BOARD OF DIRECTORS MEETING MINUTES March 20, 2024
A. Organizational Matters
I. L. Daily called the meeting to order at 4:03p
II. Attendance: L. Daily (Chair), A. Church (Vice-Chair), R. Monteverde, A. Niles (Secretary),
Others Present: J. Welles (Executive Director) E. Talbott (Project Director) Absent: A. Morales, J. Surace, T. Venning,
III. Review & Approval of January 2024 Minutes No comments or changes proposed to minutes.
A. Church made motion to accept as presented. A. Niles seconded. All members approved via ayes, none opposed.
IV. Review of January & February 2024 Financial Reports review and approval: Received LBI Phase I disbursement this quarter ($50,000). Total grants awarded not reflected in profit and loss until assigned to a property. Positive net operating income in March 2024. However, property sales may not occur until the next fiscal year. A. Church made a motion to accept January & February 2024 Financial Reports as presented. R. Monteverde seconded it. All members approved with ayes, none opposed.
V. Review and approval of Proposed Budget FY2025. LBI Phase 2 funding in 2025 is uncertain. FY2025 budget reflects no increase in payroll, a 31% increase in total revenues & financing sources ($715,000), a 36% increase in total expenditures ($755,170), year-over-year, with a projected net income of $246,000. Expenditures are composed of property acquisition and construction costs, in addition to payroll, insurance, professional services and miscellaneous costs. Revenue consists of LBI Phase I & II funding in addition to smaller private grants and sales income. A. Church made motion to approve FY2025 budget. A. Niles seconded it. All approved with ayes, none opposed.
VI. Board member recruitment. Board Member A. Morales stepped down due to ongoing schedule conflict. J. Welles circulated the 17 applications that were submitted in total to the request for applications. All members agreed that ability to attend the monthly meeting at 4pm on the 3rd Wednesday was critical for any new member. The Board of Directors discussed among themselves the individual applicants, their statements of interest, relevant backgrounds and the skills or credentials that each may bring to the Board. Of the 11 potential seats, there are currently 6 filled. Considerations for increasing the Board to 11 seats means that more members are needed to fulfill monthly quorum. The board identified 5 Potential new members who will be invited to attend the April meeting, with a couple of runner up candidates.
B. Property Related Matters
I. New development/in progress:
1. Legacy Cities: A. Construction update - 59 Lander & 63 Lander are in progress, at more than 75-80% completion. J. Welles commented that the buildings continue to progress and that the next milestone is finish fixtures. The rough framing at 136 Lander and 39 S Miller was nearing completion.
2. Land Bank Initiative – update. A. 44 S Miller is planned for stabilization and is in the contract negotiation phase. Permits have been acquired. Goal for 2024 is to complete stabilization at 44 S Miller, 128 Dubois and 140 Chambers to lower obstacles to full-scale renovation, and potentially apply for a second round of Legacy City Access Program funding through NYS HCR. B. Habitat Third Street properties agreement. BoD reviewed and discussed the Reimbursement Agreement with Habitat of Humanity of Greater Newburgh, that will permit NCLB to use LBI Phase 2 funds to reimburse for asbestos abatement and lead remediation activities at 223-225-227 Third Street, significantly lowering the costs and removing an obstacle to rehabilitation for our community development partner. A. Church motioned to approve Resolution #001-2024. R. Monteverde seconded it. All approved via ayes. None opposed.
3. Acquisitions update- A. Restore NY project 72-76-78 Lander St (Agreement with City) Waiting on counsel to bring the proposal to the City Council for discussion and approval. As of now, unclear timeline and we are uncertain about the ability to use funds slated for environmental testing, abatement, structural stabilization and predevelopment costs upon the expiration of the grant (12-31-24).
B. 238 First St- donation from NJ Community Capital- (resolution) New Jersey Community Capital (NJCC) expressed interest in donating property to NCLB for disposition as an owner-occupied home. Current use is 2-family home with accessory garage that contains 2 units. Property was part of HCR program to prevent foreclosure but was recently marketed as investment property until NJCC was alerted by the City of Newburgh Director of Planning. It is challenging property with nuisance activities such as squatting and attraction for other anti-social behaviors, but is in better condition than most of our properties. A. Church made a motion to approve Executive Director NCLB (J. Welles) to accept title to 238 First St pursuant to a donation agreement. A. Niles seconded it. All approved with ayes, none opposed.
II. Sales/NCLB Development Projects:
1. 143 Washington- update: J. Welles commented that BJH is still looking for gap financing and are not at a point where they can close on the project. Last update from M. Meola indicated they were re-applying for HOME through Orange County OCD and that there was a possibility unexpended funds from previous rounds may be available for the project. By the end of the fiscal year the project will mark 4 years since being selected through a competitive RFP.
2. 104 Washington- Mistral has indicated that they have identified a bank that will finance the project in its current form However, with the opportunity for ESD Momentum funding, they are waiting to proceed until the winners of the grant have been announced.
3. 10 Chambers - Board members again commented that members need to reach NYS State Senator Rob Rollison or NYS Assembly Member Jonathan Jacobson, to advocate for NYSDEC easement. R. Monteverde had previously expressed interest in making contact. A. Church offered to draft a letter but cannot send correspondence to elected officials due to conflict of interest. Lisa Daily to send letter.
4. 62 Campbell request for contract extension. The applicants are making slow but steady progress. Photos and a description of the progress was shared with members and collectively they concurred that an extension should be approved. A. Church made the motion to approve extension until the end of February 2025. R. Monteverde seconded. All approved with ayes, none opposed.
A. Executive Session – no session
B. Meeting adjourned at 5:19p. Motion made by A. Church, all approved with ayes via roll call.
C. Next Meeting: April 17, 2024 at 4p