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Onondaga County Industrial Development Agency Regular Meeting Minutes October 19, 2021 A regular meeting of the Onondaga County Industrial Development Agency was held on Tuesday, October 19, 2021 at 333 West Washington Street, Syracuse, New York in the large conference room on the first floor.
Patrick Hogan called the meeting to order at 8:20 am with the following:
PRESENT:
Patrick Hogan Janice Herzog Victor Janno Steve Morgan Susan Stanezyk Kevin Ryan Fanny Villarreal
ABSENT:
ALSO PRESENT:
Robert M. Petrovich, Executive Director Nate Stevens, Treasurer Nancy Lowery, Secretary Karen Doster, Recording Secretary Jeff Davis, Barclay Damon Law Firm Samantha Podlas, Barclay Damon Law Firm Carolyn Evans-Dean, Office of Economic Development Rebecca Shiroff, Office of Economic Development Len Rauch, Office of Economic Development Joseph Markert, DL Manufacturing, Inc.
James Breuer, TreyJay LOSO, LLC Brandon Jacobson, TreyJay LOSO, LLC John Switzer, SSC Cicero LLC David Spotts, SSC Cicero LLC William Lettier, NYCANNA, LLC Dennis Duval, NYCANNA, LLC Natalie Thompson, NYCANNA, LLC Matt Acomb, NYCANNA, LLC Brian Madigan, RPNY Solar 5, LLC Theresa Morgan, Armoured One, LLC Joe Morgan, Armoured One, LLC Kevin Schwab, CenterState CEO Mike Lisson, Grossman St Amour CPAs Briannah Lane, Grossman St Amour CPAs Mitch Latimer, Carpenter’s Union Kate Fiorello, Resident of Cicero Lauryn Miller APPROVAL OF REGULAR MEETING MINUTES — SEPTEMBER 14, 2021 Upon a motion by Janice Herzog, seconded by Victor Janno, the OCIDA Board approved the regular meeting minutes of September 14, 2021 meetings. Motion was carried.
TREASURER’S REPORT Nate Stevens gave a brief review of the Treasurer’s Report for the month of September 2021. Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved the Treasurer’s Report for the month of September 2021. Motion was carried.
Nate Stevens gave a brief review of the Payment of Bills Schedule #462.
Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved the Payment of Bills Schedule #462 for $540,362.44 and PILOT payments to Hinsdale Road Group, LLC for $525,000.00, Onondaga County for $140,434.14, Town of Camillus for $155,219.17, Village of East Syracuse for $21,346.86, Baldwinsville Central School District for $1,529,954.00, East Syracuse Minoa Central School District for $176,400.36, West Genesee Central School District for $531,012.95, City of Syracuse for $8,493.64 and Syracuse Central School District for $14,547.90. Motion was carried.
The Conflict of Interest was circulated and there were no conflicts reported.
Joseph Markert stated this is DL Manufacturing’s 25" year of operations. He stated they manufacture loading dock equipment and sell to US, Canada and Mexico and everything they do 2 is patented. He stated they are a small company but do business with large companies and they are rapidly growing. He stated they are looking to build 14,000 additional square feet for warehousing and manufacturing. He stated it has been a busy year and they are one of the fortunate ones.
Patrick Hogan stated the genesis of DL Manufacturing was lighting for loading docks. Joseph Markert stated yes and it is a great story. He stated the original owner got in touch with a lighting engineer at General Electric who helped design a proprietary halogen bulb for a dock light in an area where they were using incandescent bulbs. He stated fork lifts were going in and out of trailers and just that vibration would knock out the dock lights. He stated the halogen bulb could withstand the vibration and shock and to this day that is their signature product. Steve Morgan asked what spurred growth. Joseph Markert stated forklifts are going in and out and they developed a patented design so when you hit the door, the door releases from the tracks and it can be reset simply by opening and closing the door. He stated the door also eliminates all light gaps which is important with food and grocery distribution-and is their target market. Susan Stanezyk asked if this is a new building on a new site or an expansion and asked how many jobs will be added. Joseph Markert stated it is an expansion on their current site. He stated there will be 6 new jobs. He stated they currently lease 10,000 square feet off site and they take a truck back and forth.
