BANGOR – City councilors Monday night awarded $92,500 in grants for three Bangor cultural institutions.

They delayed action, however, on a planned $1 million makeover for West Market Square and on a waterfront purchase and development option that is key to a proposed mixed-use commercial building.

The three grants city councilors awarded had been reviewed by the city’s Commission on Cultural Development, a panel charged with screening applications for the funding the city sets aside each year for cultural groups, activities and projects.

This year’s funding pot for cultural affairs totals $125,000.

Receiving grants as recommended by the cultural commission and approved by the council will be:

. American Folk Festival, $75,000 in support of the three-day annual event, which costs about $1 million to put on. This year’s festival will take place Aug. 24-26 at Bangor Waterfront.

. Bangor Museum and Center for History, $10,000 toward a $3.25 million capital campaign aimed at developing state-of-the-art exhibits and archival space in the museum’s new home on Broad Street.

. Bangor Symphony Orchestra, $7,500 in support of “Know Your Orchestra,” a $49,797 concert featuring the BSO along with the Kruger Brothers, Abbot Hill Ramblers and Bangor Fiddlers. The concert is set for March 21 at Bangor High School’s Peakes Auditorium.

The council’s decision not to include $1 million for the West Market Square redesign project in their next general bond issue had more to do with the dollar amount than a lack of support.

“West Market Square is the heart of our downtown, but it’s a heart that needs surgery and a second opinion,” Councilor Gerry Palmer said during Monday’s meeting.

“The question is: Can we afford $1 million?”

To that end, the council reduced the bond issue total by $1 million, leaving $1,375,000 for reconstruction of the Hammond Street parking deck, a project expected to cost $1 million, and for repairs to the Pickering Square Parking Garage, which will cost about $375,000.

The 20-year bonds will be repaid through the proceeds of the newly formed downtown tax-increment-financing district.

City Manager Edward Barrett said the councilors can take steps to fund the West Market Square project at a later time, if they so choose.

The proposed purchase and development option put on hold Monday involves a Front Street parcel at Bangor Waterfront.

Bangor businessman Larry Springer wants to buy the parcel so that he can build a 21/2-story commercial building overlooking the Penobscot River.

During earlier meetings with city officials, Springer said his plans call for a nearly 27,000-square-foot building consisting of a long, narrow structure with a turret-style section at one end.

The octagonal turret would house a restaurant. The street level of the long, narrow section likely would house boutique-style retail shops, while the upper level would house offices.

Springer also plans to build a terraced patio overlooking the river to take advantage of the view.

During the meeting, the matter was referred back to the council’s business and economic development committee to continue work on remaining details.

Also Monday, the councilors:

. Granted special amusement permits to Carolina Sports and Spirits at 16 Union St., the Sea Dog Brewing Co. at 26 Front St., Judy’s at 125 State St. and Paddy Murphy’s at 26 Main St.

. Authorized liquor licenses for Paddy Murphy’s and the Lunchbox Cafe at 34 Main St.