Troy Local Development Corporation - Regular Meeting

It is 9, let's see, 9.07 on the 28th of August. Happens to be a Friday. I'd like to open up the Board and Finance Committee for the Detroit-New York Local Development Corporation.

Deputy Mayor, you asked to make a... Yeah, thanks, Chair. So, good morning, everybody. Just to recap here a little bit, so... After our previous audit and discussions with the board, we want to start having more of these finance and audit committee meetings. This serves as a mid-year review of the finances. We do also have some reporting to catch up on from prior meetings. That's why we scheduled this finance and audit committee meeting before our regular. That will occur right after this meeting with some project updates. You know, look, the board, the LDC organization, we now with New City Hall at Proctor's looking to engage stuff on King Fuels development. There's other things in the works here as well as wrapping up the contamination cleanup that National Grid is facilitating down at that came through in the Peltroy Industrial Zone. There's just a lot more activity going on here than there has been in recent years. So it's to make sure that we're, as a board, being as responsible and prudent as possible. Having these reoccurring meetings more often will definitely help with that so the board's not caught off guard by anything. Questions can be thoroughly answered. I do and I think that we'll probably schedule this just making sure everybody's on the same track of the email but I do think that we have another one of these at least maybe three months down the road I think pre before we get into you know an audit review and things like that I think it would be wise for us to do that as well in our regular meeting I'll go on some other talk about you know one of the part of my director's report is a governance committee meeting so just I think that it's time for the LDC to start honing in on some of these committee meetings, meeting regularly, seeing that oversight, making sure that we're staying focused on all the activity that's going on and can address any issues maybe before they occur. I know that board members are going to have a lot of questions, but what I would like to see if the board's up for it here is that if Matt wants to just at least give a rough overview of high-level vision of our finances as an organization, our financial status, our financial stability, and maybe even just getting into a little bit what some of these items are on these reports. You know, there's mentioning of the fuel, different things. Just a brief explanation on that. We do have newer board members. We do have the millions of people that go on YouTube and watch this. So just for clarification for everybody, I THOUGHT IT WOULD MAKE THE MOST SENSE FOR MATT TO OPEN IT UP, LIKE I JUST SAID, AND THEN WE CAN GET INTO BOARD MEMBER QUESTIONS.

ON THE AGENDA, THAT WOULD BE THE MID-YEAR FINANCE REVIEW. THAT'S REALLY BAD, ISN'T IT? YEAH, YEAH, I THINK. OKAY.

YEAH, BECAUSE THEN WE CAN, YOU KNOW, I'M SURE WE'RE GOING TO HAVE PLENTY OF QUESTIONS, SO WE CAN DIALOGUE.

YEAH, FINE. MATT, I GUESS IT WAS YOUR...

45,000 in cash. The LDC has been for a while very . . . .

Yes.

I'm still curious how we got Sal to do that one.

catch up to those. . . . . So deliverables for proctors is November or beginning of December? What is this?

It is, and I'll get into this in the main meeting too, but it is substantial completion October 3rd. Okay.

Any questions for Matt on the mid-year financial review?

I have a couple questions. We're just doing like a reconciliation for the construction in progress right now. And there was about 5.1 million that was incurred correctly. And 4.6 million about was paid out. The difference between accounts payable from the beginning of the year until July is my understanding.

Right, so the 5.1 million represents the paid and incurred. Yeah, correct? That's what I show.

At the end of July. Yeah, because the balance in the construction and progress account is 6.1. It was a million at year end. So that would... Right. But the amount actually paid out of Wilmington Trust was about 4.6. Difference there, and I'm just I JUST WANT YOU TO CONFIRM THE DIFFERENCE BETWEEN THE COUNT STATE YEAR AND IN JULY.

OKAY. AND WAS THAT PAYABLE THE END OF AUGUST, STARTING IN JULY,

that paid. So a big part of that is I also have a question about the interest that came out in July. I'm sorry, in March.

Yeah, in March for $104,000.

Was that interest for the construction project?

That was interest for the... For the bonds?

Shouldn't that be capitalized? I know, but you've capitalized interest since then.

It's not a capitalized account. It's held directly by the LDC, but rather within the trust indentured for the bonds. Right. So when the interest is earned on the guaranteed interest contract, it's put into the project fund. Right. It's not coming into our balance sheet.

It's not expensed.

Yeah. Well, it's earned and then put into the project.

But they've expensed it here. That's on sale. Oh, okay. So I think it should be reallocated. I would check with your...

THE BOSS. JUST, YOU'RE SAYING IT SHOULD BE, IT SHOULD REFLECT AND CAPITALIZE.

YEAH, IT SHOULD BE PART OF THE CONSTRUCTION COST.

AND THAT'S SOMETHING YOU CAN DOUBLE CHECK WITH YOUR GROUP.

YEAH, AND JUST TO, I MEAN, JUST TO BACK UP QUICK OFF OF ONE OF THE FIRST QUESTIONS. SO THE, We show, I guess, can that just get explained to me to show part of the construction in progress and accounts payable? Is that just because it's parked there until it actually gets drawn down, or?

It just kind of flows . It comes down, okay.

But when it's incurred, it goes into the construction in progress.

That's the difference between the two.

Okay. They have a date that they have to put in for things, right? So that's usually cut off, like, the 20th of Or the month that's due the next month?

It's not the first day of the month, but a couple days after that. So, whatever you follow the same schedule. Okay.

There's obviously a lag between all those things. Okay.

