Gray--The Gray Council and SAD 15 Directors and
their Administrators have been struggling with the
issues surrounding the disposal of Pennell Institute
and Lab, two buildings that are "owned"
by an educational Trust established by Henry Pennell
in the late 1800s. The Town of Gray first owned
the Pennell complex and fulfilled the duty of the
trust to use the buildings for educational purposes
until the mid 1960s, when the School Administrative
District took them over by law when SADs were established.
The SAD 15 budget expenses are apportioned between
the towns of Gray and New Gloucester, over and above
their municipal budgets.
Now, the SAD has been trying to dispose of the building
for two years. The issue is complicated by the fact
that there is a statutory disposal process for school-owned
buildings, but in this case the Trust conditions
must be taken into consideration also. The SAD consulted
the Attorney General (AG) for direction as to the
proper disposal process, and the answer was that
the SAD can sell the building or swap it for fair
market value. The AG said that the trust must retain
some value or asset or it would not be perpetuated.
Gray thought this was unfair and placed a legal
stay on the process until their opinion could be
heard.
Gray and the SAD went before the AG last fall and
presented their positions. On December 17th 2004,
the AG sent a letter stating that their original
decision would remain, that the building could be
disposed of for fair market value and that Gray
does not own the building free and clear, despite
new research that uncovered a deed that Gray hoped
would swing things their way.
The Town Attorney, Council and Manager decided to
ask the AG for a reconsideration from that opinion
and sent a formal letter asking for a review of
the information a second time. Four days later,
the AG informed the Town of Gray Attorney, Bill
Dale, by telephone that they decline to reconsider
the merits of its original position.
Mr. Dale is hopeful about the AG's tentative acknowledgement
that the sole beneficiary of the Trust is the "Inhabitants
of the Town of Gray," and Mr. Dale is considering
"how best to proceed from here." One option
mentioned is that the Town may petition the Superior
Court for another decision in hopes that their position
would prevail.
