SPECIAL MEETING

Executive Session

*Approved Minutes

September 20, 2007

Members Present: Mr. Armstrong, Ms. Breed, Mr. Clark, Mr. Cornell, Mr. Dafoe, Mr. Daniels, Mr. Hartnett, Mr. McKee, Ms. Price, Mr. Ross, Mr. Spaulding, Mr. Steger, Mr. Tagliente, Mr. Troy, Ms. Tytler, Mr. VanDee, Mr. Willcox, Mr. Williams, Chairman Brown.

Others Present: Elizabeth Burns, Assistant County Attorney, Scott Schrader, County Administrator, Brian Parker, Director of Buildings and Grounds, Elizabeth Larkin, County Clerk, Susan Morgan, Clerk of the Legislature, Angie Wyatt and Katrina Spicer, Administration Secretaries.

Executive session commenced at 6:15 PM. Chairman Brown advised the Legislature that the meeting is being recorded. Mr. Williams added that it is not to be made public until such time as determined by the legislature. Chairman Brown agreed.

Chairman of the Ad Hoc Committee, Ms Tytler thanked the members of the Ad Hoc Committee, the Chairman of the Legislature and the County staff members for their help in putting the presentation together. She said she hoped this procedure would be a model to be followed in the future. All legislators were in receipt of a confidential notebook summary with pages for note taking to be added. Ms. Tytler proceeded with a power point presentation as outlined in the notebooks stating that questions are welcome at any point during the presentation.

Ms. Tytler highlighted DMV background information, challenges and opportunities to give better service to the community and Local Law #1 of 2003 establishing a Motor Vehicle User Fee. She said the committee decided not to consider the Jail or the South Main Street property as they were just the wrong location for DMV.

Ms. Tytler described the process the committee used. They established criteria necessary for properties to meet, obtained information on properties from various sources and all tolled looked at 30 pieces of property. The committee’s goal was to narrow the search down to 5 finalists.

The three main criteria established were adequate space to accommodate a 4,000 square foot building, adequate space to park 50 cars and access to public utilities. Other factors considered were the Courthouse Renovation project, proximity to high traffic areas, proximity to heavy users in other counties and easy access to the property. She discussed the road test site needs, access to public transportation and security needs for the building. The committee also considered proximity to other county buildings, the ability to adapt existing structures to meet their needs and questions whether to lease or buy. They inquired into presence of environmental hazards and flooding risks on properties.

Ms. Tyler then presented the properties with description, photos and aerial views.    Property A is MVE Homes located on Route 13 owned by the Simons, represented by David Yaman and includes eight parcels. She identified in the aerial map, the red triangle area that is offered for $300,000. She added that there was a former tank removed with no formal soil samples taken but environmental health has advised the committee that they didn’t feel there were any risks. She discussed various access routes and noted there are no flood plain risks. Mr. Willcox inquired if that is next to the old Rosen junkyard. Ms. Tytler said yes. Mr. Willcox inquired if that is clean. Ms. Tytler said they have no information on that. Mr. Willcox asked Mr. Parker if he had problems with contamination on the Rosen site. Mr. Parker said those questions were discussed in the committee and he had no personal input on that issue. Ms. Tytler said she believed that Mr. Willcox was alluding to a 5th property that we considered and removed for several reasons that she will discuss later.

Property B is the BOCES parcel owned by Joe Armedio and contains three options. The first parcel on Port Watson Street has the owner’s concern of infringing on parking for BOCES users. The second parcel facing River Street was described as the Grassy Knoll and the third piece is where the old Great American Store was located. Ms. Tytler said the committee preferred the second parcel.

Ms. Tytler prefaced that Property C may or may not be on the table at this time. This property is located on Commons Avenue and is the former Cayuga Health Center. It is owned by the Beebee’s and represented by Hage Real Estate. Mr. Hage has informed Ms. Tytler that there is someone else interested in the property. She said that the building is adequate but parking is a problem so the committee looked at a parcel owned by Mr. Ambrose offered for $40,000. The Committee also explored building a road for better access but the estimated cost of $600,000 was too high. We also asked State DOT if there were plans in the 281 reconstruction project to put a light at Commons Avenue and the answer was no.

Property D is located between River and Cleveland Street, owned by the Luce’s and represented by Seven Valley Reality. Chairman Brown inquired to the size of the property. Mr. Parker answered 2.13 acres. Ms. Tytler said the original offer was for $700,000. which was rejected and they are now at $400,000. Mr. Ross expressed concern with the utility line going through the property.

