#1 2010-09-28 20:24:19
If I just heard it correctly, Wareham could have purchased a piece of commercial/industrial land (5.58 acres) for $22,000.
It seems to me that it would be an outstanding investment for community preservation or any other optional uses.
It sounds like it has HIGH visibility from I-195 and I-495/25
Instead we're hurrying our decision without researching opportunities.
I don't get it. We've spent MILLIONS on other parcels.
Offline
#2 2010-09-29 11:02:44
If this is true, I would seriously question the methods applied to "value" (appraise) this parcel in question. Obviously, if ADM intends to lease the land for commercial/industrial use, it has greater value. You'd think, at least I do, that we (management & leadership) would consult with our own experts (zoning, planning, and conservation) as to any allowed HIGHEST and BEST uses. We didn't do any of that. Instead we accepted input from ONE individual who admittedly has sat on the matter since September 7th.
To use one of Bobo's words, SHAMEFUL !
Offline
#3 2010-09-29 11:35:02
Bob, the experts you name (zoning, planning, conversation) would work some for free and some just doing their jobs. This BoS was quick to hire an outside consultant instead of asking a couple of intelligent questions of the Makepeace rep who was in the audience last week about sewer capacity issues. Yet for an issue like this, they sit on it until the deadline is almost up and then rush it through. The Makepeace attorney had to remind them to take action on it. Was it on the agenda? I don't remember that it was, which is required by open meeting, I believe.
Could you explain the issue especially since some folks on this site don't watch Tuesday night live??
If we purchased the land for $22,000, could we then have leased it back to Makepeace so they could put their solar panel business on it which will generate revenue for Makepeace? I'm not sure I understand the subtleties/details of the project. I know taking it out of agricultural use will increase tax revenue for the town, but taxes on $22,000 of land is not all that much. But if they are selling the electricity from the site, wouldn't that increase the value of the land?? Sorry if the questions seem dumb, but I didn't quite get why they were so quick to give up rights to purchase the land.
Offline
#4 2010-09-29 13:17:52
OK Nora, my turn to help.
1. Time frame: The Chapter lands laws (61 is forestry, 61A is agriculture, 61B is recreational land) provide a narrow window for notification to the Town by the owner of Chapter lands that there is about to be a sale and/or change of use. In this case, I believe the attorney described this as a change in use. That would be from Ag. land to the solar array. If the balance of the land in BDOD is still in Chapter land status, this time issue will recur as development proceeds, parcel by parcel.
2. If the electricity generated were to power cranberry equipment, say, then they could build a strong argument for the land to remain in Chapter 61A. by removing this piece from chapter 61A, then one could assume that the power will be used for non-agricultural purposes.
3. Valuation: how many hours have you got? I do not have any details on this parcel of land, so this has to be general.
Mr. Brady mentioned highest & best use; this would encompass what is physically possible on the land (size, shape, topography, soil conditions, access), what is legally permissable on the land (zoning), and what is financially feasible on the land (will it make a profit?). Highest & best use is what drives value.
Therefore, my assumption is based on a paucity of information. They must have concluded that this parcel lends itself to this use, and not much else. So how to value the land? Income.
Electricity is sold at set rates. Solar & wind (see: Cape Wind project) generation have higher pricing than gas/coal generation. It would be possible to work backwards from the price they would receive to generate electricty, back through the construction costs, to the residual value to be allocated to the land. Possible, if you have all the numbers, of course.
4. Tax Revenue: My presumption is that this land is classified as "cranberry bogs" under Chapter 61A. there is a State committee consisting of DOR people, cranberry growers and assessors; which meets annually to set a value per acre for cranberry bogs and associated upland. If $22,000 is the market value of the land (remember, this appears to be rear land with limited access, if I heard correctly), then this 'market' value of $4,000/acre (+/-) will not be very different from the Chap 61A value. Thus, the tax revenue increment may be not much. And, the solar panels may be tax-exempt.
5. bottom line: valuing land is tricky, you need lots of information. And, appraisers are allowed to make assumptions as part of the appraisal process, which can yield wildly different values from appraiser to appraiser. (see: taking, Swifts Beach, Wareham). I noticed that the attorney referenced this very point: you get your appraiser, we'll get our appraiser; and if they don't agree, they will be a THIRD appraiser.
As Makepeace develops land currently classified as Chapter lands, there will be lots more of this.
