Friday, March 22, 2024

Reactions to the RV/Lake/Sand Mining Proposal

Following are responses to a proposal favorably considered by the Town Board Work Session on March 21, 2024.

Additional comments can be sent to jmcauliff@gmail.com or inserted in the comment box below.

 The project would use 165 acres, 27.5% of developable land, to construct an artificial lake, RV parking and campgound.


Read about the proposal here https://riverheadlocal.com/2024/03/21/rv-park-pitched-for-epcal-site-would-include-100-acre-manmade-lake-amenities/


Watch the work session from 18:42 to 46 herehttps://videoplayer.telvue.com/player/BjiipOg61Ac-YpNM5RFZy8f49fIMR7Kq/playlists/10578/media/863116


The actual proposal is here  https://www.townofriverheadny.gov/files/documents/SeaSystemsagenda217161516032024-013428PMe.pdf


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The proposal for a 165-acre RV park at the EPCAL site in Suffolk County, New York, exemplifies the intricate entanglement of local politics and economic interests, sparking concerns about the potential repercussions for both the community and the environment. 

Mark Lembo, spearheading the project, and his attorney Steven Losquadro, who also serves as counsel to the Suffolk County Republican Committee, received a notably warm reception from a Town Board aligned politically with the applicant. This alignment raises concerns about possible conflicts of interest and the prioritization of economic benefits over environmental stewardship and community welfare.


Central to the proposal is the excavation of approximately 100 acres to create a manmade lake, positioning the RV park as a prime destination for enthusiasts, complemented by tent and cabin sites. While the project is touted as a recreational boon that could enhance local tourism, it necessitates significant environmental alterations—specifically, the creation of a substantial manmade lake via sand mining. The environmental ramifications of sand mining, including potential habitat destruction, water table depletion, and soil erosion, spotlight the project's environmental concerns.

The project has been enthusiastically endorsed by Supervisor Tim Hubbard and other Town Board members, who highlight its minimal environmental impact and the high demand for RV slots. However, this perspective may overlook broader environmental considerations and community impacts. The involvement of Lembo and Losquadro, figures well-known in Riverhead politics with ties to the Republican party, alongside Hubbard's remarks on the value of sand, underscores the potential for interwoven political and economic interests to influence the approval process.

Additionally, the Town's consideration of increased fees for excavated material removal—not as a project deterrent but as a financial strategy—signals a strong interest in the economic upside of the sand mining component. This fiscal focus, when combined with the political connections at play, prompts questions regarding the impartiality of the project's evaluation and the prospects for subsequent campaign contributions stemming from such a lucrative deal.

Ongoing litigation over the site, resulting from a canceled contract with another developer, adds complexity to the scenario. It highlights the contentious nature of development projects at the EPCAL site and the potential for legal and financial complications that may arise from favoring specific development proposals over holistic planning and community interests.

In summary, the RV park proposal at the EPCAL site represents a broader dilemma where development interests, supported by political alliances, might eclipse concerns for environmental and community welfare. While economic development is crucial, it must be pursued in harmony with sustainable practices and transparent decision-making that benefits the entire community, not merely a select few. The project's enthusiastic reception by the Town Board, despite environmental and ethical concerns, underscores the necessity for vigilance and accountability in local governance.

Furthermore, the RV park proposal conspicuously lacks economic innovation and long-term job creation, especially in providing high-paying employment opportunities for the local community. The development might offer a temporary employment spike during its construction phase, but the ongoing operation of an RV park is unlikely to yield a significant number of high-quality jobs. Typically, such positions are seasonal, part-time, and low-wage, insufficient for meaningful economic upliftment of the local populace or the attraction of skilled labor. This shortfall in the project reveals a lack of vision and ambition for the EPCAL site, which harbors the potential for more innovative and economically transformative projects. Rather than seizing opportunities that could deliver substantial employment, foster skill development, and propel sustainable economic growth, this proposal seems to opt for a quick, politically expedient solution that neglects the site's unique potential for significant community and economic advancement.

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Based on information from a source providing details on Long Island sand prices, fine sand is priced at $45 per cubic yard

With the total volume of sand from a 100-acre pit dug down 20 feet being approximately 3,226,667 cubic yards.

Let's do the calculation.

The total value of the sand in a 100-acre pit dug down 20 feet, based on the current price of Long Island sand, would be approximately $145.2 million

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I emailed a while back about how nothing will pass the Town Board for EPCAL unless it provides big bucks to the Republican Party and their minions. This new sand mining lake proposal is a disgrace and a rape of EPCAL to fill the pockets of the Republicans of Suffolk County. What a shame. When the town inherited the site one of the main reasons was to provide jobs for all the skilled workers being laid off by Grumman. Another reason was to provide recreational opportunities for the people of Riverhead. What happened? This will provide nothing for the people of Riverhead.

