by: Tiffany Razzano
Debate continues between Chase and the village over whether the proposed apartment complex, at 80-100 Banks Ave., will ever be built. The opinion of the Board of Trustees has been that such a large project has no place in Rockville Centre. Its recent passage of a density law, capping the density rate of multi-family units in the commercial district to 25 per acre, has even jeopardized a proposal by Chase to shave the project down from 349 units to 270.
Because the Banks Avenue site - where Darby Drug once stood - is part of the state Department of Environmental Conservation's Brownfield Cleanup Program, Chase would be required to remove all contamination there before it could begin construction of any development.
The decision by Chase to increase its claim against the village comes just weeks after Nassau County Supreme Court Judge Bruce D. Alpert ruled that the Planning Board and the village acted in bad faith by trying to keep Chase from developing the site. He called the Planning Board's environmental review of the project "arbitrary" and "capricious," and said the board tried to "impose unreasonable and unjustifiable conditions" on the development. He also blamed the board for delaying the start of construction for the past three years. His decisions gave Chase the go-ahead for its original 349-unit plan for Signature Place.
"We don't believe that Chase is able to demonstrate $2 million in damages, let alone $25 million," said Gary Fishberg, attorney for the Planning Board. "Because of the need for DEC approvals, they weren't able to start this project until maybe a month or two ago. So how they could have damages as a result of this is a little puzzling."
Trustee Andrew Karamouzis called the new damage claim "just another scare tactic by the developer designed to intimidate the residents of the village." He added, "The claim is meaningless unless Chase can demonstrate that it is has suffered actual damages, which it has not. Regardless of any actions by the Planning Board, no construction could have taken place on the project until the DEC approved the cleanup plan for the site. Therefore, none of the so-called 'delay' has actually affected Chase."
Chase representatives said that they have increased the damage claims because of the escalating cost of the remediation of the site, as well as those of construction and building materials. "It is regrettable that we are forced to proceed in this fashion," said Clark Hamilton, principal of Chase Partners. "We have made every effort to cooperate with the village, adjust our original plans to meet their express desires and work cooperatively for a development that is beneficial to the community. Unfortunately, it appears that the village does not have similar goals."
If a federal judge rules in Chase's favor, the $25 million damage claim would "come out of the pockets of every taxpayer in the village," said Deputy Mayor Wayne Lipton. He said that the village does have insurance, but not enough to cover $25 million in damages. "This would sit on the backs of the taxpayers one way or another," Lipton said.
The Board of Trustees can still appeal Alpert's recent decisions, and it has already established that once it gets the paperwork from the court, it will do so, Fishberg said.
"From what I have read of the Signature Place decision, and what I know of the hard work and reasoned deliberation of the Planning Board, the court's decisions should be appealed and should be reversed," Trustee board has been able to agree on. There has been contention among board members about whether they should renegotiate the development with Chase, and they are currently split 3-2 on the matter. Lipton said that while he and Mayor Eugene Murray would like to negotiate with Chase for a smaller development, Trustees Mulry, Karamouzis and Suzanne Sullivan all strongly believe the village should do all it can to keep Signature Place from becoming a reality.
Sullivan said, "The residents of Rockville Centre not only want to protect the character of the village, they also want to protect our right to self-governance, and they are looking to the Board of Trustees for leadership on this matter."
Lipton, however, said that if the board doesn't negotiate with Chase "[they]'re crazy." He has also called the "serious difference of opinion" among the board members "a very strong problem."
"My recommendation to the board is to pursue actively a negotiation, which is for the benefit of the village because there are a variety of potential penalties which could cost the village millions of dollars," Lipton said. "It's in our best interest to aggressively pursue a settlement."
He added that Chase had even proposed a 177-unit development, which the board, due to its "shortsightedness," rejected. Lipton conceded that the initial 349-unit development was way too large, but he was hoping the village and Chase could reduce the project to something smaller and more appropriate to the village.
Comments about this story? TRazzano@liherald.com or (516) 569-4000 ext. 221.