Economic Matters Committee to Present "Unfavorable" Review of Market House to City Council

After three public hearings filled with testimony from lawyers, business owners, local taxpayers and more, the members of the Annapolis City Council’s Economic Matters Committee voted unanimously Monday night to rule the unfavorable before the Annapolis City Council on Feb. 14.

The committee also gave an unfavorable ruling to Ordinance 44-10, on revisions to the market house and open air market.

Before casting their votes, each of the committee members went around the table expressing their thoughts on the lease and explaining what they took from the hearings.

“I really feel that making significant changes [in the lease] like the ones I feel would have to be made would be almost impossible,” said Alderwoman Sheila Finlayson (D-4th Ward.)

Alderman Dick Israel (D-1st Ward) said his objection to the lease deals with the assignment clause, which he said was included in the first draft of the lease, and then removed from a later revised version.

Israel said he is satisfied that Gone to Market would offer an “outstanding opportunity for [the city] in running the Market House.” However, he said, “What I very much object to is that there’s no clause that says they have to stay around, and this is a 30-year lease.”

Israel said at the meeting that he intends to vote against the lease.

Committee Chair Fred Paone (R-2nd Ward) said while he has been and continues to be one of Lehr Jacksons' biggest supporters, just like with buying a house, car or anything else, "the devil is in the details" when it comes to the lease. 

"I must say that I find no fewer than a dozen parts of this lease that I don’t think would be acceptable,” he said.

Paone added that he would not be doing his duty as a council member, representing the citizens, if he approved a lease such as this one.

Alderman Ross Arnett (D-8th Ward) , who is not a committee member, but attended the meeting and the previous hearings, expressed his thoughts as well.

Arnett said he had the city attorney write up ammendments to the lease, which turned out to be eight pages long.

He said he agreed with Paone that council members had already been “told in advance that Gone to Market has made their offer.”

Arnett said there are “so many problems with the lease as negotiated that it is hard to see that we can reach an agreement.”

Also attending the meeting was Alderman Kenny Kirby (D-6th Ward), who is not a member of the committee. When asked after the meeting where he stood on the Market House lease, he said afterwards that he supports the lease, “only because I don’t want it empty in the summer.”

Prior to their vote, the members listened to more testimony from members of the community.

Among those speaking were Delegate Ron George (R-30th District), who said he was speaking not as a state delegate but as a person who owns a business in downtown Annapolis. George, who owns , said he has worked downtown since 1980.

George said when he looks at the lease he’s “a little beside myself.”

“Now as a delegate I know that the mayor is planning to come to us for money. You know I originally said that I would support it, but after looking at this lease I think it’s doomed for failure,” he said.

Others came out to testify about a resolution on the table  (R-6-11 Selling the Market House) that looks at the option of selling the Market House.

Gary Elson, assistant city attorney, spoke on the possiblity and legality of selling the building.

John Guild, president of the Historic Annapolis Foundation, said that while the board hasn’t discussed the issue yet, he is very much in opposition to the idea of selling the building.

"It's an investment by the city that needs to move forward with the best deal we have," he said.

Charles Delavan, a local attorney speaking on behalf of himself said selling the market house “would be a real tragedy.”

He urged the council members to act now, approve the lease and move forward.

According to Phill McGowan, public information officer for the city of Annapolis, the council's Finance Committee approved a $500,000 budget transfer request of general government bonds from 2009 Wednesday to go towards the renovations of the building. This $500,000 was based on a new estimate from Public Works Director David Jarrell, McGowan said.

McGowan said there are several ammendments to the lease that the city's legal team is preparing in advance of Monday's meeting. .

The committee will present its report at the regular meeting of the city council on Feb. 14, where the council is expected to vote on the lease.