Norwich — The Harbor Management Commission on Tuesday stopped short of endorsing a plan for the city to purchase the former Shetucket Iron & Metal scrapyard, but will research the terms of an upcoming auction and hopes to present a case to the City Council in July that the city should invest in its waterfront as the city's greatest asset, members said.

The 3.68-acre former scrapyard property at 7 New Wharf Road will be auctioned at noon July 29 as part of the dissolution of the company, owned by members of the Seder family. The scrapyard property's status as an "existing nonconforming use" still would be valid if another scrapyard purchased the property.

“I think this is probably a once-in-a-lifetime opportunity to work on the river,” Alderman and commission member H. Tucker Braddock said. “People have said for a number of years 'let's get rid of the scrapyard.' This is the best opportunity to get rid of the scrapyard.”

Braddock hopes to use the New Wharf Road property as a city park, with a handicapped-accessible fishing pier and possible music venue. Another option would be for the city to partner with a private buyer to promote a water-dependent use, such as a boatyard, for the property.

“I was down there five days ago, and someone caught a 49-inch bass,” Braddock said.

The commission did not vote on the issue, but members agreed to research the terms of the upcoming auction and possible avenues for acquiring it and cleaning up the property. While it was too late to add the item to the July 5 City Council agenda, the commission hopes to give a presentation at the July 17 City Council meeting.

Harbor Management Commission Chairman and Alderman Gerald Martin expressed concerns about the city's potential use for the scrapyard, including that the property would not make the best alternative site for a city boat launch. But Martin agreed that the city should pursue both the New Wharf Road property and available waterfront land on Terminal Way in the Shipping Street former industrial district that the City Council opposed purchasing.

Martin said his top priority is to get the current city boat launch out of the Howard T. Brown Memorial Park, where it conflicts with festivals and events held at the park on key summer weekends and holidays.

But Martin said it will be an uphill battle getting support on the council for pursuing harbor improvement goals. “We do not have a lot of support by people on the council for some of these projects,” he said.

City Treasurer Michael Gualtieri, also a harbor commission member, said the best way to improve the city's financial picture would be to increase the city's grand list of taxable property with private investment in the city. He said he will contact attorney Mark Block, the court-appointed committee of sale for the auction, to learn the terms of the auction.

Martin said the commission would have to lobby the City Council to make the harbor a top priority, including reconsidering purchasing the Terminal Way property and the former scrapyard property. He acknowledged that freight rail tracks that line both sides of the Thames River are obstacles, but pointed out that East Lyme built a waterfront boardwalk adjacent to a railroad line.

Martin said preventing the New Wharf Road property from becoming another scrapyard “will increase the value of properties around it.”

Braddock said the city already has a $380,000 federal brownfields assessment grant that could be used for a new environmental study of the New Wharf Road property.

Harbor Management Commission consultant Geoff Steadman read from the commission's September 2011 “Waterfront Vision” report on the larger 22-acre New Wharf area.

“A mix of public facilities, uses, and spaces are envisioned, including an outdoor performance venue, open-air marketplace, public fishing piers and waterfront walkways and other outdoor recreation facilities,” the report stated.

c.bessette@theday.com