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April 19, 2006

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DRAFT LETTER re: HIGGINS & NYPA

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Bed and Breakfast at Wendt Beach?

Pictured above is the mansion at Wendt Beach Park which is being considered for a Bed and Breakfast. It used to be the summer residence of the Henry W. Wendt, Jr. family, which they later renamed the "The Ridgewood." The interior of the main house is a remembrance of beautiful hardwood floors, a spiral staircase, and railings of dark wood, window seats and bay windows, many of which overlook the lake and beach areas.

Summer’s coming and in WNY we begin to think of beaches. This year, Wendt Beach has been on the minds of many and not just as a summer destination for a day of swimming. Wendt Beach has been in the news lately as a concern of the residents - as a County owned park, will it be open this year? Is there money available to run the park? Are there private funding sources that will be enlisted to open the park? What will be the ramifications of "privatization" of the park or a portion of the park? Questions, questions, questions and where do we go to get credible answers?

Erie County 12th District Legislator Robert B. Reynolds, in an effort to keep his constituents informed, sent a letter in reply to some of the concerns voiced by many District 12 Residents over the Wendt Beach/Precision Parks project currently under consideration by Erie County. In the letter, Reynolds states: "Recently I engaged in conversation with both Erie County Parks Commissioner Andy Sedita and Precision Parks Owner Mark Yellen. In those meetings, I presented questions that were raised at the Evans Town Board Meeting that I attended, as well as from constituent phone calls I received in my district office on this issue. Below are the answers I have received to this point.

Going forward, I will be collaborating with New York State Assemblyman Jack Quinn to verify any state alienation issues that may or may not exist, relevant to this issue. Once I have such informational details in order, I will finalize plans for a public meeting to include all citizens and pertinent government officials. At this meeting Mr. Yellen, Commissioner Sedita and I will be available to answer any questions that still remain.

In the meantime, I ask for your patience and trust in allowing me the time to continue to gather the necessary information in order to present the terms of what is actually involved in this project.

1) This project is in no way a completed deal. No lease has been signed nor any formal agreement been accorded Precision Parks, and/or its owner Mark Yellen, for the take over of buildings at Wendt Beach for any reason or purpose.

2) Mr. Yellen has stated that he is a former employee of Delaware North where he was responsible for implementing the Delaware North Stewardship of a number of parks for the purpose of improving their esthetics and their economic viability. Some of the parks for which Mr. Yellen was responsible include Yosemite National Park, Jones Beach, Long Island New York, Pebble Beach, California and Stone Mountain Park in Atlanta, Georgia.

3) Mr. Yellen has stated that he left Delaware North to initiate his own business. In that capacity he developed a park renovation/concession division based on his expertise gained while in the employ of Delaware North.

4) Mr. Yellen has stated that he originally became involved with Erie County and the county parks system in 2002, at the invitation of then Department of Public Works Commissioner Maria Lehman. Commissioner Lehman was familiar with Mr. Yellen’s expertise in the area of park concession renovation and development and asked for his advice on ways to revamp some of the county parks and properties, such as Wendt Beach. Mr. Yellen suggested the institution of private stewardship programs such as those undertaken by Delaware North. Mr. Yellen gave of his time and expertise solely as an independent consultant/volunteer.

5) In August of 2005, Erie County published an RFP (request for proposal) in the Buffalo News requesting replies from qualified parties interested in touring the Wendt Beach facility for the purpose of working on a renovation plan in partnership with the county. At that time, only two developers answered the RFP and only one, Mr. Yellen, actually attended the tour.

6) According to the public terms of the RFP, Mr. Yellen submitted a proposal for the renovation of the Wendt Beach buildings. At that time, his proposal was submitted to the Erie County Legislature

for their approval as a project to consider. Since then, the administration has been meeting with Mr. Yellen to discuss terms, alternatives and proposals for the purpose of putting together an agreement to present to the legislature and to the community at large.

7) Knowing of the current state of the Wendt Beach site, Mr. Yellen states that his purpose is to work with Erie County government and residents to develop a first class destination at Wendt Beach that will add esthetic value to the community and also generate income to maintain the site, as well as provide a certain revenue for Erie County.

8) This would be a completely privately funded project. Mr. Yellen is proposing the investment of $2 million of his company’s money for the initial renovation work. There are no government funds or grants involved.

9) Mr. Yellen states that he is not willing to guarantee a minimum payment to the county due to the high financial risk he is undertaking. However, within the terms of the Precision Parks proposal, Erie County can cancel the agreement at any time and take back full possession of the buildings and areas that Precision Parks will have renovated.

10) The agreement proposed between Erie County and Precision Parks is a concession agreement.

11) At this time the "quiet area," as noted in the Precision Parks proposal, is still being defined and therefore a site map has not yet been created. Such a map would be required before any final consideration of this proposal would be undertaken by the county.

12) Mr. Yellen states that his idea concerning the "quiet area" is to make it as small as possible, primarily surrounding the mansion and the buildings. His intent would be to use creative landscaping to re-direct foot and vehicle traffic as opposed to any overt fencing, signage or gates. Once renovated, the buildings would be available to the public for meetings and gatherings. Interested visitors would also be welcome to tour the facility.

13) The revenue that the county would receive based on this proposal would be 20% of every dollar taken in from room reservations, bed tax, food served, and possible parking fees. Mr. Yellen’s hope is for 10% of those monies to return to the park’s operation and the remaining 10% to be placed in a fund for park improvements to be used when the concession agreement expires.

14) The proposed concession agreement is for 10 years with a 10 year renewal option.

15) The area of Wendt Beach used for soccer fields and parking for soccer activities would all remain free of charge and operate as they do currently.

16) There is no plan by Mr. Yellen to try and restrict beach usage or disturb the bike path in any way.

17) If the county should break the lease with Precision Parks, they would have to repay the unamortized portion of the monies spent by Precision Parks for property improvements. It is not straight line depreciation. It goes according to federal standards.

18) The amount of the investment that will be amortized is $200,000.

19) Mr. Yellen states that he is negotiating for the final say over concessionaire rights at the soccer fields, but he is open to discussion and reconsideration of this point.

20) Mr. Yellen estimates that completion of this project would take approximately one year from approval.

21) Mr. Yellen states that he is not acquainted with any members of the Evans Town Board.

 

   

 

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