June 23, 2011

The regular meeting of the City of Hornell Industrial Development Agency was held on Thursday, June 23, 2011 at 3:00 PM, at 40 Main Street, Hornell, NY.

PRESENT: Samuel Nasca, Chairman
George Prete, Vice Chairman
Shawn Hogan, Treasurer
David Parmley, Asst. Treasurer
Joseph Foreman, Secretary

ABSENT: None

ALSO: James Griffin, CEO, Executive Director
          Wanda White, CFO, Administrative Asst.
          Andrew Poole, Reporter, Evening Tribune
          John Dagon, Agency Attorney

Chairman Nasca called the meeting to order at 3:00 PM.

MINUTES

Secretary Joseph Foreman made a motion to accept the May 5, 2011 minutes as presented. Motion was seconded by Dave Parmley to accept the minutes as presented. Carried All.

FINANCIAL REPORT

Treasurer Shawn Hogan presented the audited financial report for the months of April and May 2011 as audited by our accountants Mengel, Metzger, & Barr. A motion was made by David Parmley, seconded by George Prete to approve the financial report as presented. Carried All.

AUDIT COMMITTEE

George Prete, Chairman of the Audit Committee, stated that the Committee met on June 23, 2011 and approved bills in the amount of $126,666.85 for the month of May and $478,584.93 for the month of June. A motion was made by Dave Parmley, seconded by Joseph Foreman, to approve the actions of the Audit Committee. Carried All.

PERSONNEL COMMITTEE

Mayor Hogan, Chairman of the Personnel Committee stated there was no report for the month of June.

GOVERNANCE COMMITTEE

Samuel Nasca, Chairman of the Governance Committee, stated that the Agency members attended two educational seminars. May 25-27 was for the NYSEDC Annual Meeting in Cooperstown and on June 5-8 they attended the IEDC meeting in Indianapolis. A motion was made by Shawn Hogan, seconded by Joseph Foreman to accept the Chairman's report. Carried All.

EXECUTIVE DIRECTORS REPORT

BOND ALLOCATION - Executive Director Griffin reported that the NYS Department of Economic Development notified the City of Hornell IDA that it has an initial allocation to issue private activity bonds in the amount of $135,000 for the calendar year 2011. Mr. Griffin presented a Resolution to pass our allocation onto the Steuben County IDA. A motion was made by Shawn Hogan, seconded by David Parmley, to authorize moving the bond allocations to SCIDA. The Resolution was duly put to a vote on roll call, which resulted as follows:

                              Samuel Nasca -Yea                  George Prete -Yea
                              Shawn Hogan -Yea                   David Parmley -Yea
                              Joseph Foreman -Yea

The Resolution was thereupon duly adopted.

TRIKEENAN – Griffin reported that Trikeenan was still in the courts in New Hampshire. Courts keep putting the Bankruptcy off and in the meantime, Trikeenan is making minor payments on their PILOTS to us and minor payments on their Bank payments to Steuben Trust Company which the Bankruptcy Court agreed to. It has been five months now that we receive $4,000/month and distribute it to the taxing authorities.

TTA – Griffin stated that he had met again with TTA in assisting them with their applications. Everything was moving along. They are now looking at quotes on equipment.

ANNUAL MEETING – The City of Hornell IDA will hold their Annual meeting dinner on July 28, 2011, which is the regular meeting date for July.

OLD BUSINESS – Lin Industries – Griffin stated that John Dagon had prepared a new five year lease for Lin Industries. Lin is asking for a clause to be added providing for a termination of lease by tenant on 90 days written notice. Mayor Hogan stated that Lin Industries should still be responsible for the lease for one year if the building is un-leased. Griffin said he would renegotiate with Lin.

NEW BUSINESS – Prindle Avenue Project – Iron Shore Properties has applied for financial assistance to renovate an abandoned apartment complex into 12 units – 6 two bedrooms and 6 three bedrooms. The project would cost $550,000 with a $16,000 sales tax exemption, $4,700 mortgage tax exemption and no change in property tax for 10 years then 20% increase for 5 years (see attached Project Review & Cost/Beneit. A Resolution was presented (attached) to appoint Iron Shore Properties LLC as Agent for the Agency for the purpose of undertaking the above project. A motion was made by David Parmley, seconded by George Prete, to accept the Resolution. The motion was put before the Board and roll call was as follows:

                                         Samuel Nasca – Yea                David Parmley – Yea
                                         Shawn Hogan – Yea                 George Prete – Yea
                                         Joseph foreman – Yea

The motion was therefore carried.

MAPLE CITY RETAILING – Executive Director Griffin reported that Michael Deebs was selling the Sears business but was keeping the real estate. He wishes to sublease the facility to Randy Gudhean who will be doing business as Grace Retail, Inc. Griffin said Deebs wanted consent from the Agency to sublease his facility to Mr. Gudhean. A motion was made by Shawn Hogan and seconded by Dave Parmley to consent to Deebs sublease of the real estate.

                                                 Samuel Nasca – Yea             George Prete - Yea
                                                 Shawn Hogan - Yea               Joseph Foreman - Yea
                                                 David Parmley - Yea

The Resolution was thereupon duly adopted.

The CHIDA meeting took recess at 3:30 PM to begin the Hornell Area IDC meeting.

The CHIDA meeting resumed at 3:45 PM and a motion was made by Shawn Hogan, 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 4:00 PM.

After discussion of the airplane the following Resolution was put to the board on motion from Dave Parmley, seconded by George Prete:

RESOLUTION: CHIDA agrees to enter into a lease purchase agreement with Jet Smart for the Navajo Aircraft and to authorize Jet Smart to perform such maintenance and inspection to bring it into compliance with CFR Part 135 for commercial operations. The motion was put before the Board and roll call was as follows:

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

The Resolution was therefore duly adopted.

There being no further business, the meeting was adjourned at 4:30 PM upon motion from Shawn Hogan, seconded by David Parmley. Carried All.

Respectfully,

Joseph Foreman
Secretary