PRESENT:

___JOSEPH SEMIONE, CHAIRMAN
___JANE KELLEY, VICE CHAIRMAN
___MIKE FITZGERALD, TREASURER
___JOSEPH GILLIS, SECRETARY
___TODD RULISON, MEMBER
___DAVID D’AMORE, MEMBER
___JAMES MRAZ, EXECUTIVE DIRECTOR
___KARA LAIS, FITZGERALD, MORRIS, BAKER, FIRTH PC
___SCOTT HENZE, PLANNING DIRECTOR
___WARREN GREENE, LIAISON, ECONOMIC DEVELOPMENT AND ENVIRONMENT COMM.
___GRANT PRESTON, FULTON COUNTY CENTER FOR REGIONAL GROWTH (VIA ZOOM)

MOTION        :
MADE BY      :
SECONDED   :
VOTE              :

MOTION :
MADE BY :
SECONDED :
VOTE               :

A. Nominating Committee

• No report.

B. Audit Committee:

• Monthly Bank Reconciliation Report: Mike Fitzgerald

C. Governance Committee:

• No report.

D. Finance Committee:

•  No report.

1. Fulton County Report: Warren Greene, Liaison
2. FCCRG Report: (See attached.) Grant Preston

IDA DISCUSSION:

1. Status Report:

• Received back executed copies of all documents.
• Kara Lais working with Nexus’s attorney on closing documents for providing sales tax exemptions.

• Construction work to start this fall on access road.

IDA DISCUSSION:

1. Status Report:

• Elan Planning/Landscape Architecture/Engineering D.P.C. is working with MVEDD/FCCRG to prepare assessment of potential sites.

IDA DISCUSSION:

1. Status Report:

• At the July 13, 2021 meeting, the IDA Board approved extending from July 15^th to September 15^th the deadline for Lott Holdings to complete its due diligence on buying this building.
• Lott Holdings is still waiting for National Grid (NG) to provide a quote for NG to run a new electric service to the new transformer Lott Holdings must purchase and install.
• Since National Grid has not been responsive to Lott Holding’s request for a quote, Lott Holdings is requesting another extension to the deadline to complete its due diligence on buying this building.

IDA DISCUSSION:

IDA ACTION:

MOTION:                   To approve extending the September 15, 2021 deadline for Lott Holdings to complete its due diligence to November 15, 2021.

MADE BY:
SECONDED:
VOTE:

1. Status Report:

• Building demolition work complete.
• Site work began during week of August 23, 2021.

IDA DISCUSSION:

2.  Waterline Project:

• At August 10, 2021 meeting, Board members agreed to still pay for 75% of the project cost, which was increased from $85,000 to $100,000.
• Board members requested that the Gloversville Board of Water Commissioners also consent to paying for 25% of this $100,000 cost.
• Gloversville Board of Water Commissioners has agreed to pay 25% of estimated $100,000 cost to replace section of water main.
• An Agreement has been executed regarding how the cost of this waterline project will be shared.

IDA DISCUSSION:

3. Sales Tax Exemption:

• Processed paperwork for sales tax exemption.
• Sales tax exemption will be available to Vireo through July 31, 2022.
• Vireo sent a partial payment of IDA’s Administrative Fee for processing sales tax exemption paperwork separately.

IDA DISCUSSION:

4.  Lot Sale:

• In June, the IDA issued the required 90-day notice to New York State of its intent to sell land by negotiation to Vireo Health of NY.
• 90-day period ends on September 13, 2021.
• Closing scheduled for September 15^th.
• Kara Lais and Jim Mraz participated in an August 24^th and September 8^th Microsoft Team meetings with Vireo’s attorneys to go over all documents needed to close.

IDA DISCUSSION:

5.  Project Structure:

a. Background:

• Vireo Health of NY will be working with Innovative Industrial Properties, Inc. (IIP) on the financing of their expansion project.
• IIP is located at 11440 West Bernardo Court, STE 100, San Diego, California.
• IIP is a real estate investment trust for the medical-use cannabis industry.
• A real estate investment trust (REIT) is a corporation that combines the capital of many investors to acquire income producing real estate.
• IIPI buys properties from state licenses medical-cannabis operators.
• The cannabis operators then invest the capital generated by the sale into other areas of their business.
• IIP acquires medical-use cannabis facilities in states that permit medical-use cannabis operations. New York State is one of those states.
• IIP will be purchasing the 325,00 sf facility Vireo is currently constructing at Tryon.

b. Project Structure:

• IDA will deed to Vireo the 92+/- acres at Tryon.
• Vireo will deed the property to IIP.
• IIP will lease the property back to Vireo to operate through a ground lease.
• Vireo will sublease the project to the IDA. The IDA will sublease it back to Vireo.

c. IDA Approvals Needed:

1. The deeding and transfer of the property from Vireo to IIP.
2. The ground lease between IIP and Vireo.

IDA DISCUSSION:

IDA ACTION:

MOTION:                   To approve having Vireo Health of NY deed and transfer title to IIP to the property the IDA is selling to Vireo.

