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PHONE: 315.435.3770 FAX: 315.435.3669 ONGOVED.COM Meeting Agenda November 9, 2021 8:00 AM Call to Order the Meeting of the Agency A. Approval of Minutes-October 6 & October 19, 2021 B. Treasurer’s Report C. Payment of Bills D. Conflict of Interest Action Items
NYCANNA, LLC is proposing to expand their facility with an expansion of 56,834 square feet of space. The facility is located in the Town of Dewitt. Agency benefits requested include exemptions from certain sales and use taxes.
Agency Action Requested:
a. A resolution of the Board to authorize adoption of SEQRA determination.
b. A resolution of the Board authorizing the financial assistance the agency will provide. Agency benefits requested include exemptions from certain sales and use taxes Representative: William Lettier, NYCANNA, LLC
RPNY Solar 5, LLC is proposing a 1.6 MW Solar energy system farm located on 6.95 acres in the Town of Manlius. The applicant is requesting exemptions from certain sales and use taxes, real property taxes and mortgage recording taxes.
Agency Action Requested:
a. A resolution of the Board to authorize adoption of SEQRA determination.
b. A resolution of the Board authorizing the financial assistance the agency will provide. Agency benefits requested include exemptions from certain sales and use taxes, real property taxes and mortgage recording taxes.
Representative: Brian Madigan, Project Developer, Renewable Properties
SSC Cicero LLC is requesting the Board to consent to the sale of its membership interests.
Agency Action Requested:
a. A resolution of the Board consenting to the sale of membership interest of a project
applicant. Representative: John Switzer, Managing Member, Summit Solar Capital, LLC
COR Van Rensselaer Street Company II, LLC and COR Van Rensselaer Street Company III, Inc. are requesting a one-year extension of the sales and use tax exemption in connection with Parcels B2-4 and C-2, Inner Harbor Project.
Agency Action Requested:
a. A resolution of the Board authorizing the extension of the sales and use tax exemption for COR Van Rensselaer Street Company II, LLC and COR Van Rensselaer Street Company III, Inc.(COR Inner Harbor Company, LLC Sub Project 1) Representative: Catherine Johnson, CEO, COR Development Company, LLC Executive Session
Authorization to enter into a purchase contract for a parcel of property.
Agency Action Requested:
a. A resolution of the Board authorizing the adoption of a SEQRA determination. b. A resolution of the Board authorizing the Executive Director to enter into a purchase contract and any related documents with respect to a parcel of property. Representative: Robert Petrovich, Executive Director, OCIDA Adjourn 2
Onondaga County Industrial Development Agency Special Meeting Minutes October 6, 2021 A Special meeting of the Onondaga County Industrial Development Agency was held on Wednesday, October 6, 2021 at 333 West Washington Street, Syracuse, New York in the large conference room on the first floor and Zoom.
Patrick Hogan called the meeting to order at 8:06 am with the following:
PRESENT:
Patrick Hogan Janice Herzog Victor Ianno Susan Stanczyk Kevin Ryan Fanny Villarreal
ABSENT:
Steve Morgan
ALSO PRESENT:
Robert Petrovich, Executive Director Nancy Lowery, Secretary Nate Stevens, Treasurer Karen Doster, Recording Secretary, Agency Carolyn Evans-Dean, Office of Economic Development Rebecca Shiroff, Office of Economic Development Jeff Davis, Barclay Damon Law Firm Patrick Hogan shared information as to how the meeting will be conducted.
The Conflict of Interest was circulated and there were no conflicts reported.
Upon a motion by Victor Ianno, seconded by Fanny Villarreal, the OCIDA Board went into Executive Session at 8:08 am to discuss the potential acquisition of lands and contracts. Motion was carried.
Upon a motion by Janice Herzog, seconded by Fanny Villarreal, the OCIDA Board adjourned Executive Session at 8:27 am. Motion was carried.
Jeff Davis stated the 7 actions before the Board are the authorization to execute purchase sale agreements or option agreements consistent with the findings statement this Board adopted in the Generic Supplemental Environmental Impact Statement and that this Board adopted July 27 for the expansion of the White Pine Commerce Park project. He stated the project included the acquisition of property and the acquisition was in the SEQR review including the evaluation of relevant impacts, facts and conclusions associated with the expansion of the park. He stated the Draft Supplemental GEIS, the Final Supplemental GEIS and the 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 these resolutions to accommodate the expansion of the park. He stated the Agency determined that the project including the acquisition of additional acreage, including these properties from among reasonable alternatives, is one which minimizes and avoids adverse environmental effects to the maximum extent practical and the acquisition of these properties will be carried out in accordance with the conditions and thresholds established in the Final Supplemental GEIS and/or the Findings Statement thus avoiding, minimizing or mitigating as reasonably practical the adverse environmental impacts. He stated that is the SEQR resolution before the Board.
Upon a motion by Susan Stanczyk, seconded by Victor Ianno, the OCIDA Board approved a resolution authorizing adoption of SEQRA determination consistent with previously adopted Findings Statement. Motion was carried.
Jeff Davis stated the resolution is authorizing the executive director to enter into and exercise option agreements, purchase contracts and any related documents with respect to the 7 parcels. Upon a motion by Janice Herzog, seconded by Victor Ianno, the OCIDA Board approved a resolution authorizing the Executive Director to enter into purchase contracts and any related documents with respect to seven parcels of property. Motion was carried.
2 Upon a motion by Victor Ianno, seconded by Janice Herzog, the OCIDA Board adjourned the meeting at 8:30 am. Motion was carried.
_________________________________ Nancy Lowery, Secretary 3
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 Ianno Steve Morgan Susan Stanczyk 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 Ianno, 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.
2 Joseph Markert stated this is DL Manufacturing’s 25th year of operations. He stated they manufacture loading dock equipment and sell to US, Canada and Mexico and everything they do 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 Stanczyk 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.
3 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 4 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 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 5 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 Ianno 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.
6 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 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 5 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 7 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 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 8 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 9 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 10 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 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.
11 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.
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.
12 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. 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. 13 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.
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. 14
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 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.
15 Upon a motion by Susan Stanczyk, seconded by Victor Ianno, the OCIDA Board approved a resolution authorizing a public hearing or the RPNY Solar 5, LLC project. Motion was carried.
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 16 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 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
carried.
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 Ianno, 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 18 determined that the project from all reasonable alternatives is one that minimizes or avoids 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 Ianno, 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 Stanczyk, 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 Lowery, Secretary 19
PHONE: 315.435.3770 • FAX: 315.435.3669 October 31, 2021
Revenue / Expense / Income Current Period Current YTD Amount Change to Budget Operating Revenue 45,835 1,630,627 1,646,000 (15,373) Administrative Expense 46,649 433,223 1,008,000 (574,777) Operating/Program Exp. 50,231 766,239 638,000 128,239 Net Ordinary Income (51,045) 431,165 - 431,165 Current Assets Current YTD Prior YTD Total Cash 2,650,898 5,035,525 Less Pass Through Received - - Available Cash 2,650,898 5,035,525 Receivables (less pass through rec.) 236,524 949,024 Grant Reimbursements - - Total 2,887,422 5,984,549 Reserve for Contracts County Operations 2021 574,777 333 W. Washington St 2021 Rent 21,424 OBG WPCP CO #4 Additional Studies 336,856 JMT 800 Hiawatha Engineering 10,234 Barclay Damon WPCP Options - Total 943,291 Receivables 0-120 days 14,500 > 120 days 222,024 Total 236,524 Onondaga County Industrial Development Agency Profit and Loss October 2021
Income
2116.1 Agency Fees 35,500.00 2116.2 Application Fees 4,000.00 Total 2116 Fees 39,500.00 2655 Other Operating Revenue 384.74 Total 500 Operating Revenue 39,884.74
2401 Interest Income 41.59 501.1 Subsidies Grants Donations 5,909.10 Total 501 Non-Operating Revenue 5,950.69 Total Income $45,835.43 GROSS PROFIT $45,835.43 Expenses
6402 Rent 14,157.72 6407 Administrative Expense 46,649.49 6408 Meeting Expenses 407.92 6409 Conference Attendence 310.01 6410 Office Expense 1,705.26 Total 6400 Operating Expense 63,230.40
6460 IDA General Legal 4,012.50 6480 Roth Legal 956.25 Total 6450 Barclay Damon 4,968.75 Total 6440 Legal Fees 4,968.75
6510.4 Other Expenses 379.29 6510.6 Taxes/SDC 4,228.68 6510.7 WPCP Marketing 17,531.77 6511 WPCP Closing Costs 6,541.50 Total 6510 White Pine Commerce Park 28,681.24 Total 6500 Agency Program Expenses 28,681.24 Total Expenses $96,880.39 NET OPERATING INCOME $ -51,044.96 NET INCOME $ -51,044.96 Page 26 Accrual Basis Wednesday, November 3, 2021 01:40 PM GMT-04:00 1/1 Onondaga County Industrial Development Agency Balance Sheet As of October 31, 2021
Current Assets Bank Accounts 200 Cash 0.00 200.1 Cash - M & T Checking 1,769,410.76 200.2 Cash - M & T Money Maker Savings 890,395.42 200.4 Destiny USA Restricted Cash -8,957.82 210 Petty Cash 50.00 Total 200 Cash 2,650,898.36 Total Bank Accounts $2,650,898.36 Accounts Receivable 380 Accounts Rec.