Do they bill every month? Okay. RETAINED EARNINGS HAVE INCREASED IN APRIL. YES, IN APRIL. ABOUT $918,000. IS THAT THE MET INCOME FROM PREVIOUS YEAR? YES. Can you give me a breakdown of retained earnings? Could you send that to me?

Thanks. You did or will?

What normally should find its way in retained earnings?

Yeah, and actually on the financials

under net position for $2 million, so I wasn't able to derive net income from that. So I just have a general question about the grant income, Seamus. Does it look like we've gotten much this year? Does it come in usually at the end of the year? I know there was some budgeted amount. It seemed to be much. Last year I think there was over a million.

I'm thinking that the grant funding should refer to the ARPA funding for the small business grants.

I know we classified the $250,000 and that went towards all of the grants. I think there was a NYSERDA grant in there too, right?

Did we actually go along with that? So if it was the ARPA, which was obviously a lower amount this round, and the NYSERDA, and I don't know, I'm just, I know that we adjusted that amount of the grant that we were actually getting from NYSERDA, so would that reflect probably the deduction, or that really doesn't reflect it there?

The scope changed, basically.

So I know we kind of, so I had to think about basically that could also, I'm assuming, would it be reflected in the grant that would have been classified as a grant?

The grant receivable will go down with the scope going down. Yeah. They're not going after the construction. Yes. At least as far as we know.

Yes, for now. So that's so marine the so for you know the ARPA funding because the different rounds smaller amount there too and just again a little update for geothermal or just background on it I guess is that after going through the process the scope changed which then will turn to the amount of money NYSERDA was going to be given that would be the facilitator. The scope change is actually saved moving the project forward I know normally you know, relinquishing grant funding doesn't sound as good, but it just, it helped move the project forward, actually, where National Grid had a little bit more of a role, which helped facilitate it. So I'm assuming that's got to be what's reflected there.

Okay. And state aid, there was about $30,000 in state, and nothing so far in federal. Do you expect anything to come in?

In state, I would... outside of the federal aid. I don't anticipate any other.

State development grants, I guess it was.

That's all I have.

So jumping back, in the mid-year financial review, just for Joe and Noreen, we basically, to articulate from the old guys' perspective, we were very simple. We didn't do a whole lot of big development. We were doing grants and all that. Typically, a one-time annual review was all we needed to do. It was sufficient. There wasn't a whole lot of stuff moving in and out. We basically broke for I'm not broke, but we were very shoestring, let's put it that way, shoestring organizations. So traditionally now, again, that's why we did the one-time review. I think there was a discussion from last meeting that we should have two or more audit meetings per year. I don't know if anything ever got resolved in what we're going to do. Are we doing biannual, which would be two, beginning of the year and then mid?

What I would think is because I think what makes the most sense, you can start getting the best picture as soon as you get to mid-year. I think although this meeting is occurring in August, we would in the future shoot for July. I would imagine a July meeting would be possible. And I think that it would make sense to have a meeting possibly in the beginning of the fourth quarter, end of third quarter, and then of course we have our audit review meeting. Those three meetings I think that should, because once we could audit by the time we get into the new year, I don't know if it really is necessary to have one in March or April because you're really, we just want to do audits. We don't have that much activity in the organization, say, compared to like the city. And we also have monthly financial reports.

And we're also still going to report every meeting. Right. Exactly.

We'll offer a monthly meeting coming up.

Correct.

Yeah. In terms of a check-in, maybe September, October for a, you know, kind of a health check. Do you have to set your budget by November 1? Yeah.

Yeah. And July to me, it's July, August, December is on vacation. So I don't think that's, and I personally don't think it's July, August. I'm thinking more weeks. More weeks. Okay. So is this something we need to have a resolution on it, or do we just have a decision? Although, this is a committee of the whole. So basically, we don't have a separate finance committee. We're all...

Your October cycle, you'd be looking to establish your budget, so maybe do a check-in, and then get into a case of in March, in October, March.

I think we set up another one for September, because BY THE TIME WE MEET IN OCTOBER, WE SHOULD PROBABLY HAVE A DISCUSSION LEADING INTO THIS.

THAT MAKES SENSE.

I MEAN, AND ALSO, ANOTHER THING, AND DANAE, TO CHIME IN, I DON'T KNOW IF IT'S UP TO THE BOARD. I KNOW EVERYBODY'S BUSY, HAS MULTIPLE OTHER ROLES. DOES IT MAKE SENSE TO TRY TO KEEP THIS MODEL GOING HERE, WHERE WE DO 9 TO 10.30 FOR THOSE TYPE OF MEETINGS? see if IDA can, especially with a month's notice, I'm sure they seemed amendable to doing 1030. That way, in an hour and a half, we can still cover both meetings. I would say, instead of meeting one Friday, then another Friday, I don't want to burden everybody's schedule more. So if the board agrees to that, I think that makes the most sense. So we'll have another one of these meetings in basically our next meeting. Does that work for you? October? I mean, you're here anyway.

You're stuck anyway.

So, is there any more discussion on the mid-year financial review?

This should be a simple question. I just want to confirm. Under the Natixis project fund, and that's just literally what's left in that Natixis fund. Is that how that's recorded there? the net income, or is that...

Okay. Is the Wilmington actually the NETIXIS capital interest too, or is that... Yeah, so Wilmington is kind of... Yeah. Yep. Okay.

the interest goes into the Wilmington?

One thing, too, that when it comes to the financial stuff, and I know that I have a report in our next meeting, but I do want to take the opportunity to thank Danae.

