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HomeMy WebLinkAbout2007-10-10-AC-min October 10, 2007 Minutes Town of Lexington Appropriation Committee October 10, 2007 Place and time: Cary Memorial Building, Robbins Room, 6:30 p.m. Members present: Alan Levine (Chair), Rod Cole (Vice-Chair), John Bartenstein (Secretary), Deborah Brown, Richard Eurich, Pamela Hoffman, Susan McLeish, Eric Michelson, Mike Kennealy, Rob Addelson (ex officio, non-voting). Also present: Susan Yanofsky The meeting was called to order at 6:38 p.m. with a quorum present. Discussion of Town Warrant Item 4 – Proposed TIF with Shire 1. . Rob Addelson started the discussion by indicating that a concern had arisen with respect to the lot lines in the parcel and it was concluded that it would be prudent to postpone the Article to give the Town the necessary time to perform its due diligence regarding the situation. It is not believed that this will have a material impact on the proposed TIF but the Town needs to be sure. A group met this morning (representatives from the Town and from Shire) and worked out a solution whereby instead of 3 parcels and a reconfiguration, Shire will request the creation of one large parcel for the TIF zone. This will enable the alignment of the parcels with a base value and will permit one TIF agreement instead of two agreements. The thinking is that the plot will be subdivided next year. In all likelihood, the TIF agreement will specify a base value from which the increment will be calculated (to eliminate any potential for creating value by subdividing). With the creation of one parcel, the value will be apportioned based on the assessed values. The new parcel will consist of a realigned 200 parcel, a realigned 300 parcel, and a portion of the 400 and 500 parcels. In 2008, the value of the parcels will be based on a value that anticipates the apportionment. Rob will rerun the numbers but the fundamentals have not changed – we may see slightly different TIF percentages but the total value of the proposed TIF will not change. A question was raised regarding the timing of this discussion, and Rob responded that all conversations had been about creating the 400 parcel but it was only recently that the Town realized that the lot lines were different. This would have created problems when the agreement was taken to the State. The goal of the reconfiguration is to overlay where Shire intends to locate the buildings with the lot lines. If Shire or Patriot Partners ever wanted to sell a specific building, it would be a problem as the lot lines exist now. The plan is to create one taxable parcel each for the potential 200 building, the existing 300 building, and the potential 400 building. The property will then be subdivided accordingly, and the TIF will follow. It was noted that the subdivision will not occur if there is no TIF. - 1 - October 10, 2007 Rob also addressed the fact that the town must meet deadlines for filing the infrastructure requests with the state. If the Town does not submit the requests on a timely basis, Shire will not be obligated for the potential shortfall of $2.6 million. Rob indicated that he thought all requests would be in by 2009. One item that will have to be addressed prior to submission is concerns of the nearby residents. The meeting was adjourned at 7:25 p.m. Respectfully submitted, Susan A. McLeish Approved October 30, 2007 - 2 -