ABOUT THE PROPOSED DEVELOPMENT   |    THE ISSUES AND IMPACTS    |    SOLUTIONS AND ALTERNATIVES

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Save the Lakes is a member of the Shawangunk Ridge Coalition.

"This is a project that will have a tremendous impact." - Tom Horton, CEO Canopy Development There are five key issues that stand out when the impacts of this development are considered: WATER      WILDLIFE      COMMUNITY CHARACTER      PUBLIC ACCESS      MONEY

WATER - A COMPLEX INTERRELATION photo courtesy Paul Rubin / HydroQuest Fourth Lake, Binnewater aquifer

Williams Lake is part of the Binnewater aquifer, which lies at the northern terminus of the Shawangunk Mountains. The property contains three of the five Binnewater lakes (Williams Lake - 43 acres; Fourth Lake - 83 acres; Third Lake - 4 acres) and numerous wetlands and ponds teeming with wildlife. The lake basins were sculpted by glaciers during the last ice age. The geology is highly complex and spectacular, with multiple thrust faults and folded rock layers, rock outcroppings that expose bedrock structure, sink holes and caves. The property has been an important study site for geologists since the late 1830's. The proposed building sites are located within the Karst Aquifer priority project area of the 2006 NYS Open Space Conservation Plan. The area is identified for preservation by the Ulster County Open Space Plan, and The Rosendale Comprehensive Plan of 2007. Details of the development plan point to many potential adverse impacts to groundwater quality, the wetland habitats, and the lakes: Anticipated water usage per day for the project is 160,000 gallons - a 933% increase in water consumption compared to the old Williams Lake Resort. The Williams Lake watershed is small. Planned water withdrawal from the lake may be up to 900 times historic usage. Over time, it is possible that over-withdrawal may "mine" the lake, which happens when more water is used than is naturally replenished each year. A private wastewater treatment facility would discharge an enormous amount of effluent, all year long, into a State-designated Freshwater Wetland (home to the endangered Northern Cricket Frog) which eventually flows into Fourth Lake. The plan involves expansion of Williams Lake by 4 acres through excavation of shoreline areas, which could result in significant adverse impacts to the water quality and aquatic habitat of Williams Lake. In addition, almost 21 acres of new impervious surfaces will be constructed. Pollutants in stormwater runoff include sediment from soil erosion, pesticides and fertilizers from residential lawns, roadway chemicals and residues. The oils, cosmetic chemicals and other waste-water associated with a large spa operation are pollutants of unknown long-term impact. Currently, the FDA does not regulate "personal care" products of the kind used in a spa; 844 ingredients in these products are suspected carcinogens. There is no research documenting their long-term impact.

Thousands of gallons of treated effluent would be released into this state-protected wetland on a daily basis.

In brief, the water issues are very serious. The following documents provide maps, analysis and more detail, prepared for Save the Lakes and the Sierra Club by Paul Rubin of HydroQuest: Click to download Paul Rubin's one page fact sheet (pdf) on important water issues associated with the proposed development. Click to download an overview (pdf) of the geology, lakes, wetlands and wildlife of the Williams Lake property, prepared for the Sierra Club by Paul Rubin. Click to download Paul Rubin's illustration (pdf) of lake water quantity issues. Click to download Paul Rubin's illustration (pdf) "Wetland Flow Analysis: Williams Lake." And for a more general look at the history and geology: Click to download a comprehensive overview of Rosendale's natural cement industry, by Werner and Burmeister.

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WILDLIFE - HABITAT LOSS AND YEARS OF HEAVY CONSTRUCTION AP Photo/ Mike Groll Scott Crocoll holds a dead Indiana bat in an abandoned mine in Rosendale, N.Y., in this January 2009 file photo. Endangered species: the Indiana Bat

