Troy Local Development Corporation
Regular MeetingTroy, NY · April 10, 2015
Minutes
TROY LOCAL DEVELOPMENT CORPORATION
Board of Director
Meeting Minutes
April 10, 2015
8:30 a.m.
BOARD MEMBERS PRESENT: Kevin O’Bryan, Bill Dunne, Dep. Mayor Pete Ryan,
Andy Ross and Hon. Ken Zalewski
ABSENT:
ALSO IN ATTENDANCE: Ken Crowe, Selena Skiba, Justin Miller, Sharon Martin,
Kevin Mullen, Matthew Dame and Denee Zeigler
Minutes
The Chairman called the meeting to order at 8:30 a.m.
I. Minutes
The board reviewed the minutes from the March 20, 2015 board meetings.
Hon. Ken Zalewski made a motion to approve the March, 20,
2015 board meeting minutes.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
II. Rare Form additional request
Bill Dunne advised that a resolution was sent to the board members for
review along with the term sheet and amortization schedule as requested at
the last meeting. Ken Zalewski advised he felt comfortable after the last
meetings discussion with Mr. Muller. (See attached Resolution 04/15 #1)
Hon. Ken Zalewski made a motion to approve the loan term
sheet and amortization schedule.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
III. Clark House LLC
Bill Dunne advised that Vic Christopher is working on getting the last of the
paperwork together for his loan and will be ready to present next month.
IV. Marina Funding
Mr. Dunne advised that he was approached by the City of Troy to assist with
costs for Marina operations. He added that they are still working with FEMA
to get a permanent marina designed, but felt that it is important to have it up
and running for this season. The City is asking for $50,000 towards marina
operations. Pete Ryan noted that the budget in front of them is the same as
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the one from last year when the City operated it. They will cut down on some
of the expenses by keeping just two full time people and change the hours to
include times when people need fuel the most. Mr. Ryan added that last year
it did not open until mid-May and this year they are shooting for May 1st. Mr.
Ryan explained that if they can focus on getting more fuel income. The
budget gap should end up being about $25,000-$30,000. The Chairman
advised that instead of approving $50,000, which is more than needed, we
might want to stick closer the amount that is needed. Andy Ross agreed. Mr.
Ryan also agreed and advised that $30,000 is a good amount. He noted that
the first season it was run, the expenses were close to $60,000. Mr. Ryan
noted that it needs to be up and running again for all of the events and
farmer’s market. Mr. Ryan explained that they are anticipating $1.2 Million in
funding to come in for the seawall. Ken Zalewski went over the numbers
from the previous year where there was a deficit created by salaries. He
advised that if we cut salaries we should get closer to breaking even. Mr.
Ross advised that additional income could definitely be earned by making
sure the Marina is open to offer fuel to the boaters. The Chairman noted we
are one of the first/last fuel stops. The board had a general discussion on
gas rates and the marina budget from the past two years. The Chairman
advised that the City would need to write this into their budget as a
supplement. Mr. Zalewski noted that there could possibly be about $14,000
in savings which should help cut the previous deficit in half. Mr. Ryan
advised that when they know the numbers, if there is surplus they could
reimburse the LDC. The Chairman asked to see a follow up to this budget
later in the year. Mr. Zalewski asked if they could include the number of
boaters that patronize the local businesses. Mr. Ryan advised that after
taking to business owners, he noted that boaters dock at the Marina and
frequently visit local businesses and the farmers market. Mr. Zalewski asked
if there was a way to track that. The Chairman advised he is not sure if there
is a way to do that. Mr. Ross added that boats that dock in the marina
usually carry multiple people.
Andy Ross made a motion to approve $30,000 in grant
funding to the City of Troy for the operations of the Marina.
Bill Dunne seconded the motion, motion carried.
V. Camera Funding
Mr. Dunne advised is item will not be discussed today.
VI. Composting Pilot Funding
Mr. Dunne advised that The City of Troy has been working with Troy Zero
Waste and Empire Zero to create a pilot composting program. Mr. Dunne
advised that one of the benefits is the fact that compost is among the
heaviest items that ends up going into the municipal solid waste stream.
Municipal solid waste accounts for about $1.2 Million in expenses to the City.
Mr. Dunne advised that if we can encourage residential composting, we may
be able to reduce that expense significantly. Mr. Dunne advised that they
have identified a neighborhood of about 300 houses that they would like to
start the program in, but it would have to be put out to bid first. The City has
asked the LDC if we would be willing to fund some of the startup costs in the
amount of $10,000 to be used for composting barrels, bags, printing
promotional literature. The groups involved will be doing training seminars
and educational classes. The Chairman asked if Capital Roots is involved in
any way. Mr. Dunne advised not that he is aware of but will look into. Mr.
