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Stratford council authorizes receivership application and court‑contingent loan for Success Village boilers

Town of Stratford Town Council · August 8, 2024
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Summary

The Town of Stratford voted to authorize filing for a court‑appointed receiver for Success Village Apartments and approved a council resolution allowing the mayor to enter a superior court‑approved loan to replace three failing boilers; actions are contingent on Bridgeport joining and superior court approval.

The Town of Stratford Council on August 8 approved two linked actions to address urgent failures at Success Village Apartments, voting to authorize a receivership application in superior court and to permit a court‑approved loan for replacement of three boilers.

Chair Carl Glad called the special meeting to order and, after a motion from Mister O'Neil that Miss Gibson seconded, the council approved a resolution authorizing town staff to file an application seeking appointment of a receiver for Success Village. Town attorney Lacroix told the council that "upon appointment of a receiver, that individual would be in charge of the assets, and the management of Success Village" and would act under the supervision of the superior court to address emergency conditions.

The council also approved a second motion authorizing, "upon appointment of a receiver and with the approval of the superior court," Mayor Laura r Hordick or her designee to enter into a loan agreement with Success Village for replacement of three boilers in a form and with terms approved by the Stratford town attorney. Lacroix explained the loan is contingent on three conditions: appointment of a receiver by the superior court; approval of the loan by the superior court judge; and approval of the loan form and terms by the Stratford town attorney. He said the Bridgeport City Council is expected to consider an identical resolution and that the municipalities must join for the joint action to proceed.

Council members raised both urgency and caution. Lacroix noted the severity of the situation, saying residents face "no heat and no hot water" and stressing winter is approaching; Miss Gibson said she was concerned about intervening in private property and the precedent receivership might set, noting her experience with condominium governance and the difficulty of removing a board. Chair Glad emphasized protecting residents' properties and dignity while calling the actions "of significant consequence." In each vote the council vocalized "Aye," and Chair Glad declared the motions passed.

Next steps explained at the meeting: the Bridgeport council was expected to take up an identical resolution imminently, and Stratford staff plan to file the receivership application in superior court next week if both municipalities proceed. The loan amount specified for Bridgeport in the discussion was $520,000 (described as Bridgeport's share based on unit counts); Stratford's dollar amount was not specified in the transcript. Both the receivership petition and any loan agreement would continue under superior court oversight.

Authorities and procedural constraints cited at the meeting included a state statute authorizing court receiverships and oversight by the Bridgeport Superior Court; the council repeatedly described the actions as contingent on superior court review and approval. The council did not set a timeline for implementation beyond the near‑term filing discussed at the meeting. The special meeting adjourned after both motions passed.