Board Lifts Ban on Discussion

Conversation flowed freely Monday evening, as the Board of Selectmen popped the cork on a recently bottled-up discussion over the Option to Lease at 35 Leroy Avenue.

The Option to Lease has been discussed—and not discussed—quite a bit as of late.

The history of the document dates back to 2007, when the Representative Town Meeting approved the purchase of the $4.2 million former library property, and the Board of Selectmen decided to use the land for affordable housing. On Aug. 3 of this year, the Board of Selectmen approved the Option to Lease 35 Leroy with a prospective developer, Mutual Housing Association (MHA). The document, drafted by the Board of Selectmen and Town Counsel, is a roughly two-year agreement that will allow MHA to approve land use and secure financing for the proposed affordable housing development; both are necessary but not sufficient steps to drafting a Ground Lease.

But not everyone wants a Ground Lease; and not everyone is happy about the Option. In response to members’ apprehension, the RTM Rules committee voted unanimously at their Sept. 14 meeting, to include an “Informational Update” on the general RTM’s Sept. 28 agenda. That presentation, led by lawyer and RTM Town Government Structure and Administration Committee member Samuel Schoonmaker (District IV), ensued as planned; but when Selectman David Bayne asked to comment on the “update,” he was denied the opportunity.

“This is an 'informational update,' not a conversation. I am perfectly happy to have Mr. Fox answer questions of fact, but we cannot continue to pursue this,” said RTM Rules Committee Chair and Moderator, Karen Armour.

Selectmen, RTM members, and TV79 viewers alike were shocked at Armour’s ban-on-discussion, a move First Selectwoman Evonne Klein described as “hurtful to the system and disrespectful to the executive branch of government.” Bayne had good reason to address the RTM, she said; Schoonmaker’s presentation was rife with factual errors.

Hence, item “a” on the Board of Selectmen’s, Oct. 5 Agenda: Discussion on the Representative Town Meeting of Sept. 28.

Klein sent notice of the particular agenda item to Armour in an e-mail dated Sept. 30 and asked that she relay the message to the full RTM, welcoming their participation. It was not until Oct. 5—two hours before the Board of Selectmen were due to meet—that Armour sent Klein’s notification to District Chairs. As a result, turnout was meager. Only a handful of RTM members attended, including Flora Smith (District I) and Barbara Thorne (District II).

“I appreciate the comments made overall and I respect the work of the RTM,” said Klein of the Sept. 28 meeting. “Because we disagree on issues doesn’t mean there is a lack of respect. One of the issues was that we did not have an opportunity to rebut inaccuracies in Schoonmaker’s update.”

And so, at 8 p.m., with the ban on discussion lifted, the Selectmen addressed what they perceived as inaccuracies, one by one:

Schoonmaker: “I know of no piece of property in Darien dedicated to a single use for 200 years.”

The Option to Lease at 35 Leroy Avenue sets forth the general terms of the yet-to-be-negotiated Ground Lease as a 99-year lease with an option to renew the lease for an additional 99 years. 

Klein said that contrary to Schoonmaker’s comment, the development at Clock Hill, approved by the RTM in 1993, sets precedent for this kind of an agreement.  The language from the Clock Hill lease was used in the 35 Leroy Option.

Bayne added that 99 years “isn’t that long,” considering that the owner-occupied units (the neighbors made it clear that they did not want rentals) at 35 Leroy will require a standard 30-year mortgage.

Selectwoman Callie Sullivan suggested that the board draw up a chart of comparison to share with the public; a plan she said would show developments at Clock Hill and 35 Leroy as having “similar blueprints for success.”

Schoonmaker: “The economics on the face of it are very unattractive.”

According to Klein, affordable housing is the only use of the property that will generate revenue, and the financial return will be similar to that of Clock Hill. The town received $17,671 from Clock Hill last fiscal year and expects a $21,000 return from 35 Leroy ($1,000 per unit).

Bayne added that Schoonmaker’s assumption that the land would not appreciate in value was “unfair,” judging by the history of the land’s value, which shows appreciation over time.

“The point here is that return on capital is not what you look at when a town purchases a town for municipal need,” he said. “These are not moneymaking ventures, but will bring us closer to the ultimate goal of 8-30g and reaching that 10 percent.”

