Rochester mayor covets fairgrounds for city’s use, but legal battle is unresolved


ROCHESTER — Mayor Paul Callaghan said he would like to see the city and the owners of the Granite State fairgrounds find a way to work together to integrate the 68-acre property as part of the city’s downtown revitalization efforts.

“I think the fairgrounds could enhance our downtown and the city,” Callaghan said in a recent interview.

The Rochester Agricultural and Mechanical Association owns the fairgrounds at 72 Lafayette Road. The Rochester Fair, which began in the 1800s, was rebranded the Granite State Fair in 2021.

The 2023 Granite State Fair in Rochester opened Thursday, Sept. 14.

Callaghan, who was reelected in November to a second two-year term, has previously brought up the topic of the fairgrounds. He cited it as a goal to improve the city in his response to a Foster’s Daily Democrat questionnaire during his fall campaign.

“We need to re-double efforts to integrate the Rochester fairgrounds in the revitalization of the city’s downtown,” he wrote. “Its proximity to the downtown would act as a catalyst to creating a mixed-use hub for the downtown.”

Callaghan is now saying there are no specific plans for the fairgrounds, but he feels the land could be an asset to the city.

“The city tried to buy the property years ago, and that didn’t happen,” Callaghan said. “We made an offer, they refused, and we backed down. I would still like to think we can work together for the good of the city. I’d like to see it utilized a lot more than it is now.”

In 2018, Rochester attempted to acquire approximately 11 acres of the fairgrounds for a new public works facility, but stepped away from negotiations after months of trying to hammer out a deal. The two sides had struck an agreement in principle on Feb. 6 to transfer the fairgrounds acreage to the city for $450,000, a deal that initially seemed like a win-win. The city would get the land for its much-needed $18 million public works facility and the fair would be able to lop off a substantial amount of its estimated $600,000 debt burden and start fresh, on resurrecting the fair.

At that time, Dan Fitzpatrick, then the city manager, and interim RAMA President Nancy Gilbert each had their own perspectives on how the deal unraveled. Fitzpatrick claimed RAMA adjusted the sale price and configuration of the parcel multiple times. Gilbert claimed the city lowballed the land price and would not give RAMA vital access to the fair’s Hoover Street gate.

Today, in 2023, attorney Marcia Brown, representing RAMA, said the organization would like to be able to work with the city.

“The Rochester Agricultural and Mechanical Association remains open to productive amicable talks with the city,” Brown said. “Since 1974, the association has hosted events in the city that support its nonprofit mission of improving and stimulating agricultural and mechanical skills. It’s showcase event is the annual fair. The Association looks forward to continuing to hold its events. If the city wishes to support the Association’s mission, it welcomes the city’s involvement.”

Rochester, RAMA have been embroiled in legal battles

Spectators gather to watch a demolition derby during the Granite State Fair on Sunday, Sept. 19, 2021.

Earlier this year, RAMA and the Granite State Fair won a victory over the city of Rochester in the New Hampshire Supreme Court. As a result, the Granite State Fair will no longer pay taxes to the city. The high court upheld a ruling by the New Hampshire Board of Tax and Land Appeals stating RAMA has charitable tax exemption due to its nonprofit status and is not required to pay the city taxes on the 68-acre property at 72 Lafayette Road.

A second legal fight between RAMA and Rochester, over RAMA holding auto racing events at the fairgrounds, remains ongoing.

RAMA took that case to the New Hampshire Supreme Court after the city denied a permit for an auto racing event. In the suit, the city, as the defendant, contends only the Granite State Fair is grandfathered on the property and any other events have to go before the city’s land use boards for approval.

RAMA counterclaims it needs additional income to supplement money raised each year by the fair, points out it has been doing events for more than 50 years and asserts it is grandfathered to continue to do so. It also claims the reason the city is denying RAMA the right to use the property is because of a failed attempt to purchase it.

In an Oct. 31 ruling, the New Hampshire high court remanded the case back to Strafford County Superior Court. The court stated the case was not about the one auto racing event RAMA wanted to hold in 2021 but is instead more about the issues of whether or not such events are grandfathered as part of RAMA’s history.

“So, we will get our day in court, finally,” Brown said.

The Supreme Court decision reversed a Superior Court ruling dismissing the case brought by RAMA.

In 1879, RAMA purchased the property on which it states a fair has been held every year thereafter except “one year during the World War, in 2017 due to financial reasons, and in 2020 due to the pandemic.”

RAMA contends that while the fair is for a set period each year, the group needs to and has been used by and for the benefit of the fair, RAMA’s purpose, and for other organizations during the year.

“Activities that have been conducted on the property include: circuses, motorcycle and automobile races and shows, Fourth of July celebrations, flea markets, bull riding, motor vehicle crash derbies, organizational outings, antique shows, Easter egg drops, plant sales, and concerts,” RAMA states in court documents. This “non-fair use of the property has been essential in meeting RAMA’s financial obligations” because the fair’s proceeds do not cover its expenses. Moreover, such non-fair, “‘special events’ [use] has been consistent, continuous. and uninterrupted for as many years as the directors, shareholders and citizens of Rochester can recall.”

The city disagreed. Beginning in 2021, the city denied RAMA event permits for events that had been conducted on the property in the past, including “a monster truck show, rally cross, and a Christmas light show.” One such permit, for which RAMA applied in December 2021, was for a motor vehicle event called Twisted Metal to be held in 2022, which RAMA had previously hosted in 2019, 2020, and 2021. The city denied the permit in January 2022, stating that “this use is not part of the annual fair that this property is grandfathered for. This is an expansion of use and is not permitted.”

RAMA appealed the decision to the city’s Zoning Board of Adjustment, which denied the appeal, ruling that only the fair is grandfathered and that RAMA must come to the city for any other events they seek to hold. RAMA filed a motion for rehearing, which the ZBA denied on April 13, 2022. and RAMA filed for declaratory judgment action in SuperiorCourt, alleging that it has “vested rights to continue the non-fair activities which have been conducted with the city’s knowledge and approval for well over 50 years and that the city’s sudden reversal of its approval is a violation of “established constitutional, statutory and common law.”

RAMA further alleges the reason for the city’s denial is a result of the failure of discussions in which the city sought to acquire RAMA’s property at a discounted price.” The city moved to dismiss, arguing that the Superior Court lacked subject matter jurisdiction because RAMA “failed to properly file an appeal within 30 days” of the ZBA’s denial of the motion for rehearing on the Twisted Metal permit decision. The Superior Court granted the motion.

In it’s ruling, the Supreme Court said the case is not a simple appeal of a ZBA denial of one license,” because RAMA’s pleadings allege “much broader facts” and request much broader relief. RAMA’s pleadings allege that RAMA has “vested rights to continue [its] non-fair activities” which, reasonably construed, refers to all such activities, not just Twisted Metal.

RAMA says city knows events are vital to survival

“The city knows that not allowing activities we have always done would be a death knell for RAMA,” Brown said. “So we will go to court and hopefully prevail. RAMA wants to survive and in the end we would love to have an amicable relationship with the city, and with Mayor Callaghan, whose family has a long history of supporting the best interests of this city.”

No date has been set for the new hearing in Strafford County Superior Court.

Foster’s Daily Democrat reporting by Kyle Stucker from 2018 is included in this report.


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