RIOC Board Of Directors Holding Previously Unscheduled Executive Session Meeting In Secret Closed To The Public Wednesday July 10, What's It About? Also RIOC Governance Committee Meeting Open To The Public

The Roosevelt Island Operating Corp (RIOC) announced on Monday July 8:  

Dear Roosevelt Island Community:

Please be advised that a meeting of the RIOC Board's Governance Committee will be held on Wednesday, July 10, 2024, at 1:30 p.m. at the Good Shepherd Community Center, 543 Main Street, Roosevelt Island, New York 10044.

There will also be a meeting of the full RIOC Board of Directors on Wednesday, July 10 at 3:00 p.m. also at The Good Shepherd Community Center.

Agendas for both meetings can be found below.

Thank you.

-Team RIOC

This full RIOC Board of Directors meeting was previously unscheduled. According to the Agenda below, it is described as a "Special Meeting" and is being held in Executive Session meaning the public is not allowed to attend and the discussion is secret.

It's possible, though not confirmed, that the employment status of RIOC President Shelton Haynes and General Counsel Gretchen Robinson will be discussed during the July 10 Special RIOC Board Meeting Executive Session. As previously reported, Mr Haynes and Ms Robinson have been on paid administrative leave since January 2024 pending an investigation of them about workplace concerns raised by RIOC employees. The Executive Session could also be about the current status of the RIOC leadership team following the recent departure of Deputy General Counsel Gerrald Ellis who had been the primary public face of the interim leadership team.

On June 26, I asked RIOC:

... with Gerrald leaving at the end of this month, what is the leadership plan for RIOC?...

RIOC Board Director Ben Fhala answered on July 2:

I was hoping that someone from the administration would be ready to reply to you by now, but it's critical that we don't create a communication void during this important time. The board has decided to maintain the current leadership status quo. We have full faith in Dhruvika as the interim leader. She will be seeking advice and counsel from the incredible existing leadership team that report to her during this transition period until the board reconvenes and decides if or when other changes or enhancements will be made.

We are grateful for Gerald's service and wish him great success in his future endeavors. As always, I cannot speak on behalf of the entire board, but this is the summary of thoughts that I am aware of that were made by the board members. If anyone else would like to chime in, they are always welcome to do so...

The RIOC Governance Committee will have a pubic meeting prior to the start of the full RIOC Board meeting.

During the June 20 RIOC Board of Directors meeting, Mr Fhala proposed two motions regarding governance issues. According to Mr Fhala:

Proposed resolution #1:

I would like to propose a resolution to clarify the meaning of quorum to prevent any misunderstanding of the law and how we apply it at RIOC. Deep engagement between board members and executives at RIOC is critical for oversight and to prevent external actors from controlling the agenda and the interests of RIOC. Unfortunately, I've been informed by a whistleblower that there is an attempt to block resident board members from engaging with each other. The whistleblower informed me of an alleged collusion between the RIOC legal team, Howard Polivy, and Meghan Anderson to block interactions between resident board members under the legal rationale articulated in a resolution made by the board on October 17th, 2019. While I don't think their understanding of this resolution applies, I would like to add a clear definition here to enable the critical work of the resident board members. Moreover this update has not been ratified by an update to our by-laws.

As such, I propose a resolution:

"Board members are encouraged to interact with each other publicly and privately to help govern and regulate RIOC. Board members should not aggregate in a number that constitutes a quorum as defined in NY state laws in a non-public meeting. According to NY state law and our by-laws, "A quorum is a majority of the full membership of the board, including any absences or vacancies.”

Proposed resolution #2:

Recently, the chair of this board appointed Howard Polivy to be part of the interim leadership team. To my understanding, board members must be independent, and as the chair of this board mentioned in prior emails, board members should not be involved in operational matters nor act on behalf of the full board. Furthermore, his involvement and decisions have not been coordinated with this oversight board, nor has he updated us on his activities.

As such, I recommend a resolution to ratify that individual resident board members should not be officially seated in any other position within RIOC not mentioned in our bylaws that might reduce their capability of maintaining independence or create that appearance as required by our bylaws and the law.

Neither resolution was approved. Resolution #1 was tabled, meaning no vote on the substance of the motion was taken and Resolution #2 was rejected by a 5-4 vote.

Here's the discussion during the June 20 RIOC Board meeting.

Tomorrow's RIOC Board of Directors meetings may be very interesting. 

Let's see what happens.

Unexpected Roosevelt Island Operating Corp Board Directors "Special" Meeting Held Today In Executive Session Closed To The Public - What's Going On?

The Roosevelt Island Operating Corp (RIOC) Directors do not usually hold full Board meetings during the summer and before last week the next meeting was not scheduled until September 14. But something happened recently which caused the RIOC Board to schedule a "Special" meeting today.

The meeting is in executive session which means that it is being held in secret, closed to the community and media. As of now, any specifics about today's RIOC Board meeting are not known publicly.

Among the two agenda items is:

... proposed, pending or current litigation;..

The use of the word "proposed" may be telling because in the past, RIOC Board executive sessions involving litigation were about "pending or current litigation". I do not recall a previous meeting involving "proposed" litigation.

Here's the agenda for today's RIOC Board meeting. to RIOC:

NOTICE OF THE AUGUST 7, 2023 SPECIAL MEETING OF THE ROOSEVELT ISLAND OPERATING CORPORATION BOARD OF DIRECTORS

PLEASE TAKE NOTICE that a special meeting of the RIOC Board of Directors will be held on Monday, August 7, 2023 at 5:30 p.m. at the Good Shepherd Community Center, 543 Main Street, Roosevelt Island, New York 10044.

AGENDA:

1. Call to Order

2. Roll Call

3. Chair’s Motion for Executive Session to Discuss:

a. proposed, pending or current litigation; and

b. the medical, financial, credit or employment history of a particular person or corporation, or matters leading to the appointment, employment, promotion, demotion, discipline, suspension, dismissal or removal of a particular person or corporation.

4. Adjournment

Is there some "proposed" litigation involving RIOC being discussed by the Board Directors today?

Proposed by whom? 

And does the agenda item 3 (a) "proposed" litigation have anything to do with agenda item 3(b)?

What could this be? 

Stay tune.

Why Is April 14 Roosevelt Island Operating Corp Board Of Directors Meeting Being Held In Executive Session With The Public Excluded From Attending And No Prior Public Session For Community Comments? Are Purported RIOC Employee Whistleblower Allegations Of Corruption Or Apparent Firing Of Community Affairs Director On Secret Agenda?