A lot of the A lot of the tracking and in and out, especially with the Proctor's projects, requires a lot of reporting, a lot of invoices. You know, Denae's done a great job with it too. And I actually, I really do believe in reading stuff before I sign it, which kind of sometimes throws Denae's schedule off. But when I find those $300 elevator charges I don't like or whatever, but um so you know i just want to say thank you on top of doing your job throughout the city handling all the other boards it's a lot more reporting than you've had to do in the past on top of all the other fun stuff you love doing paris reports and all that so i just want to say thank you as always and of course justin thank you always just uh being a phone call away and being such a wealth of knowledge and being on top of so much of this. So, like I always joke, I might forget it's out of the client sometimes. So, you know, just thank you. Thank you so much, both of you. Well, the good thing is we've only got four more months of this, too. Right? So the light at the end of the tunnel is getting bigger. Yeah, but then we've got more fun, man. We've got more fun coming.

It's got to be getting easier as we get closer to the end.

Yeah, yeah. It's getting, and I mean, I'll get into that. Oh, yeah.

Then we're going to take on Monument Square.

That's right. We're going to stay busy. I've got a couple other ideas here, but we'll get to it.

Can we take a minute?

Oh, we have to jump back. Is there any more discussion? I'm going to say not. Our next item agenda, our first item is April 17, 2021. Is there any discussion points on either of those? No. A motion to approve said minutes. Second. Second. Okay. All in favor? Aye. Aye. Opposed? So carried. Okay. We're going to have an adjournment of the no more business. We're going to have an adjournment of the editorial DC audit and finance committee meeting at 929 to 28. MOVES US UNTO THE OPENING OF THE REGULAR BOARD MEETING OF THE TOY LDC AT 930 ON AUGUST 28TH. WELCOME, EVERYBODY. WE HAVE A NEW MEMBER WHO IS NOT HERE, AARON VERA. SO, IS HE A CITY PERSON NOW, OR IS HE STRICTLY IN THE CITY? NO, HE KICKED HIM OUT. OKAY, OKAY. SEE?

He was, yeah, he was.

Okay, he was your, okay.

Council member of my district.

Got it, okay. Got it, okay, so he's just an engineer.

He's got his own business.

No longer a city engineer? No. Okay, got it. Previous part-time city engineer and council member, yeah. Okay, I'm just trying to get, I was trying to look him up on the website. So first item on the agenda is approval of the minutes of the July 17th regular board meeting. Any discussion points on the said minutes? Is there a motion to approve the bill? I'll motion. Is there a second?

Second.

All right.

Any opposed? All in favor? Aye. Aye. If I chair, if I, Denae, does this? Between both committees, are we caught up on minutes now? Yes.

Okay. Thank you.

Okay. Next on the agenda is the Executive Director's report. What I'm going to ask him, if the practice redevelopment, if you could give us an idea if there's been any, I know there's contingencies that were planned. Are we executed? Are we on budget? Are we on time? Are we sort of include that in your report?

Yes. So, I mean, to answer that, we are on time. We are on budget. We did, when it goes to contingencies, I know this might have come up, we did set aside, the LDC set aside its own contingency within the construction budget for unforeseen circumstances that were outside, might have been outside of the scope of BBL's work. I mean, 99% of what's being done there has been within their scope. I'd even say they've even gone probably a little bit more in some instances where we push for other things as they've come up. That contingency so far, we do have I think roughly half of that contingency left, which is about $45,000 to $50,000. Where we dipped into that was for technology are the City Director of Information Services, has been a key part of the working group for Mid-City Hall, along with myself, City Engineer Chris Marini, the Commissioner as well, and our Purchasing Agent and Personnel Director. The IT Tech stuff that he was looking for was a little bit more than what was allocated for technology scope within the BVL budget. So we did dip into that a little bit for that. He's done a really good job making sure that we're not, you know, Troy, unfortunately, for years has always been, it's like my joke, when we get something that feels new to us, it's 10 years old to everybody else if we're going to do it. often talk about the parking meters we have. I feel like they were sold used to us from Brooklyn. I just remember being in Brooklyn and they were taking the same ones out as we were getting new ones. So he's making sure that we're ahead of the curve actually for a change. So it was definitely a worthy spend to dip in there. We still have some money left in there as well. As you know, it was a guaranteed maximum price construction contract that does not fall for really any change orders or anything like that unless the LDC or city end of it really wanted some type of change that wasn't appropriate. I don't foresee that. We haven't run into that situation at all. So it's on time, on within budget. It's really moving along. I definitely do think maybe, again, we can time this somehow with our next meeting. We'll figure it out. But I think it would be of value for the board to take another tour. I think you'd really be blown away to see the progress. Joe can tell you he's there. We have biweekly meetings over there. I am having another meeting next week, a little bit more drilled down with the project team to really just, again, reiterate that we're on time with some of the crucial items.

flooring, things like that. My math looks like we've got about eight weeks left. They're doing a deliverable October 31. We're in work.