Offline
#5 2010-09-29 13:46:43
Wow. Much more complicated than I thought. Thanks nota. Could this kind of evaluation process have been done in the 30 days (Sept 7 to Oct 7)?? If so, I wonder why nothing was done during that time. Why wait until the last minute and then just sign it away?
Don't get me wrong here. I'm not saying (yet) that what the BoS did was not in the taxpayers' best interest. I'm just wondering, if it was important enough to hire experts to review Makepeace's MEPA report, why not check out the proper value of this land by having experts look at it.
Note that Jane had said it was landlocked and had no access. The lawyer said he had to be honest. If the town bought it, they would have to have access. That should have made the BoS say maybe we need to look into this further since we don't quite know what is the best thing to do now that Jane's incorrect opinion about the land has been corrected.
Plus, before the tin foilers go crazy, I am ALL FOR the green aspect of solar power. And I am also in support of Makepeace's projects that have come before the town thus far.
I just think, (that would be my opinion), that this took place a little too quickly and deserved more serious deliberation. My shock and surprise is that Makepeace hater Brenda didn't try to muck up the works on this request. That's her usual MO.
Offline
#6 2010-09-29 15:16:51
MUNICIPAL OPTION TO PURCHASE. I understand that the city or town has an option to purchase any classified land whenever I plan to sell or convert it to a residential, commercial or industrial use during a fiscal year it is classified, or within 1 full fiscal year after it is removed from classification. I must notify by certified mail or hand delivery, the mayor and city council or the selectmen, assessors, planning board and conservation commission of the city or town of my intention to sell or convert the land to those uses and provide certain information regarding the intended sale or conversion. If I plan to sell the land, the city or town has the right to match a bona fide offer to purchase it. If I plan to convert it, the city or town has the right to purchase it at its fair market value, which is to be determined by an impartial appraisal. The city or town may also assign its option to a non-profit, conservation organization, the Commonwealth or any of its political subdivisions. I understand that I may not sell or convert the land until at least 120 days after I provide a notice that fully complies with the requirements of Chapter 61A or until I have been notified in writing that the option will not be exercised and the notice is recorded at the Registry of Deeds, whichever is earlier.
This has been copied from State Form CL-1, which the owner of property classified (i.e. taxed) as Chapter Land is required to sign. Notice in the last sentence of the paragraph "120 days". This means that the Town has 120 days, not THIRTY days to exercise its option.
This has nagged at me since last night, and I apologize for not catching this earlier. So, what did all that business between the makepeace lawyer and the T/A about postmarking a notice on 9/4, receipt on 9/7, 30 days hath september, therefore the Town has until October 7 really mean? don't know.
Landlocked, no access: Jane is not quite incorrect on this, in the sense that "access" would not have to a paved roadway. it could be a nearly worthless, rutted dirt path. If the Town exercised its option to purchase, let's say to erect a windmill to power the police station, then Makepeace would have to allow "access" to the parcel. such access would not be a Town-accepted street, however, that would require an eminent domain taking.
Last edited by notalawyer (2010-09-29 15:18:57)
Offline
#7 2010-09-29 15:27:33
Did anyone ask how much revenue would have been generated if the Town purchased the property, and then leased it to the solar systems company? (Owned or not by Makepeace).
It looks as though the solar energy will generate electricity for the entire Makepeace project, or at lest start at some point with the end result the entire project.
Very progressive thinking.. If the Town bought the property, leased it back, then they would be in partnership with the solar energy entity. It would only benefit the Town to ensure the success of the project. Win... win. Not bad.
Thanks for the info Nota...people who don't know you can take my word for it...he knows exactly what he is talking about.
Offline
#8 2010-09-29 16:09:48
nota,
You raise and interesting point relative to the time in which the community can exercise it's first right of refusal, whether it's 30 or 120 days.
That point is that NONE of our leadership or management do any research, AGAIN, in order to make informed decisions. In fact, I'll bet most of them don't know that "61A" references MGL.
Regardless, clearly, it's proposed use (a solar field) has value. If I were ADM I'd rent the parcel, negotiate power and a lease agreement to subsidize my own costs. So why couldn't Wareham have done the same or something else where it's zoned commercial / industrial ? I guess we'll never know.
We continue to fly by the seat of our pants with absolutely NO CLUE. I'm hoping for the day when we witness accountability at the TOP of the food chain. God knows they're costing us a small fortune from poor decisions and exorbitant litigations.
Too bad we can't recall administrators.