Victor Ianno stated they are going to put it all under one roof and asked if they will have enough room when they are done. Joseph Markert stated he will probably be sorry he didn’t build more but this is his first time doing this. He stated he never thought of owning a business and the original owner approached him about buying this business. He stated he said alright I'll do this and never looked back.
Jeff Davis stated this project is an unlisted action under SEQR so a resolution was prepared that suggests there is no significant adverse environmental impact as a result of the proposed project and suggests a negative declaration under SEQR.
Nancy Lowery stated a public hearing was held and there were no comments.
Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved a resolution authorizing adoption of SEQRA negative declaration determination for the DL Manufacturing, Inc./Metz Properties LLC project. Motion was carried.
Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved a resolution authorizing the financial assistance the Agency will provide to include exemptions from certain sales and use taxes, real property taxes, real estate transfer taxes and mortgage recording taxes. Motion was carried.
Janice Herzog recused herself and left the meeting.
Jim Breuer stated the last time they were before the Board was in June. He stated LOSO was a vision that started in 2016. He stated they received unanimous SEQR approval in 2018 and subsequently received one vote short of unanimous approval from the Town of Cicero Planning Board. He stated since then there has been tremendous effort that has culminated in the receipt of building permits from the Town of Cicero in May of 2021. He stated these efforts included a subdivision approval, preparation of final design documents, site plan approval, utility coordination, contractor pricing and financing commitment all during the Covid slow down. He stated in short, the project is presently poised to break ground immediately inclusive of the jobs program with Syracuse Builds and pending the outcome of this meeting. He stated since the last discussion in June their major effort has been to obtain financing for the project. He stated they retained Gantry Financial Services who are a national mortgage brokerage firm with an office in Buffalo to assist them. He stated they reached out to 30 lenders on behalf of LOSO. He stated these included local regional and national banks. He stated at the end of the solicitation period LOSO ended up with only one legitimate lender interest. He stated when they inquired as to why there was such little interest, they said concerns to lack of long term viability of the Syracuse and New York State business climate. He stated concerns with the actual population losses of Central New York over the last decade and concerns with the high state and local real estate taxes. He stated concerns with the large percentage of population working for government versus the private sector. He stated presently the bank and LOSO have concluded negotiations and approvals and are ready to close. He stated the bank’s commitment expects the benefits that 4 are available through OCIDA. He stated as they face this last hurdle he wants to explain where they stand with rental projections. He stated there are 3 major components of costs that determine the rental rates. He stated cost of construction, cost of finance and cost of real estate taxes. He stated while Heuber Breuer believes they construct buildings efficiently, they are still faced with the same tremendous material price increases and availability that the US is experiencing coming out of Covid. He stated as noted earlier they were unable to obtain any competition in the finance market place and real estate taxes in New York State and locally are some of the highest in the country. He stated real estate taxes are a cost a developer can only pass along as part of the rent. He stated in the LOSO project specifically, the initial PILOT exemption in year one would keep the rents $184 per month less than if the PILOT was not provided. He stated specifically in year one with the PILOT a LOSO one bedroom apartment could be leased in the range of $1,200 to $1,500 a month. He stated those rents are comparable to the rents in the area. He stated if the PILOT is not in place these rents would increase $180 a month to a range of $1,380 to $1,680. He stated these rents reflect about a 10-12% increase over those comparable in the area. He stated it is evident in the case of LOSO the monetary reduction of taxes through PILOT benefits goes to the tenants directly. He stated even with the OCIDA PILOT benefits the LOSO project still brings $3,600,000 of new taxes to government over the initial 10 years more than if the project was not completed. He stated additionally he believes the Board is aware of the lack of available housing in the northern suburbs. He stated LOSO is a first good step to help reinforce OCIDA to assist our present and future employers that understand housing is a good component of good economic growth. He stated LOSO is strategically located to assist the County in its quest to secure large employers in the northern suburbs. He stated he thanks the Board for their time, thank you for the commitment to economic development and volunteer service to our County.
