Building moratorium hits heavy opposition at Sussex council

While no other Sussex County Council members joined a newly elected member’s call for a moratorium on reviewing new major subdivision applications in rural areas, the effort turned up the spotlight on development issues and the need to find solutions soon.

The proposal Jan. 7 by Matt Lloyd, a Republican who represents District 1, sparked a blistering, two-hour attack during the public comments portion of the council’s Jan. 14 meeting.

The crowd of about 135 people filled to capacity the meeting room in the county office building in Georgetown. Another 35, who could not even get standing room there, were diverted to a room in the basement to watch the meeting broadcast on a large screen.

A steady stream of builders, contractors, affordable housing advocates, bankers, real estate groups, healthcare providers and others took their turns at the podium for their allotted three minutes over about two hours to weigh in on the issue.

Many said a moratorium would be counterproductive, cutting construction jobs, reducing business for shops and driving up home prices.

Few residents voiced support for Lloyd’s plan, and no council member backed his request that staff draft a resolution calling for a moratorium.

“I welcome the call for a moratorium,” said Joe Pika of Lewes, explaining the county needs time to make major changes. “If not a moratorium, then what?” 

Lloyd cited strains on infrastructure, schools and emergency services when he first called for a moratorium. He said he wants to give council time to draft changes to laws to restrict what he saw as unchecked development in agricultural-residential zones.

He was one of three new council members who ran on platforms that emphasized the need for rational limits on development.

Jill Hicks, president of the Sussex Preservation Coalition, urged the council to form a working group to draft changes to county laws to address development issues. The coalition gave the county six months to deal with the situation or it would begin backing a moratorium.

“We oppose a moratorium,” said Stephanie Moody, associate director of the Sussex County Association of Realtors, citing an estimate that the county needs 20,000 more homes to meet demand. 

Dr. David Tam, president and CEO of Beebe Healthcare, said a moratorium would hinder efforts to attract more doctors and support staff.

“The recruiting of these healthcare professionals will be significantly hampered when they learn there is a moratorium on growth and development in Sussex County,” Tam said.

“The Sussex Economic Development Action Committee, SEDAC, wholeheartedly opposes any policy or actions leading to a construction and building moratorium,” said Scott Thomas, the group’s president. “Such an action will cripple and stifle our county’s economy by causing the loss of many jobs, severely lower the demand for local goods and services, and prompt myriad lawsuits.”

Joe Conaway of Bridgeville, a past county administrator and chief deputy insurance commissioner, warned that a one-year moratorium would have lasting effects.

“First off, a one-year moratorium is not a one-year moratorium, it is four years,” Conaway said. “Nobody is going to design anything until you have in place ordinances that say how to do it. That takes six months to a year. So we don’t do anything for a year. Another year’s lost to design. And you know this now, the time frame to get in front of you for final approval is 18 to 24 months. That’s four years, folks.”

Lloyd disagreed with the dire predictions about the consequences of a moratorium. Many developments have already been approved, and other proposals under review would proceed, so construction would continue during a moratorium, he said. 

In the end, he did not gain any other support on the council for a moratorium. Some said drafting a proposal that was doomed to fail was a waste of time for staff.

“It’s dead on arrival,” said Councilman John Rieley, a Republican who represents District 5.

Several council members, however, said the turnout illustrated the pressure they are under to limit development, and they said changes will be discussed in the coming months.

“I think your message was loud and clear,” Rieley said.

Representatives of both home builders and a land preservation group offered to work with council as it drafts changes to local laws governing development.

“This work is urgent,” said Councilwoman Jane Gruenebaum, a newly elected Democrat who represents District 3. “This work should have been done a long time ago.”

After the meeting, Lloyd said he planned to review the comments made at the meeting, but he was not inclined to press ahead with his proposal.

“It was interesting to gauge the council and gauge the community,” Lloyd said.