380.6 A/R Fees, Lease & PILOT 14,499.99 Total 380 Accounts Rec. 14,499.99 Total Accounts Receivable $14,499.99 Other Current Assets 391 Long Tern Receivable 222,024.00 Total Other Current Assets $222,024.00 Total Current Assets $2,887,422.35 Page 27 Accrual Basis Wednesday, November 3, 2021 01:41 PM GMT-04:00 1/3 Onondaga County Industrial Development Agency Balance Sheet As of October 31, 2021
Fixed Assets
101 White Pines Commerce Park 4,855,401.50
101.101 CHA GEIS 1 267,452.05 101.102 CHA GEIS 2 219,439.36 101.104 GEIS Reg Plan Board Overview 19,797.74 Total 101.1 WPCP GEIS 506,689.15 101.2 WPCP Legal 69,774.25 101.3 Engineering Services 52,675.00 101.301 Temporary Access 4,055.44 101.4 Environmental/Demo Services 10,318.98 Total 101.3 Engineering Services 67,049.42
101.501 Land Purchases 1,160,063.57 101.502 Closing Costs 3,168.14 Total 101.5 Land Acquisition Costs 1,163,231.71 Total 101 White Pines Commerce Park 6,662,146.03 106 North Salina Properties 0.00 106.1 435 North Salina 17,083.55 106.3 435 North Salina Building 634,421.53 Total 106 North Salina Properties 651,505.08 107 800 Hiawatha 604,840.42 Total 100 Land 7,918,491.53
104.1 Office Furniture 1,429.00 104.2 Equipment 4,588.00 Total 104 Machinery & Equipment 6,017.00 211 A/D Office Furniture -2,862.00 213 A/D Buildings -81,335.00 Total Fixed Assets $7,840,311.53 Other Assets 240 Blue Sky Redevelopment 1,641.76 Total Other Assets $1,641.76 TOTAL ASSETS $10,729,375.64 Page 28 Accrual Basis Wednesday, November 3, 2021 01:41 PM GMT-04:00 2/3 Onondaga County Industrial Development Agency Balance Sheet As of October 31, 2021
Liabilities Current Liabilities Other Current Liabilities 600 Accounts Payable 0.00 600.1 Due to Related Party - OED 433,222.63 600.206 Mileage Reimbursement 92.34 600.208 BlueRock Energy Agreement Deposit 25,000.00 600.209 Syracuse Rail Overpayment 500.00 600.3 Onondaga County Loan 310,770.18 Total 600 Accounts Payable 769,585.15
603 PILOT Pass Thru 0.01 604 Other Pass Thrus 74,063.70 Total 601 PILOT and Pass Thru Payable 74,063.71 Total Other Current Liabilities $843,648.86 Total Current Liabilities $843,648.86 Total Liabilities $843,648.86 Equity 3900 Equity Unreserved 6,735,894.07 3901 Equity-Investment Fixed Assets 2,345,838.63 463 Reserve For Contracts 943,291.22 465 Equity - Unreserved -570,462.22 Net Income 431,165.08 Total Equity $9,885,726.78 TOTAL LIABILITIES AND EQUITY $10,729,375.64 Page 29 Accrual Basis Wednesday, November 3, 2021 01:41 PM GMT-04:00 3/3
PAYMENT OF BILL - SCHEDULE #463 November 9, 2021
1. MAUREEN A, MATTHEWS* $ 100,000.00 Deposit in Connection with purchase of Lot 70 2. BARCLAY DAMON LLP** $ 310,770.18 Land Purchase 3. BARCLAY DAMON LLP $ 2,250.00 Inv#5144042, General Legal thru 9-30-21 4. RAMBOLL AMERICAS ENGINEERING SOLUTIONS, INC. $ 143,623.30 Inv#1940007305, 1940007688, 1940008330 & 1940008899, WPCP Engineering 5. ADVANCE MEDIA NEW YORK $ 87.50
6. MACNY $ 1,010.00 Inv#10855, Annual Membership 7. PARK STRATEGIES, LLC $ 2,500.00 Inv#16585381, October 2021 Consulting 8. DUSTY'S OUTDOOR SERVICE $ 4,900.00 WPCP Mowing 9. FEDEX $ 23.04 Inv#7-543-64822, Shipping TOTAL $ 565,164.02 * Ratification of Check dated October 20, 2021 ** Ratification of Check dated October 25, 2021 1
DESCRIPTION TERM CONTRACT PAID OUTSTANDING ONONDAGA COUNTY OED 2021 1-1-21-12-31-21 $1,008,000.00 $433,222.63 $574,777.37 333 W. WASHINGTON ST 2021 RENT 1-1-21-12-31-21 $65,000.00 $43,576.10 $21,423.90 OBG WPCP CO #4 ADDITIONAL STUDIES 11-30-18-12-31-21 $800,000.00 $463,143.95 $336,856.05 JMT 800 HIAWATHA ENGINEERING 2/13/19-12-31-21 $25,000.00 $14,766.10 $10,233.90 BARCLAY DAMON WPCP OPTIONS 11/30/20-12-31-21 $200,000.00 $200,000.00 $0.00 $2,098,000.00 $1,154,708.78 $943,291.22
AGENCY FEES RECEIVABLE $14,500.00 ACCOUNTS RECEIVABLE GENERAL $0.00 QUASI-EQUITY LOAN RECEIVABLE $0.00 GRANTS RECEIVABLE $0.00 LONG TERM RECEIVABLE $222,024.00 TOTAL $236,524.00 Onondaga County Industrial Development Agency Project Summary DRAFT 10/22/2021 1. Project NYCANNA, LLC 2. Project Number 3101-21-14A 3. Location Town of Dewitt 4. School District East Syracuse-Minoa School District
5. Tax Parcel(s) 0027.02-11.1 Village 7.Total Project Cost $ 15,500,000 8. Total Jobs 69 Land $ - 8A. Job Retention 39 Site Work $ 300,000 8B: Job Creation 30 Building $ 7,000,000 (Next 5 Years) Furniture & Fixtures $ 500,000 Equipment $ 5,300,000 Equipment Subject to NYS Production Exemption $ 2,000,000 Engineering/Architecture Fees $ 200,000 Financial Charges $ - Legal Fees $ - Other $ 100,000 Cost Benefit Analysis NYCANNA, LLC Project Description Fiscal Impact ($) Estimated Abatement Cost $800,000 Sales Tax Abatement $800,000 Mortgage Recording Tax Abatement $0 Real Property Tax Relief $0 New Investment $9,632,500 PILOT Payments $0 Project Wages (10 years) $0 The facility expansion consists of an additional 56,834 square feet of space, with 35,000 square Construction Wages $2,176,500 feet (est.) designated for cultivation operations, and 21,834 square feet (est.) designated for product storage, staging, shipping, and receiving. The facility is located in the Town of Dewitt Employee Benefits (10 years) $0 Project Capital Investment $7,300,000 Agency Fees $156,000 Benefit:Cost Ratio 12.04 :1 Copyright Onondaga County Industry Development Agency, All Rights Reserved
1. Fill in all blanks using “none”, “not applicable” or “not available”. If you have any questions about the way to respond, please call the Onondaga County Industrial Development Agency at 315-435-3770. 2. If providing an estimate put “(est.)” after the figure or answer. If more space is needed to answer any specific question, attach a separate sheet.
3. If the OCIDA Board approves benefits, it is the company’s responsibility to obtain and submit all necessary forms and documents. (ST-60, PILOT Agreement) 4. When completed, return this Application by mail or fax to the Agency at the address indicated below. A signed application may also be submitted electronically in PDF format to Nate Stevens at nstevens@ongov.net. An Application will not be considered by the Agency until the Application fee has been received.
