NEWBURY, N.H. (AP) – Operators of New Hampshire’s Mount Sunapee ski resort have sued the state, claiming Gov. John Lynch has violated their lease agreement by refusing to consider their plan to expand.
Lynch, however, said it’s not in the state’s best interest to give permission for Tim and Diane Mueller to change the ski area lease to facilitate condominum development on nearby private land. The state has leased the Muellers the land since 1998.
For six years, the Muellers have tried to expand the resort to include 175 acres of state park land, thereby connecting the ski resort to private land they own in Goshen.
The Muellers, who own the Okemo Mountain resort in Vermont, at first proposed building 250 condos and a third chairlift to the west of the resort. Lynch has blocked the plan because it would require expanding onto state land.
Lynch has said any effort to leverage state-owned land for the private development is unacceptable. Any plan would still have to be approved by the Executive Council, but the Muellers maintain Lynch has refused to put it before the council for a vote.
“I’m just not willing to let them expand that lease for the purpose of building condominiums,” Lynch told WNTK-FM on Friday.
Lynch said the Muellers’ complaints about the Executive Council are without merits.
“There’s no issue to go to the (Executive) Council. The Council votes on contracts. There is no contract. So there’s nothing to bring to the Council,” Lynch said.
The resort’s suit, filed Oct. 11 in Merrimack County Superior Court, claims Lynch’s opposition amounts to a breach of contract.
“The state, through the governor, has reneged on its promises and obligations by refusing to even consider Sunapee’s proposed amendment to the lease and operating agreement,” the lawsuit reads. “Such action also represents poor public policy, which will chill future relationships with private business because the state is unwilling to abide by its legal obligations and promises.”
The Muellers’ argument rests on what they say is an error in the property lines described in the original lease. They argue the resort’s boundaries were understood to extend to the northern and western boundaries of the state park but that a surveying mistake failed to note that and that the state has not kept a promise to correct it.
In addition, the Muellers argue the original lease promised the opportunity to expand the resort, including cutting new ski trails.
Lynch said he was open to working with them on ski operations, but was absolutely opposed to condo development.
The Muellers are requesting compensation for revenue they argue they’ve lost because of their inability to expand. And they asked that a judge order Lynch and the Executive Council to approve the plan.
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Information from: Concord Monitor, http://www.cmonitor.com
AP-ES-10-19-07 2041EDT
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