COUNTY OF SULLIVAN INDUSTRIAL DEVELOPMENT AGENCY
One Cablevision Center
Ferndale, New York 12734
(845) 295-2603 – telephone
(845) 295-2604 – fax
REGULAR MEETING MINUTES
Monday, May 11, 2015
I. CALL TO ORDER
Chairman Steingart called to order the regular meeting of the County of Sullivan Industrial Development Agency at approximately 11:00 am, in the Legislative Committee Room at the Sullivan County Government Center, Monticello, New York.
II. ROLL CALL
Members Present- Members Absent-
Ira Steingart Charlie Barbuti
Staff Present- Staff Absent-
Jen Flad, Jennifer C.S. Brylinski,
VP Business Development Exec. Director
Steve White, Agency CEO
Walter F. Garigliano, Esq., Agency Legal Counsel
Tara Lewis, Garigliano Law Offices
Scott Samuelson, Chairman, Sullivan County Legislature
Stephen Stuart, SC Office of Sustainable Energy
Jane Axamethy, The Bake House
III. APPROVAL OF MEETING MINUTES
Mr. Rieber made a motion to approve the minutes of the April 13, 2015 meeting. Mr. Guenther seconded the motion, the Board voted and the minutes of the meeting were unanimously approved.
IV. BILLS AND COMMUNICATIONS
Ms. Loughlin made a motion to approve the revised schedule of payments. Mr. Sykes seconded the motion, the Board voted and the revised schedule of payments was unanimously approved.
V. DIRECTORS’ REPORTS
Jennifer C.S. Brylinski, Executive Director
In Ms. Brylinski’s absence, Ms. Flad advised the Board that in late April staff submitted four applications for funding from USDA’s Rural Business Development Grant program, to benefit Catskill Distilling Co., Ltd., Roscoe NY Beer Company, Prohibition Distillery LLC and 20 Degrees American Chocolate and Coffee Roasters. Award announcements are expected late this summer or early this fall. She also advised that staff had worked with three RMAP loan and grant applicants, and these applications are before the Board today for approval. Attorney Garigliano added that a fourth applicant, 49 Main Street LLC, has chosen to pursue the SCFC Millennium Revolving Loan Fund rather than the RMAP, because he employs several high school students and earns a substantial credit toward interest due. This application will be presented to the SCFC Millennium Revolving Loan Committee in the near future.
VI. NEW BUSINESS
Chairman Steingart asked for a motion to discuss the three resolutions before the Board today, regarding RMAP loan and grant approvals for Catskill Distilling Co., Ltd., Prohibition Distillery LLC, and Red Cottage Inc. Ms. Loughlin made a motion, which was seconded by Mr. Rieber. Ms. Loughlin noted that the Red Cottage Inc. vacation rental business includes properties in Sullivan County and neighboring counties. It was determined that more than half of the properties are in Sullivan County. Board members discussed that while some rental properties are in other counties, the offices, staff and contractors are located within Sullivan County. Mr. White added that the business model includes promotion of many other businesses in Sullivan County. Following this discussion, the Board voted and all three resolutions were unanimously approved.
Attorney Garigliano advised that as a result of the expansion of the Center One Holdings LLC project located on Green Avenue in the Village of Woodridge (SBL# 103.-1-18.1), the electrical service must be upgraded. NYSEG will construct and own a new transformer and transformer pad, and Center One will grant an easement to NYSEG for this purpose. Under the terms of the IDA project documents, the Agency must approve the execution of the easement to NYSEG. Mr. Siegel made a motion to approve the execution of the easement. Mr. Rieber seconded the motion, the Board voted and the motion was unanimously approved.
Jane Axamethy of The Bake House addressed the Board. She is the recipient of an IDA Revolving Loan. Ms. Axamethy stated that the loan is currently in default, and that she wishes to resume payments and bring her account up to date. She advised that the business moved from its original location in Kauneonga during 2014. She cited unforeseen expenses and disputes with her former landlord as reasons for her inability to make payments and for the relocation of the business. Mr. Siegel thanked Ms. Axamethy for coming to the Board, and he asked about the current location and state of the business. Ms. Axamethy replied that she is now running the Airport Café at the Sullivan County Airport, under contract with the County of Sullivan. The baking equipment is now at that location, and the business is smaller than it was, but she continues to sell at farmers markets and to employ local students.
Mr. Siegel made a motion to enter closed attorney-client privileged session to seek legal advice regarding this defaulted loan. Mr. Guenther seconded the motion, and the Board entered attorney-client privileged session at approximately 11:19 am.
On a motion made by Mr. Siegel and seconded by Mr. Rieber, the Board came out of closed session at approximately 11:40 am.
Mr. Siegel made a motion to authorize the modification of the loan documents, to allow Ms. Axamethy to make monthly payments in the amount of $500.00 each from May 1, 2015 through October 1, 2015. After that, from November 1, 2015 through April 1, 2016, payments of interest only will be due. Beginning on May 1, 2016, payments will revert to $500.00 each month and this cycle will continue. The new terms will also require that Ms. Axamethy furnish checks at the time of the modification, to ensure timely monthly payments. Attorney Garigliano noted that a $500 payment received earlier this month will be credited as the May 2015 payment. Mr. Sykes seconded the motion, the Board voted and the motion was unanimously approved.
VII. PUBLIC COMMENT AND ADJOURNMENT
Chairman Steingart asked the Board and others present for public comment. There being none, on a motion by Mr. Sykes and seconded by Ms. Loughlin, the meeting was adjourned at approximately 12:13 pm.
IDA VP, Business Development