The board on Monday granted approval allowing a restaurant and bar to become part of the existing lodging business.
Following the session, Councilman Bruce Washburn said the certificate of occupancy, commonly referred to as a C.O., can be revoked if legal problems are found with an easement. Final inspections required for the certificate had been delayed by questions about the planned maintenance of sidewalks and curbing put in during upgrades to a wastewater line on town-owned property.
"As long as there is the legal agreement to complete all the building codes, the zoning, we had no reason why we would block a regular C.O.," Washburn said.
Officials said allowing The Rhinecliff Hotel to maintain the improvements would amount to a gift that could be challenged in a permissive referendum and had delayed the issuance of a certificate of occupancy until legal opinions could be reviewed.
"The easement under the town road for the grease trap is still subject to permissive referendum," Washburn said. "The clause (in Town Board approval) basically says if we find ... something illegal, then we revoke the CO."
Under an agreement with the town, The Rhinecliff Hotel will maintain changes made near Shatzell Avenue and Grinnell Street. Hotel owner James Chapman said improvements to catch basins, sidewalks and sewer piping cost about $100,000 and were made along about 500 feet of road.
"It wasn't until right at the end of the process, when we were very close to receiving our final inspections, that it was noted by the town ... that we'd made improvement within the town road," Chapman said.
"The town paid for the asphalt material," he said. "We made and agreement with them that we pay the labor and that the town provide the asphalt."
