St. Lawrence County Industrial Development Agency Mission Statement Reviewed and Reaffirmed in Public Session on February 27, 2014 The mission of the St. Lawrence County Industrial Development Agency is to promote, encourage, attract and develop job opportunities and economically sound commerce and industry in St. Lawrence County. To accomplish its mission, the IDA constructs and owns industrial sites and buildings, administers loan packaging and industrial revenue bond financing and provides a variety of tax-reduction incentives. Performance Goals To create new employment opportunities for St. Lawrence County citizens through the attraction of or the creation of new businesses To create new employment opportunities for St. Lawrence County citizens through the expansion of existing businesses To retain existing employment opportunities To leverage the greatest level of private investment in St. Lawrence County businesses To educate County businesses, elected officials and community representatives regarding available economic development resources Act as a liaison with businesses and government to help coordinate economic development services and reduce bureaucracy Work cooperatively with area economic development agencies to market County assets and economic development resources to potential new or expanding businesses Ensure a transparent and accountable operation with responsibly-managed Agency assets 2014 Performance Review (January 2014 – December 2014) In 2014, the St. Lawrence County Industrial Development Agency (“SLCIDA”) provided assistance to a number of employers, communities and stakeholders throughout St. Lawrence County. As part of our Public Authority Law compliance program, we conduct annual reviews of our policies regarding Property Disposition, Investment of Funds, and Procurement. The SLCIDA has also created a policy to formally identify criteria which will assist in evaluating project performance and determine the appropriateness of recapturing, limiting or terminating a contract with a recipient of IDA benefits. Performance reports and Board evaluations for 2013 were also reviewed in 2014. Through our ongoing retention efforts, staff made nearly 1,900 contacts with approximately 500 existing and prospective firms and organizations in 2014. This includes site visits to business customer locations as part of our annual reporting process to New York State, as well as our regular outreach program to local firms. 2013 Independent Audit reports were approved by the SLCIDA in March of 2014. Legislators have been provided the reports electronically. In addition, the reports are available on our website at www.SLCIDA.com. A PILOT reopener clause enabled the St. Lawrence Gas Company to include additional properties as part of the build outs portion of its Gas Line Expansion Project to Franklin County. Additionally, and in connection with project cost increases, the Company had requested provision by the SLCIDA of additional financial assistance in the form of additional sales and use tax exemptions. DeFelsko Corporation and Beamko LP received financial assistance from the SLCIDA in the form of Sales and Use Tax Exemptions and a PILOT relative to the companies’ expansion project in Ogdensburg. The project is expected to create at least 15 new jobs over the next three (3) years. Corning Property Management Corporation applied to the SLCIDA for financial assistance in the form of Sales and Use Tax Exemptions and a PILOT relative to its expansion project at its plant in the Town of DeKalb. This project is expected to create 40 new jobs over the next three (3) years. Additionally, this project will assist Corning in strengthening its Canton plant operation as well as Corning’s significant presence in New York State. The project will enable Corning to secure a long-term contract for work at the Canton facility, providing additional stability and security for the local plant. Maxam North America, Inc. received assistance from the SLCIDA in the form of a sales and use tax exemption and partial real property abatement as the Utah-based company opens a plant within the Ogdensburg Bridge & Port Authority’s industrial park. The project involves the construction of a rail spur within OBPA’s park, along with construction of an approximately 4,800 sq. ft. production building, silos for storage of raw materials and prefabricated tanks. The oxidizer manufacturer services construction and mining markets throughout North America. The project is expected to create 12 full time jobs. Additional Sales and Use Tax Exemption benefits were authorized for ACCO for its Ogdensburg project. ACCO has exceeded its job creation goal of 30 jobs at its combined Distribution and Manufacturing facility in Ogdensburg. SLCIDA amended a lease agreement with St. Lawrence Brewing Company, Inc. and authorized an installment sales agreement for filtration and canning equipment, as the Brewery works to improve its margins by bringing the canning operation of their products in-house. The SLCIDA continues to provide space within the IDA’s Potsdam Commerce Park building to enable St. Lawrence County to store pallets of emergency food rations. The SLCIDA is facilitating discussions between the Town of Gouverneur and St. Lawrence Gas Company in an attempt to extend natural gas service along Route 11 on the southside of Gouverneur. The SLCIDA formalized its support of proposed legislation to enable certain surplus St. Lawrence Psychiatric Center properties to be transferred to the City of Ogdensburg for future development. The SLCIDA continues its work on expanding the Canton Industrial Park. The SLCIDA received a $470,000 grant award for the Park through the 2012 Regional Economic Development Council. Design and engineering services for the extension of Commerce Lane, along with utilities infrastructure in the Park has been completed. On June 26, 2014, the SLCIDA authorized a contract in the amount of $544,000 with Acts II Construction (Gouverneur, New