Wednesday, March 6, 2024

EPCAL References in Draft Comprehensive Plan Update

 

From the Final Draft


Chapter 4

Goal 1. Reassess the development strategy for EPCAL to ensure the economic and community benefits of proposed projects align with local needs and that impacts are proactively addressed. Riverhead's substantial industrially zoned areas offer great opportunities for economic development. Enterprise Park (EPCAL) is uniquely suited for office, industrial, and commercial recreation development, due to its central location and convenient access from the LIE and existing essential infrastructure. The Town�s ownership of the property provides it with the ability to effectuate appropriate development in emerging industries and bring the property back onto the tax rolls through its sale. This increased revenue stream can help ease the tax burden on existing residents and businesses, provide funds for essential public services, and support local infrastructure improvements. 1.1. Continue to promote economic development opportunities in the EPCAL area, while creating a framework to make sure potential negative impacts are addressed. In light of the recent unsuccessful development proposal at the Enterprise Park at Calverton (EPCAL), it is recommended that the Town revisit zoning regulations for the Planned Development (PD) district. The existing district is fairly liberal with regard to land uses, and it may be appropriate to limit some activities which the community did not support. Air cargo was recently eliminated through a Town code amendment. Systematically re-evaluating the potential impacts of other types of industrial development will help the Town to make more informed decisions and take steps to address concerns effectively while fostering responsible and sustainable development in the area. Certain intensive uses such as an air cargo terminal should be eliminated. A reevaluation of the potential impacts should ensure that roads, utilities, and public services can accommodate the increased demand from the proposed development. Recognizing the community's desire for a collaborative planning approach, a comprehensive study involving residents, NYSDEC, and other stakeholders should be initiated. This study would formulate a collective vision, identify desirable economically viable uses, explore subdivision plans, and address environmental considerations. This approach would also enhance eligibility for grant funding. One of the biggest concerns was the need to ensure that roads, utilities, and public services can accommodate the increased demand from the proposed development. A plan for roadway improvements needs to be proactively established. The Town should also explore options for public transportation services that can serve industrial areas and reduce the need for additional road development. Chapter 5: Transportation and mobility discusses transportation issues in more detail. This chapter also includes the potential to activate the existing rail spur which could potentially be used for freight and/or passenger service

Goal 8. Promote sustainable economic growth and development and foster the creation of employment opportunities. Investing in workforce development is vital for the economic growth and sustainability of Riverhead. Regional institutions such as Suffolk County Community College and Cornell Cooperative extension, and local employers including Peconic Bay Medical Center, are partners in the growth and development of a diverse job market. The development of EPCAL also has the potential further diversify the job market in fields such as technology, sustainability, and other industries.



Chapter 13


Enterprise Park at Calverton (EPCAL) In light of several prior unfulfilled development proposals at the Enterprise Park at Calverton (EPCAL), it is recommended that the Town revisit zoning regulations for the Planned Development (PD) district. The existing district is fairly liberal with regard to land uses and it may be appropriate to limit some activities which the community did not support such as a cargo airport. Recognizing the community's desire for a collaborative planning approach, a comprehensive study involving residents, NYSDEC, and other stakeholders should be initiated. This study would formulate a collective vision, identify desirable economically viable uses, explore subdivision plans, and address environmental considerations. This approach would also enhance eligibility for grant funding. Since potential zoning changes are unknown, and any potential future development is speculative, the GEIS cannot assess potential changes at this site.





References to EPCAL in Draft Comprehensive Plan Update.  Highlighting is mine of language that caught my attention.  Red are my comments.

--John McAuliff

 

 

Draft CPU Chapters


  The draft chapters are presented in their current form as a preliminary drafts for public review.  Please note that the chapters will be further refined once comments are received from the community. Since it is an interim document, it is in a raw formatted form. The revised draft will be arranged in a more graphic format with photos, figures, and other visual elements to enhance clarity and understanding.  

 

 

Please email comments to compplan@townofriverheadny.gov.

Deadline for comments: March 15, 2024

 

 

 

Chapter 2  Development Patterns: Land Use and Zoning

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Economic Development (Ch. 4) The Economic Development chapter outlines a comprehensive set of initiatives to guide land use and zoning strategies, aiming to balance economic growth with community needs. One topic is the reassessment of the Enterprise Park (EPCAL) development strategy with the initiation of a collaborative study involving residents and stakeholders. The goal is to proactively address potential impacts, improve infrastructure, and align development with local needs. Additionally, the chapter emphasizes responsible industrial development by encouraging recreational opportunities, scaling back allowable density in industrial areas “outside the fence,” allowing for slightly higher building heights (with increased setbacks, and incorporating design standards for aesthetics and environmental harmony.