You can see, too, over probably the past month or so, what was kind of some plaster guys and painters and things taking their time on the historic hallway and stuff like that. Because now where there's I mean, dozens upon dozens of workers up on all the other floors doing things like that. So, I mean, just to rattle off a couple things that have been done so far. So, the roofing has been replaced. The Proctor's building, it's very interesting to look at it from the rooftop because as much as you see it as one whole building, too, it's kind of multiple different layers of roofing. just because where the old theater was, the old stage, moreover where the offices were, but that's new roofing. New HVAC systems that also went up top as well to draw down to the assembly hall. The historic lobby, the plaster work has all been completed. Most of the ceiling has been painted. All the ceiling's been painted. Again, when we went to picking colors, We tried to get as close as we felt it was in its original state, tried to get those same colors. Some of the ornate molding, if some of you might remember from being there, has since been painted gold to go back to the way that it used to look, a mixture of kind of a brown, blackish color, tans, again, all the colors that were from what we've looked into that mimic what it was in its original state. There's also the terrazzo flooring in the historic lobby. That is in unbelievable condition. There is a crack that goes through a portion of it. And if you've been in historic buildings, there's color matching seal that will go in to bond that. So that will all be good. But the fact that it in such good condition, seeing that it's been carpeted and stuff for many years, was another really exciting find as well. They're working on refurbishing the original doors that go from the lobby into the arcade, wood with glass. We did want to open up all the glass. All of that was still intact. It was covered at one point when it turned into more of a movie theater, and the goal was to darken the theater a bit more. Plaster work has been completed in the arcade, which is really that hallway that would have been behind the seating area, the old seating area. Paint work has started there as well. The hallway that, the new hallway that will connect the historic lobby and the arcade to really the assembly hall and some other offices like the city clerk's office, vital statistics office, A future conference room where the LDC and IBAs will meet. That has been built. We were really successful with window cutouts along the way of the hallway. There's actually three large windows. This way you can view into the preserved theater, see the balcony seating, look up to see the roofing. There's also another window when you're walking through the hallway. um that you can look up and kind of get a feel of the upper balconies we try to every opportunity we can to make it so that this building that was dormant inside for so long can now be activated and not just used as a workspace but celebrated for its history we also were able to in the assembly hall when you walk in and where pretty much the dais would be for example where the city council would end up sitting we were able to maintain one of the lower parts of the balcony so that ornate plaster work will still show in the newer looking assembly hall room. So again, there's even another ode to history there as well. So that's really going to come out well. We also ramped and the alleyway has been completed. Other portions of the alleyway are going to get, that alleyway is going to get updated. That is more of a city end project going through our infrastructure improvement program. But the vision for that is that alleyway becomes activated as something like, if you're familiar with Franklin Alley, where people can walk through it more. Not only does it make sense now, there's going to be more of our staff and visitors going back and forth in and out of the garage. IN THE BUILDING, BUT IF YOU LIVE DOWNTOWN, THOSE LITTLE CONNECTIONS ARE LIKE GOLD, YOU KNOW? IT'S A NICE CUT THROUGH TO GET TO ANOTHER PART OF THE CITY. LIGHT IT UP A BIT. IN THE FUTURE, WE TALKED ABOUT, YOU KNOW, MAYBE A MURAL ON THE WALL, THINGS LIKE THAT. AS WELL, THE CITY'S GOING TO MAKE IMPROVEMENTS TO THAT PARKING GARAGE, TOO, TO MAKE THAT MORE FUNCTIONABLE. BUT THAT'S OUTSIDE THE... THAT'S OUTSIDE THE... THAT'S OUTSIDE, JUST TO... YEAH, THAT IS ALL CITY STUFF THERE, TOO. Also, things that have been completed so far, pretty much all the HVAC system, they are in the middle of kind of adding or rerouting some of the HVAC system on the upper floors, making sure there's ventilation and cooling and heating to every different office. Sprinkler system has been installed. Pretty much all the walls, if they're not already primed at this point, they're about to be primed. As you all know, too, we had the incident with the window. That window is being repaired. We also, the elevator is something that we constantly look at to make sure that's being serviced. One of the big things is a deliverable for them is at the end of it that whatever that elevator requires to be as, you know, as up-to-date and new as possible will occur. The upper office floors, new walls have been built. On the city end of it, the technology has been ordered. A lot of the technology stuff we're going through, wayfinding right now, just signage on the interior of how to get where to go. We're trying to be thoughtful with the signage to not take away from the building, but also to make sure everybody knows it's the permanent home of new City Hall. Is that internal fire director? So a bolt, really. So there's actually, it's worth bringing up, although it's a city thing, the wayfinding part of it will be part of our, within our scope that we order that. The interior stuff, the things that people kind of forget, you know, the offices, listing that, talking about directories and stuff like that as well. The exterior will also have some of the signage. And then also on the city end, through DRI, there's a wayfinding initiative that we're already, you know, we're getting back into to try to, start seeing progress with that. Danae and I had a meeting last week with that company. Part of that would have directed folks to this building, so now we'll see that wayfinding going to that building. Again, that's more of a city end thing, but yeah, and the drawdowns TAB, Mark McIntyre, are on which we brought up in our audit and finance meeting, you know where the drawdowns are at this point, those have been flowing good but yeah we're in that crunch time so that's why I want to have next week i'm going to have a more drill down. TAB, Mark McIntyre, meeting instead of normally there's a group of 15 of us, it might be a handful of principal brandon from Columbia will be there to really just drill into some of these crucial items to make sure that everything's on time. TAB, Mark McIntyre, And of course, on the city and. working on the furniture and the moving part of all that. That's getting coordinated through the city end of it.

So I know we have a 1031 deliverable. When is our last payment? Is there 30 days after that, 60 days after that? Does it push into next year?

It does not push into next year, I don't believe. We can get back. Oh, I misspoke. It looks like our last payment would be January 2nd of 2027. Makes sense because that's our official move-in date. That would close out the project.

