City faces $387k shortfall for Washington Hose
By Lindsay Suchow
Hudson-Catskill Newspapers
Published:
Thursday, October 28, 2010 2:16 AM EDT
Facing a $387,000 shortfall for the Washington Hose renovation project, which involves the county Chamber of Commerce and the Hudson Development Corporation becoming tenants of the historic building, the city resolved to finance the remainder of the project from 2011’s fund balance. The HDC board also approved additional funding.
After failing to secure a Main Street grant and receiving zero appropriations from U.S. Rep. Scott Murphy’s office, the city has still committed to moving forward with the project by allocating $350,000 in next year’s budget, which officials anticipate to be offset by the sale of city properties.
As the project was priced out at an estimated total of $687,645, HDC Executive Director Peter Markou requested an additional $37,000 for Washington Hose at the HDC board’s Wednesday meeting. The board approved, bringing HDC’s total contributions to $287,000.
At the city’s Economic Development Committee meeting Tuesday, City Treasurer Eileen Halloran said she was opposed to the idea of borrowing money for the project and identified funds in 2011’s budget that could be used to make up the shortfall, which is contingent upon the anticipated sale of city properties.
The city already had $300,000 in-hand for the renovation — with $150,000 from the HDC, $100,000 that the HDC received from the now-defunct Empire Zone program and $50,000 committed by the city. When no grant money was received, the city put the project out to bid in order to get an idea of how much of a shortfall they were facing and enlisted engineering firm Crawford and Associates to do the spec work.
With Hoosick Valley Contracting as the winning bidder for construction, the renovation was priced out between $654,000 and $687,645, with the final price being dependent on whether the property’s historic windows will be preserved or replaced with new windows.
The decision to proceed with the renovation was ultimately made at the Economic Development Committee meeting, where Markou urged city officials to continue with the project as a matter of taking ownership of what he considered to be an extremely valuable structure.
“We’ve got a significant shortfall — how badly do you want to save that building?” said Markou. “From my perspective as an economic developer, this is one of the most important buildings in the city ... It will never be owned by anyone but the city. It is your heritage. What are you going to do with it?”
Added Mayor Richard Scalera, “We’re at a crossroads. The city has to make a commitment to invest itself, step aside and sell the building, or let it rot.”
Dan Proper of Crawford and Associates, who attended the meeting, said the renovation would involve minimal site work on the outside of the building, with the crux of the repairs needed to make the interior of the building inhabitable, including asbestos abatement.
Historic Hudson board of directors vice president Carole Osterink questioned Proper as to how significant of a savings would be incurred by replacing the windows rather than preserving and repairing them. Proper responded that not many of the windows were original.
“By all means we will listen to the Historic Preservation Commission,” said Proper in response to a comment from Osterink that the HPC would urge the restoration of the original windows rather than replacing them.
All parties involved were on the same page when it came to the importance of salvaging the Washington Hose project, with Common Council President Don Moore calling the renovation “an opportunity we simply cannot afford to lose.”
“Washington Hose presents a strong opportunity for us because of the LWRP, where Washington Hose is located and the tenants that are going in there,” said Moore. “It will prove to be a perfect anchor for the lower end of Warren Street.”
Added First Ward Alderwoman Sarah Sterling, “I feel we have an obligation to protect our infrastructure and invest in our future.”
To reach reporter Lindsay Suchow call 518-828-1616 ext. 2266 or e-mail lsuchow@registerstar.com.
