392.96
RESOLUTION AUTHORIZING SETTLEMENT BETWEEN EVERGREEN BANK, N.A.
AND THE TOWN OF QUEENSBURY CONCERNING THE
HILAND PARK PUD AND SEWER DISTRICT
RESOLUTION NO.: 392, 96
INTRODUCED BY: Mrs. Betty Monahan
WHO MOVED ITS ADOPTION
SECONDED BY: Mrs. Carol Pulver
WHEREAS, the Town of Queensbury and Hiland Park Limited
Partnership previously reached agreements dated July 1, 1987 and
September 23, 1991 whereby the Town agreed to obtain additional
wastewater capacity from the Glens Falls Sewage Treatment Plant and
to increase the size of the Meadowbrook Pump Station in order to
provide Hiland Park with a maximum sewer capacity of 280,000
gallons per day and Hiland Park agreed to pay certain sums of money
to the Town, and
WHEREAS, the Town of Queensbury made certain improvements to
the Central Queensbury Quaker Road Sewer District to benefit the
Hiland Park Sewer District, upgraded and improved the Meadowbrook
Pumping Station, and incurred costs associated with the upgrade of
the sewer line between Meadowbrook and Cronin Roads, and
WHEREAS, on August 12, 1992, the Hiland Park Limited
Partnership declared bankruptcy pursuant to Chapter 11 of the
United States Bankruptcy Code, and
WHEREAS, by virtue of the mortgage foreclosure proceeding,
Evergreen Bank, N.A. is the present owner of the property known and
described as Hiland Park, and
WHEREAS, the Town of Queensbury, on the basis of the
agreements dated July 1, 1987 and September 23, 1991 contends that
it is owed certain sums for obtaining additional wastewater
capacity (280,000 gallons) from the Glens Falls Sewage Treatment
Plant, increasing the capacity of the Meadowbrook Pumping Station,
and making improvements in the Central Queensbury Quaker Road Sewer
District to accommodate the Hiland Park Sewer District, and
WHEREAS, Evergreen Bank, N.A., contends that it is not
obligated to the Town for Hiland's debts, and
WHEREAS, Evergreen Bank, N.A., desires to retain certain sewer
capacity in the Hiland Park Sewer District as originally approved
by the Town of Queensbury, and
WHEREAS, the Town of Queensbury and Evergreen Bank, N.A., have
negotiated in an attempt to resolve all of the aforedescribed
claims and pending issues concerning the Hiland Park Sewer
District,
NOW, THEREFORE, BE IT
RESOLVED, that the Town Board of the Town of Queensbury, after
due consideration, determines that it is in the best interest of
the Town of Queensbury to resolve all of the aforedescribed claims
and pending issues concerning the Hiland Park Sewer District and
hereby authorizes settlement of the matter as follows:
1. Evergreen Bank and/or its successor(s) in interest shall
be entitled to up to 250,000 gallons of the 280,000
gallon sewage capacity referenced above. Adirondack
Community College (ACC) shall be entitled to utilize the
remaining 30,000 gallons of sewage capacity.
2. Evergreen Bank shall pay the sum of $75,000 to the Town
for infrastructure construction already completed and in
full settlement of any outstanding claims.
3. The $50,000 buy-in payment to the City of Glens Falls
Sewage Treatment Plant shall be apportioned between
Evergreen and ACC. Evergreen shall pay the sum of
$20,000 of the buy-in payment and ACC shall be
responsible for the remaining $30,000 to cover the
30,000 gallon capacity reserved for ACC.
4. In the event that ACC is unwilling or unable to utilize
the 30,000 gallon capacity and/or make the $30,000 buy-
in payment by November 30, 1996, then the 30,000 gallon
capacity will be added back to the Hiland Park property
owned by Evergreen or its successor(s). In such event,
Evergreen shall be responsible for the entire $50,000
buy-in payment to the City of Glens Falls Sewage
Treatment Plant.
5. In the event that actual sewage flow from the Hiland
Park Sewer Facility reaches the amount of 180,000
gallons per day, the Town will increase the capacity of
the sewer system from 280,000 gallons per day to 310,000
gallons per day within six (6) months thereafter. The
Town will have to increase this capacity only if ACC has
utilized the 30,000 gallons per day capacity referenced
above; otherwise, the Town is under no obligation to
increase capacity even if actual flows reach 180,000
gallons per day.
6. Contingencies in the Agreement shall be fulfilled and
payment by the Bank to the Town shall be made by no
later than November 30, 1996 or the Agreement shall be
deemed null and void.
and
BE IT FURTHER,
RESOLVED, that the Town Supervisor is hereby authorized and
directed to execute and place the Town seal on any agreements,
affidavits, releases, stipulations, or other documents and papers
that may be necessary to effectuate the agreement between the Town
and Evergreen Bank, N.A., including authority to negotiate such
contingency periods as he deems appropriate, said documents to be
in form approved by Town Counsel.
Duly adopted this 25th day of September, 1996 by the following
vote:
AYES: Mrs. Monahan, Mrs. Pulver, Mrs. Goedert, Mr. Champagne
NOES: None
ABSENT:Mr. Turner