The Roosevelt Island Operating Corp (RIOC) Board of Directors will meet 5:30 PM Thursday April 14, via video conference. The sole Agenda Item is in executive session meaning that it will be held with the public excluded from attending. According to RIOC:

Chair’s Motion for Executive Session 

1. Discussion of the medical, financial, credit or employment history of a particular person or corporation, or matters leading to the appointment, employment, promotion, demotion, discipline, suspension, dismissal or removal of a particular person or corporation..

Unlike most RIOC Board meetings, there is no Public Session scheduled prior to the April 14 Board meeting for the residents to comment on community issues. I've asked RIOC several times why there is no Public Session for tomorrow's Board meeting but have not received any response.

Could the RIOC Board meeting secret executive session be about the allegations of wrongdoing leveled against RIOC President Shelton Haynes and other members of the RIOC executive staff?

As reported March 28:

A document was published on the OPNLTTR web site dated March 26, 2022 purportedly shared by a group of Roosevelt Island Operating Corp (RIOC) employees raising serious allegations of wrongdoings against RIOC President Shelton Haynes and certain members of the RIOC executive staff...

... Click here to read the full document.

 Among the allegations are:

• Misappropriation of state funds
• Covering up a negligent death
• Mismanagement of the AVAC System
• Cronyism
• Fraud
• Abuse of power
• Predatory Behavior/Grooming and Fostering a toxic work environment
• Disability Discrimination
• Violating NYS equal employment laws
• Violating NYS ethics laws: JCOPE (title 19/disclosure of outside activities) 

The group of purported RIOC employee whistleblowers making these charges call themselves NYS We Deserve Better.

NYS We Deserve Better has a Twitter feed.

- Hiring of cronies and promotions with fictitious titles to reward loyalists
-Over the top spending with little to no oversight
Interested in learning more? Read and retweet our story to help bring change to our workplace and community. https://t.co/lpqI1sB4uZ

— NYSWeDeserveBetter (@NYSWEDESERVEBTR) April 10, 2022

Group claiming to be @RIOCny employees continue to bring pressure on current @RiocCeo , Executive Staff and Directors by recalling past episodes of corruption found in 2014. https://t.co/JSgbne9Uay @JulieMenin @SeawrightForNY @SenatorSerrano @SenGianaris @GovKathyHochul https://t.co/01nK9lVIOu

— Roosevelt Islander (@Rooseveltisland) April 8, 2022

There has been no public comment from RIOC about these allegations.

Or could the RIOC Board meeting secret executive session be about the apparent firing of long time RIOC Director of Community Affairs Erica Spencer-el, who was also named the Director of Communications last year.

On April 1, I asked RIOC Public Information Officer Amy Smith:

I've been told that Erica Spencer-El was fired by RIOC. is this true? When was she fired? I'm told it was last Friday. If not true, please indicate it is false.

I've been told that RIOC Public Safety Deputy Chief Anthony Amoroso and at least one other PSD officer escorted Ms Spencer-El from RIOC. Is that true? Please indicate if it is false.

As Director of RIOC Communications & Community Affairs, her status is of concern to Roosevelt Island residents and organizations.

Ms Smith replied later that day:

... please be advised that RIOC does not comment on personnel matters with the public.

Emails to Ms Spencer-El at RIOC which previously were delivered have been undelivered this past week.

Stay tuned.

Former Roosevelt Island Operating Corp President Susan Rosenthal Wins Discovery Motion In Wrongful Termination Lawsuit Ordering RIOC To Hand Over Info About Her Firing And Safety Hazards Of RI Steam Tunnels, Files 2nd Lawsuit Too - RIOC Board Meeting In Executive Session Today To Discuss Pending Litigation

The Roosevelt Island Operating Corp (RIOC) announced yesterday:

Please take notice that an emergency meeting of the RIOC Board of Directors will be held on Tuesday, May 18th, 2021 at 5:30 P.M., via videoconference.

According to the May 18 RIOC Emergency Board Meeting Agenda, the sole item to be discussed is pending litigation. This discussion will be conducted in Executive Session, closed to the public.

Although not confirmed, it is likely that the pending litigation to be discussed at today's emergency RIOC Board meeting is the wrongful termination lawsuit brought by former RIOC President Susan  Rosenthal

against RIOC, members of NY State Governor Andrew Cuomo's executive staff and individual members of the RIOC Board of Directors.

As reported October 23, 2020:

‎According to this June 20 statement from Rich Azzopardi, Senior advisor to NY Governor Andrew Cuomo:

A complaint was made to the Governor’s office and others on June 12th by an employee of the Roosevelt Island Operating Corporation that alleged that the President of the organization had u‎sed inappropriate language and engaged in inappropriate conduct in the workplace.

This complaint was immediately referred to the New York State Governor’s Office of Employee Relations for investigation. This investigation substantiated that the President had used racially and sexually offensive language, in clear violation of State policy and the strict standards set by this Administration. The President was Immediately terminated.

The specific allegations made by the employee are contained in an email shown at this prior post)

Ms Rosenthal has remained silent until now.  On October 19 Ms.Rosenthal filed a lawsuit in NY State Supreme Court alleging wrongful termination. According to the lawsuit (Page 1-2):

... Rosenthal, until her abrupt and improper termination on June 19, 2020, was the President of the Roosevelt  Island Operating Corporation ("RIOC", or "Respondent"). A long time, fierce advocate for civil rights and, more recently, a supporter of the Black Lives Matter movement Rosenthal, a white female, brought an increased level of racial diversity to RIOC over her more than five year tenure as President. It is thus both ironic and tragic that Respondents blindly accepted the malicious, false and baseless allegations of racism and using sexist language from a known malcontent employee (the "Employee"). 

Rushing to announce their decision to terminate Petitioner on Juneteenth, Respondents conducted a brief, sham investigation which ignored irrefutable evidence that the allegations were nonsense. Had the Respondents conducted a good faith investigation, they would have quickly come to that conclusion. Instead, not only did Respondents terminate Rosenthal in violation of their own internal policies, but they did so with a public announcement which had the anticipated effect of besmirching a more than 45 year long exemplary career. 

In short, in order to obtain some cheap publicity on Juneteenth, they arbitrarily, maliciously and in violation of law threw Rosenthal under the proverbial bus. By this special proceeding, Rosenthal seeks reinstatement, back pay, attorneys' fees and damages. 

