Jamestown Director of Development Crystal Surdyk addresses City Council on Restore NY Grant application request (September 26, 2022)

A request to apply for a $500,000 Restore New York grant to redevelop the Furniture Mart Building has been approved by Jamestown City Council.

Director of Development Crystal Surdyk said Savarino Companies of Buffalo would be the developer of the building at 111 West Second Street. She said they have a negotiated offer to buy the 172,217 square foot building from owner Art Bailey along with at least two other nearby parcels. The property is currently assessed at $800,000.

Surdyk said other properties were looked at downtown for the Restore New York program, but only the Furniture Mart Building project was far enough long to meet criteria to apply to Empire State Development Corporation.

She said that criteria includes the building being vacant, or 50% not occupied, “The community must be qualified as a disadvantaged community, it must be in a Brownfield Opportunity Area, it also needs an Empire Zone qualification, feasibility and readiness need to be completed, committed financing, expected to start within 12 months, induce commercial investment, and improve local housing, and leverage other state and federal programs.”

Surdyk said the property will be mixed use with low-income and market rate apartments, “As far as the rest of the building program, they’re anticipating a mix of apartments, a boutique hotel, and then the rest will be commercial.”

Surdyk addressed a concern raised by citizen Pete Miraglia about parking in the area, “There are two other parcels that are part of the package. So, as Mr. Miraglia mentioned, in the past there had been discussions about doing a parking ramp. That is still part of this plan and would not fall on the city. That would be part of the development and the developer would be responsible for that parking ramp.”

The Furniture Mart Building project did receive $1,346,000 in Consolidated Funding Application monies in 2019 which Surdyk said is unexpended. She said Savarino will have access to use that funding addition to whatever grant funds received. She anticipates they also will be applying for Historic Tax Credits in addition to other funding for the project.

If the Restore New York grant is awarded, the City of Jamestown would be required to provide a 10%, or $50,000, match. Surdyk did not say where that funding would come from at this time.

Only several people spoke at the presentation, including resident Doug Champ, who expressed concern over long-term maintenance for proposed park projects like a splash pad, “I think that goes for anything you do in public facilities. It’s nice to spend the money down and they will come and use it, but what happens when the money’s all gone. Are we going to have the ability to keep it? That’s the question that should be on every single public facility project you do – ‘What are we going to do when the money runs out?'”

Mayor Eddie Sundquist said while the city cannot set aside money for an endowment for projects, it can build into the cost of building a project the funding needed to maintain new structures.

Resident Ellen Ditonto, who also is running for City-Council-At-Large, said she believes more than $1.4 million dollars should be dedicated to housing improvements, “Without a plan to commit major assistance to our local property owners, we will continue to face the degradation of our neighborhoods. Painting programs, incentives for external repairs, and a commitment to rigorous enforcement of code violations can all make a difference in the overall appearance and upkeep of our neighborhoods.”
She also said the city should focus economic development funding on creating more shovel-ready sites for companies looking to relocate or expand.

Pete Miraglia thought some funding should be used toward bringing four-year degree and advanced degree educational programs to the city, “Because that would directly support local industry and businesses. And if this was something the city would want to pursue, obviously you’d have to get out there and start talking to these businesses and industries, you know, Cummins, SKF. And the problem and issue has just been highlighted by the loss of Truck-Lite recently. I mean, they moved over to Pennsylvania, to Erie, to take advantage of the electronics programs that are offered there.”

Mayor Sundquist said while they don’t have an exact timeline for when the plan will be finalized and submitted to City Council for approval but it would definitely be before the executive budget is presented on October 8th.

People may still submit comments on the plan at three public input sessions scheduled for 10am tomorrow at the James Prendergast Library, 7pm, Tuesday, July 27th at The Chautauqua Center, and 7pm, Thursday, July 29th at Emmanuel Baptist Church.

The plan can be viewed on the City’s website at jamestownny.gov/rescueplan.

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The Prendergast Library art collection has been on display in the Prendergast Library’s Fireplace Room for the past several years.

JAMESTOWN – The Prendergast Library Board of Trustees has unanimously selected Sotheby’s to sell much of its art collection, despite pleas from several area residents who attended Thursday’s board meeting.

The action by the library board took place following nearly two years of effort by a group of area residents who’ve been working to “save the art” and keep the collection intact and in Jamestown, as intended when much of it was first purchased more than a century ago with money willed to the library from the estate of Mary Prendergast.

The most recent assessed value of the collection is $1.17 million, with the library planning to use proceeds from the auction to place in its endowment and use the interest generated to offset financial challenges in annual budget. It’s estimated such a plan would generate anywhere between $35,000 to $50,000 in additional money each year for the library, depending on how much the art actually sells for.

About two dozen people attended Thursday’s meeting, with ten of the attendees addressing the board at the start of the meeting. All but one spoke in favor of keeping the artwork.

