A looming dispute over the Newtown Borough Police Department’s headquarters has pitted the Newtown Borough Council against the Newtown Fire Association (NFA) as the borough planning to use eminent domain to acquire the property after lease negotiations failed.
The NFA, which owns the building at 22 Liberty Street currently leased by the borough for its police station, is asking community members to attend the Newtown Borough Council meeting on Wednesday, July 16, at 7 p.m. at the Chancellor Center to voice opposition to the eminent domain plan.
The borough has leased the property for 25 years, with the current lease expiring on July 31.
According to the NFA, the borough has been paying a “significantly below market value” rate for decades.
A source close to negotiations told Patch.com the NFA had been charging $1,500 per month for the past 15 years in the high-cost borough.
In May, the NFA proposed a new rent of $5,500 per month based on independent real estate consultation and designed to reflect commercial rates.
The increase, the NFA stated in a press release, would have directly supported fire department operations, including equipment, emergency response, and volunteer training.
Borough Solicitor Greg Heleniak said the borough sought to confirm if the proposed rents were supported by fair market value. An appraisal commissioned by the borough was presented to the NFA, but an agreement could not be reached.
With negotiations stalled, Heleniak recommended the borough proceed with eminent domain, a governmental power to take private property for public use, provided “just compensation” is given to the owner, Patch.com reported.
The borough council plans discuss the topic Wednesday.
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