AUBURN — The city would like investors to know New Auburn is available for development. In fact, city officials have some suggestions.

Now that regulations have been finalized for the federal Opportunity Zones program created as part of the Trump administration’s 2017 tax bill, Auburn is pulling together a working group to create an ordinance and zoning and policy proposals to help spur development.

One place city staff would like to see investment is in the New Auburn Village Center redevelopment, taking shape along the Little Androscoggin River, behind Rolly’s Diner.

The Opportunity Zones program gives investors a tax incentive for using capital gains from other investments toward developments in the designated areas, and when it was rolled out, then-Gov. Paul LePage designated 32 census tracts statewide as Opportunity Zones.

That included census tract 105 in New Auburn, for which city staff had lobbied.

The City Council voted unanimously Monday to create the working group, which, according to a memo, will report findings and recommendations to the City Council no later than May 1.

During a presentation to the council Monday, Brett Sawyer, economic development specialist, said the city will have a 120-by-40-foot site in the New Auburn Village Center ready for development by this spring or summer.

He also showed other properties that would qualify, including the former St. Louis Church. Sawyer said a potential buyer for the property recently backed out, mean the church property remains a priority for economic development staff.

Sawyer said properties deemed eligible for investing must either be vacant properties for at least three years prior or Brownfield sites, or can be eligible based on substantial improvements.

Councilor Holly Lasagna said the new working group should focus on creating a marketing plan around the Opportunity Zone so that potential investors know what is available.

Sawyer said he recently spoke with a realtor who was unaware of the federal program, adding that public knowledge of the program is “probably the biggest issue right now.”

SCHOOL BUDGET

Also on Monday, the City Council and School Committee held the first joint workshop of the year, with Superintendent Katy Grondin briefing officials on what could be in store for the 2020-21 school budget.

Grondin said this year’s budget of $44.9 million, and its associated property tax impact, will likely increase given a number of factors. They include regular salary and health insurance increases, positions based on needs and a projected decrease in enrollment and subsidy based on “disadvantaged” students.

The School Committee will begin a series of budget workshops Wednesday, and the City Council was asked to give school officials direction as to the possible tax impact it would like to see for next year’s budget.

CITY MANAGER’S CONTRACT

The City Council also voted unanimously Monday to extend City Manager Peter Crichton’s contract agreement through June 30 of this year.

Last week, Crichton announced he would retire from Auburn at the end of the fiscal year, to be replaced by current Assistant City Manager Phil Crowell.

There was no comment from councilors Monday.