Jamestown’s Peter Miraglia is one of several residents who spoke to the library board on Thursday, June 15 as part of an 11th hour effort to request the board not sell the library’s art collection.

Jamestown resident Pete Miraglia requested to board keep the collection, and work to leverage as both a fundraising and educational component of its programming.

“I appreciate that the library board provided the time for a buyer to step forward to keep the art in the community. However, as you know, a recent legal ruling made it virtually impossible to keep the art in Jamestown if it is sold,” Maraglia said, referring to a Surrogate Court decision announced last month that stated that if the artwork is sold, it can only be done through reputable auction house. “There are other ways to provide the library funds from the artwork. One way would be to lease the art to a group, who would house, maintain and promote it. This community has been bringing to life projects that a few years ago no one else could imagine. This is not the time to start going backwards.”

Another city resident, Timothy Starr, said the board was being shortsighted.

“It seems to me like there are options that haven’t been considered. It seems to me that the math doesn’t work very well,” Starr said. “If the collection is only worth one-plus-however-many million dollars, and if the salaries of the library alone are $700,000, or if [the sale proceeds] are added to the endowment and we get $35-$45,000 a year, why is it that that’s being considered as such a drastic solution that will have so little long-term benefit for us?”

And yet another area resident, Bill Locke, who’s also part of the save the art group, read a statement that was purportedly written by Jesse Marion, a Texas-based businessman. He and his wife Cathy, who is from the Jamestown area, are philanthropists who had offered to purchase the collection for its assessed value in order to keep it in Jamestown. That offer was turned down due to conditions outlined in the ruling by the Surrogate Cout.

“Libraries, newspapers and even books themselves are becoming extinct,” Locke read. “Art, however, can be an important cultural connection to our past and present for thousands of  years. Is $30-50,000 a year from increased endowment really worth the destruction of a dream and a treasure? I think not.”

Part of the statement read by Locke also admonished the board for its decision to sell the collection, rather than work with community members to find an alternative solution.

“I suggest that the entire board resign and the library find new leadership with strong personal and financial commitment to the library, the city, and its citizens,” Locke said.

Jeff Holroyd of Jamestown defended the board’s decision to sell the art collection, saying that if residents were in favor of saving the art, they should have supported a public funding referendum for the library that failed in 2016.

Not all who spoke were against selling the artwork. Jeff Holroyd of Jamestown said the library really has no other option after residents failed to support it during last year’s failed funding initiative referendum.

“Everyone had the chance to come and vote and put it on the tax. I know everyone gets touchy about increased taxes, but it was out there and we wouldn’t be having that meeting today if it had passed last year,” Holroyd said, adding, “This isn’t a museum. The sign outside says its a museum but it’s not. Is there a curator here or downstairs qualified to take care of that art that’s deteriorating on a daily basis?”

Following the statements from the public, the board unanimously approved the Sotheby’s resolution with no discussion, comment, or response to any one who spoke or was in attendance. However, following the meeting, Prendergast Board president Tom Rankin said that he and the board remains sympathetic to the Save the Art supporters.

“I sympathize with the folks that want to keep the collection, I absolutely sympathize with them. I don’t want you to think otherwise,” Rankin said. “I think when those folks asked us to delay once again selling the art collection, the board felt strongly that we’ve waited long enough. We’ve suffered some financial setbacks beyond our control, and we really need to help ourselves at this point so we can keep the doors open.”

Rankin said that the terms of the contract with Sotheby’s is that the library will receive 100 percent of any final bid placed on any artwork that is sold at auction. He said that the media should check with Sotheby’s to get the specific details on how it will make its profit. It’s believed that will happen by assessing buyers fee on anyone who purchases a piece of art at auction.

The artwork will be sent to Sotheby’s in the coming weeks so it can be cleaned and prepared for auction, with the sale likely taking place in the fall.

The only artwork that will remain in possession of the Predengast Library are the pieces that have a direct connection to Jamestown’s and the surrounding area’s history, such as portraits of the Prendergast family.

• READ DeJOY’S FULL STATEMENT

The IDA is considering a seven-year extension of a current 10-year Payment in Lieu of Tax (PILOT) agreement with the owners of Covenant Manor Apartments in downtown Jamestown, which has an assessed value of $3,065,000. The extension is being requested by Millennia Housing Development of Cleveland on behalf of Prairie Covenant NY, L.P., which owns the 88-apartment, eight-story building at 23 W. Third St that provides housing for low to moderate income seniors. The group is asking for the extension because of financial challenges it’s faced while delivering on its promise of making $3 million in renovations to the building.

The PILOT that is currently in place was first approved in 2012 and provides an abatement schedule for the years 2013 through 2022. The first year of the agreement allowed Millennia Housing Development to pay 50 percent on its property taxes to Jamestown, Chautauqua County, and the Jamestown School District, with a 2 percent increase for each subsequent year. Millennia would then be required to pay full tax value by 2023.  But if the latest extension request is approved by the IDA, the property tax abatement period would be extended to 2030, with 7 percent increases scheduled, starting in 2023.