Wildlife and habitat are both put in peril by this development plan. The Indiana Bat has been on the Federal Endangered Species List since 1967. The bats play a vital role in control of mosquitos and other insect pests. The abandoned cement mines on the Williams Lake property shelter a large Indiana Bat population, which is already under severe stress from the mysterious white-nose syndrome, a fungus that is forcing a steep decline in their numbers. The lakes teem with largemouth bass, chain pickerel, northern pike, panfish and turtles. At least one wetland habitat supports a population of the Northern Cricket Frog, which is on New York State's endangered list. Years of heavy construction, incessant noise, blasting in the vicinity of bat hibernacula, the removal of trees, the moving of vast amounts of topsoil, the excavation of William Lake, the release of treated effluent into protected wetlands, the possible lowering of the water table, the restricted movement of wildlife by the scale and density of the resort and subdivisions - taken together, the threat to wildlife is clear. In the case of the Indiana Bat and the Cricket Frog, these additional and unnecessary stresses could push both species closer to area extinction. msnbc.com 02/14/08: Mysterious "white nose syndrome" spreads to endangered Indiana Bats in caves of Williams Lake

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COMMUNITY CHARACTER - CHALLENGED BY GATED DEVELOPMENT

Rosendale values its small town character. Just like in the old days, lots of folks don't lock up the house when they go to run an errand. Agriculture is strong, with wonderful farms and organic growers scattered throughout the region. An upscale, gated community simply does not fit - and if a survey had been taken before this proposal was upon us, it is hard to imagine anyone who would have suggested it. A closed enclave runs contrary to the long-established social fabric of our region, one in which families of different income levels live as neighbors in mutual trust. Allowing a gated community with boundless resources and global brand-interests to take root in the heart of Rosendale will undermine the neighborly way of life that has been maintained here for many generations. This tradition should be nurtured, not denied. There's nothing wrong with prosperity. The issue is what it looks like, what it feels like - and how it relates to the neighbors. It is reasonable to predict a 10% population increase if this project gets built. How will that impact community character? One impact we would feel every day is an increase in traffic and congestion. Let's count the cars: 160 residential units represent at least 1 or 2 cars each - so, let's make it 200 cars. Employees of the spa could number in the hundreds, every one of them driving in. Let's call that another 200. Spa/hotel guests? Hard to say, but 100 more seems fair. So far, that's 500 more cars coming and going up and down the local roads, in all directions. Also, add to that a steady stream of delivery trucks, from semi-trailers to mini-vans. Years of heavy construction equipment lumbering around, volleys of noise from earth-moving and blasting. Workers coming and going from all directions. Bicyclists, beware. What is a gated community? HRVR won't admit to it. The American Heritage Dictionary defines it this way: "A subdivision or neighborhood, often surrounded by a barrier, to which entry is restricted to residents and their guests." The Encyclopedia of Chicago definition: "Strictly speaking, a gated community is any residential area which physically restricts the entrance of nonresidents." By definition, the proposed development would be "gated." When Canopy/HRVR speaks of "private water, private roads and private maintenance" they describe a gated community. The security offered by fences and natural barriers like woods, wetlands or lakes is only one feature of a gated community. A gated community is defined first and foremost by restricted access and private governance, in other words, exactly the kind of community described in Mr. Allred's public remarks and outlined in HRVR's requested zoning change amendment. But Tim Allred of Canopy/HRVR, responding to the question "would the development be gated or not?" said, quote: "...we don't like to call it that. If you mean there will be a fence around the whole property, then, no, it won't be gated." This is equivocation, and disinformation. What's wrong with a gated community/resort? Social and economic segregation: gates, fences and security checkpoints effectively segregate an enclave from the local community and municipality. The disparity in wealth between those within the enclave and those excluded would be extreme. Gated Communities foster a unified voting block that has been shown in some cases to alter the local political equation. For example, a wealthy gated enclave - especially a resort/vacation home development - might well have no economic or social interest in supporting municipal tax referendums to benefit local schools and infrastructure. An outpost of great wealth would surely attempt to influence public policy and dictate to local government on services and taxation. It is naive to think otherwise. Resolving annual tax-avoidance tactics - which can be business as usual to them - places strain upon municipal budgets by introducing unforeseen costs and stress in the form of legal fees and time spent in pursuit of the town's fair share. To quote Professor Setha Low from her article How Private Interests Take Over Public Space: "Private gated communities employ still another set of practices connected with regional and municipal planning. Incorporation, incentive zoning, and succession and annexation recapture public goods and services, including taxpayers' money, and use these goods for the gated community and residents. These strategies are not illegal in the sense that they are not draining the pond or posting no-trespassing signs on land that is not theirs, and do not employ brute force, but they do mislead taxpayers and channel funds into amenities that the public cannot use, and instead contribute to the maintenance of private communities. Professor Setha Low again: "Private interests are able to craft complicated deals that benefit the developer and the gated community residents without enhancing public space and at the expense of taxpayers who unwittingly are trading higher-density housing for privatized open spaces and reduced public amenities. Ironically, the taxpayers are subsidizing the creation of a secured residential enclave with private parks, tennis courts, club houses and swimming pools." In this case, the secured enclave would appropriate Rosendale's best recreational open space. SEE RELATED LINK: Fulbright Scholar Renaud Le Goix Examines Gated Communities in Southern California, UCLA International Institute SEE RELATED LINK: Putting Up The Gates - by Ed Blakely and Gail Snyder authors of Fortress America: Gated Communities in the United States RELATED READING: "Behind the Gates - Life, Security, and the Pursuit of Happiness in Fortress America" by Setha Low, Routledge 2003. RELATED READING: "The Politics of Public Space" edited by Setha Low and Neil Smith. Published in 2006 by Routledge.