Dunne explained that currently, municipal solid waste is disposed of at
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$60/ton. Empire Zero has offered to take the compost at $30/ton. Mr. Dunne
advised eventually we will have to build a business model to see if the City
can do its own composting. The Chairman clarified that this is just municipal
solid waste. Mr. Ross asked if it would be grass clippings and other yard
waste. Mr. Dunne advised it will be residential food waste. We would be
supplying the bins for the residents. The Chairman asked if the residents
know about this program yet. Mr. Dunne advised not yet, but they have
identified a couple of neighborhoods that seem like they will be good
candidates. Mr. Dunne reminded the board that it still has to go out to bid.
Mr. Zalewski advised that there was a composting work group that was set up
through the Troy City Council. He noted that it will be a savings to the City
and will be a great program. Mr. Zalewski advised that many residents and a
couple of neighborhoods already compost and this will be a great thing to see
happen citywide. Mr. Dunne advised there are additional phases that will be
rolling out. The Chairman added that clustering like-minded people will be a
challenge and key to the success of the program.
Hon. Ken Zalewski made a motion to approve $10,000 in
funding to The City of Troy for the pilot composting program.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
VII. Façade Grants
Lusco Paper Co. – Mr. Dunne spoke about the first façade grant application
for 1401 5th Avenue, Lusco Paper Co. He advised they are on the corner of
Liberty and 5th and are looking for some assistance to repair the facades on
Liberty and Williams Street. They are asking for $20,000 but our grants have
a max of $5,000. Mr. Zalewski asked if there is enough funding. Mr. Dunne
advised yes, there is about $49,000 in funds. Mr. Zalewski asked if those
were our own funds or if they are federal/Main Street funds. Mr. Dunne
advised they are our own funds. We currently have no Main Street funding
and the previous 50/50 program was through federal funds.
Hon. Ken Zalewski made a motion to approve the façade
grant for Paul Rapp of Lusco Paper Co. at 1401 5th Ave. in the
amount of $5,000.
Bill Dunne seconded the motion, motion carried.
Phil Farinacci, Loreto Rental – Mr. Dunne introduced Phil Farinacci, owner
of 213-215 4th Street. Mr. Farinacci explained that he purchased the building
in February because he felt it was located in a neighborhood that he wanted
to invest in. He advised that he lives close by on First Street and has another
property that was recently rehabbed on Second Street. Mr. Farinacci advised
this building is located on the corner and has been neglected for many years.
He advised that they would like to remove the current façade that is on the
building now and get down to the brickwork which will be repainted. He
would also like to replace the doors and windows and create a space on the
first floor that could be used for either residential or commercial. Currently, it
is being used as residential. Their main objective is to encourage the
continued growth in that area. Mr. Dunne advised the address may be in the
National Historic District and may have to go through review. Mr. Farinacci
advised he is not in the City’s current Historical District. Mr. Dunne advised
the can look into further. Mr. Farinacci advised he has worked with SHPO on
his other properties and will also check with them on this property. The
Chairman noted that Mr. Farinacci is familiar with the process.
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Mr. Dunne noted that the application shows a request for two grants; one for
each building on the lot. Mr. Farinacci advised yes, the building is two
addresses. The Chairman noted that providing assistance to this smaller
project is a great example of how the grants can reach to the outer parts of
the central business district and assist the businesses and property owners.
Hon. Ken Zalewski made a motion to approve the façade
grant for Phil Farinacci of Loreto Rental at 213-215 4th Street
in the amount of $5,000 for each of his buildings.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
Joe Scaccia, Alpha Recreation Inc. – Mr. Dunne spoke on behalf of the
façade grant application made by Joe Scaccia of Alpha Bowling Lanes. Mr.
Ryan advised that this is an important business for that block. He noted that
there have been other projects submitted for that area that would not have
been a good fit for the area, but this one is.
Dep. Mayor Pete Ryan made a motion to approve the façade
grant for Joe Scaccia of Alpha Recreation Inc. in the amount
of $5,000.
Hon. Ken Zalewski seconded the motion, motion carried.
VIII. Façade Target Area
Mr. Dunne spoke about the plan to spread some of the façade grant funding
to other parts of the City. After discussing with City Council members and the
Economic Development Coordinator, they came up with three target areas;
the Little Italy neighborhood on 4th Street from Ferry to Adams, Lansingburgh
on 2nd Ave between 114th – 126th Street and the Eastside of Troy between
Pawling Ave and Spring Ave up to Winter Street. Mr. Dunne proposed that
we allocate $50,000 in funding to each of the areas. He wanted to
specifically target commercial properties and residential buildings that have a
commercial unit or is owner occupied. The Chairman asked what would
happen if someone from just outside the target area wanted to apply for a
façade grant. Mr. Dunne advised that we can still review their applications as
part of the regular façade program. The Chairman advised that this is great
that additional work will be happening in other parts of the City. Mr. Dunne
advised at some point we may be able to add in a fourth targeted zone. The
board had a general discussion of other areas that could be targeted. The
Chairman advised that we can continue to look at targeted areas. Mr.
