Peekkill Industrial Development Agency Annual Meeting - March 24, 2026

The Peekkill Industrial Development Agency (PIDA) held its annual meeting on March 24, 2026, at 7:05 PM in the Common Council Chamber. The meeting covered the approval of minutes, presentation of audited financial statements for fiscal year 2025, adoption of annual resolutions, financial reports, and updates on major projects including the 41 North Division and 901 Main Street PILOT applications and the Peekskill Firehouse Kitchen Incubator (PFKI) project. The meeting also included the annual election of officers and the acknowledgment of fiduciary duties.

Consent Calendar

• Approval of the February 24, 2026, meeting minutes for the PIDA with a correction regarding ownership of PeekSco Plaza (corrected to state that it will be owned by Treadway) and with the agreement that resolutions passed during the meeting should be attached to future minutes. Motion carried unanimously.
• Approval of the PFDC minutes for the February meeting. Motion carried unanimously.
• Approval of the annual resolutions for PIDA and PFDC, including acceptance of the auditor's report, re-adoption of policies, appointment of officers (see Key Outcomes), and appointment of staff (Matthew as Executive Director, Rookie LLC as CFO/Treasurer). Motion carried unanimously.
• Approval of the PARIS (Public Authority Reporting Information System) reports for PIDA, PFDC, and PLDC (with accountant's letter for PLDC) for submission by March 31. Motion carried unanimously.

Discussion Items

• FY25 Audited Financial Statements – Presentation by Jeffrey Shaver (PKF O'Connor Davies):
  • PIDA: Received an unmodified (clean) audit opinion. Operating revenues: $64,434 ($38,000 rental income from marina, $25,634 admin fees). Operating expenses: $174,000 (including $13,000 stipend plus Social Security for Executive Director, professional services, insurance, program expenses for kitchen incubator). Loss from operations: $110,000. Interest income: $24,000. Net position decreased by $86,132 to $1.163 million at year-end (Dec 31, 2025). Cash: $885,000. Property held for investment: $308,750. Liabilities: $31,000. Unrestricted net position: $206,845 plus $637,000 earmarked for kitchen incubator. Schedule of conduit debt: $19.6 million outstanding across three projects. PILOT billing: $1.4 million collected, to be remitted to taxing jurisdictions.
  • PFDC: Unmodified opinion. No operating revenues. Operating expenses: $4,000 professional fees + $35,000 workforce development program. Non-operating revenues: $24,773 in federal grant reimbursement receivable (80% of eligible costs), $1,541 interest income, $40,724 capital contribution from PIDA, and $68,000 contributed property from the city (at book value). Net position increased by $96,000 to $502,000. Cash: $74,000. Capital assets: $280,000 (includes $68,000 city property). $147,094 restricted for future project costs (grant receivable). $35,000 earmarked for workforce development. Auditor recommended recording capital assets and grant receivables on an accrual basis going forward, which staff agreed to implement.
  • LDC: No activity; accountant's letter accepted by state instead of audit.
• Monthly Financial Report (as of March 20, 2026):
  • PIDA revenues: $63,856 (including $20,000 for Children's Village PILOT, $36,300 marina rent, $300 interest). Expenditures: $25,618 (including $15,333 professional fees, $1,736 postage/printing for PILOT and kitchen incubator, $249 QuickBooks). Kitchen incubator expenses to date: $7,249 (legal $1,300, admin/finance $900, storage pod $516, Con Edison $4,500). Fund balance: $1.2 million. PILOT collections: $1.4 million out of ~$2 million estimated for FY26. Nine projects; six payments received, others still due.
  • PFDC revenues: $19 interest; expenditures: $1,650 legal fees; fund balance: $72,554 (with $35,000 restricted for workforce development).
• 41 North Division Update (Children's Village project): The city council heard a presentation on the proposed PILOT. The project requires a six-year 100% tax exemption to utilize historic tax credits (generating ~$4 million for the capital stack). After that period, title reverts to Children's Village (a 501c3) making the property tax-exempt, but Children's Village has agreed to make impact fee/contribution payments to the city. Additional commitments include a city welcoming space at the library entrance, workforce development in library science, and enhanced library programming. The project is competing for state funding (CPC/HCR) with a May 1 deadline; shovel readiness is key. PILOT approval is expected from the city council soon.
• 901 Main Street Update (Treadway project): The PILOT was approved by the city council on March 23 following lengthy negotiations. Key terms: graduated shelter rent payments over 40 years with a floor payment to protect taxing jurisdictions, but a force majeure provision allows shelter rent to continue if federal/state/local subsidies are lost. Developer to make a one-time $3.8 million contribution to the city. Existing IDA bond will be retired at closing (April 1). This is the first new PILOT since 2016. The administrative fee formula was discussed: 1% of first $10 million of project cost plus 0.5% of amount over $10 million.
• PFKI (Peekskill Firehouse Kitchen Incubator) Update: The project faces a $2.4 million funding gap. The city offered its $1.4 million grant as a construction loan but requested additional financial commitments from the agency. New board member Dean Bodner expressed serious concerns: unrealistic pro forma assumptions (needing 40% occupancy in year three to hit $36,000/month revenue), no bad debt allowance, no reserve for incidental expenses (only $20,000 allocated), lack of dedicated staff for construction and day-to-day operations. Alan Kravitz responded: a survey yielded 35 positive responses; consultant Catherine will run symposiums to recruit tenants; she will help hire a director and operations staff; a steering committee will become a governance committee; the Queens/Long Island City incubator comparison is flawed because it pays $20,000/month rent (Peekskill doesn't). Board acknowledged the project carries risk and is not yet final. The agency may ultimately decide not to proceed if funding cannot close.

Key Outcomes

• Annual Officer Elections:
  • PIDA: Chair – Deborah Post; Vice Chair – Rohan DeFreetis; Secretary – Alan Kravitz (moved from previous Vice Chair).
  • PFDC: Chair – Deborah Post; Vice Chair – Alan Kravitz; Secretary – Dean Bodner.
• Audit and Financials: The audit committee referred the FY25 audited financial statements for all three agencies to the respective boards for approval. Motion carried.
• PARIS Reports: Approved for submission to the state by March 31 for PIDA, PFDC, and PLDC.
• 901 Main Street PILOT: Closing expected April 1; existing bond to be retired.
• PFKI: Board to continue discussions on funding gap and agency's capacity; no decision made.
• Acknowledgment of Fiduciary Duty: Board members signed the acknowledgment form.
• Website Update: Staff to update board bios and comply with ABO website guidance.