To: Board of Directors; Greater Syracuse Property Development Corporation John Sidd From: Katelyn Wright Date: March 24, 2016 Re: Board of Directors Meeting – March 29, 2016
The Greater Syracuse Property Development Corporation will hold a Regular Meeting of the Board of Directors on Tuesday, March 29, 2015 at 8:30 A.M. in the third floor conference room at the CNY Philanthropy Center at 431 E. Fayette Street, Syracuse, NY 13202.
I. Call to order II. Roll Call III. Proof of Notice IV. Minutes February 16, 2016 & March 18, 2016 V. Executive Summary & Financial Statements VI. Committee Reports A. Audit Committee (3/29) B. Finance Committee (3/11) C. Personnel Committee (3/11) VII. New Business A. Enter into a donation agreement with UNPA and Stickley re: Gustav Stickley House B. Approve 2015 Financial Statements and Independent Audit C. Approve Annual Report for submission to Authorities Budget Office D. Adopt 2016 Budget Amendment E. Adopt amendments to the Personnel Policy F. Hire Chamar Otis as a full-time Sales Specialist G. Authorize the sale of multiple properties H. Authorize the sale of multiple properties to Home Headquarters for AG-funded renovation I. Enter into a contract with Onondaga County for 2016 funding J. Authorize the purchase 715 Tully St K. Amend Terms of 751 North Salina Enforcement Mortgage L. Amend terms of sale for 128 N Geddes St M. Authorize demolition of 128 N Geddes St N. Authorize entering into a bulk rate contract for demolitions, not to exceed $615,000 O. Authorize entering into a bulk rate contract for air monitoring, not to exceed $33,000 P. Renew debris removal contract with Dee’s Property Maintenance Q. Procure numerous renovation contracts for 4 Travers St, Baldwinsville
VIII. Discussion Addis Building
IX. Adjournment
431 E. Fayette Street, Suite 375; Syracuse NY 13202 / P: 315-422-2301 / E: [email protected] www.syracuselandbank.org 1
PLEASE POST PLEASE POST PLEASE POST
PUBLIC MEETING NOTICE
GREATER SYRACUSE PROPERTY DEVELOPMENT CORPORATION
HAS SCHEDULED A BOARD OF DIRECTORS MEETING
FOR
8:30 AM Tuesday, March 29, 2016
At
The CNY Philanthropy Center 431 E. Fayette Street Third Floor Conference Room Syracuse, NY 13202
For more information, please contact Katelyn Wright at 315-422-2301 or [email protected]
431 E. Fayette Street, Suite 375; Syracuse NY 13202 / P: 315-422-2301 / E: [email protected] www.syracuselandbank.org 2
Minutes Greater Syracuse Property Development Corporation BOARD OF DIRECTORS MEETING Tuesday, February 16, 2016 8:00 A.M. 431 E Fayette Street, Suite 375 Syracuse, NY 13202
Board of Directors Present: Vito Sciscioli, Dan Barnaba, Jim Corbett (via video conference) Board of Directors Excused: Julie Cerio, El-Java Abdul-Qadir Others Present: Phil Berrigan, Kerry Quaglia, Bob Dougherty, Stephanie Pasquale, Craig Swiecki, John Sidd, Katelyn Wright, Ben Gray, Patrick Stanczyk, and Jake Thorsen
I. Call to order Vito Sciscioli called the meeting order at 8:05 am.
II. Roll Call Mr. Sciscioli noted that he and Dan Barnaba were present, Jim Corbett was present via video conference, Julie Cerio was excused, and El-Java Abdul-Qadir was absent.
III. Proof of Notice Mr. Sciscioli confirmed that proof of notice was adequately posted.
IV. Minutes Dan Barnaba moved to approve the minutes of the January 19, 2015 board meeting. Jim Corbett seconded the motion. ALL BOARD MEMBERS PRESENT UNANIMOUSLY VOTED TO APPROVE THE JANUARY 19, 2015 MEETING MINUTES.
V. Executive Summary & Financial Statements Katelyn Wright referred the board to the executive summary and financial statements provided in the agenda packet. Ms. Wright explained the financial statements are in draft form, as Bowers is still working to close out the 2015 books. The final financial statements for 2015 will be available for the audit meeting with the Bonidio Group.
VI. New Business A. Authorize the Sale of Multiple Properties Ms. Wright referred to the Schedule A to the Resolution included in the agenda packet and informed the board that the Land Bank’s general counsel, John Sidd, had developed a new form resolution to reflect the recent changes to the Land Bank’s disposition policy. Mr. Sidd informed the board that this new form resolution no longer makes the findings previously required by Public Authorities Law and that in the event that the Land Bank might consider noncompetitive sales in the future those would be addressed in a separate resolution. Mr. Sidd also noted that the new resolution allows transfer documents to be signed by Ms. Wright, Mr. Patrick Stanczyk, or Chairman Vito Sciscioli.
Ms. Wright explained that the applicant for 738 E. Laurel sheet withdrew his offer from this month’s sales due to an outstanding tax lien owed by the applicant. Ms. Wright continued to say that the applicant has a $600 tax lien that was overlooked at the time closing. The board opted to leave the item on the agenda and grant the sale of the property contingent on the applicant meeting the requirements for buyers outlined in the Land Bank’s disposition 431 E. Fayette Street, Suite 375; Syracuse NY 13202 / P: 315-422-2301 / E: [email protected] www.syracuselandbank.org 3
policy. Ms. Wright noted that Schedule A contained a typo and clarified that 311 Bear Street is a two-family not a three-family house.
Dan Barnaba moved to approve the sale of multiple properties, contingent upon applicants meeting the requirements outlined in the disposition policy. Jim Corbett seconded the motion. ALL BOARD MEMBERS PRESENT UNANIMOUSLY VOTED TO APPROVE THE SALE OF MULTIPLE PROPERTIES CONTINGENT ON APPLICANTS MEETING THE REQUIREMENTS OF THE DISPOSITION POLICY.
B. Authorize the Payment of County 2016 tax bills Ms. Wright explained the Land Bank is liable to pay certain sewer unit charges (occupied properties that are using the sewer), water district fees, and taxes until the Land Bank’s exempt status takes effect on properties that are acquired through means other than tax foreclosure. She indicated that this totaled $7,654.43 owed at this time, but noted that the Land Bank would, over the course of the year, receive pro-rated bills for special assessments (but not taxes, except for properties acquired by donation or purchase) for the remainder of the year as properties are acquired through foreclosure.
Mr. Barnaba moved to approve the payment of County 2016 tax bills. Mr. Corbett seconded the motion. ALL BOARD MEMBERS PRESENT UNANIMOUSLY VOTED TO APPROVE THE PAYMENT OF COUTNY 2016 TAX BILLS.
C. Authorize Entering into a Contract with Onondaga County Governing Sewer Unit Exemptions Ms. Wright explained that the County passed a resolution exempting the Land Bank from sewer unit charges for all properties acquired prior to the passage of the resolution in February 2016. The Land Bank now has to enter into a contract with the County in order to codify this ‘credit’. Ms. Wright explained that as the Land Bank acquires properties throughout the year, the new properties will not be subject to this exemption. Dan Barnaba asked if the properties acquired in January 2016 would be exempt from the sewer unit fees. Ms. Wright said that the resolution stated that it applied to all properties acquired before the passage of the resolution.
Mr. Barnaba moved to authorize the Land Bank to enter into a contract with the County with terms consistent with the County’s resolution. Jim Corbett seconded the motion. ALL BOARD MEMBERS PRESENT UNANIMOUSLY VOTED TO ENTER INTO A CONTRACT WITH ONONDAGA COUNTY CONSISTENT WITH THE COUNTY’S RESOLUTION EXEMPTING THE LAND BANK FROM CERTAIN 2016 SEWER UNIT CHARGES.
D. Procure Consultant to Draft NR Nomination for South Presbyterian Church Ms. Wright explained to the board that South Presbyterian Church is locally designated as a historic landmark, but not listed on the State or National Registers of Historic Places. The Land Bank hopes to issue an RFP this spring to attract a developer to redevelop the property. She explained that if listed on the State and National Registers of Historic Places the project eligible for state and federal historic rehabilitation tax credits and the Land Bank would be eligible to apply for grants for further study and stabilization of the building. Ms. Wright continued to explain that at this time the Land Bank would like to hire a historian to draft the nomination to the State and National Registers. The lowest bid to draft the nomination was $2,300. Dan Barnaba asked whether the nomination would prevent the Land Bank from demolishing the building at some point in the future. Ms. Wright explained that because the building was already locally designated, demolition would be subject to a rigorous permitting process, but that the Land Bank has no intention of demolishing the property and that demolition would be prohibitively expensive.
Jim Corbett moved to retain Harvey Research and Consulting, the lowest qualified bidder, to draft a nomination to list South Presbyterian Church on the National Register of Historic Places. Dan Barnaba seconded the motion. ALL BOARD MEMBERS PRESENT UNANIMOUSLY VOTED TO RETAIN HARVEY RESEARCH AND CONSULTING, THE LOWEST QUALIFIED BIDDER, TO DRAFT A NOMINATION TO LIST SOUTH PRESBYTERIAN CHURCH ON THE NATIONAL REGISTER OF HISTORIC PLACES.
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E. Accept Donation of 218 Lakeview Ave from National Community Stabilization Trust Contingent on Cash Donation Sufficient to Cover Demolition Costs and Taxes Incurred Prior to Exempt Status Taking Effect (Estimated: $27,800) Ms. Wright informed the board that when banks offer to donate properties the Land Bank conducts an initial inspection of the house to determine whether it can be renovated or if it’s a demolition candidate. If the property is a demolition candidate, the Land Bank asks the donor to provide funds to cover the demolition along with the donation of the property. In addition, the Land Bank requests a cash donation that will cover the taxes incurred prior to the Land Bank’s tax exempt status taking effect.
Jim Corbett asked what the National Community Stabilization Trust was. Kerry Quaglia explained that NSCT works as a national clearing house for REO properties, which works with community organizations to dispose of the properties. Ms. Wright reminded the board that NCST was currently working to take Bank of America mortgages in default and work out loan modifications if possible to keep owners in their homes, and to get title to those that are empty, after which they are seeking to turn these properties over to land banks or other entities that can facilitate their redevelopment.
Mr. Barnaba made a motion to accept the donation of 218 Lakeview Ave from National Community Stabilization Trust contingent upon the donation being accompanied by a cash donation sufficient to cover the cost of demolition and taxes incurred prior to the land bank’s tax exempt status taking effect. Mr. Corbett seconded the motion. ALL BOARD MEMBERS PRESENT UNANIMOUSLY VOTED TO ACCEPT THE DONATION OF 218 LAKEVIEW AVE BY THE NATIONAL COMMUNITY STABILIZATION TRUST CONTINGENT ON THE TERMS AS STATED.
VII. Discussion A. Addis Building Roof Ms. Wright explained to the board the Addis Building roof is in a severely deteriorated condition and, if unaddressed, she fears it may collapse. Ms. Wright reminded the board that there is an approved buyer of the Addis Building but the sale is blocked by pending litigation brought on by the former owner. John Sidd instructed the board to use caution when discussing the pending litigation in public secession and that they could enter executive session if so inclined.
Ben Gray explained to the board that there is a multi-step process needed to determine the cost of roof replacement, but agreed with Ms. Wright that it was beyond the point at which repair or stabilization was an option. Mr. Gray explained that the Land Bank drafted an RFP to solicit architects to design and manage the job. He hopes to bring these bids to the board for their approval in March.
B. Morgan Stanley Settlement with the NY AG Ms. Wright informed the board that through a settlement Morgan Stanley, the NY AG’s Office would be making additional funds available to land banks. The amount of this funding round had yet to be announced. She explained that she has had preliminary conversations with staff at the AG’s Office about providing funding to complete exterior renovations of Land Bank properties prior to sale to a private investor, who would finish the interior, or possibly passing those funds through to the private developer for them to complete enhanced exterior renovations in order to have a greater impact on surrounding property values and perception of neighborhoods where the Land Bank is selling properties.
C. Plans for Gothic Cottage Site Ms. Wright informed the board that the Gothic Cottage has been demolished and New Jerusalem Church is currently being demolished. Ms. Wright said the Land Bank will be working with the community and the City of Syracuse to determine future plans for the site.
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D. Options for March Meeting – Possible Reschedule Ms. Wright explained that the audit will not be completed by March 15, but that the board needed to approve it for staff to submit to the ABO by March 31. She asked whether the board was inclined to move the March meeting and all regular business to 3/29 or to hold a second, special meeting on 3/29.
The board agreed to move the March board meeting to March 29th at 8:30 and to hold the audit committee meeting at 8:00 AM that same morning.
E. Upcoming Annual Reports Ms. Wright reminded the board that the Land Bank Act requires the chair of the board report orally and in writing to the foreclosing governmental units which created the Land Bank by March 15 each year. She noted that this year’s report to the Common Council is scheduled for March 1 at noon and the report to the County Legislature is schedule for March 10 at 10:30 AM.
VIII. Adjournment Dan Barnaba moved to adjourn. Jim Corbett seconded the motion. ALL BOARD MEMBERS PRESENT UNAMINOUSLY VOTED TO ADJORN AT 8:57 AM.
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Minutes Greater Syracuse Property Development Corporation BOARD OF DIRECTORS SPECIAL MEETING Friday, March 18, 2016 9:00 A.M. 431 E Fayette Street, Suite 375 Syracuse, NY 13202
Board of Directors Present: Vito Sciscioli, Dan Barnaba, Julie Cerio, Jim Corbett (via video conference) Board Members Excused: El-Java Abdul-Qadir Others Present: Katelyn Wright, Pat Stanczyk
I. Call to order Vito Sciscioli called the meeting order at 9:05 am.
II. Roll Call Mr. Sciscioli noted that Julie Cerio, Dan Barnaba, and himself were present in person and that Jim Corbett was joining the meeting via videoconference.
III. Proof of Notice Mr. Sciscioli confirmed that proof of notice was adequately posted.
IV. New Business A. Purchase 707 First North Street Mr. Stanczyk summarized the sequence of events that led up to the Land Bank submitting a purchase offer on this property. Mr. Barnaba asked whether the Land Bank could simply submit an offer contingent upon board approval and Fannie could wait until 3/29 for that. Ms. Wright explained that was the Land Bank’s standard practice, but in this case they didn’t want Fannie to take another offer in the interim. Mr. Barnaba asked why they were offering more than asking price. Mr. Stanczyk explained that when they submitted the offer it was for asking price, but during the process of routing offers through the bureaucracy for approval Fannie had lowered their asking price. Ms. Wright explained that the Land Bank was currently in possession of $200,000 awarded to the Land Bank by Onondaga County specifically for the purchase of bank owned properties and that thus far they hadn’t been able to identify any that were available and consistent with the Land Bank’s mission and this was a great opportunity to address a property that had been a high priority for the neighborhood association for some time and to show the County that the Land Bank was taking action on this issue they’d identified as a priority. Mr. Sciscioli and Mr. Corbett agreed that it was important to show that they were responding to the County’s priorities.
