The River Reporter, December 5, 1996
SEE RELATED EDITORIAL HERE

Monticello restaurant gets tax deal

By TOM RUE

MONTICELLO - Monticello village officials released copies of two tax installment agreements on November 25, which were initially denied in response to a request under the NYS Freedom of Information Law (FOIL). Though approved in an open session by the village board, the two documents were withheld from The River Reporter at the direction of village attorney Michael Davidoff, although some members of the public had viewed them.
The documents appeared to confirm allegations that one of the taxpayers appeared to have been treated more liberally than others with respect to terms of payment.
No lawful reason existed for withholding the documents last week, said Robert Freeman, exeucutive director of the NYS Committee on Open Government, after reviewing board minutes and the FOIL request. No specific exemption was cited by the village in its denial letter. The information was released after an appeal was filed at presstime last week.
Annie O'Shea's restaurant, 358 Broadway, Monticello, agreed to pay $4,445 in June 1997, followed by a July payment of $3,913, and two $15,000 payments, in August and November. The owner is in arrears for taxes since 1993, according to official records.
The business is owned by Patricia Croissant of Swinging Bridge and her sister, Carol A. Lamb of Mongaup Valley, a knowledgeable source said. Formerly known as Scalawags Restaurant, the current name was taken about a year ago.
Croissant will pay 1 1/2% interest per month under the agreement.
Last spring, members of the Croissant family worked on the campaigns of officials now in control of the village board, and who approved the instrument. William Croissant, Patricia Croissant's husband, helped obtain for the Republican candidates the endorsement of a local association. Croissant's daughter collected signatures on independent nominating petitions, according to filings at the Sullivan County Board of Elections.
The 12 other taxpayers who have made agreements each pledged to commence installments immediately. In contrast, Croissant's agreement -- for by far the largest amount -- requires nothing until next summer, in effect making it a loan.
The payment schedule, worked out by village treasurer Robin Seward, was signed by Seward and William Croissant, and states it was approved by the village board on November 4. Seward was authorized by the board to cut the deal, records state.
Sources familiar with municipal law voiced concern that the village may never collect Croissant's taxes if the payment schedule is challenged and declared illegal, pointing out that foreclosure ordinarily occurs after three years of unpaid taxes in Monticello.
The other agreement released this week called for two $1000 payments by Peter Shala of Newburgh, in November and December, with the remainder due in January 1997. Shala's agreement was similar to the other 12 in that payments have already begun, and it was for a relatively small sum.
Village clerk Edith Schop said more installment payment schedules are likely, as other delinquent taxpayers learn that the opportunity exists.


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