On behalf of Downtown Frederick Partnership, I am writing to request your support for the Joint City/County Memorandum of Understanding for land acquisition and other related improvements to support a privately owned downtown hotel and conference center. The Partnership is a passionate advocate for the Downtown Frederick Hotel at Carroll Creek. Creating this needed infrastructure will result in benefits to Downtown Frederick, the City of Frederick and Frederick County. Studies have shown that travelers spend more when they spend the night – an increase in spending that exceeds the cost of their hotel room. According to data from the State of MD and Tourism Economics, in 2020, travelers to Maryland spent an average of $133 for a daytrip as compared to $858 when staying overnight. This additional spending will benefit the 250 small, independent restaurant, craft beverage, retail and service businesses who call Downtown Frederick home. Professional businesses in Downtown Frederick and beyond will benefit from having a place to meet, learn, innovate – making for a stronger business community overall. Hotels and meeting facilities built in historic city centers like Frederick become catalysts by inducing additional investments in the surrounding area. For all these reasons and more, the Downtown Frederick Hotel at Carroll Creek is critical and needed infrastructure that will benefit downtown and the City as a whole. As a result, the Partnership urges your support for this MOU. Kara Norman, AICP; Partnership Executive Director
Rick Weldon, President/CEO- Frederick County chamber of Commerce
I write in my official capacity as the President/CEO of the Frederick County Chamber of Commerce to request your favorable consideration of the Joint City/County Memorandum of Understanding in support of the land acquisition, site preparation, design and streetscape improvements to support a privately built and owned downtown hotel and conference center. Our 23-member Board of Directors, representing a wide variety of sectors, has reiterated their support of the Downtown Hotel and Conference Center, as the Chamber's #1 civic infrastructure priority. This has been our consistent position for well over a decade, through all of it's various iterations. The Chamber Board recognizes the absolutely transformative nature of this project, which will undoubtedly be the next incremental evolution in the future of the Carroll Creek linear park and the expansion of significant commercial development towards East Patrick Street. As with past projects such as the condominiums, the C. Burr Artz Library and the Delaplaine Arts Center, each one of these projects has spurred substantial commercial investment. The full-service Marriott-branded hotel and meeting/conference facility along the Creek will do the same, if not even in a more significant way. We certainly understand and respect the caution over the use of public resources on private economic development projects. We do NOT minimize the challenges of using public sector investment on projects such as this, but we also fully acknowledge that projects like can have a significant overall public benefit, as evidenced by the various studies and reports generated, most recently the Hunden Strategic Partners study in 2018-2019. Therefore, the Frederick County Chamber of Commerce strongly urges your favorable consideration and adoption of the subject MOU, which defines a historic and significant partnership between the City and County government to advance this transformational project.
Dave Ziedelis, Executive Director, Visit Frederick:
Hello Mayor & Board – on behalf of the Tourism Council of Frederick County (DBA Visit Frederick), we are enthusiastic supporters of the Downtown Hotel and Conference Center – and to certainly approve this Memorandum of Understanding (MOU) between The City of Frederick and Frederick County for Funding Purchase of Real Property. We believe this project will undoubtedly provide tremendous economic impact for our community, lead to substantial job creation, build and strengthen our tax revenues, and be a driver for increased visitation and tourism to our overall area. The location of this endeavor along beautiful Carroll Creek Park, and in the heart of our Hip and Historic Downtown, is absolutely perfect. The proposed full service Marriott will give us our first property in the County that is in a category that we currently do not have….what is commonly known in the industry as Upper Upscale. Redeveloping this site in a historic downtown comes with costs and challenges that using a greenfield site off of an interstate exit would not incur – and this is why full service hotels in downtown areas are typically successful public private partnerships. We have therefore also developed our own Frederick County Hotel and Conference Facility Development Incentive Program in full support of this type of stimulating project. This is the right project and the right partnership – and it will be the next great positive game changer for Downtown Frederick! Thank you for your attention and consideration.
