PORTSMOUTH — The town is taking an approach-with-caution stance toward the potential development of two tank farms in the Melville area that the U.S. Navy deemed surplus property in 2008.
About 225 acres of abandoned Navy property, spanning the west side of all three Aquidneck Island communities, had once been considered part of a single redevelopment project, but now each town is considering its own plan. The poor condition of the tank farms in Portsmouth, compared to land further south, has been cited as a key reason why the three island communities have gone their separate ways in coming up with plans to redevelop the surplus Navy property.
The possible release of the land would include the tank farm property at Melville, as well as Stringham Road and Portsmouth’s portion of Burma Road ending at Carr Point.
During a workshop Monday night, Town Planner Gary Crosby told the council there were two goals regarding the possible redevelopment of the land: “To get the property on the tax roles as soon as it can be accomplished and, second, to support the tank farm” as it relates to commercial development at Melville.
The town must ask itself whether it would be better to apply for the land under an “economic development conveyance” — the Navy essentially giving the property to the town — or to stand back and leave it in the Navy’s hands, Mr. Crosby said.
“But if we just stepped back and let the Navy take over, it would likely be decades before the Navy cleans it up and sells it. That may not be the best way to go,” Mr. Crosby said.
The Portsmouth Redevelopment Agency (PRA) had been negotiating with the Navy over the issue, but for legal reasons the Navy requested that the council be made the chief negotiating authority. On Monday the council passed a resolution that named itself the local redevelopment agency. The PRA will serve as an advisor to the council.
David MacBain, chairman of the PRA, said developing the surplus property is crucial to the expansion of maritime business at Melville. Newport’s economy, he pointed out, is benefitting greatly from all the “megayachts that are coming in with 26 people on board and renting cars, renting houses and spending money in restaurants.” He said Portsmouth could profit from the same type of development at Melville if it plays its cards right.
“There is no room in Newport anymore. The marine industry is moving north. We should be ready for it,” Mr. MacBain said.
Council President Keith Hamilton agreed that the project is important in growing the town’s future tax base. “The biggest thing we should look into is commercial property to take the pressure off the residential property in town,” he said.
Concerns over tanks, roads
While the council expressed interest in coming up with a redevelopment plan for the property, members expressed concerns over possible contamination at the tank farms, as well as the burden of taking over two major roads.
Mr. Crosby said the 19 buried concrete fuel tanks, which have a 1 million-gallon capacity each, have been steam-cleaned and filled with water. A ring drainage system has also been put in place around them to capture any leakage of petroleum. There are also three above-ground steel tanks, he said.
“They’re not being used for fuel storage,” said Mr. Crosby.
Mr. Hamilton said the town should proceed with caution if it chooses to get involved in the property’s redevelopment. “There are some pretty serious issues, such as what kind of contamination is really in there,” he said.
Council member Elizabeth Pedro agreed, saying she wouldn’t want to see the town take over any land unless Portsmouth is “never liable for any environmental cleanup.”
The town could also be burdened with more expenses and liability by taking over Stringham and Burma roads, council members said. Mr. Hamilton said it’s not clear how stable those two routes are, and they’d have to be maintained and plowed by the Department of Public Works.
“We need to be careful we don’t get stuck with something,” he said.
Council member Joseph Robicheau even suggested that the Navy pay the town to take over Burma Road.
Council Vice President James Seveney said he wanted more information on what taking over the property would mean for the town. “Right now I’m not understanding what the upside is to this conveyance,” he said.
Town to hire consultant
Mr. Crosby responded by saying he still needs to be convinced of the advantages himself. The town needs to hear more from Matrix Support Group, the Denver company that was consulting with the three island communities when they were working together on a plan, he said.
Matrix is now working individually with Newport and Middletown, and Mr. Crosby suggested the town also use the company to help guide the redevelopment plan.
Mr. Hamilton, however, said the contract would cost about $25,000, so the town should put the job out to bid. The council will vote on submitting a request for proposals at its regular meeting Monday night.