Sleepy Hollow Mayor Philip E. Zegarelli reveals that on Dec. 3the village notified General Motors that it planned to exercise itsoption to acquire the property and sent a check for $120,000 toserve as a down payment on the land acquisition. The mayor explainsthat the sale option was contained in a Payment in Lieu of TaxesAgreement reached between the village and General Motors shortlyafter the plant shut its doors for good back in June 1996. He saidthe agreement gave the village the option to acquire the propertyfor up to five-and-a-half years after the facility shut down.Zegarelli said that the option runs out on Dec. 26, 2001.

Zegarelli adds that the village informed General Motors sometime back that it wanted to discuss either allowing the option topurchase to be extended for some "financial consideration from GM"or for the village to exercise the sale option. He notes GeneralMotors did not address the village's concerns until after itreceived the Dec. 3 letter notifying them of its intent to acquirethe property. Zegarelli says that some financial offer has beenmade by GM since in relation to the possibility of extending thepurchase option, however, he refused to discuss specific details ofthe proposal.

At a Village Board meeting on Dec. 11, the mayor was authorizedto draft a contract to purchase the property and establish amechanism to fund the acquisition. While the mayor says that talkscontinue with General Motors, he notes "there is a very strong needto continue down this path," especially in light of the optionexpiration date of Dec. 26.