Peter Samuel, Downtown Frederick: on XI.2
Mayor & Board: Back in 2010 the City's first feasibility study of the Downtown Hotel consultants said $12.5m was "needed" as taxpayer support after the developer raised $32.5m -- a private/public 72/28 ratio. Now in 2022 it supports $70m of volunteer private capital and asks of taxpayers only $4.5m, a 94/6 private/public split. Way better!
The 'procurement' by the City of its favored developer in 2014/2015 was a gross giveaway! $38 millions of taxpayer dollars for $82m of lodging for the visiting wealthy. Ethically grotesque. The resulting MOU between the City and Plamondon in 2015 was a 53/47 private/public split. Much too big an ask. It didn't fly. But it didn't crash. It tottered on.
The seven years since the awful MOU deal of 2015 have seen the project progressively improved as the State of Maryland, to its credit, kept saying No to State-$s for the hotel. By 2018 Plamondon had agreed to take responsibility from the City for the conference center. The City still had a $22m bill, the biggest item being on-site parking in the form of a $16m+ underground parking garage with a 'podium' or platform above to hold the hotel. The private/public was now 69/31.
Now we're told quietly (personal email) the expensive underground garage and podium has been dumped. Regular surface parking will do. Some will deplore the aesthetics, but this transforms the financial arrangements for the better. Since the first MOU of 2015 Plamondon has upped his willingness to self-finance from $44m to $70m and the City's commitment has been cut from $34m to $4.5m. That's progress for all to celebrate -- even if does highlight the folly and irresponsibility of the 2015 deal.
But the big question remains: why are there ANY taxpayer dollars supporting this business venture? Why can't it raise all its capital from volunteer investors and lenders?
In May last year you voted Pete Plamondon $150,000. We taxpayers helped pay for "diligence activities" (MOU#5) to address the viability of the hotel post-covid. Three weeks ago (Jan 25) at a County Workshop Pete Plamondon said he'd recently received the undated financial advice, a report which he said was "very, very positive" about the prospects for the hotel. That's a report the City helped to pay for and it must, I submit, be regarded as a public document. Please vote at your Thursday meeting to require Mr Plamondon to release this latest publicly funded report. end
On behalf of Downtown Frederick Partnership, I am writing to request your support for the Joint City/County Memorandum of Understanding for land acquisition and other related improvements to support a privately owned downtown hotel and conference center. The Partnership is a passionate advocate for the Downtown Frederick Hotel at Carroll Creek. Creating this needed infrastructure will result in benefits to Downtown Frederick, the City of Frederick and Frederick County. Studies have shown that travelers spend more when they spend the night – an increase in spending that exceeds the cost of their hotel room. According to data from the State of MD and Tourism Economics, in 2020, travelers to Maryland spent an average of $133 for a daytrip as compared to $858 when staying overnight. This additional spending will benefit the 250 small, independent restaurant, craft beverage, retail and service businesses who call Downtown Frederick home. Professional businesses in Downtown Frederick and beyond will benefit from having a place to meet, learn, innovate – making for a stronger business community overall. Hotels and meeting facilities built in historic city centers like Frederick become catalysts by inducing additional investments in the surrounding area. For all these reasons and more, the Downtown Frederick Hotel at Carroll Creek is critical and needed infrastructure that will benefit downtown and the City as a whole. As a result, the Partnership urges your support for this MOU. Kara Norman, AICP; Partnership Executive Director
Rick Weldon, President/CEO- Frederick County chamber of Commerce
I write in my official capacity as the President/CEO of the Frederick County Chamber of Commerce to request your favorable consideration of the Joint City/County Memorandum of Understanding in support of the land acquisition, site preparation, design and streetscape improvements to support a privately built and owned downtown hotel and conference center. Our 23-member Board of Directors, representing a wide variety of sectors, has reiterated their support of the Downtown Hotel and Conference Center, as the Chamber's #1 civic infrastructure priority. This has been our consistent position for well over a decade, through all of it's various iterations. The Chamber Board recognizes the absolutely transformative nature of this project, which will undoubtedly be the next incremental evolution in the future of the Carroll Creek linear park and the expansion of significant commercial development towards East Patrick Street. As with past projects such as the condominiums, the C. Burr Artz Library and the Delaplaine Arts Center, each one of these projects has spurred substantial commercial investment. The full-service Marriott-branded hotel and meeting/conference facility along the Creek will do the same, if not even in a more significant way. We certainly understand and respect the caution over the use of public resources on private economic development projects. We do NOT minimize the challenges of using public sector investment on projects such as this, but we also fully acknowledge that projects like can have a significant overall public benefit, as evidenced by the various studies and reports generated, most recently the Hunden Strategic Partners study in 2018-2019. Therefore, the Frederick County Chamber of Commerce strongly urges your favorable consideration and adoption of the subject MOU, which defines a historic and significant partnership between the City and County government to advance this transformational project.
