals and initiatives that people want. We have done some of the work already by identifying the district, but the hardest part is the money,” he said.
The board agreed to move forward with preparing an application for the program ahead of its next quarterly meeting on May 18.
During the meeting, the board also approved a motion to award the bid for work at the Chestnut Hill Recreation Area to renovate the building with a concession stand and updated bathrooms to Cole Contracting, which is based out of Worcester. The board also agreed to allocate funds from the Skate Park Gift Account for the $850 inspection discussed at the previous meeting.
The Belchertown Select Board next meets on Feb. 28 and coverage of that meeting will appear in the March 10 edition of The Reminder.