Victor Ianno stated the Board approved the DL Manufacturing/Metz Properties, a good small company, working hard and starting out. He stated as he looks at the LOSO project and reads all the comments from the public hearing, he thought this is a project that kick starts what is going to happen out on Route 31 and Route 11 in the Town of Cicero. He stated due to White Pine we are going to need housing. He stated this could be a show case for future development. He stated he read the complaints and the Town’s memo. He stated the Town approved this and had plenty of time to kill it right at the beginning. He stated all they had to do was say no but they approved it because it is a good project. He stated he thinks it probably has to do with politics and they decided they don’t want to support it any more. He stated the thing that he is really impressed with is $3,600,000 tax revenue to the school, the Town of Cicero and all the way down plus a fee for OCIDA. James Breuer stated the fee is $600,000. Victor Ianno stated there is going to be 300 jobs created while it is being built. He stated in regard to traffic, if White Pine gets going, every road out there is going to have to be reworked because it is going to be that big of a project so that is not a detriment to this project. He stated he thinks it is a good project and wishes them well with it.
Patrick Hogan stated he doesn’t think anyone here thinks it is not a great project, it is a great project but the question is should OCIDA incentivize it financially. He stated many of the arguments about White Pine and the lack of housing are incentives to build housing. Victor Ianno asked why not. Patrick Hogan stated we have granted housing projects that are in dilapidated buildings, Brownfield sites and things like that. He stated he drove by the location and it is a beautiful area. He stated there are obviously a lot of amenities that are probably unavailable to a lot of the apartment complexes. He stated he commends that and he thinks it is going to be a great addition for Cicero but whether this Board decides to financially incentivize it or not is another story. He stated his position has been clear on this.
Fanny Villarreal stated it was mentioned 400 jobs and only 4 are in the application. Victor Janno stated it is 300 construction jobs over 3 years.
Jim Breuer stated the payroll for this project for construction will be the equivalent of an expanded manufacturer hiring 10 people over 10 years. He stated that is very significant. He stated he thinks there might be some confusion relative to the amenities. He stated the news articles have called this a luxury project but this is a market rate project. He stated it is adjacent to a marina but the marina is not part of the project and the marina has been shut down for 2 years. He stated we all are striving as a community to keep our housing as affordable as possible. He stated the impact of the PILOT if it is not adopted will add $180 to the monthly rent or about $2,000 a year. He stated that further limits the pool of people who will be able to afford to live here. He stated under the PILOT implications, if they are enacted, the government will receive $3,600,000 and $2,100,000 of that goes to the school district.
Kevin Ryan stated he appreciates Mr. Breuer’s sentiments and understands what Mr. Ianno is saying. He stated Mr. Breuer talks about it being market rate apartments and if the PILOT is not 6 granted then the price per unit will be increased by $180. He stated that same argument can be made by every developer who seeks to do residential units in this community. He stated if the project gets a PILOT the rent will be lower per month whereas if we don’t it is going to be higher. He stated that puts the IDA in the business of subsidizing residential property and he does not think that is what the IDA should be doing. He stated it is a good project and he can support the mortgage tax abatement and the sales tax but he does not know if a PILOT is really appropriate. Jim Breuer stated if you read national publications, residential development is important to overall economic commercial development. He stated we are seeing that across the country. He stated we are seeing companies that are looking for places appropriate for them to build but they also need to house the 5,000 to 30,000 people. He stated he thinks it is important for the IDA and for the County to at least in the short term take a major leap, make a positive statement, reinforce and encourage residential developers to increase the amount of housing that is available in the County. He stated this project is S years old and it has taken that long to get through approvals. He stated it will take 2 years to build so it will be 7 years from start to finish. He stated so if 7 years becomes the norm of a large residential project, he would think we should be encouraging residential developers to come to the table and get their projects going. Patrick Hogan stated we have approved three different complexes; LeMoyne Manor, the Will and Baumer property and one in Camillus. He stated the Agency has been involved as far as housing especially when it comes to Brownfield and rehabilitation. James Breuer stated those projects are easier to finance because they have federal programs for the Brownfields and through New York State. He stated one thing we are all very conscious of is the historic tax credits for historic restorations like Will and Baumer and asked to please keep that legislation in place.
