Typeset from the PDF of the official document (read by OCR) — headings, motions and recorded votes are detected automatically, so spacing may differ from the original. The official copy governs.
Onondaga County Industrial Development Agency Regular Meeting Minutes June 12, 2018 A regular meeting of the Onondaga County Industrial Development Agency was held on Tuesday, June 12, 2018 at the 333 West Washington Street, Syracuse, New York in the large conference room on the first floor.
Patrick Hogan called the meeting to order at 8:00 am with the following:
PRESENT:
Patrick Hogan Steve Morgan Victor Ianno Janice Herzog Kevin Ryan
ABSENT:
Fanny Villarreal Susan Stanezyk
ALSO PRESENT:
Julie Cerio, OCIDA, Executive Director Isabelle Harris, Secretary Karen Doster, Recording Secretary, Agency Quante Wright, Office of Economic Development Tony Rivizzigno, Barclay Damon Law Firm Amanda Mirabito, Barclay Damon Law Firm Deb Parker, IMS, Inc.
Michael Weitzel, Air Innovations, Inc.
Tim Geraets, Feldmeier Dave Nutting, VIP Ken Bush, Onondaga County Legislature Mitch Latimer, Carpenters Union Jim Mason, Carpenters Union Lauryn LaBorde, Syracuse Central School District APPROVAL OF REGULAR MEETING MINUTES — MAY 21, 2018 Kevin Ryan stated the wavier conflict for Barclay Damon was not on agenda and asked is that allowed. Julie Cerio stated the project was already approved by the Board and they received all the benefits.
Kevin Ryan stated it should be on the agenda so people know it is on the agenda before it is. He stated it seems contrary to spirit of the letter of the law. Julie Cerio stated both Tony Rivizzigno and Kevin McAuliffe are attorneys and they know when conflicts exist. She stated this was someone hired after the fact. She stated she was not aware they were hired because it was done at the very last minute. She stated we could hold up a multi-million dollar project and put it on for next month. She stated the Board could have certainly asked if they wanted it but they accepted the fact it came in last minute. She stated when things come in last minute she brings them to the Board and the Board can table anything they want to.
Tony Rivizzigno stated things on the agenda are basically information for the Board to know what is coming up ahead of time. He stated that doesn’t prevent the Board from adopting any resolution once it is session. He stated to Kevin Ryan, unfortunately you weren’t here but it was discussed with the Board and everyone who voted was well aware of the situation. Patrick Hogan stated in the future we can be cognizant of it.
Julie Cerio stated if it happens before a project comes in it is a clear conflict but we have already given them all the benefits and just getting them through the process.
Upon a motion by Victor Ianno, seconded by Patrick Hogan, the OCIDA Board approved the regular meeting minutes of May 21, 2018. Motion was carried.
TREASURER’S REPORT Nate Stevens gave a brief review of the Treasurer’s Report for the month of May 2018. Upon a motion by Victor Ianno, seconded by Janice Herzog, the OCIDA Board approved the Treasurer’s Report for the month of May 2018. Motion was carried.
Nate Stevens gave a brief review of the Payment of Bills Schedule #419.
Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved the Payment of Bills Schedule #419 for $10,654.31. Motion was carried.
The Conflict of Interest statement was circulated and there were no comments.
IMMEDIATE MAILING SERVICES, INC. IMS, INC.
Deb Parker stated they neglected to add this in the original application. She stated they are growing and getting new machines with new software so they want the Rainbow Company to train 16 to 18 production employees. She stated it will be a 4 week time period over 3 months once the machines are in place. She stated IMS has been very successful and they are trying to pull down on costs incurred and job costs. She stated it is called Midnight and every employee needs to be trained on it. She stated even human resources will be using it to put in all the benefits to see the true cost of each job and where they are making money and not making money. She stated IMS has 200 employees and never had a human resources person and she was hired back in February. She stated she is going to get her certification which is part of this request as well.
Patrick Hogan stated he noticed IMS has a good focus on minority and disabled hiring. Deb Parker stated yes.
Patrick Hogan stated the training funds were also in consideration of safety too in moving machines around. Deb Parker stated yes.
Julie Cerio stated this is a reimbursable employee productivity grant for training and we pay up to half so they have some skin in the game. She stated they need to provide us with the list of employees who attended.
Patrick Hogan asked if a public hearing has been held for the first resolution. Julie Cerio stated yes.
Janice Herzog asked if IMS is working with any disability organizations in terms of construction in making sure that facility is able to handle it. Deb Parker stated the expansion yes and will be looking to accommodate those with disabilities, wheelchairs etc.
Janice Herzog stated there are some organizations at Syracuse University that work with people in the private sector looking to make sure their building is accommodating beyond just the basic. She stated she will talk to her after the meeting and give her some names at the University. Deb Parker stated that would be great.