Zalewski expressed that this is a great idea and added that the areas chosen
could use some investment.
Dep. Mayor Pete Ryan made a motion to approve $150,000 in
total funding; $50,000 for each of the three target areas.
Ken Zalewski seconded the motion, motion carried.
IX. PARIS
Mr. Dunne spoke to the board about the final PARIS report that was due on
March 31st. He noted that it was completed and submitted on time. Mr.
Dunne advised the document is large and he did not want to print hard copies
unless requested. The Chairman asked for a paper copy. Mr. Dunne
advised an electronic copy will be sent to the other board members.
X. Financials
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Selena Skiba handed out a final copy of the SaxBST audit that was
presented at the last meeting.
Mrs. Skiba noted a $25,000 being held for a parking study. The fixed assets
have been updated to reflect the sale of 444 River Street.
Mrs. Skiba advised that the bill for the Bobcat needs and additional amount
approved in order to pay. The bill came and it was $498.98 over the approved
amount. The Chairman advised that we can discuss after the presentation of
the financials.
The grants payable still shows a large amount of approved grants waiting for
paperwork.
Mrs. Skiba advised on the last page, the net ordinary income is prior to the
sale of 444 River Street and below that has the information about the sale
which had a significant impact.
Justin Miller asked for clarification about how the sale of 444 River Street is
listed on the financials. Mrs. Skiba advised that she would clarify for him.
XI. Bobcat additional funds
The Chairman advised that when the invoice for the Bobcat was received, it
was over the approved amount. Approval is needed in order to pay the
$495.98 extra, bringing the total approved amount to $20,495.48.
Dep. Mayor Pete Ryan made a motion to approve the invoice
for the Bobcat for up to $20,495.98.
Andy Ross seconded the motion, motion carried.
XII. Infinity Café term sheet
Matthew Dame spoke to the board about his previously approved loan. He
advised that he did receive a term sheet but the length of time and amount
was incorrect. He advised the loan amount should be $23,500 for 54 months.
Mr. Dunne apologized for the mix up and asked the board if they could review
the updated term sheet today. Mr. Dame emailed a copy of the term sheet
and schedule and had it printed up to present to the board. Mr. Dunne
advised that we had already approved the loan at a previous meeting and this
would be an update to the term sheet. Mr. Miller advised that the date on the
term sheet will also have to be updated to start the clock for the closing. Mr.
Ross asked if we will have time to clean up the paperwork before the closing.
Mr. Miller advised that we will have another chance to approve once the
resolution comes in front of the board.
Hon. Ken Zalewski made a motion to approve the updated
term sheet for Infinity Café’s loan of $23,500 with corrections.
Dep. Mayor Pete seconded the motion, motion carried.
XIII. Adjournment
The Chairman asked if there was any other business to discuss. With no
other items, the meeting was adjourned at 9:38 a.m.
Bill Dunne made a motion to adjourn the meeting.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
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AUTHORIZING RESOLUTION
(Rare Form Brewing Company, LLC – Loan Agreement)
A regular meeting of the Troy Local Development Corporation was convened on April
10, 2015, at 8:30 a.m.
The following resolution was duly offered and seconded, to wit:
Resolution No. 04/15 #1
RESOLUTION OF THE TROY LOCAL DEVELOPMENT CORPORATION
AUTHORIZING (i) THE ISSUANCE OF A $20,000 LOAN TO RARE FORM
BREWING COMPANY, LLC WITH RESPECT TO A CERTAIN PROJECT
(AS DEFINED HEREIN) AND (ii) THE EXECUTION AND DELIVERY OF A
LOAN AGREEMENT AND RELATED DOCUMENTS.
WHEREAS, The Troy Local Development Corporation (the “Corporation”) is a duly-
established, not-for-profit local development corporation of the State pursuant to Section 1411(h)
of the Not-for-Profit Corporation Law (“N-PCL”) and a Certificate of Reincorporation filed on
April 5, 2010 (the “Certificate”) established for the charitable and public purposes of relieving
and reducing unemployment, promoting and providing for additional and maximum
employment, bettering and maintaining job opportunities, instructing or training individuals to
improve or develop their capabilities for such jobs, by encouraging the development of, or
retention of, an industry in the community or area, and lessening the burdens of government and
acting in the public interest; and
WHEREAS, RARE FORM BREWING COMPANY, LLC (the “Company”), has
requested assistance from the Corporation in connection with a certain project (the “Project”)
consisting of the acquisition and installation by the Company of certain items of brewing and
related equipment and other tangible personal property (collectively, the “Equipment”) necessary
and incidental for the operation by the Company of a brewery and retail taproom located within a
leased premises at 90 Congress Street, Troy New York (the “Facility”); and
WHEREAS, in furtherance of the Project, the Company has requested financing from the
Corporation in the form of a $20,000.00 Loan (the “Loan”) to assist the Company to acquire and
install the Equipment in and around the Facility; and
WHEREAS, the Corporation desires to authorize the issuance of the Loan, the terms of
which have been presented at this meeting, and approve the execution and delivery of a Loan
Agreement (“Agreement”), along with related documents, to memorialize the terms and
conditions by which the Loan shall be extended by the Corporation, including the repayment
thereof and security therefore.