Susan Stanczyk stated she is in favor of the project and thinks the project is beneficial to the community. She stated she has no issues with that. She stated she thinks housing is something we should consider when it fits the need of the entire public and the community. She stated having said that, this is water front apartments and there is no way around that. She stated it is wonderful and they will be rented. She stated she agrees we can assist with sales tax and mortgage tax but she does not believe a PILOT is appropriate in this area. She stated she believes these apartments will be rented. She stated she understands the financing. She stated she took a long look. She stated she looked at apartments in her area not on the water and apartments on the water. She stated apartments are renting for $2,500 right now and they are not 7 in a location like this. She stated there is a definite need for affordable living and she thinks this dollar amount is not something the Board should approve.
Nancy Lowery stated a public hearing was held on June 2 and there were 16 comments. She stated 8 were in support of the project, 7 were opposed to the project and there was 1 general. She stated we received 23 written comments to our economic development email. She stated there were 21 opposed, 1 supported and 1 from the DOT inquiring about traffic which was not in support or opposed. She stated comments in support were regarding generating new revenue, addressing housing shortages, soaring prices of construction materials, the participation with the Syracuse Build Program and job creation. She stated those opposed felt if they couldn’t manage it without a PILOT they should not build it and no long term jobs are created. She stated there is a resolution from the Town of Cicero that used the OCIDA Housing UTEP criteria and stated why they believed the project didn’t align with the Agency Housing portion of the UTEP. Jeff Davis stated the project is fully approved by the Town of Cicero and they have all their permits and approvals. He stated that process conducted by the Town of Cicero included a full environmental review that was done and a SEQR negative declaration was issued May 14, 2018. He stated a coordinated SEQR review was conducted by the Town of Cicero and a public hearing was held with regard to the issues. He stated a series of studies were submitted including traffic studies, landscape reports, archeological reports, storm water pollution prevention etc. He stated a full robust SEQR review was done and that culminated in a negative declaration in which now they have all their permits and approvals and can construct. He stated at that time OCIDA was not considered an involved agency and we did not receive a letter to participate in the coordinated review which sometimes happens on projects. He stated typically in that case when a project comes before us we recognize the review that was done. He stated Agency counsel reviews the environmental review that was done by the lead agency at the time. He stated a resolution is drafted in accordance with the review that was done, etc. He stated in this case we have something similar, where the application before the Board, we were not an involved Agency. He stated the Agency did receive a letter from State DOT and there were questions from some of the Agency Board members with regard to the application submitted to OCIDA. He stated in the DOT letter they suggested a traffic study should be conducted. He stated counsel looked at this, the Town of Cicero did their SEQR review, a traffic impact study was done. He stated it was updated based upon further comments from the Town through the process. He stated a public hearing was held and County DOT was involved with the review. He stated State DOT elected not to participate at that time despite being invited. He stated from a SEQR standpoint, we do not see any change in the project from what was reviewed by the Town of Cicero and the traffic study was submitted. He stated he received a letter from the
applicant that recounted all of this and that a traffic study was done and one can be provided again to NYS DOT. He stated at this point there is no change in what was done so we are comfortable moving forward with a proposed resolution for a SEQR negative declaration with regard to the action before this Board which is the granting of financial benefits recognizing the project had a full environmental review conducted by the Town of Cicero, a traffic study was submitted, SEQR negative declaration was issued and there has been no change in the project. Upon a motion by Susan Stanczyk, seconded by Fanny Villarreal, the OCIDA Board approved a resolution authorizing adoption of SEQRA negative declaration determination for the TreyJay LOSO, LLC project. Janice Herzog recused. Motion was carried.
Upon a motion by Victor Ianno, seconded by Steve Morgan, the OCIDA Board approved a resolution authorizing financial assistance the Agency will provide to include exemptions from certain sales and use taxes. Janice Herzog recused. Motion was carried.
Upon a motion by Susan Stanczyk, seconded by Fanny Villarreal, the OCIDA Board approved a resolution authorizing financial assistance the Agency will provide to include exemptions from mortgage recording taxes. Janice Herzog recused. Motion was carried.
Jeff Davis stated there was a motion on the table by Victor Ianno and there was no second so the motion does not pass regarding the vote for real property tax abatement via a PILOT. Janice returned to the meeting.