Mr. Barnaba suggested that we wouldn’t want other neighborhood associations to think that they could pressure the Land Bank to buy a property that they thought was an eyesore. Ms. Wright said that she wouldn’t characterize this as pressure, but that the insight of neighborhood residents was helpful because they can better identify the problem properties that are most visible and that, if addressed by the Land Bank, would do the most to stabilize public perception of the neighborhood.
Julie Cerio suggested that if the Land Bank’s staff thought a property like this was a priority to purchase the board should support them, noting that these special meetings aren’t called frequently. Mr. Corbett commented that the infrequency of special meetings indicates that day to day operations are running smoothly. Mr. Barnaba protested 431 E. Fayette Street, Suite 375; Syracuse NY 13202 / P: 315-422-2301 / E: [email protected] www.syracuselandbank.org 7
that the Land Bank has limited resources and these types of things should be scrutinized. Ms. Wright suggested that they ought to be spending those resources on activities like this to demonstrate the Land Bank’s utility and that would help them to secure additional funding for more projects like this in the future, but to sit on these funds makes the Land Bank appear less than useful as a community development tool and noted that while overall resources are limited, they have not spent any of the funds allocated to this use to date. In addition, she noted that this was a strategic property on which to deploy these funds because there was a built-in disposition in that the redevelopment of the property would be coordinated with Home HeadQuarters and leverage public investment that had already been made in the acquisition of 705 First North Street next door.
Mr. Barnaba asked why the Land Bank would potentially be on the hook for acquisition and demolition here when other banks are donating properties and funds for demolition. Ms. Wright stressed that demolition was not a foregone conclusion. He asked why a conditions assessment hadn’t been conducted prior to making the offer. Mr. Stanczyk noted that the Land Bank would want to take title no matter the outcome of such an inspection and so hadn’t pressed to schedule one. Ms. Wright went on to explain that the property would be redeveloped in conjunction with 705 First North Street and that if demolition was necessary they’d likely turn the property over to Home HeadQuarters and let them complete the demolition with whatever funding source was subsidizing the redevelopment of the total property. Mr. Sciscioli agreed that this made sense. Ms. Wright noted that while other banks were donating demolition candidates along with cash, Fannie had never demonstrated an inclination to do this and in all of their conversations they noted that as a result of government bailouts Fannie feels that they are under pressure to demonstrate that they’re getting the highest possible offer for all foreclosed properties. Mr. Sciscioli wondered if working with Fannie’s foundation might garner better results.
Ms. Cerio moved to authorize the acquisition of 707 First North Street from Fannie Mae for $19,900. Mr. Corbett seconded the motion. ALL BOARD MEMBERS PRESENT UNANIMOUSLY VOTED TO AUTHORIZE THE ACQUISITION OF 707 FIRST NORTH STREET FROM FANNIE MAE FOR $19,900.
V. Discussion A. Sale of 203 Lowell Ave Mr. Sciscioli noted that he’d been approached by representatives of Peter Coleman asking whether the Land Bank might consider accepting less than the amount he’d previously offered to purchase 203 Lowell Ave. He explained the great efforts Mr. Coleman has gone to over the years to improve the Tipp Hill neighborhood and suggested that he seems to be expecting “the City” would discount the property as a result. Ms. Wright reminded the board that the Land Bank had received a lot of interest in this property and that Mr. Coleman’s was the lowest of three offers received, but that the board had chosen to sell it to him because his plan involved the most significant investment in the property.
Ms. Wright informed the board that she’d also been approached by Mr. Coleman’s architect asking if they could now sell it for even less than the amount he’d initially offered, citing higher than expected demolition costs as the reason. She explained to him that given the demand for the property it would be hard to argue that there was justification for a steeper discount when the Land Bank might re-list the property and find an even higher bidder willing to renovate the building. She’d supplied him with instructions and a list of contractors, explaining the way that the Land Bank completes demolitions with asbestos in place in order to reduce demolition costs and encouraged him to bid out that option.
Without having done so he called again, again asking if the Land Bank could reduce the price. She suggested at that time that if he wanted to submit an amended offer, for the same price + demolition costs and make his offer contingent upon the Land Bank demolishing the property prior to transferring it to him that might help save him asbestos project notification fees from which the Land Bank is exempt and some carrying costs since he’d only be Page 2 of 3 8
billed for taxes on a vacant lot upon taking title. Mr. Barnaba suggested this might be risky for the Land Bank if he backed out after the demolition was completed. Mr. Sciscioli noted that he would be in breach of contract then. Mr. Sciscioli asked if the board was generally reluctant to accept a lower offer and all agreed that they were.
VI. Adjournment
Julie Cerio moved to adjourn the meeting. Dan Barnaba seconded this motion. ALL BOARD MEMBERS PRESENT UNAMINOUSLY VOTED TO ADJORN AT 9:55 AM.
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Executive Summary
March 29, 2016 Board of Directors Agenda
I. Committee Reports A. Audit Committee (3/29) B. Finance Committee (3/11) C. Personnel Committee (3/11)
II. New Business A. Enter into a donation agreement with UNPA and Stickley re: Gustav Stickley House The Land Bank’s board voted in July 2014 giving their consent to take title from UNPA after the completion of Phase I of this project, should they not have an end-user lined up and ready to take title at that time. The details of the phased restoration and the parties involved have become far more complicated since then. The draft donation agreement is attached and can be found on p. 16 of this agenda packet. Gregg Tripoli from the Onondaga Historical Association will be in attendance and able to answer questions the board may have on 3/29.
B. Approve 2015 Financial Statements and Independent Audit These will have been reviewed by the Audit Committee and we expect that they will be prepared to recommend the full board approve them on 3/29. The Audit Report and Financial Statements will be emailed separately from this packet.
C. Approve Annual Report for submission to Authorities Budget Office Due to its length, this report will be emailed separately from the agenda packet. We are just waiting to fill in the last details once the audit report is issued.
D. Adopt 2016 Budget Amendment This was reviewed by the Finance Committee on 3/11, and they recommend its adoption by the full board. The proposed amendment is attached on p. 26 of this packet.
E. Adopt amendments to the Personnel Policy Amendments to the section regarding Paid Time Off were reviewed by the Personnel Committee on 3/11 and they recommended adoption by the full board. The proposed changes are included as track changes starting on p. 36 of this packet. Additional changes to the section regarding health care premiums have been made since the 3/11 committee meeting and whether these will be addressed on 3/29 or at a later date will be a subject of discussion on 3/29.
F. Hire Chamar Otis as a full-time Sales Specialist This was reviewed by the Personnel Committee on 3/11 and they recommend the hiring of Chamar Otis for the position of Sales Specialist at $45,000/year. The job description for this position is found on p. 44 of the agenda packet.
G. Authorize the sale of multiple properties Schedule A summarizes the particulars of each proposed sale. This can be found on p. 46 of this agenda packet.
431 E. Fayette Street, Suite 375; Syracuse NY 13202 / P: 315-422-2301 / E: [email protected] www.syracuselandbank.org 10
H. Authorize the sale of multiple properties to Home Headquarters for AG-funded renovation These are the last three properties to be transferred to HHQ in order for them to complete the 68 renovations using Attorney General grant funds, and for which we’ve contracted with them as a co-developer: 344 Hillsdale, 130 Maplewood, 400 Lynch. The co-development agreement requires we transfer them for an amount equal to the Land Bank’s costs into the property. The resolution authorizing this transfer can be found on p. 58 of this agenda packet.
I. Enter into a contract with Onondaga County for 2016 funding Last month the board authorized the Land Bank to enter into a contract with the County governing the sewer unit credits approved by the Legislature in early February. The County has opted to address that issue and the 2016 funding awarded to the Land Bank in one contract. That agreement is still being finalized, but it covers the items discussed here last month and the $500,000 allocated to the Land Bank in 2016 - $250,000 of which is unrestricted and $250,000 of which is restricted to use for demolitions. We are seeking the board’s approval to enter into a contract with the County of Onondaga that governs the use and disbursement of these funds and includes the terms described above.
J. Authorize the purchase 715 Tully St The Land Bank just acquired 711 Tully Street, a single-family home in relatively good condition, but on a very small lot, via the City’s tax foreclosure process. Home HeadQuarters owns this vacant lot next door, which we would like to merge with 711 to provide that property with an expanded side-yard. We’d like to offer HHQ $800 for the lot, as we’ve sold them several vacant lots in the same neighborhood for $800 each.
K. Amend Terms of 751 North Salina Enforcement Mortgage This property had been slated for demolition, but at the last minute we were approached by James Shattell who wished to renovate the property and purchased it from the Land Bank for $1, helping us to avoid a $75,000 demolition. He took title in August 2014 and the enforcement mortgage gave him until March 2016 to complete the renovations. It included performance benchmarks, including that he must immediately take action to stabilize the property so that the Syracuse Fire Department would vacate their demolition order against the property. He has taken steps to satisfy the Fire Department and they’ve vacated that demolition order. However, he was not able to proceed with the rest of the project as quickly as planned because his financing was tied up in an ongoing renovation on the 900 block of North Salina Street. Work is now underway in earnest at 751 N. Salina Street, but he is in need of an extension on his enforcement mortgage. The revised work schedule that Mr. Shattell is requesting the Land Bank approve and incorporate into the enforcement mortgage is attached on page 63 of this agenda packet.
L. Amend terms of sale for 128 N Geddes St We have discovered that when properties are demolished prior to conveying them to a private owner, the pro-rated bill they receive for the remainder of the current tax year and the next tax year’s bill reflect its unimproved status, whereas if they take title and immediately demolish afterward, they are liable for 18 months or more of taxes as if the property still contains a building. Bobbett Family Trust LLC has already purchased 126 N Geddes from the Land Bank and will demolish that structure. The board has approved the sale of 128 N Geddes for the same purpose, but Gary Bobbett is asking if we will demolish it prior to conveying title so as to spare him that tax liability. The purchase price has been amended to reimburse the Land Bank for costs incurred through the demolition.
We are seeking the board’s authorization to sell 128 N Geddes to Bobbett Family Trust LLC for $18,905, contingent upon the Land Bank demolishing the property prior to conveyance, and in the event that the cost of demolition exceeds the stated purchase price, the purchase price at closing shall increase by an amount equal to the difference between the actual cost of demolition and the stated purchase price.
$ 16,500.00 demo $ 1,000.00 water kill
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$ 700.00 air monitor $ 250.00 condemnation $ ‐ asbestos notification $ 455.00 Land Bank insurance premium $ 18,905.00
M. Authorize demolition of 128 N Geddes St We’ve obtained bids for the demolition of 128 North Geddes Street and are seeking the board’s authorization to contract with Ultraclean, Inc. While their bid is $100 more than the lowest bidder, they will complete the job in only two days, saving the land bank approximately $350-400 in air monitoring costs that would be incurred on a third day required by Bronze Contracting. Per the contract described above, the Land Bank will recoup these costs and the cost of air monitoring and the condemnation of the property. The contractor will demolish both properties while on- site, but will invoice the Land Bank for the demolition of 128 N. Geddes Street, to which we currently hold title, and Gary Bobbett for 126 N. Geddes Street.
Contractor Price Bronze Contracting $16,400.00 UltraClean $16,500.00 Crisafulli $17,250.00 Scanlon $21,874.00 Ritter & Paratore $29,675.00
N. Authorize entering into a bulk rate contract for demolitions, not to exceed $615,000 We are seeking the board’s authorization to enter into a contract with UltraClean, Inc. for the demolition of up to 41 residential structures, averaging 1,700 sq. ft. for an amount not to exceed $615,000.
Contractor Cost/Unit Crisafulli $13,500.00 Bronze Contracting $13,949.00 UltraClean $15,000.00 Scanlon $17,000.00 Ritter & Paratore $18,814.00
While Crisafulli and Bronze bids were lower, we have concerns about their capacity and qualifications to complete such a project. Crisafulli is already behind schedule on a large number of land bank demolitions currently being managed by Home HeadQuarters and has not shown us that they’ve historically maintained records of their compliance with regulations governing utility shutoffs and asbestos containment. Bronze is based in Remsen, NY and has more limited experience with demolitions in Syracuse. In addition, Bronze projects that each demolition will take three days rather than two, which will increase air monitoring costs by 50%.
Should UltraClean, Inc. fail to meet the completion benchmarks contained in this contract, the Land Bank will have grounds to terminate the contract and bid out the remainder of 2016’s planned demolitions in smaller bundles. We believe that this backup plan will enable us to meet our demolition production goals for the year, although it would require more time for administrative work on the Land Bank’s part. UltraClean is the only demolition contractor the Land Bank has worked with that has always met their contract deadlines and given their past performance we do not think the added cost of a performance bond is warranted.
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O. Authorize entering into a bulk rate contract for air monitoring, not to exceed $33,000 We are seeking the board’s authorization to contract with GYMO Architecture, Engineering & Land Surveying DPC for air monitoring services to be provided per the fee schedule listed below for an amount not to exceed $33,000. We believe this amount should be sufficient to complete 41 demolitions since some jobs will incur overtime and rushed testing costs. Company Daily Rate* Overtime 24hr TAT Rush TAT AEG $512.00 $65.00 $8.00 $10.00 GYMO $360.00 $60.00 $6.75 $13.00 Churchill $415.00 $47.00 $8.50 $10.00 AECC $360.00 $85.00 $7.00 $9.00 HSE $412.00 $54.60 $6.00 $9.00 TES $440.00 did not provide any additional prices yet *Daily rate based on a nine-hour day on site monitoring while demolition contractors are active and all mandatory tests that must be taken during this period of time. Overtime or rushed tests are charged additional.
P. Renew debris removal contract with Dee’s Property Maintenance In December the Land Bank entered into a contract for debris removal with Mitchell Construction, finding that they had the lowest rates found through an RFP process. Their rates per cubic yard were lower than our current contractor, Dee’s Property Maintenance. We noted that Dee’s contract ran through 3/15/16 and that we’d like to have them available in case Mitchell’s wasn’t able to keep up with the volume of work that we needed done. In the interim, we’ve had Dee’s and Mitchell bid a variety of properties to see whether they were quoting comparable volume of debris at each property. At the December meeting we discussed with the board the difficulty of estimating cubic yards of debris found in each house and how that might make it difficult to compare rates quoted by different contractors. Although Dee’s rate per cubic yard is higher, they’ve consistently bid houses with less volume and it has resulted in lower overall cost for the Land Bank. We’d like to renew their contract at their current rate, understanding that it’s a higher rate per cubic yard than charged by Mitchell, but that their bidding process results in lower job costs.
