2009-0812009-81
Resolution Authorizing the Release of Letter of Credit, Checks for Recreation Fees and
Escrow Deposits Posted in Connection with the Cranberry Hills Subdivision
At a regular meeting of the Town Board of the Town of Wappinger, Dutchess County,
New York, held at Town Hall, 20 Middlebush Road, Wappingers Falls, New York, on February
9, 2009.
The meeting was called to order by Christopher Colsey, Supervisor, and upon roll being
called, the following were present:
PRESENT: Supervisor
Councilmembers
ABSENT:
Christopher J. Colsey
William H. Beale
Vincent F. Bettina
Joseph P. Paoloni
Maureen McCarthy
The following Resolution was introduced by Councilman Bettina and seconded by
Councilman Paoloni.
WHEREAS, Cranberry Hills, LLC, received Subdivision Plat Approval from the Town
of Wappinger Planning Board by Resolution dated December 12, 2006; and
WHEREAS, in accordance with Town Law Sections 276 and 277, Cranberry Hills, LLC,
tendered a Performance Agreement secured by an Irrevocable Letter of Credit, Serial No.
S00055737, issued by the Bank of New York in the sum of Four Million, Three Hundred Twenty
Thousand Dollars and 00/100 ($4,320,000.00), in favor of the Town of Wappinger, to secure the
developer's obligations to guarantee the construction, installation, implementation and dedication
of required improvements as set forth in the Resolution of Subdivision Plat Approval dated
December 12, 2006; and
WHEREAS, the Applicant further issued bank checks to the Town of Wappinger for the
following items:
1. Bank check number 979570394 dated 11/29/2007 in the amount of $275,000.00
for Phase I Recreation Fees; and
2. Bank check number 979570395 dated 11/29/2007 in the amount of $26,250.00 for
the post approval escrow deposit; and
3. Bank check number 979570396 dated 11/29/2007 in the amount of $108,000.00
for the initial inspection escrow deposit.
WHEREAS, the Town Clerk has verified the possession of the aforementioned original
documents and checks; and
WHEREAS, the Applicant, through its attorney, Richard O'Rourke, of the law firm of
Keane & Beane, by letter dated January 7, 2009, has requested the return of the Letter of Credit,
as well as the bank checks delivered for the recreation fees, post approval escrow deposit and
initial inspection escrow deposit.
NOW, THEREFORE, BE IT RESOLVED, as follows:
1. The recitations above set forth are incorporated in this Resolution as if fully set
forth and adopted herein.
2. In accordance with the letter request dated January 7, 2009, the Town Board
hereby authorizes the Town Clerk, John C. Masterson, to return to Cranberry
Hills, LLC, c/o Keane & Beane, the Irrevocable Letter of Credit posted as security
for the Performance Agreement in the sum of Four Million, Three Hundred
Twenty Thousand Dollars and 00/100 ($4,320,000.00), bearing Serial
No.S00055737, in favor of the Town of Wappinger.
3. Further, in accordance with the letter request dated January 7, 2009, the Town
Board hereby authorizes the Town Clerk, John C. Masterson to also return the
following three (3) checks:
a. Bank check number 979570394, dated 11/29/2007, in the amount of
$275,000.00 for Phase I Recreation Fees; and
b. Bank check number 979570395, dated 11/29/2007, in the amount of
$26,250.00 for the post approval escrow deposit; and
C. Bank check number 979570396 dated 11/29/2007 in the amount of
$108,000.00 for the initial inspection escrow deposit.
4. This resolution shall take effect immediately.
The foregoing was put to a vote which resulted as follows:
CHRISTOPHER COLSEY, SUPERVISOR Voting: AYE
WILLIAM H. BEALE, COUNCILMAN Voting: AYE
VINCENT F. BETTINA, COUNCILMAN Voting: AYE
MAUREEN McCARTHY, COUNCILWOMAN Voting: ABSENT
JOSEPH P. PAOLONI, COUNCILMAN Voting: AYE
Dated: Wappingers Falls, New York
2/9/2009
The Resolution is hereby duly declared adopted.
*HNC. �=S-TERSON, TOWN CLERK
KEANE 8 BEANE, P.C.
ATTORNEYS AT LAW
445 HAMILTON AVENUE
WHITE PLAINS, NEW YORK 10601
200 WESTAGE BUSINESS CENTER
FISHKILL, NEW YORK 12524
(845) 896-0120
Via Facsimile: (845) 297-4558
& Regular Mail
(914) 946-4777
FAX (914) 946-6868
www.kbiaw.com
January 7, 2009
Honorable Christopher Colsey, Supervisor
Town of Wappinger
Town Hall
20 Middlebush Road
Wappinger, New York 12590
Re: Cranberry Hills Subdivision
Dear Mr. Colsey:
RICHARD L. O'ROURKE
PRINCIPAL MEMBER
Supervisor Office
JAN 0 8 2009
As you know, my firm represents Cranberry Hills LLC, owners of properties located on
Widmer Road and Myers Corners Road. The subdivision approval for this land is the subject of
continuing litigation, and briefs are scheduled to be filed in the Appellate Division, Second
Department in February, 2009.
In earlier conversations with Town Attorney Al Roberts, he indicated to me that he had
instructed the return of certain monies deposited and paid in connection with the signing of the
final plat. It is the refusal by the Planning Board Chairman to sign the plat that is the subject of
the pending litigation before the Appellate Division, Second Department.
Pursuant to my most recent conversation with Mr. Roberts, I hereby renew the request for
the return of the letter of credit, recreation fees and inspection fees currently held by the Town of
Wappinger. The Letter of Credit is in the amount of Four Million Three Hundred Twenty
Thousand (4,320,000) dollars, the Recreation fees total two hundred seventy five thousand
($275,000) Dollars and the Inspection fees paid are one hundred eight thousand ($108,000)
Dollars.
Should you have any questions regarding this, please do not hesitate to contact me.
Very truly yours,
Richard L. O'Rourke,.
RLO/cp
cc: Alan Raylesberg, Esq.
Mr. Steve Green
Al Roberts, Esq.
1185/20/350234 V1 1/7/09