Loring authority faces the heat, announces layoffs> Higher fuel bill, fewer federal funds force board to pare maintenance staff

LIMESTONE — Faced with either heating buildings this winter or keeping everybody working, the Loring Development Authority of Maine decided Wednesday to reduce its maintenance staff by more than 30 percent.

With slightly less federal funding and an increased fuel bill this year, the group charged with redeveloping the former Air Force base will lay off 10 people. One vacant position will not be filled, according to the recommendation by LDA President Brian N. Hamel.

The layoffs are effective Sept. 30, when the federal government’s fiscal year ends.

Further cuts are anticipated through reducing the contract amount allowed for fire protection, which is provided by a private contractor. That work force could be reduced from 17 to 13 people, according to Hamel.

The LDA cuts come from the side of the reuse effort that maintains the grounds, buildings and other physical aspects of the former bomber base. Currently there are 30 people, hired about two years ago, employed for that purpose.

The other part of the LDA is operations, which includes the administration of the reuse effort. This branch, which employs seven people, is not affected by the reductions.

The problem arose when the inventory of fuel oil left by the Air Force ran out and the LDA had to purchase its own. Last year, about 400,000 square feet of building space was heated.

This year, reuse officials determined that 900,000 square feet of potentially reusable space should be heated. About 430,000 gallons of fuel are needed, costing an estimated $368,000.

Since federal funding for the next fiscal year was reduced by $18,000, Hamel estimated that about $366,000 needed to be pared from the caretaker’s budget.

Six employees will be eliminated from the road and grounds maintenance budget. The lawn mowing will be subcontracted out to a private entity that would be allowed to use LDA equipment.

The building maintenance crew will lose four employees, and the currently vacant position of maintenance controller will not be filled, saving $26,000.

Other savings will be realized through less maintenance needed at off-base sites, which will be transferred to other parties.

“The ultimate decision to reduce the work force is a sound business decision and represented a proper prioritization of our funding dollars,” Hamel said in his recommendation.

Affected employees were scheduled to be notified on Wednesday. Each employee laid off will receive two weeks of severance pay and will be paid for unused vacation time.

Hamel said the work-force reduction will have not affect the LDA’s need for continued caretaker funding from the Air Force. Traditionally, funding to maintain the base is terminated when the property ownership is transferred from the military to another entity.

However, LDA officials have negotiated a deal to continue funding through 2004, about seven years more than usual. Part of the agreement is that the reuse agency continues to create jobs at the base.

Hamel said after the meeting that this agreement has nothing to do with LDA staff but concerns the creation of private-sector jobs at the base.

In July, the board approved a 5 percent cost-of-living increase for LDA as well as a $8,500 bonus for Hamel because of his performance during the last year.

In other activity, LDA trustees awarded its fire-protection contract to Paul Barnes Inc., which does business as Loring Fire Department. The company, which has provided the service in the past, competed with the municipal department in Limestone.

Although the town’s bid of $508,516.41 was lower than Paul Barnes’s bid of $542,114.84, Hamel recommended that the incumbent’s experience and performance was invaluable in providing fire protection at the base. The majority of Barnes’ workforce were former firefighters at Loring and had 120 years of collective experience.

Hamel said there may be a time when Limestone may be able to provide the fire-protection service. But, he added, “I do not believe the time is today.”

Hamel cited nine reasons why Limestone could not fulfill the contract requirements, including the volunteer nature of its firefighters.

During a public comment period, Limestone resient Bob Ward said the request for proposals for the fire-protection contract was written with the current provider in mind. There was no way Limestone could compete with Barnes, Ward said.