BANGOR – City councilors approved Monday night a purchase option agreement with one of downtown’s longtime anchor businesses, and authorized an application for grant money to improve the exterior of Norumbega Hall, now the headquarters of Eastern Maine Development Corp.

But with the city still riding high on the success of last weekend’s American Folk Festival on the Bangor Waterfront, the topic that generated the most discussion throughout the meeting wasn’t even on the council’s agenda.

Festival Executive Director Heather McCarthy’s brief appearance during the public comments portion of Monday’s regular council meeting drew a round of applause from councilors, staff and others in attendance.

McCarthy also brought along copies of an American Folk Festival sampler CD recorded during this year’s festival, which ran Friday through Sunday, as a token of the organizing committee’s appreciation for the city’s role in putting the festival on.

“I appreciate this opportunity to thank you for your support,” McCarthy said during the meeting, listing the boost the festival received from many city departments and divisions. The city also is a major sponsor, this year kicking in $75,000 of its $125,000 budget for arts and cultural development.

Among McCarthy’s anecdotes about this year’s festival were that the festival’s “bucket brigade,” which last year collected $45,000 from festival attendees, surpassed the $60,000 mark last weekend.

In addition, she said Bass Park parking revenues were up from last year, and that she had heard one food vendor tell another that the city’s health inspection program was the most rigorous seen in Maine.

“We’re certainly moving in the right direction in all ways,” she said.

In other meeting business, councilors unanimously approved a purchase agreement with Brad Ryder, owner of Epic Sports, which has operated out of the historic brick W.T. Grant Building at 6 Central St. since 1997.

Ryder has been leasing his store’s space since the business opened nine years ago as Bangor Outfitters.

Officials noted that Ryder took a risk when he opened his store in the former department store, which had been vacant for years when the city bought it in 1996 through its community development program.

Councilor Gerry Palmer said Ryder’s move predated the renaissance downtown Bangor now is experiencing.

“He took the risk when no one else would,” Palmer said of Ryder, adding that Ryder worked hard and “thrived and survived” despite the odds against him.

Councilor Geoffrey Gratwick concurred, adding that Epic Sports has been “a real anchor to downtown revitalization.”

Epic Sports’ part of the building, which also houses the University of Maine System, consists of most of the ground level, basement and subbasement space, and part of the mezzanine.

The terms approved Monday set the purchase price at $277,900, a figure that reflects the space’s appraised value of $350,000, less $72,100 in improvements Ryder made. The purchase cost will be financed by the city at 5.5 percent interest over 20 years.

Ownership became possible when the city divided the building into two units.

The university acquired the upper levels last fall as part of a property swap with the city, which in exchange received the system’s land and three buildings at 107 Maine Ave.

Also Monday, councilors agreed to apply for a $17,000 Municipal Investment Trust Fund grant on behalf of EMDC, which would use the money to improve the Harlow Street side of the exterior of its headquarters at Norumbega Hall.

The project aims to improve the parking area, enhance security and allow for the development of what EMDC President Jonathan Daniels last week described as a “sculpture garden” for the display of statues belonging to the University of Maine Museum of Art, also located at Norumbega Hall.