by Phillip Zema
On June 29, the Town of New Lebanon will decide whether it wants to approve the Town Hall renovation project. The referendum will be held from 12 to 9 pm at the Immaculate Conception Meeting Hall, which is located at 732 US Rt. 20. On June 28 there will be a public information meeting at 7 pm at the American Legion Hall. The referendum was originally scheduled for August. The chief reason for this change is that the Town will likely receive a $75k grant from the United States Department of Agriculture (USDA). Since the grant’s deadline is in July, and since it cannot be awarded unless a referendum passes (a regional USDA official recently said that so long as the referendum passes, the Town would receive the award), the Town Board opted to change the referendum date. The grant’s application, however, requires the referendum bond to be set at $815k, which is well above what many Town officials believe the project will cost.
Members of the Town Board and Town Hall Committee worry that this high number might scare voters. Yet as emphasized by Councilman and Committee Chairman Bruce Baldwin, Committee member Douglas Banker, Deputy Supervisor Monte Wasch and other Town representatives, the project’s cost will likely be much lower. The Town, moreover, is not required to spend $815k.
Since its formation, the Town Hall Committee was focused on keeping construction costs at around $500k. A recent estimate puts this cost at $572k – a worst case scenario estimate puts this cost at $617k. Although the Town has not put the project out to bid, Baldwin thinks that, ultimately, there is good reason to believe construction costs will likely be less than $500k.
Various legal, engineering and transaction fees will increase the total cost of the project. With these fees included, one estimate places the project’s total cost at $724k. A worst case scenario places the cost at $815k. While the total cost might seem high, some Town officials are confident that there will be no local tax increase.
As mentioned above, the Town would receive $75k from the USDA. New Lebanon is also eligible for an annual $30k court grant, but the Town cannot apply for it until the NYS budget passes. Moreover, the Town’s 2010 and 2011 budget has money available for such a project (60k and 50k, respectively). The Town could also use $200k of its surplus money (it has about $350k in reserves) to avoid a tax increase.
If New Lebanon decides to fund the project this way, the Town would only need a $359,100 bond, which would be payable at $80,664 a year over five years – including the cost of the 4% annual interest. As stated by Baldwin and Banker, since the Town already allocates $100k annually for building capital costs (as indicated by line item A1620 of the Town’s general budget), the bond could be paid for without increasing taxes. Accordingly, the $100k would cover the $80,664 annual cost. Even in a worst case scenario, the Town would likely only need a $400k bond, payable in five years ($89,851 per year). The larger bond would not create a tax increase either.
Baldwin said that the renovated Town Hall will look much like the original building. He added that after the building was condemned six years ago, the Town searched for a permanent Town Hall. In response to public interest, it was decided that the Town Hall building should be renovated. Douglas Banker said that, since then, those involved in planning the project have done everything possible to minimize costs.
As emphasized by those who favor the project, a restored Town Hall will be able to adequately house the Town offices and Town Court. It will be large enough to hold public meetings, Town Court hearings and other municipal events; there would also be plenty of office space for the Town’s Boards, committees and officials. Furthermore, the seniors will likely meet there at least once a month. They currently have a $300k grant at their disposal, which will be invested in purchasing the building’s kitchen facilities and appliances. Also, like it did in the past, the Town Hall would serve as an ideal meeting hall for the Lebanon Valley Historical Society.
Many residents and officials believe a renovated Town Hall will be an asset to the community. Banker believed that renovating the building would help the Town and likely be a plus for everyone. Baldwin stated that the American Legion Hall – serving as the current Town meeting hall and Court – is not an optimal site for the Town government. A new Town Hall would be more convenient for both the Town government and community. Baldwin claimed that restoring the Town Hall will help take the Town government back to where it was seven years ago.
Site plans for the project can be accessed at the Town’s website, www.townofnewlebanon.com.