BOARD OF DIRECTORS MEETING
County of Chautauqua Industrial Development Agency
CCIDA
201 W Third Street, Jamestown, NY
September 28, 2017
10:00 a.m.
Dennis Rak Vice-Chair
Hans Auer Treasurer
Kelly Farrell DuBois Member
George Borrello Member
Cory Duckworth Member
David Bryant Member
Also in attendance:
Kevin Sanvidge Adm. Director/CEO
Rich Dixon CFO
Don McCord Senior Planner PED
Greg Peterson Counsel
Matt Mazgaj Counsel
Michelle Turner VP of Marketing
Carol Rasmussen CCIDA Staff
Lawrie Taylor CCIDA Staff
Sue Casel CCIDA Staff
Terry Burton CALAMAR
Katrina Fuller The Post Journal
Jason Sample WRFA
Absent Board Member(s): Kim Peterson, Brad Walters, and Mike Metzger
Meeting was called to order by Dennis Rak, Vice-Chair, at 10:02 a.m.
Dennis Rak
I will now call the County of Chautauqua Industrial Development Agency (CCIDA) Board of Director’s meeting to order. We are meeting at CCIDA, 201 W Third Street, Jamestown, NY. Today is September 28, 2017 (10:02 a.m.)
I will now have roll call.
Kelly Farrell DuBois – Here, Hans Auer – Here, David Bryant – Here, Cory Duckworth – Here, Dennis Rak – Here, and George Borrello – Here.
We have a quorum and will begin the meeting.
I would like a motion to accept the August 22, 2017 minutes that you had received in advance.
George Borrello
So moved.
Kelly Farrell DuBois
Second.
Dennis Rak
Any discussion? Hearing none – All in favor indicate by saying Aye.
Ayes all around – The minutes are accepted.
Let’s move on to new business. Hans, the first Resolution.
Hans Auer
Resolution 09-28-17-01
Resolution of the Members of the County of Chautauqua Industrial Development Agency to Approve the Refinance of RM13A Holdings, LLC, with Keybank National Association.
Kelly Farrell DuBois
Second.
Greg Peterson
This resolution is essentially Calamar. Calamar is doing some refinancing. I would also like to introduce Calamar’s general Counsel, Terry Burton. Calamar is going to refinance several properties they have including the one in Lakewood.
Dennis Rak
If there is no further discussion, I will take a roll call vote.
Kelly Farrell DuBois – Aye, Hans Auer – Aye, David Bryant – Aye, Cory Duckworth – Aye, George Borrello – Aye, and Dennis Rak – Aye.
The Resolution is passed. Cory, the next Resolution, please.
Cory Duckworth
Resolution 09-28-17-02
Authorizing the Members of the County of Chautauqua Industrial Development Agency to sell to ZTS Development, LLC Property Located at 2071 Stoneman Circle, Town of Busti, NY.
David Bryant
Second
Rich Dixon
Two years ago were approached by one of the tenants in the Stoneman Park to purchase the building. We negotiated at that time and they decided that they did not to purchase the building, but they requested the right of first refusal when their lease came up. We put the right of first refusal in their lease.
We were approached by ZTS, the same company that bought Harrison Street from us. They agreed to pay the appraised value. This will return the property to the tax roll.
Dennis Rak
If there is no discussion, I will take a roll call vote.
Kelly Farrell DuBois – Aye, Hans Auer – Aye, David Bryant – Aye, Cory Duckworth – Aye, George Borrello – Aye, and Dennis Rak – Aye.
The Resolution is passed. George, Resolution C, please.
George Borrello
Resolution 09-28-17-03
Resolution Authorizing a CRLF Loan for Big Inlet Brewery.
Kelly Farrell DuBois
Second.
Carol Rasmussen
Big Inlet Brewery is located in Mayville. We had been approached by the applicants who are Brett and Randy Henderson – uncle and nephew. They would like to start a craft brewery in a barn. It will involve equipment and major renovations. The barn is empty right now. They are close to the Amish trail and on the snowmobile trail. Aggressively, they would like to open sometime this winter to coordinate with the snowmobile trail.