Is there any advantage of pushing that up to December? Or are we better off pushing into January with

I think we need to agree on the punch list. I think the punch list. Where are we in readiness? Do they have deliverables? We can draw the project fund and target and then have that expectation of some follow-on draws or invoices that come through. But I think we need to resolve the project fund and the bond is stabilized and then the city rent picks up. It's really a pass-through much like the HUD law report. just going to be collecting rent and disbursing it each year.

So I know in the private world, if you can close a loan in the calendar year and not carry it over, you're better off. I don't know. It might make a difference.

James, there's about $2.2 million left in the fund. According to your project fund, is that going to be enough to cover what's outstanding?

Yes.

Can we get a copy of the project schedule of the budget. No.

We can get that over.

In terms of contingency, at some point by September and October, you're going to be able to start to identify where you are with contingency, whether there's going to be money left over. Correct. Or if, you know, some change orders or some adjustments where we don't get change orders on the GMP, but you can elect to add items. Whether those balance out, you know, and then if the LDC is going to contribute to moving or furniture expenses, FF&E. What do we want to do with it? It's up to this board to help contribute.

Actually, thank you for one thing. And, Danae, maybe we can send the board the investment packet that has the schedule in it. We can talk about that or just pull the schedule maybe. That's easier. One thing that I would like to put before the board for our next meeting, I know we've talked about this, adopted a chair that was going to go on. Again, that would be facilitated through the LDC, so I do think that it's probably appropriate. We're at the time that we should have at least a resolution before the board, everybody approving what the program is, how that's going to flow. I actually, I wish I had a picture, but H2M, who's been our project managers, who's, again, invaluable as well, they worked with a restoration company to actually bring back the original. There's actually like three layers of chairs in this building. The ones that you might have seen with the cloth on it, it's more movie theater, although we did save a bunch of those as well. Then there was the immediate balconies that were kind of an in-between error. And then the upper balcony, which is really the original wood seating, you know, cast iron rail. Those got, they did take one already to get completely refurbished. They do look really cool and we think that what we're going to do is, you know, might start up here on this floor. We might ask some of our typical partners in the downtown to showcase it to start getting people interested in possibly donating and basically there'd be a little plaque on the seat that would say

You know, there could be a program that we do, you know, buy a chair for dollars or something.

And by the way, we think that, yeah, we think that the historic preservation already planning on there being like 10 divisions of of Roth. buying a whole row. It's two grand a chair, by the way. Right, but those donations can be capitalized here.

We give a charitable deduction, but you can use those funds for future historic preservation.

So the thought was that it's much easier, of course, and it's more appropriate probably to donate to the LDC. There's those benefits. We park those funds as they come in. That won't be finished by the time City Hall is there, which is good, too, because people might come in and go, oh, my God, this is awesome. I want to support this as months go on. And then this way, once we get that fund to where it will be, the 70 of those seats have been set aside to be refurbished. Are they going to be used? So the way what it's going to be is when you go through that arcade hallway there, And what used to be where you'd walk down the alleys and things, there would be the exterior wall that is really the back wall of the assembly hall. That is going to be left primed and ready for a mural. And then the seats, as donations occur, will be placed in that section. We left it so that the wall only goes up to about your waist. We'll have it lighted up so people will be able to see it. We've also talked about, once we get everybody to donate. Those names might not only be on little plaques, but somewhere on the wall as well, just so you can kind of readily see. We want to give access to, so that you donate a chair, you're visiting City Hall, you can walk in and take a picture in your chair, you know, whatever you want to do. So it will be something that you'll be able to visibly see, but I know the thought is, and I'm sure this is what everybody would probably agree to have there, but, you know, like a Kevin Clark or whoever type mural with showing what maybe the old stage looked like and curtain and things like that, too, because we are on the new hallway we've talked about with Kathy Sheen has a lot of the old Proctor's photos. You know, there's different things we've now saved from the theater. That hallway could really be a historic exhibit about the theater itself when the thought is the arcade hallways. will ideally be more of a city of Troy. It might have Bird and Ironworks, Uncle Sam, whatever ends up being in there too. So I think a resolution for that next week we can talk about just to iron out what that program looks like, make that official on our end before we start trying to inquire for people to donate to it.

For accounting purposes, because we're in an audit meeting, that's going to be a restricted fund and from time to time the board's going to make a decision as to what to do with it. And if that's again, if that's a reoccurring thing and it's an annual thing, then, you know, looking through the windows, you might see restored plaster over time, like little stuff like that.

Yes, like I know one of my own, I mean, I'm a museum, I'm like a museum dork, and I like, I just, I would love if you will personally contribute to one of those balconies just being refinished and put like a mannequin or two dressed up like you would be back, just to really get like The feel of it, I think it would be so cool, you know? It's not the Ford Theater. Yeah. Thanks for that, James.

I'm sorry. How much are you asking for each chair or donation?

You were thinking $2,000.

You really? Oh, okay. You did say that.

Yes, yeah.

Andy, go ahead. Ten chairs.

I can make them.

Can I ask... The contingency funds. How does that work? Is that out of the monies that are in the TXIS account?

The bonded funds, yeah.

And how much is in the contingency?

It started off at, gosh, I can't remember if it was $200,000 or $100,000 or so. I know that there's just a little under $50,000. I can't remember. Oh, the soft cost budget? Yeah. No, well, just our contingency. I can't remember if we put $100,000 or $200,000 in there, because I don't think we spent $100,000 or so in it yet.

And what was that for?