5. The Agency will not give final approval for this Application until the Agency receives a completed NYS Full Environmental Assessment Form concerning the Project, which is the subject of this Application. The form is available at http://www.dec.ny.gov/permits/6191.html. 6. Please note the Public Officers Law declares all records in the possession of the OCIDA (with certain limited exceptions) are open to public inspection and copying. If the Applicant is of the opinion that there are elements of the Project which are in the nature of trade secrets which, if disclosed to the public or otherwise widely disseminated, would cause substantial injury to the Applicant’s competitive position, this
Applicant must identify such elements in writing and request that such elements be kept confidential. In accordance with Article 6 of the Public Officer’s Law, the OCIDA may also redact personal, private, and/or proprietary information from publicly disseminated documents.
7. The Applicant will be required to pay the Agency Application fee and, if accepted as a project of the agency, all administrative and legal fees as stated in Section VI of the Application.
This Application Local Access Agreement Employment Plan Conflict of Interest A feasibility statement indicating the need for the requested benefits Description of project, Site Plans/Sketches, and Maps NYS Full Environmental Assessment Form A check payable to the Agency in the amount of $1,000 A check payable to Barclay Damon LLP in the amount of $2,500 9. This Application was adopted by the OCIDA Board on November 19, 2019.
Onondaga County Industrial Development Agency Page 1 It is the policy of the Agency that any project receiving benefits from the Onondaga County Industrial Development Agency will utilize 100% local contractors and local labor for the construction period of the project unless a waiver is granted in writing by the Agency. Return to:
Onondaga County Industrial Development Agency Attn: Nate Stevens 333 W. Washington Street, Suite 130 Syracuse, NY 13202 Phone: 315-435-3770 | Fax: 315-435-3669 nstevens@ongov.net
Please answer all questions. Use “None”, “Not Applicable” and “See Attached” where necessary.
A) Applicant information-company receiving benefits:
Applicant Name: NYCANNA, LLC
Applicant Address: 6600 New Venture Gear Dr, East Syracuse 13057 Phone: (917) 842-0570 Fax: Not Applicable https://www.shopbotanist.com/ Website: E-mail: William.lettier@acreageholdings.com Federal ID#: 30-0963283 NAICS: 325411 State and Year of Incorporation/Organization: __________________________________________
Will a Real Estate Holding Company be utilized to own the Project property/ facility? ☐Yes ☐No What is the name of the Real Estate Holding Company: Not Applicable Federal ID#: Not Applicable State and Year of Incorporation/Organization: Not Applicable List of stockholders, members, or partners of Real Estate Holding Company:
________________________________________________________________________________ Not Applicable B) Individual Completing Application:
Name: William Lettier Title: General Manager, NYCANNA, LLC Address: 6600 New Venture Gear Dr, E Syracuse 13057 Phone: 917-842-0570 Fax: Not Applicable E-mail: William.lettier@acreageholdings.com Onondaga County Industrial Development Agency Page 2 C) Company Contact (if different from individual completing application):
Name: Not Applicable Title: Not Applicable Address: Not Applicable Phone: Not Applicable Cell Phone: Not Applicable E-mail: Not Applicable D) Company Counsel:
Name of Attorney: James A. Doherty, III, Esq.
Firm Name: General Counsel, Acreage Holdings, Inc.
Address: 450 Lexington Avenue, #3308 New York, NY 10163 USA Phone: 570-947-1138 Cell Phone: 570-947-1138 E-mail: legal@acreageholdings.com E) Business Organization (check appropriate category):
☐ Corporation ☐Partnership ☐ Public Corporation ☐Joint Venture ☐ Sole Proprietorship ☐Limited Liability Company Others (please specify): None Year Established: 2016 State in which Organization is established: Delaware F) List all stockholders, members, or partners with % of ownership greater than 5% : Name % of ownership High Street Capital Partners Management, LLC 100 Kevin Murphy, Manager of High Street Capital Partners Management, LLC 80 Melvin Yellin, Manager of High Street Capital Partners Management, LLC 10 Devin Binford, Manager of High Street Capital Partners Management, LLC 10 Onondaga County Industrial Development Agency Page 3 G) Applicant Business Description:
Please attach a description of your company’s background, products, customers, goods and services. Estimated % of sales within Onondaga County: _______________________________________ 79% (as of Jan to Jul 2021) Estimated % of sales outside Onondaga County but within New York State: 21% (as of Jan to Jul 2021) Estimated % of sales outside New York State but within the U.S.: 0% Estimated % of sales outside the U.S.: 0% (*Percentage to equal 100%) H) What percentage of your total annual supplies, raw materials and vendor services are purchased from firms in Onondaga County. Include list of vendors, raw material suppliers and percentages for each. Provide supporting documentation including estimated percentages of local purchases. Please attach this information. See Attachment B.
I) Applicant History: If the answer to any of the following is “Yes”, please explain below. If necessary, attach additional information.
☐Yes ☐No plaintiff or defendant in any civil or criminal litigation?
criminal offense (other than a minor traffic violation)? ☐Yes ☐No 3. Has any person listed in Section I ever been in receivership or declared bankruptcy? ☐Yes ☐No Please attach any explanations: See attached.
J) Has the Project Beneficiary received assistance from OCIDA, SIDA, New York State or the Onondaga Civic Development Corporation in the past? If yes please attach an explanation and please give year, project name, description of benefits and address of project. ☐Yes ☐No Onondaga County Industrial Development Agency Page 4
A) Project Location: Location where the investment will take place. If company is moving, the new location should be entered here and the current location should be in Section I. Address: 6600 New Venture Gear Drive Legal Address (if different): Not Applicable City: East Syracuse Village/Town: Dewitt Zip Code: 13057 School District: East Syracuse -Minoa SD Tax Map Parcel ID(s): 312689027.-02-11.1 Current Assessed Value: leased Sq. Footage of Existing Building: 234,000 Census Tract: 36067 B) Type (Check all that apply):
☐New construction ☐Purchase of machinery and/or equipment ☐Expansion/Addition to current facilities ☐Brownfield/Remediated Brownfield ☐Renovation of existing facility ☐LEED Certification ☐Acquisition of existing facility/property ☐Other:
☐Demolition and Construction Please attach a summary of how this project will help your business grow. Will it set the company up for revenue growth? Will it mitigate cost? Will it provide more flexibility? See A en A.
Description of Project: Please provide a detailed narrative of the proposed Project. This narrative should include, but is not limited to:
☐ (i) the size of the Project in square feet and a breakdown of square footage per each intended use;
☐ (ii) the size of the lot upon which the Project sits or is to be constructed; ☐ (iii) the current use of the site and the intended use of the site upon completion of the Project;
☐ (iv) the principal products to be produced and/or the principal activities that will occur on the Project site; and ☐ (v) an indication as to why the Applicant is undertaking the Project and the need for the requested benefits. Please separately attach the description and any copies of site plans, sketches or maps.
See A en A.
Onondaga County Industrial Development Agency Page 5 E) Select Project Type for all end users at Project site (you may check more than one): **Please check any and all end users as identified below ☐ Industrial ☐Bank Office ☐ Acquisition of Existing Facility ☐Retail ☐ Housing ☐Mixed Use ☐ Equipment Purchase ☐Facility for Aging ☐ Multi-Tenant ☐Civic Facility (not for profit) ☐ Commercial ☐Other F) For the Agency to consider this Project, please provide the following information: 1. Does the project consist of new construction or expansion or substantial renovation of an existing facility?
☐Yes ☐No 2. Will the project create new employment opportunities or retain existing jobs that may otherwise be lost?
☐Yes ☐No 3. Does the project beneficiary serve a customer base primarily outside of Onondaga County?
☐Yes ☐No G) Will the completion of the Project result in the removal of an industrial or manufacturing plant of the company from one area of the state to another area of the state OR in the abandonment of one or more plants or facilities of the company located within the state? Please explain if you answer “Yes” by attaching a response.
☐Yes ☐No H) Please attach a description of any compelling circumstances the Agency should be aware of while reviewing this application.
I) Environmental Information 1. Please attach the appropriate Environmental Impact Forms to your application. Here is a link to the SEQR forms:
a. http://www.dec.ny.gov/permits/6191.html
☐Yes ☐No If yes, please attach an explanation.