NOW, THEREFORE, BE IT RESOLVED BY THE DIRECTORS OF THE TROY
LOCAL DEVELOPMENT CORPORATION AS FOLLOWS:
Section 1. The Corporation hereby authorizes the provision of the Loan to the
Company in furtherance of the Project. The Chairman, Vice Chairman and/or the Chief
Executive Officer of the Corporation are hereby authorized, on behalf of the Corporation, to
execute and deliver a Loan Agreement, along with related documents (collectively, the “Loan
Documents”), in such form as prepared and approved by counsel to the Corporation and as
approved by the Chairman, Vice Chairman and/or the Chief Executive Officer.
Section 2. The Secretary or Assistant Secretary of the Corporation are hereby
authorized, where appropriate, to affix the seal of the Corporation to the Loan Documents and to
attest the same, all with such changes, variations, omissions and insertions as the Chairman, Vice
Chairman and/or Chief Executive Officer of the Corporation shall approve, and the execution
thereof by the Chairman, Vice Chairman and/or Chief Executive Officer of the Corporation to
constitute conclusive evidence of such approval.
Section 3. The officers, employees and agents of the Corporation are hereby
authorized and directed for and in the name and on behalf of the Corporation to do all acts and
things required and to execute and deliver all such checks, certificates, instruments and
documents, to pay all such fees, charges and expenses and to do all such further acts and things
as may be necessary or, in the opinion of the officer, employee or agent acting, desirable and
proper to effect the purposes of the foregoing resolutions and to cause compliance by the
Corporation with all of the terms, covenants and provisions of the documents executed for and
on behalf of the Corporation.
Section 4. These Resolutions shall take effect immediately.
The question of the adoption of the foregoing Resolution was duly put to a vote on roll
call, which resulted as follows:
Yea Nea Absent Abstain
Kevin O’Bryan [ X ] [ ] [ ] [ ]
William Dunne [ X ] [ ] [ ] [ ]
Hon. Kenneth Zalewski [ X ] [ ] [ ] [ ]
Andrew Ross [ X ] [ ] [ ] [ ]
Peter Ryan [ X ] [ ] [ ] [ ]
The Resolution was thereupon duly adopted.
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Agenda
Kevin O’Bryan, Chairman Andrew Ross, Vice Chairman
Ken Zalewski Bill Dunne
Deputy Mayor Pete Ryan
TROY LOCAL DEVELOPMENT CORPORATION
Board of Directors Meeting
Planning Department Conference Room
City Hall
433 River Street, Suite 5001
Troy, New York 12180
April 10, 2015
8:30 a.m.
AGENDA
I. Approval of Minutes from March 20, 2015 board meeting.
II. Rare Form Brewing loan term sheet (Bill)
III. Clark House, LLC loan term sheet for additional funding (Bill)
IV. Marina funding (Bill)
V. Camera Funding TPD (Bill)
VI. Composting Pilot Program Funding (Bill)
VII. 2015 Façade Grant Target Areas (Bill)
VIII. Façade Improvement grant program (Bill)
1401 5th Avenue
213-215 4th Avenue
326 5th Avenue
IX. PARIS Report
X. Financials (Joe)
XI. Old Business
XII. New Business
XIII. Adjournment
TROY LOCAL DEVELOPMENT CORPORATION
Board of Director
Meeting Minutes
March 20, 2015
8:30 a.m.
BOARD MEMBERS PRESENT: Kevin O’Bryan, Bill Dunne, Dep. Mayor Pete Ryan,
Andy Ross and Hon. Ken Zalewski
ABSENT:
ALSO IN ATTENDANCE: Ken Crowe, Selena Skiba, Justin Miller, Sharon Martin,
Kevin Mullen, Andrew Piotrowski, Joe Mazzariello, Paul Goetz, Laban Coblentz,
Mike Morris, Adam Sanzone and Denee Zeigler
Minutes
The Chairman called the meeting to order at 8:30 a.m
I. Minutes
The board reviewed the minutes from the February 13, 2015 board meetings.
Dep. Mayor Pete Ryan noted that spelling of his name was incorrect in last
month’s minutes.
Hon. Ken Zalewski made a motion to approve the minutes
with corrections noted above.
Andy Ross seconded the motion, motion carried.
II. Other Business
Bill Dunne noted that on April 28th at the Arts Center, The Temple University
students will be here to present their final projects and the board is invited to
attend that event.