That was just for, so when we were negotiating, you know, getting down to the final price, there was different things that weren't in the scope really originally, and we made sure to add them into the scope, certain technology items. Generator, actually, which is on my list to point out. We're putting a generator... in the parking garage to feed it because that wasn't going first. And all I could think about is the power going out when everyone's coming to pay the tax bill and what mess that would be. So a generator, I think some small wayfinding. There was a couple things and they just, because it was one of the things that was negotiated at the end, they did their best assessment of what they thought some of it would cost. So we decided one of my last pitches to add in there for two things. One, if any of those that have a more individualized budget within the scope went over. We decided we want a nicer generator or whatever. I want to give us the ability to do that. And two, honestly, I thought of it, I kept referring to as fun stuff, like things that come up that you don't really think of that might, oh, no, move this door here. That makes more sense. And they weren't going to originally do it. We haven't really, like I said, run into that. because a lot of the stuff has fallen in with their scope or they've accepted as falling into their scope. But that was just in case stuff we weren't thinking of arise through the project to make sure. They obviously have their own contingency for plenty of things that they've done that they didn't anticipate on doing. But that was our ask of a contingency because I didn't, you know, again, because it being that GMP, I didn't want to get into the part of us dealing with change orders and stuff.

Right, right. But you have to use it for the window until the insurance kicks in?

I mean, the way that that's going to go is, I mean, they're pretty much – they're expending that on their own, and that will ultimately end up being added on, and we will pay with that with the insurance proceeds. I'm actually thinking we'll get that paid before they close out anyway. So I don't – and they've been very good with that, too. They wanted to just move along with it so that way they can –

Was there a ballpark on how much the whole fix was? It could be around $85,000.

It affected, and it affected, the under part has a little bit of a structural element, so that's really where the cost came. This, I mean, thank God this truck just, the video was like wild. Do we know his limits? that this is yeah I believe that it's a hundred I think what time during the day or even night was it night it was 2 33 in the morning yeah thank god it actually so there's there is the construction barriers that are out there which weigh what like 500 pounds we went right through the barricades the fence and went right through barricades the window backed up and

the barricades were actually attached to the truck and he dragged a barricade down to the bus. It eventually fell off the truck, but it was all the way down a federal infantry. It was like running from somebody.

If it was a K-Bar, he wouldn't have gone into the building.

After a little, what sounds like not a fun night out at the bar, frankly. And not for that guy. And not for the boss that the car ended up being borrowing from. If it was a work truck, you should have higher limits. No, it was like his boss let him borrow them. Out of work.

Terrible money. They're going to pay and then they're going to drop it. I've got to move this along because, again, my phone's been blowing up a little bit. Thank you for the proctors. You've got three items left. And new business. I don't know what's on new business. I'm going to cover quick here, so

Just an update on the South Troy, the LDA with Troy Materials. I know that the LOI had spelled out that we'd be dealing with the LDA at this point. A couple things have changed that we're still working out with them and negotiating. I do think that we'll be able to bring to the board, at least in September, a little bit more details. I don't know if we'll have the finalized LDA by then. at least a little bit more details. I think the attention would be when we get closer that we would, at one of our meetings, go into an executive session, discuss it a little bit more before we get to LDA. In principle, the original LOI is pretty much still what we're operating on, but a couple other things came up that could strategically make more sense. So those are things that we're going to be looking into and Like I said before, and I know that other ideas or proposals might have got sent to the boards, this is just envisioning a long-term strategic plan. It's not about just selling a parcel to somebody to fence in their trucks. It has to make strategic sense for the city of Troy. We have a real opportunity for industry down there. And finally, after all these years of coming to the end of realizing the potential of those King Fuels, the King Fuels site, the site where the salt pile will move. There's even just been discussions about where county waste is. So, you know, that's a big part of it. As much as the LDC will look forward to getting paid a good penny for these properties, it really is about what makes sense, not even 10 years from now, 50 years from now. I mean, again, there's all types of things that could go on over there, too, and The LDC has been working closely with potential developers to bring, you know, extension of rail over there, you know, applying for various grants, working with ESD. So there's a lot going on kind of behind the scenes with this. I do think that soon we'll have something to be able to at least discuss in an executive session of what the next moves are as we move into the LDA. I don't know if you want to add anything on that or if I... That makes sense.

Yeah, the details that are kind of roughly described in the LOI are still kind of the guardrails we're working in, but some of the development timelines and the regulatory approach are kind of getting fresh eyes right now in terms of the scope of the secret review that's going to be needed for the entire project that might be more comprehensive.

and... More comprehensive than just what they're doing?

So basically it's going to be their spot plus... Well, the concept is, you know, the original assumptions were that there would be a couple of site plan applications through the city planning board that would be the seeker driver. That's a requirement each time, but taking a step back, there's been some discussion, and I think some good ideas presented in terms of embracing it as a a global site-wide review through a DEIS, GEIS event. That would allow for a more orderly site plan process and phases. Not just our site, the holdings that the city and the LDC have there, but also Troy Materials Group and adjacent sites will all benefit from a real more comprehensive planning exercise to look at the impacts of historic and the environmental stuff, which is complicated. The national grids remediation will be done december ish um but that's really yeah yeah it's done yeah uh that's really like surgically defined within our site but there are other environmental contaminations and factors associated with ferry adjacent sites going into the tracks through the wine and spill up into the water street parcel that can be taken advantage of, quite frankly, through the Brownfield Cleanups Program. We're looking at the BOA.

We need to get a sense of timing on the BOA.

Well, they submitted it to the Department of State. We need to get a sense of timing on the approvals. A lot of parts, and we're making sure that we don't miss those things.