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PUBLIC ACCESS - THE LOSS OF RECREATIONAL OPEN SPACE photo courtesy Doctor Romo The Triathlon Club

For generations, Williams Lake played a vital role in the community as recreational open space. Properly licensed fisherman enjoyed access to Fourth Lake. For about the cost of a YMCA membership, beach club members enjoyed year-round access to the property. The local Triathlon Club used Williams Lake to train several times a week. The hotel bar was always open to the public. A Wednesday night buffet was served in the dining room, and open to the public. Many weddings were held there at an affordable cost. Public schools had their picnics with swimming at Williams Lake. For a number of years, the AIDS auction was held there and the Breast Cancer Support Group had their annual picnic there. Various Senior and Elder Hostel groups held meetings there. Annual Mountain Bike races were held there. The Rosendale Nordic Ski Club enjoyed the trails for many years. Skiing facilities were open to the public. Community meetings, workshops, seminars were held at the lake on a frequent basis. Geology students from across the nation were brought here for research classes and seminars because of the unique characteristics of the rock outcroppings and the accessibility of the open cement mines. The Natural Cement Conference was held there in 2005. The Polar Bear Club - a winter sauna and swim group - was a tradition dating from 1927. Compared to other resorts in the area and vacation packages that are offered to families, the Williams Lake Resort was kid-friendly and reasonably priced. If the development succeeds, security gates will bring an end to Williams Lake as a local asset. Will the public have access to the lakes and trails? It is important to note that future public access to Williams Lake and its surroundings will depend on the wishes of the spa/hotel operator - but, so far, there is no spa/hotel operator. Also, since the security "needs" of the gated residential areas are obviously not yet in place, no one can honestly promise that there will be any public access at all. Initially, Canopy/HRVR was emphatic in stating that the property would be totally private and exclusive to their clientele. But, in response to pressure from Save The Lakes and other involved community members - and in the interests of better public-relations - they changed their position. HRVR spokesperson Tim Allred stated in a Blue Stone Press article in July 2008 that some public access to the trails might be considered in the form of Mohonk Mountain style day passes. Also, some access to Fourth Lake is "a conversation" that could happen. He didn't mention who to talk to about it, since nobody knows who will ultimately decide the issue. Speaking at a breakfast meeting of the Ulster County Chamber of Commerce in January of 2009, Mr. Allred said that HRVR would allow limited "event access" to the conservation easement lands, at least for the time being. For example, a mountain bike event was scheduled for the summer of 2009, and he spoke of possible triathlon events as well. An aids benefit auction was held at Williams Lake in June 2009, continuing a standing practice. Future public access depends on what company will be running the show, and since promises made by one corporation are routinely ignored by the next corporation to take control, the issue of access remains an open question.