Onondaga County Industrial Development Agency Page 6
A) Project Costs and Finances Description of Costs Total % of Total Total Private Expenditure Budget Budget to be (should be less than or Amount Procured in equal to total budget Onondaga amount) County Land Acquisition Not Applicable Not Applicable Site Work/Demo 300,000 300,000 Building Construction & Renovation
Furniture & Fixtures 500,000 500,000 Equipment 5,300,000 5,300,000 Equipment Subject to NYS Production Sales Tax 2,000,000 2,000,000 Engineering/Architect Exemption 200,000 200,000 sFinancial Charges Legal Other 100,000 100,000 Management/Developer Fees 100,000 100,000 Total Project Cost 15,500,000 15,500,000 Note: Do not include OCIDA fees, OCIDA application fees or OCIDA legal fees as part of the Total Project Cost. You may attach a separate chart if needed.
B) TOTAL Capital Costs $ 15,500,000 Project refinancing: estimated amount (for refinancing of existing debt only) $ Not Applicable Sources of Funds for Project Costs:
1. Bank Financing $ _______________ Not Applicable 2. Equity (excluding equity that is attributed to grants/tax credits) $ 15,500,000 3. Tax Exempt Bond Issuance (if applicable) $ _______________ Not Applicable 4. Taxable Bond Issuance (if applicable) $ Not Applicable Onondaga County Industrial Development Agency Page 7
and tax credits) $ Not Applicable -Identify each state and federal grant/credit:
Not Applicable $ Not Applicable $ Not Applicable $ 6. Total Sources of Funds for Project Costs $ _______________
C) Employment and Payroll Information *Full Time Equivalent (FTE) is defined as one employee working no less than 40 hours per week or two or more employees together working a total of 40 hours per week.
☐Yes ☐No If yes, provide number of FTE jobs at the facility: 39
Estimate the number of FTE jobs to be retained as a result of this Project: 39 Estimate the number of construction jobs to be created by this Project: 100 Estimate the average length of construction jobs to be created (months): 6 months Current annual payroll at facility: $2,070,137 Average annual growth rate of wages: 2% Please list, if any, benefits that will be available to either full and/or part time Health Benefits, 401K, Life Insurance,Short term/Long Term Disability for FTE employees:
Average annual benefit paid by the Health Benefit Premiums are paid 80% by company for any FTE company ($ or % salary) per FTE job:
Average growth rate of benefit cost:
Amount or percent of wage employees pay for benefits:
FTE pays 20% of premiums. Provide an estimate of the number of residents in the Economic Development Region (Onondaga, Madison, Cayuga, 30 New Jobs Created Oneida, Oswego, and Cortland Counties) to fill new FTE jobs:
Onondaga County Industrial Development Agency Page 8 D) New Employment Benefits i. Complete the following chart indicating the number of FTE jobs presently employed at the Project and the number of FTE jobs that will be created at the Project site at the end of the first, second, third, fourth and fifth years after the Project is completed. Jobs should be listed by title of category (see below), including FTE independent contractors or employees of independent contractors that work at the Project location. Do not include construction workers.
ii. Feel free to include additional information or a substitute chart if you think additional material would add clarity.
Current & Planned Full Salary Current Estimated Number of FTE Jobs Time Occupations (Job (Annual or Number of added each year after project Titles) Hourly) FTEs Year 1 Year 2 Year 3 Year 4 Year 5 completion Operations Manager 1 2 Warehouse 12 5 5 Production 21 10 5 Sales & Marketing 1 2 Finance 3 1 Human Resources 1 Job Creation Subtotal 20 10 For purposes of completing the chart, please list the job titles that will be increasing in number. If possible, please attach a brief description that outlines what each job entails. If you prefer, you may attach a job chart of your own that outlines the job growth projections regarding the project.
E) Financial Assistance sought (estimated values):
☐ Real Property Tax Abatement (PILOT): none ☐ Mortgage Recording Tax Exemption (.75% of amount mortgaged): Not Applicable ☐ Sales and Use Tax Exemption (4% Local, 4% State): $800,000 ☐ Tax Exempt Bond Financing (Amount Requested): Not Applicable ☐ Taxable Bond Financing (Amount Requested): Not Applicable Onondaga County Industrial Development Agency Page 9 F) Mortgage Recording Tax Exemption Benefit Calculator: Amount of mortgage that would be subject to mortgage recording tax:
Mortgage Amount (include sum total of construction/permanent/ bridge financing): $ Not Applicable Estimated Mortgage Recording Tax Exemption Benefit (product of mortgage amount as indicated above, multiplied by .0075): $ Not Applicable G) Sales and Use Tax Benefit Calculator: Gross amount of costs for goods and services that are subject to State and local Sales and US tax – said amount to benefit from the Agency’s Sales and Use Tax exemption benefit:
$ 10,000,000 Estimated State and local Sales and Use Tax Benefit (product of 8% multiplied by the figure, above) (This should match the amount in section “E” on this page, this calculation only exists to help you with your estimate):
$ 800,000 Onondaga County Industrial Development Agency Page 10
Section IV of this Application will be: (i) completed by IDA Staff based upon information contained within the Application, and (ii) provided to the Applicant for ultimate inclusion as part of this completed Application prior to the completed application being provided to the OCIDA Board.
A) PILOTS Estimate Table Worksheet OCIDA estimate of current value New construction and renovation costs OCIDA estimate of increase in value OCIDA estimated value of completed project OCIDA estimate of taxes that would have been collected if the project did not occur Scheduled PILOT payments PILOT Exemption County Local School Total Full Tax Net Exemption Year % PILOT PILOT PILOT PILOT Payment Amount Amount Amount w/o PILOT
Estimates provided are based on current property tax rates and assessment value (current as of date of application submission) and have been calculated by IDA staff Onondaga County Industrial Development Agency Page 11
In absence of a waiver permitting otherwise, every project seeking the assistance of the Onondaga County Industrial Development Agency (Agency) must use local general contractors, sub- contractors, and labor for one-hundred percent (100%) of the construction of new, expanded, or renovated facilities. The project’s construction or project manager need not be a local company. Noncompliance may result in the revocation and/or recapture of all benefits extended to the project by the Agency. Local Labor is defined as laborers permanently residing in the State of New York counties of Cayuga, Cortland, Herkimer, Jefferson, Madison, Oneida, Onondaga, Oswego, Tompkins, and Wayne. Local (General/Sub) Contractor is defined as a contractor operating a permanent office in the State of New York counties of Cayuga, Cortland, Herkimer, Jefferson, Madison, Oneida, Onondaga, Oswego, Tompkins and Wayne. The Agency may determine on a case-by-case basis to waive the Local Access Policy for a project or for a portion of a project where consideration of warranty issues, necessity of specialized skills, significant cost differentials between local and non-local services or other compelling circumstances exist. The procedure to address a local labor waiver can be found in the OCIDA handbook, which is available upon request.
Prior to issuance of any NYS Tax & Finance ST-60 forms, the Applicant must submit a Contractor Status Report to the Agency.
In consideration of the extension of financial assistance by the Agency NYCANNA, LLC (the Company) understands the Local Access Policy and agrees to complete Appendix C of the Agency’s application at the time of the application to the Agency and as part of a request to extend the valid date of the Agency’s tax-exempt certificate for the Project. The Company understands that an Agency tax-exempt certificate is typically valid for 12 months from the effective date of the project inducement and extended thereafter upon request by the Company. The Company further understands that any request for a waiver to this policy must be submitted in writing and approved by the Agency.
I agree to the conditions of this agreement and certify all information provided regarding the construction and employment activities for the project as of 09/08/2021 (date).
Company: Please see Appendix A, Section V. for a comment on this matter.
Representative for Contract: Not Applicable __ Address: Not Applicable City: Not Applicable State: Not Applicable Zip: Not Applicable Phone: Not applicable Email: Not applicable Project Address: Not Applicable City: Not Applicable State: Not applicable Zip: Not Applicable General Contractor: Not Applicable Contact Person: Not Applicable Address: Not Applicable City: Not Applicable State: Not Applicable Zip: Not Applicable Phone: Not Applicable Email: Not Applicable Authorized Representative: Not Applicable Title: Not Applicable Signature: Not Applicable Onondaga County Industrial Development Agency Page 12
Payment Terms:
Application & Processing Fee (payable at the time of application): $1,000 Legal Deposit (payable at the time of application): $2,500 Agency Fee for Bond Projects: Payable at Closing Agency and Legal Fees for all other projects: Due and Payable at Inducement * A sales tax certificate (ST-60) will not be issued until the Agency Fee is Paid in Full Agency Fees: The project cost is the Total Project Cost from section III A Benefit Sought Fee Charged Mortgage Recording Tax and/or Sales Tax exemptions: 0.01 X the project cost Additional Fee for PILOT Agreement Projects: 0.0025 X the project cost Fee for bond financing, refinancing & refunding: 0.0025 X the project cost Note: For Manufacturing Projects under $10 million the fee is reduced by: 0.0025 X the project cost Agency Legal Fees: The project cost is the Total Project Cost from section III A Fee for first $20 million: 0.0025 of the project cost Fee for expenses above $20 million: 0.00125 of the project cost In addition to the foregoing, Applicants are responsible for payment of all costs and expenses incurred by OCIDA in connection with application or Project including without limitation publication, copying costs, SEQRA compliance and fees and costs to OCIDA’s attorneys, engineers, and consultants. OCIDA reserves the right to require a deposit to cover anticipated costs. Application fees are payable at time application/request is submitted. All fees are non-refundable. Applicants for bond transactions are responsible for payment of a Bond Issuance Charge payable to the State of New York. Applicants are also responsible for payment of post-closing fees and costs associated with the appointment of additional agents.