 

Chapter 4  Economic Devevelopment

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Goal 1. Reassess the development strategy for EPCAL to ensure the economic and

community benefits of proposed projects align with local needs and that

impacts are proactively addressed.

Riverhead's substantial industrially zoned areas offer great opportunities for economic

development. Enterprise Park (EPCAL) is uniquely suited for office, industrial, and commercial

recreation development, due to its central location and convenient access from the LIE and existing

essential infrastructure. The Town’s ownership of the property provides it with the ability to

effectuate appropriate development in emerging industries and bring the property back onto the

tax rolls through its sale.   Or lease This increased revenue stream can help ease the tax burden on existing residents and businesses, provide funds for essential public services, and support local

infrastructure improvements.

1.1. Continue to promote economic development opportunities in the EPCAL area, while creating

a framework to make sure potential negative impacts are addressed.

In light of the recent unsuccessful development proposal at the Enterprise Park at Calverton

(EPCAL), it is recommended that the Town revisit zoning regulations for the Planned Development

(PD) district. The existing district is fairly liberal with regard to land uses, and it may be appropriate

to limit some activities which the community did not support. Air cargo was recently eliminated

through a Town code amendment. Systematically re-evaluating the potential impacts of other

types of industrial development will help the Town to make more informed decisions and take steps

to address concerns effectively while fostering responsible and sustainable development in the

area. Certain intensive uses such as an air cargo terminal should be eliminated.   Any aviation use of the runways should be proscribed.  A reevaluation of the potential impacts should ensure that roads, utilities, and public services can accommodate the increased demand from the proposed development.

Recognizing the community's desire for a collaborative planning approach, a comprehensive study

involving residents, NYSDEC, and other stakeholders should be initiated. This study would

formulate a collective vision, identify desirable economically viable uses, explore subdivision plans,

and address environmental considerations. This approach would also enhance eligibility for grant

funding.

One of the biggest concerns was the need to ensure that roads, utilities, and public services can

accommodate the increased demand from the proposed development. A plan for roadway

improvements needs to be proactively established. The Town should also explore options for public

transportation services that can serve industrial areas and reduce the need for additional road

development. Chapter 5: Transportation and mobility discusses transportation issues in more

detail. This chapter also includes the potential to activate the existing rail spur which could

potentially be used for freight and/or passenger service.

 

 

Goal 8. Promote sustainable economic growth and development and foster the creation of employment opportunities. Investing in workforce development is vital for the economic growth and sustainability of Riverhead. Regional institutions such as Suffolk County Community College and Cornell Cooperative extension, and local employers including Peconic Bay Medical Center, are partners in the growth and development of a diverse job market. The development of EPCAL also has the potential further diversify the job market in fields such as technology, sustainability, and other industries.

 

8.4. Carefully consider EPCAL development proposals to maximize living wage job creation and workforce training opportunities. This recommendation urges a meticulous approach in evaluating EPCAL development proposals, with a focus on job creation and workforce development. Giving priority to projects that create living wage jobs and training opportunities for Riverhead residents provides a pathway to economic stability and growth for community members.

 

 

Chapter 5   Transportation and Mobility

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New York State Route 25 (NY25) NY 25 spans from the Edward M. Koch Bridge in Queens to Orient Point, covering the entire length of the Town of Riverhead with two lanes—one in each direction. This road, connecting the western border to the LIE, provides access to Calverton National Cemetery in the west and Splish-Splash Water Park in the east. West of the LIE, development is relatively sparse on NY25, but it offers entry to the former Grumman Naval Weapons Research facility, now known as Enterprise Park at Calverton (EPCAL). Since 2013, traffic volumes on this NY25 section have increased by less than 0.5% per year….

 

Exceptions to this generalization exist, such as the impact on NY25 between Wading River Road and Manor Lane, which will come under considerable demand pressure as the EPCAL property is built out….