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MONEY - TRICKLE-DOWN ECONOMICS DOES NOT DO THE JOB photo courtesy U.S. Treasury

Rosendale needs revitalization, but a gated resort community is not the answer. The development of this recreational open space as a private enclave of wealth will not benefit the surrounding community in ways sufficient to offset both its hidden costs, and the negative changes it will bring to our daily lives. The promise of trickle-down renewal often proves hollow. A recognizable set of circumstances repeats itself in small towns across the country: economic hardship tied to limited employment opportunity leads to fiscal desperation on the part of individuals and their town government. Outside investment interests arrive promising development, jobs and tax revenue. Too often, the town succumbs to wishful thinking and supports development that irrevocably changes both the landscape and the community character that residents hope to maintain. In the end the town loses out, the environment suffers, and profit is siphoned away from the local economy. Will Rosendale's Main Street businesses benefit economically? Probably not much. Some folks would have us believe that wealthy clients from the spa/hotel will come into the village to shop and go to restaurants and will thereby revitalize the village. But, no support for this assumption exists. In fact, the assumption doesn't fit the reality of a luxury spa visit for guests, who seek isolation and peace and quiet, and stay put once they get there. Spa guests pay to stay in a bubble. Forays out of a luxury spa are scripted and escorted, for outings like a round of golf or a mountain hike. Gourmet meals are provided at the spa, as well as sack lunches for outings. The experience of small towns struggling with destination/real estate developments in the western states should serve as a warning to Rosendale and the region. Click to preview the film RESORTING TO MADNESS which describes in detail the difficulties that communities have had containing big-money developers once they establish themselves. What about jobs? Mr. Allred has stated that the resort will be glad to hire "qualified" local people. Notice that his statement is not a promise of 100, 200, 300 jobs - only a general statement. On the level above menial work, "qualified" means trained and experienced in the operations of a luxury hotel/spa. Building a world-class, luxury spa is a specialized field, and the bulk of the work will be done by outside firms with a proven track record and experience. Expect the numerous million-dollar homes being planned to be built by firms well-established in the construction of million-dollar homes. There would certainly be a few jobs during the building phase for a select group of local workers and tradespeople. There is no lead contractor yet for the development, so there is no way to judge their record in hiring local sub-contractors and laborers - maybe they will, maybe they won't. Canopy/HRVR did not hire a local fence company to erect the chain link fence around the property even though a fence company is located in Rosendale. HRVR's zoning amendment request would permit them to build employee housing on site, for 450 contract employees. Luxury spas often go global for their work-staff, importing hundreds of people from agencies abroad. For example, there is a Caribbean resort staffed entirely by Philippinos. Such a business move is not an outlandish possibility - if the spa client wanted it, they'd likely get it. What will a significant increase in population mean in terms of money? A conservative, thumbnail estimate predicts about a 10% increase in Rosendale's population. Full build-out of this project could bring upwards of 600 new arrivals to Rosendale: over 400 wealthy new residents and perhaps 200 employees. This unplanned increase will certainly bring with it a degree of congestion, and also affect an uncertain impact on the costs of road maintenance, schools, police and fire. It is a fiscal risk, considering the continuing lack of detail concerning taxation and revenues. What about taxes? Will revenues cover hidden costs? Will my taxes continue to go up? While HRVR's gated community and their client spa will presumably pay more in taxes than Williams Lake currently pays, will the taxes cover hidden costs to the municipality, and leave a windfall left over? It is a part of any good business plan to minimize tax liability. Expect the same. Workers moving into the area certainly means families with kids, and kids need to go to school. Won't local property taxes go up to accommodate an influx of children into the local schools? It has not been explained what tax relationship the development will have to the town. Who or what entity will be paying taxes to the town? Promises of a tax windfall must be seen for what they are - only promises. What tax abatement program might be sought by the developer from the town, county or state? In public remarks, both Rick Steele and Tim Allred have suggested that HRVR might seek a negotiated Payment In Lieu of Taxes (PILOT) sometime in the future. What does this mean? It means that HRVR - or the next spin-off corporation to be in control - would likely negotiate, probably through the Ulster County Development Corporation, to be exempt from mortgage tax and large construction sales taxes and to pay only partial graduated amounts of property tax over the course of the first 10 years. The effect of a PILOT payment in this case would be to reduce substantially - by millions of dollars - the developer's tax burden to the town, while increasing the developer's leverage at the same time. The fiscal structure and governance of the secure enclave is not being spoken of openly, at this time. So, looking ahead, the town's ability to assess for a fair compensation in tax revenue would be stymied by a Payment In Lieu of Taxes. When you consider the hidden costs of a sudden 10% increase in Rosendale's population, the fiscal risk is glaringly obvious. To paraphrase Wikipedia on PILOT: "As an incentive for investment...a PILOT may be negotiated to limit or defer the property taxes on a developer...In effect, the local taxpayers subsidize the commercial development, which might otherwise have gone elsewhere." What corporate entity will finally hold the purse-strings: HRVR, Revolution, Miraval, Matrix, Longmeadow Capital, another corporation yet to emerge? Who will follow through on the promises and assurances? Who, in fact, will be answerable to the community? Should the Rosendale town zoning be rewritten to accomodate this level of uncertainty? Now that the country is digging its way out of a deep recession, who is going to buy into this resort? Should demand lag, what then? The proposed development is a highly speculative venture, an attempt to bring together a branded luxury spa with high-end vacation properties to create a "lifstyle" destination. It is far from unique: for example, look around at current offerings for Caribbean vacation-home investments and you will find that this development model is not only dime-a-dozen, it was conceived at a time of inflated profit for corporations and investors and designed to fit their attitudes and spending pattern. But that economic environment has changed dramatically, and more than a few projects are in foreclosure, leaving behind half-built eyesores. Should advance home sales for this resort fail to materialize, the financing could dry up as fast as you can say "adios." Imagine a retreating HRVR and their investors - including Revolution LLC - abandoning a half-built development, leaving behind a wrecked landscape for Rosendale to deal with. Impossible? They wouldn't walk away? The AOL-Time Warner merger orchestrated in the 90's by Steve Case ultimately resulted in a loss of $138 billion to shareholders, and led to his departure from the corporation under accusations of mismanagement. Rick Steele of HRVR scored with Polish Cable Television, but that doesn't mean he'll stick around if his investors want out. READ: Rainy Days in Paradise The New York Times   February 15, 2009 Resorts Feel Chill From Recession Wall Street Journal   December 10, 2008 Fools Rush In : Steve Case, Jerry Levin, and the Unmaking of AOL Time Warner by Nina Munk. Stealing Time : Steve Case, Jerry Levin, and the Collapse of AOL Time Warner by Alec Klein.

