New Rochelle CLD and IDA Approve 2027 Budgets and UTEP Changes, October 28, 2026

This summary is based on the transcript of the October 28, 2026 meetings of the City of New Rochelle Corporation for Local Development (CLD), called to order at 7:43 PM, and the New Rochelle Industrial Development Agency (IDA), called to order at 7:53 PM in City Council chambers. No agenda or minutes were available. The boards approved 2027 budgets, the IDA revised its Uniform Tax Exemption Policy (UTEP), and both bodies set the next meeting for November 18, 2026.

Consent Calendar

• The CLD unanimously approved the minutes of its September 30, 2026 meeting.
• The IDA unanimously approved the minutes of its September 30, 2026 meeting.

Discussion Items

• CLD 2027 budget: The resolution adopted and submitted the 2027 CLD budget, plus proposed budgets for 2028-2030, under Section 2800 of the New York Public Authorities Law. Through September 30, 2026, the CLD had received approximately $1.1 million in operating revenue; year-end projections were about $2 million in revenue and $932,000 in operating expenses. The proposed 2027 budget was about $2.6 million in operating revenue and $953,000 in operating expenses. Workforce development and job training remained the largest expenditure at $556,000. New obligations exceeding $20,000 will continue to require board approval. Staff noted that project closings drive revenue; an unprojected closing at 277 North Avenue generated a social equity fee used for workforce programs such as the First Source Referral Center and the Booker T. Washington program. The CLD approved the budget unanimously.
• IDA 2027 budget: The IDA adopted its 2027 budget and submitted 2028-2030 projections under Section 2800. Through September 30, 2026, the IDA had received about $341,000 in revenue; year-end projections were approximately $672,000 in total revenue and $406,000 in expenditures, for a positive change in net position of about $266,000. The proposed 2027 budget was about $680,000 in revenue and $394,000 in expenditures. Staff answered questions about a projected $200,000 professional services contract that was invoiced but unpaid as of September 30, and explained that revenue shortfalls versus earlier projections were tied to project closings delayed into 2027. The IDA approved the budget unanimously.
• UTEP revisions: Staff proposed changes focused on local workforce participation and compliance and updated PILOT schedules. The existing 15% social equity program requirement would remain, with new requirements that New Rochelle residents perform at least 7% of construction work hours, up from 5% presented in September, and 10% of work hours associated with ongoing project operations. Compliance would be strengthened through certified payroll reporting, an independent compliance monitor, quarterly compliance reports, and a pre-construction workforce roadmap; a waiver process and the existing $30-per-net-square-foot penalty would apply. PILOT schedule changes included a revised 20-year maximum benefit schedule and a new 25-year adverse financial circumstance schedule; Grow America's analysis indicated revenue neutrality was generally achieved by year three under both scenarios.
• Board discussion on UTEP included support for a more competitive and predictable framework; one board member said 7% was still too low and raised concerns that waivers could be too easy to obtain. Staff described waivers as intentionally onerous and requiring board approval. Members discussed using real certified payroll data to recalibrate the local workforce target, the value of a roadmap, and the need to balance mandates with project feasibility. The board also discussed PLAs, with staff saying conversations with unions were continuing and a possible future PILOT incentive for Project Labor Agreements was not yet revenue-neutral. A board member requested more granular MWBE and entrepreneurship data; staff said such data is not currently collected. The UTEP revisions passed with one no vote and no abstentions.
• 2 Sherwood Place inducement: The IDA considered an application from Coastal Capital, DJK Equity, and SK Development for 369 residential units, including 10% affordable units, and 381 parking spaces at 2 Sherwood Place. The applicant requested sales tax exemption, mortgage recording tax exemption, and a PILOT. David Manheimer of SK Development presented, emphasizing the project's gateway location, family-oriented unit mix, and the team's experience with local workforce reporting; he also suggested PILOT-related funds could support train station beautification. Board members asked about affordable unit count, union outreach, retail, parking, and unit mix. Staff noted the PILOT schedule in the packet was the developer's ask and would be peer-reviewed by Grow America. The board unanimously approved the inducement and set a public hearing for November 18, 2026.
• 50 Lockwood LLC inducement: The IDA considered an application from PRC, People Restoring Communities, for 89 fully affordable senior rental apartments at 50 Lockwood Avenue, serving households at 30%, 50%, and 60% of area median income. Janet Giris and Vidy Advani presented. The project is a $60.5 million investment on the former Zion Baptist Church site, with a nine-story building, 30 parking spaces, 24 studio units, 64 one-bedroom units, and one superintendent's two-bedroom unit. It includes a roughly 2,200-square-foot community center and 3,000-square-foot civic plaza, is all-electric with solar, EV chargers, and a bioswale, and was expected to create about 150 construction jobs and eight permanent jobs. Staff described the project as the first approved under the 2026 downtown overlay zone amendments, with design and programming integrated with the future Link project. The applicant requested only a PILOT at 4% of shelter rent for a 30-year term consistent with bond financing, not mortgage recording or sales tax exemptions. The board approved the inducement with one abstention from a member who disclosed a client relationship with the applicant.

Key Outcomes

• CLD and IDA each approved their September 30, 2026 minutes unanimously.
• CLD 2027 budget approved unanimously.
• IDA 2027 budget approved unanimously.
• UTEP revisions approved with one no vote and no abstentions.
• 2 Sherwood Place inducement approved unanimously; public hearing set for November 18, 2026.
• 50 Lockwood LLC inducement approved with one abstention; public hearing set for November 18, 2026.
• The next meeting is scheduled for November 18, 2026 at 7:30 PM.