Another thing, too, Justin, just for the board's knowledge, and I believe, too, we also, which we don't know what it looks like 100% yet, there really has to be a control plan after the National Grid is done, right? So that's...

The site management plan is...

Right, and who dictates that?

DEC. DEC, I figured.

And there's a degree of advocacy we can employ there working with DEC to adjust the SMPs. And really what that is is a site management plan and an easement that's recorded against the property. There's going to be monitoring wells there in perpetuity. So where those wells go and how they're monitored and the location of those wells and the intensity of monitoring is going to impact what can happen vertically in the future. You don't want all the wells in the middle of the site. So you can maximize the amount of building square footage and where roads go and the utility of a multimodal site. So there'll be conversations that occur between December and probably March, April, May of next year in terms of what goes into that program. And that's really going to dictate what happens to the site in the future. So maximizing site square footage availability, where roads could go, infrastructure, where trucks can drive, is really going to be influenced by what DEC mandates. So there's a lot of linkage and moving parts. There's an intention to put a quarter mile of rail in there, a whole siding that goes along the eastern side of the site. All of those things are going to influence what happens eventually. So we're trying to do it intelligently in a site-wide approach as opposed to the little silos, because it's all going to influence in that effect. A lot of that's going to feed into the Fast New York program, which is a grant resource that we can only access with assembling 40 acres. That's why we're primarily focused on the Troy Materials Group, because they own about a dozen acres that can be added to ours to aggregate up enough to get to those program dollars, which will pay for DEIS, GEIS, and get it thrown in the study. And then there's DOT programs that pay for rail. And then there's Restore New York programs that pay for demolition and bringing down Sperry, bringing down ELOT, what happens next. So we're trying to go through that alphabet soup and plan it all out in a way that's intelligent It's not just a real estate contract. You know, you're paying X for this. It needs to be done in a pretty... Exactly.

That's the point that I think has to be driven home to the board and the public is that it's a much different strategic vision than just a transfer of land.

Ultimately, it's about 60 acres.

Again, being the old guy out here, King Fuels has been, like I've been involved since 2000. And Kingfields, it started and stopped. It started and stopped. And just for that reason, we didn't have a comprehensive plan. There was no way people would look at a component. And so this is, I'm really happy to hear this.

Big decisions, big planning things. Where's the road?

Right.

I'm happy to hear this.

Will the public have input or review of any of this?

Yeah, there's, I mean, obviously our board meetings are public, but also like Justin said, there's, going to be seeker actions and planning.

Planning or site review and all. There's a bridge that we're not going to move ever, right? But the road as it goes from Main Street down to Water Street, which is better than a quarter mile long, where did that go to maximize the use of the site? We don't want to cut the thing in half. How do you best put a public roadway through there that is sensitive to and doesn't have, you know, bicycle people going through massive trucks that are hauling salt right and the garbage trucks are always going to have to go through there in a certain way so the city ultimately is going to accept that roadway for dedication city council is going to have to make a decision you're going to own a bridge instead of us owning a bridge thankfully the thing is pretty bomb proof the wine is kill sluice it's going to be a greenish space what happens with that What happens with the green-white connection, I don't know what you want to call it or what we call that, the bike trail that goes along the river, it's going to have to jog around a little bit. The trail's going to have to be planned and finalized so you can eventually...

So that will go along the river, the bike trail.

Yeah, but we're trying to make sure that the road and the bike trail are conducive to what will be semi-heavy industry. So how do you do that? If you can imagine the School Light site, and Monroe Street, how do you put a bike trail through that? You really can't, right? How do you best plan that in a way that allows access to the river? All those things are part of it.

Big project.

I can do one minor square quick here. So we actually just, we've been meeting since the city council took action, having the project sent over to the LDC. The most recent update, we did meet actually even just yesterday, myself, Justin, Louise, the attorney, Christian Louise, and we are just at the point still going back and forth a little bit about the LOI, which will ultimately dictate the LDA. Also, there's the ARPA contracting. After discussion with the Corporation Council and a review of what the ARPA contract was going to look like, It does look like those funds will ultimately come to the LDC to then be sent over to Louisiana to satisfy treasury regulations. I think that still is a great way to do it as well because we still have that, still keep that control over those funding. They still feel very confident about their upfront spending and being able to spend that down. Of course, that's a conversation that we have. And one thing, because I know, just to say this out loud, I do want to make sure that the public realizes that what we want to see when it comes, everyone wants to see One Monument Square and the site developed, of course. We've seen the pictures, but we want to make sure that we're very thoughtful about the public amenities, the parking. What does the public space look like? What's the access look like to that too? So those are things that this board the city council will be very involved in as we move as we move forward it gets brought up every meeting that we need to see a net positive out of parking um and that we you know as much as a nice walkway is great we need to have a park for uh for downtown so those things continue to get brought up but we're we're at that point of that loi and that arpa contract um being being out i do see us taking an action in september really accepted kind of those ARPA funds as a pass-through to Leasing. So that's something that we should see in September at the board action.

Real high level. How big is Monument Square? Is that an acre? Good question.

Definitely more than an acre. Okay.

And how big of a building is it? I had $35,000 in my head. Is that... Roughly. Roughly $35,000. Yeah. Okay. And... For Monument Square? Yes.

The entire building? It's going to be 25,000 square feet. So two levels of parking that is hardened concrete pedestal. So 25,000 square feet per that gets up to River Street grade. And I think the commercial is going to be two levels at 25,000 square feet a piece. And then the floors three and four above grade are going to have 25 apartments a piece, the market rate. All in, 6 times 25. About 150 all in.

