HomeMy WebLinkAboutMN-IURAGOV-2019-07-19
108 E. Green St.
Ithaca, NY 14850
(607) 274-6565
MEETING MINUTES
ITHACA URBAN RENEWAL AGENCY
GOVERNANCE COMMITTEE (GC)
8:30 A.M., Friday, July 19, 2019
Third Floor Conference Room, City Hall, Ithaca, NY
Present: Eric Rosario, Chairperson; Kathy Schlather, Vice‐Chairperson; Susan Cummings; David
Whitmore
Excused: None
Vacancy: 1
Staff: Nels Bohn; Charles Pyott
Guests: None
I. Call to Order
Chairperson Rosario called the meeting to order at 8:43 A.M.
II. Agenda Additions/Deletions
Cummings asked if an agenda item could be added to discuss Cherry Street property lease/deed
restrictions. No objections were raised.
III. Public Comments (3‐minute max. per person)
None.
IV. Review of Meeting Minutes: December 11, 2018
Cummings moved, seconded by Schlather, to approve the December 11, 2018 meeting minutes, with
no modifications. .
Carried Unanimously 3‐0
V. New Business
A. Adopt FY2018 Financial Audit Report
Bohn explained the FY2018 Financial Audit Report raised no issues, findings, recommendations, or
concerns of any kind. Since the IURA is considered a component of the City, the IURA’s audit only
represents a small proportion of the overall City‐wide audit. The positive report also included a
programmatic audit of IURA’s CDBG projects.
Approved: 10/22/19
IURA GC Meeting Minutes
July 19, 2019
Page 2 of 11
Schlather moved, seconded by Cummings:
Recommend Approval of Audited 2018 IURA Financial Report
WHEREAS, the Ithaca Urban Renewal Agency (IURA) derives the majority of its finances from grants
awarded to the City of Ithaca, and
WHEREAS, for financial reporting purposes, the IURA is a blended component unit of the City of
Ithaca whose financial activity is reported in the Special Grant Fund, a governmental fund of the City
of Ithaca financial statements, and
WHEREAS, the IURA contracts separately from the City to have its finances audited within 90 days of
the end of its fiscal year to comply with the Public Authorities Accountability Act, and
WHEREAS, the IURA received an audited 2018 draft IURA financial report in early March, 2019, and
WHEREAS, at its July 19, 2019 meeting, the IURA Governance Committee reviewed the financial
report and attached correspondence; now, therefore, be it
RESOLVED, provided no substantive changes are made between issuance of the draft and final
report, the Governance Committee hereby recommends approval of the Financial Report of the
Ithaca Urban Renewal Agency for the period January 1, 2018 through December 31, 2018, prepared
by the accounting firm of Insero & Company, LLP.
Carried Unanimously 3‐0
B. Annual Selection of Committee Officers
Cummings nominated both the current Chair and Vice‐Chair to continue serving in their existing roles.
No objections were raised.
Cummings moved, seconded by Schlather:
Selection of 2019 IURA Governance Committee Officers
WHEREAS, IURA by‐laws provide that the committee membership shall elect its own committee
Vice‐Chairperson and nominate a candidate for committee Chairperson for consideration by the
Agency, and
WHEREAS, per the by‐laws, an Agency member shall fill either the committee Chairperson or
committee Vice‐Chairperson position, and
IURA GC Meeting Minutes
July 19, 2019
Page 3 of 11
WHEREAS, officers of each committee serve a one‐year term, but continue to hold office until their
successor is selected or appointed, and
WHEREAS, the current Committee Chairperson and Vice‐Chairpersons are Eric Rosario and Kathy
Schlather, respectively, now, therefore be it
RESOLVED, that Eric Rosario be nominated as Chairperson of the IURA Governance Committee,
and be it further
RESOLVED, that Kathy Schlather be elected as Vice‐Chairperson of the IURA Committee.
Carried Unanimously 3‐0
C. Annual Nomination of IURA Board Officers
Bohn explained that historically, at one point, the Committee nominated individual IURA Board
members, but it eventually determined it made more sense to forward a ‘blank slate’ resolution to the
Board for its own action.
