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2020-06-10 Executive Session MinutesSRA June 10, 2020 Page 1 of 2 City of Salem Massachusetts Executive Session Meeting Minutes Board or Committee: Redevelopment Authority, Executive Session Meeting Date and Time: Wednesday, June 10, 2020 at 6:00 PM Meeting Location: 98 Washington Street, First Floor Conference Room SRA Members Present: Chair Grace Napolitano, David Guarino, Dean Rubin, Russ Vickers SRA Members Absent: None Others Present: Tom Daniel – Director of Planning and Community Development Kathryn Newhall-Smith – Principal Planner Recorder: Colleen Brewster Chair Napolitano calls the meeting to order. Roll call was taken. Executive Session 1. To discuss the Memorandum of Understanding between the SRA and the MBTA for the parcel adjacent to the ‘Crescent Lot’ at 252 Bridge Street because an open meeting may have a detrimental effect on the negotiating position of the public body. Roll call vote to begin to Executive Session. Guarino, Rubin, Vickers, Napolitano. Passes: 4-0. Executive Session began at 8:00PM Chair Napolitano states that Open Session will not reconvene Mr. Daniel stated that he spoke with the MBTA representatives and the purchase price is $150,000 which came up 2 years ago. The MBTA wants compensation for the value of their real estate and that price was based on a conceptual study, however, the per square foot value for the crescent lot should be applied to this rather than $150,000. The 17% appears to be the portion of the total lot for their property but that needs to be clarified. He is concerned with the SRA following everything the MBTA wants to follow when they sell a property, and a transaction like this is new to the SRA. Because it’s MBTA property they must go through the Central Registry and the RFP process which he has no concerns with. The MTBA has their own timeline for review and approval of the developer and they want to approve the developer themselves. They need to overlap the two timelines to see how they align and if it’s possible to reduce their review times. They also won’t cover any of the MBTA’s costs either and the development team will need to comply with MBTA standards, although item 6 on page 4 of the agreement stated that the MBTA won’t incur any expenses for reviewing any documentation in regard to this project. Mr. Vickers stated that item C on page 5, indicated extension options which are a bit onerous. Mr. Rubin suggested this could be a loophole added to allow the MBTA to make money and extend their review time. SRA June 10, 2020 Page 2 of 2 Mr. Vickers noted that this area is not part of the original RFP. Mr. Daniel replied that it is owned by MTBA so the SRA doesn’t have control over it, but the developers are including this area into their RFP. The MBTA and developers are relying on the SRA’s process. He asked if they will require an additional addendum or RFP for this area. Mr. Daniel replied yes. Mr. Rubin questioned what would happen if the MBTA does not approve of the developers. The SRA must be able to separate it out in case they don’t take the deal. Mr. Daniel replied that the MTBA has no use for the land and the development will help them in the long-run so he’s hopeful they will negotiate Mr. Vickers suggested the SRA protect themselves in case they can’t finalize a deal with the MBTA and if the project moves on without the SRA’s plan and schedule. Mr. Daniel replied that he is cautiously optimistic. Mr. Rubin stated that any extensions that the MBTA requires to the timelines should be reasonably limited, so they don’t unduly hold up the process. Also, if they can’t get permits for use of the land, the SRA shouldn’t have to pay the MBTA. Motion: Vickers motion to approve and give Tom Daniel authorization to proceed with negotiation and execution of an agreement with the MBTA. Roll Call Vote: Napolitano, Guarino, Rubin. Vickers. Passes 4-0. Guarino: Motion to adjourn the meeting. Roll Call Vote: Napolitano, Guarino, Rubin. Vickers. Passes 4-0. Executive Session ended at 8:30PM Know your rights under the Open Meeting Law M.G.L. c. 30A §18-25 and City Ordinance Sections 2-028 through 2-2033.