But the building space commercial...

The building space itself would be about 100.

One of the things, too, that we're going through is, you know, it got stated multiple times about, okay, well, the 50 feet from the river will go back to the city or whatever. So, You know, one of the things in talking about getting surveys and stuff is that I think that that, I mean, what is that? You know, what is actually the 50 feet? And in some areas, too, which we've discussed with Louise, of course, that it might make sense that some parts of it are really a little bit less than 50 and some parts of it might be more. So that's why we really...

There's no magic number.

Those boundaries need to be drawn so that, again, we make sure that you know, the public has the most benefit of the waterfront.

If there is a sidewalk back there that connects the riverfront, I don't know if that would be cities or... Well, the bottom line is it's not alienable.

The city can't sell it. So when you talk about the 50 feet, it's not for sale. It's never going to leave the city's ownership.

They'll just be developing it.

If you go from the bulkhead in... There's a bulkhead and a railing, right? And then there's a sidewalk, presumably. Underneath that sidewalk is about a four-foot diameter sewer line. That's not going anywhere. You keep coming in a little bit, and that promenade, if you will, or that walkway along the river is going to be a little wider and probably be as wide enough for fire trucks, public safety. If bollards are dropped, you're going to get a ladder truck around the building because Front Street is going to be discontinued through there.

Okay.

So it's just a function of what does that look like.

One tree on the north side?

Yes. On the north side, it stubs into the site a little bit, kind of ends there. That's going to be discontinued to become part of the parcel. But if you're on the river's edge there, at the bulkhead, it's going to be landscaped, treed, park-like, but it's always going to have to have enough room for public safety.

Which is great, because if you, I know, where I used to live downtown, We used to go down that way. There is a sidewalk there. Actually, since we came, we started finally mowing the area there, keeping it up. Because if you live kind of on the southern part of downtown there, like where Maureen lives, it's a nice cut through to kind of just come right down on the river, walk along. And, you know, there's the part that just looks like kind of like a rundown sidewalk to the park part. But to continue that, I mean, it's huge as well. And then you get into the street area, too, so for biking and moving around, it will serve as another connection. So that's a great, again, envisioning extending any walkway along the river is huge.

You're engaging SRA quickly here to start doing those site plan renderings and how that all is going to work. I'm eager to have SRA and other presentations come and show us what the concept plans are for that space.

It's good to see that they've picked that. They've sent, you know, the kind of those soft pre-construction numbers and proposals over, too, of all that stuff that happened. So, yeah, we'll be excited to really, like, get those boundaries, I feel, you know, as much as we all visually see and envision what it is.

My CEO had talked about having the city take land back. I hear it as if we take land back, we're losing tax revenue, but we're also now responsible for maintenance and all that. It's all one exempt block. Okay.

They're going to draw a smaller block within it, and the riverfront 50-ish is just never leaving city touchpoint. The city can't sell waterfront land. It's like skull-like stuff. It's better to have waterfront land held by the LDC because we can sell it. It's a general municipal law on a New York State constitutional issue where a municipality owns waterfront lands. What we do to avoid having to go to the state legislature to alienate the land is come back a little. Leave the waterfront in city title.

And that's kind of me misspeaking a little bit when I'm saying coming back to this. If anything... The reason I say coming back is because it's just for public knowledge, it's all one project. BBL for Louisiana is going to develop not only their building and their site, but the parkland through the project. then obviously the portion that louisiana valen will end up owning will be separated from the parkland i actually continue you know we might even creep in a little bit too existing city owned that's technically one monument square and not parkland either typical for developers they're going to have a license to go on city land they're going to continue to maintain it and what will happen is we will uh an operations agreement will go to the city council They do want to maintain it, and we're okay with some help. We're all right. So they'll maintain it, which is really good, too. Thank you for that report. And then my last thing, like I kind of noted early on, the governance committee, you know, we do newer board members. I mean, we have Joe now. Although he's not here, welcome Aaron Vera onto the board, too. We're at, you know, a nice, healthy board number. And I just think that it's time for us to look at the mission statement a little outdated and going through the bylaws a little bit. And although some of it's dictated by New York State law in Section 1411, other parts of it could be tweaked a little bit to make it more realistic to how we operate. And I just wanted to put it out there that I think that it could be time in the coming future here to have a governance committee meeting, That also is a committee of the whole and really just put our minds together on what makes sense to possibly update our bylaws, different policies, the mission statement definitely. So that's, I just wanted to throw that out at everybody so we could start wrapping our minds around that and do some of those updates. Great, thank you.

That's it for me. Is there any next agenda item as a new business? Is there anything that you haven't covered?

that we need to cover. Don't go down to one Monument Square and think you're going to find a circus.

How many parking spaces are we looking at now? So there are two levels? In the parking garage? Monument Square.

I want to... Two levels of 50. I have to check that, but that, as of now, to be private.

I heard he was considering because people really want parking or parking.

That's our number one thing. That could be one of the bigger wins out of just getting this developed in general, but that gain in parking and whether that's outside and a continuation of the existing lot. There's also opportunity on the southern end of the site there could be opportunity i know from a development standpoint the price per you know garage parking spot is pretty hefty um but one way or another we're going to gain some we're going to gain more parking down there because i think that'll be huge for our small businesses all right the last item is uh german do we have a motion motion all right second all favor either so see you thank you everybody thank you everybody