Schlather moved, seconded by Cummings:
2019 Annual Election of IURA Officers
WHEREAS, officers of the IURA consist of a Chairperson, Vice Chairperson and Secretary, and
WHEREAS, Section 2 of Article III of the IURA By‐Laws call for election of the Chairperson and Vice
Chairperson of the IURA at each annual May meeting of the Agency, and
WHEREAS, Section 2 of Article III of the IURA By‐Laws further states that the Agency shall appoint
an Executive Director who shall serve as secretary to the Agency, and
WHEREAS, by resolution dated May 22, 2008, the IURA appointed the Director of Planning &
Development for the City of Ithaca, ex‐officio, as the IURA Executive Director, and
WHEREAS, per New York State enabling legislation creating the IURA, an IURA members serve at
the pleasure of the mayor and shall continue to hold office until their successor is appointed, and
WHEREAS, current IURA officers are:
• Svante Myrick, Chairperson
• Tracy Farrell, Vice‐Chairperson
• JoAnn Cornish, Secretary (ex‐officio as Director of Planning & Development), and
IURA GC Meeting Minutes
July 19, 2019
Page 4 of 11
WHEREAS, the IURA Governance Committee discussed this matter at its July 19, 2019 meeting and
forwarded this matter for IURA action; now, therefore, be it
RESOLVED, that the IURA hereby elects ________________ as Chairperson and
___________________ as Vice‐Chairperson of the IURA.
Carried Unanimously 3‐0
D. Loan Modification #1: Ithaca Neighborhood Housing Services (INHS) Scattered Sites Phase II
Bohn explained the IURA approved a total of $260,000 for the INHS Scattered Site Preservation Phase 2
project, which has since has been renamed ‘Cayuga Flats’. The project received its Low‐Income Housing
Tax Credits (LIHTC). Since the original project application, the 301 S. Geneva St. property has been
removed from the project scope, resulting in an INHS repayment to the IURA of $31,338 towards the
CDBG loan. At this time, to maximize private investment and the State’s financial assistance, INHS is
requesting slightly different terms for the loan assistance. The proposal results in an equivalent dollar
amount and involves no substantive changes.
Cummings asked if the IURA could consult with INHS to identify ways to prevent any of the project’s
properties being employed as Airbnb operations. Bohn replied he would investigate that. He added the
City is also exploring establishing a relationship with a company that tracks Airbnb usage in various
communities.
(Whitmore arrived at 9:02 a.m.)
Cummings moved, seconded by Whitmore:
2018 AcƟon Plan ― ModificaƟon of Financing Terms for
INHS Scattered Site Phase 2 Project (2018 Project 7 & CD‐RLF Project #45)
WHEREAS, the IURA approved a total of $260,000 to the INHS Scattered Site Preservation Phase 2
project reconstruct or rehabilitate 29 rental housing units at the following locations:
203‐209 Elm Street
111 W. Clinton Street
406 S. Plain Street
227 S. Geneva Street
502 W. State Street, (Project) and
WHEREAS, the Project has been renamed as ‘Cayuga Flats’ by the sponsor, Ithaca Neighborhood
Housing Services, Inc. and
IURA GC Meeting Minutes
July 19, 2019
Page 5 of 11
WHEREAS, IURA committed the following loan assistance to the Project:
EXISTING:
Source Amount Term Interest rate Repayment
Terms
CDBG
(CD‐RLF #45) $160,000 30 years 2% interest only Subject to cash
flow
HOME 2018 $100,000 TBD TBD TBD
And,
WHEREAS, the 301 S. Geneva St. property has been removed from the project scope resulting in
INHS repayment of $31,338 of the CDBG loan, and
WHEREAS, in May 2019, the Project was awarded an allocation of Low Income Housing Tax Credits
and other assistance from New York State Homes and Community Renewal, and
WHEREAS, the Project is subject to a 50‐year affordability agreement, and
WHEREAS, to maximize private investment and NYS financial assistance, INHS requests the
following terms for IURA loan assistance:
PROPOSED:
Source Amount Term Interest rate Repayment
Terms
CDBG
(CD‐RLF #45) $138,662 30 years 0% annually
2% of loan