Tony Rivizzigno stated the PILOT payment was approved but the resolution was not done. Upon a motion by Victor Ianno, seconded by Janice Herzog, the OCIDA Board approved a resolution authorizing the terms, execution and delivery of a Payment in Lieu of Tax Agreement for the Immediate Mailing Services, Inc. (IMS, Inc.) project. Motion was carried. Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved a resolution authoring the approval of up to $12,500 in employee training funds for IMS, Inc. through OCIDA Employee Productivity Program.
AIR INNOVATIONS, INC.
Michael Wetzel stated to date the renovation of the office space is complete. He stated it was completely gutted, rebuilt the offices, put in new windows, new furniture and café for the employees. He stated the plans for reorganization in the factory are complete. He stated all of their inbound and outbound material flow through the same loading dock which creates congestion and a problem in the production. He stated they would like to add a loading dock at the end of the building so material comes in one end and the finished goods leave the other end. He stated everything flows through in one linear fashion. He stated they just released the architectural to start their work on the new loading dock. He stated they are ready to kick it off and they are requesting a one year extension of time but no change in the agreement. He stated they expect to do the construction in December and the goal is to move during shutdown between Christmas and New Year’s. He stated they are asking for a one year extension in case plans fall through and may have to be moved until next summer.
Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved a resolution for a one year extension for the Air Innovations, Inc. project. Motion was carried. REALTOR RFP — DISCUSSION ITEM Julie Cerio stated there is a lot of interest in companies looking to locate here and we used to have staff who was a realtor with access to MLS but has retired. She stated we attempted a platform on our website so realtors could put their properties ther, have people search and send out a blast to realtors but we haven’t had much success. She stated we are constantly googling to figure out what is available but then it’s not updated, it’s not recent or it’s incorrect. She stated we would like to RFP for a realtor on an hourly basis so we can get someone to do this work. Patrick Hogan asked if the bids would come before the Board. Julie Cerio stated yes and the board would vote on them.
Kevin Ryan stated aren’t realtors typically paid on commission for sale. Julie Cerio stated yes but we are not interested in that because we don’t own the properties. She stated we want to see if we can get somebody who has access to the MLS interested in working on an hourly basis. Janice Herzog stated wouldn’t realtors want to do this because it would expand their business. Julie Cerio stated yes.
Victor Ianno asked what staff is looking for. Julie Cerio stated we used to have Linda McShane as part of staff that had access to the MLS so now we need someone that is able to access all the information a company is looking for immediately. Steve Morgan stated we need someone to monitor it and update for accuracy.
Kevin Ryan stated the CNY Realtor website, which is the website of the Syracuse Builder’s Association, has commercial listings, so can’t we go to that website and see what is available. Julie Cerio stated we reach out to realtors but we don’t always get calls back and we are spending an immense amount of time checking to see if they are updated. She stated companies want very specific things. She stated we started going out to buildings and tried to list them ourselves but it is taking up a ton of staff time. She stated for an hourly rate it would really benefit the office.
Victor Ianno stated this is not specific to market White Pine. Julie Cerio stated no it is not specific to White Pine but if we wanted to market White Pine we could certainly use them for it but we have a good handle on what is at White Pine.
Janice Herzog stated she thinks it is a great idea and helpful because you need someone who knows what’s going in this area. She asked it would seem like a commercial realtor would love to have that relationship with the Agency but do we have to pay them. She stated it seems like this is potential business for them and would want to be involved. Julie Cerio stated when someone is working for you, there is a quick response time.
Victor Ianno stated when staff gets the call for 150,000 sq. ft. building and we recommend a building to them, what is next step. Julie Cero stated she tours the buildings with the realtor, she gets in touch with the commercial realtor and the company will come in from out of town. She stated staff spends the day touring buildings with companies which she is still happy to do. Patrick Hogan stated why don’t we just send out the RFP and see what comes back. Patrick Hogan stated the RFP would list exactly what we expected of them. Julie Cerio stated yes.
Janice Herzog asked if the Board could see a draft of the RFP. Julie Cerio stated it will be sent out to the Board before it is sent to realtors. Patrick Hogan stated if anyone has any comments or questions to direct them to Julie.
Upon a motion by Janice Herzog, seconded by Steve Morgan, the OCIDA Board approved a resolution directing staff to move forward and explore the RFP for realtor. Motion was carried. WHITE PINE — DISCUSSION ITEM Julie Cerio stated we continue to move forward with White Pine and checking off the list of things needed to be done. She stated the sewer design and vibration studies are done and the next step is the gas and electric design work. She stated the electric is there on site but the gas line comes from about a mile down. She stated the design work will take about a year to 18 months. She stated we would like to move forward and the price tag is $750,000 and may be more. She stated Isabelle Harris had written a grant and we have received a promise from National Grid that if we go ahead with this they would refund us 50%. She stated there was discussions with the state that they would be willing to consider 20-30% so we would be paying roughly $250,000 for a million dollar study. She stated the study needs to be done because in order for anything to go there it needs gas and electric. She stated she would like to continue down the path so we are requesting the Board’s authorization to go ahead and do the study. Kevin Ryan asked what is being asking of the Board to vote on today. Julie Cerio stated to go forward with the study from National Grid for gas and electric.