III. Draft Audit report by SaxBST
The chairman introduced Paul Goetz of SaxBST to the board. Mr. Goetz
advised he will go over the draft copy of the audit report for the Troy LDC. He
noted that this is a draft report and will become finalized after the board
reviews and approves it. The second thing needed to complete is a
representation letter. The representation letter says that the entity was
forthright in disclosing all of the requested information. Mr. Goetz noted that
all of the reports are due to the ABO by March 31st.
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Mr. Goetz noted that on the first two pages of the audit report it shows that
the financial statements have received an unmodified opinion, the highest
form of assurance an auditor can give. Page three of the report is the
statement of net position, the balance sheet of the LDC as of 12/31/14 versus
12/31/13. Mr. Goetz noted the cash balance, assets and loans receivable.
He advised that there are two places where the loans receivable are stated;
the current portion the principal of what is expected to be received in 2015
and the other is the long term portion which is the amount expected to be
received beyond 2016 through maturity. Mr. Goetz noted a couple of
significant liabilities; the grants payable section shows the grants approved in
2014 and waiting to be paid in 2015 and the deposits held which is for the
sale of 444 River Street. Mr. Goetz noted that the deposit for that property
was received two years ago, but just went into the bank this year. He added
the property will be closing soon. Mr. Miller advised that it went non-
refundable at the end of last year. Mr. Goetz also noted the loans payable
section, which is also separated by current and long term. The Chairman
asked for clarification about the item listed as ‘deferred grant revenue shown
as a liability’. Joe Mazzariello noted that it is revenue that is not earned until
the grant requirements are fulfilled. Mr. Miller asked if that was the BEDI
funds. Mr. Goetz advised yes.
Mr. Goetz went over page 4, the statements of revenues, expenses and
changes in net position. Mr. Goetz reviewed the operating revenue and
operating expenses. The economic development grants section includes the
money used to support the Troy Community Land Bank and the façade
grants. Mr. Goetz noted the decrease in net position from last year.
Mr. Goetz advised the board of the footnotes listed on page 9 under loans
receivable. He advised that five new loans were issued during 2014 with
various terms and maturities and noted that there is always risk of no
payment. Mr. Goetz advised that they report the there is an allowance listed
for doubtful loans. Note 4, Property held for development and resale carries
over to page 10. This note indicates the cost of any of the work done at the
King Fuels site. Mr. Goetz advised note 5 breaks down the BEDI loan and
expected maturities.
Mr. Mazzariello asked if there should be a note indicating that one of the
notes to the City were to be paid off. Mr. Miller advised that it was approved
last year, but not paid yet. Mr. Goetz advised that they would include it in the
year that it is paid off. The Chairman asked if this is the copy that is posted to
the website and sent to the ABO. Mr. Goetz advised yes.
Dep. Mayor Pete Ryan made a motion to approve the DRAFT
audit report as presented by SaxBST.
Andy Ross seconded the motion, motion carried.
IV. Rare From Brewing additional funding
Mr. Dunne introduced Kevin Mullen, one of the owners of Rare Form
Brewing, to the board. Mr. Dunne advised that they received funding from us
in the past and are back to ask for additional funding in order to purchase
equipment. Mr. Dunne advised the current loan request was $22,500 and
has been modified to $20,000. Andy Ross asked if the term of the loan would
be for 3 years and if we were combining the two loans. Justin Miller
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explained that the term is 5 years and a new loan agreement will be drawn up
with new securities. Mr. Mullen advised that a 5 year term would be ideal.
The funds would be used to purchase additional equipment in order to
increase production and keep up with demands. Mr. Ross asked if he is
comfortable that the sales will cover the additional loan. Pete Ryan asked if
this will help them to double their capacity. He explained that they sell out of
what they are making before it is even in the kegs. Mr. Ross asked spoke of
his previous business plan that included sales to surrounding areas. Mr.
Muller advised they are in all of the top beer bars in Albany and are in a few
bars in Saratoga. He advised that he has received requests from other
businesses, but is unable to meet the demand currently. Ken Zalewski asked
how long they have been open. Mr. Mullen advised they are coming up on
their one year anniversary. Mr. Ryan asked if the market is close to being
saturated. Mr. Mullen advised that the craft beer market has reached about
10% of the actual beer market. He advised that a lot of the breweries are
focusing on smaller towns and it actually works well to have other breweries
close by for people to try. People like to come to a town that has more than
one to visit. Laban Coblentz added that one of the new services at The
Center of Gravity is a sales and distribution service for foreign export. They
select medium production companies and market their product to foreign
niche markets. The first vertical they selected is American Craft beers. He
noted that it used to be that the Americans bought European beers, but now
may Europeans are demanded American Craft beer. Mr. Zalewski asked
where the current loan stands. Andy Piotrowski advised the board they are
current. The Chairman asked if there were any other questions or items to
discuss.
Hon. Ken Zalewski made a motion to approve the $20,000
loan to Rare Form Brewing Company.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
V. Clark House LLC
Mr. Dunne advised that he is waiting for some of the requested information to
come in regarding the Clark House LLC and it can be discussed at the next
meeting.
