Aiken City Council to meet for first time after Project Pascalis failure

Oct. 9—The Aiken City Council is set to meet for the first time since Project Pascalis was stopped.

City council is expected to meet at 5 p.m. Monday for a work session and at 7 p.m. for a regular meeting. An executive session for the council to receive a legal update and advice on the failed $75 million downtown redevelopment project known as Project Pascalis is included in the agenda for the work session.

The project was focused on the block surrounded by Richland Avenue, Laurens Street, Park Avenue and Newberry Street.

Preliminary redevelopment plans announced included the demolition of the vacant Hotel Aiken and a building next to it on Laurens Street and the construction of a 100-room hotel in their place. The Holley House and several buildings located between it and Newberry Street, including most of the former C.C. Johnson Drug Store, would be demolished to make way for an apartment complex and parking garage. The city's former municipal building would be expanded into a conference center.

The project failed to move forward because the potential developer, RPM Development Partners, and the Aiken Municipal Development Commission, the owner of the properties to be redeveloped, terminated the agreement to sell RPM the properties if the two sides reached an agreement on a master redevelopment plan.

Aiken Municipal Development Commission Chairman Keith Wood and Vice Chairman Chris Verenes made statements after the Sept. 29 vote saying the commission voted to end the project because the law for finding a developer for the project wasn't followed and that they were mislead to believe that the law had been followed.

Aiken Mayor Rick Osbon said the commission did the right thing to end the project but added he was disappointed that the project wouldn't be moving forward.

"I have confidence in the AMDC," Osbon said. "I think that they'll come forward and work with the community. There was a big movement in the community to do it right, and I think all of us stand by that including the AMDC."

He said stopping the project also opened the opportunity to restore the hotel rather than demolish it.

"Processes aren't always enjoyable at the time, but I think you have to judge a project on what the end result will be," Osbon said. "I'm confident that AMDC will have a project that will make all of Aiken proud."

He also said the statements made by Wood and Verenes didn't change his respect for them and their leadership on the commission. Osbon said he was sure they would continue on for the betterment of the city.

Aiken City Councilman Ed Woltz said the council and commission had agreed to stop the project.

"I think they did exactly the right thing, and I admire them for doing it," Woltz said.

Woltz said Wood and Verenes were men of character, and it took a lot of fortitude for them to make their statements.

Aiken City Councilwoman Gail Diggs said she was appreciative of the commission's service, and she supported the decision.

She added she was anxiously awaiting to see the presentation of new plans for a favorable development project.

Diggs said she appreciated the openness and honesty of Wood and Verenes.

Aiken City Councilman Ed Girardeau said he didn't disagree with the commission's decision. He added the commission did not meet with the council before taking the vote to start over.

He also said that he didn't agree with Wood and Verenes that they had been mislead.

Aiken City Councilwoman Lessie Price said she had high regards for the people who volunteered to serve on the commission and their integrity. She added she looked forward to further discussion about what will come next.

Aiken City Councilwoman Kay Brohl said she hoped going forward everyone can work together for the good of the city.

Aiken City Councilwoman Andrea Gregory said she trusted the commission's decision. She said the city council had appointed a very capable group of individuals and gave them autonomy to "take the project to new heights."

"They did just that," she continued. "Like any bold project, this one ran into its own set of 'hiccups.' No one is perfect and errors were made along the way. I am certain that any successful municipality, entrepreneur and/or small or large business has run into various obstacles and mistakes on their path to success. The City of Aiken is no exception."

She said the city compensates capable people to prevent errors in areas that require attention to detail and a careful throughput, so the city is not violating its own rules and all of city council is involved in the decision.

"Therefore, I have asked that some changes be made at the city level and will be persistent until all necessary changes are complete," Gregory said. "As part of any project, it's OK to revisit certain areas and continue to work towards seeing the various visions into fruition. All while learning and adjusting through errors and mistakes but making certain we prevent these errors and mistakes from re-occurring in the future."

She said she was ready to step back, reassess and see how the city can spark new traction with this project or the individual projects that will address the immediate downtown needs. Gregory said the city needed to and she would make every effort to incorporate the community in all communication as the work to improve the downtown areas in dire need of attention.

"I have heard all week from the very small group of citizens against this project that Aiken 'won,'" Gregory said. "I disagree. Aiken did not win. Aiken is far from victory. Aiken is just getting started on a journey that will meet buy-in and resistance no matter what direction is taken with development. That is OK. I welcome that buy-in and that resistance. I welcome the various schools of thought, ideas, passions, etc. ...that make Aiken a very integrated and involved community. For the City of Aiken to improve the downtown, Eastside and the Northside we need visionaries and marketers that will influence people to invest. Not scare them away. We need people that understand our city and will push back or support projects for all the right reasons and with integrity."

Gregory added her past, present and future is the city and she supports a community-based vision that will drive downtown improvement and become something everyone can all be proud of.

"It won't be easy, but we have to commit to our city, and her future," she said.

The legal advice the council could receive Monday may also involve the city's response to a lawsuit that was filed July 5 to stop the project on several technical grounds.

The plaintiffs in the lawsuit include Luis Rinaldini, David Blake and the Historic Aiken Foundation. The defendants include the City Council, Aiken Municipal Development Commission, the Design Review Board, RPM and its parent company Raines Development.

The defendants have asked for the lawsuit to be dismissed. Those motions are set to be heard Oct. 18.

Prior to the executive session Monday, city council will discuss its options for regulating short-term rentals.

During the regular meeting, the council will also consider the second and final readings of ordinances annexing and zoning a home on Town Creek Road and a parcel of land at 123 and 154 Ginger Lane and the first reading of an ordinance spending excess accommodations tax revenue.

Petitions on the agenda include leasing space at the H. Odell Weeks Activities Center for the Volunteer Income Tax Assistance Program and receiving a $306,625 grant from the South Carolina Department of Parks Recreation and Tourism for the rehabilitation of Smith-Hazel Recreation Center.

The council will also consider a proclamation recognizing Bill Collins for his service as a tax preparer for the Volunteer Income Tax Assistance program.

City council meetings are held in the city council chambers on the third floor of the municipal building located at 111 Chesterfield St.