HomeMy WebLinkAbout1996-05-07 Board of Selectmen Executive Session Minutes Board of Selectmen Meeting
Executive Session
May 7, 1996
The Executive Session was convened at 7:05 p.m. Present were Chairman Sally Hoyt, Vice
Chairman George Hines, Secretary Camille Anthony, Selectmen Bruce MacDonald, Town
Manager Peter Hechenbleikner, and from the Reading Housing Authority Donald Allen, Paul
Kelley, Robert Sweet and Peg Plansky.
Sale of Real Estate
Reverend Sweet noted that he had met with the Superintendent of Schools and Bob Cavicchi
from Boston Gas yesterday. With regard to the gas easement, in order to serve the Parker
Middle School, the Housing Authority approved a waiver of the $15,000 appraised value of the
easement for the School Department. The easement will be granted without cost to the School
Department and should be signed on Monday. George Hines commended the Housing Authority
for this settlement and expressed appreciation.
With regard to Summit Village, the Housing Authority has a meeting scheduled with Mr. Dolben
on Monday. The key words in the agreement on the affordable housing were "like, kind and
quality" with regard to the affordable units. There is dispute over the market units with garages
and the affordable housing units without garages, and their pricing.
The Reading Housing Authority understood that if the affordable housing unit buyers wanted
garages, that they could be made available. Don Allen noted that there are two other violations
of the agreement--the first Housing Authority unit was to be in Unit 2 and it is now in Building
7. Dolben has also substituted one unit for the other. With regard to the purchase price, Dolben
had insisted on the price being locked in, not as a percentage. George Hines asked about the
percentage as the cost increases. The options to settle the dispute are to sell the garages to the
affordable units at the discounted prices, or do some upgrades in the affordable units. They could
go to the court to enforce the contract, but it would cost time, money and effort. It was noted
that the units are still affordable. The first person buying the unit is harmed by the pricing.
Paul Kelly noted that the committee had been told that the market price for the Arlington unit
without a garage is $143,900. He claimed that Dolben has made false claims. He has subjected
himself, the Town, the Housing Authority and the Housing Partnership Committee to possible
trouble damages. There has been a misrepresentation. The lottery came up with an excellent
group of purchasers. He felt that they should take a hard position.
Bruce MacDonald suggested that they go in with strong position. George Hines noted that we
need to work as diligently as possible regarding an affordable discount. He reserves judgment
until all the facts are known. He suggested that we hear what Drew Dolben has to say, and see if
there is some middle ground.
Board of Selectmen Meeting=Executive Session-May 7, 1996 -page 2
Kelly noted that when they asked what the garage would cost, initially it was $2,000, and the next
day it was established at $8,000. Sally Hoyt noted that the Housing Authority needs the support
of the Board of Selectmen to go forward. Don Allen suggested that CPDC felt that the discount
was at 80%, not at a flat dollar amount. Camille Anthony asked about closing costs and whether
Drew Dolben can swallow any of those costs. It was indicated that he could not.
Reverend Sweet noted that Dolben will be at their meeting on Monday. Don Allen felt that there
was no "middle ground". Reverend Sweet noted that they should be as hard-nosed as possible, --
but if they fail, then perhaps they should come back to joint meeting with the Board of Selectmen.
He asked if the consensus of the Board of Selectmen was to agree to this approach. Reverend
Sweet noted that Dolben has clearly said that there would be discounting "upfront" to $134,900.
On motion by Anthony seconded by MacDonald, the Board voted on a roll call vote to adjourn
the Executive Session, with all four members present voting in the affirmative. On motion by
Allen seconded by Tim Kelly, the Housing Authority voted to adjourn on a roll call vote, with all
three members present voting in the affirmative.
The Board of Selectmen returned to Executive Session at 11:00 p.m. The Town Manager
updated them on the 25 Haven Street sale. A joint meeting between the Board of Selectmen
and the RMLD Board mail be held at an appropriate time.
On motion by Hines seconded by Ensminger, the Board voted to adjourn the Executive Session at
11:07 p.m. on a roll call vote, with all five members present voting in the affirmative.
Respectfully submitted,
Seeta
ry