17/06/2025
WE SAVED SMOLA FARM (so far – appeal in process!)
Selections and highlights from the judge’s 6/13/2025 opinion to the Appeals Court confirming his decision that prohibits Upper Pottsgrove Township from building a municipal complex on Smola Farm.
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The Court, after a nonjury trial, concluded that the Township's construction plans would violate its statutory obligation to use open-space tax revenues solely for the acquisition and preservation of open-space lands and related uses.
At trial, the Township suggested that it is permitted to "develop" the Smola Farm pursuant to the (provisions of the Open Space Act) even though in context those provisions permit only development consistent with the "open space benefit or benefits" for which the property had been originally acquired.
A review of the statute as a whole makes clear the legislative intent that when a government unit acquires land for open-space purposes under the (Open Space) Act, it may not use the land for contrary purposes.
If a municipality could acquire land by using this open-space tax revenue, but then decide to develop the land for another purpose, it would betray the bargain that the elected representatives made with the public- i.e., if you the public are willing to be taxed an additional amount in order to acquire and preserve open space in our community, then we the elected representatives will use the tax revenues solely for that limited purpose.
In short, both the purpose and the operation of the (Open Space) Act make clear that when open-space land is acquired pursuant to the Act, it may not then be developed except in a manner consistent with the "open space benefits" for which it was acquired.
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The Township's argument ….. is mere sophistry. (ed. note – I had to look this one up! - SOPHISTRY is a type of deceptive reasoning that uses cleverly crafted arguments to mislead or confuse, often by making a false or weak argument appear strong.)
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The evidence does not support the Township's factual assertion that no open-space tax revenues were (used to purchase the Smola Farm).
(The Township argues that) by the time of the Smola Farm purchase, all of the tax revenues in the Open Space Fund had already been exhausted from the prior purchases of other properties. In support, it relies on a trial exhibit, Exhibit D-2, titled Upper Pottsgrove Funding Open Space Acquisitions…… The Court spent much time reviewing Exhibit D-2 and concluded that it shows no such thing.
The Township simply assumes that the open-space tax revenues in the Open Space Fund were fully expended before any dollars from the other two sources were used. There is no basis in the record for that assumption.
Remarkably, the Township specifically denies that the Open Space Fund received any open-space tax revenue during 2008. This bald assertion is flatly (contradicted) by the Township's own exhibit - the audited Township Financial Report for 2008.
Perplexed by what appeared to be the Township's misplaced reliance on Exhibit D-2, the Court asked counsel for the Township at oral argument on its Post-Trial Motions to walk through the exhibit step by step, to explain how it could lead to the conclusion that no open-space tax revenues were in the Open Space Fund at the time of the Smola Farm purchase. To the Court's consternation, counsel for the Township stated that he was not familiar with Exhibit D-2 and was not able to explain how it supported the Township's insistence that all open-space tax revenues had been expended by that time- this despite its repeated assertion that the showing made by the exhibit was "unrefuted." The Court was thus deprived of the benefit of an explanation by the Township, if it had one, of its own purportedly dispositive trial exhibit.
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Unfortunately, the Township has not seen fit to order the transcript of oral argument on its Post-Trial Motions, even though the argument addressed issues that are raised on appeal. When the Court became aware that the transcript had not been requested, it issued an Order of April 29, 2025, directing that Defendants had one week to request the preparation of a transcript. As of the filing of this Opinion, counsel for Defendants still has not done so. If the Commonwealth Court agrees that a transcript should have been included in the record on appeal, it may "take such action as it deems appropriate." The failure by an appellant to insure that the original record certified for appeal contains sufficient information to conduct a proper review constitutes a waiver of the issues sought to be examined.
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It would be fundamentally unfair for the Township, by the commingling of cash (in the Open Space Fund), to deprive the Plaintiffs of the ability to establish the source of funds used in purchasing the Smola Farm and then fault the Plaintiffs for a failure of proof.
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The public works portion of the complex, in particular, would be wholly out of character with the open-space status of the Smola Farm as it currently exists. The complex would not be a single inconspicuous building blending in with the agricultural landscape. Rather, it would include multiple buildings and public works vehicles with a garage and other storage facilities.
On the basis of the evidence, the Court found as a fact that "the construction and operation of the municipal complex would substantially detract from and materially impair the open-space benefits of the Smola Farm in a manner inconsistent with the intent under which the property was acquired." That finding is amply supported in the record.
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The Township argues that even if the Smola Farm is subject to the restrictions of the (Open Space) Act, that status can be terminated by the Township Commissioners at will. This extraordinary interpretation of the Act would mean that after the citizens of the Township had authorized a special tax for the limited purpose of acquiring and maintaining land for open-space purposes, the Township could use the tax revenues to purchase land, purportedly to be maintained as open space, and then terminate its protected status a year later - or even a day later. Such a result would be plainly contrary to the intent of the voters in authorizing the tax and, indeed, to the intent of the Act itself. After all, section 1 of the Act states the legislative intent not just to "acquire" land for open-space purposes but also to "preserve" it as such.
It is true that as a general rule, a Board of Commissioners may override its own prior action by modifying or repealing a prior ordinance passed by the Commissioners. But that power of the Commissioners does not extend to overriding the action of the Township's voters.
Nothing in the (Open Space) Act authorizes the Commissioners to terminate the restrictions imposed on a property acquired in fee simple with revenues from an open-space tax approved by the voters.
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CONCLUSION
The citizens of Upper Pottsgrove Township voted to tax themselves in order to enable the Township to acquire and preserve open-space land. In using those tax revenues to acquire the Smola Farm - whether by direct payment at the time of purchase, by a pledge to secure indebtedness, or by payments in partial retirement of the indebtedness (or by all three) -the Township became duty bound to preserve the open-space character of that property. Construction of the proposed municipal complex on the Smola Farm would violate the Township's obligations under the Act.
Accordingly, the Court granted Plaintiffs declaratory and injunctive relief to preserve the Township's pact with its voters over the use of open-space tax funds.
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THIS LOPSIDED DECISION AND OPINION OF THE COURT COST THE TAXPAYERS OF UPPER POTTSGROVE OVER $250,000 – AND THE TOWNSHIP IS STILL CONTINUING WITH AN APPEAL – EVEN AFTER THEY APPROVED BIDS FOR CONSTRUCTION ON ANOTHER SITE!