OCIDA reserves the right to modify this schedule at any time and assess fees and charges in connection with other transactions such as grants of easement or lease or sale of OCIDA-owned property.
Onondaga County Industrial Development Agency Page 13
Information to be Provided by Companies: Each Company agrees that to receive benefits from the Agency it must, whenever requested by the Agency or required under applicable statutes or project documents, provide and certify or cause to be provided and certified such information concerning the Company, its finances, its employees and other topics which shall, from time to time, be necessary or appropriate, including but not limited to, such information as to enable the Agency to make any reports required by law or governmental regulation.
Recapture of Benefits: It is the policy of the Agency to recapture the value of a PILOT, any sales and use tax exemption, and mortgage recording tax exemption in accordance with the Laws of the State and the provisions contained herein. Before receiving benefits, the Company must attest in writing to its understanding of, and agreement to, the recapture provisions contained in State Law and herein. To the extent permitted by State law, the recapture provisions contained herein may be modified from time to time by the Agency at its sole discretion.
Recapture of a PILOT, Sales Tax and the Mortgage Recording Tax Exemptions: If the number of full time equivalent jobs to be maintained or created in connection with a project falls below 75% of the number projected in the Company’s application to the Agency, or if there are material violations of the project agreements, then the value of the property tax, sales and use tax and mortgage recording tax benefits extended to the project by the Agency may be subject to recapture. When deciding whether or not to recapture benefits and the amount of such recapture, the Agency may consider the potential future benefit of the business to the community.
Recapture Payment: The recapture payment paid by the Company to the Agency shall be determined (1) by the difference between any PILOT payments made by the Company and the property taxes that would have been paid by the Company if the property were not under the supervision, jurisdiction or control of the Agency, (2) the value of any mortgage recording tax exemption, if awarded to the Company and (3) the amount of sales and use tax that would have been paid if an exemption was not granted.
Recapture of the PILOT, Sales Tax or Mortgage Recording Tax: The Recapture Schedule for a Payment in Lieu of Tax Agreement, Sales Tax or the Mortgage Recording Tax is as follows: Time from Project Completion Tax Savings Recaptured
Distribution of the Recapture Payment: Any funds recaptured as a result of the recapture payment shall be distributed to the affected taxing jurisdictions in the same proportion as if the payments were paid or owed by the Company on the date of recapture.
Onondaga County Industrial Development Agency Page 14 NYS Department of Labor:
Roy Jewell Associate Business Service Representative
roy.jewell@labor.ny.gov www.labor.ny.gov CNY Works Chris Kennedy Business Development Specialist
ckennedy@cnyworks.com www.cnyworks.com Onondaga County Industrial Development Agency Page 17
Robert Daino (Name of CEO or other authorized representative of
Applicant) confirms and says that he/she is the ____________________ (title) of Authorized Signatory ____________________ NYCANNA, LLC (name of corporation or other entity) named in the attached Application (the “Applicant”), that he/she has read the foregoing Application and knows the contents thereof, and hereby represents, understands, and otherwise agrees with the Agency and as follows:
A. First Consideration for Employment: In accordance with §858-b (2) of the New York General Municipal Law, the Applicant understands and agrees that if the Project receives any Financial Assistance from the Agency, except as otherwise provided by collective bargaining agreements, where practicable, the Applicant will first consider persons eligible to participate in WIA programs who shall be referred by the CNY Works for new employment opportunities created as a result of the Project.
B. Other NYS Facilities: In accordance with §862 (1) of the New York General Municipal Law, the Applicant understands and agrees that projects which will result in the removal of an industrial or manufacturing plant of the project occupant from one area of the state to another area of the state or in the abandonment of one or more plants or facilities of the project occupant within the state is ineligible for Agency Financial Assistance, unless otherwise approved by the Agency as reasonably necessary to preserve the competitive position of the project in its respective industry or is reasonably necessary. C. Annual Sales Tax Filings: In accordance with §874(8) of the New York General Municipal Law, the Applicant understands and agrees that if the Project receives any sales tax exemptions as part of the Financial Assistance from the Agency, the Applicant agrees to file, or cause to be filed, with the New York State Department of Taxation and Finance, the annual form prescribed by the Department of Taxation and Finance, describing the value of all sales tax exemptions claimed by the Applicant and all consultants or subcontractors retained by the Applicant.
D. Outstanding Bonds: The Applicant understands and agrees to provide on an annual basis any information regarding bonds, if any, issued by the Agency for the project that is requested by the Comptroller of the State of New York.
E. Employment Reports: The Applicant understands and agrees that, if the Project receives any financial assistance from the Agency, the Applicant agrees to file with the Agency, at least annually or as otherwise required by the Agency, reports regarding the number of people employed at the project site, salary levels, contractor utilization and such other information (collectively, “Employment Reports”) that may be required from time to time on such appropriate forms as designated by the Agency. Failure to provide Employment Reports within 30 days of an Agency request shall be an Event of Default under the PILOT Agreement between the Agency and Applicant and, if applicable, an Event of Default under the Agent Agreement between the Agency and Applicant. In addition, a Notice of Failure to provide the Agency with an Employment Report may be reported to Agency board members, with said report being an agenda item subject to the open Onondaga County Industrial Development Agency Page 19 meetings law.
F. Absence of Conflicts of Interest: The Applicant has received from the Agency a list of the members, officers and employees of the Agency. No member, officer or employee of the Agency has an interest, whether direct or indirect in any transaction contemplated by this Application, except as hereinafter described in Section X.
G. Compliance: The Applicant understands and agrees that it is in substantial compliance with applicable local, state, and federal tax, worker protection, and environmental laws, rules, and regulations.
H. The Applicant understands and agrees that the provisions of Section 862(1) of the New York General Municipal Law, as provided below, will not be violated if financial assistance is provided for the proposed Project:
§ 862. Restrictions on funds of the Agency. (1) No funds of the Agency shall be used in respect of any project if the completion thereof would result in the removal of an industrial or manufacturing plant of the project occupant from one area of the state to another area of the state or in the abandonment of one or more plants or facilities of the project occupant located within the state, provided, however, that neither restriction shall apply if the agency shall determine on the basis of the application before it that the project is reasonably necessary to discourage the project occupant from removing such other plant or facility to a
location outside the state or is reasonably necessary to preserve the competitive position of the project occupant in its respective industry.
I. The Applicant confirms and acknowledges that the owner, occupant or operator receiving financial assistance for the proposed Project is in substantial compliance with applicable local, state, and federal tax, worker protection and environmental laws, rules and regulations.
J. The Applicant confirms and acknowledges that the submission of any knowingly false or knowingly misleading information may lead to the immediate termination of any financial assistance and the reimbursement of an amount equal to all or part of any tax exemption claimed by reason of the Agency’s involvement in the Project.
K. The Applicant confirms and hereby acknowledges that as of the date of this Application, the Applicant is in substantial compliance with all provisions of Article 18-A of the New York General Municipal Law, including, but not limited to, the provision of Section 859- a and Section 862(1) of the New York General Municipal Law.
L. The Applicant and the individual executing this Application on behalf of Applicant acknowledge that the Agency and its counsel will rely on the representations and covenants made in this Application when acting hereon and hereby represents that the statements made herein do not contain any untrue statement of a material fact and do not omit to state a material fact necessary to make the statement contained herein not misleading.
Onondaga County Industrial Development Agency Page 20 M. The OCIDA has the right to request and inspect supporting documentation regarding attestations made on this application.
