Regular Town Board Meeting held February 14, 2011 at 6:00 P.M. at the Town Hall in Schroon Lake N.Y.

Present:

Town Supervisor:                   Cathy Moses

Councilpersons:                     Roger Friedman, Clara Phibbs, Mark Whitney and Meg Wood

Highway Superintendent:      Dana Shaughnessy

Town Clerk:                            Patricia Savarie

Also Present: Rose Marie Ritson, Roger and Fran Mahler, Albert May and Gail Simons, Mickey Abbott, Jean and Bill  Strothenke, Steven Cass

Supervisor Moses called the meeting to order at 6:00 P.M. with a Pledge to the Flag.

Public Participation

Don Sage strongly urged the board to support the Adirondack Park Local Government Review Board in opposition to the purchase of the Finch & Follensby Pond Lands.

Mickey Abbott stated to the board that she would like to have the local artist and craft people use the Town Hall property on Thursdays for the summer of 2011 to display and sell their creations. The board would like to make sure the vendors have insurance and that there are rules and regulations that they need to follow. Mickey will get back to the board on any rules that may apply and what insurance they would need. Councilman Whitney moved to table this until the Town Board had more information, seconded by Councilman Friedman; carried.

Resolution #67 Approval of Minutes

Councilman Whitney moved a resolution to accept the January 3, 2011 minutes, seconded by Councilman Friedman; carried. Councilman Friedman moved a resolution to accept the January 13, 2011 minutes, seconded by Councilwoman Wood; carried.

Resolution #68 Audit of Claim

Councilwoman Phibbs moved a resolution to accept the bills to be paid as reviewed, seconded by Councilman Friedman; carried.

General $49,774.15 Highway $33,855.10 Sewer $8,661.93 Water $2,085.59

Resolution #69 Budget Transfer

Councilman Whitney moved a resolution to accept the following budget transfers, seconded by Councilwoman Wood; carried.

Resolution #70 Budget Amendments

Councilman Friedman moved a resolution to accept the following Budget Amendment, seconded by Councilwoman Wood; carried.

A BUDGET AMENDMENT IS NEEDED TO INCREASE APPROPRIATION

A00-960 FROM APPROPRIATED FUND BALANCE A00-599 TO ACCOUNT FOR ADDITIONAL COST FOR THE GOLF COURSE AND PARKS DEPARTMENT FOR YEAR END 2010.

Appropriated Fund Balance A00-599 $32140.00

Appropriations A00-960 $32140.00

(A00-06-7110.400 PARKS CONTRACTUAL $6500.00)

(A00-06-7180.100 GOLF COURSE PERSONNEL $9640.00)

(A00-06-7180.400 GOLF COURSE CONTRACTUAL $16000.00)

To amend budget per Board Approval for additional cost in Parks Department and the Golf Course.

Resolution #71 Accept Historian Report

Councilman Friedman moved a resolution to accept the 2010 Historian Report. Seconded by Councilwoman Phibbs; carried.

Resolution #72 2010 Justice Year End Report

Councilwoman Phibbs moved a resolution to accept the 2010 Justice Year End Report, seconded by Councilman Friedman

Resolution #73 Park District Minutes

Councilwoman Phibbs moved a resolution to accept the Park District Minutes, seconded by Councilman Friedman; carried.

Resolution #74 Advertise for Beach Concession Bids

Councilman Friedman moved a resolution to go out to bid for the 2011 Beach Concession with some changes to the Specifications and to have the bid be for both a one year and a three year contract. The Board would like to review the new specification before going out to bid, seconded by Councilwoman Wood; carried.

Resolution #75 Youth Commission

Councilwoman Phibbs moved a resolution to authorize to expend $40,200. to cover the 50/50 match required by the New York State office of Children and Family Services and that the Town of Schroon appoint Patricia Savarie to act as the official representative for the Town of Schroon on the Youth Board Planning Committee and that Tina Armstrong shall act as her alternate, seconded by Councilman Friedman; carried.

Resolution #76 Meter Acquisition for Water Department

Councilman Friedman moved a resolution to accept the purchase of Meter Reading equipment and 50 new meters for the Water and Sewer Department at the cost of $12,475.00, seconded by Councilwoman Phibbs; carried.

Resolution #77 Opposition to Fee Purchase of Former Finch & Follensby Pond Land

Councilman Whitney moved a resolution as follows, seconded by Councilman Friedman; carried.