Also (Page 9):

... When she was hired in 2015, Rosenthal was warned by RIOC management of a 'cabal,' which included Employee, which targeted management and sought to oust them from RIOC. Roosenthal was told to be careful because of their propensity. Again further proving the axiom that no good deed goes unpunished, Rosenthal even supported the promotion and increased pay Employee enjoyed....

On May 14, 2021 Ms Rosenthal won a significant victory when her discovery motion seeking information which RIOC objected to providing was granted by the NY State Supreme Court. According to the Court decision, RIOC is ordered to produce to Ms Rosenthal (the Petitioner):

... 1. Copies of all recordings of Petitioner; 

2. Notes of any interviews with persons complaining about Petitioner; 

3. Drafts of the June 19, 2020 press release, and any communications relating to such press release; 

4. Communications concerning the decision to terminate Petitioner; 

5. Communications, including but not limited to emails, memos and status reports, from Petitioner or other RIOC employees, to government officials, concerning or referring to the steam tunnel on Roosevelt Island, and any documents reflecting the government’s reaction to those communications; and 

6. Communications, including but not limited to emails, memos and status reports, from Petitioner or other RIOC employees, to government officials, concerning or referring to the public health and safety hazards regarding the steam tunnel on Roosevelt Island, including but not limited to the reports from the United States Army Corps of Engineers and Langan Engineering and Environmental Services, Inc., and any documents reflecting the government’s reaction to those communications....

Below is copy of the May 14 decision.

Will RIOC, the Governor's staff and RIOC Directors decide to settle with Ms Rosenthal rather than produce what could be damaging information about the reasons for her firing last June 19?

Also, on April 27, 2021 Ms Rosenthal filed another lawsuit in NY State Supreme Court against RIOC, members of the Governor's Staff and members of the RIOC Board of Directors.

According to excerpts for the lawsuit:

... 2. Rosenthal, until her abrupt and improper termination on June 19, 2020, was the President and Chief Executive Officer of RIOC. Despite her exemplary record as a promoter of a diverse and equitable workplace over her more than five year tenure as President and Chief Executive Officer, Rosenthal was the subject of a malicious, false and baseless complaint of racism and use of sexist language on June 12, 2020 from a known malcontent employee (the “Employee”). The Albany Defendants immediately commenced an investigation which quickly showed that the allegations against Rosenthal were unfounded. 

3. That did not deter the Albany Defendants. The Governor’s Office was already motivated to “get” Rosenthal because she had repeatedly complained about a potentially catastrophic safety situation on Roosevelt Island. Rosenthal refused to accept the Governor’s Office’s determination to just sweep the problem under the rug and wrote and had delivered a detailed memo highlighting the issue. As a result of Rosenthal’s repeated demands upon the Governor’s Office to take action on this issue, it was only then that the Albany Defendants decided to make the complaints against Rosenthal a basis for her termination. During the investigation of the unfounded complaint, the Albany Defendants purported to learn of audio tapes which supposedly contained the voice of Plaintiff making racist and sexually harassing statements. The Albany Defendants told Rosenthal of the supposed existence of the tapes but refused to allow her the opportunity to listen to them, a refusal which continues to this day. 

4. It now appears that none of the Defendants ever actually had possession of the tapes. They refuse to disclose who created the tapes, how and when they were prepared, on what type of device, all of the voices which were on the tapes, or any other identifying information. None of the Defendants made any effort to authenticate the tapes. Moreover, given the restrictions in place during the Covid-19 pandemic, it is likely that whatever it was that certain of Defendants claimed to have listened to was heard over a telephone or internet connection. 

5. Rosenthal denied that she had ever used the language as attributed to her. Instead of taking the time to conduct a fair and thorough investigation, or to even allow Rosenthal to listen to the audio tapes, the Albany Defendants rushed to announce their decision to terminate Rosenthal on “Juneteenth,” a date celebrating the end of slavery in America. Not only did Defendants terminate Rosenthal in violation of their own internal policies, but they did so with a public announcement which had the anticipated and intended effect of besmirching a more than 45 yearlong exemplary career.

6. Rosenthal’s termination violated federal, city and state law, including: 

a. Title VII of the Civil Rights Act of 1964, New York State Human Rights Law and New York City Human Rights Law in that Rosenthal was treated differently because she is a Caucasian female; and

b. New York State Labor Law §740 in that Rosenthal’s termination was retaliation for complaining about a safety hazard on Roosevelt Island that an engineering report stated could have a “catastrophic” consequence. 

Below is copy of Ms Rosenthal's April 27, 2021 complaint filed in the NY Supreme Court.

RIOC has declined offers to comment on this matter.

Here's Ms Rosenthal speaking during the the February 8 2020 Roosevelt Island Black History Month Celebration at Gallery RIVAA.

Stay tuned.

Roosevelt Island Rivercross Arbitration Settlement, Westview Privatization & Southtown Riverwalk Buildings 8 & 9 Development On April 3 RIOC Real Estate Committee Meeting Agenda - In Executive Session Closed To The Public

Very important Roosevelt Island real estate issues

will be discussed tomorrow, April 3, during the Roosevelt Island Operating Corp (RIOC) Real Estate Advisory Committee. According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will now be held on Tuesday, April 3, 2018 at 5:30 P.M. at the RIOC Warehouse, 680 Main Street, Roosevelt Island, New York.

Agenda:

1. Chair’s Motion for Executive Session to Discuss:

a. Rivercross Arbitration Settlement

b. Southtown 8 & 9 Environmental Assessment and Zoning Overrides

c. Westview Ground Lease Negotiations

2. Any Other Committee Business That May be Brought Before the Committee.

The meeting will be in executive session, closed to the public.

There is no indication that I can find on the RIOC web site about this meeting.

Stay tuned.

UPDATE 3/3 - The agenda has been amended to have the Southtown discussion in public session.

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will now be held on Tuesday, April 3, 2018 at 5:30 P.M. at the RIOC Warehouse, 680 Main Street, Roosevelt Island, New York.

