19 Commerce Lane, Suite 1, Canton, New York 13617
Phone: (315) 379-9806 Fax: (315) 386-2573
Patrick J. Kelly
Chief Executive Officer
High Peaks is a small winery located in the foothills of the Adirondack mountain range. During the past few years, owner and winemaker Matthew Whalen has established relationships with trusted vineyard managers from throughout the country. Because of this, the winery has gained the ability to obtain some of the best wine grape products from vineyards throughout the country including California, Washington and New York.
During 2011, its first year of operation, High Peaks produced and sold approximately 500 cases of wine to wholesale to local liquor retailers. By the end of that year it had run out of stock in three out of four of our offerings and gained a comfort level that it was creating a product with enough demand to expand the operation.
The winery would like to increase its production to 1,000 cases per year to continue to meet the growing demand of our products locally and to extend into new distributing areas in upstate New York. In order to do so it needed to upgrade some equipment to increase capacity and improve efficiency of our winemaking operation. In 2012 it worked with the St. Lawrence County IDA on an application to the USDA Rural Business Enterprise Grant program for funding to be used for the acquisition of equipment that would enable doubled production capability. The grant was awarded, equipment purchased, and as of August 1, 2012 the winery began leasing the equipment from the IDA.
In 2012 owner Matt Whalen purchased vacant land in the Town of Stockholm with the intention of planting vines and eventually building a facility to house our wine production on location. High Peaks Winery plans to move its winery location from where it’s currently leased to its vineyard site. The project includes the construction of a two story,
30’x50” structure, for the winery and tasting room. The additional space will enable increased production and attraction of customers to its tasting room.
High Peaks Winery applied to the St. Lawrence County IDA for Sales & Use Tax Exemption, Mortgage Recording
Tax Exemption, and Real Property Tax Exemption. Additionally, the winery applied for loan financing totaling
$73,000.
St. Lawrence County Industrial Development Agency Tax Exemptions..............................................................$41,156
St. Lawrence River Valley Redevelopment Agency loan financing.....................................................................$36,500
Greater Massena Economic Development Fund loan financing .........................................................................$36,500
 Jobs Maintained and Generated – This project will retain 1 and create 2-3 full-time equivalent jobs over the next three years.
 Other Financing Leveraged:
Company Equity...........................................................................................................................................$39,000
Bank Financing ..........................................................................................................................................$110,000

 Improve Corporate Performance: This project will double production capacity and allow expansion into a larger building footprint where the company will add a tasting room for direct sales to consumers in addition to continuing to serve their wholesale customers.

As required by Section 869-A3 of New York General Municipal Law.
ESTIMATED EXEMPTIONS:
Double click chart to enter data
EMPLOYMENT COMPARISON:
Do not include construction jobs relating to the Project.
Double click on chart to enter data
Pre-Project
1. Sales and Use Tax Exemption a. Amount of Project Cost Subject to Tax:
Sales and Use Tax Rate:
$173,000
7%
Employment Post-Project Employment
Total
Current New b. Estimated Exemption: $12,110
Jobs Jobs
2. Mortgage Recording Tax Exemption a. Projected Amount of Mortgage:
Mortgage Recording Tax Rate: b. Estimated Exemption:
$110,000
0.75%
$825
Full Time
Part Time
Seasonal
Total:
1
1
1
1
1
1
1
1
0
3
0
3
3. Real Property Tax Exemption
Property Location: a. Investment in Real Property
(Total Project Cost): b. Pre-project assessment: c. Projected post-project assessment d. Equalization Rate ( for reference only ) e. Increase in Assessed Value of Property
Stockholm Town
$158,000
$9,500
$100,000
92.00%
PAYROLL COMPARISON:
Double click on chart to enter data
Total Payroll
Before
Project
Total Payroll
1st Year after Project
Completion
Total Payroll
2nd Year after Project
Completion
Total Payroll
3rd Year after Project
Completion
Total New
Payroll f. Total Applicable Tax Rates per $1,000 g. Ten Year Total Taxes (e X f X 10) h. PILOT Payments with Standard IDA Pilot
(g X .25) i. Net Exemption Amount (g - h)
4. Interest Exemption (Bond Only ) a. Total Estimated Interest Expense
(assuming taxable interest) b. Total Estimated Interest Expense
(assuming tax exempt interest rate) c. Interest Exemption (a – b)
TOTAL ESTIMATED EXEMPTION
$90,500
$41.43
$37,494
$9,374
$28,121
$0.00
$0.00
$0.00
$41,056
$0 $35,000 $50,000 $65,000 $150,000
ESTIMATED OTHER BENEFITS:
Sales Tax Revenue
If the project will result in the manufacturing of selling of a new product, estimate the amount of annual sales taxes that will be generated on retail sales of the new product. Otherwise, enter “N/A”. $ 2,000
If the Project will result in increased production or sales of an existing product, estimate the amount of annual sales tax that will be generated on the retail sales of the increased production. Otherwise, enter “N/A”. $4 ,143
Real Property Taxes
Estimate the amount of annual real property taxes that will be payable on the Project (at the end of the PILOT
Agreement, if any). Otherwise, enter “N/A”. $ 3,431
What other benefits will the Project bring to the community and region?
It will employ local people, purchase products locally, and attract people into the area to spend money. It will also add excitement to the region.