York) to proceed with the expansion work. Infrastructure included in this project will be potable water, fire hydrant installation, sanitary sewer complete with a necessary pump station and approximately 780 feet of asphalt road construction. These infrastructure improvements will create shovel-ready building sites in the new Canton Park. The SLCIDA authorized execution of the Payment In Lieu of Taxes Agreement for the St. Lawrence County portion of the Newton Falls Rail line. The “clearing” portion of Phase I of the Newton Falls Rail Rehabilitation project is complete and we expect to have “draft” construction bid documents by March of 2015. The engineer has, so far, identified no major bridge issues. The SLCIDA has submitted expenses (through January 2014) to New York State for reimbursement through the SLCIDA’s 2011 Regional Economic Development Council award. The SLCIDA staff continue to actively participate in the Regional Economic Development Council process as evidenced by a co-leadership role in the REDC’s Global North Country Committee, and by membership roles in the Opportunity Agenda Working Group, the Priority Project Implementation Committee, the Workforce Committee, the Transportation & Infrastructure Committee, and the Small Business/Community Development Committee. The SLCIDA assisted the Town of Massena with an application for proposed funding through the US Economic Development Administration’s 2014 EDAP funding program. The project will create infrastructure and bring utilities and services to Horton Road, designed for development of a commercial/light industrial park. The Town of Massena and the SLCIDA have worked closely with Alcoa over the past several years to transition approximately 140 acres of land suitable for a new park. The Massena Industrial Park is too small to permit large expansions and there are very few lots left for development. Although the County has vast available land, there is very little available with services that can accommodate projects requiring larger parcels. The SLCIDA staff completed Consolidated Funding Applications for a number of projects, including an infrastructure application for the Horton Road property in Massena and the gas pipeline extension along Route 11 for the Town of Gouverneur. Additionally, a Northern Border Regional Council application for the Horton Road property was submitted June 30. The SLCIDA submitted a grant application to the USDA Rural Business Enterprise Program on behalf of Tri-Town Packing to help fund a feasibility study and transition plan. SLCIDA is working with Tri-Town to try to assist the Company in resolving its issue with the USDA inspection process. The SLCIDA held its Annual Meeting on June 26, 2014. Brian W. Staples was reelected Chairman, Ernest J. LaBaff was reelected Vice-Chairman, and Lynn Blevins was reelected Secretary. Patrick J. Kelly was reappointed as Chief Executive Officer and Thomas J. Plastino was reappointed Chief Financial Officer. The law firm of Silver & Collins was retained as Legal Counsel. SLCIDA Chief Executive Patrick Kelly, representing the North Country Alliance, was appointed to the board of the North Country Economic Development Fund, a $10,000,000 fund capitalized by Alcoa for the benefit of the North Country. Mr. Kelly also serves on the New York State Economic Development Council’s Board of Directors. The NYSEDC is the State’s principal organization representing economic development professionals. The purpose of NYSEDC is to promote the economic development of the state and its communities, encourage sound practices in the conduct of regional and statewide development programs, and to develop education programs that enhance the professional development skills of NYSEDC members. The SLCIDA held an open house to celebrate the dedication of the “Ernest J. LaBaff Industrial Building” in July of 2014. The SLCIDA entered into agreement with the New York State Department of Labor to provide Occupational Safety and Health Training Services to businesses in St. Lawrence County free of charge as a result of a grant in the amount of $4,962 issued by the Hazard Abatement Board. The grant funds expired July 31, 2014. FY2015 budgets were approved for the SLCIDA. The SLCIDA also continued aggressive marketing efforts, as follows: o Outreach of select Canadian businesses in Ontario and Quebec to generate interest and possible expansion into St. Lawrence County through trade shows, events, and advertising. o Outreach of select businesses in Massachusetts, Connecticut, New Jersey and Pennsylvania in conjunction with trade shows to generate interest and possible expansion into St. Lawrence County including over 3,400 direct mail pieces. Coordination with local colleges to outreach alumni in those geographic areas to encourage them to visit our booth at trade shows and consider a business location in St. Lawrence County through a combination of email and direct mail communications. o Direct mailing to Massachusetts, Connecticut, New Jersey and Pennsylvania companies either in the electronics or paper industry highlighting availability of buildings, such as the former Newton Falls Fine Paper facility in Newton Falls and ACCO Brands facility in Ogdensburg. o Continued to promote advantages of low-cost power available through the NYPA Preservation Power and St. Lawrence County Economic Development Power programs through a series of mailings, advertisements, trade show displays, site visits and other outreach activities. o Facilitated three Countywide Economic Developers’ Marketing meetings to ensure coordination of marketing efforts, strategic objectives and general operating activities of the local, county and regional developers. o Maintained memberships in Canadian trade organizations to facilitate access to events and to maintain key contacts with Canadian companies and multiplier organizations. o Since 2007, the SLCIDA has partnered with the Fort Drum Regional Liaison Organization, DANC, Jefferson County