HomeMy WebLinkAboutMN-IURA-2019-05-23
108 E. Green St. Approved: 6/27/19
Ithaca, NY 14850
(607) 274-6565
DRAFT MINUTES
ITHACA URBAN RENEWAL AGENCY
Common Council Chambers, City Hall
8:30 A.M., Thursday, May 23, 2019
Members: Svante Myrick, Chair; Karl Graham; Eric Rosario; Tracy Farrell, Vice‐Chair; Laura Lewis
(Common Council Liaison)
Excused: Chris Proulx
Staff: Nels Bohn; Anisa Mendizabal; Charles Pyott
Guests: None.
I. Call to Order
Chair Myrick called the meeting to order at 8:35 A.M.
II. Agenda Additions/Deletions
None.
III. Public Comment (3‐min. maximum per person)
None.
IV. Review of Meeting Minutes: April 18, 2019
Farrell moved, seconded by Graham, to approve the April 18, 2019 minutes with no modifications.
Carried Unanimously 4‐0
V. Urban Renewal Projects
A. Green Street Garage Redevelopment Project: Amendment #1 to Exclusive Negotiation Agreement
Bohn explained the IURA is waiting for the final version of the Vecino Group project plans and financing
package, which will be reviewed by the Economic Development Committee (EDC) in June 2019. Since
Committee members’ travel schedules do not allow them to meet on their usual assigned day, the
Exclusive Negotiation Agreement period’s deadline needs to be extended. Bohn added the final
version of the conference center feasibility analysis should be completed within the next week.
Moved by Graham, seconded by Rosario:
Amendment #1 to Exclusive Negotiation Agreement (ENA):
Green Garage Redevelopment Urban Renewal Project
WHEREAS, on December 13, 2018, the IURA designated Vecino Group of New York, LLC as the
preferred developer for the urban renewal project to redevelop the Green Street Garage, and
IURA Minutes
May 23, 2019
Page 2 of 7
WHEREAS, on April 11, 2019, the IURA executed an Exclusive Negotiation Agreement with Vecino
Group of New York, LLC (Vecino), and
WHEREAS, the ENA is intended to translate Vecino’s conceptual mixed‐use development project to
finalize a term sheet to define the project and developer’s responsibilities, define seller and buyer
contingencies, resolve feasibility issues, and address pre‐identified negotiation issues, and
WHEREAS, Vecino plans to submit required project materials prior to the June 2019 IURA Economic
Development Committee (EDC) meeting, which will develop a recommended Disposition and
Development Agreement (DDA) for IURA consideration, and
WHEREAS, per the original ENA time schedule, the IURA is tasked with submitting a proposed DDA
to Vecino by June 30, 2019, the 80th day of the ENA agreement, and
WHEREAS, due to IURA staff and EDC member June 2019 travel schedules, the EDC is unable to meet
prior to late June 2019, leaving insufficient time for the IURA to approve the DDA at its regular IURA
meeting on June 27th, 2019, and
WHEREAS, Vecino is agreeable to a 30‐day extension of the ENA schedule; now, therefore, be it
RESOLVED, that the IURA hereby authorizes a 30‐day extension of the time schedule contained in
the Exclusive Negotiation Agreement between the IURA and Vecino Group of NY, LLC, and be it
further
RESOLVED, that the IURA Chairperson is authorized, subject to review by IURA legal counsel, to
execute amendment #1 to the Exclusive Negotiation Agreement.
Carried Unanimously 4‐0
IURA Minutes
May 23, 2019
Page 3 of 7
B. Downtown Development Project: Estoppel Certificates Regarding Hotel & Office Parking Agreements
Bohn explained the current owner of the Seneca Place property is conveying it to Hotel Syracuse, LLC
and will be repaying the entire IURA outstanding loan amount. Regrettably, the IURA will be required
to return that entire repayment to New York State as Program Income. The primary lender is now
seeking estoppel certificates for all parties to the original agreement, to confirm that all the provisions
of the original parking agreement shall remain in effect (including established parking rates), without
any changes or need for subsequent approvals. The estoppel will not create any additional obligation
on the IURA.
Moved by Rosario, seconded by Graham:
Estoppel Certificates Regarding Conveyance of
Seneca Place on The Commons Project (130 E. Seneca St.)