N. Hold Harmless Agreement: Applicant hereby releases Onondaga County Industrial Development Agency and the members, officers, servants, agents and employees thereof (the "Agency") from, agrees that the Agency shall not be liable for, and agrees to indemnify, defend and hold the Agency harmless from and against any and all liability arising from or expense incurred by: (A) the Agency's examination and processing of, and action pursuant to or upon, the attached Application, regardless of whether or not the Application or the Project described therein or the tax-exemptions and other assistance requested therein are favorably acted upon by the Agency; (B) the Agency's acquisition, construction, and/or installation of the Project described therein and (C) any further action taken by the Agency with respect to the Project, including without limiting the generality of the foregoing, all cause of action and attorney's fees and any other expenses incurred in defending any suits or action which may arise as a result of any of the foregoing. If, for any reason, the Applicant fails to conclude or consummate necessary negotiations, or fails, within a reasonable or specified period of time, to take reasonable, proper or requested action, or withdraws, abandons, cancels or neglects the Application, or if the Agency or the Applicant are unable to reach final agreement with respect to the Project, then, and in the event, upon presentation of an invoice itemizing the same, the
Applicant shall pay to the Agency, its agents or assigns, all costs incurred by the Agency in the process of the Application, including attorney's fees, if any.
Onondaga County Industrial Development Agency Page 21
G) Applicant Business Description (include background, products, customers, goods, and services) NYCANNA, LLC, d/b/a "Acreage New York" We are a vertically integrated medical cannabis cultivation, manufacturing, retail, and distribution company located in New York. We have a manufacturing and cultivation location in East Syracuse, along with our four dispensaries located in Buffalo, Middletown, Queens, and Farmingdale. We began our journey in 2015, formed NYCANNA, LLC in 2016, and were awarded a license from the State of New York Department of health in August of 2017. We are one of only ten Registered Organizations in New York permitted to manufacture and sell medical cannabis. Our medical products include items such as tinctures, vaporization cartridges, and capsules. We currently sell our products to registered patients within New York from one of our four retail locations, from which we also provide home delivery services.
H) % of Total Annual Supplies, Raw Materials, and Vendor Services Purchased from Onondaga County Firms. Include list of vendors, raw material suppliers, and % for each, along with supporting documentation including estimated % of local purchases.
2020 – 1.06%, 2021 – 1.56%, See Appendix B (Vendor spend information) I) Applicant History:
On November 2, 2018, EPMMNY LLC filed a civil complaint in the Supreme Court of the State of New York, County of New York, asserting claims against 16 defendants, including NYCANNA, LLC, Case No. 655480/2018. The matter is still in its preliminary stages and NYCANNA's motion to dismiss the case is pending before the court.
C) Summary of how this project will help your business grow.
The project will help the NYCANNA, LLC ("NYCANNA") business grow by expanding its manufacturing and cultivation facility for increased revenue growth, cost mitigation, and overall business flexibility, improving upon its existing cannabis manufacturing facility in Syracuse, New York. Due to the rapid increase in demand for medical cannabis products, NYCANNA is undertaking this project to expand its existing manufacturing facility. NYCANNA rents 230,000 square feet (est.) of an existing manufacturing facility that sits on 109 square acres (est.) of land (see survey attached). The facility is currently zoned for manufacturing and NYCANNA intends to continue its manufacturing operations going forward, as well as adding cannabis cultivation. The facility expansion consists of an additional 56,834 square feet of space, with 35,000 square feet (est.) designated for cultivation operations, and 21,834 square feet (est.) designated for product storage, staging, shipping, and receiving. NYCANNA is requesting tax-exempt status to increase capital expenditure costs required to make the facility fully operational. Being able to remove the tax cost from our expansion will allow for more funds being allocated to growing equipment, as well as the ability to purchase higher quality equipment. Higher quality equipment will allow NYCANNA to better service the community of patients that benefit from our products. This cost mitigation will allow NYCANNA more business flexibility and enable it to hire local Onondaga County vendors, supplies, employees, and other resources to enhance its relationship with the county and its residents and businesses. Job creation will occur each year in line with the needs of the facility, including 100 construction jobs and 30 new facility positions that will be open - 20 in the first year and an additional 10 in the second year.
D) Description of Project.
i. a. Total SF: 56,834 square feet b. Cultivation: 35,000 square feet c. Warehouse, shipping & receiving: 21,834 square feet ii. Approximately 109 square acres iii. Manufacturing; Manufacturing iv. Cultivation, Extraction, and Distribution of Medical Cannabis v. The demand for cannabis and cannabis products has increased and, therefore, the need to increase cultivation space is necessary. There are significant costs, specifically equipment costs, associated with these expansions, and tax-exempt status will allow for a more financially feasible and thus, successful, expansion. The project in question is an expansion of cultivation capabilities at an existing medical cannabis cultivation facility. The existing facility sits on approximately 109 square acres of land. The expansion will result in an additional 56,834 square feet, including 35,000 square feet of cannabis cultivation space and 21,834 square feet of warehouse space. The expansion will allow for increased production of cannabis flower, infused products and concentrates allowed under current New York medical cannabis regulations. We will also have the ability to produce and formulate additional products as they become allowable under state regulations. The facility is currently used for the cultivation of medicinal cannabis and the manufacturing of infused cannabis-based medicines. The project is necessary to increase the production capabilities to meet the demand of the rapidly growing Medical Cannabis patient population in the state. It is also necessary to address the upcoming anticipated demand of the recently legalized adult-use cannabis program. Historically, states which have passed adult-use cannabis laws have seen the medical programs in their state suffer as adult-use demand begins to overwhelm medical cannabis providers and decreases the availability of products for those patients who need them for recognized medical conditions. We are committed to providing access to medical patients, as well as the adult-use needs of the public.
I) Environmental Information Long form EAF – SEQR; the development of these forms is currently in process and will be submitted when completed, which is expected the week of 9.13.2021.
To be submitted prior to final OCIDA approval.
DocuSign Envelope ID: 05665509-A7E0-4D3C-9513-E10EE921E221 Full Environmental Assessment Form Part 1 - Project and Setting Instructions for Completing Part 1 Part 1 is to be completed by the applicant or project sponsor. Responses become part of the application for approval or funding, are subject to public review, and may be subject to further verification.
Complete Part 1 based on information currently available. If additional research or investigation would be needed to fully respond to any item, please answer as thoroughly as possible based on current information; indicate whether missing information does not exist, or is not reasonably available to the sponsor; and, when possible, generally describe work or studies which would be necessary to update or fully develop that information.
Applicants/sponsors must complete all items in Sections A & B. In Sections C, D & E, most items contain an initial question that must be answered either “Yes” or “No”. If the answer to the initial question is “Yes”, complete the sub-questions that follow. If the answer to the initial question is “No”, proceed to the next question. Section F allows the project sponsor to identify and attach any additional information. Section G requires the name and signature of the applicant or project sponsor to verify that the information contained in Part 1is accurate and complete.
A. Project and Applicant/Sponsor Information.
Name of Action or Project:
NYCANNA Building Renovation Project Location (describe, and attach a general location map):
Brief Description of Proposed Action (include purpose or need):
The proposed project is an expansion of an existing cannabis grow facility. The expansion will include approximately 56,000 sf of interior renovation within the existing building, which will consist of new grow rooms, drying and operation areas, security systems, utilities, and new bathroom facilities. Name of Applicant/Sponsor: Telephone: 917-842-0570 NYCANNA, LLC d/b/a "Acreage New York" (c/o William Letter) E-Mail: william.lettier@acreageholdings.com Address: 6600 New Venture Gear Dr City/PO: East Syracuse State: Zip Code:
Project Contact (if not same as sponsor; give name and title/role): Telephone: E-Mail: Address:
City/PO: State: Zip Code: Property Owner (if not same as sponsor): Telephone: ONX1, LLC E-Mail: Address:
PO Box 2279 City/PO: State: Zip Code: Jupiter FL 33468 DocuSign Envelope ID: 05665509-A7E0-4D3C-9513-E10EE921E221 B. Government Approvals B. Government Approvals Funding, or Sponsorship. (“Funding” includes grants, loans, tax relief, and any other forms of financial assistance.) Government Entity If Yes: Identify Agency and Approval(s) Application Date Required (Actual or projected) a. City o n l Town oar , ✔ 9 Yes 9 No DOB Building Permit Sept. 14, 2021 or Village Board of Trustees b. City, Town or Village 9 Yes ✔ 9 No Planning Board or Commission c. City Town or 9 Yes ✔ 9 No Village Zoning Board of Appeals d. Other local agencies 9 Yes ✔ 9 No e. County agencies 9 Yes 9 No Oct 2021 ✔ OCIDA f. Regional agencies 9 Yes ✔ 9 No g. State agencies 9 Yes 9 No ✔ Approval of License Transfer h. Federal agencies 9 Yes ✔ 9 No i. Coastal Resources.
i. Is the project site within a Coastal Area, or the waterfront area of a Designated Inland Waterway? 9 Yes ✔ 9 No ii. Is the project site located in a community with an approved Local Waterfront Revitalization Program? 9 Yes ✔ 9 No iii. Is the project site within a Coastal Erosion Hazard Area? 9 Yes ✔ 9 No C. Planning and Zoning C.1. Planning and zoning actions.
