In a split vote, council agrees to talk to state about old WSH buildings

Contentious meeting draws large crowd

Kayne Pyatt, Herald Reporter
Posted 2/14/24

EVANSTON — A resolution drafted by Evanston City Councilmember Jesse Lind was the main topic of discussion at the Tuesday, Feb. 6, meeting. If passed, resolution 24-06 would give the city permission to engage with the State of Wyoming to obtain a transfer of the historic buildings on the old Wyoming State Hospital campus to the city for the purpose of economic development.

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In a split vote, council agrees to talk to state about old WSH buildings

Contentious meeting draws large crowd

Posted

EVANSTON — A resolution drafted by Evanston City Councilmember Jesse Lind was the main topic of discussion at the Tuesday, Feb. 6, meeting. If passed, resolution 24-06 would give the city permission to engage with the State of Wyoming to obtain a transfer of the historic buildings on the old Wyoming State Hospital campus to the city for the purpose of economic development.

The subject of the retired historic State Hospital buildings has been one of controversy between the mayor and some council members. This being so, city attorney Mark Harris had spoken privately to councilmember Jen Hegeman, who has been pivotal in organizing the community in an attempt to save the buildings from a planned demolition.

Harris asked Hegeman to recuse herself from voting for the resolution due to his perception that she has a conflict of interest. Harris said Hegeman’s relationship with the contractor, Joe Westerman, who is interested in purchasing the old buildings, is a conflict and she should not be allowed to vote on the resolution.

During counsel comments at the start of the meeting, Hegeman addressed Harris and referred to his face-to-face meeting with her and to a letter via email she had received from him on Feb. 5.

“In addressing the letter from Mr. Harris and his questioning of my relationship with Mr. Westerman,” Hegeman said, “I am a tenant of Westerman’s and a partner in the renovation of the bar on Front Street, and he has nothing to do with this resolution before us. It concerns an agreement between the city and the state regarding the State Hospital buildings to purchase for economic development. The allegations in the letter [from Harris] outline the specific reasons I should recuse myself.

“His reasons are speculative and remote,” Hegeman continued. “I can only conclude that an attorney, who taught ethics to the Wyoming Association of Municipalities would advise me to recuse myself, without grounds, is acting under a direct order, or it is an attempt to manipulate me on this matter in order to deny my vote.”

Hegeman said the allegations made in Harris’ letter and in person on Feb. 1 are so far reaching it could affect every member of the council, as every member could have issues found by some to be speculative and remote regarding any matter that might come before them. She said she feels a precedent should not be set by following Harris’ perception and recusing herself, as it could easily fall under scrutiny or go before a review board.

Hegeman referred to a part of Wyoming State Statute that is written to protect the people and elected officials. She read a clause from it, “The person in the matter should [abstain] from voting only when he or she stands to gain from the vote, only when the interest is direct and not speculative or remote.”

“After consultation with my legal counsel, I do not have to recuse myself. I have no conflict of interest,” Hegeman said.

Lind then introduced the resolution to be voted on and told the council if they approved the resolution, it will give the city the opportunity to enter an agreement with the state to receive the properties and then they can be put up for bid. The city could save the state the money they have set aside for the demolition and, at the same time, provide an opportunity for economic development for the city.

“I think there has been an incorrect narrative going around about the condition of the buildings. There are six buildings that could be turn-key opportunity for housing,” Lind said. “There are 21 buildings there and maybe only a couple of them are in bad shape. There is a gymnasium and a climbing wall and the school always needs extra gym space. The buildings would be put up for bid or auction to private investors.”

Lind also addressed Harris’ letter to Hegeman. He said it was threatening and could open the door for speculation for all council members. He reaffirmed that Hegeman had no private interest and would not personally benefit from the sale of the buildings.

The audience, which was far larger than a typical council meeting, applauded loudly when Lind was finished speaking.

Councilmember David Welling asked if the council had ever heard back about the letter of support they sent asking for a delay on the demolition.

House District 19 Rep. Jon Conrad, R-Lyman, was in attendance and addressed the council. He told them a meeting with the appropriations committee went well and the state is waiting to see what the city will do. He said the state has a renewed interest in engaging with the city. The value on the property will be set at fair market value and, only when the city engages with the state, will they know what that will be.

“This is the most viable path to take,” Conrad said. “The Wyoming Constitution states they have to base any sale on fair market value.”

Conrad’s comments also earned applause from attendees.

Evanston Mayor Kent Williams said he has a problem with the city being landlords and that it is difficult for the city to sell property. He didn’t want the city to be left with property they couldn’t sell. He said he appreciated Lind’s efforts and that he himself has only one vote and everyone knows how he stands on the issue.

Hegeman brought up the serious need for housing in the area and realtor Britany Erickson, who was in the audience, came forward and handed the councilmembers a packet of information on the lack of housing in the city. She was answering questions from councilmembers when Mayor Williams told Erickson and Hegeman that the housing discussion had nothing to do with the resolution and stopped the conversation.

Councilmember Evan Perkes expressed his concerns that the city would get stuck with the buildings and doesn’t have money in the budget to purchase them. He said the vote was a tough decision for him.

Lind said, “I was under the impression that, years ago, the state was going to give them to us. We don’t know what the state will want until we engage with them. We won’t know if we don’t try.”

Councilmember Mike Sellers said, “As a home buyer, you always assume the land comes with the property. We won’t know the answer to any of our questions unless we can talk with the state.”

Williams then called for a vote on the resolution.

The resolution was approved by the council, with Williams and Welling casting the only opposing votes.

Other business at the meeting included reappointments to the following boards: Evanston Planning & Zoning Commission, for a term of 3 years: Maryl Thompson, Time Ridenour, Kim Begalla and Josh Rasnake; Historic Preservation Commission: Joan Nixon and Debbie Liechty; Lodging Tax Board: Rocco O’Neill and Lisa Sanborn.

A motion to declare property as excess or surplus property and authorize disposition by public auction was approved. The auction of the vehicles will be held on March 13, at the old recycling building at 61 Allegiance Circle from 8 a.m. to 3 p.m.

A public hearing was approved to take place on March 5 to consider the sale of property at the Union Center 3rd addition to Peak Ventures for $327,560.

Evanston Community Development Director Rocco O’Neill addressed the motion and said, “This is a chance to sell this property to a manufacturing company who wants to come here.”