WHEREAS, Cascade Plaza, LLC intends to convey to Hotel Syracuse, LLC (Purchaser) the Seneca Place
on The Commons project located at 130 E. Seneca Street, Ithaca, New York, and
WHEREAS, the Seneca Place on The Commons project was an integral component of the City’s
“Downtown Development” urban renewal project to induce new investment, job creation, and
vitality in the downtown, and
WHEREAS, the Downtown Development project incorporated both the multi‐site Cayuga Green
project and the Seneca Place on The Commons project and included an office and hotel parking
agreements that referenced the Seneca, Green, and Cayuga Street parking garages, and
WHEREAS, the Purchaser seeks estoppel agreements to confirm terms of the executed parking
agreements to which the IURA was a signatory, and
WHEREAS, the Purchaser has agreed to pay IURA legal fees associated with review of the requested
agreements, and
WHEREAS, IURA legal counsel has reviewed the draft estoppel certificates and identified required
modifications; now, therefore, be it
RESOLVED, that the IURA Chairperson is hereby authorized, subject to IURA legal counsel approval,
to execute the Estoppel and Recognition Agreement (Hotel Parking) and the Estoppel and
Recognition Agreement (Office Parking) regarding the 99‐year Hotel Parking Agreement, dated June
6, 2006, and the 20‐year Office Parking Agreement, dated June 6, 2006, as amended, and be it
further
RESOLVED, that the Purchaser shall be responsible for all legal fees associated with the request.
Carried Unanimously 4‐0
IURA Minutes
May 23, 2019
Page 4 of 7
VI. HUD Entitlement Grant Program
A. 2019‐2023 Consolidated Plan Update
Mendizabal explained that the 2019‐2023 Consolidated Plan and 2019 Action Plan approval resolution
was reviewed and adopted by Common Council’s Planning & Economic Development Committee (PEDC).
There was one public comment at the meeting, where a resident objected to the fact that the
Consolidated Plan’s Priority Need #10, “Rental Rehab/Energy Efficiency,” was designated as a “Low”
priority. Neither IURA staff, nor Committee members have any objection to designating it a high priority.
IURA staff also learned from HUD that the IURA 2017 Assessment of Fair Housing’s “Contributing
Factors” need to be incorporated as Priority Needs in the Action Plan. (The entire 2017 Assessment of
Fair Housing report has already been approved and adopted by the City.) No other public comments
have been received regarding either the 2019‐2023 Consolidated Plan or 2019 Action Plan.
B. Time Extension Request: Urban Bus Stop Upgrade (Project #12, 2017 CDBG)
Mendizabal explained that Tompkins Consolidated Area Transit, Inc. (TCAT) asked for extra time to
complete the project, which it is already very close to completing. TCAT is confident it can be done by
June 30th, 2019. There is approximately $8,000 remaining in the grant. TCAT has been communicating
regularly with Mendizabal.
Moved by Farrell, seconded by Rosario:
Time Extension ― 2017 HUD AcƟon Plan: Urban Bus Stop Upgrade (Project #12)
WHEREAS, Tompkins Consolidated Area Transit, Inc. (TCAT) was awarded $25,000 from the 2017
CDBG program to upgrade two bus stops at the Albany Street/Salvation Army and at Hancock
Street/Third Street, known as the “Urban Bus Stop Dynamic Displays and Amenities Upgrade”
Project (2017, Project #12), and
WHEREAS, the project was scheduled for completion by December 31, 2018, and
WHEREAS, Director of Community Development for the IURA approved a 120‐day extension to April
30, 2019 for the project, and
WHEREAS, TCAT requests an additional 60‐day extension to June 29, 2019, and
WHEREAS, any further extension requires IURA approval, and
WHEREAS, project construction is now substantially complete at both bus stop locations; now,
therefore, be it
RESOLVED, that the IURA hereby authorizes a 60‐day extension to TCAT for completion of the 2017
Urban Bus Stop Upgrade project, and be it further
RESOLVED, that the Director of Community Development is authorized to implement this resolution
via a letter amendment to the project sponsor.
Carried Unanimously 4‐0
IURA Minutes
May 23, 2019
Page 5 of 7
VII. Other New/Old Business
A. Conveyance of Land at Southerly End of Cherry Street to City as Public Street
Bohn explained that the Board of Public Works (BPW) already approved dedicating the 79’‐by‐66’ area
of land, at the southerly end of Cherry Street, as a public street of the City.