 

Enterprise Park at Calverton (EPCAL) Regarding EPCAL, the 2003 Plan recognized the necessity of widening NY25 due to the impact of the property's development, a need confirmed in an FGEIS completed in connection with the most recent proposal for the property. While the exact nature of the property's development is unknown, extensive roadway mitigation, including facility widening, intersection approach widenings, and traffic signal updates, will be required According to the NYSDOT, an increase in peak hour traffic volumes of only 1,000 vehicles would trigger the need to widen NY 25. Thus, widening would be required well before Enterprise Park is built out to its full potential. The FGEIS prepared for the 2016 EPCAL Reuse and Revitalization Plan identified substantial specific improvements to the transportation system that would be necessitated by phased build out of the EPCAL parcel. The improvements were based on assumed levels of trip generation that would occur based on phased development of the property under the adopted Planned Development District that was the subject of the FGEIS. A summary of the system improvements and the estimated time when they would be triggered is as follows: 2025 • Widen NY25 to five (5) Lanes (two lanes in each direction with center turn lane) • Widen approaches to twelve (12) intersections • Upgrade five (5) existing traffic signals • Install six (6) new traffic signals 2035 • Additional widenings at eight (8) intersections • Upgrade ten (10) signals • Install one (1) additional signal Note that these mitigation measures are likely needed regardless of the ultimate development, and that basing the need on the levels of traffic generated remains a valid strategy that the Town should consider maintaining. Coordination with NYSDOT and other agencies will also be required…..

 

• In 2010, the Town of Riverhead obtained Federal Funding for the rehabilitation of the industrial rail spur that served the former Naval Weapons Research facility in Calverton, now known as EPCAL. Limited freight service is provided to several manufacturing companies located at EPCAL….

 

In addition, there are numerous connecting routes and the recently opened Vietnam Veterans Memorial Recreation Trail at the Calverton Enterprise Park (EPCAL), a continuous 10- mile loop using the security road around the perimeter of the former Grumman facility in Calverton. …

 

In 2019, the Town of Riverhead completed the EPCAL Alternative Transportation Path, which loops around the 2,900-acre Enterprise Park at Calverton (EPCAL) and links to the 65-acre recreational facility on the western portion of the park. The trail utilizes the perimeter road that was once used by Grumman Corporation personnel for security during its more than 40 years of operation. EPCAL is adjacent to an existing 491-acre industrial park and future commercial uses once a subdivision is completed by the town on the remaining acreage available for private investors. The park’s continuing redevelopment is expected to result in economic investment and employment as it will be attractive to companies to be near amenities that promote a healthy lifestyle to employees….

 

Goal 3: Goal: Support economic growth at EPCAL through a well-defined transportation plan.

The future of EPCAL development presents new opportunities for redevelopment strategies, including potential Land Uses and proactive measures to ensure any impacts are addressed. Regardless of the nature of the ultimate development, improvements to the transportation system will be required to accommodate the additional traffic expected to be generated. NY State’s involvement should be overseen by its Empire State Development Agency. 3.1: Review and update off-site improvements needed to mitigate EPCAL traffic. The FGEIS prepared for the 2016 EPCAL Reuse and Revitalization Plan identified substantial improvements to the transportation system that would be necessitated by phased build-out of the 2,324-acre EPCAL parcel. The improvements were based on assumed levels of trip generation that would occur, based on phased development of the property under the adopted Planned Development District (PDD) that was the subject of the FGEIS. A similar process should be undertaken for any new proposals considered by the Town….

 

3.3: Initiate needed roadway improvements by other agencies. The 2016 traffic mitigation plan identified the need for widening NY25 from William Floyd Parkway in the west to I495/LI Expressway in the east to provide two travel lanes in each direction, regardless of the ultimate development of EPCAL. NYSDOT’s five-year Transportation Improvement Plan (TIP) contains no plans to implement this improvement. Discussions should be held with NYSDOT to initiate the planning and design process in this regard. In the past, NYSDOT has expressed the willingness to engage with the Town regarding the long-term solution for NY25. An alternative to some of the improvements needed on NY25 could be the construction of an access road to the south from EPCAL, generally following Connecticut Avenue and Halsey Manor Road to the Long Island Expressway, and extension of service roads to the west to CR111/Eastport Manor Road (Exit 70). That alternative would need to address the presence of Long Island Pine Barrens lands, freshwater wetlands, and residences, primarily along the north-south portion of its route and would also require coordination with the Town of Brookhaven. 3.4: Explore expanded use of rail transportation for EPCAL, for both people and freight. The existing rail spur connecting the LIRR main branch track to the EPCAL property should be an integral part of the transportation solution for the property. The spur currently carries freight only. Development plans should include use of the spur, and consideration should be given to utilizing the spur for passengers as well as freight. Passenger service could be provided from the Ronkonkoma LIRR Station east to Riverhead, with a transfer at Riverhead to a shuttle service to EPCAL. Any required upgrades to the spur should be included in the solution. Freight Movement of freight by rail has the potential to remove many truck trips from the local roadways, and to minimize the impacts of development at EPCAL on the transportation system. In light of public concern regarding recent applications for significant new warehouse space in the Town, rail freight service could help catalyze industrial development at EPCAL, which has been the subject of significant public concern. Passenger Rail The rail spur serving the EPCAL property was rehabilitated in 2010 to industrial rail standards. Providing passenger rail service via this link would require determining that the facility is adequate for safe passenger rail service. The Town should consider contracting for services to initiate the process for this determination.