Will administrative or legislative adoption, or amendment of a plan, local law, ordinance, rule or regulation be the 9 Yes ✔ 9 No only approval(s) which must be granted to enable the proposed action to proceed? • If Yes, complete sections C, F and G.
• If No, proceed to question C.2 and complete all remaining sections and questions in Part 1 C.2. Adopted land use plans.
a. Do any municipally- adopted (city, town, village or county) comprehensive land use plan(s) include the site 9 Yes 9 No ✔ where the proposed action would be located?
If Yes, does the comprehensive plan include specific recommendations for the site where the proposed action 9 Yes 9 No ✔ would be located?
b. Is the site of the proposed action within any local or regional special planning district (for example: Greenway 9 Yes ✔ 9 No Brownfield Opportunity Area (BOA); designated State or Federal heritage area; watershed management plan; or other?) If Yes, identify the plan(s):
_______________________________________________________________________________________________________ ________________________________________________________________________________________________________ ________________________________________________________________________________________________________ c. Is the proposed action located wholly or partially within an area listed in an adopted municipal open space plan, 9 Yes ✔ 9 No or an adopted municipal farmland protection plan?
If Yes, identify the plan(s):
________________________________________________________________________________________________________ ________________________________________________________________________________________________________ ________________________________________________________________________________________________________ DocuSign Envelope ID: 05665509-A7E0-4D3C-9513-E10EE921E221 C.3. Zoning a. Is the site of the proposed action located in a municipality with an adopted zoning law or ordinance. 9 Yes 9 No ✔ If Yes, what is the zoning classification(s) including any applicable overlay district? _________________________________________________________________________________________________________ _________________________________________________________________________________________________________ b. Is the use permitted or allowed by a special or conditional use permit? 9 Yes 9 No ✔ c. Is a zoning change requested as part of the proposed action? 9 Yes ✔ 9 No If Yes, i. What is the proposed new zoning for the site? ___________________________________________________________________ C.4. Existing community services.
a. In what school district is the project site located? East ________________________________________________________________ Syracuse Minoa b. What police or other public protection forces serve the project site?
_________________________________________________________________________________________________________ Town of Dewitt c. Which fire protection and emergency medical services serve the project site? __________________________________________________________________________________________________________ Town of Dewitt d. What parks serve the project site?
__________________________________________________________________________________________________________ Town of Dewitt __________________________________________________________________________________________________________ D. Project Details D.1. Proposed and Potential Development a. What is the general nature of the proposed action (e.g., residential, industrial, commercial, recreational; if mixed, include all components)? Commerical _________________________________________________________________________________________________________ b. a. Total acreage of the site of the proposed action? _____________ 109 acres b. Total acreage to be physically disturbed? _____________ zero acres c. Total acreage (project site and any contiguous properties) owned or controlled by the applicant or project sponsor? _____________ 109 acres c. Is the proposed action an expansion of an existing project or use? 9 Yes 9 No ✔ i. If Yes, what is the approximate percentage of the proposed expansion and identify the units (e.g., acres, miles, housing units, square feet)? % ____________________ Units: ____________________ d. Is the proposed action a subdivision, or does it include a subdivision? 9 Yes 9 ✔ No If Yes, i. Purpose or type of subdivision? (e.g., residential, industrial, commercial; if mixed, specify types) ________________________________________________________________________________________________________ ii. Is a cluster/conservation layout proposed? 9 Yes 9 ✔ No iii. Number of lots proposed? ________ iv. Minimum and maximum proposed lot sizes? Minimum __________ Maximum __________ Will t proposed action be constructed in multiple phases? 9 Yes ✔9 No i. If No, anticipated period of construction: _____ months ii. If Yes:
• Total number of phases anticipated _____ • Anticipated commencement date of phase 1 (including demolition) _____ month _____ year • Anticipated completion date of final phase _____ month _____year • Generally describe connections or relationships among phases, including any contingencies where progress of one phase may determine timing or duration of future phases: _______________________________________________________________ ____________________________________________________________________________________________________ ____________________________________________________________________________________________________ DocuSign Envelope ID: 05665509-A7E0-4D3C-9513-E10EE921E221 f. Does the project include new residential uses? 9 Yes ✔ 9 No If Yes, show numbers of units proposed.
One Family Two Family Three Family Multiple Family (four or more) Initial Phase ___________ ___________ ____________ ________________________ At completion of all phases ___________ ___________ ____________ ________________________ g. Does the proposed action include new non-residential construction (including expansions)? 9 Yes ✔ 9 No If Yes, i. Total number of structures ___________ ii. Dimensions (in feet) of largest proposed structure: ________height; ________width; and _______ length iii. Approximate extent of building space to be heated or cooled: ______________________ square feet h. Does the proposed action include construction or other activities that will result in the impoundment of any 9 Yes ✔ 9 No liquids, such as creation of a water supply, reservoir, pond, lake, waste lagoon or other storage? If Yes, i. Purpose of the impoundment: ________________________________________________________________________________ ii. If a water impoundment, the principal source of the water: 9 Ground water 9 Surface water streams 9 Other specify: _________________________________________________________________________________________________________ iii. If other than water, identify the type of impounded/contained liquids and their source. _________________________________________________________________________________________________________ iv. Approximate size of the proposed impoundment. Volume: ____________ million gallons; surface area: ____________ acres v. Dimensions of the proposed dam or impounding structure: ________ height; _______ length vi. Construction method/materials for the proposed dam or impounding structure (e.g., earth fill, rock, wood, concrete): ________________________________________________________________________________________________________ D.2. Project Operations a. Does the proposed action include any excavation, mining, or dredging, during construction, operations, or both? 9 Yes ✔ 9 No (Not including general site preparation, grading or installation of utilities or foundations where all excavated materials will remain onsite) If Yes:
i .What is the purpose of the excavation or dredging? _______________________________________________________________ ii. How much material (including rock, earth, sediments, etc.) is proposed to be removed from the site? • Volume (specify tons or cubic yards): ____________________________________________ • Over what duration of time? ____________________________________________________ iii. Describe nature and characteristics of materials to be excavated or dredged, and plans to use, manage or dispose of them. ________________________________________________________________________________________________________ ________________________________________________________________________________________________________ iv. Will there be onsite dewatering or processing of excavated materials? 9 Yes ✔ 9 No If yes, describe. ___________________________________________________________________________________________ ________________________________________________________________________________________________________ v. What is the total area to be dredged or excavated? _____________________________________acres vi. What is the maximum area to be worked at any one time? _______________________________ acres vii. What would be the maximum depth of excavation or dredging? __________________________ feet viii. Will the excavation require blasting? 9 Yes ✔9 No ix. Summarize site reclamation goals and plan: _____________________________________________________________________ ________________________________________________________________________________________________________ ________________________________________________________________________________________________________ b. Would the proposed action cause or result in alteration of, increase or decrease in size of, or encroachment 9 Yes ✔9 No into any existing wetland, waterbody, shoreline, beach or adjacent area?