John Switzer stated this project is in the Town of Cicero at 5827 McKinley Road and is a 5 megawatt facility. He stated they have been granted site plan approval and a negative declaration by the Planning Board. He stated they secured a decommissioning agreement with the Town and both the Town and the School District have provided letters of no objection for them to proceed with the PILOT Agreement with OCIDA. He stated this is their second project in the County.
Nancy Lowery stated we have a letter of support from the Town and the School District in support of the PILOT.
Jeff Davis stated this is a Type I action under SEQR and we are an involved agency. He stated the Town of Cicero is lead agency and granted a SEQR negative declaration for the project on October 26, 2020. He stated in recognition as our involved agency status we hereby affirm, accept and adopt the negative declaration that was issued by the Town of Cicero. Susan Stanczyk asked if there were any comments at the public hearing. Nancy Lowery stated no.
Upon a motion by Victor Ianno, seconded by Fanny Villarreal, the OCIDA Board approved a resolution authorizing adoption of SEQRA negative declaration determination for the SSC Cicero LLC project. Motion was carried.
Upon a motion by Susan Stanczyk, seconded by Victor Ianno, the OCIDA Board approved a resolution authorizing financial assistance the Agency will provide to include exemptions from certain real property taxes. Motion was carried.
John Switzer stated they are working with same financier which is GSRP Development Company X LLC and per previous PILOT agreements they have to make the Board aware of any change of control of the project company. He stated that control hasn’t occurred just yet but they are curious if rather than having to coming back for such approval if they can put forth the Board’s consideration a resolution for GSRP Development Company X LLC to take control of the project company.
Jeff Davis stated if you know the entity that it is going to transport to upfront and if it is GSRP Company X LLC then this Board could approve that at this time. He stated if it is anybody other than that or a future change then they would have to come to the Board. He stated if that is a request right now for the approval resolution that was just passed he would ask the Board to consider that and revote on the resolution to authorize a change in ownership down the road to 10 GSRP Development Company LLC. He asked John Switzer if that is what he is looking. John Switzer stated yes.
Jeff Davis stated as the Board knows solar applications have come back before us frequently because often times they don’t know who is going to be upfront and they are required to come back and do that. He stated we know this entity, we have reviewed this entity and we have approved a prior transaction for the sale of this entity by this same company so this Board could approve that transfer down the road based upon our prior review of this entity and not having to have them come back again in front of the Agency.
Robert Petrovich asked if there is any merit to having a sunset provision that has to occur in certain prescribed period time. Jeff Davis stated yes and he would say within a year of the transfer would make sense for a resolution for consideration. He stated anything outside of a year of the approval would have to come back before the Board for a transfer of ownership. He stated we need notification of when it happens. He stated this is the first we are hearing of this so if the Board is not comfortable with this we can have them come back at a later date. He stated if the Board is comfortable with modifying the resolution he can provide the language to include in it.
Robert Petrovich stated historically if they do come back Barclay Damon will vet the new ownership and it is really ministerial in terms of coming back for approval so if the Board wanted to do this either way that is fine but typically we have asked them to come back. He stated this is a unique circumstance and a courtesy to them.
Susan Stanczyk asked if the company has been vetted and if Counsel is comfortable. Jeff Davis stated the entity they are going to acquire has already been looked at previously because they have already done a transaction with us.
Robert Petrovich asked what happens if an intervening issue comes up in terms of this entity’s status. He stated he is concerned about approving it and something goes sideways with this entity that we are not aware of.
Patrick Hogan stated the precedence has been for projects to come back before the Board and he recommends that SSC Cicero project come back. The Board agreed.
11
William Lettier stated they currently operate in about 65,000 square feet and sell medical cannabis. He stated they are expanding 56,000 square feet. He stated they currently employ about 30 employees and have an immediate need for 10 more. He stated with the expansion, they looking at 20 if not 30 additional employees for the second expansion. He stated they have been there for 5 years and the lease brings them to the next 20 or so years. He stated their facility is going to expand at some point to 130,000 square feet. He stated they currently operate 4 dispensaries in the State and looking at an additional 4 more dispensaries. He stated they are asking the Agency for sales tax abatement. He stated as they went through their budget process they also suffered from the increase cost of materials. He stated the deal on materials coming in from the supply chain and the increase cost took their budget further than expected. He stated they are asking the Board for help.
