Downtown business owners had some mixed reviews Tuesday for St. John’s City Hall after the first phase of the Water Street infrastructure project clewed up earlier this month.
A project liaison hired to communicate with businesses throughout construction went over well, but businesses caught in the first phase of the project — from Waldegrave Street to Bishop’s Cove — felt a pinch.
Jill Evely, manager of Starbucks on Water Street, told attendees at a meeting at city hall that her business saw a 20 per cent decrease in sales, largely attributed to a decrease in foot traffic through the area.
The city did make efforts to keep vehicle and foot traffic open throughout construction, but business owners say the perception of a closed off downtown likely kept people away.
“Every time something like this happens, it affects us. I think it’s incumbent on the city to lessen this the best they can,” said Julie George, owner of the Golden Tulip and Del Sol, both on Water Street.
One option discussed was increased advertising for businesses in the affected area, to help promote businesses and show the downtown is still open, regardless of the construction.
Another request brought forward was some kind of tax break or other compensation for businesses unduly affected by city construction work.
Council finance chair Coun. Dave Lane says such a move would be tricky, but it’s a policy being adopted in other Canadian cities, like Montreal.
“If we come up with a compensation solution for downtown businesses affected by the Water Street construction, we would have to find a solution that’s applicable across the city,” said Lane.
“We have to be careful about a precedent. We wouldn’t be able to do it for one business or one section of businesses — that’s why we’d have to tread carefully. I think it’s totally worth looking at.”
George isn’t too keen on tax breaks, but is hopeful something can be done to make the next phase of the project — due to start in April 2019 — easier on businesses from Bishop’s Cove to Ayre’s Cove.
“I’m not sure about tax breaks and things like that. The city has commitments it needs to live up to as well,” she said.
“There’s not a lot we can do to prepare for something that we have absolutely no control over. It’s out of our hands what happens with the dig itself. That’s why we have to consult so closely with the city.”
Another suggested option was to work on the project only overnight.
Lane says the city has considered that route, but it would prove a disruption to residents and hotel guests on Water Street, which could have its own negative effect.
The discussion at Tuesday’s meeting will go back to city staff to determine what can be done to mitigate effects for future phases of the project. A “What We Heard” document is expected to be released in the coming weeks.
The $15.5-million project is scheduled to be completed by 2022.
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