(10/24) A future Carroll Valley park received a financial boost in October due to the sale of borough-owned lots. The council unanimously approved the sale of four lots for a total of $195,000.
Lots now in the hands of a new owner are: 4 Grouse Trail, sold to Jeryl Martin for $49,600; 22 Sunshine Trail, sold to AHC New Homes for $54,000; 2 Elm Trail, sold to Jansen Homes, LLC for $47,251; and 39 Main Trail, sold to Jansen Homes, LLC for $45,001. All lots were sold for at least the appraised value through a public bidding process.
Four other lots received no bids and one received a bid less than the required minimum bid. The future of those lots led to much discussion amongst the council members.
Councilman Cody Gilbert said he believes the council is not obligated to sell the lots for at least the appraised value. Gilbert believes the council should sell the lots for the fair market value, an amount the council and the potential buyer agree is equitable. Guillermo Ballesteros’ bid $32,000 for 49/51 Shirley Trail, despite the minimum bid being $51,000. Council rejected his bid through a 5-2 vote, with Gilbert and Councilman Bruce Carr in opposition.
"We should not be accepting a bid for only $32,000. There is no other property that comes even close to that low," Council President Richard Mathews said.
Solicitor Zachary Rice of Salzmann Hughes said the Pennsylvania Borough Code does not require council to use an appraisal to determine a minimum bid. However, Rice said, Carroll Valley has traditionally used that method. Councilman David Lillard supported the traditional approach because he believes it avoids the perception of favoritism.
Rice said the council could privately negotiate with a potential buyer if a second public auction yields no bids. That agreed-upon price would need to be advertised before a meeting so the public has one final opportunity to share thoughts.
"We still want to make sure there is fundamental fairness and not some sort of insider trading," Rice said.
Mathews suggested the council delay the conversation until the beginning of 2025. Hazlett said that plan is possible but encouraged the members to update the appraisals, which were completed in May, to ensure they account for market fluctuations. A formal vote was not taken on the matter, but council appeared to favor revisiting the sales in 2025.
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