Among the properties where we compared bids for both contractors Dee’s bids came in an average of $500 lower per property. We’ve never had a debris removal contractor bid lower volume and then issue a change order after beginning the job. Address Dee's Mitchell 203 Landon $2,230.00 $2,478.00 109 Elmhurst $600.00 $650.00 213 May $830.00 $775.00 617 Second North St $600.00 $775.00 114 Grandy $4,980.00 $8,500.00 4 Travers $2,490.00 $1,520.00 115‐17 State Fair $1,430.00 $2,650.00 400 lynch $450.00 $875.00 129 Elmwood $830.00 $1,500.00 817 Onondaga Ave $1,660.00 $2,400.00 220 Oakley $3,090.00 $2,850.00 117 Hutchinson $830.00 $1,000.00
$20,020.00 $25,973.00
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Q. Procure numerous renovation contracts for 4 Travers St, Baldwinsville The Land Bank acquired this 945 sq. ft., three bedroom, single-family home from Onondaga County in January – it was diverted from their November 2015 tax auction. We believe we could sell the property in as-is condition for $24,900 but that renovated the Land Bank could net $55,000-65,000. We propose to invest approximately $33,000 and list it for $99,000. Post-renovation we would require that the buyer be an owner-occupant, but there would be no income restrictions since the renovation would use unrestricted funds.
The exterior of the home is in good condition. The house has newer siding, windows and roof. We would: Add two garage doors Update electrical to include new breaker panel, new outlets, switches, and lights Install new high-efficient furnace and hot water tank Install new kitchen to include, floors, cabinets and countertops Install new bathroom to include, floors, vanity, toilet and tub surround Repair some damaged sheetrock and repaint entire interior Refinish hardwood floors in living room, hallway and 3 bedrooms
We’ve bid out the following components to be subcontracted and are seeking the board’s authorization to award each job to the lowest qualified bidder.
Repair drywall where needed and paint interior of the house: JMM Contracting $6,296.40 True Coat, Inc. $5,725.00
Electrical Service Upgrade, updated wiring with ground and from wall switches to overhead junction boxes: Stagnitta Electric $8,520.00 Rombough Electric $7,306.00 Electrical Installations $3,500.00
Install two new garage doors, one with automatic opener: Overhead Door $2,025.00 Raynor $2,265.00 Wayn Dalton $1,920.00
Install high efficient furnace and repair duct work: Angelo Chido $3,530.00 Nicotra and Son $2,600.00 Potter $2,676.00
Our staff will procure and install kitchen cabinets, vinyl flooring in the kitchen and bathroom, new tub surround, toilet and vanity in the bathroom, lighting fixtures, finish carpentry, and we will order new kitchen countertops to be installed by the vendor. Total cost of these components and the subcontracted items listed above will not exceed $33,000.
Page 5 of 5 14
GREATER SYRACUSE LAND BANK
David Michel, Board President University Neighborhood Preservation Association 230 Westminster Avenue Syracuse, NY 13210
July 15, 2014
Mr. Michel,
This morning the Greater Syracuse Land Bank held a regular meeting of its board of directors. The board was presented with a request from Mayor Stephanie A. Miner to consider partnering with the City and the University Neighborhood Preservation Association to support the redevelopment of the Gustav Stickley House. The board was presented with information on the history of the house, its current condition, state funds allocated for stabilization of the building, and recent plans for renovation and conversion to a museum. The Land Bank's mission is to return vacant and abandoned properties to productive use and to revitalize neighborhoods. The Land Bank is well equipped to hold title to and to maintain historic properties in order to allow time for thoughtful planning and an appropriate redevelopment plan to be made viable.
After some discussion the board unanimously passed a motion to express the willingness and intent of the Land Bank to accept title to the Gustav Stickley House located at 438 Columbus Avenue in the City of Syracuse from the University Neighborhood Preservation Association ("UNPA") in the event UNPA is unable to locate a suitable owner of the property following the completion of certain renovations to the property by UNPA, about two years from the date hereof.
We look forward to working with UNPA and the greater Syracuse community to find a sustainable outcome for this property that enhances the surrounding neighborhood and makes this significant piece of our architectural heritage accessible to the public.
Si0 ?z)r{l Katelyn Wright Executive Director ·
333 W. Washington Street, Suite 130; Syracuse NY 13202 I P: 315-422-2301 IF: 315-435-3669 www .syracuse!andbank.org 15
DONATION AGREEMENT
This Donation Agreement made the _____ day of March, 2016, by and between L.& J.G. Stickley, Inc. , a New York for profit corporation, maintaining an office at 1 Stickley Drive, Manlius, New York 13104 (hereinafter “Stickley”) and the University Neighborhood Preservation Association, a not-for-profit corporation organized under the laws of the State of New York, maintaining an office at 230 Westminster Avenue, Syracuse, New York 13210 (hereinafter “UNPA”), the Greater Syracuse Land Bank, a not-for-profit corporation organized under the laws of the State of New York, maintaining an office at 431 E. Fayette Street, Syracuse, new York 13202, and the Onondaga Historical Association, a not-for-profit corporation organized under the laws of the State of New York, maintaining an office at 321 Montgomery St., Syracuse, New York 13202.
WITNESSETH:
WHEREAS, UNPA’s mission includes partnering with municipal agencies, Syracuse University, and other neighborhood associations to improve the University neighborhood; and
WHEREAS, Stickley was founded in 1900 by Leopold and John George Stickley and became the successor-in-interest to the mission furniture line of Gustav Stickley; and
WHEREAS, Stickley is the owner by purchase of the one-time home of Gustav Stickley located at 438 Columbus Avenue in the University Neighborhood of the City of Syracuse (“Gustav Stickley House”); and
WHEREAS, the interior of the Gustav Stickley House is designed in the Arts and Crafts style, reportedly the first such design in the United States noted for its simple, sturdy interior design which compliments mission furniture designs; and
WHEREAS, UNPA has received or will receive grants from the State of New York to restore the extensive woodwork in and preserve the Gustav Stickley House; and
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WHEREAS, Stickley wishes to entrust the Gustav Stickley House to the care of UNPA and make a gift thereof, subject to the terms and conditions set forth hereafter.
NOW, THEREFORE, in consideration of the mutual promises set forth herein, and other good and valuable consideration, the parties agree as follows:
(1) By deed executed and delivered simultaneously herewith, Stickley hereby donates to UNPA the Gustav Stickley House.
(2) UNPA hereby accepts the gift of the Gustav Stickley House in an “as is” condition, and agrees to diligently rehabilitate and stabilize the historic interior and exterior of the property (phase I construction), as described in the attached Stickley Work Plan Detail, with grant funds as are available, and to hold and care for the property until it can be transferred as provided hereafter.
(3) It is agreed and understood that UNPA shall accept and hold title to the Gustav Stickley House during the rehabilitation and stabilization period. Thereafter, UNPA agrees that it will transfer title to the Gustav Stickley House to the Onondaga Historical Association (OHA), which will hold and maintain the Gustav Stickley House for the benefit of the general public. Upon such transfer of title, UNPA shall have no further obligations hereunder.
If such transfer of title (UNPA to OHA) does not happen within 60 days of the completion of the rehabilitation and stabilization period, then UNPA will transfer the title to the Greater Syracuse Land Bank (GSLB), with the understanding that GSLB will hold title only until OHA is able to take title.
To the fullest extent permitted by law, Stickley shall defend, indemnify and hold harmless GSLB and its officers, agents and employees from and against all claims, damages, losses and expenses, including but not limited to attorneys' fees, which may arise from Stickley’s use and occupancy of the Gustav Stickley House. Similarly, and to the fullest extent of the law, GSLB shall defend, indemnify and hold harmless Stickley and its officers, agents and employees from and against all claims, damages, losses and expenses, including but not limited to attorneys’ fees, which may arise from GSLB’s use and occupancy of the Gustav Stickley House.
For the entire term of GSLB’s ownership of the Gustav Stickley House, Stickley covenants and agrees that it will procure, maintain and keep in force, at its own expense, insurance coverage in the following types and amounts:
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A. Comprehensive general liability insurance for claims for personal injury, death, or property damage occurring in or about the Premises and which arise from Stickley’s use and occupancy of the Gustav Stickley House with limits of $1,000,000 per occurrence. GSLB and its property manager, if any, shall each be named as additional insureds thereunder.
B. Fire insurance with an extended coverage endorsement on all Stickley's personal property, including, but not limited to, trade fixtures, merchandise and furnishings located in or about the Gustav Stickley House.
C. Stickley shall, upon GSLB accepting ownership of the Gustav Stickley House, deliver to GSLB certificates of insurance for all policies of insurance required to be provided by it under the terms of this Agreement, together with the policy endorsements confirming the additional insured status required hereunder and evidence of payment therefor. Thirty (30) days prior to the expiration of any policy of insurance, Stickley shall deliver to GSLB a renewal or new policy to take the place of the policy expiring. In the event that Stickley fails to furnish any policy of insurance as provided in this Agreement, GSLB may obtain such insurance, and the premiums of such insurance shall be immediately due and payable by Stickley to GSLB.
It is the intent of Stickley that the ultimate title holder be OHA, and that OHA will hold and maintain the Gustav Stickley House for the benefit of the general public. Any such transfer shall require that Stickley and OHA agree to terms identical to the terms of this Donation Agreement, or such other terms as Stickley and OHA may reasonably determine. Should OHA accept title to the Gustav Stickley House, and complete the rehabilitation necessary to make it available to the general public, Stickley will donate furniture sufficient to furnish the Gustav Stickley House and appropriate for the intended use, including a reissue of the Columbus Avenue Sideboard that was a signature piece in the Gustav Stickley House history.
If OHA is unable to proceed with the project, and take title within three years after completion of phase I referenced above, GLSB and Stickley will diligently cooperate to recruit and retain an alternate not-for-profit organization (“Alternate”), which Alternate will accept title to the Gustav Stickley House and fulfill the following terms and conditions:
a) Complete the full restoration of the property and maintain it once renovated; b) Operate the property for a purpose that maintains public access to the historic interior;
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c) Agree to the terms of sections (7) and (8) of this Donation Agreement; d) Make no inappropriate alterations to the historic interior of the first and second floors; and e) Utilize the non-public spaces for a use that is compatible with the use of the public spaces on the first and second floors.
(4) UNPA recognizes that the Gustav Stickley House contains an historically and architecturally significant Arts and Crafts style interior. Under no circumstances will UNPA remove said interior woodwork or any other component of the interior, or any portion thereof, without the express written consent of Stickley.
(5) During the term of this Donation Agreement, UNPA shall maintain, or cause to be maintained, with funds secured via New York State grants, and other funding received for this purpose, all components of the Gustav Stickley House so as to maintain the architectural and aesthetic harmony of the building as a whole. Furthermore, it is not anticipated by the parties to this Donation Agreement that the Gustav Stickley House will be open as a learning center or museum for public display while under rehabilitation, stabilization or maintenance by UNPA, and any use or occupancy of the Gustav Stickley House for other than rehabilitation, stabilization, maintenance and repair shall require the advance written approval of Stickley.
(6) UNPA shall not suffer or permit any mechanic’s liens to be filed against the premises. In the event that any mechanic’s liens shall be filed against the premises by reason of work undertaken by UNPA, UNPA shall cause such liens to be discharged or bonded-off within 30 days from the filing thereof.
(7) Stickley, in furtherance of its endeavor to preserve and promote the heritage of the Arts and Crafts style furniture established by Gustav, Leopold and John George Stickley, reserves for itself, its successors, grantees, invitees, employees, customers, patrons and assigns, the right, in each 12 month period commencing on the first day of the month following the execution of this Donation Agreement, and each 12 month period thereafter, unless the rehabilitation of the building interferes with these activities, and without interfering with any other of UNPA’s obligations pursuant to this Donation Agreement, to:
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a) bring dealers and customers to the Gustav Stickley House at all times when the House is open to the public, and on other occasions as mutually agreed with UNPA, and subject to contractor’s insurance provisions.
b) to take photographs of the interior of the Gustav Stickley House for commercial promotion of Stickley furniture and accessories, including the right to bring furniture and accessories on the premises for so- called “photo-shoots.”
c) host receptions, or educational seminars at the Gustav Stickley House, limited, however, to six (6) such events per year.
(8) After the rehabilitation and stabilization period, it is agreed that there shall be prominently displayed on the first / main floor in the interior of the Gustav Stickley House a plaque to be furnished by Stickley, to read as follows:
“The Gustav Stickley House was made possible through the generosity of the family of Alfred and Aminy Audi.”
(9) In the unlikely event that UNPA shall fail to diligently rehabilitate, stabilize or maintain the property, then UNPA agrees Stickley shall have the option to demand that title to the Gustav Stickley House, including the historically and architecturally significant Arts and Crafts interior, revert to Stickley (“Option of Reverter”), at which time UNPA shall deed the Gustav Stickley House, including the historically and architecturally significant Arts and Crafts interior, back to Stickley for no consideration, including no reimbursement for the costs of any rehabilitation, stabilization, maintenance or repair expenses, or the cost of any improvements undertaken by UNPA or any other party.
Said Option of Reverter shall be exercised within 60 business days of receipt by Stickley of written notice from UNPA (or receipt of actual notice from sources other than UNPA in the event that UNPA shall fail to provide written notice) of the intention of UNPA to no longer rehabilitate, stabilize, maintain or repair the Gustav Stickley House, it being understood by the parties to this Donation Agreement that the failure by UNPA to rehabilitate, stabilize, maintain and repair the Gustav Stickley House for a period greater than 12 consecutive months shall be conclusive evidence of the intent of UNPA to no longer rehabilitate, stabilize, maintain and repair the Gustav Stickley House. In the
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event that Stickley shall fail to exercise the Option of Reverter, then said option shall forever expire.
(10) Any notice required to be given by the terms of this Agreement or under any applicable law by either party shall be in writing and shall be either hand delivered or sent by certified mail, postage prepaid, return receipt requested. Such written notices shall be addressed as follows:
As to UNPA: University Neighborhood Preservation Association 230 Westminster Avenue Syracuse, New York 13210 And also to: ______
______
______
As to GSLB: Greater Syracuse Land Bank 431 E. Fayette Street, Suite 375 Syracuse, New York 13202
And also to: Menter Rudin & Trivelpiece, P.C. Attn: John P. Sidd 308 Maltbie Street, Suite 200 Syracuse, New York 13204
As to OHA: Onondaga Historical Association 321 Montgomery St. Syracuse, New York 13202 And also to: ______
______
______
As to Stickley: L. & J.G. Stickley, Inc. 1 Stickley Drive Manlius, New York 13202
And also to: Byrne, Costello & Pickard, P.C. Attn: F. Scott Molnar, Esq. 100 Madison Street, Suite 1600 Syracuse, New York 13202
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Either party may, by subsequent written notice, designate a different address or party for receiving notice. Any notice required under this agreement shall be effective three (3) days following the date of posting.
