July 21, 2016

A regular meeting of the City of Hornell Industrial Development Agency was held on Thursday, July 21, 2016, at 4:12 PM.

PRESENT: Samuel Nasca, Chair
George Prete, Vice Chair
Shawn Hogan, Treasurer, CFO
Joseph Foreman, Secretary
Dave Parmley, Assistant Treasurer/ Assistant Secretary

ALSO: James Griffin, CEO, Executive Director
Margaret Frungillo, Administrative Assistant
John Dagon, Attorney
William Dugan, WLEA
Jason Scheider, Canisteo School

Chairman Nasca called the meeting to order at 4:12 PM. Chairman Nasca reported that there was a quorum for the meeting. Secretary Foreman presented the minutes of the June 2, 2016 meeting. A motion was made by Dave Parmley, seconded by George Prete to approve the minutes of the 6/2/16 meeting. Carried All.

Treasurer Shawn Hogan presented the financial statements for May and June that had been e-mailed to the Board prior to the meeting. A motion was made by Shawn Hogan, seconded by George Prete to approve the financial report as presented. Carried All.

COMMITTEE REPORTS

Audit Committee – Chairman of the Audit committee, George Prete, reported that the Audit Committee had met on 5/31/16 and approved bills in the amount of $25,596.39 for May and met on 6/30/16 and approved bills in the amount of $52,361.28 for June from the operating account. A motion was made Dave Parmley, seconded by Joseph Foreman to approve the actions of the Audit Committee. Carried All.

Personnel Committee – No report

Governance Committee – Chairman Nasca reported that the Board had been given three documents to review at the last meeting. The Board received the new application for IDA future projects, along with the checklist of the IDA legislation, and the new recapture policy. A motion was made Dave Parmley, seconded by Joseph Foreman to approve adopting the new documents as presented. Carried All.

Chairman Nasca requested a motion to enter into executive session. A motion was made by George Prete, seconded by Dave Parmley to enter into Executive Session under Public Officers Law, Article 7, Open Meeting LAW, Section 105, paragraph D. Carried All.

The meeting reconvened at 4:22.

EXECUTIVE DIRECTOR'S REPORT

Riedman- Executive Director Griffin stated that the Riedman Development Corporation is interested in developing 6 acres of land owned by the IDA at the Shawmut Park. The company would like a one year option to purchase, in order to develop plans for 45 Townhouses with 2-3 bedrooms and garages, and will come back with a formal proposal. A motion was made by Shawn Hogan, seconded by Joseph Foreman to accept the one year option from the Riedman Development Agency as presented.

The motion was put to vote on roll call, which resulted as follows:

Samuel Nasca – Aye            George Prete – Aye
Shawn Hogan – Aye            David Parmley – Aye
Joseph Foreman – Aye

The Resolution was duly adopted.

117 Main Street- Executive Director Griffin reported that the property at 117 Main Street is for sale. Mr. Griffin stated that they were asking $ 79,900.00, he had offered $79,000.00 (following procedures of IDA procurement policy) and they accepted the offer. The building is appraised at $134,600.00 and Griffin stated that it is in good condition. The Nothnagle Insurance Agency has a lease until next year which the IDA will honor. Griffin stated that the purchase of this building will insure that the building will be rented to the type of business that the City's downtown requires. A motion was made by Joseph Foreman, seconded by Shawn Hogan to purchase the building at 117 Main as presented.

The motion was put to vote on roll call, which resulted as follows:

Samuel Nasca – Aye               George Prete – Aye
Shawn Hogan – Aye               David Parmley – Aye
Joseph Foreman – Aye

The Resolution was duly adopted.

Alstom- Executive Director Griffin stated that he and Mayor Hogan had a meeting with Howard Zemsky at Alstom last week to discuss the contract. He further stated that the Alstom contract is moving fast and they will plan a press conference once the contract is finalized.

Updyke's- Griffin reported that construction of Updyke's new convenient store has begun and the building is going up quickly. Griffin further reported that he has been working with the bank to finalize the loan with the bank and to help Updyke's complete the proper paperwork.

GMI- Griffin further stated that the sale of the Alstom property to GMI that was started in November has not been completed although GMI began making lease payments in November on the property. The state requested 90 days to review prior to the sale. The IDA is reviewing the final paperwork now and when completed will forward to GMI's attorney, John Dagon. John Dagon is also the attorney for GMI and identified that this could be a conflict of interest and he will be representing GMI on this project and Harris Beach will be the IDA's attorney handling this project. A motion was made by Dave Parmley, seconded by Joseph Foreman to approve John Dagon representing GMI on this project and Harris Beach representing the IDA to avoid conflict of interest.

The motion was put to vote on roll call, which resulted as follows:

Samuel Nasca – Aye              George Prete – Aye
Shawn Hogan – Aye              David Parmley – Aye
Joseph Foreman – Aye

The Resolution was duly adopted.

Budget Amendments- Executive Director Griffin informed the board that we were amending two line items on the budget in order to keep the budget in-line. Griffin stated that the approved expenditure of these line items exceeds the budgeted amounts. Griffin further stated that the first line item is attorney fees which was budgeted $8,000 and would be changed to $32,000, the extra expense is due to new projects and the Airport annexation that we have been working on. Griffin reported the second line item is outside services from $8,000 to $40,000 due to extra survey costs related to the Airport annexation. These items were approved at prior meetings.

Seneca Street- Griffin reported that Lu Engineers have capped the area on Horton Street that the DEC had requested and that the report should be coming.

Advance Training Center for Rail Transit- Griffin stated that he and Susan Payne meet with Alstom last week and she has completed a draft and will be presenting her concepts for the development of the Rail Hub Project. Griffin further stated that the funding for Susan Payne will be divided between the IDA and SCIDA.

There being no further business the meeting was adjourned at 4:48 PM upon motion by Shawn Hogan, seconded by Joseph Foreman. Carried All.

Respectfully submitted,

Joseph Foreman, Secretary