C'mon April 5, 2011.
Offline
#9 2010-09-29 16:55:21
Another thought: If the Town had purchased the land for use as a solar energy facility, they probably could have written a grant and had the whole price expended repaid. It would have cost nothing for a very good investment and opportunity of establishing good relations between government and business.
Lots of "green" money out there that would have covered the costs. You know, "green" money for projects like Westfield if it is made into what it was intended for: RECREATION!
Let me know if Makepeace still wants to sell it to a "partner". I am sure there are many investors out there that would jump on it.
Offline
#10 2010-09-30 13:50:09
holy shit. brucie agrees with hatebloggers. I think I might be sick.
the rag columnist and blowhard made this comment.
During Tuesday night’s selectmen meeting, Makepeace showed its interest in creating its own energy sources for future development. They were given permission by the board to remove 5.5 acres of land from BDOD II to construct a solar farm. The BOS missed a perfect opportunity to exercise its legal option to purchase that land. That would have created an excellent place to start a public/private venture with Makepeace. The appraised value was only $22,000. The issue of access could have been easily addresses by prescriptive easement. If a partnership worked before with Makepeace it can work again despite the unnecessary rhetoric as of late.
Last edited by watchtower (2010-09-30 13:50:46)
Offline
#11 2010-09-30 14:29:37
WOW!!! What a great idea!
So, why bitch about Cara then?
Politicians...I like the idea, I hate the idea. I have pleased all of my constituents!
Offline
#12 2010-09-30 16:03:20
Dan - what would Bobo write about then? Maybe the people who blog on his website that are just as corrupt as they claim everyone else is? No, they save it all for you, remember that Bobo has pity for you. Now you can calmly sleep tonight knowing that. I love how they continually portray Cara in such bad light. It just confirms that they are morons. They actually think Bruce is some savior of Wareham. When are they going to realize that Bruce was NOT re-elected for a reason!!! That reason is so clear - he sucks!
Offline
#13 2010-09-30 16:38:00
Bosoxx...you know I love you, right?
Offline
#14 2010-09-30 22:32:04
Mutual my dear friend :)
Offline
#15 2010-10-01 17:39:55
This issue with regard to the land is interesting on a couple of different fronts, one obvious and the other a bit less so.
Yes, we should have bought the land and I would urge the BOS to reconsider their action. The lack of an easement should be a small problem, after all we are the town and have some leverage in these matters. Would 5 acres near downtown perhaps be usable for senior housing?
Carrying on a bit, last year I suggested at a FinCom meeting a year ago that the town actually set money aside specifically to take advantage of these types of situations when they might arise and here we have an example of what might have been. Stated a bit differently, I would have then (and still would) put money into a dedicated reserve to be held to make the purchases. And perhaps CPC could accomplish this with their funding. It might be that that town puts up the "front" money (we have to move within certain time parameters) and then passes it on to CPC who would then reimburse the town (and by the way with our own money.) Or we buy for holding for another purpose, for senior housing as suggested above as an example. WE did not pursue the issue because of the press of other events.
Of course, when you start to do things like this, you run into the immediate objection that we will have to curtail some service and that is correct, but other towns seem to manage to plan for the future, so why not Wareham? A bird in the hand may in fact not be worth the proverbial two in the bush, especially if the two are hidden in five acres of brush within a half mile of a major interstate highway.
And to close on to the "other issue," Bruce's musings run parallel to the central issue-that we should have availed ourselves of the opportunity. If I wore a hat, I would tip it.
This is something that we should have done and we still have a chance to reconsider the action.
Offline
#16 2010-10-01 17:52:31
What's a bit bothersome is that we (OUR management) knew of this opportunity before we closed the warrant for this fall's TM and no efforts were made to explore any options. There is absolutely no excuse for this other than incompetence.
We have "officials" that clearly don't seem to know what they're doing and yet we're paying them salaries as though they're qualified (over 100,K for a TA and over 80,K for an assistant). Add benefits and bonuses and it's likely over a quarter of a million.
It goes back to the leadership AGAIN.
Last edited by bbrady (2010-10-01 17:53:52)
Offline
#17 2010-10-02 15:50:56
I think Nora had the best idea. Buy the land and lease it back to Makepeace. Not being an expert, I don’t think the tax revenue would be very high for that parcel. But if you build something on it doesn’t it raise the value? And if the town leased it back to Makepeace would the town really have to worry about access?
Someone help me with my theory.
Offline