(11) The terms and conditions of this Agreement are absolutely confidential between the parties and shall not be disclosed to anyone else, except as shall be necessary to effectuate its terms. Any disclosure in violation of this section shall be deemed a material breach of this Agreement.
(12) This instrument represents the complete agreement between the parties hereto and may not be modified other than by a written instrument signed by both parties hereto.
(13) This Donation Agreement shall be governed and construed in accordance with the Laws of the State of New York.
(14) This Donation Agreement shall bind and inure to the benefit of the parties and their respective successors and assigns.
(15) The UNPA hereby confirms that it is an organization qualified under Section 501(c)(3) of the Internal Revenue Code.
SIGNATURE PAGE TO FOLLOW
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IN WITNESS WHEREOF, this instrument has been executed by the parties as of the day and year first above written.
DONOR: DONEE:
L. & J.G. STICKLEY, INC. THE UNIVERSITY NEIGHBORHOOD PRESERVATION ASSOCIATION
By:______By:______Aminy I. Audi, CEO David Michel President, Board of Directors
DONEE:
GREATER SYRACUSE LAND BANK
By:______Vito Siscioli Chair, Board of Directors
DONEE:
ONONDAGA HISTORICAL ASSOCIATION
By:______Gregg Tripoli Executive Director
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STATE OF NEW YORK )SS: COUNTY OF ONONDAGA )
On the ___ day of ______, in the year 2016, before me, the undersigned, a Notary Public in and for said State, personally appeared Aminy I. Audi, CEO of L.&J.G. Stickley, Inc., personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity (ies), and that by his/her/their signature(s) on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.
______Notary Public
STATE OF NEW YORK )SS: COUNTY OF ONONDAGA )
On the ___ day of ______, in the year 2015, before me, the undersigned, a Notary Public in and for said State, personally appeared David Michel, President of the Board of Directors, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity (ies), and that by his/her/their signature(s) on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.
______Notary Public
STATE OF NEW YORK )SS: COUNTY OF ONONDAGA )
On the ___ day of ______, in the year 2016, before me, the undersigned, a Notary Public in and for said State, personally appeared Vito Siscioli, Chair of the Board of Directors, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is
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(are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity (ies), and that by his/her/their signature(s) on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.
______Notary Public
STATE OF NEW YORK )SS: COUNTY OF ONONDAGA )
On the ___ day of ______, in the year 2016, before me, the undersigned, a Notary Public in and for said State, personally appeared Gregg Tripoli, Executive Director, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity (ies), and that by his/her/their signature(s) on the instrument, the individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.
______Notary Public
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25 GSPDC 2016-19 Budget Amendment Proposed for Adoption: 3/29/16 2016 2016 2017 2018 2019 Anticipated year-end inventory (# of properties): 1400 1200 1600 1475 1360 Ordinary Income/Expense Adopted Amended DIFFERENCE Income 40000 · Government Grants 40010 · City of Syracuse$ 1,166,666.66 $ 1,416,666.66 $ 250,000.00 $ 750,000.00 $ - $ - 40030 · Admin/Developer Fees$ 153,849.00 $ 70,502.00 $ (83,347.00) $ - $ - $ - 40040 · Onondaga County$ 850,000.00 $ 733,545.48 $ (116,454.52) $ - $ - $ - 40060 · NY Attorney General$ 2,711,095.00 $ 1,851,155.20 $ (859,939.80) $ - $ - $ - 40070 · 50%/5Year Split$ - $ - $ - $ 210,718.00 $ 275,000.00 $ 300,000.00 Total 40000 · Government Grants$ 4,881,610.66 $ 4,071,869.34 $ (809,741.32) $ 960,718.00 $ 275,000.00 $ 300,000.00 42000 · REO Donated Funds$ 150,000.00 $ 150,000.00 $ - $ 150,000.00 $ 150,000.00 $ 150,000.00 43000 · In Kind Donations 48000 · Side Lot Application Income$ 1,000.00 $ 1,000.00 $ - $ 1,000.00 $ 1,000.00 $ 1,000.00 49000 · Rental Income$ 100,000.00 $ 60,000.00 $ (40,000.00) $ 60,000.00 $ 50,000.00 $ 40,000.00 49500 · Sale of Property$ 1,500,000.00 $ 1,500,000.00 $ - $ 1,250,000.00 $ 1,250,000.00 $ 1,500,000.00 Total Income$ 6,632,610.66 $ 5,782,869.34 $ (849,741.32) $ 2,421,718.00 $ 1,726,000.00 $ 1,991,000.00
Cost of Goods Sold 50000 · Cost of Sales 50010 · Property Purchase Cost$ 213,420.00 $ 290,600.00 $ 77,180.00 $ 215,515.00 $ 158,890.00 $ 119,630.00 50020 · Recording Fees$ 234,300.00 $ - $ (234,300.00) $ - $ - $ - 50030 · Initial Inspections$ 26,400.00 $ 26,400.00 $ 6,875.00 $ 4,400.00 $ 4,400.00 50031 · Periodic Inspections $ - $ - $ - $ - $ - $ - 50040 · Board-Up $ 19,200.00 $ 72,000.00 $ 52,800.00 $ 20,870.00 $ 17,240.00 $ 15,020.00 50045 · Pest Extermination $ 10,000.00 $ 10,000.00 $ - $ 15,000.00 $ 15,000.00 $ 15,000.00 50050 · Debris Removal $ 275,000.00 $ 200,000.00 $ (75,000.00) $ 350,000.00 $ 350,000.00 $ 300,000.00 50060 · Re-Key $ 6,750.00 $ 19,200.00 $ 12,450.00 $ 23,680.00 $ 26,800.00 $ 800.00 50070 · Yard Maintenance $ 200,000.00 $ 155,000.00 $ (45,000.00) $ 236,520.00 $ 290,160.00 $ 270,540.00 50080 · Snow Removal $ 194,000.00 $ 150,000.00 $ (44,000.00) $ 235,000.00 $ 338,000.00 $ 332,000.00 50090 · Renovation $ 2,008,035.00 $ 1,581,485.00 $ (426,550.00) $ - $ - $ -
1 of 4 26 GSPDC 2016-19 Budget Amendment Proposed for Adoption: 3/29/16
50000 · Cost of Sales con't 50095 · Sidewalk Replacement/Repair $ 20,750.00 $ 20,750.00 $ - $ 20,000.00 $ 20,000.00 $ 20,000.00 50100 · Stabilization $ 110,000.00 $ 110,000.00 $ - $ 200,000.00 $ 100,000.00 $ 100,000.00 50110 · Demolition/Deconstruction $ 1,258,486.00 $ 1,259,695.20 $ 1,209.20 $ - $ - $ - 50115 · Environmental Services $ 30,000.00 $ 30,000.00 $ - $ 50,000.00 $ 30,000.00 $ 30,000.00 50120 · Permits/Fees $ 15,000.00 $ 15,000.00 $ - $ 15,000.00 $ 15,000.00 $ 15,000.00 50130 · Utilities $ 80,500.00 $ 80,500.00 $ - $ 73,000.00 $ 58,500.00 $ 49,250.00 50140 · Title Insurance $ 5,000.00 $ 5,000.00 $ - $ 5,000.00 $ 5,000.00 $ 5,000.00 50145 · Title Searches $ 1,000.00 $ 1,000.00 $ - $ 1,000.00 $ 1,000.00 $ 1,000.00 50150 · Special Assessments $ 322,000.00 $ 55,000.00 $ (267,000.00) $ 65,175.00 $ 85,000.00 $ 85,000.00 50160 · Rental Management $ - $ - $ - $ - $ - $ - 50170 · Architectural Prof. Services $ 5,000.00 $ 10,000.00 $ 5,000.00 $ 15,000.00 $ 15,000.00 $ 7,500.00 50180 · Land Survey Prof. Services $ 30,000.00 $ 30,000.00 $ - $ 30,000.00 $ 25,000.00 $ 20,000.00 50190 · Evictions $ 32,000.00 $ 45,000.00 $ 13,000.00 $ 50,000.00 $ 30,000.00 $ 25,000.00 50191 · Relocation Assistance $ 94,852.00 $ 94,852.00 $ - $ 95,000.00 $ 95,000.00 $ 45,000.00 50200 · Property Appraisal $ 59,000.00 $ 21,250.00 $ (37,750.00) $ 20,000.00 $ 20,000.00 $ 17,500.00 50205 · Legal Closing Costs $ 150,000.00 $ 150,000.00 $ - $ 142,500.00 $ 142,500.00 $ 138,000.00 50220 · Brokerage - Sale $ 180,000.00 $ 105,000.00 $ (75,000.00) $ 37,500.00 $ 37,500.00 $ 22,500.00 50230 · Sale of Property Closing Costs $ 5,000.00 $ 5,000.00 $ - $ 5,000.00 $ 5,000.00 $ 5,000.00 50999 · Reclass to Balance Sheet 50000 · Cost of Sales - Other Total 50000 · Cost of Sales $ 5,559,293.00 $ 4,542,732.20 $ (1,016,560.80) $ 1,927,635.00 $ 1,884,990.00 $ 1,643,140.00
Gross Profit $ 1,073,317.66 $ 1,240,137.14 $ 166,819.48 $ 494,083.00 $ (158,990.00) $ 347,860.00
Expense 60000 · Accounting Fees $ 72,000.00 $ 72,000.00 $ - $ 60,000.00 $ 60,000.00 $ 60,000.00 60150 · Bad Debt $ - 60100 · Automobile $ 15,500.00 $ 3,000.00 $ (12,500.00) $ 5,000.00 $ 5,000.00 $ 5,000.00 60200 · Depreciation 60250 · Amortization
2 of 4 27 GSPDC 2016-19 Budget Amendment Proposed for Adoption: 3/29/16 Expense con't 60300 · Legal Fees $ 50,000.00 $ 65,000.00 $ 15,000.00 $ 65,000.00 $ 60,000.00 $ 60,000.00 60400 · Office Expense $ 20,000.00 $ 28,000.00 $ 8,000.00 $ 30,000.00 $ 30,000.00 $ 30,000.00 60500 · Payroll 60510 · Salary $ 353,864.50 $ 347,989.00 $ (5,875.50) $ 371,557.73 $ 390,135.61 $ 409,642.39 60520 · Payroll Taxes $ 31,154.95 $ 30,637.65 $ (517.29) $ 32,712.69 $ 34,348.33 $ 36,065.74 60530 · Employee Health Insurance** $ 38,945.54 $ 36,766.71 $ (2,178.83) $ 39,862.85 $ 41,856.00 $ 43,948.80 60540 · Employer 401(k) Match $ 17,693.23 $ 17,399.45 $ (293.78) $ 18,577.89 $ 19,506.78 $ 20,482.12 60550 · Payroll Processing Fees $ 2,550.00 $ 2,550.00 $ - $ 2,677.50 $ 2,811.38 $ 2,951.94 60500 · Payroll - Other $ - Total 60500 · Payroll $ 444,208.21 $ 435,342.81 $ (8,865.40) $ 465,388.66 $ 488,658.09 $ 513,091.00 60600 · Professional Services $ 60,000.00 $ 60,000.00 $ - $ 60,000.00 $ 60,000.00 $ 60,000.00 60700 · Insurance 60701 · Property 60702 · Liability $ 310,465.00 $ 255,000.00 $ (55,465.00) $ 328,000.00 $ 358,000.00 $ 330,000.00 60700 · Insurance - Other $ 52,455.90 $ 48,386.13 $ (4,069.77) $ 25,000.00 $ 30,000.00 $ 26,125.00 Total 60700 · Insurance $ 362,920.90 $ 303,386.13 $ (59,534.77) $ 353,000.00 $ 388,000.00 $ 356,125.00 60800 · Telephone $ 4,955.60 $ 4,955.60 $ - $ 4,955.60 $ 4,955.60 $ 4,955.60 60900 · Travel $ 5,500.00 $ 5,500.00 $ 7,500.00 $ 7,500.00 $ 5,000.00 60905 · Conference/Meeting $ 3,000.00 $ 3,000.00 $ 4,000.00 $ 4,000.00 $ 2,500.00 61000 · Bank Service Charge $ - $ - $ - $ - $ - $ - 61100 · Repairs & Maintenance*** $ - $ - 61200 · License and Fees $ 2,500.00 $ 2,500.00 $ 2,500.00 $ 2,500.00 $ 2,500.00 61300 · Events & Marketing $ 15,000.00 $ 15,000.00 $ - $ 15,000.00 $ 12,500.00 $ 10,000.00 61400 · Rent Expense $ 24,600.00 $ 24,600.00 $ - $ 25,092.00 $ 25,596.00 $ 26,112.00 Total Expense $ 1,069,184.71 $ 1,022,284.54 $ (46,900.17) $ 1,097,436.26 $ 1,148,709.69 $ 1,135,283.60 OVERHEAD - Total expense less property-based insurance costs/ $ 706,263.81 $ 718,898.41 $ 12,634.60 $ 744,436.26 $ 760,709.69 $ 779,158.60 (Total Expense + Cost of Sales) 11% 13% 25% 25% 28% Net Ordinary Income $ 4,132.95 $ 217,852.60 $ (603,353.26) $ (1,307,699.69) $ (787,423.60)
3 of 4 28 GSPDC 2016-19 Budget Amendment Proposed for Adoption: 3/29/16
Other Income/Expense Other Income 79000 Misc. / Other Income $ - $ - $ - $ - $ - 70300 · Rental Late Fee Income $ - $ - $ - $ - $ - Total Other Income $ - $ - $ - $ - $ -
Other Expense 80000 · Unallocated $ - $ - $ - $ - $ - 80003 · Land Bank Buyer Incentive Pilot Program (NWS $ home program) $ 140,000.00 $ 40,000.00 $ (100,000.00) $ - $ - $ - Total Other Expense $ 140,000.00 $ 40,000.00 $ (100,000.00) $ - $ - $ -
Net Other Income $ (140,000.00) $ (40,000.00) $ - $ - $ -
Net Income $ (135,867.05) $ 177,852.60 $ (603,353.26) $ (1,307,699.69) $ (787,423.60)
Fund Balance at Year End $2,977,585.23 $3,291,304.88 $2,687,951.62 $1,380,251.93 $592,828.33
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2016 Budget: Proposed Amendments Presented to Finance Committee March 11, 2016
I. Revenues 1) City of Syracuse. The previously adopted 2016 budget adopted reflected the $666,666.66 scheduled for disbursement in early 2016 to which the Land Bank is contractually entitled under our current 2015-16 funding contract with the City, plus one half of the amount we anticipated in a 2016-17 contract - $1 million. We are now preparing to request $1.5 million in the 2016-17 contract given the deficit that we are projecting to run in 2016.