VI. Old Business
Justin Miller advised the board they anticipate a closing for 444 River Street
by March 31st. Mr. Miller recalled that in January we approved an
amendment to the sale contract where they were going to purchase by March
and finance a portion of that with the LDC. They requested that the first 18
months of that be interest free. Mr. Dunne added that he has had some
conversations with The Vecino Group regarding their financing. He advised
that they are ready to proceed but will need assistance to create an
application to NYS for tax credits. They are asking us for no interest and
payments due for 18 months. The Chairman noted that we will get the
$350,000 up front for the building and there would be a transfer of title which
would make them responsible to maintain the building. We would get the
remaining balance once financing is in place. Andy Ross advised that there
seems to be a good deal for the LDC because we will get the full purchase
price for the building and another payment down the road as well as having
them pay the taxes and maintain the building. Mr. Miller added that if for
some reason the project does not happen within the two years, the building
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will revert back to the LDC. Mr. Dunne advised that they have money
invested in the building. Ken Zalewski advised that we have been
maintaining the building and asked if they have invested other funds into the
building. The Chairman advised yes. Mr. Ross advised architect and
engineer costs. The Chairman asked if there were any other questions from
the board. Ken Zalewski asked about the timeframe of the project. Mr. Miller
advised that there will be no interest or payments for 18 months and 30
months for project to be completed. He added that the timing follows the
NYS tax credit application process. Pete Ryan noted the progress of the
Hudson Art House and how quickly that moved along once financing was in
place. (See attached LDA)
Dep. Mayor Pete Ryan made a motion to approve the
amended LDA for 444 River Street.
Andy Ross seconded the motion, motion carried.
VII. Freelot
Mr. Miller reminded the board that at the last meeting authorization was given
to negotiate a lease surrender agreement from Freelot, a tenant on the King
Fuels site. He advised that he has a signed agreement and he is looking for
a motion to execute the lease surrender agreement and authorize lease
surrender payments. Mr. Miller advised the costs, for the most part, are for
relocation fees. By closing out their lease two years early, National Grid will
be able undertake their remediation and the tenant will not be disturbed
during the process. Ken Zalewski asked for a recap of the process. Mr.
Miller spoke about the background of the Freelot lease over the past few
years. He advised that this will waive off some of the rents due and a series
of payments that will assist them in relocating their equipment. They will be
out by June 1st of this year. Mr. Ross asked if we know where they are
moving to, will it be in Rensselaer County. Mr. Ryan asked if we will be
checking the site before we pay them. Mr. Miller advised that NYS DEC may
be able to inspect the site before we issue the final payment. Mr. Dunne
added we will make sure we have staff monitor the site. (See attached
Settlement Agreement)
Bill Dunne made a motion to authorize the surrender,
settlement and mutual release agreement with Freelot Steel
Corp. and E-Lot Electronics Recycling Inc.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
VIII. Financials
Joe Mazzariello handed out a draft copy of the PARIS report to the board
members. He advised they will be reviewed and sent over the NYS by March
31st. Mr. Mazzariello advised it is compromised of the Mission statement,
accomplishments, budget and the official PARIS report. The Chairman
wanted to make sure this report is complete and reviewed before it is
submitted on March 31st. Mr. Mazzariello passed out a copy of the
procurement report.
Mr. Mazzariello reviewed the current financials of the LDC noting the current
assets, $25,000 being held for a parking study, the restricted cash from the
BEDI and restricted cash for $20,000 for a building deposit. He noted
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accounts receivable, fixed assets and pre-paid expenses. The next section
discusses was the liabilities section and accounts payable. Mr. Mazzariello
advised that the deferred revenue is the unused BEDI funds which will be
zero by the end of this year. He noted the detailed income and expense
statement and the receivables. The Chairman asked if there were any
questions.
Bill Dunne made a motion to accept the financials as
presented.
Andy Ross seconded the motion, motion carried.
IX. New Business
Mr. Dunne advised that there are two items to discuss for new business.
Union Station Clock - The first item is a piece of Troy’s history that has
come up for auction which was sent to the board members for review. Mr.
Dunne advised it is the clock that used to be at Troy’s Union Station. He
advised that it is about to go up for auction in NYC through a company called
Urban Archeology. Mr. Dunne advised he has reached out to them and the
auction house to see if there was a way to acquire the piece. He advised that
the estimated price is $60,000-$80,000 and has asked them if they would be
interested in donating to the LDC as a tax write off. Mr. Dunne asked if there
was any interest by the board to pursue. The Chairman commented that it
seems like a wonderful opportunity for the preservation community to try and
purchase the clock. It is not something that falls within the LDC’s mission
statement. Mr. Dunne advised he has reached out to them, but unfortunately
it will probably be auctioned off to another entity. The board agreed that it will
be a shame to lose it, but it is outside our mission statement.