 

 

Chapter 7 Natural Features and Environmental Resources

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The Calverton redevelopment policy under section 9.2 of the CLUP recognizes that economic development on the former Calverton Navel Industrial Reserve Plant property, known as EPCAL, is considered a public improvement and is not considered “development” as defined in the Pine Barrens Protection Act. This policy effectively exempts the area from additional restrictions on development that are otherwise imposed on areas within the core preservation area by the Act….

 

Following the Plan’s directives is essential to help protect natural resources critical to Riverhead and the region for the long term. This Plan is anticipated to be amended in 2024. The EAC should review the updated Plan to determine whether to recommend revisions to Riverhead’s Community Preservation Project Plan and Town Code. As noted in the existing conditions section of this chapter, section 9.2 of the CLUP allows economic development in EPCAL without the development restrictions that are imposed elsewhere in the core preservation area by the Pine Barrens Protection Act.   Should this still be the case?

 

 

Chapter 8 Parks, Open Space, and Recreation

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Veterans Memorial Park The 62-acre park which opened in 2013, features softball and baseball fields, bocce ball and pickleball courts, a playground, dog park, concession stand, picnic areas and nature trails. The park provides access to the 9.2-mile Vietnam Veterans Memorial Recreational Trail which provides a loop around EPCAL.

Vietnam Veterans Memorial Recreational Trail This off-road path loops approximately 9-miles around Enterprise Park and connects Veterans Memorial Park, Grumman Memorial Park, and links to the New York State Route 25 Bike Route and the County Route 94 Bike Path. The trail encourages biking, walking, running, and other nonmotorized means of transportation. Completion of the first 3 miles was completed in 2008. After several more years of advocacy efforts by the Riverhead Alternative Transportation Committee, an extension was The Trail was completed in 2019. The project was partially funded through a New York State Office of Parks, Recreation and Historic Preservation grant. The Wells family cemetery is situated between the recreation trail and River Rd and was recently restored through an Eagle Scout project.

 

 

Chapter 9: Community Facilities

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Police Department Needs Facility space is of concern as the Police Department has outgrown its current facility. Training facilities are also limited. Other needs cited by the Department include improved technology and  additional police vehicles. The Department expects that there will be increasing demand for services, particularly considering anticipated development downtown and the potential for industrial or other development at EPCAL….

 

1.2. Identify a long-term strategy for Riverhead Town Volunteer Ambulance Corps (RTVAC) facilities. The RTVAC and the Town should work together to develop a long-term strategy for expanding or replacing the Osborne Avenue Headquarters. Although the site may not be able to accommodate an expansion, adjacent underutilized sites could potentially be purchased. Any needs at the Jamesport station should also be addressed. The RTVAC may also need additional substations, such as at EPCAL.

1.3. Ensure that EPCAL has adequate police, firefighting, and ambulance services and explore methods to finance the construction of substations. When EPCAL is developed, police, RTVAC, and fire substations may be needed. The Town should work with the Police Department, RTVAC, Manorville Fire District, Riverhead Fire District, and Wading River Fire District and Ambulance to determine needs, financing, and appropriate locations (e.g., Grumman Boulevard). Developers should be required to help finance these improvements. One possibility is the development of a fire brigade within EPCAL that could be drawn from volunteers who work at EPCAL businesses.

1.4. Support the expansion or new construction of firehouses to accommodate new and larger firefighting equipment. New firefighting equipment and facilities are needed to service new development. For example, if tall buildings are built at EPCAL, the Riverhead and Manorville departments would need larger aerial devices and stations with larger bays….

2.1. Plan for specialized training and equipment for modern firefighting challenges, such as Battery Energy Storage System (BESS) facilities. BESS fires require nontraditional firefighting methods, training, and equipment. The Town must support fire departments to ensure firefighters are prepared. The Manorville Fire District identified the need for training and a water and ice rescue vehicle for coverage of the water park and ATVs for coverage of the Pine Barrens area. Specialized training may also be needed to provide service to new uses at EPCAL….

 

EPCAL - It would be great if the access road behind Wellbridge on Grumman Blvd could be opened for the Fire Department to use. It would decrease response time to the Grumman facility, the water park, and the new Ice rink, instead of having to respond via Route 25. The Town should investigate paved access roads in EPCAL for these locations….