LDC and Lewis County Economic Development to undertake a regional marketing initiative. The SLCIDA agreed to extend this commitment through CY2016 and committed $5,000 annually to the initiative. o Advertising and media promotion pieces created and utilized, including placements in Ottawa Technology Magazine, Ottawa Business Journal, Multiview Media, North Country This Week, Watertown Daily Times, St. Lawrence County Newspapers (including the 2014 Bassmasters Fishing Guide) and GardenShare Local Food Guide. Strategic media placement and emarketing highlighting attendance at tradeshows including Montreal Gazette, MCI Magazine (Quebec City), National Post Montreal Edition, and CANSEC show guide. o The SLCIDA co-sponsored National Manufacturing Day, held at SUNY Canton, whereby leaders from local industry share details on the career opportunities that will support tomorrow's manufacturing needs. Attendees rotate through three activities: robotics presentation by Clarkson University, displays by local manufacturers and a tour of the college's Manufacturing Technology Center. o The SLCIDA was approved for a $50,000 grant application to National Grid’s Strategic Economic Development Outreach program to enhance our Canadian marketing efforts from June 2014 through June 2015. o Attended the first “Resource Fair” at St. Lawrence University’s New Faculty Orientation and shared a booth with the St. Lawrence County Chamber of Commerce. With the vast majority of the 36 faculty members being new to the North Country and SLU, opportunities and incentives were discussed with potential entrepreneurs (faculty, traveling spouses or companions) for starting or relocating a business in St. Lawrence County. This is part of a continuing effort to build strong partnerships with the colleges and to leverage them as drivers of economic development in the County. o Distributed information to alumni at SUNY Potsdam’s Alumni Weekend, encouraging them to bring their business to St. Lawrence County. o The SLCIDA staff are involved in monthly business attraction calls, working to develop a pipeline of prospects in Canada, as part of the Centerstate CEO Canadian Marketing Initiative. o In support of Agricultural & Agribusiness in St. Lawrence County, SLCIDA co-sponsored an Ag Tour, informing County, State and Federal Officials of the economic importance of agriculture in St. Lawrence County. The SLCIDA staff also actively participate in the County Ag and Farmland Protection Board meetings. o Sponsorship, coordination and/or attendance at 15 trade shows/marketing events in New York, New England and Canada: March 2014 Presentation of Marketing Plan to Massena Rotary Women’s Business Bootcamp at SUNY Canton FABTECH, Toronto BIOMeDevice/Plastec/Design & Manufacturing/Electronics New England, Boston April 2014 3-D Printing Tradeshow, New York (in addition to other 3-D printing workshops attended throughout the state this year) All-Energy Canada Exhibition, Toronto(staff presentation on International Trading) EpTech, Montreal North Country Business Expo/The Really Big Show, Potsdam Canadian Environmental Conference & Tradeshow (CANECT), Mississauga Ottawa Business Summit, Ottawa North County Symposium, St. Lawrence University Senator Gillibrand with Chair of Export Import Bank of U.S. presented North Country Business Expansion Opportunities in the Overseas Market. May 2014 Mfg4, Hartford Montreal Manufacturing Technology Show (MMTS), Montreal Canadian Defense Security Tradeshow (CANSEC), Ottawa AmCham: Workshop “Expand Your Business in the U.S.” June 2014 Atlantic Design & Manufacturing Tradeshow, New York North Country Clean Energy Conference, ANCA in Lake Placid September 2014 AmExpo, Mississauga Global North Country Roundtable (FDI, Exporting, Regional & International Connections), Plattsburgh October 2014 Salon Industriel de Quebec, Quebec City Women’s Business Bootcamp, SUNY Canton EpTech, Ottawa Small Business Development Center: Matchmaker Event (SUNY Canton) Centerstate CEO 2014 B2B Marketplace, Syracuse AmCham: “North American Competitiveness and Innovation” participation in the NACIC 2014 Ministerial Conference, Toronto November 2014 Secure Tech, Ottawa Design & Manufacturing (PackEx), Montreal Congressman Owens: “Doing Business Across the U.S. – Canada Border”, Plattsburgh Access to Capital for the Food, Beverage & Agriculture Industry (SUNY Canton) December 2014 North Country Cross-Border Roundtable with Congresswoman Elise Stefanik, Plattsburgh Canadian Empire State Development Representatives, Plattsburgh St. Lawrence County Industrial Development Agency Additional Questions 1. Have the board members acknowledged that they have read and understood the mission of the public authority? ANS: Yes – the Board members reviewed and approved (by formal resolution) the mission statement and performance measures of the board. 2. Who has the power to appoint the management of the public authority? ANS: Management is appointed by the board members of the authority. 3. If the Board appoints management, do you have a policy you follow when appointing the management of the public authority? ANS: The board of the St. Lawrence County Industrial Development Agency appoints its Chief Executive Officer and Chief Financial Officer. The Chief Executive Officer appoints management and staff. 4. Briefly describe the role of the Board and the role of management in the implementation of the mission. ANS: The Board, with assistance of management, works to develop the authority’s mission, and evaluate the authority’s goals and performance. Management ensures that the Board’s mission and goals are carried out in a manner which achieves the intended public purpose - a process involving program evaluation, reporting, feedback and recommendation. 5. Has the Board acknowledged that they have read and understood the responses to each of these questions? ANS: The Board acknowledges its understanding of this document by formally approving the document in public session.