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PRESERVE AND PROTECT ENVIRONMENTAL INTEGRITY AND COMMUNITY CHARACTER

We at Save the Lakes firmly believe that this gated community/real-estate "resort" plan is an example of inappropriate overdevelopment. Community character, the health of the local economy at the grassroots level, water resources and the environment will all be adversely impacted. PLEASE MAKE A DONATION This is a volunteer effort - help us pay our expenses for expert analysis, legal advice, printing costs, signs, internet... Through the auspices of Friends of the Shawangunks YOUR DONATION IS FULLY TAX-DEDUCTIBLE.

DONATE BY CHECK OR MONEY ORDER: You can make a 501(c)(3) deductible charitable contribution by sending a check or money order for ANY amount made out to: Friends of the Shawangunks and mail it to Save the Lakes   P.O. Box 153   Rosendale, N.Y. 12472-0153 Please note Save the Lakes as a memo on your check, and be sure your address is on the check for year-end tax purposes. THANK YOU! PLEASE, CONTRIBUTE WHAT YOU CAN When the Draft Environmental Impact Statement is completed, expert studies and legal advice will be called upon.

This is the kind of project that has torn apart rural communities across the country. Short-term gain for the few must be weighed against the long-term negative impacts that everyone will experience. Please contribute. Help our locale from being dominated by profit-driven outside investment interests. We are fighting to keep our natural resources for the community to nurture and enjoy.

ABOUT THE PROPOSED DEVELOPMENT   |    THE ISSUES AND IMPACTS    |    SOLUTIONS AND ALTERNATIVES

DOCUMENT DOWNLOADS   |    WHAT YOU CAN DO    |   CONTACT US    |   HOME

Save the Lakes is a member of the Shawangunk Ridge Coalition.