 

3.3. Help the Peconic YMCA identify a suitable site in Riverhead and advocate for needed amenities. The feasibility of establishing a YMCA at the Town-owned Armory is ongoing. Alternatively, the Town should proactively seek out another centrally accessible site, considering the potential advantages of co-locating with Veteran’s Memorial Park at EPCAL. The YMCA and the Town should collaborate to determine the recreational amenities and programs provided to ensure this significant facility responds to community needs

 

 

Chapter 11 Infrastructure and Utilities

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The Calverton Sewer District was formed in 1999 when the EPCAL property was conveyed to the Town. The Calverton District comprises the 550 acres in the EPCAL industrial core area. The treatment plant was built in the 1950’s and three pumping stations transport wastewater to the treatment plant. Riverhead Sewer District Map Source: Suffolk County GIS The Calverton Sewer District plant was upgraded and went online June of 2021. The Calverton Sewer District has also completed a Map and Plan to extend the sewer district boundaries to include the EPCAL property that is for sale. Thus, sanitary waste from development of the EPCAL property will be treated at a modern facility. The extension of the district boundaries is expected to take place once the property is sold….  or leased

 

[Riverhead Water] District representatives identified a need for the district to plan for large scale industrial complexes, EPCAL, and residential development….

 

A water district such as Riverhead requires NYSDEC approval for expansion of its infrastructure showing supply calculations and needs. However, there has not been an approval for expansion from NYSDEC in over twenty years. According to water district representatives, this approval process has been problematic, and has complicated the EPCAL redevelopment process. SCWA and DEC are not in agreement on who should supply EPCAL, despite the fact that Riverhead has been serving the area since it was transferred to the Town. A solution must be developed for this situation so that the water district can continue to grow and operate.

 

Chapter 12 Sustainability and Resilience

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6.1. Promote EPCAL and industrial sites to green technology and finance companies. The IDA and town should be strategic about the development of EPCAL by promoting the site to green technology companies that could provide quality jobs and tax revenues, reduce climate impacts, and attract investment from related companies and into infrastructure.

 

 

Chapter 13. FUTURE LAND USE

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Enterprise Park at Calverton (EPCAL) In light of several prior unfulfilled development proposals at the Enterprise Park at Calverton (EPCAL), it is recommended that the Town revisit zoning regulations for the Planned Development (PD) district. The existing district is fairly liberal with regard to land uses and it may be appropriate to limit some activities which the community did not support such as a cargo airport.  Or any other aviation use of runways.   Recognizing the community's desire for a collaborative planning approach, a comprehensive study involving residents, NYSDEC, and other stakeholders should be initiated. This study would formulate a collective vision, identify desirable economically viable uses, explore subdivision plans, and address environmental considerations. This approach would also enhance eligibility for grant funding. Since potential zoning changes are unknown, and any potential future development is speculative, the GEIS cannot assess potential changes at this site….

 

Ind B properties at intersection of Routes 25 and 25A There are two Industrial B properties at this location. One of the parcels is currently a gas station. It may be reasonable to rezone both parcels to HC or RLC, recognizing that a small-scaled commercial use serving Calverton may be more appropriate and locally supported than industrial uses. This small commercial node would be especially important if EPCAL were to be redeveloped. Zoning for this area could be further analyzed as part of a hamlet study for the Calverton area.

 

 

 


Tuesday, March 5, 2024

Amended Ghermezian Complaint

Analysis of the legal situation by Robert Gass


I am not an attorney, but I did some research. ( double check everything ):


Understanding the new amended Lawsuit

The Basics

  • Plaintiffs: Calverton Aviation & Technology LLC (CAT), a subsidiary of the Ghermezian family's Triple Five Worldwide conglomerate.
  • Defendants: The Town of Riverhead, the Town of Riverhead Community Development Agency (CDA), and the Town of Riverhead Industrial Development Agency (RIDA).
  • Court: Supreme Court of the State of New York, County of Suffolk.

Specific Causes of Action

The primary claims by CAT are:

  • Breach of Contract:  The Town, CDA, and RIDA allegedly violated the original Purchase Agreement (dated November 19, 2018) and subsequent agreements (the Letter Agreement and the Preliminary Agreement).
  • Fraud: CAT accuses the Town and CDA of making false representations to induce CAT to agree to the restructured deal involving RIDA.
  • Bad Faith: The Town and CDA are accused of not acting honestly or sincerely to fulfill their obligations under the agreements.
  • Improper Interference: CAT claims the Town improperly influenced RIDA's review process to get a negative outcome against CAT.

What CAT Wants (Goals)

The plaintiffs are seeking the following:

  • Compel Closing: Force the Town to proceed with the sale of EPCAL to CAT, as promised in the agreements.
  • Financial Damages:  Seek compensation for the losses CAT has suffered due to the defendants' actions, which may include expenses and potential lost profits.
  • Injunctive Relief  a court order preventing the Town from selling EPCAL to anyone else while the lawsuit is ongoing.