2) Admin/Developer Fees and NY Attorney General Income. We only book this income as projects are finished, as it’s simultaneously expensed for projects completed. In late 2015 we adjusted our 2015 expected income in these lines downward since our co-developers were behind schedule on completing projects. Home HeadQuarters then picked up their pace and completed projects faster than expected in 2015 – shifting income and expense we expected to book in early 2016 ahead into late 2015. Less grant funds now remain to be spent in 2016. We are projecting all the remaining grant funds already awarded by the AG will be spent in 2016 by the 12/31 grant deadline.
3) Onondaga County. This estimate has been refined since October 2015. Most of the monies granted to the Land Bank by Onondaga County so far have included restrictions and so, like the Attorney General funds, those aren’t booked as income until they’re expensed for an eligible purpose. Some of these restrictions have resulted in slower than expected use of the funds. We expect this year to fully expend funds awarded in 2014 and 2016 and to have $100,000 of 2015 restricted funds remaining to be spent in 2017 or later.
2014 2015 2016 Unrestricted $ 300,000.00 $ 250,000.00 Demolition $ ‐ $ 250,000.00 Deconstruction $ 200,000.00 Loan Guarantee $ 150,000.00 Jordan, Elbridge, Bville $ 150,000.00 REO purchase $ 200,000.00 $ 500,000.00 $ 500,000.00 $ 500,000.00
We expect the following funds to be booked as income this year:
$ 500,000.00 2016 funding (250,000 unrestricted and 250,000 spent for demos in 2016) $ 116,635.31 remaining Jordan/Elbridge/Bville funds from 2014 to be spent in 2016 $ 16,910.17 remaining decon $ to supplement 1641/1631 S Salina demos $ 100,000.00 Purchase of REO properties (of $200,000 restricted to this purpose) $ 733,545.48 County income to be booked in 2016 431 E. Fayette Street, Suite 375; Syracuse NY 13202 / P: 315-422-2301 / E: [email protected] www.syracuselandbank.org 30
Detail on remaining Jordan, Elbridge, Baldwinsville funds and anticipated uses:
$ 116,635.31 Total remaining $ (85,275.00) 12 Pine renovation subsidy $ (15,000.00) professional services owed to HHQ $ (5,650.45) toward demo of 5327 Hamilton Rd $ (10,709.86) anticipated taxes/carrying costs
4) Rental Income. For the past six months we’ve collected less rental income and are projecting $5,000/month for the remainder of this year.
Overall we are reducing expected revenues for 2016 by approximately $850,000 however the bulk of that comes from AG grant income and developers’ fees, which is offset by a reduction in associated renovation and demolition expense.
II. Cost of Goods 1) Property Purchase. 600 properties foreclosed and purchased at $151 each totals $90,600 and we expect to spend an additional $200,000 on the purchase of properties of strategic value. $100,000 of those purchase funds are reflected in County income above as they’re drawn from County funds restricted to that purpose. Those County funds can only be used for the purchase of bank owned properties, though, and we anticipate an additional $100,000 will be needed for the purchase of strategic, privately owned properties. 2) Recording Fees. Legislation signed by the Governor October 27, 2015 exempts land banks from these fees. 3) Initial Inspections. Previously planned to use staff for initial inspections, but we ultimately decided to hire fewer staff and continue to outsource most of the intake inspections, albeit at a far lower unit cost than prior years. Periodic inspections will be performed by staff. 4) Board-ups. Previously planned to be done in-house and so reflecting material costs only, we are continuing to outsource this, albeit at a far lower unit cost than in prior years. 5) Debris Removal. Reduced based on slower-than-anticipated rate of City foreclosures/growth of our inventory. 6) Re-keying. Previously planned to be done in-house and so reflecting material costs only, we are continuing to outsource this, albeit at a far lower unit cost than in prior years. 7) Yard Maintenance. Reduced based on slower-than-anticipated rate of City foreclosures/growth of our inventory. 8) Snow Removal. Slightly reduced since we have had a lighter than expected winter thus far. 9) Renovation. Reduced because more of the total activity than expected under the AG grant occurred in 2015. 10) Demolition. The total amount of demolitions funded by the AG grant has been reduced from the amount adopted in October because more projects were finished in 2015; however, we’ve proposed increasing the amount of unrestricted funds budgeted for demolitions from $500,000 to $700,000. See attached overall 2016 demolition budget for further detail on this. 11) Special Assessments/Taxes. Properties that are donated or purchased are still liable for property taxes for a period of time before the Land Bank’s exempt status takes effect. Otherwise, this line only encompasses
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31 special assessments paid on tax-exempt properties. The County’s waiver of $267,000 in special assessments in early 2016 allowed us to substantially reduce this line item. 12) Evictions. The Land Bank spent just under $44,000 on evictions in 2015. The adopted 2016 budget projected $32,000 for evictions in 2016 assuming that the Land Bank would acquire occupied properties at a slower pace in 2016 and that some occupied properties would be held as income generating rentals for a few months. The budget amendment calls for $45,000 for Evictions bringing it back to the 2015 level as occupied acquisitions have remained steady and evictions are necessary even as we work with Catholic Charities on relocations. 13) Property Appraisal. Legislation signed by the Governor October 27, 2015 removes the requirement that land banks obtain an appraisal before selling any property. We expect that there will still be instances in which it is prudent to first obtain an appraisal, but have significantly reduced this expense line. 14) Brokerage. If we continue outsourcing listings at our current rate, we’ll have to increase this line by $90,000. Alternatively, we propose hiring another staff person who will be full-time devoted to sales. This will cut overall costs significantly in the long term. However, we are liable for approximately $70,000 in commissions for sales already approved through the end of March, but not yet closed. An immediate shift in-house, while still offering $500 referral fees for buyers agents bringing buyers to the Land Bank for the rest of the year would reduce this line in 2016 to $105,000. This expense would be further reduced to $37,500 in 2017 even if we maintain the increased pace of sales that were made in 2015.
Summary of amendments to COGS: Approximately $270,000 in reductions come from legislation approved in 2015 exempting land banks from recording charges and the requirement to appraise property prior to sale. The County’s partial exemption from sewer unit charges further reduced expenses by $267,000. An additional $75,000 reduction can be made by hiring in-house sales staff and reducing sales commissions. (This will be further reduced in future years, but we estimate if the change is made 4/1 the Land Bank will owe at that time approx. $75,000 in commissions on approved sales that have yet to close and will pay, for the rest of 2016 sales, $500 flat commission to buyer’s agents. We estimate that 25% of our sales are co-broked, but conservatively base this budget estimate at 50% co- broked.) Other reductions are based on a shift in the completion of AG deliverables from 2016 to 2015 as they were completed earlier than expected and the City’s slower than anticipated rate of foreclosure and a smaller inventory than we previously expected for 2016.
Some other maintenance services that we previously planned to perform in house, are still being contracted out as the Land Bank opted to only hire one property maintenance staff person in early 2016. These increases are more than offset by anticipated reductions in other lines for an overall $541,000 reduction in planned expenses associated with properties under Cost of Goods.
III. Overhead Expenses 1) Automobile. No longer planning to purchase a Land Bank vehicle. 2) Legal Fees. Increase based on 2015 experience. 3) Office Expense. Increased to account for increased number of eProperty Plus licenses. 4) Payroll expenses. Budgeted with a plan to hire two maintenance staff. Amended to account for one property maintenance position (hired Q1) and one sales position (hired at the beginning of Q2). 5) Insurance – premises liability. Reduced based on slower-than-anticipated rate of City foreclosures/growth of our inventory. Page 3 of 4
32 6) Insurance – Other. GL insurance premium is 2.5% of subcontracted labor performed on properties to which we hold title. Based this on costs shown above, less renovation expenses, which are incurred while HHQ or the County hold title and we only pass through the grant funds. 7) Travel and Conferences. We attend Center for Community Progress’s Reclaiming Vacant Properties conference each year, which serves as the only national gathering for land bank professionals and other professions dealing with blighted property, and would like to budget enough this year to take several board members and/or elected officials along to the event.
We had projected a $136,000 deficit for 2016. That deficit would be eliminated given the reduction in expenses stemming from 2015 Land Bank Act amendments, sewer unit exemptions, and reduced maintenance costs resulting from slower-than-anticipated growth of our inventory. We project a $178,000 surplus for 2016, but project peak inventory will occur in 2017 and we’ll begin to run several years of deficit spending at that time.
If we do not receive $1.5 million from the City for a fourth year in their upcoming budget process, we will run a deficit in 2016.
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33 County Funds Allocated to Date 2/29/16
2014 2015 2016 Unrestricted $ 300,000.00 $ 250,000.00 Demolition $ ‐ $ 250,000.00 Deconstruction $ 200,000.00 Loan Guarantee $ 150,000.00 Jordan, Elbridge, Bville $ 150,000.00 REO purchase $ 200,000.00 $ 500,000.00 $ 500,000.00 $ 500,000.00
Notes on Restricted Funds Deconstruction Last $16,910.17 will be drawn in 2016 Loan Guarantee Committed for 10 years Jordan, Elbridge, Bville Will be fully drawn in 2016 REO purchase expect to spend 1/2 of this in 2016, none drawn yet 2016 funds are not yet under contract
County income expected to book to 2016 $ 500,000.00 2016 funding (250,000 unrestricted and 250,000 spent for demos in 2016) $ 116,635.31 remaining Jordan/Elbridge/Bville funds from 2014 to be spent in 2016 $ 16,910.17 remaining decon $ to supplement 1641/1631 S Salina demos $ 100,000.00 Purchase of REO properties (of $200,000 restricted to this purpose) $ 733,545.48 County income to be booked in 2016
Jordan, Elbridge, Bville Detail $ 116,635.31 $ (85,275.00) 12 Pine renovation subsidy $ (15,000.00) professional services owed to HHQ $ (5,650.45) toward demo of 5327 Hamilton Rd $ (10,709.86) anticipated taxes $ ‐ remaining
34 2016 demo budget 3/23/16
Sources $ 700,000.00 unrestricted assets $ 250,000.00 County 2016 allocation $ 16,910.17 Remaining Deconstruction Funds $ 309,695.20 remaining AG funds $ 1,276,605.37 total
Uses $ 1,276,605.37 total $ (284,695.20) AG demos completed, but yet to be invoiced $ (16,348.75) 319 Putnam (emergency completed 1/2016) $ (770.00) 319 Putnam air monitoring $ (115,877.09) Gothic Cottage/New Jerusalem Church TENTATIVE FIGURES $ (18,900.00) 128 N Geddes (will recoup through sales price) $ (720,000.00) bulk bid program
$ 120,014.33 remaining flex funds for emergencies
Bulk Bid Program details $ 15,000.00 Projected Demo Unit Cost $ 300.00 condemnation letter $ 800.00 air monitoring $ 1,000.00 water kill $ 375.00 insurance premium $ 17,475.00 Total Cost Per Demo
$ 720,000.00 bulk bid program budget 41.20 estimated number of houses in bulk bid
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GREATER SYRACUSE PROPERTY DEVELOPMENT CORPORATION
PERSONNEL POLICY
For the purpose of this personnel policy, individuals who are employees of the Greater Syracuse Property Development Corporation ("GSPDC") shall be considered “Personnel,” including full time administrative staff, interns and part-time employees. “Personnel” shall not include directors, vendors, service providers or other independent contractors.
Implementation of Personnel Policy:
The board of directors shall be responsible for the implementation and administration of this policy. The Executive Director shall be responsible for the distribution of the policy and day-to-day oversight of the policy guidelines.
Equal Employment Opportunity:
It is the policy of the GSPDC to grant equal opportunity to all persons without regard to race, color, sex, creed, age, gender, national origin, ancestry, sexual orientation, or physical handicap. The GSPDC will comply, to the best of its ability, with all applicable employment opportunity requirements. Complete records of the hiring process will be kept on all job openings not filled from within the organization.
It is the intent and desire of the GSPDC to provide equal opportunity in wages, promotions, benefits and all other privileges, terms and conditions of employment.
General Grievance Procedures:
Personnel are assured a fair hearing process for grievances. Employees should first attempt to resolve any problem with their immediate supervisor on an informal basis. If the employee is not satisfied that the grievance is properly resolved, the matter may be referred, in writing, to the board of directors. Grievances with the Executive Director should be first directed to the Chairman of the Board. All grievances will be resolved as expeditiously and confidentially as possible. The GSPDC has also adopted a Whistleblower Policy and Procedures and all Personnel should review and make use of such policy and procedures as needed.
Sexual Harassment:
The GSPDC prohibits all forms of sexual harassment and sexual discrimination by personnel and the board of directors. Any person who believes that he or she has been harassed or subject to discrimination should use the following the procedure: Carefully consider whether the questionable behavior is truly harassment or discrimination. Disputes of this nature should not be taken lightly and are considered serious charges.
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Confront the offending party and demand that the behavior cease. If the complainant is unwilling or unable to confront the accused directly, he or she should report the behavior to the Executive Director. If unresolved after discussions with the Executive Director, it should be reported to the Chairman of the Board, to be referred to the board of directors as necessary. If the complaint is against the Executive Director, it should be referred to the Chairman of the Board, to be referred to the board of directors as necessary. If the complainant is the Executive Director, it should be referred to the Chairman of the Board or to a disinterested director as appropriate, to be referred to the board of directors as necessary.
Disciplinary Action. Sexual harassment or sexual discrimination in the workplace by personnel will not be tolerated and: Will result in disciplinary action up to, and including, termination. Termination for this reason shall be considered as taken “with cause”; and May result in personal liability to the offending employee.
Reporting. The Executive Director shall report any complaint under this section received in writing to the Chairman of the Board immediately upon receipt of the complaint. Within 10 days of the initial report to the Chairman, another report should be made to the Chairman with a description of actions taken to resolve the complaint.
Appeal Process. Any party that disagrees with the determination made pursuant to this policy shall have the right to appeal within five business days to the Board of Directors, as a whole, whose decision will be binding on all parties.
Supervisory Responsibility. All GSPDC personnel who hold supervisory authority over other personnel shall take such action as may be needed to assure that sexual harassment and sexual discrimination does not occur during their employment at the GSPDC.
Illegal Substances and Alcohol:
Personnel shall not consume, trade, purchase or sell illegal substances while employed by the GSPDC. Personnel shall not be under the influence of illegal substances or alcohol at any time during working hours or while otherwise engaged in their duties of employment with the GSPDC. Personnel violating this rule are subject to immediate termination.
Conflicts of Interest:
Personnel shall comply with the GSPDC’s Code of Ethics, as such may be amended from time to time.
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Expenses:
Employees will be reimbursed for usual and customary expenses incurred while engaged in the duties of employment. The types of expenses that might be reimbursable would include travel expenses in accordance with the GSPDC’s travel policy. All reimbursements shall be subject to the GSPDC’s Discretionary Funds Policy.
Confidentiality:
The GSPDC may, at times, be entrusted with confidential and proprietary information. Personnel, including members of the board of directors, are responsible for maintaining these confidences and treating all information received in a confidential manner. Decisions as to the release of information rest with the Executive Director and, ultimately, the board of directors. Personnel should never disclose confidential information to the public and are not authorized to speak on behalf of the GSPDC without first obtaining authorization from the Executive Director.