RESOLUTION #77 of 2011 in OPPOSITION TO FEE PURCHASE

OF FORMER FINCH AND FOLLENSBY POND LANDS

Whereas, the State of New York plans to purchase more than 60,000 acres of the former Finch Pruyn Timberlands in fee from the Nature Conservancy, and

Whereas, the state plans to purchase 15,000 acres of the Follensby Pond timberlands in fee from TNC, and

Whereas, DEC Lands and Forests Director Rob Davies estimated in a recent article entitled The Economic Importance and Wood Flows from New York’s Forests, 2007 in a North East State Foresters Association Report that working forest supports 3 forestry related jobs for every 1,000 acres of productive forest lands, and that the same 1,000 acres will support only .8 of tourism job, and

Whereas, if the 75,00 acres of the former Finch and Follensby Pond lands are purchased in fee, 225 forestry related jobs will be lost, and only 60 tourism related jobs will be created, and

Whereas, the Adirondack Park Agency is charged with the responsibility of determining state agency compliance with the Adirondack State Land Master Plan, and

Whereas, the SLMP provides that: “ Due to the importance of the forest products industry to the economy of the Adirondack region bulk acreage purchases in fee should not normally be made where highly productive forest land is involved, unless such land is threatened with development that would curtail its use for forestry purposes or its value for the preservation of open space or of wildlife habitat.” And

Whereas, The former Finch lands and the Follensby Pond land are both highly productive forest lands, and neither are threatened with imminent development; and

Whereas, these are currently 20 recreational leases on the former Finch lands with approximately 200 hunting and fishing cabins providing traditional recreation to thousands of members and guest, revenue to TNC for the payment of real property taxes and maintenance of those lands, and millions of dollars of revenues for the Adirondack businesses from club and member expenditures for equipment and supplies; and

Whereas, fee purchase by the state will result in the Finch and Follensby lands becoming Forever Wild forest lands, the loss of the 20 recreational leases, the destruction of hunting and fishing cabins, the net loss of 165 forestry related jobs, the loss of spin off jobs in the affected communities, the loss of club and members expenditures to businesses in the community, and the loss of practical access to remote areas of the purchased lands; and

Whereas, the purchase of the Follensby lands will be partially funded by federal Forest Legacy program funds originally designed to purchase and protect working forests, rather than Forever Wild fee lands where forestry is prohibited; and

Whereas, fee purchase of the Finch and Follensby lands by the state will result in impairment of the State’s ability to respond to invasive species infestations, the inability of DEC to properly maintain and manage newly acquired lands due to staff reductions, and the inability of any entity to participate in the carbon credit market, and

Whereas, the state will be required, by the Real Property Tax Law, to pay taxes on the former Finch and Follensby lands as if privately owned, if they are acquired in fee; and

Whereas, the funds to pay real property taxes come from the general fund, rather than the Environmental Protection Fund which is supported by revenues other than State income taxes; and

Whereas, the APA is required to insure state agency compliances with the SLMP and to engage in a continuing planning process which recognizes matters of local concerns, and

Whereas, in these dire financial times, with the state facing bankruptcy, losses of thousands of state jobs, which will surely include Corrections Officers in the North Country, the priorities of the state should not include buying any more land, when people are facing job losses and local government will be seeing cuts in aid from the state; and

Whereas, the necessities of life should come first – not more land buys when we already have millions of acres in state lands. The role of private conservation groups like TNC should not be as a real estate broker for the state. Their continued stewardship, as a well-funded private conservation organization with billions in assets should be about stewarding the land, not being the acquisition Department of New York State subsidized by the tax payers of New York;

Now, therefore, it is hereby Resolved that the Town of Schroon Town Board opposes the fee acquisition by the state of the former Finch and Follensby Pond lands; urges the APA to insure compliance with the SLMP by recommending against the DEC fee purchase of highly productive timberland; and urges Governor Cuomo to direct that the state not purchase of the former Finch and Follensby lands; and it is further

Resolved that the Town of Schroon Town Board requests Governor Cuomo to order a study of the economic and social impacts of state land acquisitions in the Adirondacks before any additional purchases of state lands are authorized.

Resolution #78 Wastewater Change Order

Councilman Whitney moved a resolution to accept the Wastewater Change Order

No. M-CO-02, GC-CO-02 and E-CO-02 for the Wastewater Treatment Plant Reconstruction, Phase 2, seconded by Councilman Friedman, Councilwoman Phibbs abstained; carried

Resolution #79 Back up person at Transfer Station

Councilman Whitney moved a resolution to accept Albert May to be hired as a back up person at the Transfer Station at the rate of $9.78 an hour, seconded by Councilwoman Phibbs; carried.

Resolution #80 County Snow and Ice and Maintenance Contracts

Councilman Whitney moved a resolution to accept the County Snow, Ice and Maintenance Contract for 2011, seconded by Councilman Friedman; carried.