Key Points from the Lawsuit

  • The Project: CAT plans to develop the EPCAL site for environmental, energy, and academic tenants. Phase 1 involves a $250 million investment and building 1 million square feet of space.
  • Town's Obligations: The Town failed to get approvals for subdividing the property, which stalled the purchase.
  • RIDA Review: CAT agreed to RIDA reviewing its financial ability, but alleges it was a pretextual process with the outcome predetermined by the Town to get out of the deal.
  • Political Motivations: CAT suggests the Town's actions were motivated by public opposition to the project and upcoming elections.

Important Notes

  • This is only one side of the story. We don't yet have the Town of Riverhead's response, which would likely offer opposing interpretations of the agreements and events.
  • The outcome of this lawsuit is uncertain. The court will analyze the legal arguments and evidence to decide if the Town breached the agreements and acted improperly.

 Here's the approach someone might suggest:

Lines of Defense

  1. Contradictions and Misrepresentations:
  • Highlight CAT's prior detailed plans and drawings featuring a cargo jetport.
  • Demand specific, credible declarations about what they now intend to build, supported by concrete plans and financial models.
  • Argue that CAT's sudden about-face undermines their credibility and supports a claim of misrepresentation, potentially negating the whole agreement.
  1. Triple Five's Financial Situation and Litigation History
  • Subpoena detailed financial records to verify Triple Five's debts and liabilities. Seek expert analysis to show if they truly have the capability to finance the project.
  • Investigate the allegations in other lawsuits, particularly related to fraud and scams. If patterns exist, this damages their credibility as a reliable development partner.
  • Present evidence demonstrating that Triple Five's financial and legal issues raise legitimate concerns about their ability to meet obligations within the Purchase Agreement.
  1. Breach of the 'Good Faith' Obligation
  • Argue that the sudden shift in development plans, coupled with Triple Five's history, violates the implied duty of good faith and fair dealing in contract law.
  • Point to the Town's efforts to facilitate the original Purchase Agreement, and how CAT's inconsistent plans obstructed the process, amounting to a breach of faith.
  1. Improper Purpose and Public Harm
  • If local public opposition to the original cargo jetport plan was significant, gather evidence to support this. This shows CAT attempted to mislead the public.
  • Argue that their shift in plans is a bad faith tactic to circumvent public concerns after making binding agreements with the Town. This lack of transparency is harmful to the public interest.

Strategic Considerations

  • Counterclaims:  Consider filing counterclaims for damages. For example, costs incurred by the Town due to CAT's inconsistent plans or any misrepresentations they made.
  • Public Outreach: The Town should have a robust public relations strategy to address the public's changing perceptions and inform them about the potential risks of partnering with CAT and Triple Five.
  • "No Surprises" Defense:  Throughout the trial, emphasize that the Town acted in good faith on an agreed-upon project, only for CAT and Triple Five to alter the foundational development plans.

Important Notes

  • Strength of Evidence:  The Town's success rests largely on uncovering clear evidence of misrepresentation by CAT and the financial issues impacting Triple Five's ability to perform.
  • Local Political Climate: The outcome could hinge on the strength of public opposition and whether it outweighs the potential economic benefits. The Town may need to offer alternative development plans for public consideration.
 
Comparison

Again, please keep in mind that I am not an attorney. Double check all these ideas and conclusions. After doing some research, here is a summation from a non-attorney. It's a breakdown comparing the two lawsuits highlighting the key differences:


Similarities

  • Plaintiff: Both lawsuits are filed by Calverton Aviation & Technology LLC (CAT).
  • Defendants: Both lawsuits name the Town of Riverhead, the Town of Riverhead Community Development Agency (CDA), and the Town of Riverhead Industrial Development Agency (RIDA).
  • Project: Both lawsuits center around the failed development deal for the Enterprise Park at Calverton (EPCAL).
  • Accusations: Both lawsuits allege breach of contract, fraud, and improper actions on the part of the defendants that led to the deal's collapse.