amount due
annually, cash
flow contingent
HOME 2018 $100,000 50 years 1% interest only Cash flow
contingent
WHEREAS, the outstanding loan balance and any accrued interest on IURA loan assistance is due
and payable at the end of the loan term, and
WHEREAS, at its July 19, 2019 meeting, the IURA Governance Committee considered this matter
and recommends approval of the requested loan terms; now, therefore, be it
RESOLVED, that the IURA hereby approves the following loan terms for assistance to the Cayuga
Flats project (formerly Scattered Site Preservation Project – Phase 2):
IURA GC Meeting Minutes
July 19, 2019
Page 6 of 11
Source Amount Term Interest rate Repayment
Terms
CDBG
(CD‐RLF #45) $138,662 30 years 0% annually
2% of loan
amount due
annually, cash
flow contingent
HOME 2018 $100,000 50 years 1% interest only Cash flow
contingent
And be it further
RESOLVED, that the Director of Community Development is authorized to issue a revised loan
commitment letter to implement this resolution, and be it further
RESOLVED, that the IURA Chair, subject to review by IURA legal counsel, is authorized to execute
loan agreements to implement this resolution.
Carried Unanimously 4‐0
E. 2017 HUD Annual Community Assessment (ACA)
Bohn reported the IURA received HUD’s 2017 Annual Community Assessment (ACA) report for the
City. It contains the following positive findings:
“CPD Programs
The City submitted their 2017 Consolidated Annual Performance and Evaluation Report
(CAPER) which summarized their performance. The report was determined by HUD to be
complete and satisfactory. The report revealed that activities were implemented during the
program year consistent with the goals and objectives set forth in the City's 2017 Action Plan.
Fair Housing and Equal Opportunity:
Our review did not reveal any significant issues related to compliance.
Areas for Improvements and Recommendations
There are no areas for improvement or recommendations noted at this time
1. The City has carried out its programs substantially as described in its Consolidated Plan
submission.
2. The Consolidated Plan submission as implemented complies with the requirements of the
Housing and Community Development Act of 1974, and other applicable laws and regulations.
3. The City has the continuing capacity to carry out the approved programs in a timely manner.
Based on the above summary, the City's performance is satisfactory.”
IURA GC Meeting Minutes
July 19, 2019
Page 7 of 11
F. Cherry Street Industrial Park Deed Restrictions
Cummings explained she recently discovered that all the properties in the Cherry Street Industrial Park
include a lease/deed restriction (“Scheduled Development Restrictions, Conditions, Covenants”),
which contains at least two outdated clauses:
“The ratio of building coverage to the site area cannot exceed fifty percent (50%);” and
“All driveways and parking areas shall be paved.”
The lease/deed restriction also constrains the 8 properties that were converted to ownership. She
asked that the deed restriction be lifted from the properties, since they are in conflict with recent
rezoning, as well as the State’s Stormwater Pollution Prevention Plan (SWPPP).
Bohn agreed the lease/deed restrictions are not necessarily the best tool for managing the industrial
park. IURA legal counsel is examining the most efficient way of addressing the issue and informing the
property owners that they have been removed.
G. Personnel Matter ― Executive Session
― EXECUTIVE SESSION ―
Whitmore moved, seconded by Schlather, to open the Executive Session at 9:31 a.m.
Carried Unanimously 4‐0
Schlather moved, seconded by Whitmore, to close the Executive Session at 9:45 a.m.
Carried Unanimously 4‐0
No action was taken in the Executive Session.
VI. Other Business
A. 2019‐2023 HUD Consolidated Plan & 2019 HUD Action Plan ― Report
Bohn reported that Community Development Planner Anisa Mendizabal completed both the City’s
2019‐2023 Consolidated Plan and 2019 Action Plan, and submitted them to HUD by the deadline.