Personnel files are confidential, to be accessed by the Executive Director and the Chairman of the Board.
Business Office Hours:
Business office hours are to be set by the Executive Director in consultation with the board of directors to ensure that the administrative offices are accessible to the public during normal business hours. Typical office hours are 8:30 a.m. to 5:00 p.m. Monday through Friday.
Personnel are allowed a one-hour lunch break.
Salaried Employee Work Week:
The employee workweek will average not less than 40 hours. Given the nature of the enterprise, it is expected that some workweeks during the year will require more than 40 hours per week. On these occasions, full assistance and cooperation is expected. While the GSPDC shall comply with the law in relation to compensation for overtime, the GSPDC does not currently have employees entitled to overtime compensation. The Executive Director may authorize compensatory time made available for staff. The chairman of the board may authorize compensatory time for the Executive Director. All compensatory time must be authorized in advance.
Compensation:
Personnel shall be paid in accordance with the customary payroll practices of the GSPDC. A record of hours by non-exempt personnel must be completed and submitted to the Executive Director prior to the payment of wages.
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The Executive Director position is considered exempt from overtime compensation.
Condition of Employment:
The Executive Director shall interview all potential employees for exempt and nonexempt jobs in consultation with the Hiring Committee. Employment is contingent upon approval by the GSPDC Board of Directors.
The first three (3) months of employment is a probationary period. After the probationary period, the employee’s performance shall be reviewed and, if satisfactory, that person may continue employment with the GSPDC. Only full-time regular staff members are eligible for employee benefits unless otherwise mandated by state or federal law, or as otherwise provided for at the time of employment.
Attendance:
It is expected that all personnel will report for work during normal working hours. The Executive Director, and ultimately, the board of directors, is charged with the responsibility and authority to see that office hours and good business practices are observed.
Dress Code:
Business casual attire is appropriate, as long as it projects a professional image. Employees must use common sense and good judgment in relation to their attire when working in the office, attending meetings or traveling on business.
Injuries/Worker’s Compensation:
Regardless of the severity or nature, all injuries incurred on the job must be reported to the Executive Director within one working day.
If required, an accident report shall be filed no later than 24 hours after the incident. The Executive Director shall notify the insurance carrier immediately. The GSPDC maintains such workers’ compensation insurance as required by law.
Regular Leave (Applicable to the Executive Director Only):
The Executive Director shall be allowed up to a maximum of twenty six (26) days per calendar year, or pro-rated portion thereof, to be used for any purpose including, but not limited to, the following purposes: sick, vacation or personal time off (“Leave”).
Leave may be taken at any time during the year with prior approval of the Chairman of the Board, except in the case of emergency in which case no prior approval is necessary.
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The Executive Director should avoid taking three consecutive weeks of Leave. The Executive Director is encouraged to take at least one full week of consecutive days of Leave per year.
Unused Leave will not be carried over to the next calendar year. At the time of the Executive Director’s separation from employment, the GSPDC will pay the Executive Director for up to twenty (20) accumulated unused Leave days. Paid days off shall be considered “advanced” at the beginning of each year of employment and, upon termination, only those that have been earned during the pro-rated portion of that year at a rate of one and two-thirds days per month shall be paid. For example, were the executive director to leave in the middle of their second year, they could be paid out for up to ten leave days if none had yet been used.
In every case of illness, a call must be made early on the first day of absence to notify the Chairman of the Board.
Pay in lieu of Leave is not allowed.
The Executive Director is also entitled to disability benefits as required by New York State Disability law.
Regular Leave (All other salaried employees):
Full-time salaried employees shall be allowed up to a maximum of sixteen twenty (1620) days per calendar year, or pro-rated portion thereof, to be used for any purpose including, but not limited to, the following purposes: sick, vacation or personal time off (“Leave”). After five years of continuous full-time employment with the organization, an additional five days of Leave per year will be awarded annually—for a total of twenty- one five (251) days of leave awarded on the fifth anniversary of employment with the GSPDC. Employees working less than full-time shall be allowed a pro-rated portion of the amount described above, based on the number of hours per week worked as a portion of a full-time position (i.e. ½ time, ¾ time, etc.).
Leave may be taken at any time during the year with prior approval of the Executive Director, except in the case of emergency in which case no prior approval is necessary.
Up to five (5) days of Uunused Leave will notmay be carried over to the next calendar year, but at no time may more than thirty (30) days be accumulated and ‘banked.’ At the time of the employee’s separation from employment, the GSPDC will pay the employee for up to sixteen twenty (2016) accumulated unused Leave days. Paid days off shall be considered “advanced” at the beginning of each year of employment and, upon termination, only those that have been earned during the pro-rated portion of that year at a rate of one and one-third days per month shall be paid. For example, an employee leaving in the middle of their second year could be paid out for up to eight leave days if none had yet been used.
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In every case of illness, a call must be made early on the first day of absence to notify the Executive Director.
Pay in lieu of Leave is not allowed.
Employees are also entitled to disability benefits as required by New York State Disability law.
Other Leave (all employees):
Bereavement Leave:
Bereavement leave shall not exceed four (4) consecutive days of paid leave per instance, upon the death of a spouse, parent or child. A one (1) day paid leave will be granted if the employee attends the funeral of any other family member.
Jury Duty Leave:
Employees serving on juries shall receive normal pay less other compensation which may be received from other sources resulting from such jury duty.
Unpaid Leave of Absence:
An unpaid leave of absence may be considered for personal, family, or medical reasons for a period not to exceed thirty (30) days. Unpaid leaves of absence may be permitted or extended, depending on the reasons and circumstances.
A request for an unpaid leave of absence must be in writing and supported by valid reasons. Approval by the Board of Directors is required.
Performance Evaluations:
An employee shall be reviewed after the probationary period, as well as on an annual= basis. An employee’s job description serves as a basis for evaluating employee performance. The Executive Director is responsible for implementing staff performance evaluations and making recommendations to the hiring committee on appropriate changes to job title and content, classification, performance and wage increases. Every employee’s performance shall be reviewed and discussed with the employee by the Executive Director. Performance evaluations will be performed prior to the end of each fiscal year as part of the GSPDC’s budget process.
The Executive Director shall be reviewed on an annual basis by the Board of Directors. The job description serves as the basis for evaluating performance. The Chairman of the Board of Directors will make recommendations to the full board of directors as to wage increases and/or performance compensation for the Executive Director.
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Separation and Termination:
All terminations, both voluntary and involuntary, are coordinated through the GSPDC board of directors.
Any employee contemplating resigning should discuss matters first with the Executive Director. Personnel who voluntarily leave the employment of the GSPDC shall submit a written letter of resignation at least two (2) weeks prior to their last day of work. The Executive Director should give at least four (4) weeks’ notice to the board of directors unless other requirements are set forth in an employment agreement. Permanent employees who have resigned will be eligible to receive earned vacation benefits.
The decision to terminate an employee shall be reviewed by hiring committee and the board of directors.
Paid Holidays:
The GSPDC, unless otherwise stipulated, shall observe the following paid holiday schedule: New Year’s Day Labor Day Martin Luther King Day Veterans Day Memorial Day Thanksgiving Day Presidents’ Day Day after Thanksgiving Independence Day Christmas Day
In the event a holiday falls on a Saturday, the GSPDC office will close on the Friday prior. If the holiday falls on a Sunday, the GSPDC offices will close on the following Monday.
Permanent part-time employees, who have been employed for more than 12 calendar months, will receive holiday pay equal to their average daily pay during the previous four week period.
Group Health Insurance/Reimbursement Program:
The GSPDC will endeavor to offer group health insurance benefits, including medical, dental, and vision coverage. The GSPDC will endeavor to offer both family and individual coverage. The GSPDC will contribute up to a maximum amount of $6,327.65 for individual medical coverage, $10,200 for the employee plus a dependent, and $15,900 for an employee enrolling in family coverage. In addition, the GSPDC will contribute , $517.34 for dental coverage and $67.87 for vision coverage of each participating employee's annual premium cost for such insurance coverage. Upon leaving the GSPDC’s employment, COBRA benefits are available at the employee’s expense.
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In the event the GSPDC is unable to obtain all or any one of such insurance policies and an employee is able to obtain such insurance coverage independently, the GSPDC shall reimburse such employee an annual amount not to exceed the respective maximum contribution limits set forth herein for each such insurance policy.
Retirement Program:
GSPDC employees may participate in the employer sponsored retirement program in accordance with the terms and conditions of the plan. The GSPDC will match a participating employee's contributions at a 1:1 ratio up to a maximum employer contribution equal to 5% of the employee’s total annual compensation. The GSPDC intends for such retirement plan to provide for the employer’s contribution to the plan on behalf of the employee to be 50% vested in the employee on the first anniversary of the employee’s entrance into the plan and 100% vested in the employee on the second anniversary of the employee’s entrance into the plan.
Withholdings:
The GSPDC shall withhold from the salary of all employees such amounts as may be required by law including, but not limited to, Federal and State income taxes and social security taxes.
THIS POLICY DOES NOT CONSTITUTE A CONTRACT OF EMPLOYMENT. THE GSPDC HAS THE RIGHT TO AMEND THIS POLICY AT ANY TIME.
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43 Sales Specialist Job Description
Responsibilities This staff person will function as the primary contact for all Land Bank property sales.
Primary responsibilities include:
Identify Land Bank owned properties that should be sold. Perform comparable market analysis to find appropriate listing price. Work with Land Bank staff in preparing renovation specifications. Photograph and upload listing pictures to Land Bank website. Seek out creative marketing ideas to promote Land Bank properties for sale. Provide excellent customer service to potential buyers. Scheduling and showing properties to prospective buyers (to include various nights and weekends). Assisting buyers as they fill out Land Bank’s purchase application and sales contract. Other duties, as assigned.
Additional responsibilities may include:
Promote Land Bank purchase opportunities at various community meetings. Occasionally assist in the management of occupied properties.
Qualifications Applicants should:
Hold a current NYS Real Estate License in good standing with NY DOS Licensing Division Have a high level of sales and customer service experience Possess an entrepreneurial spirit and be a self-starter Be proficient with the smartphone, email, digital camera Must be willing to use your own smartphone Must be willing to use your own vehicle (mileage will be reimbursed at the IRS rate) Possess excellent written and verbal communication skills Have a passion for being a part of revitalizing distressed properties
44 You will need to quickly learn about the Land Bank’s operations and communicate a broad range of information to customers in a clear and concise manner when fielding inquiries Represent the organization with a high degree of professionalism and capacity to represent the organization to the public, calmly address customer complaints, and explain the Land Bank and our processes to occupants Display a strong work-ethic and interest in the organization’s mission Be willing to learn new skills and assume additional responsibilities if necessary. Be available to work a flexible schedule to include nights and weekends to show potential buyers properties Must reside in or be willing to move to Onondaga County.
Conditions of employment: Must have a valid NYS driver license in accordance with the Land Bank’s vehicle and driving policy. Must have a reliable vehicle for use in job responsibilities. Must be able to lift at lift 80 pounds. Must be able to climb stairs, and to walk, stand, stoop, reach and have good hand, foot, and eye coordination. Must have manual dexterity to be able to read and write. Employee may need to be outside in extremely cold, hot or wet weather. Employee must work well independently.
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A meeting of the Board of Directors of the Greater Syracuse Property Development Corporation (“GSPDC”) was convened in public session in the third floor conference room of the Central New York Philanthropy Center located at 431 East Fayette Street Syracuse, New York 13202 on March 29, 2016 at 8:30 a.m.
The meeting was called to order by the Chairman and, upon roll being called, the following directors of the GSPDC were:
PRESENT:
Vito Sciscioli, Chair James Corbett, Vice Chair Daniel Barnaba, Treasurer Julie Cerio, Secretary El-Java Abdul-Qadir
FOLLOWING PERSONS WERE ALSO PRESENT:
Katelyn Wright Executive Director John P. Sidd, Esq. GSPDC Counsel
The following resolution was offered by ______, seconded by ______, to wit: Resolution No.: 7 of 2016
RESOLUTION AUTHORIZING THE SALE OF MULTIPLE PARCELS OF REAL PROPERTY
WHEREAS, New York Not-for-Profit Corporation Law Section 1609(d) authorizes the GSPDC to convey, exchange, sell, or transfer any of its interests in, upon or to real property; and
WHEREAS, New York Not-for-Profit Corporation Law Section 1605(i)(5) requires that a sale of real property be approved a majority vote of the Board of Directors; and
WHEREAS, New York Not-for-Profit Corporation Law Section 1609(f) permits the board of directors to delegate to officers and employees the authority to enter into and execute agreements, instruments of conveyance and all other related documents pertaining to the conveyance of real property by the land bank; and
WHEREAS, Section 4(e)(i) of the GSPDC's Disposition of Real and Personal Property Policy (the “Property Disposition Policy”) permits the GSPDC to dispose of real property by negotiation after listing the real property for sale with a licensed real estate broker and/or on the GSPDC’s website; and
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WHEREAS, Section 4(e)(i)(3) of the Property Disposition Policy permits the GSPDC to sell real property to an applicant who has not submitted the highest purchase offer for a variety of reasons consistent with the GSPDC’s mission and purpose to facilitate the return of vacant, abandoned, and tax-delinquent properties to productive use; and
WHEREAS, all disposals of GSPDC property must be made to qualified buyers pursuant to Section 5 of the Property Disposition Policy; and
WHEREAS, the GSPDC owns certain parcels of real property situate in the County of Onondaga, State of New York and more particularly identified on the Properties List attached hereto as Schedule A (individually, a "Property" or collectively, the "Properties"); and
WHEREAS, the Executive Director, after evaluating all purchase offers received for the Properties in accordance with the Property Disposition Policy, has recommended that the GSPDC sell each Property to the corresponding Buyer identified on the Properties List (individually, a "Buyer" or collectively, the "Buyers") in accordance with the terms and conditions set forth therein; and
WHEREAS, the GSPDC has determined that each Buyer is a qualified buyer and that that each Buyer’s offer is reasonable and consistent with the GSPDC’s mission and purpose; and
WHEREAS, the GSPDC has solicited competition for the each Property in accordance with the Property Disposition Policy; and
WHEREAS, if any Property is being sold to a Buyer who has not submitted the highest purchase offer for such Property, the Board of Directors has determined that the sale is justified for the reasons set forth on the Properties List, said reasons being consistent with the GSPDC’s mission and purpose to facilitate the return of vacant, abandoned, and tax-delinquent properties to productive use; and
WHEREAS, the GSPDC desires to sell each Property to the corresponding Buyer identified on the Properties List at the price set forth therein; and
WHEREAS, as may be noted on the Properties List, the GSPDC shall require certain Buyers to execute and deliver a Development Enforcement Note and Mortgage to ensure that the Buyer fulfills its development and use commitments to the GSPDC.