MADE BY:
SECONDED:
VOTE:

MOTION:                   To approve the ground lease between IIP and Vireo.

MADE BY:
SECONDED:
VOTE:

1. Status Report:

• Construction expected to start in mid September.
• Construction is expected to take approximately 10 months to complete.

2. Public Hearing:

• The IDA conducted a public hearing on Hoffman’s request for financial incentives. The public hearing was held in Gloversville since that is where the project is being developed.
• The project will be built on the parcel of land the former Travers Diner was located on. Most of the parcel is located in the City of Gloversville.
• However, there is a small sliver of land on that parcel that is actually located in the Town of Johnstown. This was just discovered upon receipt of the Title Report.
• This sliver was previously part of the NYS Route 30A ROW. NYSDOT determined this sliver to no longer be needed so they auctioned it off.  The sliver was acquired by the previous owner of the Travers.
• The sliver was added to the original parcel. So, even though most of the parcel the car wash will be built on lies in the City of Gloversville, a small sliver is in the Town of Johnstown.
• When the public hearing was scheduled, the Town of Johnstown was not notified.
• Kara Lais and Hoffman’s attorneys both agreed that another public hearing should be conducted. As a result, another  public hearing needs to be conducted and the Town of Johnstown must be notified and invited to the hearing.

3. Resolution:

• See attached Resolution scheduling the public hearing to be held on:

Tuesday
10 a.m.
October 5, 2021
2753 State Highway 29
Johnstown, NY 12095

IDA DISCUSSION:

IDA ACTION:

MOTION:                   To approve a Resolution to schedule a second public hearing relating to the HDC2               Company, LLC Project.

MADE BY:
SECONDED:
VOTE:

1. Background:

• At the August 10, 2021 meeting, the IDA Board authorized Hanson Van Vleet to prepare a Phase I Environmental Site Assessment and C.T. Male to prepare a Geotechnical Evaluation on the 20+/- acre parcel of land the IDA owns in the Johnstown Industrial Park.

2. Phase I Environmental Site Assessment:

• Hanson Van Vleet completed its work.
• Based upon their review of all available information and site inspection, no Recognized Environmental Conditions (REC’s) were revealed and no further environmental site assessment work is recommended.

3. Groundwater Investigation:

• C.T. Male had an excavator onsite on August 30, 2021 to dig numerous test pits across the 20+/- acre site.

IDA DISCUSSION:

• IDA Board must adopt a 2022 Budget by November 1, 2021.
• Draft Budget attached. Key details include:
• Proposed 2022 IDA Budget totals $201,140, a decrease of $34,020 or 14.5% from 2021.
• Proposed 2022 Tryon Technology Park budget totals $73,000, a decrease of $39,400, or 35.1% from 2021.
• Funds are allocated to work on preparing shovel-ready sites and to market these sites.
• No subsidy from Fulton County.

IDA DISCUSSION:

IDA ACTION:

MOTION:

MADE BY:
SECONDED:
VOTE:

1. Real Property Owned by IDA:

• The ABO’s Policy guidance regarding websites states that the IDA should have posted on its website a list of real property owned by the IDA.
• Attached is a comprehensive list of all real property currently owned by the IDA.
• Review map of properties owned by IDA.
• This list will be posted on IDA’s website.

2. Board Training Completed to Date in 2021:

3. Future Board Training Topics:

• Review Internal Financial Controls
• Review Board of Directors Evaluation
• Board Member Training
• Other

IDA DISCUSSION:

1. Upon a majority vote of its total membership, taken in an open meeting pursuant to a motion identifying the general area or areas of the subject or subjects to be considered, a public body may conduct an executive session for the below enumerated purposes only, provided, however, that no action by formal vote shall be taken to appropriate public moneys:

i. matters which will imperil the public safety if disclosed;
ii. any matter which may disclose the identity of a law enforcement agent or informer;
iii. information relating to current or future investigation or prosecution of a criminal offense which would imperil effective law enforcement if disclosed;
iv. discussions regarding proposed, pending or current litigation;
v. collective negotiations pursuant to article fourteen of the civil service law;
vi. the medical, financial, credit or employment history of a particular person or corporation, or matters leading to the appointment, employment, promotion, demotion, discipline, suspension, dismissal or removal of a particular person or corporation;
vii. the preparation, grading or administration of examinations;
viii. the proposed acquisition, sale or lease of real property or the proposed acquisition of securities, or sale or exchange of securities held by such public body, but only when publicity would substantially affect the value thereof.

MOTION:  To go into Executive Session to discuss the proposed acquisition, sale or lease of real property or the proposed acquisition of securities, or sale or exchange of securities held by such public body, but only when publicity would substantially affect the value thereof.

MADE BY      :
SECOND        :
VOTE              :
TIME              :

MOTION        :           To go out of Executive Session.

MADE BY      :
SECOND        :
VOTE               :
TIME              :

Tuesday
October 12, 2021
8:00 a.m.

MOTION        :

MADE BY      :
SECONDED   :
VOTE               :
TIME              :