Background Facts

The Foolish Plan to "Market" the Historic Main Building to a Private Condominium Developer

Notwithstanding the foregoing history, at a meeting of the Board of Trustees held on August 18, 2005, following the election of several new Trustees, the Board voted in favor of hiring a consultant to evaluate the “feasibility” of allowing a “private developer” to convert the Historic Main Building at St. Paul’s into a “high end residential facility.”

On information and belief, in August 2005, defendant Backus was retained by the Village to perform enumerated consulting services, at a total cost not to exceed $155,000, which services were all aimed toward a contemplated “high-end” private use.

Phase I of Backus’ services included preparation of a project “feasibility analysis” at a cost of $59,000 to the Village.
As part of the Phase I analysis, Backus undertook to determine the “highest and best use” of the property and to analyze its development from a developer’s perspective.

The results of the Phase I analysis were presented to Village residents by Backus at a Trustee’s meeting held on December 15, 2005. Backus’ report concluded that the “market would support conversion of St. Paul’s to high-end, luxury residential condominiums.”

However, in Backus’ opinion, the provision of “community space” within the Historic Main Building was “not feasible” since it would “depress sales values” and present “security problems” for the owners and occupants of these “high-end luxury” residences. Nor would it be “feasible” for a developer to preserve the Historic Main Building’s chapel (which includes distinctive, beautiful stained glass windows and other historic features).

Phase II of the project, on information and belief, is currently underway, and involves additional expenditures by the Village to Backus in the amount of $40,000.

On information and belief, Phase II of the consulting project calls for Backus to identify appropriate developers, to “market” to developers and Village residents the concept of development, and to prepare a request for proposals (“RFP”).

On information and belief, the Village has determined to proceed with Phase II of the Backus project notwithstanding its failure, to date, to obtain special State legislation allowing the sale or lease of the Historic Main Building to a private commercial developer.

Finally, on information and belief, Phase III of the project contemplates an additional expenditure of $50,000 to Backus for assistance in the selection of a developer, and has, as its goal, designation of a developer by the Spring of 2006.

Again, on information and belief, the expenditure of Village funds for the Phase III tasks are not conditional upon the obtaining of special State legislation allowing the Village to sell or lease the Historic Main Building to a private commercial developer.

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