June 28, 2018

A regular meeting of the City of Hornell Industrial Development Agency was held June 28, 2018, at 4:30 PM, at 40 Main Street, Hornell, NY.

PRESENT: Samuel Nasca, Chair
George Prete, Vice Chair
David Parmley, Treasurer, CFO
John Carbone, Secretary
John Buckley, Asst. Treasurer, Asst. Secretary

ALSO: James Griffin, CEO, Executive Director
Shawn Hogan, Executive Consultant
Margaret Frungillo, Administrative Assistant
William Dugan, WLEA Reporter
Jason Jordon, the Evening Tribune

Chairman Nasca called the meeting to order at 4:48 PM. Chairman Nasca reported that there was a quorum for the meeting.

Secretary Carbone presented the minutes of the May 31, 2018 meeting. A motion was made by Dave Parmley, seconded by John Buckley to approve the minutes of the 5/31/18 meeting. Carried All.

Treasurer Parmley presented the financial statements for May that had been e-mailed to the Board prior to the meeting. A motion was made by John Carbone, 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 5/17/18 and approved bills in the amount of $65,570.74 for April from the Operating account and $151,502.61from the Escrow account. A motion was made John Buckley, seconded by Dave Parmley, to approve the actions of the Audit Committee. Carried All.

Personnel Committee – No report

Governance Committee- Chairman Nasca reported that the Policies and Procedures for the IDA have been reviewed by Harris Beach. Harris Beach determined that the Policy and Procedures are in compliance with PAAA and there are no updates required at this time. Nasca requested a motion to state the Policies and Procedure have been reviewed and that the date be changed to reflect this. A motion was made by George Prete, seconded by John Carbone accept the Policies and Procedures as presented.

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

Samuel Nasca – Aye
George Prete – Aye
John Carbone– Aye
John Buckley - Aye
Dave Parmley – Aye

The Resolution was duly adopted.

Chairman Nasca further reported that he had been reviewing the list of properties owned by the IDA and there are some small parcels that the IDA should consider liquidating. Nasca recommended that the Executive Consultant review the list and make a recommendation as to which properties the IDA should liquidate.

A motion was made by John Buckley, seconded by George Prete, to approve the actions of the Governance Committee as presented. Carried All.

EXECUTIVE DIRECTOR'S REPORT

Sunset- Griffin stated that the IDA has received the bids for demolition of the Sunset. Griffin stated that upon review of the three bids submitted he would recommend MLJ Partners for the demolition at a cost of $20,973.00. Griffin requested a motion to approve awarding the contract to MLJ Partners. A motion was made by John Buckley, seconded by Dave Parmley to approve MLJ Partners for the Sunset Demolition project. The motion was put to a vote on roll call which resulted as follows:

Samuel Nasca – Aye
George Prete – Aye
John Carbone– Aye
John Buckley - Aye
Dave Parmley – Aye

The Resolution was duly adopted.

Trikeenan- Griffin stated that he is still in negotiations with Steuben Trust to purchase the mortgage on the Trikeenan building for $400,000. Griffin further reported that then the IDA would negotiate a new lease with Elgin Butler to present to the Board for approval. Griffin stated that he will have more information on any progress by next month.

Lin Industries- Executive Director Griffin reported that Uttara Prasad is still considering the new addition to the existing building in the South Yards. Griffin further reported that he will come to the Board for approval of any new development.

Griffin stated that the IDA owns the property between Lin Industries and Gray Manufacturing that Alstom has been using for storage. Griffin further stated that the property will be cleaned up in the next week.

Amexstra- Executive Director Griffin requested a resolution for the Agency to amend the original lease with Amexstra such that the remaining years payments of $10,000.00 due in 2019,2020,2021,2022 and 2023 are forgiven to the extent the company presents evidence that they have increased employment each year. The Agency was to transfer title (deliver the deed) once the company performed for three years after the 2014 closing. The Company has been performing as contemplated such that the Agency shall deliver a deed in accordance with the original agreement. A motion was made by John Buckley, seconded by John Carbone to approve the resolution as presented. The motion was put to a vote on roll call which resulted as follows:

Samuel Nasca – Aye
George Prete – Aye
Dave Parmley – Abstain
John Buckley - Aye
John Carbone – Aye

The Resolution was duly adopted.

Executive Consultant Shawn Hogan requested a motion to enter into an Executive Session. A motion was made by John Buckley, seconded by John Carbone to enter into Executive Session under Public Officers Law, Article 7, Open Meeting LAW, Section 105, paragraph D. Carried All.

The meeting reconvened at 5:32 PM

Railhead Brewery- Griffin reported that Railhead Brewery is interested in expanding and they would like to purchase the building next door that is for sale (formally New Life Printer). They are looking to expand their product production and Griffin stated that being a new upcoming business they currently lack the capital to purchase the building. Griffin requested a motion to purchase the New Life Printer building for a price not to exceed $130,000 and also request a Phase 1 Environmental Study. Griffin stated that the IDA would enter into a lease-leaseback and Pilot agreement with Railhead Brewery. A motion was made by Dave Parmley, seconded by John Buckley to approve the resolution as presented. The motion was put to a vote on roll call which resulted as follows:

Samuel Nasca – Aye
George Prete – Aye
Dave Parmley – Aye
John Buckley - Aye
John Carbone – Aye

The Resolution was duly adopted.

Chairman Nasca requested a motion to waive the agenda and return to Committee Reports. A motion was made by John Buckley, seconded by John Carbone to return to Committee Reports.

Chairman Nasca called upon Treasurer Parmley, Chairman of the Personnel Committee to give his report.

Chairman of the Personnel Committee Dave Parmley requested a motion to approve a 5% bonus for the Administrative Assistant, Margaret Frungillo. A motion was made by George Prete, seconded by John Buckley to approve the resolution as presented. Carried All.

There being no further business the meeting was adjourned at 6:00 PM upon motion by John Buckley, seconded by John Carbone. Carried All.

Respectfully Submitted,

John Carbone, Secretary