Senior Center Tab Still Unresolved

May 2009 pre-primary event at Senior Center


Budget talks Tuesday brought out the fact that the Senior Center must pay $33,000 in annual condo fees for 2012, but a prior tab of more than $280,000 for fees and other center costs remains unresolved.

Part of the deal for a "free" senior center was that developer Glen Fishman was allowed to put 63 condos on three floors above the center and a smaller space for veterans. The city has taken possession of both spaces and the senior center must pay 13 percent of maintenance costs for the building. The developer is still using the veterans' space as a sales office and its occupancy by veterans hinges on condo sales.

Corporation Counsel Dan Williamson said the matter of the developer's bill for previous senior center fees and costs will be going to arbitration. He said counsel for the developer has changed and and he and the new attorney are in the process of identifying an arbitrator. Costs as billed in April 2010 were $257,121.97 for fitting out the center plus $30,250 in various costs including $16,500 for condo fees from November 2009 through April 2010, a non-refundable three-month maintenance charge of $8,250, $2,750 security for payment of common fees and $2,750 for a full-month assessment payment in advance.

Under questioning by Council President Adrian Mapp, Williamson said veterans do not have access to the veterans center now, but will not have the "unfettered access" they want because the space is city property and veterans' groups cannot be given keys to use the premises at will. Although the original developer's agreement calls for handing over the space once all condos are sold, Williamson said new terms call for a hand-off after two years or when the fiftieth unit is sold. He said he believes 24 to 30 of the 63 units have been sold.

"We actually own it, but we can't use it?" Mapp asked.

"The short answer is yes," Williamson said.

There are several veterans' groups, and Senior Center Supervisor Sharron Brown said two are meeting there at present. Councilwoman Annie McWilliams said the Veterans of Foreign Wars want their own space and have asked the city to identify a city-owned property that might be developed as a meeting place. But none are available right now, Williamson said.

McWilliams questioned the city's unusual role in being a condo owner. Budget consultant David Kochel said  the city could have a seat on the condo board once control goes from the developer to a condo association. But he said, "The city will have a voice, but won't have a controlling voice."

McWilliams also raised the issue of condo fees escalating, and Administration & Finance Department Director Al Restaino acknowledged that fees could go up.

Besides the 13 percent condo fee for the Senior Center and 1 percent for the Veterans Center, the city is also on the hook for condo fees at another location. The city took ownership of the basement at the former Tepper's building, but has never determined a use for the space. It is unclear whether the city ever paid condo fees that may have been accruing since 2004. See Plaintalker's post here.

(More to follow on other divisions that were discussed Tuesday.)

--Bernice