Amended Agenda:

1. Discussion of the Southtown 8 & 9 Environmental Assessment and Zoning Overrides

2. Chair’s Motion for Executive Session to Discuss:

a. Rivercross Arbitration Settlement

b. Westview Ground Lease Negotiations

3. Any Other Committee Business That May be Brought Before the Committee.

Roosevelt Island Youth Center Contract And Seawall Repair Negotiations On Agenda For Executive Session At RIOC Operations Advisory Committee Meeting February 27 - Gallery RIVAA Public Purpose Funds Modification In Public Session

The Roosevelt Island Operating Corp (RIOC) Operations Advisory Committee will meet Tuesday, February 27. Among the items on the Agenda is the Youth Center Operator Contract. 
 

 The discussion will be held in Executive Session closed to the public. The seawall railing item will also be held in Executive Session.

According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Operations Advisory Committee Meeting of the RIOC Board of Directors will be held on Tuesday, February 27, 2018 at 5:30 P.M. at the RIOC Administrative Office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Discussion of Modification of Public Purpose Fund Grant to RIVAA Gallery.

Chair’s Motion for Executive Session to Discuss:
Legal Matters in Connection with the Youth Center Operator Contract Award
Seawall Repair Negotiations.

According to the NY State Open Meetings Law:

§100. Legislative declaration.

It is essential to the maintenance of a democratic society that the public business be performed in an open and public manner and that the citizens of this state be fully aware of and able to observe the performance of public officials and attend and listen to the deliberations and decisions that go into the making of public policy. The people must be able to remain informed if they are to retain control over those who are their public servants. It is the only climate under which the commonweal will prosper and enable the governmental process to operate for the benefit of those who created it....

... §103. Open meetings and executive sessions.
(a) Every meeting of a public body shall be open to the general public, except that an executive session of such body may be called and business transacted thereat in accordance with section one hundred five of this article....

... §105. Conduct of executive sessions.
1. Upon a majority vote of its total membership, taken in an open meeting pursuant to a motion identifying the general area or areas of the subject or subjects to be considered, a public body may conduct an executive session for the below enumerated purposes only, provided, however, that no action by formal vote shall be taken to appropriate public moneys:
a. matters which will imperil the public safety if disclosed;
b. any matter which may disclose the identity of a law enforcement agent or informer;
c. information relating to current or future investigation or prosecution of a criminal offense which would imperil effective law enforcement if disclosed;
d. discussions regarding proposed, pending or current litigation;
e. collective negotiations pursuant to article fourteen of the civil service law;
f. the medical, financial, credit or employment history of a particular person or corporation, or matters leading to the appointment, employment, promotion, demotion, discipline, suspension, dismissal or removal of a particular person or corporation;
g. the preparation, grading or administration of examinations; and
h. the proposed acquisition, sale or lease of real property or the proposed acquisition of securities, or sale or exchange of securities held by such public body, but only when publicity would substantially affect the value thereof.
2. Attendance at an executive session shall be permitted to any member of the public body and any other persons authorized by the public body....

UPDATE 2/26 - According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Operations Advisory Committee Meeting of the RIOC Board of Directors will be held on Tuesday, February 27, 2018 at 5:30 P.M. at the RIOC Warehouse, 680 Main Street, Roosevelt Island, New York.

Roosevelt Island Hudson Related Southtown Buildings 8 & 9 Proposed Agreement On August 22 RIOC Real Estate Committee Meeting Agenda - Cell Service Infrastructure Too

The Roosevelt Island Operating Corp (RIOC) Real Estate Advisory Committee is meeting tomorrow.According to the RIOC:

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Tuesday, August 22, 2017 at 5:30 p.m. at the RIOC Administrative Office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Presentation by Crown Castle NG East LLC on Cell Service Infrastructure on Roosevelt Island

2. Chair's Motion for Executive Session to Discuss Proposed Agreements Related to the Southtown Buildings #8 and #9 Developments

3. Any Other Committee Business That may be Brought Before the Committee

***

The Open Meetings Law of the State of New York requires that all public bodies conduct meetings, convened for the purpose of officially conducting public business, in a manner open to attendance by the general public to observe and listen.

The Hudson Related Southtown Building 8 is supposed to have a significant number of affordable housing units although we don't know yet what that means in terms of number of apartments and financial requirements for tenants.

Unfortunately, the discussion of of Southtown buildings 8 & 9 will be in Executive Session, meaning that the public and press will not be able to attend. According to Section 105 of the NY State Open Meetings Law:

... the proposed acquisition, sale or lease of real property or the proposed acquisition of securities, or sale or exchange of securities held by such public body, but only when publicity would substantially affect the value thereof....

In July 2014, Hudson Related's David Kramer spoke to me about the layout of Southtown Buildings 7-9.



Hope to find out more soon.

Public Use Of Roosevelt Island Facilities, Upgrades To Playgrounds, Retail Space Update & More On Agenda For RIOC Real Estate Committee Meeting Today

 Image Of Firefighters Field

The Roosevelt Island Operating Corp (RIOC) Real Estate Advisory Committee is meeting today. According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Tuesday, June 13, 2017 at 5:30 p.m. at the RIOC Administrative Office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Review Public Utilization of Available RIOC Facilities
2. Review Upgrades to Playgrounds and Other Installations
3. Receive an Update on Retail Space Utilization
4. Enter into Executive Session to Discuss the Proposed Leases of Real Property
5. Any Other Committee Business That may be Brought Before the Committee

* * *
The Open Meetings Law of the State of New York requires that all public bodies conduct meetings, convened for the purpose of officially conducting public business, in a manner open to attendance by the general public to observe and listen.

Financial History Of RIOC Sole Subject of Roosevelt Island Operating Corp (RIOC) Board Of Directors Special Meeting August 4 - In Executive Session Closed To The Public

The Roosevelt Island Operating Corp (RIOC) announced yesterday afternoon a "Special Meeting" of the Board of Directors to be held on Thursday August 4 in Executive Session, meaning closed to the public. According to RIOC:

PLEASE TAKE NOTICE that a special meeting of the Board of Directors will be held on Thursday, August 4, 2016 at 5:00 p.m. at The RIOC Corporate Office, 591 Main Street, Roosevelt Island, New York for the purpose of transacting such business as shall come before the Board.

AGENDA

I. Call to Order

II. Roll Call

III. New Business

1. Chair’s Motion for Executive Session to Discuss the Financial History of a Particular Corporation.

IV. Adjournment

* * *

The Open Meetings Law of the State of New York requires that all public bodies conduct meetings, convened for the purpose of officially conducting public business, in a manner open to attendance by the general public to observe and listen.

I asked RIOC President Susan Rosenthal and RIOC Directors:

Can you provide the name of the "Particular Corporation" which is the subject of August 4 RIOC Board Of Directors Special Meeting Executive Session?

