Minutes of the Board of Directors

Lumber City Development Corporation
Minutes of the Board of Directors

March 21, 2012
500 Wheatfield Street
North Tonawanda, NY 14120

The meeting of the Lumber City Development Corporation (LCDC) was called to order
at 6:00 pm by Chairman Taylor at 500 Wheatñeld Street, North Tonawanda, NY. The
following Directors were present:

Rich Andres                               Nick Maniccia
Joe Fonzi                                  Joe McMahon (left at 6:40)
Dave Gross                               Bob Miller
Dave Guido                               Andrea Moreau
Ed Janulionis                             Gary Przewozny
Garry Krause                             Dougìas Taylor

Also Present: Mike Zimmerman, Angela Renda

Community Development Director James Sullivan

Absent: Rob Ortt

The minutes from the January 25, 2012 board meeting were included in the package and the Board took a few minutes to review them. As there were no questions or clarifications:

Resolution: Moved by Director Moreau,

That the Board of Directors approves the minutes of the January 25, 2012
meeting.

Seconded by Director Guido and unanimously approved.

Director Moreau presented and reviewed the reports for January and February 2012.  The total ending balance for all accounts as of February 29, 2012 was $566,270.82.

Resolution: Moved by Director Andres,

That a motion is made for the January and February, 2012 reports presented are
approved and accepted.

Seconded by Director Maniccia and unanimously approved.

Committee Reports:

Finance/Loan:

Meetings were held on February 8, 2012 and March 14, 2012. Minutes from the
meetings were distributed to the board. It was decided on by the Finance
Committee and agreed upon by the board of directors that no loans will be
approved until the person/s requesting the funds completes all financial requests
and turns in all documentation necessary to process request. The following
requests were tabled; Argento Photography, Romeo's Italian Restaurant,
Sherwood Florist, Sanders Nursery, Jay Soemann purchasing Ava's and
Impressive Imprints purchasing Gardei building based on receiving final

business plans and or further Financial info. Further, the Committee has
requested additional information regarding the renovation proposal located at
102 Webster St (Nestor's/Draco).  

Resolution:  Moved by Director Maniccia,

A motion was made to approve a $35,000.00 Microenterprise Grant for the 102
Webster Street Project. Approval will be made once a bank loan is secured, by the owner, and proof of funding is presented to the Finance/Loan Committee.

Seconded by Director Guido. Motion carried with 11 yes votes and 1
abstention.  

Resolution:  Moved by Director Maniccia,

A motion was made to approve a loan subordination regarding the existing
LCDC Economic Development loan for Impressive Imprints. The LCDC loan
will be collateralized by being added as an assignment to the owner's $250,000
insurance policy.

Seconded by Director Guido and unanimously approved.  

Resolution:  Moved by Director Andres,

A motion was made to approve loan subordination for Prototype
Manufacturing. LCDC already has a subordinated 2nd position on the current
loan and would remain in the 2nd subordinated position with the change of
commercial banks.

Seconded by Director Przewozny and unanimously approved.  

Resolution:  Moved by Director Andres,

A motion Was made to approve loan subordination for Prototype
Manufacturing. LCDC already has a subordinated 2nd position on the current
loan and would remain in the 2nd subordinated position with the change of
commercial banks.

Seconded by Director Przewozny and unanimously approved.  

Resolution:  Moved by Director Maniccia,

A motion was made for the Finance Committee to approve Microenterprise
Grants to Argento Photography and Romeo's Restaurant pending completion of
their business plans and required training courses.  

Seconded by Director Guido and unanimously approved.  

Projects:  A meeting was held on March 15, 2012. Minutes from the meeting were
distributed to the board. CRA Engineering was selected as the firm to design
the site improvements necessary to open the forthcoming restaurant at the
Gratwick Park Marina. Other outstanding projects were discussed and referred
for further discussion at the next Board meeting.

Personnel:  After a Committee meeting on February 13, 2012 an Employee Handbook was completed by Director Bob Miller with updates on employee sick and vacation eligibility and that the Simple Retirement Plan has been approved for the staff.  Further, due to the fact that the Plan was supposed to be established in 2011, a proposal was made to compensate the Grants Coordinator for the 3% match for 2011.  Further, that the Board consider a raise for the Planning and Economic Coordinator on his 1st year anniversary in July.

Resolution: Moved by Director Gross,

A motion was made to make a single contribution of funds for 2011 into a
retirement account for Angela Renda, Grants Coordinator. The funds are to
cover matching funds that would have been distributed for 20l l, but were not,
due to the delay in implementing the retirement program. Funds to be deposited
in the Retirement Account.

Seconded by Director Moreau and unanimously approved.

Resolution: Moved by Director Miller,

A motion was made to accept the resignation letter, with regrets, from Director
Joe Miranto who has been a board member since the inception of LCDC.

Seconded by Director Gross and unanimously approved.

Old Business: North Tonawanda was awarded a Phase III Brownfield Opportunity Area award of $423,450 from Governor Cuomo. Also, The LCDC staff presented the loan/deferred loan package that was approved by the NYS Office of Community Renewal under the Economic Development program regarding the renovation of space at the Remington Lofts on the Canal for the Remington Events Center proposal.  

Resolution:  Moved by Director Guido,

A motion was made to approve the loan/deferred loan development package
for the Remington Events Center located at the Remington Lofts on the Canal
located at 184 Webster Street,

Seconded by Director Taylor and unanimously approved.  

New Business:

Resolution: Moved by Director Janulionis,

A motion was made to grant a request by Zaepfel Development for a 60-day
exclusive to explore the development possibilities regarding for 64 Webster St.
Further, that the developer presents an update at the next scheduled Board
meeting. It is understood that the time will be used to develop a comprehensive
proposal for the project.

Seconded by Director Gross and unanimously approved.

There being no further business, a motion was made by Director Gross to adjourn at 7:20 pm.

Seconded by Director Krause and unanimously approved.  

Respectfully submitted,

 Garry Krause
Secretary, LCDC
March 21, 2012