NOW, THEREFORE, BE IT RESOLVED BY THE GREATER SYRACUSE PROPERTY DEVELOPMENT CORPORATION AS FOLLOWS:
Section 1. The recitals above are hereby incorporated into this Resolution as if fully set forth herein.
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Section 2. The Members of the Board hereby authorize the GSPDC to sell each Property to the corresponding Buyer identified on the Properties List and authorize the Executive Director to enter into a Contract to Purchase with the GSPDC as seller and the Buyer as buyer with respect to each Property. Each Contract to Purchase shall be agreeable in form and content to the Executive Director and GSPDC counsel.
Section 3. The Chairman, Vice Chairman, Secretary and Treasurer are each hereby authorized to execute all documents on behalf of the GSPDC which may be necessary or desirable to further the intent of this Resolution and do such further things or perform such acts as may be necessary or convenient to implement the provisions of this Resolution. The Executive Director and the Director of Operations of the GSPDC are each also hereby authorized and directed for and in the name and on behalf of the GSPDC to execute agreements, instruments of conveyance and all other related documents pertaining to the conveyance of real property by the GSPDC.
Section 4. All other officers, employees and agents of the GSPDC are hereby authorized to execute and deliver all such certificates, instruments and documents, to pay all such fees, charges and expenses and to do all such further acts and things as may be necessary or, in the opinion of the officer, employee or agent acting, desirable and proper to effect the purposes of the foregoing Resolution.
Section 5. This Resolution shall take effect immediately.
The question of the adoption of the foregoing Resolution was duly put to a vote on roll call, which resulted as follows:
Vito Sciscioli VOTING ___ James Corbett VOTING ___ Daniel Barnaba VOTING ___ Julie Cerio VOTING ___ El-Java Abdul-Qadir VOTING ___
The foregoing Resolution was thereupon declared and duly adopted.
STATE OF NEW YORK ) COUNTY OF ONONADAGA ) ss.:
I, the undersigned Secretary of the Greater Syracuse Property Development Corporation (the "GSPDC"), DO HEREBY CERTIFY, that I have compared the foregoing extract of the minutes of the meeting of the directors of GSPDC, including the Resolution contained therein, held on March 29, 2016 with the original thereof on file in my office, and that the same is a true and correct copy of such proceedings of GSPDC
{32752/2972613/JPS/01152520.DOCX}
48
and of such Resolution set forth therein and of the whole of said original so far as the same related to the subject matters therein referred to.
I FURTHER CERTIFY that (A) all directors of GSPDC had due notice of said meeting; (B) said meeting was in all respect duly held; (C) pursuant to Article 7 of the Public Officers Law (the "Open Meetings Law"), said meeting was open to the general public and due notice of the time and place of said meeting was given in accordance with such Open Meetings Law; and (D) there was a quorum of the directors of GSPDC present through said meeting.
I FURTHER CERTIFY that, as of the date hereof, the attached Resolution is in full force and effect and has not been amended, repealed or rescinded.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of GSPDC this 29th day of April, 2016.
______Julie Cerio, Secretary
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“Schedule A”
March 29, 2016 Sales Summary
1) 300 Bruce St & Fayette St E – Vacant Single-Family House Date Acquired: 07/17/2015 Listing Price: $9,900 Listed: 9/24/2015 Broker: Willowbank Company Days on Market: 187
This property has been on the market for several months. The Land Bank did not list it with a required scope of renovations. Lloyd Hubbard has renovated and operates five rental properties in Syracuse and owns three others elsewhere in Onondaga County. Hubbard plans to complete most of the renovations himself and has included a detailed renovation plan. He plans to renovate this house and sell it to his son, who will owner-occupy the property.
Based on the Land Bank’s disposition policy staff recommend sale to Lloyd Hubbard subject to an enforcement mortgage that will be discharged only once the renovations are complete and the home is owner occupied.
300 Bruce Street Purchase Offer Applicant American First Properties, Lloyd Hubbard Vahid Mujakovic LLC Offer $12,150 $10,100 $9,900 Plan Renovate for Rental Renovate for his Son Redevelop and Resell to an to Owner-Occupy Owner-Occupant Notes/Recommendations Plans to invest $10,380 in Has the most Plan similar to Hubbard’s but renovations. extensive scope of doesn’t address electrical or renovations exterior upgrades
2) 209 Boyden Street – Vacant Single-Family House Date Acquired: 11/18/2015 Listing Price: $9,900 Listed: 1/25/2016 Broker: Saya Real Estate Days on Market: 64
This single-family house was listed with mandatory renovations specs attached. Arthur Burstein and Roxanne Suskin own and operate 10 rental units throughout Syracuse. Mr. Burstein has over 20 years of experience in home renovations. He will be completing some of the work himself and has already identified the contractors he will be utilizing to complete the renovations. This would be Chorwdhury’s first house. He plans to renovate and re-sell the property, but would like the option to rent if unable to sell to an owner-occupant.
Katrina Skinner plans to renovate 209 Boyden and sell the property to a close family friend who will owner-occupy the house. She and her husband note on their application that they may lease it to them for up to two years while they work to get mortgage qualified. Steve and Katrina Skinner are experienced contractors and property managers and Steve is a licensed real estate broker. They are offering to purchase and finance this project with the intention of selling to family friends who are relocating to Syracuse for his job; he is gainfully employed and she owns her own photography business, but they are not mortgage qualified at this time. If this family they have in mind does not ultimately buy this house, the Skinners are committed to selling to an owner-occupant and confirm that this project aligns with similar investments they’ve made in the area in recent years. Since they are not the highest bidders, we would place a second enforcement mortgage on the property for the difference between their offer and the highest
431 E. Fayette Street, Suite 375; Syracuse NY 13202 P: 315-422-2301 | www.syracuselandbank.org 50
“Schedule A” offer, which they’d have to pay off if the property isn’t made owner occupied within 24 months of their taking title. The Skinners have a successful track record of renovating and flipping homes in this neighborhood to owner occupants.
Based on the Land Bank’s disposition policy staff recommend sale to Katrina Skinner subject to an enforcement mortgage to be discharged once the renovations are complete and a second mortgage to be discharged once the house is sold to an owner-occupant (allowing 24 months for this in light of their plan to rent to this family until they qualify for a mortgage).
209 Boyden Street Purchase Offer Applicant Arthur Burstein Katrina Skinner Nayeem Mike Gilbert and Roxanne Chowdhury Suskin Offer $13,000 $11,900 $12,000 $12,000 Plan Renovate for Renovate and Renovate for Rental Renovate for Rental Rental Resell to Owner- Occupant Notes/Recommendations All agreed to the minimum renovation specifications provided by the Land Bank.
3) 1511 West Colvin St – Vacant Single-Family House Date Acquired: 9/3/2014 Price: $5,000 Listed: 3/31/2015 Broker: Willowbank Company Days on Market: 364
1511 West Colvin St has been on the market for a year, with the price lowered several times. It is listed in the Land Bank’s Home Ownership Choice program. The area between the Strathmore neighborhood and South Ave has experienced an increase in vacant homes in recent years and sales to owner-occupants will go a long way toward stabilizing these highly visible blocks.
Daraszal King will owner-occupy 1511 Colvin and has agreed to complete the minimum renovation specifications provided by the Land Bank, which we estimate will cost just over $20,000. Mr. King will fund the purchase and renovations out of pocket. Based on the Land Bank’s disposition policies staff recommend sale to Daraszal King subject to an enforcement mortgage to be discharged once renovations are complete and a second mortgage ensuring the property remains owner occupied for five years.
1511 Colvin Street Purchase Offer Applicant Daraszal King Offer $5,000 Plan Renovate to owner occupy Notes/Recommendations Agreed to the minimum renovation specifications provided by the Land Bank
4) 222 Richmond Ave – Occupied Single-Family House Date Acquired: 11/25/2015 Appraised Value: $20,000
222 Richmond was occupied at the time the City foreclosed and conveyed it to the Land Bank. Mr. and Mrs. Pitts have been tenants of 222 Richmond Ave for six years and have been actively working with the Land Bank staff since the property was foreclosed to develop a financing and renovation plan that would enable them to purchase the property.
Page 2 of 8 51
“Schedule A” It is the Land Bank’s policy that occupants in the home at the time of foreclosure who have sufficient financing to both purchase and renovate the home have the first option to purchase and a chance to do so noncompetitively. The Pitts have qualified for financing sufficient to cover a $10,000 purchase price and necessary renovations. Their daughter lives in a home next door, which they have owned since 2010. This appraisal came back at $20,000 but the house needs nearly $10,000 in renovations and the Pitts only qualify for an $18,000 mortgage through Home HeadQuarters – they would pay for the remaining $2,000 in renovation costs out of pocket. This sale would make the home owner-occupied and allow them to remain near their daughter.
Based on the Land Bank’s disposition policies staff recommend sale to Clarence and Sarah Pitts for $10,000 subject to an enforcement mortgage to be discharged once the renovations are complete and a second mortgage to remain on the property for five years to guarantee owner-occupancy.
222 Richmond Avenue Purchase Offer Applicant Clarence and Sarah Pitts Offer $10,000 Plan Renovate and Owner-Occupy
5) 244 East Colvin Street – Vacant Single-Family House Date Acquired: 4/15/2015 Asking Price: $10,900 Listed: 9/14/2015 Broker: Reppi Realty Days on Market: 197
American First Properties, LLC is operated by Galal Madkour and is a newly formed LLC. Mr. Madkour purchased 1514- 16 South Ave from the Land Bank, has completed those renovations and received a mortgage discharge. Land Bank staff worked with Mr. Madkour to refine the scope of renovations for this property, as this one was not listed with a mandatory renovation spec attached. Based on the Land Bank’s disposition policies staff recommend sale to American First Properties, LLC subject to an enforcement mortgage to be discharged once the renovations are complete.
244 E. Colvin St Purchase Offer Applicant American First Properties, LLC Offer $10,900 Plan Renovate for Rental Notes/Recommendations Plans to invest $15,650 in renovations
6) 1304-06 South Ave – Vacant Two-Family House Date Acquired: 4/15/2015 Asking Price: $8,900 Listed: 7/6/2015 Broker: Willowbank Company Days on Market: 267
NY International RE, LLC is operated by Galal Madkour. Mr. Madkour purchased 1514-16 South Ave from the Land Bank and has completed those renovations and received a mortgage discharge. Land Bank staff worked with Mr. Madkour to refine the scope of renovations for this property, as this one was not listed with a mandatory renovation spec attached. Based on the Land Bank’s disposition policies staff recommend sale to NY International RE, LLC subject to an enforcement mortgage to be discharged once the renovations are complete.
1304-06 South Ave Purchase Offer Applicant NY International RE, LLC Offer $8,900 Plan Renovate for Rental Notes/Recommendations Plans to invest $20,240
Page 3 of 8 52
“Schedule A” 7) 2219 Valley Drive – Vacant Single-Family House Date Acquired: 06/22/2015 Asking Price: $28,400 Listed: 1/8/2016 Broker: Willowbank Company Days on Market: 81
Zhedadric Barbra is an educator at the Syracuse City School District, he plans to purchase 2219 Valley to renovate and owner-occupy the house. Mr. Barbra has applied through the Public Employees Discount Program, which entitles him to a 50% discount off the listing price. Zhedadric has retained J. E. Bryant and Associates to complete the proposed renovations and expect the renovations to be complete in 3-5 months. He will be financing the purchase and renovations with a loan from Home HeadQuarters. His purchase application was accompanied by a glowing letter of recommendation from SCSD Board President, Derrick Dorsey, praising the discount program and stressing the importance of encouraging more school district employees to live in the community that they serve. Based on the Land Bank’s disposition policies the Land Bank recommend sale to Zhedadric Barbra subject to an enforcement mortgage to be discharged once the proposed renovations are compete and a second mortgage to guarantee the home remains owner occupied for a period of five years.
2219 Valley Drive Purchase Offer Applicant Zhedadric Barbra Offer $14,200 (Public Employee Discount) Plan Renovate to Owner-Occupy Notes/Recommendations Applicant has agreed to the minimum renovation specs
8) 1367 Burnet Ave – Vacant Mixed-Use Building Date Acquired: 01/07/2015 Asking Price: $23,900 Listed: 1/29/2016 Broker: Willowbank Company Days on Market: 60
Sam Reppi is currently one of the Land Bank’s listing brokers. This property was listed with Willowbank Company, and their agent made every effort to competitively market the property and to get the Land Bank the highest possible price and highest quality renovation plan. Mr. Reppi will be foregoing the buyers’ agent’s portion of the real estate commission on this sale and has even offered to terminate his brokerage contract with the land bank if this would address any concerns about a conflict of interest. We do not believe there is any conflict in this transaction, as the property was competitively marketed by an independent listing agent and brokerage firm with an incentive to secure the highest possible offer.
Mr. Reppi plans to renovate 1367 Burnet Ave to house his real estate business on the first floor and create an apartment for himself on the second floor. He currently runs his business out of his home, which he would convert to a rental property upon occupying 1367 Burnet. Reppi has years of experience renovating houses throughout Onondaga County and currently operates 12 of his own rental properties, in addition to managing properties for other investors. Reppi’s renovation plan goes well beyond the minimum renovation required by the Land Bank and calls for significant improvements to the façade of the building – he projects that he will spend approximately $62,000 in renovations.
Lakesha Martin-Hargrett plans to purchase 1367 Burnett Ave to expand her current business, Hair For the Soul. Hair for the Soul is currently operating out of Martin-Hargrett’s home, but has been rapidly expanding. Martin-Hargrett plans to build out the top floor for use as a spa. Currently, Martin-Hargrett operates five rental properties in Syracuse and is experienced in property management and property renovation. Lakesha has also submitted an extensive business plan for operating her salon. Renovations on the property would be completed in two phases; phase 1 would renovate the bottom portion of the building, while phase two would transition the top floor into a spa. Both phases could take up to a year to complete.
Page 4 of 8 53
“Schedule A”
Jeff and Carol Kemp plan to purchase and renovate 1367 Burnet to operate as an investment property with a commercial rental unit on the ground floor and a residential apartment upstairs. Jeff Kemp has years of experience in general contracting and has proven the quality of his work by purchasing and renovating 1811 Butternut Street, which he purchased from the Land Bank 2015 and sold to an owner-occupant.
Nicole Walker plans to renovate the property to house her business on the first floor and a residential rental unit on the top floor. Ms. Walker has retained JE Bryant & Associates LLC to manage the redevelopment of the property. Nicole Walker holds a NYS Real Estate Brokers License and has managed numerous redevelopment projects throughout her career.
Based on the Land Bank’s disposition policies the Land Bank recommends sale to Mr. Reppi, who is both the highest bidder and plans to most extensive renovation of the property, subject to an enforcement mortgage to be discharged once his proposed renovations are complete.
