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State Approves Sale of Poxabogue

Path cleared for East Hampton Town to sell its share of municipal golf course to Southampton Town, according to The East Hampton Star.

After East Hampton Town of to Southampton Town for $2.2 million, legislators on the state level recently approved the sale, clearing the way for the land to exchange hands, according to an report.

The towns jointly purchased the course eight years ago to prevent the land from being developed, and turned it into a municipal course. The $6.5 million bill was split down the middle, and though East Hampton will take a $1 million loss compared to what it originally paid, selling off its share now will enable the town to pay off its bond and still come out on top.

"The debt balance will be paid in full after the tenth year of the loan issuance date thus saving the town $100,000 in interest," according to a resolution the town passed in October 2011.

Read the article at easthamptonstar.com

amagansett voter July 01, 2012 at 08:30 PM
Lets see the math that shows paying $3.25 million...receiving $2 million on sale...coming out on top!
Factual July 02, 2012 at 02:24 AM
Simple. Receiving $2.2 million plus the $200,000 in the reserve fund means EH gets $2.4 million, not $2 million. The $2.4 million plus the interest earned over the next several years will be enough to cover debt payments on the property. That means the sale proceeds will cover the remaining debt payments and the Town will not have to raise the $2.5 million in taxes to pay off the bonds over the next 10 years. East Hampton residents will have all the same access to the golf course at the resident rates they have now and the property will be protected from development. Like the East Hampton Press stated in an editorial, it is a no brainer for East Hampton. Bottom line, the taxpayers of East Hampton will pay $2.5 million less in taxes and retain all the rights to the golf course they have now. That's coming out way on top!!! I mean as on top as you could possibly hope for - saving $2.5 million in taxes. A no brainer for anyone that has a brain.
Solusipse July 02, 2012 at 02:19 PM
I wish they'd apply the same brain power to taking federal funds for the airport. The Town has left Millions!! of dollars on the table for the asking with no repayment obligation or debt service out of a misguided belief foisted on it by propagandists seeking to increase their own real estate interests that the Town will somehow "take back" the airport it already owns free of FAA regulation in 2014 which is absolutely false. In the meantime the Town has floated a bond issue to provide essential weather reporting at the airport, is paying for the summer control tower out of what would otherwise be a $500,000/year operating surplus and allowing this important public facility to deteriorate at the expense of safety and what used to be known as civic pride.

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