State law 8-30g intends to encourage affordable housing. It mandates that in a town where less than 10 percent of the housing stock is affordable—priced for those earning 60 to 80 percent of the state's median income—developers are allowed to put up projects that are denser than the town would normally permit. The proposed development at 35 Leroy Avenue will bring Darien closer to that 10-percent goal. Towns that show progress are cut some slack; an increase of affordable housing by two percent results in a temporary moratorium.

Selectman Seth Morton said that over $8 million has been spent defending the town from 8-30g. It’s a battle, he said, that is ongoing:

“It’s an obligation to the town to fight, and it goes on every day. No one wants to talk about the very real costs of not doing anything,” he said. “The clock’s ticking and the money’s flowing out.”

Schoonmaker: “A senior center, a community center, or some other use. I’ve heard this should be luxury housing. There are all kinds of ideas out there.”

After prolonged debate, research and public comment, the Board of Selectmen deems affordable housing the “highest and best use” of the site at 35 Leroy Avenue. They said that since the site was first purchased back in 2007, the RTM has been free to form their own “best-use committee.” Selectwoman Linda Santarella singled out the RTM Planning, Zoning & Housing Committee as an already-formed group capable of performing such a survey.

Klein said a senior center is neither physically possible nor financially feasible; the property at 35 Leroy does not allow for expansion and could not accommodate the current program and its growth, she said. Bayne added that the new Whole Foods is likely to bring traffic to the already congested downtown stretch—not ideal for senior drivers.

A community center would have the same problems: no gym, no pool—no room. Moreover, Klein said the option is not legally allowable, as the site cannot accommodate the parking required by regulation.

The board chuckled at the mention of luxury housing, which they said is not a traditional municipal use.

“It’s an invitation to an 8-30g where the use would be much more intense. One of the reasons we acquired 35 Leroy was to get out from under that,” Bayne said. “Either the town takes control of the issue, or we let the issue take control of us."

Schoonmaker: “This is being fast tracked on a route that you may or may not want to go.”

The town has owned the property at 35 Leroy Avenue for two years and has just recently entered into a two-year Option to Lease.

“Darien has a long history of knowing how not to act. Time is ticking, and I think it’s time that we move forward,” said Bayne.

Sullivan said there is a real need for affordable housing in the community.

“People come up to me all time and ask, ‘Why are the lists at Clock Hill so long?’ Others are singing the same tune as Seth, ‘Help me protect my property value.’”

While Klein was the only board member who wanted affordable housing at the site “straight out the gate,” said Santarella, each elected Selectman ran on a platform that considered affordable housing a priority. And Morton said it’s never been more important.

 “You can debate, and debate, and debate,” he said. “At some point, you gotta do something, because there is a sense of urgency here. A lot of money has been spent already, and it’s going to continue.”

With all of the perceived inaccuracies addressed, Klein opened the floor to public comment.

Thorne, former Selectman and current RTM Member (District II) addressed the board first. She said that she did not receive the e-mail from Armour, and expressed disappointment that Schoonmaker’s “Informational Update” was “neither factual nor up-to-date.” 

“Let’s move on. Let’s move on,” said Thorne, before thanking the board for allowing for open discussion on the agenda items.

Smith took the podium. She commented on the lean turnout, raising issue with the fact that the scheduled “discussion” coincided with the RTM Rules Committee Meeting (Smith, a Rules Committee member herself, asked that she be excused to give comment). Klein said that on numerous occasion, the Board of Selectmen has rescheduled their own meetings on behalf of the RTM Rules Committee.

“I’m not hearing anything conciliatory here. I’m hearing a lot of pushback and defensive stance,” Smith said. “We’re not getting any place.”

Sullivan said she did not know what “conciliatory” would look like but said she was proud of the affordable housing plan and the board’s progress to date; Klein agreed.

“I’m proud of this board for putting progress in front of politics,” Klein said.

Before opting to “bow out,” Smith said, “I don’t know where this is going to end up.”

Morton answered:

“There’s no doubt in my mind where this is going to wind up,” he said. “It’s going to wind up in an RTM meeting.”