1367 Burnet Ave- Purchase Offer Applicant Nicole Walker Sam Reppi Lakesha Martin-Hargett Jeff Kemp Offer $23,900 $30,500 $23,900 $25,000 Plan Renovate for her Renovate to Renovate for her own Renovate to own business + Owner-Occupy business + rental unit Operate as Mixed- rental unit and Operate Use Rental Business Notes/Recommendations Buyer has agreed Buyer has agreed Buyer has agreed to the Buyer has agreed to the minimum to the minimum minimum renovation to the minimum renovations renovations specifications, but with renovation specifications specifications spa on third floor specifications
9) 1907 Lodi Street Date Acquired: 5/7/2014 Asking Price: $6,500 Listed: 8/3/2015 Broker: Reppi Real Estate Days on Market: 239
Dat Huynh is an active member of the Northside community and is a Neighborhood Advisor with the Syracuse Northeast Community Center, and the Vice President of the Vietnamese Community Center. Huynh also has renovated and owns serval rental properties on the Northside. Mr. Huynh plans to purchase 1907 Lodi to renovate and occupy, but says that he may plan to move into another property shortly thereafter.
Based on the Land Bank’s disposition policy staff recommend sale to Mr. Huynh subject to an enforcement mortgage to be discharged once the proposed renovations are complete.
1907 Lodi St Purchase Offer Applicant Dat Huynh Offer $6,500 Plan Renovate for Rental Notes/Recommendations Plans to invest $21,000 in renovations
10) 2520 S Salina Street – Vacant Apartment Building Date Acquired: 11/06/2015 Asking Price: $49,900 Listed: 11/18/2015 Broker: Willowbank Company Days on Market: 132
Page 5 of 8 54
“Schedule A”
Granite Development Company, LLC is owned, at least in part, by Mark Congel. They plan to renovate this property to operate as an apartment building converting it from its current configuration with 8 units, subdividing two apartments to add two more units for a total of 10. They state that they may consider developing it as affordable housing, but that they are not sure at this point whether that will be necessary. Their pro forma shows a moderate return without any development subsidy.
APD Solutions is a community development firm based in Atlanta, Georgia. Company president, Vaughn Irons, grew up in Syracuse and has expressed great interest recently in redeveloping Syracuse’s Southside. Their plan is to convert the building to 15 units, branding it the Conrad B. McRae Center for Black Greek Life, and turn it into an off- campus housing complex for Syracuse University’s African-American fraternities and sororities. This plan has the potential to connect the SU community to the City’s Southside and bring residents with significant buying power into this commercial corridor. Their application notes that the building would have resident managers and a strictly enforced code of conduct for all residents. The Land Bank will eventually acquire a vacant lot and house immediately to the north of this property and they hope to acquire that to develop greenspace for the apartment building’s residents and to turn the house into a small retail outlet serving the needs of the residents next door.
Staff recommend this item be held in order for both developers to secure financing.
2520 S Salina St Purchase Offer Applicant APD Solutions Granite Development Company, LLC Offer $25,000 $5,000 Plan Renovate for Rental Renovate for Rental Notes/Recommendations Plans to invest $1.38 million in Plans to invest $1.4 Million in Renovations Renovations
11) 1407 Park St – Vacant Four-Unit House Date Acquired: 6/11/2015 Not listed – demolition candidate
Responsive to our Community is a 501c3 that has been attempting to purchase a property from the Land Bank for quite some time, but has been unable to submit an offer that complies with our pricing policies and includes proof of funds sufficient to cover purchase and renovation costs.
Their goal is to redevelop a property that they will manage as an affordable rental property without using the types of development subsidy typically necessary to make these projects viable. Without government development subsidy, Adam Bushey plans to finance a significant portion of the renovations with charitable donations raised by RTOC. Their tenants may or may not receive Section 8 housing vouchers or other rental assistance; if they are able to secure tenants with rent subsidy and fund the renovations using donations only and no construction financing, the property would be extremely profitable to operate. However, their application promises that they will take low income tenants and place rents as low$375/month.
The Land Bank offers a discount program for the development of affordable housing, wherein the sales price is set at the Land Bank’s costs associated with the property, rather than fair market value. To qualify for this discount, a third party funding the redevelopment must impose an affordability requirement on the project and monitor tenants’ incomes during the affordability period, ensuring the Land Bank that the property is truly affordable. That type of third party monitoring will not be required here because RTOC is not seeking that type of public subsidy. RTOC has insisted upon an even steeper discount, as well, arguing that the number 153 has religious significance and is related to the mission of this charitable organization. I would argue that the discount is warranted not because of the affordable housing (which we do not plan to monitor), but since this property would otherwise be a demolition candidate the price of $153 seems reasonable.
Page 6 of 8 55
“Schedule A”
RTOC plans to invest $150,000 in renovating this four-unit property. They have $15,000 in hand at this time. Typically, the Land Bank requires buyers to show proof of funds sufficient to cover both purchase and renovation at the time of application. RTOC is willing to make transfer of the property contingent upon their raising an additional $20,000 within 150 days.
Adam Bushey, founder of RTOC, has experience managing rental properties and has submitted letters of support from Liberty Resources, Inc., King + King Architects, LLP, Housing and Homeless Coalition of Syracuse and Onondaga County, and Vera House for his plan to develop and operate affordable housing. It appears that they will appeal to the City of Syracuse to base their assessment on the income generated by the property, rather than the fair market value post-renovation. While RTOC’s business model does not conform to the Land Bank’s standard procedures, we are intrigued by the idea of expanding the pool of affordable, quality rental housing provided by the private sector in light of Syracuse’s extreme poverty. Whether the units will remain affordable or not, the level of investment planned in the property is significant and will enhance the value of this property and surrounding properties.
Based on the Land Bank’s disposition policies and consultation with the Land Bank Citizens Advisory Board, staff recommend sale to Responsive to Our Community Housing Development Fund Company, Inc., contingent upon RTOC raising the full amount of funding needed for renovations within six months of today’s date, and subject to an enforcement mortgage to be discharged once the proposed renovations are completed.
1407 Park St Purchase Offer Applicant Responsive to our Community Housing Development Fund Company, Inc. Offer $153 Plan Renovate for Rental
12) 535 Oakwood Ave – Vacant Lot Date Acquired: 11/06/2015
Tucker Missionary Baptist Church would like to purchase a 32’ wide piece of the lot in order to install landscaping and screening for their adjacent parking lot. They are willing to bear the cost of subdivision. We’d rather sell them a piece rather than the entire lot, since the Land Bank will be acquiring a large assemblage of property on this block and it may make a great site for the development of multi-family housing in close proximity to ESF and SU in the future.
Based on the Land Bank’s disposition policies staff recommend sale of a 32’ strip of 535 Oakwood Ave to Tucker Missionary Baptist Church, contingent upon them combining this with their adjacent property through a resubdivision.
535 Oakwood Ave Purchase Offer Applicant Tucker Missionary Baptist Church Offer $250 Plan Greenspace
13) 317 Lodi Street – Nonbuildable vacant lot Date Acquired: 4/23/2014
Ann Lobdell owns and occupies 319 Lodi Street and wants to expand her current yard space and plant a garden. Attorney General grant funds are available to defray acquisition and resubdivision costs for side-lot purchasers and the Land Bank will draw down on these funds to cover the cost of combining this property with 319 Lodi Street and transferring title to Ms. Lobdell.
Page 7 of 8 56
“Schedule A” Based on the Land Bank’s disposition policies staff recommend sale to Ms. Lobdell, on the condition that she combine this property with her adjacent home, not transferring the deed until the resubdivision application is submitted to the City’s Zoning Office.
317 Lodi St Purchase Offer Applicant Ann Lobdell Offer $1 Plan Side-Lot
14) Multiple vacant lots 305 Herriman St & Hartson 322 Cadwell St 318-320 Cadwell St 124 Hoefler St 125 Hoefler St The Atlantic States Legal Foundation (ASLF) has been awarded a $1.1 million Green Innovation Grant through NYS Environmental Facilities Corporation. Part of their plan is to install green infrastructure on vacant lots throughout the City. They would like to proceed with installation on five pilot sites in 2016 and will request the sale of eight additional sites from the Land Bank that they plan to develop in 2017 and 2018.
ASLF needs to demonstrate that they have site control of all 13 sites to the DEC by 4/15, but we haven’t settled on the optimum sites for these installations or had time to engage the neighbors yet. So they would like to at least be able to demonstrate site control of the five planned for 2106 and ask the DEC for an extension on the other sites. ASLF has not yet conducted sufficient neighborhood outreach.
We are seeking the board’s authorization to sell these five properties to ASLF for $151 each, with closing to occur in October 2016, contingent upon ASLF meeting with Syracuse United Neighbors Skunk City group and addressing any concerns that neighbors voice during these discussions regarding the planned installations and long-term maintenance of the sites.
Page 8 of 8 57 A meeting of the Board of Directors of the Greater Syracuse Property Development Corporation (“GSPDC”) was convened in public session at the offices of the GSPDC located at 431 E. Fayette Street Suite 375, Syracuse, New York 13202 on March 29, 2016 at 8:30 a.m.
The meeting was called to order by the Chairman and, upon roll being called, the following directors of the GSPDC were:
PRESENT:
Vito Sciscioli, Chair Daniel Barnaba, Treasurer James Corbett, Vice-Chair Julie Cerio, Secretary El-Java Abdul-Qadir, Director
FOLLOWING PERSONS WERE ALSO PRESENT:
Katelyn E. Wright Executive Director John Sidd, Esq. GSPDC Counsel
The following resolution was offered by______, seconded by ______, to wit:
Resolution No.: 8 of 2016
RESOLUTION AUTHORIZING THE SALE OF CERTAIN PARCELS OF REAL PROPERTY TO HOME HEADQUARTERS, INC.
WHEREAS, New York Not-For-Profit Corporation Law § 1609(d) authorizes the GSPDC to convey, exchange, sell, or transfer any of its interests in, upon or to real property; and
WHEREAS, New York Not-For-Profit Corporation Law § 1605(i)(5) requires that a sale of real property be approved a majority vote of the Board of Directors; and
WHEREAS, Section 4 of the GSPDC's Disposition of Real and Personal Property Policy (the "Property Disposition Policy") permits the GSPDC to dispose of property for less than fair value by negotiation when the disposal is within the mission, purpose, or governing statute of the GSPDC; and
WHEREAS, the GSPDC owns certain parcels of real property situate in the City of Syracuse, County of Onondaga, and more particularly identified on the List of
58 Properties attached hereto as Exhibit A (collectively, the "Properties" or individually, a "Property"); and
WHEREAS, each Property's appraised fair market value is set forth on the List of Properties (the appraisal reports are available for public review at the office of the GSPDC); and
WHEREAS, the GSPDC and Home HeadQuarters, Inc. ("HHQ") have entered into a certain Co-Development Agreement for the purpose of working together to renovate 40 single-family homes in the City of Syracuse which were previously tax- delinquent, vacant, blighted, and underutilized with the intent of selling the properties to low-income owner occupants; and
WHEREAS, in order to facilitate the development of the properties, the Co- Development Agreement provides that HHQ will purchase each property at a price equal to the total cost incurred by the GSPDC in acquiring and maintaining the property from the date of the GSPDC's acquisition until conveyance to HHQ; and
WHEREAS, the GSPDC has selected the Properties to be renovated and sold in accordance with the terms and conditions of the Co-Development Agreement; and
WHEREAS, selling the Properties to HHQ will ultimately benefit the public by increasing tax revenues, helping to enhance property values in the neighborhood in which the Properties are located, increasing opportunities for affordable home ownership, and abating safety hazards that may be present at the Properties; and
WHEREAS, as the Properties' development pursuant to the Co-Development Agreement is consistent with the mission, purpose and governing statute of the GSPDC, the Property Disposition Policy permits the GSPDC to sell the Properties to HHQ for less than fair market value by negotiation; and
WHEREAS, for each Property, the Board of Directors has considered the information set forth in Section 4(g)(ii) of the Property Disposition Policy and has determined that there is no reasonable alternative to the proposed transfer that would achieve the same purpose of such transfer; and
WHEREAS, the GSPDC desires to sell each of the Properties to HHQ for the price set forth opposite each Property's address on the List of Properties which was calculated in accordance with the Co-Development Agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE GREATER SYRACUSE PROPERTY DEVELOPMENT CORPORATION AS FOLLOWS:
Section 1. The recitals above are hereby incorporated into this Resolution as if fully set forth herein.
59 Section 2. The Members of the Board hereby authorize the GSPDC to sell the Properties to HHQ in accordance with the terms and conditions of the Co-Development Agreement.
Section 3. The Chairman and the Executive Director of the GSPDC are each hereby authorized and directed to execute all documents on behalf of the GSPDC which may be necessary or desirable to further the intent of this Resolution and do such further things or perform such acts as may be necessary or convenient to implement the provisions of this Resolution.
Section 4. The other officers, employees and agents of the GSPDC are hereby authorized and directed for and in the name and on behalf of the GSPDC to execute and deliver all such certificates, instruments and documents, to pay all such fees, charges and expenses and to do all such further acts and things as may be necessary or, in the opinion of the officer, employee or agent acting, desirable and proper to effect the purposes of the foregoing Resolution.
Section 5. This Resolution shall take effect immediately.
The question of the adoption of the foregoing Resolution was duly put to a vote on roll call, which resulted as follows:
Vito Sciscioli VOTING ___ Julie Cerio VOTING ___ Daniel Barnaba VOTING ___ El-Java Abdul-Qadir VOTING ___ James Corbett VOTING ___
The foregoing Resolution was thereupon declared and duly adopted.
60
STATE OF NEW YORK ) COUNTY OF ONONADAGA ) ss.:
I, the undersigned Secretary of the Greater Syracuse Property Development Corporation (the "GSPDC"), DO HEREBY CERTIFY, that I have compared the foregoing extract of the minutes of the meeting of the directors of GSPDC, including the Resolution contained therein, held on March 29, 2016 with the original thereof on file in my office, and that the same is a true and correct copy of such proceedings of GSPDC and of such Resolution set forth therein and of the whole of said original so far as the same related to the subject matters therein referred to.
I FURTHER CERTIFY that (A) all directors of GSPDC had due notice of said meeting; (B) said meeting was in all respect duly held; (C) pursuant to Article 7 of the Public Officers Law (the "Open Meetings Law"), said meeting was open to the general public and due notice of the time and place of said meeting was given in accordance with such Open Meetings Law; and (D) there was a quorum of the directors of GSPDC present through said meeting.
I FURTHER CERTIFY that, as of the date hereof, the attached Resolution is in full force and effect and has not been amended, repealed or rescinded.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of GSPDC this 19th day of April, 2016.
______Julie Cerio, Secretary
61
SCHEDULE A List of Properties
Property Address Sale Price 344 Hillsdale Ave $ 1,668.80 400 Lynch Ave $ 1,316.50 130 Maplewood Ave $ 5,182.00
62 63