Laban Coblentz, Center of Gravity – Mr. Coblentz wanted to give an update
about The Center of Gravity and also thank the board for their initial loan and
grant then support for Gloabal Citizen that helped get them to the next phase.
He advised that the LDC has been a great partner and wanted to thank Bill
Dunne and the rest of the board for being consistently involved in the
process.
Mr. Coblentz advised that we were awarded funding in 2013 and are currently
going through the approval process. He added that they received a $250,000
National Grid grant and recently signed on a business for a naming
opportunity.
Mr. Coblentz wanted to address the question of imitation and whether or not it
detracts from Troy. He advised that inquiries come in from surrounding areas
in New York State and a few in North Carolina asking how to imitate this, but
Troy will always be the flagship. There are many places that want to re-
create this in their cities. Mr. Coblentz advised recently that someone from
the National Institute of Technology visited recently and wanted to know how
they could imitate this program on a national level. RPI also has us featured
on their panel of a very prestigious conferences of the year, The Advanced
Manufacturing Conference. We are seeing three main aspects of economic
development happening; Main Street revitalization, support and training. The
fourth aspect that we will continue to work on is retention of young
professionals. Mr. Coblentz also noted that they are working on a space
5
called the Thinkubator, a kid’s maker space that will be imbedded there. He
also noted that they are partnering with the Workforce Development Institute
that works with the labor unions and business. They are working on a couple
of major projects with them to help create training programs for higher level
jobs. Mr. Ryan asked what the timeframe of the building will be. Mr.
Coblentz advised that the completion date should be sometime towards the
end of next month. He advised that there is some loan paperwork that they
are also working to finalize. He will let us know the completion date and
ribbon cutting ahead of time.
X. Adjournment
The Chairman thanked Mr. Coblentz for his update and asked if there was
any other business to discuss. With no other items, the meeting was
adjourned at 9:30 a.m.
Bill Dunne made a motion to adjourn the meeting.
Dep. Mayor Pete Ryan seconded the motion, motion carried.
6
Loan Amortization Schedule - Rare Form Brewing Company (additional funding)
Enter values Loan summary
Loan amount $20,000 Scheduled payment $ 370.59
Annual interest rate 4.25 % Scheduled number of payments 60
Loan period in years 5 Actual number of payments 60
Number of payments per year 12 Total early payments $ -
Closing Date 4/15/2015 Total interest $ 2,235.47
Start Date of Payments 5/1/2015
Optional extra payments $ -
Lender name: Troy Local Development Corporation
Pmt Beginning Extra Ending Cumulative
No. Payment Date Balance Scheduled Payment Payment Total Payment Principal Interest Balance Interest
1 5/1/2015 $ 20,000.00 $ 370.59 $ - $ 370.59 $ 299.76 $ 70.83 $ 19,700.24 $ 70.83
2 6/1/2015 19,700.24 370.59 - 370.59 300.82 69.77 19,399.42 140.61
3 7/1/2015 19,399.42 370.59 - 370.59 301.88 68.71 19,097.54 209.31
4 8/1/2015 19,097.54 370.59 - 370.59 302.95 67.64 18,794.58 276.95
5 9/1/2015 18,794.58 370.59 - 370.59 304.03 66.56 18,490.56 343.51
6 10/1/2015 18,490.56 370.59 - 370.59 305.10 65.49 18,185.45 409.00
7 11/1/2015 18,185.45 370.59 - 370.59 306.18 64.41 17,879.27 473.41
8 12/1/2015 17,879.27 370.59 - 370.59 307.27 63.32 17,572.00 536.73
9 1/1/2016 17,572.00 370.59 - 370.59 308.36 62.23 17,263.64 598.96
10 2/1/2016 17,263.64 370.59 - 370.59 309.45 61.14 16,954.19 660.11
