The "mold threat" argument is so utterly vacuous -- it's hard to imagine that anyone making it can really be taking themselves seriously. And this pooh-poohing of the documents as being merely "cool" reflects a staggering degree of ignorance about the value of primary documents in historical (and legal) research.
At the same time... it's not hard to imagine county bureaucrats thinking pretty much exactly in these terms. "Wha, a buncha photographs? Old title papers? Whoze goona be innersted in that? Someones gonna get SICK from all that ICKY mold and we might get SUED!"
Yep -- that must have been exactly what they were thinking.