Trans-Hudson Management’s proposal to build a CVS drugstore, Five Guys Burgers restaurant and other shops on the 5.6-acre parcel bounded by the New York State Thruway, Route 299 and North Putt Corners Road in New Paltz has been reported as nearing approval so many times since it was first broached in 2014 that readers might be forgiven for viewing another such headline with a roll of a jaundiced eye. But after years of wrangling and many design changes, it looks as if the extreme financial pressures of the COVID-19 era may finally accomplish what other arguments previously have not. While a vote was not taken on Trans-Hudson’s requests for several waivers at the October 15 Town Board meeting, municipal officials expressed a new willingness to, in town supervisor Neil Bettez’s words, “try to figure out something where we come away with a little bit of a win for everybody.”
With no fiscal relief in sight from a polarized US Senate to hard-pressed small towns, New Paltz officials are faced with monstrous deficits for 2021 and feeling exceedingly risk-averse. During the budget discussion portion of the meeting, councilman David Brownstein reported that town comptroller Jean Gallucci had told him and councilman Dan Torres that about $475,000 in projected revenues “will not be collected this year” due to the pandemic, including income from court fees, solar leases, community center rentals and various other sources. Aid to municipalities from New York State will be cut by 20 percent next year. Altogether for 2021, Bettez said, “We have close to a million-dollar shortfall because of COVID.”
Trans-Hudson is now holding the town’s feet to the fire in the form of an Article 78 lawsuit, which it is threatening to revive. The litigation was filed as a “placeholder” in protest of the adoption last year of new Gateway zoning standards for areas near the Thruway interchange – two years after an earlier iteration of the 12 North Putt Corners concept plan received a negative declaration on its environmental impact statement. Now, according to Trans-Hudson representative Kathy Zalantis, the developers have decided to abandon the project if they don’t get the requested waivers to two Gateway stipulations: no restaurant drive-throughs and no single-story buildings in mixed-use developments. “Before we expend any more resources, we have to know this is a viable plan,” Zalantis said. Trans-Hudson has argued that residential use of a second story would not be marketable or appropriate for this site, bounded by three busy roads.
Both waivers were approved by the New Paltz Planning Board in September, but not unanimously, throwing the decision into the Town Board’s court. Bettez didn’t mince words: “If we decide not to grant these waivers, there’s a very good chance we will get sued.” He walked the board through several possible scenarios, depending on what legal expenses would be covered by insurance and whether or not the town won or lost the lawsuit, with the worst case costing New Paltz $125,000 to $150,000 and the hard-won rezoning overturned. Even the best case would result in the expense of a $10,000 legal deductible and a default to an older site plan missing several long-sought improvements, including the rerouting of a segment of the Empire State Rail Trail off Route 299 and North Putt and around the back of the property. “I don’t consider that a win,” the supervisor said.
Bettez agreed with the developers that several of the most recent proposed changes to the site design had brought it into better compliance with the town’s vision for the Gateway District. “I actually support this project. The original project was very car-centric,” he said. Engineer Justin Dates of Maser Consulting compared slides of the previously approved concept plan and the newer iteration, noting that the commercial square footage had been reduced from 21,000 to 15,800. He also pointed out that the parking areas had been shifted to the interior of the site and reduced from 126 to 97 spaces for commercial use, with 19 spaces and possibly a rest room set aside for municipal use next to the rail trail.
Councilmen Torres and Brownstein also indicated that they were leaning toward coming to a compromise with Trans-Hudson. “The viability of the zoning, if challenged, is a real concern,” Torres said. Both acknowledged the widespread and vocal community opposition to the waivers, expressed during the public input segment of the meeting by representatives of the Environmental Conservation Board, Bicycle/Pedestrian Committee, Climate Smart Task Force and other citizens. Janelle Peotter argued that increased engine idling at drive-up windows would increase carbon emissions and harm New Paltz’s chances of attaining Silver certification under the Climate Smart program. Ingrid Haeckel of the ECB said that approving the drive-ups would create a “de facto Thruway rest stop at one of the busier intersections in New Paltz.”
For the present, town officials want one more consultation with their attorneys before bringing the waiver requests to a vote. Meetings with town department heads are also imminent, seeking ideas for how to cut spending to the bone. While the board did vote to override the state-mandated tax cap for 2021, it was recognized that New Paltz taxpayers are in no position financially to absorb the shock of the huge impending budget shortfall.
“The goal we have in mind is a zero percent tax increase,” said Brownstein. “We’d like to do that without layoffs and without furloughs of any kind.” He suggested that, going forward, no expenditures over $1,500 be approved that do not involve contractual obligations or debt payments: “We have a responsibility to end the year with as much in reserve as possible.”
For 2021, Torres said, “We want to request that department heads provide us with a 15 percent reduction from last year.” Bettez said that he and Gallucci would sit down with the department heads in a special meeting to find ways to reach that goal.
Join the family! 