Susan Stanczyk asked where the other facilities are located. William Lettier stated the dispensaries are located in Farmingdale, Queens, Middletown and Buffalo. He stated they are currently working on leases in Astoria and Ithaca and planning on going to Saratoga Springs. Victor Ianno asked if they are manufacturing. William Lettier stated yes and they grow the cannabis plants.
Victor Ianno asked if they are growing cannabis in the buildings they are looking to build. William Lettier stated they are currently growing in 3 grow rooms and they are going to add 4 additional grow rooms. He stated they are going to a new system where they are using double tier. He stated medical cannabis provides relief for a lot of folks whether you are suffering from chronic pain, can’t sleep, anxiety or PTSD. He stated he is a former Marine and he has friends that suffer from PTSD. He stated medical cannabis adds relief, it is not addicting to folks and they find a real benefit from it. He stated there is a need for their product.
Steve Morgan asked if they just supply cannabis for their own dispensaries or do they also supply others. Dennis Duval stated the New York State Department of Health allows them to supply wholesale to other registered organizations in New York State and they do that now. 12 Victor Ianno asked if they are only a wholesale manufacturer. William Lettier stated they also do retail.
Janice Herzog asked if there is a certain number of dispensaries allowable in New York State at this time. Dennis Duval stated there are currently 10 registered organizations in the State of New York.
Steve Morgan asked if there are 10 dispensaries or 10 manufacturing facilities. Dennis Duval stated there are 10 registered organizations that are licensed in the State of New York to vertically sell cannabis and distribute in the State of New York. He stated there are only 10 organizations. He stated it is totally vertical and they go from seed to sale. He stated they go from manufacturing to processing to retail and that is what the license allows them to do. Janice Herzog asked if they expect growth to change in the future. Dennis Duval stated they will have additional licenses and that is the reason for the expansion. He stated over the last 5 years they have had a great relationship with the Town of DeWitt, the State of New York and the DOH and they are in compliance with everything. He stated they have a regular ongoing conversations and visitors to their facility by law enforcement. He stated the fire department has been there and he encourages the IDA Board to come visit to see what they actually do there. He stated in the past 5 years they took a building that had been vacant for almost 15 years and put a lot of money into building that facility. He stated they used union workers to do that. He stated they made a commitment to do the right thing for the community and create jobs.
Janice Herzog asked if they produce the THC product. Dennis Duval stated yes.
Fanny Villarreal asked if they are the only local dispensary. Dennis Duval stated they are the only local cultivation facility but there is a dispensary in Liverpool and one on Erie Boulevard. He stated the original owners of NYCANNA decided to locate here in Onondaga County as opposed to other places because they were all residents of this County except for one. He stated they brought something to Onondaga County that was a new industry and it has grown. Patrick Hogan asked if they will be able to segway into the recreational end and if so would it be a different license. Dennis Duval stated yes and it would be the same license that they already have.
13 Janice Herzog asked if they wholesale out of state. Dennis Duval stated no and they are not legally allowed to do that.
Susan Stanczyk stated they cultivate the cannabis in Onondaga County and asked if they use local farms to grow it. Dennis Duval stated everything is grown in the facility. Susan Stanczyk asked if they partner with any farms. William Lettier stated no and they are their own farm.
Victor Ianno asked where they are located. Dennis Duval stated they are located in the New Venture Gear building next to FedEx.
Jeff Davis stated the State requires a level of security for these facilities.
Jeff Davis stated there are no other involved agencies that they need permits from. He stated they don’t need permits from the Town of DeWitt. He stated the Agency action requires a SEQR determination so the resolution is OCIDA to be lead agency for SEQR purposes so we will make our own SEQR determination prior to our eventual determination with regard to the benefits. He stated there is nothing going on outside the facility and everything is inside so SEQR is relatively straight forward but we are still required to make a determination under NYS law. He stated the first resolution is for this Board to declare its intent to be lead agency for SEQR purposes. Upon a motion by Victor Ianno, seconded by Janice Herzog, the OCIDA Board approved a resolution declaring its intent to be the lead agency for purposes of a coordinated review pursuant to SEQRA for the NYCANNA LLC project. Motion was carried.