Also can you provide any other information regarding the reason for this meeting that can be made public at this time?

Ms Rosenthal replied:

RIOC

is the particular corporation to be discussed at the Board meeting..

I replied today:

What is reason that a discussion of RIOC financial history by Board of Directors is being held in Executive Session?

 Will update when more information becomes available.

According to the NY State Open Meetings Law:

§100. Legislative declaration.

It is essential to the maintenance of a democratic society that the public business be performed in an open and public manner and that the citizens of this state be fully aware of and able to observe the performance of public officials and attend and listen to the deliberations and decisions that go into the making of public policy. The people must be able to remain informed if they are to retain control over those who are their public servants. It is the only climate under which the commonweal will prosper and enable the governmental process to operate for the benefit of those who created it....

... §103. Open meetings and executive sessions.
(a) Every meeting of a public body shall be open to the general public, except that an executive session of such body may be called and business transacted thereat in accordance with section one hundred five of this article....

... §105. Conduct of executive sessions.
1. Upon a majority vote of its total membership, taken in an open meeting pursuant to a motion identifying the general area or areas of the subject or subjects to be considered, a public body may conduct an executive session for the below enumerated purposes only, provided, however, that no action by formal vote shall be taken to appropriate public moneys:
a. matters which will imperil the public safety if disclosed;
b. any matter which may disclose the identity of a law enforcement agent or informer;
c. information relating to current or future investigation or prosecution of a criminal offense which would imperil effective law enforcement if disclosed;
d. discussions regarding proposed, pending or current litigation;
e. collective negotiations pursuant to article fourteen of the civil service law;
f. the medical, financial, credit or employment history of a particular person or corporation, or matters leading to the appointment, employment, promotion, demotion, discipline, suspension, dismissal or removal of a particular person or corporation;
g. the preparation, grading or administration of examinations; and
h. the proposed acquisition, sale or lease of real property or the proposed acquisition of securities, or sale or exchange of securities held by such public body, but only when publicity would substantially affect the value thereof.
2. Attendance at an executive session shall be permitted to any member of the public body and any other persons authorized by the public body....

UPDATE 8/4 - From RIOC:

PLEASE TAKE NOTICE that a special meeting of the Board of Directors previously scheduled for Thursday, August 4, 2016 at 5:00 p.m. has been CANCELLED.

Roosevelt Island Operating Corp To Discuss Status Of Search For New RIOC President At May 19 Board Of Directors Meeting - In Executive Session Closed To The Public

The Roosevelt Island Operating Corp (RIOC) Board of Directors Governance Committee will meet tomorrow in Executive Session to discuss status of search for a new President. According to RIOC:

PLEASE TAKE NOTICE that a special meeting of the Board of Directors will be held on Thursday, May 19, 2016 at 5:30 p.m. at The Cultural Center Roosevelt Room, 548 Main Street, Roosevelt Island, New York for the purpose of transacting such business as shall come before the Board.

AGENDA

I. Call to Order

II. Roll Call

III. New Business

1. Chair’s Motion for Executive Session to Discuss Status of Presidential Search for RIOC

IV. Adjournment

* * *

The Open Meetings Law of the State of New York requires that all public bodies conduct meetings, convened for the purpose of officially conducting public business, in a manner open to attendance by the general public to observe and listen.

RIOC General Counsel Susan Rosenthal has been the RIOC Acting President since the March 18 departure of former RIOC President Charlene Indelicato.

According to the NY Department of State Committee on Open Government:

... a public body may conduct an executive session for the below enumerated purposes only, provided, however, that no action by formal vote shall be taken to appropriate public moneys:...

f. the medical, financial, credit or employment history of a particular person or corporation, or matters leading to the appointment, employment, promotion, demotion, discipline, suspension, dismissal or removal of a particular person or corporation;...

To date, the RIOC Board of Directors have not interviewed any candidates for the position of RIOC President.

RIOC Meeting In Executive Session To Review Pending Roosevelt Island Real Estate Transactions Today - Octagon, Manhattan Park, Southtown Riverwalk Buidlings 8, 9 & Westview Could Be Discussed

The Roosevelt Island Operating Corp (RIOC) Real Estate Advisory Committee is meeting later today in Executive Session closed to the public. According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Monday, March 14, 2016 at 5:30 p.m. at Roosevelt Island Operating Corporation Administrative Offices, Conference Room, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Chair's motion for an executive session to review pending transactions subject to negotiation.

2. Other Committee businesses that may be brought before the Committee.

RIOC Director Howard Polivy may have provided a hint of what was to be discussed at today's meeting during the March 7 Real Estate Advisory Committee meeting (audio web cast here) which was open to the public.

Mr. Polivy advised that there was to be an upcoming meeting to discuss real estate issues involving Octagon, Manhattan Park, Riverwalk Southtown Buildings 8&9 as well as possibly Westview.

Here's what Mr. Polivy had to say.



Stay tuned.

Roosevelt Island Community Space Availability, Park Facilities Hours and Operations and Korean Pavilion on Agenda For RIOC Public Real Estate Committee Meeting Today - Cornell Negotiations To Be Discussed In Executive Session Without Public

According to the Roosevelt Island Operating Corp (RIOC)

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committeeof the RIOC Board of Directors will be held on Tuesday, July 16, 2013 at 5:30 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Discussion of:
a. Community Space Availability and Permitting Rules and Procedures
b. Park Facilities, Hours and Operations
c. Park Pavilion Offer by Korean Community

2. Chair's Motion for Executive Session for Update on Current Negotiations Regarding Cornell NYC
3. Any Other Committee Business That May be Brought Before the Committee

An audio web cast of the public portion of the meeting will be available soon thereafter.

Update On Cornell NYC Tech Negotiations With RIOC Subject Of Today's Roosevelt Island Operating Corp Real Estate Advisory Committee Meeting - Meeting Is In Executive Session, Closed To Public

Image From Cornell NYC Tech (credit Kilograph)

According to the Roosevelt Island Operating Corp (RIOC)

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Thursday, June 27, 2013 at 3:00 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Chair's Motion for Executive Session for Update on Current Negotiations Regarding Cornell NYC;

2. Any Other Committee Business That May be Brought Before the Committee

As previously reported, NYC has approved the project and transfer of Goldwater campus land NYC controls to Cornell but Cornell must still reach an agreement with RIOC for the Goldwater campus land controlled by RIOC:

... Many issues still need to be resolved before Cornell NYC Tech can take possession, begin demolition of the existing Goldwater Hospital and start construction of the new applied sciences and engineering school. Among the issues still to be negotiated with the Roosevelt Island Operating Corp (RIOC) are an agreement with RIOC for land controlled by RIOC that is part of the proposed Cornell campus, the use of barging and temporary concrete plant during the construction process, air and noise pollution monitoring and much more....

