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Wednesday, February 16, 2011

New Hartford Business Park Update...

After the discussion at the February 9, 2011 town board meeting on who [Larry Adler or town taxpayers] should pay for the Shumaker engineering invoice that was among the vouchers to be approved by the town board, Supervisor Tyksinski decided to continue the discussion of the business park since it was on the evening's agenda anyway.

This time the discussion centered around the PILOT that Larry Adler "needs" for the hotel that is supposedly going to be built in his New Hartford Business Park. Since the board resolution for the business park was passed in 2008, Steve DiMeo from Oneida County EDGE asked that the board confirm that they are still interested in pursuing the PILOT arrangement for the hotel.

According to Supervisor Tyksinski, the PILOT monies will be used to build the Clinton Street Extension and the right in, right out access to Route 840. The amount needed to for this project is estimated to be about $1.2 or $1.3 million.

The PILOT payments are expected to cover the repayment of $600,000 of bonds including the interest. The town has also authorized $500,000 of Fees in Lieu of Mitigation to be used for a total of $1.1 million. Any expenses over that amount is expected to be paid by Mr. Adler although Supervisor Tyksinski did say that the hotel would be expected to pay mitigation fees that could also be used to cover any cost overruns.

Supervisor Tyksinski, who has long been a proponent of the business park [from when he was comptroller and the business park was going to be a town project] says it won't cost taxpayers a dime! Now...where have we heard that before?

[Click on graphic for larger print!]

Funny how this discussion took place right after a voucher that was supposed to be paid by Mr. Adler somehow got mixed in with the vouchers to be paid by the town.

Of course, since the business park is in an Empire Zone; more than likely the tax dollars paid by the hotel and used to build the roads will be reimbursed to the owners of the hotel so basically, taxpayers are footing the bill no matter how you slice it. Not to mention the additional cost of police and infrastructure maintenance after the hotel is built and occupied.

Then again, if the business park is part of the proposed police district, the additional cost for policing won't matter to residential taxpayers...right? More on that subject in a couple of days.

No one wants to see the business park fail; however, it is high time that Mr. Adler start paying his own way. If the development is not worth the risk then perhaps Mr. Adler shouldn't have undertaken the project in the first place.

The town board vote was 4 'ayes' in support of the PILOT and 1 'nay'; Councilman Don Backman, voted nay stating that he was not willing to ask his constituents to pay for a bond for more infrastructure for the business park that should be paid by the developer.

New Hartford Central School and Oneida County Legislators will now also have to vote either against or in support of another PILOT for the business park. Take any bets on how that will turn out?

Here is that portion of the February 9, 2011 town board meeting:


Anonymous said...

I found very interesting the following comment:

"the board confirm that they are still interested in pursuing the PILOT arrangement for the hotel."

It looks like the Town Board is screwing the town residents...again!!!

These town board members need to be voted out of office.

Strikeslip said...

If a PILOT is given to the hotel, and the funds (tax-substitutes) are used for roads for the park rather than general town and county expenses, aren't the Town and County taxpayers paying the tab for the Town and County expenses that this project generates?

Worse . . . aren't village residents (NH and NYM) kicking in to plow and otherwise maintain these roads while getting no contribution from the Town to plow or maintain village streets?

It all seems like a complex shell game, where the developed areas subsidize the undeveloped ones.

New Hartford, N.Y. Online said...


The plowing and maintenance of town roads is a part-town charge so the villages do not pay for these services.

Actually, sales tax revenue is used to offset Part-town Highway expenses so even town residents do not currently see Highway charges on their town tax bill.

However, since sales tax has to be used to offset part-town expenses first before it can be used to offset other budgeted expenses, every dollar of increase for maintaining infrastructure is one less dollar of sales tax revenue available to offset other parts of the budget. In that sense, we guess one could say that town residents outside the Villages are subsidizing the increase costs for maintaining these additional roads.

Anonymous said...

What exactly does larry adler have on the town officals? He appears to be the king pin in the town . Whatever larry wants he will eventually get. The town taxpayers be damned.

Anonymous said...

Good for Don Blackman for voting against this. Now can we petition for this PILOT to be voted by the people of this town. We did it before. We can do it again