Key Differences

  1. Original Lawsuit (January 2024):

    • Focus: Addresses the Town's failure to obtain subdivision approval, which stalled the project. Emphasizes CAT's flexibility to renegotiate and even accept an inferior ground lease structure to keep the project moving.
    • RIDA's Role: RIDA's financial review of CAT is portrayed as a manufactured barrier created by the Town to justify terminating the contract.
    • Fraudulent Inducement:  Centers on the Town's alleged misrepresentation that it would close the deal even if RIDA did not approve CAT, used to get CAT to agree to the restructured deal.
  2. Amended Lawsuit (February 2024):

    • Focus: Heavily emphasizes the wrongful termination based on RIDA's pretextual finding that CAT lacked financial capability.
    • RIDA's Role: Depicts RIDA as manipulated by the Town Board, who pressured them for a negative outcome. Further alleges that RIDA and the Town colluded behind the scenes, violating RIDA's obligation to hold a public hearing.
    • Political Motivations: Explicitly states that the Town's actions were driven by political opposition to the project leading up to the 2023 elections, rather than legitimate concerns about CAT's ability to perform.
    • Cure Attempt: Includes details about CAT's attempt to cure the alleged financial ability breach by offering to pay cash and provide a letter of credit, which the Town ignored.

Overall Shift in the Narrative

The amended lawsuit presents a more aggressive posture by CAT. There's a stronger emphasis on:

  • Illegitimate Termination: The focus is less on the Town's past failures to facilitate the deal and more on RIDA's allegedly improper denial of CAT's financial capability.
  • Collusion and Bad Faith: The Town and RIDA are accused of actively working together against CAT, undermining the integrity of RIDA's review process.
  • Political Games: Public opposition to the project and the election cycle are portrayed as the driving factors behind the Town's behavior.

It's Important to Note

  • These descriptions are based on the plaintiffs' side of the story; the Town of Riverhead would likely offer a very different narrative.
  • Lawsuits are complex, and the outcome of this case remains uncertain.


Here's a breakdown of how someone might approach things if they were the Town of Riverhead's legal counsel. Remember, this is from a non-lawyer and doesn't replace getting advice from a qualified attorney with local knowledge.


Immediate Next Steps

Gather Evidence:  Meticulously collect all communications, contracts, meeting minutes, etc., related to the EPCAL project. Pay close attention to anything supporting your version of events.


Witness Interviews:  Interview key Town staff, CDA members, and potentially RIDA members involved in the decisions. Document their recollections and understanding of events, especially those countering CAT's narrative.

Analyze Local Law: Review local ordinances and statutes related to development agreements, the CDA's and RIDA's powers and procedures. Look for potential defenses based on the Town's adherence to regulations.

Focus of the Town's Reply (Key Defense Points)

  1. Contractual Compliance (Procedural): Argue the Town acted within its rights under the Purchase Agreement (and subsequent agreements). Emphasize any clauses providing the Town discretion in terminating the deal under specific circumstances.
  2. Good Faith Efforts:  Present evidence supporting the Town's attempts to facilitate the deal, highlighting any actions taken to help CAT overcome the hurdles (subdivision, etc.). This counters the 'bad faith' and 'collusion' accusations.
  3. RIDA's Independence:  Underscore RIDA's role as an independent agency. Provide evidence supporting RIDA's autonomy in its review process, demonstrating a lack of improper influence from the Town Board.
  4. Public Interest:  Frame the argument by highlighting the Town's responsibility to protect taxpayers' interests. Emphasize that public concerns over the project were valid and legitimate and not merely political maneuvering.
  5. CAT's Misrepresentations (Potential): Investigate if CAT misrepresented its plans for the site (i.e., the cargo jetport issue). If inconsistencies exist, use it to cast doubt on their credibility and whether they upheld their contractual good faith obligations.

Areas Where The Town Needs to be Cautious

  • Optics of Collusion:  Avoid any actions or communications that could even remotely suggest the Town exerted control over RIDA's process. This is critical, as CAT's accusations center around this point.
  • Public Records:  Anticipate public records requests (FOIA) from CAT seeking internal Town or CDA communications. Be mindful that these could become evidence, and any statements contradicting your defense would be damaging.
  • Public Opposition: Be sensitive to public sentiment while upholding the Town's legal position. If opposition was a significant factor, find ways to justify it based on legitimate concerns (e.g., environmental impact, project scale changes) rather than purely political ones.
  • Financial Prudence: If RIDA's concerns about CAT's financial ability genuinely existed, be careful not to overstep your authority or misrepresent information to RIDA. Actions aiming solely to stop the project rather than a good-faith assessment could strengthen CAT's claims.

Important Considerations

  • Settlement as an Option: Explore settlement options if the Town's risk of losing seems high or if a protracted legal battle is a bad look politically.
  • Counterclaims: Consider counterclaims if there's potential that CAT breached the agreement or made misrepresentations to the Town.
  • Public Relations:  Develop a strong public relations strategy alongside your legal defense. The narrative in the court of public opinion will matter substantially.

Robert Gass is a retired New York City Battalion Fire Chief who lives in Calverton.  He has no legal training but has strong research skills and insight.