ST. LAWRENCE COUNTY INDUSTRIAL DEVELOPMENT AGENCY ST. LAWRENCE COUNTY IDA LOCAL DEVELOPMENT CORPORATION Meeting of: May 31, 2012 CALL TO ORDER: Chairman Brian W. Staples called the meeting to order at 8:02 AM at the Best Western, Canton. ROLL CALL: Blevins........................... LaBaff ........................... Peck ............................... Weekes .......................... Present Present Present Absent Hall............................. McMahon ................... Staples ........................ Present Present Present Others: SLCIDA Staff (Patrick Kelly, Thomas Plastino, Richard Williams, and Natalie Sweatland); Andrew Silver, Esq., Counsel. PUBLIC NOTICE: Public notifications sent May 25, 2012 to, at a minimum: St. Lawrence County’s newspapers designated for the publication of local laws and other matters required by law to be published; additional local media sources and websites. PUBLIC COMMENT: None APPROVAL OF MINUTES: None FINANCIAL REPORTS: None REPORTS OF COMMITTEES: None STAFF REPORT: None OLD BUSINESS: None SLCIDA Resolution: Inducement Resolution, Canton Industrial Park (CIP) Building: LaBaff/Blevins motion to take from table. Carried unanimously. Chairman Staples explains that there are two issues at hand: 1) When the IDA assumed ownership of the Canton property (from the County), it agreed to develop it as an industrial park and 2) The IDA needs it own office space, and in the long run this will be less expensive than our current arrangement. He understands it is a significant expense, but we have a responsibility to develop the Park. Mr. McMahon notes his concerns were not whether or not to build, but the timing of the investment. He asks about other, likely options, to which Mr. Kelly responds that he and his staff have looked at other properties, and found no better alternatives in Canton. Mr. Kelly goes on to note that he sees two issues: The IDA needs to develop an industrial park in Canton, and the IDA needs to plan for its future. He noted that he considers the idea of a multi-user facility to make more sense than a standalone facility. The IDA’s presence as owner/manager makes sense. Mr. Blevins wants to ensure that the board members are all on the same page. The IDA needs to be fiscally responsible. It has taken on major changes over the last few years. It needs to discuss our funding streams and determine if this building is the right thing to do now. Mr. Kelly adds that the future needs of the IDA staff were considered, adding that in the design phase office space was reduced from approximately 6,000 sf to approximately 3,500 sf. Should our need for space change over time, this space and location should be marketable. Mr. McMahon asks if there is a need for additional industrial space within the county, citing currently-vacant industrial buildings in Ogdensburg and Massena. Mr. Kelly notes that the IDA has constructed buildings in Ogdensburg, Massena, Potsdam and Gouverneur. It has had site development activity within the major communities, except Canton. The IDA’s intention for industrial space is to generate job activity and increase the tax base. While Ogdensburg, Massena, and Gouverneur have sites available, over the long term we do think there is a need in Canton. When asked if SUNY Canton ever expressed a need for 4,000 sf or 5,000 sf of space, Mr. Kelly said not that he could recall, but the goal would be to attract spinoff businesses from colleges, not colleges themselves. The IDA has had situations where St. Lawrence University alum express interest in space in Canton, and the IDA has none. Most of the largest space currently available in Canton is retail in nature. LaBaff/Peck motion to accept. Motion is carried with unanimous vote. SLCIDA Resolution: SEQRA Resolution, Canton Industrial Park Building: LaBaff/Blevins motion to take from table. Carried unanimously. Hall/Peck motion to accept. Motion is carried with unanimous vote. SLCIDA Resolution: Establishing Construction Budget, Canton Industrial Park Building: LaBaff/Blevins motion to take from table. Carried unanimously. LaBaff/Hall motion to accept. Motion is carried with unanimous vote. SLCIDA-LDC Resolution: Accepting SLCIDA Designation as Agent for Canton Industrial Park Building: LaBaff/Blevins motion to take from table. Carried unanimously. Hall/LaBaff motion to accept. Motion is carried with unanimous vote. SLCIDA-LDC Resolution: Establishing Construction Budget, Canton Industrial Park Building: LaBaff/Blevins motion to take from table. Carried unanimously LaBaff/Blevins motion to accept. Motion is carried with unanimous vote. SLCIDA-LDC Resolution: Authorizing Construction Contract for the Canton Industrial Park Building: LaBaff/Blevins motion to take from table. Carried unanimously. In response to question from Mr. LaBaff, Mr. Williams reports that Danko Construction does not have a union shop, but hires from the union hall. Steel is all union work. Mr. Williams reports that Danko Construction has advised that a local stick-built frame (as opposed to structurally insulated panels) could be used at the same cost and can still meet the environmental and structural requirements. In addition to the same environmental benefit, stick built would provide 4 additional jobs for 3 weeks, also at no extra cost. It was the consensus of the Board to proceed with stick-built provided it incurs no additional costs, and Mr. Williams will do a change order. McMahon/Blevins motion to accept. Motion is carried with unanimous vote. SLCIDA Resolution: Initial Project Resolution – Affinity Potsdam Cottages, LP. The developer and representatives from the local affected taxing jurisdictions (ATJs) appear to have consensus on the terms of the PILOT. The project will be built in two phases: Phase I – 20 buildings; Phase II – 30 buildings. The PILOT term is proposed at 12 years. Instead of an abatement percentage, the PILOT incorporates dollar figures based on an assessed value of approximately $5.5 million. The IDA will provide the local ATJs with consent resolutions and certificates. The IDA requires the unanimous consent of the local ATJs, thereby giving the ATJs a voice in the process. Once the consents are in place the IDA will hold its public hearing. LaBaff/Blevins motion to accept. Motion is carried with unanimous vote. NEW BUSINESS: None EXECUTIVE SESSION: Blevins/LaBaff motion to go into Executive Session at 8:30 AM to discuss current litigation with a specific company and the financial condition of a specific corporation. Return to Regular Session at 9:10 AM. ADJOURNMENT: Adjourned at 9:10 AM by unanimous consent. /s/ (Mr.) Lynn Blevins, Secretary