Resolution # 81 HHHN Physical Exam Agreement

Councilman Whitney moved a resolution to accept the HHHN Physical Exam Agreement, seconded by Councilman Friedman; carried.

Resolution #82 A.E.S. Amendment #5

Councilwoman Phibbs moved a resolution to accept a credit from A.E.S.

Amendment #5 for the Wastewater Treatment Plant Reconstruction, Phase 2,

seconded by Councilwoman Wood; carried.

Update Presentation by Rod Boula from the Elizabethtown Hospital

Rod Boula gave an update on the Elizabethtown Hospital stating that they were in the black this year and that everything was moving along nicely. The Hospital has recruited two new Physicians that are Family Practitioners, one is here now and another one coming in March. The new Chemo Therapy Unit did well this past year and the Cardiac Rehabilitation Unit just opened and has 4 patients already. The Hospital is hoping to have the Electronic Medical Records completed by the end of the year, and then you will be able to access your own medical records through a secure portal. The inspection of the Hospital went well and was rated one of the top in the area. The average occupancy for this year was 65 – 75%. Rod stated that they will continue to move forward and will send down the Annual Report to Supervisor Moses.

Resolution #83 Animal Control Report

Councilman Friedman moved a resolution to accept the Annual Animal Control Report, seconded by Councilwoman Phibbs; carried.

Smart Growth Grant

Councilman Friedman stated that the Department of Environmental Conservation is soliciting grant applications for the Adirondack Park Community Smart Growth Program from municipalities located wholly or partially within the Adirondack Park. 

There was much discussion amongst the Board. Councilman Whitney thanked Councilman Friedman for all his hard work on this project but suggested to get information out to the public and see how they feel about it and inform the property owners that their assessments may go up.

Resolution #84 John Deere 244J Four Wheel Drive Loader

Councilwoman Phibbs moved a resolution to purchase a John Deere 244J Four Wheel Drive Loader for the Wastewater Treatment Plant for $70,089.00 to come out of the Phase II Sewer Project Force Account, seconded by Councilman Whitney; carried.

Resolution #85 Rendering of Proposed Building Acquisition

Councilman Whitney moved a resolution to have S.D. Atlier Architects do a rendering of the building located at 11 Broadway Street so that the public and the Board would have an idea as to what the building would look like, seconded by Councilman Friedman; carried.

Resolution #86 Rescind the March 13, 2002 Resolution

Supervisor Moses moved a resolution to rescind the March 13, 2002 Resolution that stated; “Clara Phibbs moved approval of program design guidelines that no more than 50% of money should be on loan, seconded by Don Sage; carried”( This in reference to the Revolving Loan Fund), seconded by Councilman Friedman; carried.

Resolution #87 To Change the Revolving Loan Fund Program Design

Supervisor Moses moved to add verbiage to the Revolving Loan Fund Program Design

To state; Under the Goals of the Town of Schroon Business Revolving Loan Program there will be a #4 To benefit the Town of Schroon , under Eligible Applicants The Town of Schroon or, will be added, under Specific loan review criteria and priorities are as follows: Town of Schroon Governmental Facilities or, will be added, and under Loan Terms and Requirements Limited to available funds for the Town of Schroon or up to will be added, seconded by Councilman Friedman; carried.

Below is the new Program Design

BUSINESS REVOLVING LOAN FUND

PROGRAM DESIGN AND GUIDELINES

Goals of the Town of Schroon Business Revolving Loan Program

This Business Revolving Loan Program has been developed to help the community

achieve the following goals:

1. To strengthen the commercial base in the area by stabilizing existing

businesses and attracting new ones.

2. To create new and retain existing jobs.

3. To stimulate new private investment within the community.

4. To benefit the Town of Schroon

Every project must address one or more of the program goals.

Eligible Applicants

The Town of Schroon and/or all commercial businesses in the Town of Schroon are eligible for assistance through the program. Existing businesses and new businesses must be current with applicable property taxes. In addition, all corporations and LLC's must be in good standing with New York State Franchise laws. If building renovations are part of the project, business property must meet building code requirements at the conclusion of project activities. Projects must be in conformance with the local land use and zoning ordinance. A current business plan will be required and applicants must demonstrate an inability to obtain financing from a commercial lender.

Use of Funds

The following is a partial list of eligible loan uses:

1. Equipment purchase

2. Inventory enhancement

3. Property acquisition

4. Interior display units and fixtures

5. Display lighting

6. Interior design and remodeling

7. Advertising and promotion

8. Exterior improvements (if undertaken in conjunction with other activities)

9. Cash flow

10. Professional fees

This list is given only as an example.