If Yes:
i. Identify the wetland or waterbody which would be affected (by name, water index number, wetland map number or geographic description): ______________________________________________________________________________________________ _________________________________________________________________________________________________________ DocuSign Envelope ID: 05665509-A7E0-4D3C-9513-E10EE921E221 ii. Describe how the proposed action would affect that waterbody or wetland, e.g. excavation, fill, placement of structures, or alteration of channels, banks and shorelines. Indicate extent of activities, alterations and additions in square feet or acres: _________________________________________________________________________________________________________ _________________________________________________________________________________________________________ _________________________________________________________________________________________________________ _________________________________________________________________________________________________________ iii. Will t proposed action cause or result in disturbance to bottom sediments? Yes ✔9 No If Yes, describe: __________________________________________________________________________________________ iv. Will t proposed action cause or result in the destruction or removal of aquatic vegetation? 9 Yes ✔ 9 No If Yes:
• acr of a atic vegetation proposed to be removed ___________________________________________________________ • expected acreage of aquatic vegetation remaining after project completion ________________________________________ • purpose of proposed removal (e.g. beach clearing, invasive species control, boat access): ____________________________ ____________________________________________________________________________________________________ • proposed method of plant removal: ________________________________________________________________________ • if chemical/herbicide treatment will be used, specify product(s): _________________________________________________ v. Describe any proposed reclamation/mitigation following disturbance: _________________________________________________ _________________________________________________________________________________________________________ c. Will the proposed action use, or create a new demand for water? ✔9 Yes 9 No If Yes:
i. Total anticipated water usage/demand per day: __________________________ 7,750 gallons/day ii. Will the proposed action obtain water from an existing public water supply? ✔9 Yes 9 No If Yes:
• Name of district or service area: _________________________________________________________________________
• Does the existing public water supply have capacity to serve the proposal? ✔9 Yes 9 No • Is the project site in the existing district? ✔9 Yes 9 No • Is expansion of the district needed? 9 Yes ✔ 9 No • Do existing lines serve the project site? ✔9 Yes 9 No iii. Will line extension within an existing district be necessary to supply the project? 9 Yes 9 ✔ No If Yes:
• Describe extensions or capacity expansions proposed to serve this project: ________________________________________ ____________________________________________________________________________________________________ • Source(s) of supply for the district: ________________________________________________________________________ iv. Is a new water supply district or service area proposed to be formed to serve the project site? 9 Yes ✔ 9 No If, Yes:
• Applicant/sponsor for new district: ________________________________________________________________________ • Date application submitted or anticipated: __________________________________________________________________ • Proposed source(s) of supply for new district: _______________________________________________________________ v. If a public water supply will not be used, describe plans to provide water supply for the project: ___________________________ _________________________________________________________________________________________________________ vi. If water supply will be from wells (public or private), at i t maximum pumping capacity: _______ gallons/minute. d. Will the proposed action generate liquid wastes? ✔9 Yes 9 No If Yes:
i. Total anticipated liquid waste generation per day: _______________ 775 gallons/day ii. Nature of liquid wastes to be generated (e.g., sanitary wastewater, industrial; if combination, describe all components and approximate volumes or proportions of each): __________________________________________________________________ _________________________________________________________________________________________________________ sanitary sewer _________________________________________________________________________________________________________ iii. Will the proposed action use any existing public wastewater treatment facilities? ✔9 Yes 9 No If Yes:
• Name of wastewater treatment plant to be used: _____________________________________________________________
• Name of district: ______________________________________________________________________________________ Town of Dewitt • Does the existing wastewater treatment plant have capacity to serve the project? ✔9 Yes 9 No • Is the project site in the existing district? ✔9 Yes 9 No • Is expansion of the district needed? 9 Yes ✔ 9 No DocuSign Envelope ID: 05665509-A7E0-4D3C-9513-E10EE921E221 • Do existing sewer lines serve the project site? 9 Yes 9 No ✔ • Will a line extension within an existing district be necessary to serve the project? 9 Yes ✔9 No If Yes:
• Describe extensions or capacity expansions proposed to serve this project: ____________________________________ ____________________________________________________________________________________________________ ____________________________________________________________________________________________________ iv. Will a new wastewater (sewage) treatment district be formed to serve the project site? 9 Yes ✔9 No If Yes:
• Applicant/sponsor for new district: ____________________________________________________________________ • Date application submitted or anticipated: _______________________________________________________________ • What is the receiving water for the wastewater discharge? __________________________________________________ v. If public facilities will not be used, describe plans to provide wastewater treatment for the project, including specifying proposed receiving water (name and classification if surface discharge or describe subsurface disposal plans): ________________________________________________________________________________________________________ ________________________________________________________________________________________________________ vi. Describe any plans or designs to capture, recycle or reuse liquid waste: _______________________________________________ ________________________________________________________________________________________________________ ________________________________________________________________________________________________________ e. Will the proposed action disturb more than one acre and create stormwater runoff, either from new point 9 Yes ✔9 No sources (i.e. ditches, pipes, swales, curbs, gutters or other concentrated flows of stormwater) or non-point source (i.e. sheet flow) during construction or post construction?
If Yes:
i. How much impervious surface will the project create in relation to total size of project parcel? _____ Square feet or _____ acres (impervious surface) _____ Square feet or _____ acres (parcel size) ii. Describe types of new point sources. __________________________________________________________________________ _________________________________________________________________________________________________________ iii. Where will the stormwater runoff be directed (i.e. on-site stormwater management facility/structures, adjacent properties, groundwater, on-site surface water or off-site surface waters)?
________________________________________________________________________________________________________ ________________________________________________________________________________________________________ • If to surface waters, identify receiving water bodies or wetlands: ________________________________________________ ____________________________________________________________________________________________________ ____________________________________________________________________________________________________ • Will stormwater runoff flow to adjacent properties? 9 Yes 9 No iv. Does t proposed plan minimize impervious surfaces, use pervious materials or collect and re-use stormwater? 9 Yes 9 No f. Does the proposed action include, or will it use on-site, one or more sources of air emissions, including fuel 9 Yes ✔9 No combustion, waste incineration, or other processes or operations?
If Yes, identify:
i. Mobile sources during project operations (e.g., heavy equipment, fleet or delivery vehicles) _________________________________________________________________________________________________________ ii. Stationary sources during construction (e.g., power generation, structural heating, batch plant, crushers) ________________________________________________________________________________________________________ iii. Stationary sources during operations (e.g., process emissions, large boilers, electric generation) ________________________________________________________________________________________________________ g. Will any air emission sources named in D.2.f (above), require a NY State Air Registration, Air Facility Permit, 9 Yes ✔ 9 No or Federal Clean Air Act Title IV or Title V Permit?
If Yes:
i. Is the project site located in an Air quality non-attainment area? (Area routinely or periodically fails to meet 9 Yes 9 No ambient air quality standards for all or some parts of the year) ii. In addition to emissions as calculated in the application, the project will generate: • ___________Tons/year ( ort ton ) of Carbon Dioxide (CO2) • ___________Tons/year ( ort ton ) of Nitrous Oxide (N2 ) • ___________Tons/year ( ort ton ) of Perfluorocarbons (PFCs) • ___________Tons/year ( ort ton ) of Sulfur Hexafluoride (SF6) • ___________Tons/year ( ort ton ) of Carbon Dioxide equivalent of Hydroflo rocarbons (H ) • ___________Tons/year ( ort ton ) of Hazardous Air Pollutants (HAPs) DocuSign Envelope ID: 05665509-A7E0-4D3C-9513-E10EE921E221 h. Will the proposed action generate or emit methane (including, but not limited to, sewage treatment plants, 9 Yes ✔9 No landfills, composting facilities)?
If Yes:
i. Estimate methane generation in tons/year (metric): ________________________________________________________________ ii. Describe any methane capture, control or elimination measures included in project design (e.g., combustion to generate heat or electricity, flaring): ________________________________________________________________________________________ _________________________________________________________________________________________________________ i. Will the proposed action result in the release of air pollutants from open-air operations or processes, such as 9 Yes ✔ 9 No quarry or landfill operations?
If Yes: Describe operations and nature of emissions (e.g., diesel exhaust, rock particulates/dust): _________________________________________________________________________________________________________ _________________________________________________________________________________________________________ j. Will the proposed action result in a substantial increase in traffic above present levels or generate substantial 9 Yes ✔ 9 No new demand for transportation facilities or services?
If Yes:
i. When is the peak traffic expected (Check all that apply): Morning Evening Weekend Randomly between hours of __________ to ________.
ii. For commercial activities only, projected number of truck trips/day an t p i trail r an p tr c iii. Parking spaces: Existing _____________ Proposed ___________ Net increase/decrease _____________ i . o t propo action incl an ar par in o v. t propo action incl an o i ication o i tin roa cr ation o n roa or c an in i tin acc cri vi. Are public/private transportation service(s) or facilities available within ½ mile of the proposed site? 9 Yes 9 No vii Will the proposed action include access to public transportation or accommodations for use of hybrid, electric 9 Yes 9 No or other alternative fueled vehicles?
viii. Will the proposed action include plans for pedestrian or bicycle accommodations for connections to existing 9 Yes 9 No pedestrian or bicycle routes?
k. Will the proposed action (for commercial or industrial projects only) generate new or additional demand 9 Yes 9 No ✔ for energy?
If Yes:
i. Estimate annual electricity demand during operation of the proposed action: ____________________________________________ _________________________________________________________________________________________________________ 3,907 MWh ii. Anticipated sources/suppliers of electricity for the project (e.g., on-site combustion, on-site renewable, via grid/local utility, or other):
________________________________________________________________________________________________________ national grid iii. Will the proposed action require a new, or an upgrade to an existing substation? 9 Yes ✔ 9 No
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