FINANCIAL IMPACT ON CITY

According to DeJoy, the existing 10-year PILOT agreement has already resulted in Millennia Housing Development saving over $1,132,000 in property tax payments between 2013 and 2023. Of that amount, more than $460,000 will be lost by the city during those 10 years. In addition, Millennia was also given exemptions during the 10-year time period on sales tax, real estate tax, and mortgage tax. If approved by the IDA, the PILOT extension would result in an additional total property tax savings for the property owner of $769,500 between 2023 and 2030. Of that, more than $316,000 would be lost by the city over the seven-year period.

DeJoy said the city is opposed to the extension for a couple of reasons.

“This proposed benefit is ultimately place upon the shoulders of an already burdened local, school, and county property taxpayers,” DeJoy said.

“Moreover,  the city doesn’t believe that the reasons and rational provided are warranted to receive this additional benefit at this time,” DeJoy added. “It is our understanding, as provided by Millenia Housing Development, that unforeseen additional costs for renovation to the exterior facade of the building, as well as the investors’ and lenders’ project financing requirements to meet financial thresholds is the reason for the request to extend the property tax PILOT. Those project challenges should not be the responsibility of local property taxpayers, whom is already providing a substantial benefit. Those burdens should be born by the private developer, not the citizens of Jamestown and Chautauqua County.”

According to DeJoy, Millennia has done a total of $2.3 million in renovation work on Covenant Manor.  DeJoy said the city is obviously thankful for the upgrades done to the building,  although he also said there was some disappointment the commercial space on the first floor has yet to be filled. However, the residential portion of the building is at full occupancy.

Although both Jamestown School District and Chautauqua County would also be affected by the PILOT extension, only the city had a representative attend the hearing to address the impact the abatement would have on property tax revenue.

Also speaking during the hearing was city resident and downtown property owner Peter Miraglia, who said the owners should be requesting a lower assessment on the value of their property, rather than requesting an extension on their current PILOT agreement.

The IDA board will act on the extension request during it’s monthly meeting next Tuesday, Jan. 24 at 10 a.m. If the extension were granted, the average savings in property tax payments for the building owner would amount to about $112,000 per year, over the full 17-year period of the PILOT.

The meeting will be held in the conference room of the BWB Building in downtown Jamestown and is open to the public.

City Officials and local business development leaders were at Studio D Catering & Venue Tuesday afternoon to officially welcome the business to downtown Jamestown.

JAMESTOWN – A new catering service and dining venue has officially announced its open for business in downtown Jamestown.

Studio D Catering & Venue – located on the 3^rd floor of the Chautauqua Music building at 106 E. Second St. – held a grand opening and ribbon-cutting ceremony Tuesday afternoon.

The business is run by Dana and Diana Scott and features a catering operation along with a unique venue that allows a couple or a group of up to 30 people to stop by and enjoy a professionally prepared meal.

Diana Scott says the business actually opened in September and has seen a steady stream of clients, so Tuesday was actually the first time she was able to find an opportunity to have the grand opening.

Studio D co-owners Diana and Dana Scott (far left) stand with building owners Melissa and Pete Miraglia (center) as Greg Lindquist from the Jamestown Renaissance Corporation talks with those gathered to attend the grand opening and ribbon cutting of Studio D Catering & Venue at 106 E. Second St. in downtown Jamestown.

“I was hoping to maybe do this before the holidays but I was so busy during the month of December that we felt that now would be the most appropriate time to do this,” Scott told WRFA. “So I’m just glad to have everybody in the space and in the venue to see that we’re kind of unique. The fact that we have a venue within the kitchen sets us apart from your everyday catering service.”

Scott says that her catering and dining menu runs the gamut, but she does try to specialize in spicy, Cajun based food.

“One of my favorite things is spice so I do a lot of Cajun foods and ethnic foods, along with your standard roast beef, rigatoni, and other dishes clients would be familiar with,” Scott said. “But everybody who tries our food will tell us that there is a lot of flavor. There’s that underlying hint of spices – not necessary hot, but a very unique blend of spices.”

The building is owned by Pete Miraglia – who said he’s slowly been renovating each floor to accommodate various businesses. In additional to Chautauqua Music and Studio D, the building also is the home to several other businesses, including Afloral Design.

Miraglia says that the city and Jamestown Renaissance Corporation have both been very helpful with assisting him in the renovation effort.

“If you go back when I started this building 13 years ago I’ve had great support from the city and over the last several years from Jamestown Renaissance Corporation, so it’s great,” Miraglia said. “Tackling something like this is not easy. It’s a lot of money and a lot of time.”

In addition to providing food and an inviting dining area, Studio D also features a striking panoramic view of Brooklyn Square and the south side of Jamestown.

For more information on Studio D, call (716) 640-6035 or visit the Studio D Catering & Venue’s Facebook page.