It’s a $600,000 project. Cattaraugus County Bank is going to give them a $100,000 loan to refinance the property that they have already purchased – $200,000 term loan @ 5% for renovations. The IDA is giving an AL Tech loan for $165,000 – $140,000 is machinery & equipment and $25,000 would be for working capital. We have also added on a $75,000 CRLF loan for working capital.
The Loan Review Committee met on September 13th. Our loan is secured by second position behind Catt County on all of their company assets, accounts receivable, and machinery & equipment. We are also second behind on Catt County on the real estate, and second position on mortgage and assignment of rents. The loans were approved by the Loan Review Committee.
There was general discussion among the Board.
Greg Peterson
Recommended an amendment to the resolution clarifying the maximum amount that CCIDA position is behind CCB.
Dennis Rak
May I have a motion to amend Resolution 09-28-17-03?
David Bryant
So moved.
Kelly Farrell DuBois
Second.
Dennis Rak
I will take a roll call amending the resolution.
Kelly Farrell DuBois – Aye, Hans Auer – Aye, David Bryant – Aye, Cory Duckworth – Aye, George Borrello – Aye, and Dennis Rak – Aye.
May I have a motion to accept the Resolution as amended?
David Bryant
So moved.
Kelly Farrell DuBois
Second.
Dennis Rak
I will take a roll call vote to Accept Resolution 09-28-17-03 as amended.
Kelly Farrell DuBois – Aye, Hans Auer – Aye, David Bryant – Aye, Cory Duckworth – Aye, George Borrello – Aye, and Dennis Rak – Aye.
The Resolution is passed. Kelly, Resolution D, please.
Kelly Farrell DuBois
Resolution 09-28-17-04
Resolution Authorizing an AL Tech Loan for Big Inlet Brewery.
David Bryant
Second
Dennis Rak
May I have a motion to Amend Resolution 09-28-17-04?
Kelly Farrell DuBois
So moved
Hans Auer
Second.
Dennis Rak
I will take a roll call amending the resolution.
Kelly Farrell DuBois – Aye, Hans Auer – Aye, David Bryant – Aye, Cory Duckworth – Aye, George Borrello – Aye, and Dennis Rak – Aye.
May I have a motion to accept the Resolution as amended?
George Borrello
So moved.
Kelly Farrell DuBois
Second
Dennis Rak
Is there any further discussion, hearing none, I will take a roll call vote to Accept Resolution 09-28-17-04 as amended.
Kelly Farrell DuBois – Aye, Hans Auer – Aye, David Bryant – Aye, Cory Duckworth – Aye, George Borrello – Aye, and Dennis Rak – Aye.
The Resolution is passed. Rich, the Treasurer’s report, please.
Rich Dixon
You have in front of you the Balance sheet as of August 31st, 2017. As previously discussed, we had a loan paid off. We have some applications coming in so we are pleased to have this money available now.
You see the Stoneman Spec building on there for $1.2 M; hopefully, that will be gone by the end of the year.
Looking at Revenue & Expense, under application & administrative fees, we did close two very large projects and received $240,000 or so in the month. We are on track.
All in all, I think we are in good shape.
We also have a balance sheet for the Gran Fondo. We have $1,900 in the bank; we have a $5,000 receivable. Our total equity is $3,255.
Dennis Rak
If there is no further discussion, may I have a motion to accept the Treasurer’s Report?
Kelly Farrell DuBois
So moved.
George Borrello
Second.
Dennis Rak
Are there any questions? Hearing none – All in favor indicate by saying Aye.
Ayes all around – The Treasurer’s report is accepted.
I would now like to move for a motion to go in to executive session to discuss the financial and credit history of certain companies and the potential acquisition and lease of real property by the agency.
David Bryant
I so move.
Cory Duckworth
Second.
Board
Ayes all around. We are now in Executive Session.
Executive Session begins at 10:46 a.m.
Executive Session ends at 11:02 a.m.
Dennis Rak
We are now back in Regular Session.
Is there anything more to come before the Board? If not, may I have a motion to adjourn?
George Borrello
So moved.
Kelly Farrell DuBois
Second.
Dennis Rak
All those in favor – Ayes all around.
This meeting is adjourned. Meeting adjourned at 11:03 a.m.
__________________________________ _____________________________________
(Assistant) Secretary (Vice) Chairman