The last of various issues before the Sandwich City Council pertaining to a plan by Scott Gjovik, president and owner of the Gjovik Ford dealership on Route 34, to build a new facility received final approval at a recent city council meeting.
Gjovik had asked that the city waive various city fees, totaling $26,702.
Because there had been pros and cons to Gjovik's request from council members, Mayor Rick Olson said the council would have three choices: no waiver of any fees, a waiver of all construction and building permit fees, or a partial waiver of such fees.
Alderman Richard Robinson made a motion that the city waive fees that do not cost the city anything outright. He said that would include plumbing inspection fees, meter fees, fire protection fees and architectural review fees.
His motion was approved 5-2, with Aldermen Les Redden and William McMahon voting no.
Olson said the total fees and cost are estimated to be $26,702, but the actual amount will be determined at the completion of the project.
At an earlier council meeting, council members approved Gjovik's request that he receive a sales tax rebate from the city.
The city has received an average of $250,000 in sales tax each year during the past three years, so the council approved refunding anything above the $250,000 per year to Gjovik Ford for the next 15 years or until a total of $800,000 is reached, whichever comes first.
The language in the rest of the contract is to insure that Gjovik Ford will remain at this location. If they leave or close before the 15 years, the contract is null and void.
Gjovik had asked the city to approve a plan to pay sales taxes back to Gjovik Ford for a 15-year period to help the company pay an estimated $6.2 million to construct a new two-story building for the Ford dealership, totaling 32,800 square feet of space.
It will be located west of the present Ford dealership, which has been here for about 40 years, Gjovik said.
The second phase of the project will be to remodel the existing building for use as an expanded Quick Lane operation, an expanded Allstate agency, a vehicle reconditioning center and a new vehicle accessory sales and display area, Gjovik said.
Once complete, Gjovik's facility would consist of a 22-acre complex of four dealerships – Ford, Buick, Chevrolet and GMC, plus the Allstate and Quick Lane service operation.