Mr. Willcox asked for discussion on the property he submitted to the committee for consideration. Ms. Tytler said that property is located on Lime Hollow Road, owned by Carl Ochs and is part of the old Smith Corona Parking lot across from the Ponderosa. She said that the property was on the table until a few weeks ago when John Helgren from Environmental Health was asked to look at all our options for environmental site assessments. She said that at that time it was listed as an active hazardous waste site. Mr. Willcox asked how long ago. Ms. Tytler said that since then, he has clarified that statement with DEC and the site has been removed from the active waste site list and is now in the TCE plume area that is managed by a filtration system on the Smith Corona property to control the contaminates. Air stripper is managing that site. Mr. Helgen advised that if we did choose the site construction techniques that would draw off vapors in the foundation the building should be used that will not add a significant cost. The Committee felt that they had five properties, four of which had clean information and decided to eliminate this site due to concerns for the health and safety of our employees and environmental concerns. Ms. Tytler was questioned on the price of the property. She responded that we never received the price on this property or the Armedio site. Mr. Willcox asked if the MVE site is clean. Ms. Tytler said that based on information received, it is. Mr. Willcox stated that based upon his conversations with Mr. Hegren that the Ochs property has minimal mitigation and they are not echoing the same concerns. He said maybe someone should inform people eating at the Ponderosa of the problems. Ms. Tytler stated that what you are saying is accurate and fair. Mr. Willcox added that Audrey Lewis said those concerns are no different than with radon gas.

Ms. Breed requested that the site be put back on the list to be considered by the full legislature. Ms. Tytler said if the full legislature is in favor of that, that she didn’t believe the committee will object. Mr. Willcox said he just wanted to have the property get a fair shake. Chairman Brown polled legislators and determined that the site does not go back on. Ms. Breed took exception to the process. She said that the Ad Hoc Committee circumvents the General Services Committee and proposals should be presented to General Services prior to going to the full legislature. There are issues with other properties as well, what is wrong with adding this site for consideration. Chairman Brown said that it bypasses the hard work of the Ad Hoc Committee. She asked Ms. Breed if she had attended any meetings as other legislators have. Mr. Willcox said his concern is with the inconsistency of the information.

Mr. VanDee said he liked the way this was done this time and commended the work of the committee. He agreed that General Services Committee should review this as well. Mr. Troy said that he and Mr. Spaulding had attended every meeting and all legislators have had an opportunity for input. Ms. Tytler said her hope is these four properties be negotiated initially to get the best deal and take it to General Services Committee. Mr. Tagliente spoke of his concern with National Cash that had TCE identified and the issue has recently surfaced in a public school in Ithaca. He said he doesn’t feel that we can take a chance on building a public facility on a questionable site. Mr. VanDee said his big concern with that site is the traffic problem in that area and that is why he didn’t want it to go back on the list. Mr. Spaulding expressed concern with the road test area combined with the heavy traffic there. Ms. Breed questioned how we know where the road test area will be. Mr. Spaulding answered that you would need to drive into the City.

Ms. Breed requested in the negotiations of options that Mr. Schrader not sign any documents until we make a decision. Chairman Brown asked what her point is. Ms. Breed said she is referring to the South Main Street project. Chairman Brown ended that discussion and asked Ms. Tytler to continue. Ms. Tytler asked Mr. Schrader to speak to the options of leasing versus buying.

Mr. Schrader referred to a memo in legislator’s notebooks that details the impact on our constitutional tax limit if we lease versus buy. He said that recouping the capitalization cost by leasing would take place over a period of ten years versus a period of thirty years, which is the useful life of a constructed facility owned by the County. A lease results in no equity in that structure. His recommendation to the legislature is to buy, allowing for a greater period of time to pay for the facility and have an investment at the end of the thirty years. This does not impact our constitutional tax limit as capital construction is exempt from the formula whereas leasing is an operating expense and calculated in our ability to tax. Chairman Brown asked if those payments would come from the General Fund. Mr. Schrader answered yes. Ms. Tytler said there were property owners who want to lease to the county to recoup their cost in ten years. Some were willing to build and sell however Mr. Armedio will not. Ms. Breed asked what would be the interest costs. Mr. Schrader said it depends when and if we would have to go out.and bond. He said the potential exists to use Tobacco Securitization monies which is already bonded for and is sitting in an account earning interest equal to the amount of debt service we are paying. Using tobacco money will result in no impact. If we go out and bond it will depend on the market at the time and would probably be in the neighborhood of 4%.

Ms. Price stated that she favors leasing for two reasons. First, when we renovated DMV years ago we were assured it was “state of the art” however those needs have changed. Secondly, she is not in favor of taking more property off the tax rolls.

Ms. Tytler said it is the recommendation of the committee that we negotiate options on the four properties and bring them back to legislators for final consideration. This gives the State DMV the opportunity to review our plans and provide feedback. It also gives us an opportunity to hold public forums for 30-60 days to allow the public comment. Then ideally we come to resolution by December 31, 2007 with a final decision. Chairman Brown had concerns that the public not receive this information at this time. Ms. Tytler said she was comfortable that her peers will remain confidential with the notebook information.

Mr. Cornell asked for clarification on what is the next step in the process. Ms. Tytler said that the County Administrator and Assistant County Attorney seek options and said she hoped that Mr. Parker be included in the process. Mr. Cornell asked if it will be done within 30 days. Ms. Tytler answered as soon as is possible. Mr. Cornell asked if this will be taken to the General Services Committee. Ms. Tytler said the Ad Hoc Committee will take their final recommendation to General Services.

In conclusion, Ms. Tytler stated that they have had open meetings attended by other legislators, have kept all legislators informed and we will continue to do that. Chairman Brown thanked Ms. Tytler for all her hard work as well as members of the committee. Legislators added their gratitude also.

Executive session ended at 7:15 PM

*Approved and Released September 27, 2007 Regular Meeting

Minutes prepared by Susan Morgan, Clerk

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