Deal for Powder Ridge withdrawn
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The weather outside was blowing snow as Middlefield First Selectman Jon Brayshaw sat in the Town Times office and explained the proposal for Powder Ridge that would be presented at a public hearing next Tuesday, Feb. 16, at 7 p.m. in the Memorial School gym.
Brayshaw kept cautioning, “Don’t forget; nobody has signed off on this,” as he explored the status of the deal “at this point in time.”
Less than an hour after leaving our office, Brayshaw called back and said, “I just received a letter announcing the withdrawal of the proposal from Dan Frank. I’m sending it along.”
While the snow continued to blow, the prospects of fun on Powder Ridge receded again.
Before Wednesday afternoon, this was the deal: CDF and Associates, LLC, whose principal is Dan Frank, and Snow Time Inc., Frank’s partner for this deal, would be asked for $500,000 for the 113+/- acres of the ski area portion of the 250-acre total town-owned property at Powder Ridge. In light of a state economic development grant of $500,000 announced last week, the deal would hopefully have been structured as a one- or two-year lease with a deposit of $250,000 at the outset and then $50,000 a year for the next five years after Frank and his partners took ownership. The reason to structure the deal as a lease rather than a sale at the beginning was because the state grant was promised to the town and so the town would have to retain ownership of the land while infrastructure improvements were made with the $500,000 in state money.
There were several unresolved points as well, including whether the deal would include a clause that would allow Frank to lease some or all of the surrounding town-owned land should the business need extra room to grow and add more trails.
Also, one member of the ad hoc committee who worked on drawing up a Request for Proposal/Qualifications (RFP/Q) was troubled by the fact that Frank would not guarantee an immediate restoration of the ski area. He consistently said, “I’d rather under-promise and over-deliver,” and explained that his plan to start with a tubing venue would make his initial investment and operating costs less and allow him to build up some capital for further investment in skiing down the road. Most members, though, were very pleased and excited about Frank’s proposal and anxious to work with him.
The letter sent Feb. 10, however, made these discussions beside the point. Frank wrote, in part: “From our perspective, there are a number of concerns that negatively impact this project, the most significant of which is the town’s requirement to re-open portions of the old ski area with its attendant high cost of redevelopment and operating cost. Our concerns are many but driven primarily by very high electric rates and property taxes, especially the personal property tax. Together, they make even our original proposal marginal at best.”
According to Brayshaw, the electric rates on ski areas in New York and Pennsylvania with which Frank has been associated are one-third of Connecticut rates.
Brayshaw, however, intends to hold the Feb. 16 public hearing as announced to let people know how things stand now and to solicit ideas and input. At that time also, bond counsel Joseph Fasi has been asked to explain what the timelines and responsibilities of the town are with respect to the referendum passed almost three years ago authorizing the town to bond up to $2.85 million for Powder Ridge. That bond has never been finalized pending negotiations with first Robert Switzgable of Ski Sundown and then Dan Frank, both of which have now failed.
According to a weary Dave Lowry, chair of the ad hoc committee, “We need to drop back and take a breath now. There’s a Plan B out there, but I don’t know what it is.” Lowry recommends going ahead with the bonding to take advantage of favorable interest rates and using the state grant to improve the property (new electrical service, perhaps taking down one or more of the most wrecked buildings and cleaning up, etc.) for plans as yet unknown.
“We have to think carefully. What do we do if someone comes in with plans for a banquet facility but no ski area?” he asks rhetorically. “This is certainly a sad day, but we have to look forward.”
Residents are therefore invited to come next Tuesday, Feb. 16, to the Memorial School gym and share your ideas and concerns. The slate is as clean as the field of new snow outside the window.