Below is an aerial view of the existing Goldwater Hospital campus that is scheduled to be demolished in early 2014 to make way for the Cornell NYC Tech campus. NYC controls the land that is beneath the hospital buildings and extending a perimeter of 5 feet from the buildings. RIOC controls all the other land on the Goldwater campus site between the roads on the outside of the campus (East and West Channel Roads).

Image From Google Maps

More here on latest Cornell NYC Tech developments including selection of Forest City Ratner as corporate co-location building and Master Plan developer

and this video in which

Dan Huttenlocher, Founding Dean of Cornell Tech, and Provost Kent Fuchs provide insight into the latest developments of the newly established Cornell NYC Tech Campus.

If you are interested in the Cornell NYC Tech project,  I recommend watching the whole hour long video.

Today's RIOC Real Estate Committee meeting on the Cornell negotiations is in executive session which means it is closed to the public.

Roosevelt Island Riverwalk Building 5-6 Not Profitable For Developer Hudson Related Says RIOC Deal Memo - Negotiations For Building 7 Continuing, Update At Today's Executive Session RIOC Real Estate Committee Meeting

The Roosevelt Island Operating Corp (RIOC) Real Estate Advisory Committee is meeting later today in Executive Session (closed to the public) for an update on current negotiations with Hudson Related Companies regarding the future development of Southtown (Riverwalk) Building 7.

Image of Riverwalk Building 1-6 and future site of 7-9 from Wall Street Journal

According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Wednesday, May 15, 2013 at 5:30 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Chair�s Motion for Executive Session for Update on Current Negotiations Regarding Southtown Development (Building 7)

2. Any Other Committee Business That May be Brought Before the Committee

What are these current negotiations about? The RIOC Board of Directors had previously approved a Lease Amendment for Southtown (Riverwalk) Buildings 7-9 during the February 28 Board of Directors meeting. As previously reported:

... the Southtown Building 7-9 Ground Lease amendment with Hudson Related was approved during the February 28 RIOC Board of Directors meeting. According to RIOC CFO Steve Chironis the ground lease payment from Hudson Related to RIOC  for building 7 was reduced from $32 million to $28 million. The terms for buildings 8-9 remained the same.

Here's video of Mr. Chironis explaining the Ground Lease amendment to the RIOC Board.

Here is the February 26, 2013 Deal Memo prepared by Mr. Chironis to the RIOC Board. According to the Deal Memo (Page 3) tentatively agreed upon terms, the closing for Southtown (Riverwalk) Building 7 was scheduled for April 30 of this year.

Site Of New Southtown Building 7 Covers Northern Section Of Area By Shed/Tot Lot

The RIOC prepared Deal Memo also states (Page 1):

Hudson/Related (H/R) holds an option to develop the remaining three lots (7-9) of the Southtown Development Project, which expires on December 31, 2012 (the “Option”). In March 2012, H/R requested a modification of terms based on a claim that the last 2 buildings to be developed (5 &6) were not profitable and the overall market was not as favorable as the conditions in 2006 when the original agreement was reached. However, the original first four buildings (buildings 1-4) were very profitable and the agreement for 5-9 was designed to recover profits lost by RIOC.

Building 5, which is a condo that was completed in 2009, still has 15 unsold units out of a total of 122. On average, the sales prices of units sold from 2009 through 2010 have been approximately 25% below original condominium asking prices with a moderate rise in 2011 and 2012. Recent resale prices of sold units are still significantly less than the original purchase prices. However, Building 6 — originally intended to be a condo — was instead built out as a rental and is nearly fully rented.

Prior to the proposal and confirmation of the Cornell project on Roosevelt Island H/R gave little indication of their intent to exercise the Option. The agreement provides for a “De-designation fee”, an amount H/R must pay to RIOC in the event of not developing the project. The fee —based on the amount of undeveloped square footage in Southtown 7-9 at a rate of $2/SF — is collateralized by a letter of credit in the amount of $1,420,800. This fee would paid to RIOC in the event H/R does not go forward with 7-9. With the announcement of the Cornell project the prospects for the Roosevelt Island real estate market are brighter but at this point it would be difficult to quantify the impact given that: 1) completion of the first Cornell buildings is not scheduled until 2017; and (2) the overall market faces high-risks posed by existing global financial uncertainties.

At the commencement of negotiations in March 2012 RIOC was initially advised by Jones Lang LaSalle (JLL) and subsequently CBRE pertaining to deal modification issues. JLL, the original advisor to the Southtown project,was replaced by CBRE due to JLL’s financial interest through earned commission that would be due to them upon the closings of buildings 7-9....

and (Page 4):

... The financial components upon substantial construction completion are summarized as follows:
1. Ground Rent:
- Prepaid Ground Rent ($50/SF@ 201,600SF) - $10,080,000
- Starting Annual Ground Rent w/ 3% escalation - $765,760.00...

...  4. Public Safety Fees: $20/unit/month w/ 4% escalation (est. 200 units)
- starting annual public safety fee - $48,000.00...

 and (Page 2 of CBRE attachment to Deal Memo):

Subject to compliance with environmental and other law and to a modification to the GDP if required, RIOC will allow (but not require) below-grade parking at Building 8 and Building 9.

Click here for the full RIOC/Hudson Related Southtown (Riverwalk) Deal Memo.

Roosevelt Island Garden Club Permit, Cultural Center Rehab, Steam Plant Future, Southpoint Park & More On RIOC Real Estate Committee Public Meeting Agenda Today - Also Cornell NYC Tech and Southtown Riverwalk Building 7 Negotiation Update In Executive Session Closed To Public

A busy Agenda for today's Roosevelt Island Operating Corp (RIOC) Real Estate Advisory Committee. According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Monday, May 6, 2013 at 5:30 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

Agenda:

I. Updates and Discussions Regarding:

1. 548 Main Street Cultural Center Rehabilitation
2. Good Shepherd Community Center Permitting
3. Sportspark Condition and Refurbishment Analysis
4. Steam Plant RFEI Status
5. Roosevelt Island Garden Club Permit
6. Southpoint Park

II. Chair's Motion for Executive Session for Update on Current Negotiations Regarding:

1. Southtown Development (Building 7)
2. Cornell NYC

III. Any Other Committee Business That May be Brought Before the Committee

An audio web cast of the meeting will be available soon after the meeting.