Upon a motion by Susan Stanczyk, seconded by Steve Morgan, the OCIDA Board approved a resolution authorizing a public hearing for the NYCANNA, LLC project. Motion was carried.
Brian Madigan stated he has a short slide presentation for the Board to review. He stated the project received approval from the Manlius Town Board on March 8. He stated the Manlius 14 Town Board also declared the project an unlisted action for purposes of SEQR and did an uncoordinated review. He stated they received their negative declaration with respect to the SEQR on March 8 as well. He stated one of the conditions of the approval was to clear some of the debris and equipment on the project site. He stated they did that in April last year. He stated in terms of purpose and need of the PILOT they are seeking a PILOT Agreement to provide surety with respect to setting an expectation for their investors in terms of their annual tax payment. He stated they have requested as well a mortgage recording tax benefit and sales and use tax exemption. He stated he believes the Board has all the information in the packet with respect to the benefits of the project requested. He stated they have letters of support from Onondaga County, East Syracuse Minoa School District and the Town of Manlius. He stated it is a relatively small project being 1.6 megawatts on about 7 acres of land off of Kirkville Road in the Town of Manlius.
Nancy Lowery stated we have a letter from the School District and the Town in support of the PILOT for this project.
Susan Stanczyk stated in the application it says they can’t commit to getting products from Onondaga County. She stated this is the first she has seen this on any of the solar applications. Robert Petrovich stated we do have in our Local Access Policy projects have to make a good faith effort and clear demonstration of what they have done and explain why they can’t find the labor or materials in the area. He stated we have granted waivers in the past on some portions of projects where there is specialized equipment, installation or acquisition that can’t be procured locally or will void warranties things of that nature. He stated this is their first meeting but the Board will have to approve what exactly they are proposing to make sure that it comports with the Local Access Policy.
Nancy Lowery stated she did respond to Brian Madigan that the project would have to come back to the Board if they wanted some kind of waiver.
Upon a motion by Susan Stanczyk, seconded by Victor Janno, the OCIDA Board approved a resolution authorizing a public hearing or the RPNY Solar 5, LLC project. Motion was carried. 15
Samantha Podlas stated the Agency undertook the project in 2019 for North Midler Properties LLC and Armoured One LLC. She stated the project consisted of the acquisition of an interest in land located at 386 North Midler Avenue in the City of Syracuse and the renovation of the building on the land which provides space for the manufacturing of security glass, security film and related products as well as the development of training, security assessments and products that protect schools from active shooter attacks. She stated in order to finance the project North Midler obtained a loan from the Pathfinder Bank and in connection the Agency joined in the execution of a mortgage and security agreement as well as conditional assignment of rents and leases. She stated she has been informed by North Midler that they intend to refinance the loan in an amount not to exceed $1,718,620. She stated the loan is going to be secured by DAP Mortgage and Security Agreement, a mortgage consolidation and modification agreement and a conditional assignment of leases and rents. She stated the resolution authorizes execution and delivery by the Agency of these agreements and delegates to the Agency’s authorized representatives to approve the final form upon consultation with Agency Counsel. Upon a motion by Susan Stanczyk, seconded by Fanny Villarreal, the OCIDA Board approved a resolution authorizing execution and delivery of documents for the Armoured One, LLC/North Midler Properties, LLC project. Motion was carried.
Samantha Podlas stated this request relates to a project the Agency first undertook in 2014 for Hinsdale Road Group. She stated the project involves an undeveloped 67 acre parcel of land located at Bennett and Hinsdale Road in the Town of Camillus and the construction of a 500,000 square feet mixed use lifestyle center. She stated Hinsdale subleases a portion of the land to Canal Crossing Apartments owner KOFP LLC with respect to the development of the apartment complex. She stated the sublease, which is called the ground lease, is subject to the IDA documents. She stated in 2019 Canal Crossing obtained a short term bridge loan and the Agency entered into a PILOT agreement required by the lender due to the indirect benefits Canal Crossing received from OCIDA. She stated Canal Crossing now intends to permanently finance the apartment complex and the resolution authorizes the Agency to execute and deliver the 16 recognition agreement and any related documents requested by the lender and delegate to the Agency’s representatives to approve final form upon consultation with Agency Counsel. Patrick Hogan asked if the apartment buildings are existing. Samantha Podlas stated her understanding is the apartments are existing and they are turning their short term bridge loan into permanent financing.