Kevin Ryan asked how much it will cost. Julie Cerio stated they quoted us $750,000 but they promised to reimburse us half after the fact.
Kevin Ryan asked if we have it in writing. Julie Cerio stated no but we have had an ongoing working relationship with National Grid. She stated they have been great about reimbursing and giving us grant funds. She stated Isabelle Harris has been working hand in hand with them. Julie Cerio asked Isabelle Harris how much National Grid has given us for Roth site. Isabelle Harris stated $125,000 recently and another for over $100,000 for White Pine.
Victor Ianno stated what if that design is done and they have special requirements that don’t fit that. Julie Cerio stated this would take into account everything that needs to go in. She stated as far as special requirements go she has been told there won’t be any additional electricity that needs to go in there. She stated it is just how you get the lines from where the electric is a mile down the road to the site.
Victor Ianno asked if we have had any inquiries about the site. Julie Cerio stated we continue to be part of the New York Loves Nano and Isabelle Harris and Nate Stevens travel to SemiCon West and Europa every year. She stated they continue to learn more and more each year they go. 7 She stated there is a corridor of high tech manufacturing we are attempting to land something. She stated this isn’t something that happens overnight. She stated we are getting ourselves into a position to land something gigantic there and we are hopeful that will happen.
Victor Ianno stated once we get all the infrastructure ready, do we have a plan for the road. Julie Cerio stated there is already a design plan for the road and it is in the Town planning process. She stated they know there is problems with the road and that is another study that needs to continue and be updated.
Victor lanno asked if that is another expense for the Agency. Julie Cerio stated there could be but the money in the Agency account cannot be spent on very many things. She stated it is a good asset and there are not many sites as big as ours in New York that could land something big. Kevin Ryan stated the Board is being asked to spend $750,000 that is not an agenda item, was circulated on June 12 and we are hearing about it for the first time. He stated $750,000 is a lot of money based on vague promises that it might be reimbursed by National Grid or it might be reimbursed by the State. Patrick Hogan stated he doesn’t know how vague they are as they have already reimbursed us.
Kevin Ryan stated they are saying they will do it but happens if we don’t get it. He stated it is a big commitment to ask the Board to vote on without any notice. Patrick Hogan stated we have gone so far down the road with this property and we have a vision for this property. He stated right now without gas and electric it puts us behind the eight ball and we have to go ahead with this. Julie Cerio stated this is the next step in the process then the roads. She stated it is an expense but it’s something that needs to be done to move the site along.
Janice Herzog asked if we can get something in writing or see a response that was received in terms of the grant writing. Isabelle Harris stated she doesn’t have anything in writing at this point in time. Julie Cerio stated we can certainly ask.
Julie Cerio asked if the Board wants to move forward with the provision that they provide us with something in writing saying they are going to provide half.
Kevin Ryan asked why we don’t hold off on voting on this until we have more information to digest and consider. Julie Cerio stated ok but it just puts it off another month. Patrick Hogan stated he would prefer to move it forward provided we get reassurances that National Grid will provide the grant.
Victor Janno stated we are spending a lot of money on Hiawatha Boulevard and possibly committing to $750,000 and asked if we will run out of funding. Julie Cero stated we continue to take in fees and do bonds that give us fees. She stated we have a nice cushion and if we got to a point where she was worried she would certainly let the Board know or hold off on doing things but we are not anywhere near where we need to worry.
Patrick Hogan stated we can’t spend the money on just anything, Kevin Ryan stated it should be on the agenda for the Board to consider and vote on something like this.
Upon a motion by Janice Herzog, seconded by Steve Morgan, the OCIDA Board approved a resolution to move forward with the electric and gas study provided a letter of support is received from National Grid for 50% reimbursement. Kevin Ryan opposed. Motion was carried. Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board went into Executive Session at 8:45 to discuss legal issues. Motion was carried.
Upon a motion by Victor Janno, seconded by Kevin Ryan, the OCIDA Board adjourned executive session at 9:11 am. Motion was carried.
Julie Cerio stated the resolution before the board is to ask Feldmeier to submit an updated application for additional project costs. She stated the second resolution requested is to accept VIP’s offer to pay $11,000 for the non-local labor piece.
Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved a resolution asking Feldmeier Equipment to submit an updated application for additional project costs. Steve Morgan abstained. Motion was carried.
Upon a motion by Victor Ianno, seconded by Janice Herzog, the OCIDA Board approved a resolution to accept VIP’s offer to pay $11,000 for the non-local labor piece. Steve Morgan abstained. Motion was carried.
Upon a motion by Victor Ianno, seconded by Janice Herzog, the OCIDA Board adjourned the OVW Oe ie A. Cerio, Executive Director meeting at 9:13 am. Motion was carried.
10