More on when RIOC Board meetings can be held in Executive Session closed to the public available at this previous post.

RIOC Real Estate Committee Meeting Tomorrow - Roosevelt Island Community Space and Cultural Center Flooding On Public Agenda, Cornell NYC Tech, Steam Plant, Main Street Retail Progress and Westview Privatization Discussed In Executive Session Without Public Present

Image From Echo

 According to the Roosevelt Island Operating Corp (RIOC)

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Tuesday, December 18, 2012 at 4:30 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Discussion Concerning Issues With Provision of Community Space
2. Update on 548 Main Street Cultural Center Rehabilitation
3. Chair's Motion for Executive Session for Update on Pending Negotiations Regarding
a) Cornell NYC
b) Steam Plant
c) Main Street Retail Progress
d) Westview
4. Any Other Committee Business That May be Brought Before the Committee

The Open Meetings Law of the State of New York requires that all public bodies conduct meetings, convened for the purpose of officially conducting public business, in a manner open to attendance by the general public to observe and listen.

An audio web cast of the Public Session will be available a few days after the meeting.

Updates On Roosevelt Island Main Street Retail, Steam Plant and Young Adult Program On Agenda For RIOC Real Estate Committee Meeting Tonight - Also Executive Session On Library Renovation And Southtown Building 7-9 Ground Lease Negotiation

Image of NYC Council Member Lappin, NYPL President Anthony Marx and Roosevelt Island Kids

According to the Roosevelt Island Operating Corp (RIOC)

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Tuesday, November 20, 2012 at 5:30 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

Agenda:

1. Hudson/Related Update on Main Street Retail
2. Steam Plant Update
3. Young Adult Program Update
4. Chair's Motion for Executive Session to Review and Discuss:
a) 504 Main Street Library Renovation Update
b) Southtown Buildings 7, 8 and 9 Ground lease Negotiations Update
5. Any Other Committee Business That May be Brought Before the Committee

An audio webcast of the meeting will be available soon thereafter.

More on Roosevelt Island library renovation at 504 Main Street from previous post.

UPDATE 11/21 - Here's the audio web cast of the 11/20 RIOC Real Estate Committee meeting.

Future Of Roosevelt Island Mobile Food Trucks, Modification Of Pier NYC Waterfront Restaurant Permit and Island House Ground Lease On Agenda For Tonight's RIOC Real Estate Committee Meeting

Roosevelt Island Food Truck Image From Gothamist

According to the Roosevelt Island Operating Corp (RIOC):

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Thursday, July 19, 2012 at 6:00 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

AGENDA

1. Review and Discussion of Mobile Food Vendors' Activity During the July Open Access Trial, and Recommendation on Permit Terms Effective Thereafter;

2. Consideration of Modifications to the PierNYC Permit;

3. Chair's Motion for Executive Session to Review and Discuss Proposed Modifications to the Ground Lease for Island House; and

4. Any Other Committee Business That May be Brought Before the Committee.

 Image of Roosevelt Island Food Trucks

The La Bella Torte

 Image of La Bella Torte Cannoli From NY Street Food

and Eddie's Pizza Food Trucks

  Image Of Eddie's Pizza Food Truck Spicy Chicken With Pepper 10 Inch Personal Bar

have been great additions to Roosevelt Island. I hope RIOC allows Mobile Food Trucks to continue operating on Roosevelt Island public streets just as mobile food trucks operate in other NYC neighborhoods - without having to pay additional fees to RIOC. At the very least, continue the current experimental policy of waiving $345 monthly fee to encourage La Bella Torte and Eddie's Pizza to stay and to provide incentives for other Mobile Food Trucks to join them on a rotating basis to serve the hungry for choice and variety Roosevelt Island community.

Also, Pier NYC

 Image Of Pier NYC From RIHS President Judy Berdy

has been a wonderful amenity brought to a formerly underutilized public waterfront space on Roosevelt Island for this summer with BBQ provided by John Brown's Smokehouse and seafood from Santos Seafood Shack.

I asked RIOC President Leslie Torres:

What are the modifications to the Pier NYC permit being considered by RIOC that is on the Agenda for July 19 Real Estate Committee meeting?

Do the modifications being considered materially change the terms of the Waterfront Concession RFP that was issued by RIOC for the permit?

Thank you.

Have not received a response from RIOC.

It would be great if other types of food were allowed to be served at Pier NYC such as those offered by the Mobile Food Trucks as well as other existing Roosevelt Island restaurants.

The Island House Ground Lease Agenda Item is in executive session so public will not be able to attend. More information on Island House privatization and Ground Lease available at this previous post.

Mobile Food Van Service For Roosevelt Island On Agenda For Tomorrow's RIOC Board Of Directors Real Estate Committee Meeting - Bring Luke Lobster and Other Good Mobile Food Trucks To Restaurant Starved Roosevelt Island

Mobile Truck: Nauti from Luke's Lobster on Vimeo.

Previous post reported on the Luke's Lobster Mobile Food Van being chased off Roosevelt Island despite having all required New York City permits and Licenses. As Roosevelt Island Operating Corp (RIOC) Vice President of Operations Fernando Martinez explained:

Yes, a food vendor will have to provide RIOC with the appropriate NYC licences and copies of insurance.  We will then issue a RIOC permit.  However, please keep in mind that we are not currently accepting any applications for street food vending.

and a subsequent response from the RIOC Board of Directors:

... the Board has placed the issue of mobile food vendors on the agenda for the next Real Estate committee meeting to develop a procedure for handling them in a uniform, and fair way.

The issue of Mobile Food Trucks will be discussed in public at tomorrow's RIOC Board of Directors Real Estate Committee meeting along with an Executive Session closed to the public on the status of Island House privatization and ground lease extension. According to RIOC:

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Thursday, December 22, 2011 at 3:00 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

AMENDED AGENDA
1. Discussion of Street Vending Licenses on Roosevelt Island;
2. Chair’s Motion for Executive Session to Review and Discuss the Status of Privatization/Affordability Plan and Ground Lease Extension for Island House.