Patrick Hogan asked if there is a physical change to the makeup of the project. Samantha Podlas stated no. Jeff Davis stated it is just a refinance.
Upon a motion by Victor Ianno, seconded by Janice Herzog, the OCIDA Board approved a resolution authorizing execution and delivery of documents for the Hinsdale Road Group, LLC project. Motion was carried.
MORGAN B’ VILLE APARTMENTS, LLC) Samantha Podlas stated this project the Agency first undertook in 2015 on behalf of Morgan B- Ville Apartments LLC. She stated the project consisted of the construction of 17 three story apartments completed in 2 phases and consisted of 442 luxury apartments located at 197 Downer Street in the Village of Baldwinsville. She stated this has come before the Agency a few times. She stated in November of 2019 the Agency approved a name change to The Landings at Meadowood Apartments owner KOFP LLC. She stated this company has obtained a loan from the Prudential Insurance Company of America as well as a loan from PGIM Real Estate Finance. She stated at that time the Agency joined in the execution of mortgage and security agreement and a consolidation and modification agreement. She stated the Agency has been informed of the intent to refinance this loan and with a loan in the principal of not to exceed $44,635,000 and this resolution authorizes the Agency to execute and deliver agreements and related documentation and delegates to the Agency’s authorized representatives to approve the final form upon consultation with Agency counsel.
17 Upon a motion by Victor Ianno, seconded by Susan Stanczyk, the OCIDA Board approved a resolution authorizing execution and delivery of documents for the Landings at Meadowood Apartments Owner KOFP LLC (f/k/a Morgan B-Ville Apartments, LLC) project. Motion was
Steve Morgan asked for a quick synopsis from Nate Stevens on any changes. Nate Stevens stated there were no changes from prior years to this year.
Upon a motion by Victor Ianno, seconded by Susan Stanczyk, the OCIDA Board approved a resolution approving the draft Agency 2022 budget. Motion was carried.
Upon a motion by Susan Stanczyk, seconded by Steve Morgan, the OCIDA Board went into Executive Session at 9:24 am to discuss the potential acquisition of lands and contracts. Motion was carried.
Upon a motion by Susan Stanczyk, seconded by Victor Janno, the OCIDA Board adjourned Executive Session at 9:49 am. Motion was carried.
Jeff Davis stated consistent with prior actions with regard to the White Pine Park expansion on July 27, 2021 the Agency adopted its Findings Statement and that Findings Statement contemplated a project and acquisition of lands including the lands subject to the foregoing resolutions. He stated the Draft Supplemental Generic EIS and the Final Supplemental Generic EIS and Findings Statement adopted by the Agency evaluated the relevant impacts, facts and conclusions associated with the acquisition of additional acreage including the properties subject to the foregoing resolutions to accommodate the expansion of the park. He stated the Agency determined that the project from all reasonable alternatives is one that minimizes or avoids 18 adverse environmental affects to maximum extent possible that includes the acquisition of additional acreage of land including the property and the acquisition of the subject properties will be carried out in accordance with the conditions established in the Final Supplemental GEIS and in the Findings Statement thus avoiding, minimizing or mitigating any reasonably practicable adverse environmental impacts.
Upon a motion by Victor Janno, seconded by Susan Stanczyk, the OCIDA Board approved a resolution authorizing the adoption of SEQR determination. Motion was carried.
Upon a motion by Victor Ianno, seconded by Susan Stanezyk, the OCIDA Board approved a resolution authorizing the Executive Director to enter into purchase contracts and any related documents with respect to eleven parcels of property. Motion was carried.
Upon a motion by Victor Ianno, seconded by Susan Stanczyk, the OCIDA Board adjourned the meeting at 9:52 am. Motion was carried.
Nancy Lovey, Secretary — 19