Town of Schroon Loan Policies November 19, 2001

Revision 4 - 02/14/11 Page 1

Loan Criteria and Priorities

Each loan will be reviewed on a case-by-case basis. The intent of the program is to improve the area's business climate and to create job opportunities. Loans will be made which will have the greatest positive impact on the community. These impacts include attracting new businesses, retaining existing businesses, and creating job opportunities.

Specific loan review criteria and priorities are as follows:

Town of Schroon governmental facilities or:

Businesses must be located within the Town of Schroon

Retail/commercial businesses

Jobs created or retained

Financial need demonstrated

Quality of business plan, likelihood of success, and impact of project

Private funds leveraged

Contribution to the economic growth of the area

Enhance quality of life

Proof that bank will not provide the required financing

Loan Terms and Requirements

Limited to available funds for Town of Schroon or up to:

1. Maximum Loan - $50,000 per business for eligible project activities.

Minimum Loan - $5,000.

2. Interest Rate -The portion from the revolving loan fund will be fixed at 5.0%.

Participating bank interest rates will vary on a case-by-case basis according to financial condition. Interest rates of the loan fund will also be subject to changing conditions in the private financial market and may be amended by the Town Board. However, it is anticipated that the rate will be lower than normal business loans.

3. Loan Term - Loans will have flexible terms dependent upon the type of

project financed. Loans for permanent working capital will have terms up to five years. Loans for equipment will have terms to seven years. Loans involving real estate purchase may have a maximum of 15 years.

4. Security - All loans must be collateralized.

5. Code Requirements - If rehabilitation is a part of the project, the building must meet local and state codes upon project completion. In all other cases, buildings assisted must meet local codes at the time of loan closing and throughout the term of the loan.

6. Job Creation - Preference will be given to projects that create and/or retain employment.

7. Tax Obligations - For applicants who are property owners, all local and county taxes must be current at the time of loan approval and be kept current during the term of the loan. Failure to keep taxes current may cause the loan to become due and payable in full if the property is used as collateral.

Town of Schroon Loan Policies November 19, 2001

Revision 4 - 02/14/11 Page 2

8. Rehabilitation Work - projects involving work on historic buildings may require a review by the New York State Historic Preservation Office. The review may involve the review and approval of project building plans.

9. Closing Fees - All closing and legal fees must be paid by the applicant and may be included as part of the total project cost.

10. Refinancing Existing Debt - No funds may be used to refinance existing debt.

11. Confidentiality - Assistance provided may be subject to public disclosure, however, all financial information will be kept confidential.

12. Business Plan -A current business plan will be required at the time of application.

Loan Applications

For start-up businesses (those in operation for less than one year), the following information is

required:

1. Business Plan

2. Personal Tax Return

3. Monthly Cash Flow Projection for one year

4. Lists of customers and suppliers

5. Bank and Trade references

6. Personal Financial Statements for principals

7. Resumes of Principals

8. Proposed collateral

9. Copies of permits and licenses necessary for the business. Any other information as needed.

For existing businesses, the following information is required:

1. Business Plan summary

2. Financial Statements for the business

3. Business Tax Returns (two years)

4. Personal Tax Returns for principals (one year)

5. Monthly cash flow projections for one year

6. Projected Profit and Loss Statement

7. Lists of customers and suppliers

8. Bank and Trade references

9. Personal Financial Statements for principals and resumes of principals

10. Proposed collateral

11. Copies of permits and licenses or authorizations required to operate the business

Application Fee

A non-refundable application fee of $50 must accompany the application.

Town of Schroon Loan Policy November 19, 2001

Revision 4 - 02/14/11 Page 3

Resolution #88 Purchase of 11 Broadway Street Property

Councilman Friedman moved a resolution to purchase the property located at 11 Broadway Street, Tax map # 147.54-2-14.000 for $149,000.00 coming from the Revolving Loan Fund Program, seconded by Councilwoman Wood; carried.

Thank-You to Local Food Pantry

Councilman Whitney would like to thank the local Food Pantry for their update for 2010

They purchased 27,028 lbs of food from a HPNAP Food Grant; the Gleaning Program gave an additional 5,562 lbs. free of charge. They helped 1,150 families for at least 2 days. Special Thanks to Lenchen Marnell and Pat and Pete Schoch for all their hard work for our community.

Councilman Whitney moved to adjourn at 9:50 P.M., seconded by Councilwoman Phibbs; carried

I, Patricia J. Savarie, do hereby certify the foregoing to be a true and correct transcript from the minutes now on file in my office and of the whole such original minutes.

Dated: February 17, 2011

Patricia J. Savarie - Town Clerk