Both documents are available on the IURA web site at: www.IthacaURA.org.
B. Review of IURA Financials: June 2019
Bohn reported virtually all HUD Entitlement Program projects are progressing well, including prior
slow projects. Only the following two projects are experiencing delays at this time:
2018 Project 1: Neighbor to Neighbor Homeowner Rehab (CDBG)
2018 Project 18: Domestic Violence Center Renovation (CDBG)
IURA GC Meeting Minutes
July 19, 2019
Page 8 of 11
Bohn noted the Neighbor to Neighbor project has been delayed, partially because of some leadership
and staffing changes. It is admittedly not a high‐capacity organization, since it relies so heavily on
volunteers. The project should recommence in earnest this Summer. He knows INHS has referred
some potential projects to Neighbor to Neighbor, which is also examining potential projects at Nate’s
Floral Estates. Neighbor to Neighbor also collaborates regularly with the Office of the Aging.
Cummings agreed that identifying potential projects at Nate’s Floral Estates would make a great deal of
sense.
Bohn noted the Domestic Violence Center is waiting for funding from the State’s Dormitory Authority
of the State of New York (DASNY), which usually seems to take a long time, and which has delayed the
project. Mendizabal will be following up with the center’s Executive Director. To a large extent, the
delay is beyond its control, since it needs to have enough funding on‐hand to hire a contractor.
Bohn reported all loan repayments are current, except for the Finger Lakes School of Massage, which
represents the first time it has been delinquent since the school’s recent much‐publicized
management crisis. Bohn has asked for an update on the situation from the school.
Bohn reported all lease payments are current, except the Ithaca Farmers’ Market, which only just
submitted its payment.
C. IURA Strategic Planning Report ― Review of Financial Position
Bohn walked through the following financial reports:
IURA GC Meeting Minutes
July 19, 2019
Page 9 of 11
IURA GC Meeting Minutes
July 19, 2019
Page 10 of 11
D. Annual Reporting to NYS Authorities Budget Office (ABO)
Bohn reported the agenda packet includes all the information the IURA submitted to the ABO, in
response to a May 17, 2019 request from the NYS Senate Standing Committee on Investigations and
Government Operations, which has been investigating compliance with the Public Authorities Reform
Act (PARA). The Committee’s letter went to all public authorities in the state. The IURA is in
compliance with request.
(Whitmore departed at 10:12 a.m.)
E. IURA & Common Council Actions of Interest to Committee
Bohn reported that Common Council recently approved a Green New Deal (GND) for the City, which
includes some reasonably ambitious goals. The following language summarizes the new initiative:
GOAL: CARBON‐NEUTRAL COMMUNITY‐WIDE BY 2030
The Ithaca Green New Deal (GND) was adopted unanimously by the City of Ithaca Common
Council on June 5, 2019
The GND addresses climate change, economic inequality and racial injustice
Ithaca Green New Deal Goals
Achieve carbon‐neutrality community‐wide by 2030
Meet the electricity needs of City government operations with 100% renewable electricity by 2025
Reduce emissions from City vehicle fleet by 50% by 2025
IURA GC Meeting Minutes
July 19, 2019
Page 11 of 11
Ensure benefits are shared among all local communities to reduce historical social and economic
inequities
Facilitate a comprehensive public engagement process
Actions to Achieve the Goals
Create an action plan in 2020 to achieve these goals, and update regularly
Annually report progress towards goals
Adopt a Green Building Code for new buildings in 2019
Adopt a Green Building Code for existing buildings by 2021
Assign additional staff to implement the plan
Stay Engaged
To receive email updates about the Ithaca Green New Deal, sign up for the Ithaca Sustainability
newsletter at http://tinyurl.com/IS‐subscribe
Cummings suggested one powerful way of addressing many of the GND’s goals would be an intensive
tree‐planting campaign/policy, for both public and private properties.
F. Staff Report
None.
VII. Adjournment
The meeting was adjourned at 10:23 A.M.
— END —
Notes prepared by C. Pyott, edited by N. Bohn.