Hoosick Falls Lends HAYC3 $45,000

by Bea Peterson
After an hour of discussion at a special Hoosick Falls Village Board meeting on Tuesday, June 4, the Board approved an Economic Development loan to HAYC3 for $45,000. The loan is to be repaid at a rate of $650 a month for six years.
HAYC3 President Michael Baker, Vice President Gary Contessa, Executive Director Aelish Nealon and HAYC3 counselor and business planner Chrissy Fauler attended the meeting to present a proposal and answer questions.
[private]The entire Board, Mayor David Borge, Deputy Mayor Ric DiDonato and Trustees Robert Downing, Jeremy Driscoll, Kevin O’Malley, Robert Ryan and Ben Patten were there to review the proposal, ask questions and make a decision.
Baker thanked the Board for its support in the past and said the loan would be part of HAYC3’s business plan and the funds would be spent on an elevator, a new stairway and getting the building up to code. Engineer Bill Cottrell and Hoosick Falls Building Inspector Ed Holland have been working with HAYC3 and advising them on what needs to be done. The goal is to make the Armory safe and self sustaining for weddings and entertainment events. Baker said HAYC3 holds two fundraisers a year. They have grants, but they don’t want to count on grants to sustain the building. “The Armory will generate money,” he said. “And we will pay back every penny.” He added that as they grow more services, they will add people to the payroll.
Contessa said that last month HAYC3 supported 24 community events and they all benefitted the community, not HAYC3 itself. He sees Hoosick Falls as a community similar to Schuylerville, which has recently reinvented itself and is seeing empty buildings being used again. Once the code violations are erased the building can be used for many events and outside people will want to be here, he said.
Mayor Borge asked how they would pay back the loan. Fauler said the summer vacation camp and the after care program at the Youth Center are both growing and bringing in revenue. Office space in the Armory is rented, bringing in more revenue. Being able to rent the building to the public would also raise funds. The Town of Hoosick rents space in the building for $1,500 a month with a one year lease.
Nealon said most grant funding has to be put back into the community. “We have a great track record with grants,” she said. They just received word from Washington DC that they should apply for Coalition of the Year because of their outstanding track record. “Grants are not what we’re about,” she said. “We are working to become solvent and not be grant dependent.”
The Recent $30k Gift
Downing asked what happened to the $30,000 the Village recently gave HAYC3. Nealon thanked the Village again for that money and said it was used to improve the heating system by making it a five line heating unit again instead of one line. It is a slow process and phase one has been completed. Some of the money was used for electrical improvements and new lighting and improvements to a bathroom. The rest of the money was used for paint to refurbish the lower level of the building. She added that so little had been done over the years that many places required three coats of paint. The paint was necessary as once the lighting was improved, the shabbiness and the chipped paint made the space uninviting. “The building is completely changed, and it could not have been done without your help,” she said.
Why Only $45k Now?
HAYC3 had originally asked for a loan of $60,500. The question was asked why only $45,000 now. Nealon responded that $45,000 will cover the work that is most urgent to complete. Improvements to the bathrooms will be put on hold until HAYC3 can raise the money. Ryan asked, as the Armory is being used as collateral, what is it worth. Nealon said most armories are privately owned. When they first approached the Military about taking over the building, the estimated value was $300,000.
Youth Center
A question was asked about the Youth Center. Baker said the Youth Center is structurally sound, but it does not make money. Preventative maintenance is always underway. Nealon said the heating system is old, but it works. She told the Board they never turn away a child because he or she cannot afford to participate in a program. Almost half the children receive grants or scholarships.
Nealon added that they are just getting to know the Armory and adjustments are underway on improving the heating. Contessa said Monolith will be installing solar panels on the building very soon.
Violations To Be Corrected
They were asked, if given the money, when would work begin. Nealon said Cottrell and Holland have given them their marching orders. They have legitimate contractors lined up, and she guaranteed that the violations would be corrected within six weeks. The stairway and elevator from the basement to the first floor are the first priority. Nealon said there are 75 violations on doors alone – hinges, locks, etc.
Board Member Bob Ryan said the code violations are nothing new. The building has been that way for years. The difference is, now it is a public facility as opposed to a military facility. When asked about a sprinkler system Nealon said the second and third floors have water hoses. She said there is the possibility of putting a sprinkler system on the third floor.
Nealon suggested that Board members attend HAYC3 meetings on a rotating basis.
Mayor Borge suggested that the funds be kept with the Village and invoices for the work be given to the Village to be paid. HAYC3 agreed to that request.
Trustee Jeremy Driscoll asked if they had applied to other places for a loan. They responded that they had been to a bank and the Credit Union and been turned down.
Stairway And Elevator Are Next Steps
Nealon said the stairway and elevator would enable HAYC3 to get a co-op underway that would employ part time people. She said things are shifting faster than we can keep up. Getting that work done will affect HAYC3’s bottom line.
In the end, Bob Downing voted against the loan and the rest of the Board voted to approve the request, with the Village overseeing payment of all invoices.[/private]