Riverhead eyes $2,000 fee increase on new residential units to boost parks, recreation funding

Riverhead Town is considering increasing fees on new residential developments in an effort to generate revenue for parks and recreation projects.

The town board is planning to raise the fee to $5,000 from $3,000 for each new housing unit, encompassing both single-family residences and large apartment complexes. Members of the town’s recreation advisory committee said the increase is necessary to spruce up outdated and dilapidated conditions at parks, picnic areas and beaches across town.

“During the pandemic, our parks in our town were used more than ever,” Councilman Ken Rothwell, liaison to the committee, said at a town meeting Aug. 10. “We want to keep these parks pristine.”

Riverhead has more than two dozen park facilities that include sport courts, trails, dog parks, beaches and marinas. Officials have tapped into the fund to install new amenities at existing parks or create mini "pocket" parks that often include picnic areas.

A provision in state law requires towns to consider anticipated needs for parks and recreation facilities that may arise due to development and population growth. If a park or playground can’t be located on a project site, towns can levy the fee. Monies must be used for capital improvements, not just general maintenance, according to Deputy Town Attorney Annemarie Prudenti.

Parks and Recreation Superintendent Raymond Coyne said Tuesday the fund has dwindled to about $56,000 and hasn’t gone above $200,000 in the past decade.

Priority projects, he said, include facility upgrades at each of the town’s four bathing beaches, new bathrooms at Veterans Memorial Park in Calverton, and new multipurpose turf fields and pickleball, volleyball and basketball courts at various other parks.

The recreation advisory committee, which makes recommendations on how the fund should be spent, supports raising the fee.

“We’re hurting for money,” said committee co-chair George Gabrielsen, a former town councilman.

Town records show that since at least 2006, the fee imposed on new developments was $5,000, but it was lowered to $3,000 in 2011 in response to the economic downturn and waning development at the time.

Gabrielsen said he anticipates pushback from developers.

“That’s going to be normal, but this really could be a step in helping our rec programs,” he said.

The town also may grandfather in pending development projects that are undergoing the site plan review process or have obtained preliminary approval.

In downtown Riverhead, a pending 165-unit complex would generate about $495,000 if subjected to the $3,000 fee. But a consultant's report included as part of an environmental review of the proposal notes that at least four other downtown apartment buildings were not required to pay the recreation fee, arguing that their proposal should be exempt. The town has not approved the project or made a ruling on associated tax breaks the developers will seek.

Prudenti is currently drafting a code amendment, and a public hearing will be held at a future date.