11 3/1/2016 16,954.19 370.59 - 370.59 310.55 60.05 16,643.65 720.15
12 4/1/2016 16,643.65 370.59 - 370.59 311.64 58.95 16,332.00 779.10
13 5/1/2016 16,332.00 370.59 - 370.59 312.75 57.84 16,019.26 836.94
14 6/1/2016 16,019.26 370.59 - 370.59 313.86 56.73 15,705.40 893.68
15 7/1/2016 15,705.40 370.59 - 370.59 314.97 55.62 15,390.43 949.30
16 8/1/2016 15,390.43 370.59 - 370.59 316.08 54.51 15,074.35 1,003.81
17 9/1/2016 15,074.35 370.59 - 370.59 317.20 53.39 14,757.15 1,057.19
18 10/1/2016 14,757.15 370.59 - 370.59 318.33 52.26 14,438.82 1,109.46
19 11/1/2016 14,438.82 370.59 - 370.59 319.45 51.14 14,119.37 1,160.60
20 12/1/2016 14,119.37 370.59 - 370.59 320.59 50.01 13,798.78 1,210.60
21 1/1/2017 13,798.78 370.59 - 370.59 321.72 48.87 13,477.06 1,259.47
22 2/1/2017 13,477.06 370.59 - 370.59 322.86 47.73 13,154.20 1,307.20
23 3/1/2017 13,154.20 370.59 - 370.59 324.00 46.59 12,830.20 1,353.79
24 4/1/2017 12,830.20 370.59 - 370.59 325.15 45.44 12,505.05 1,399.23
25 5/1/2017 12,505.05 370.59 - 370.59 326.30 44.29 12,178.74 1,443.52
26 6/1/2017 12,178.74 370.59 - 370.59 327.46 43.13 11,851.29 1,486.65
27 7/1/2017 11,851.29 370.59 - 370.59 328.62 41.97 11,522.67 1,528.63
28 8/1/2017 11,522.67 370.59 - 370.59 329.78 40.81 11,192.89 1,569.44
29 9/1/2017 11,192.89 370.59 - 370.59 330.95 39.64 10,861.94 1,609.08
30 10/1/2017 10,861.94 370.59 - 370.59 332.12 38.47 10,529.81 1,647.55
31 11/1/2017 10,529.81 370.59 - 370.59 333.30 37.29 10,196.52 1,684.84
32 12/1/2017 10,196.52 370.59 - 370.59 334.48 36.11 9,862.04 1,720.95
33 1/1/2018 9,862.04 370.59 - 370.59 335.66 34.93 9,526.38 1,755.88
34 2/1/2018 9,526.38 370.59 - 370.59 336.85 33.74 9,189.52 1,789.62
35 3/1/2018 9,189.52 370.59 - 370.59 338.04 32.55 8,851.48 1,822.17
36 4/1/2018 8,851.48 370.59 - 370.59 339.24 31.35 8,512.24 1,853.52
37 5/1/2018 8,512.24 370.59 - 370.59 340.44 30.15 8,171.79 1,883.66
38 6/1/2018 8,171.79 370.59 - 370.59 341.65 28.94 7,830.14 1,912.61
39 7/1/2018 7,830.14 370.59 - 370.59 342.86 27.73 7,487.28 1,940.34
40 8/1/2018 7,487.28 370.59 - 370.59 344.07 26.52 7,143.21 1,966.86
41 9/1/2018 7,143.21 370.59 - 370.59 345.29 25.30 6,797.92 1,992.15
42 10/1/2018 6,797.92 370.59 - 370.59 346.52 24.08 6,451.40 2,016.23
43 11/1/2018 6,451.40 370.59 - 370.59 347.74 22.85 6,103.66 2,039.08
44 12/1/2018 6,103.66 370.59 - 370.59 348.97 21.62 5,754.69 2,060.70
45 1/1/2019 5,754.69 370.59 - 370.59 350.21 20.38 5,404.48 2,081.08
46 2/1/2019 5,404.48 370.59 - 370.59 351.45 19.14 5,053.03 2,100.22
47 3/1/2019 5,053.03 370.59 - 370.59 352.69 17.90 4,700.33 2,118.11
48 4/1/2019 4,700.33 370.59 - 370.59 353.94 16.65 4,346.39 2,134.76
49 5/1/2019 4,346.39 370.59 - 370.59 355.20 15.39 3,991.19 2,150.15
50 6/1/2019 3,991.19 370.59 - 370.59 356.46 14.14 3,634.73 2,164.29
51 7/1/2019 3,634.73 370.59 - 370.59 357.72 12.87 3,277.02 2,177.16
52 8/1/2019 3,277.02 370.59 - 370.59 358.99 11.61 2,918.03 2,188.77
53 9/1/2019 2,918.03 370.59 - 370.59 360.26 10.33 2,557.77 2,199.10
54 10/1/2019 2,557.77 370.59 - 370.59 361.53 9.06 2,196.24 2,208.16
55 11/1/2019 2,196.24 370.59 - 370.59 362.81 7.78 1,833.43 2,215.94
56 12/1/2019 1,833.43 370.59 - 370.59 364.10 6.49 1,469.33 2,222.43
57 1/1/2020 1,469.33 370.59 - 370.59 365.39 5.20 1,103.94 2,227.64
58 2/1/2020 1,103.94 370.59 - 370.59 366.68 3.91 737.26 2,231.55
59 3/1/2020 737.26 370.59 - 370.59 367.98 2.61 369.28 2,234.16
60 4/1/2020 369.28 370.59 - 369.28 367.98 1.31 0.00 2,235.47
61 5/15/2020 0.00 370.59 - 0.00 0.00 0.00 0.00 2,235.47
62 6/15/2020 0.00 370.59 - 0.00 0.00 0.00 0.00 2,235.47
63 7/15/2020 0.00 370.59 - 0.00 0.00 0.00 0.00 2,235.47
64 8/15/2020 0.00 370.59 - 0.00 0.00 0.00 0.00 2,235.47
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