Dave Ziedelis, Executive Director, Visit Frederick:
Hello Mayor & Board – on behalf of the Tourism Council of Frederick County (DBA Visit Frederick), we are enthusiastic supporters of the Downtown Hotel and Conference Center – and to certainly approve this Memorandum of Understanding (MOU) between The City of Frederick and Frederick County for Funding Purchase of Real Property. We believe this project will undoubtedly provide tremendous economic impact for our community, lead to substantial job creation, build and strengthen our tax revenues, and be a driver for increased visitation and tourism to our overall area. The location of this endeavor along beautiful Carroll Creek Park, and in the heart of our Hip and Historic Downtown, is absolutely perfect. The proposed full service Marriott will give us our first property in the County that is in a category that we currently do not have….what is commonly known in the industry as Upper Upscale. Redeveloping this site in a historic downtown comes with costs and challenges that using a greenfield site off of an interstate exit would not incur – and this is why full service hotels in downtown areas are typically successful public private partnerships. We have therefore also developed our own Frederick County Hotel and Conference Facility Development Incentive Program in full support of this type of stimulating project. This is the right project and the right partnership – and it will be the next great positive game changer for Downtown Frederick! Thank you for your attention and consideration.
Peter Samuel, Downtown Frederick: on XI.2
Mayor & Board: Back in 2010 the City's first feasibility study of the Downtown Hotel consultants said $12.5m was "needed" as taxpayer support after the developer raised $32.5m -- a private/public 72/28 ratio. Now in 2022 it supports $70m of volunteer private capital and asks of taxpayers only $4.5m, a 94/6 private/public split. Way better!
The 'procurement' by the City of its favored developer in 2014/2015 was a gross giveaway! $38 millions of taxpayer dollars for $82m of lodging for the visiting wealthy. Ethically grotesque. The resulting MOU between the City and Plamondon in 2015 was a 53/47 private/public split. Much too big an ask. It didn't fly. But it didn't crash. It tottered on.
The seven years since the awful MOU deal of 2015 have seen the project progressively improved as the State of Maryland, to its credit, kept saying No to State-$s for the hotel. By 2018 Plamondon had agreed to take responsibility from the City for the conference center. The City still had a $22m bill, the biggest item being on-site parking in the form of a $16m+ underground parking garage with a 'podium' or platform above to hold the hotel. The private/public was now 69/31.
Now we're told quietly (personal email) the expensive underground garage and podium has been dumped. Regular surface parking will do. Some will deplore the aesthetics, but this transforms the financial arrangements for the better. Since the first MOU of 2015 Plamondon has upped his willingness to self-finance from $44m to $70m and the City's commitment has been cut from $34m to $4.5m. That's progress for all to celebrate -- even if does highlight the folly and irresponsibility of the 2015 deal.
But the big question remains: why are there ANY taxpayer dollars supporting this business venture? Why can't it raise all its capital from volunteer investors and lenders?
In May last year you voted Pete Plamondon $150,000. We taxpayers helped pay for "diligence activities" (MOU#5) to address the viability of the hotel post-covid. Three weeks ago (Jan 25) at a County Workshop Pete Plamondon said he'd recently received the undated financial advice, a report which he said was "very, very positive" about the prospects for the hotel. That's a report the City helped to pay for and it must, I submit, be regarded as a public document. Please vote at your Thursday meeting to require Mr Plamondon to release this latest publicly funded report. end