Moved by Farrell, seconded by Graham:
Conveyance of Land at Southerly End of Cherry Street to City as Public Street
WHEREAS, City Code, Section 290‐27 authorizes the Board of Public Works to dedicate an area of
improved land to the City for dedication as a public street; and
WHEREAS, in the process of conveying a parcel of land at 247 Cherry Street, it was discovered the
publicly dedicated portion of Cherry Street does not extend the full length of the improved roadway,
leaving the Ithaca Urban Renewal Agency with a 79’ by 66’ area of land that has been improved with
pavement, curbs, and underground utilities, but has not been accepted as a public street, and
WHEREAS, the legal description for the publicly dedicated portion of Cherry Street terminates 79
feet before the end of the developed portion of the Cherry Street Industrial Park, and
WHEREAS, lack of contiguous street access will impede appropriate development of the Cherry
Street Industrial Park expansion area, and
WHEREAS, the public, industrial park tenants, and zoning officials have treated this IURA‐owned
segment of the roadway as a public street for many years, and
WHEREAS, the Ithaca Urban Renewal Agency offers to convey this 5,215‐square foot area of land to
the City of Ithaca for dedication as a public street, at no cost to the City, thereby extending the
publicly dedicated Cherry Street by a length of 79 feet, now, therefore be it
RESOLVED, that, subject to Board of Public Works approval, the IURA hereby authorizes conveyance
of land at the southerly end of Cherry Street to the City of Ithaca for dedication of a public street as
shown on a survey map entitled “Parcel to be Conveyed by Ithaca Urban Renewal Agency to City of
Ithaca Located at South End of Cherry Street,” prepared by T.G. Miller, P.C., dated 4/11/19, and be it
further,
RESOLVED, that the IURA Chairperson, subject to review by IURA legal counsel, is hereby authorized
to execute any and all documents to implement this resolution, including but not limited to a Deed
to convey property from the IURA to the City of Ithaca.
Carried Unanimously 4‐0
IURA Minutes
May 23, 2019
Page 6 of 7
B. Approval of Annual Reports Submitted to the NYS Authorities Budget Office (ABO)
Bohn reported the agenda packet includes all the information the IURA submitted to the ABO in March
2019. Bohn wanted to ensure the IURA Board has the opportunity to review and approve it, although
it will also be brought before the Governance Committee (GC) for more detailed analysis.
Moved by Rosario, seconded by Graham:
Approval of Reports Submitted to NYS Authorities Budget Office
WHEREAS, pursuant to the Public Authorities Accountability Act, as amended, the IURA is required
on an annual basis to submit reports to the New York State Authorities Budget Office (ABO), and
WHEREAS, the IURA Director of Community Development is designated to certify accuracy of the
reporting, and
WHEREAS, the reporting is due to be submitted within 90 days of the end of the fiscal year, and
WHEREAS, at its May 23, 2019 meeting, the IURA reviewed the reports submitted by staff of public
authority reporting from the IURA, and
WHEREAS, it is appropriate that IURA members exercise oversight over staff reporting to the ABO;
and
WHEREAS, at its May 23, 2019 meeting, the IURA reviewed staff reporting to the ABO; now,
therefore, be it
RESOLVED, that the IURA hereby approves FY2018 IURA reports submitted to the New York State
Authorities Budget Office, including the following:
Budget report
Annual report
Procurement report
Investment report
Certified financial audit report
Carried Unanimously 4‐0
C. Review of IURA Financials: April 2019
Bohn reported virtually all grant activities are progressing on schedule. The Spencer Road Sidewalks
Project has been completed and also vouchered for. Both the Homeowner Rehab and Urban Bus Stop
Project projects are also both moving forward and virtually complete.
Bohn reported all loans current; and all lease payments are in good standing, with the exception of Moro
Design, which will be buying the leased property.
IURA Minutes
May 23, 2019
Page 7 of 7
D. IURA Chairperson Report
None.
E. Common Council Liaison Report
Lewis reported that the 2019‐2023 Consolidated Plan and 2019 Action Plan approval resolution was
reviewed and adopted by Common Council’s Planning & Economic Development Committee (PEDC).
PEDC also issued a conditional approval of the Carpenter Business Park Planned Unit Development (PUD)
application. It also approved a local electric scooter pilot program.
Lewis added that PEDC also discussed the subject of potential rent stabilization legislation, which is a
highly complex undertaking. It will be critical to ensure there are no unintended consequences for small
landlords, or tenants. Small landlords have indicated they are starting to see some downward pressure
on what they can charge for rent, as a result of recent increases in the number of local housing units.
F. Staff Report
Bohn reported that New York State Homes & Community Renewal (HCR) division has announced a pair
of multi‐million dollar grants for projects in Ithaca, focused on affordable and supportive housing. $2.2
million was awarded to Ithaca Neighborhood Housing Services (INHS) as part of the second phase of its
scattered site preservation project. $5.3 million was also awarded to Lakeview Health Services for the
construction of its West End Heights mixed‐use project. The funds come from a combination of the
State’s Housing Trust Fund (HTF) for low‐income housing preservation and development, and Low‐
Income Housing Tax Credits (LIHTCs).
Bohn reported the IURA recently received $24,487.58 from INHS in HOME Program Income (interest‐only
payments subject to cash‐flow) associated with 2015 Project #1, 210 Hancock St., and 2013 Project #1,
Stone Quarry Apartments.
VIII. Adjournment
The meeting was adjourned by consensus at 9: 34 A.M.
— END —
Minutes prepared by C. Pyott, edited by N. Bohn.