Good mobile food trucks, and Luke's Lobster is an excellent one, are a great amenity  and should be allowed to operate on Roosevelt Island under the same rules and regulations as they do in any other NYC neighborhood.

Readers commenting on the Luke's post had this to say:

From Mark:

This is terrible.  If anything, we should be encouraging food trucks to make RI their evening dinner stop.

Cari:

It's so aggravating to be a part of NYC and yet not. Food trucks are an awesome idea to help spice up the food options here on the island. All summer the ice cream truck parks here, why not allow more options. RIOC, you really really are missing the boat on this one...

Cynthia:

Seriously! The RIOC need to get a life and give us all one too. A permit? Unbelievable! RI is the perfect place for food trucks and if the RIOC were smart, they would run events with the trucks every single weekend to draw more tourists to the island. I have lived here since 1979 and I cannot think of one thing the RIOC did to better the life for the residents without trying to squeeze a buck from someone. ARGH!!!!

JPH:

Roosevelt Island: we must preemptively lower the quality of life.

Rob:

This is terrible. Luke's is one of the best food trucks in the city. It's more upscale, and high quality than anything currently on the island, without interfering with real estate.

Roosevelt Island Residents Association Planning Committee Chair Frank Farance commented:

... I recognize that RIOC may control permitting on its properties, such as the sidewalk near the subway.  However, a food truck on a public street (Main Street), I believe, is outside of RIOC's control.

If a mobile food vendor complies with the NYC licensing and permitting requirements:

"http://www.nyc.gov/portal/site..."

AND, Roosevelt Island's Main Street is *not* on the list of restricted streets for mobile food vendors:

"http://www.nyc.gov/html/doh/do..."

THEN, under what authority does RIOC/PSD have the right to ask the food vendor to leave?...

There are more comments here.

During the December 14 RIOC Board of Directors meeting,  Nonno's Focacceria and Riverwalk Bar & Grill owner Alphonse DiCioccio expressed objections to mobile food vendors, such as Luke's Lobster and the Domino's Pizza car at the Farmers Market, being allowed to sell food on Roosevelt Island asserting that it was unfair to existing store owners who pay rent. Here's what he had to say.

You Tube Video of December RIOC Board Meeting Public Session (Part 2)

Commenting on this post, theohiostate writes:

 ...the Food Vendor's should also pay some kind of rent or permit fee.  They shouldn't get to sell here for free.  If that happens, our local businesses - the few that we have - will close, and we will have nothing....

I replied:

The Mobile Food vans should be allowed on Roosevelt Island under the same circumstances and permits that exist in any other NYC neighborhood.

The more food choices Roosevelt Island residents have the better. If residents decide to spend their money at food vans rather than existing restaurants, the answer is for the restaurants to improve their offerings, not work to ban the mobile food vendors.

An audio web cast of the RIOC Board Of Directors Real Estate Committee public session should be available a few days after the meeting. The Executive Session on Island House Privatization will not be made public.

RIOC Real Estate Committee Meeting Today To Discuss Status Of Island House Privatization/Affordability Plan and Ground Lease Extension - In Executive Session Closed To The Public, What's Going On?

Image of Roosevelt Island's Island House Entrance

Received this advisory from Roosevelt Island Operating Corp (RIOC):

PLEASE TAKE NOTICE that a meeting of the Real Estate Development Advisory Committee of the RIOC Board of Directors will be held on Tuesday, September 6, 2011 at 6:00 p.m. at the RIOC administrative office, 591 Main Street, Roosevelt Island, New York.

AGENDA

1. Chair's Motion for Executive Session to Review and Discuss the Status of Privatization/Affordability Plan and Ground Lease Extension for Island House

A previous post discussed the circumstances when the RIOC Board can meet in Executive Session. An excerpt:

... a public body cannot close its doors to the public to discuss the subject of its choice, for the law specifies and limits the subject matter that may appropriately be discussed in executive session. The eight subjects that may be discussed behind closed doors include:

... (h) the proposed acquisition, sale or lease of real property or the proposed acquisition of securities, or sale or exchange of securities held by such public body, but only when publicity would substantially affect the value thereof....

More information on the circumstances under which RIOC is permitted to hold an executive session closed to the public available from the NY State Department of State Committee on Open Government.

It has been extremely difficult to obtain information regarding the privatization/affordability plan and ground lease extension for Roosevelt Island's Mitchell Lama Buildings at Island House, Westview and Rivercross. To date, none of these buildings have been privatized out of the Mitchell Lama program and only the Rivercross Building has received a ground lease extension from RIOC Board of Directors in January 2011. The reason given for Rivercross receiving a ground lease extension from RIOC was so that the Rivercross mortgage could be refinanced at a low interest rate to raise funds for building improvements. According to the January 2011 RIOC Board minutes regarding this issue (Page 9):

... In response to Mr. Kraut’s question, Mr. Leitner noted that, under the proposed agreement, as stated in term sheet item nine, the base ground rent paid to the Empire State Development Corporation (“ESDC”) would remain the same, while the amount paid to RIOC will increase by 4% compounded annually. Mr. Shinozaki noted that the entire building’s rent is less than that of some individual residential units in other buildings on Roosevelt Island. Mr. Kalkin noted that the low rent was consistent with the purpose of Mitchell-Llama properties to create and preserve affordable housing....

Here is the Rivercross Ground Lease Extension Resolution from RIOC and Term Sheet. Some Rivercross residents have expressed concerns that the new mortgage negotiated by the Rivercross Board is a bad deal for residents who plan on staying long term at the building.

None of the 9 RIOC Board members live in Island House or Westview. 4 of the 6 Roosevelt Island resident RIOC Directors live in Rivercross and all 3 current members of the Real Estate Committee live in Rivercross. At the time that the Rivercross Ground Lease extension was granted by RIOC, 2 of the 3 Real Estate Committee members lived in Rivercross.

By noting that 4 Rivercross residents are on the RIOC Board and voted for the Rivercross Ground Lease extension does not indicate in any way whatsoever that anything improper occurred though some residents, not only Mr. Farance, have raised conflict of interest questions concerning this RIOC Board vote.

The conflict of interest question gets asked because so little information is made public to explain what, if any, role the RIOC Board of Directors and Staff have in deciding issues regarding the privatization/affordability plans for the Roosevelt Island Mitchell Lama Rivercross, Westview and Island House buildings, what role New York City and State agencies play in the process and what is the current status of the privatization process?

If anyone knows, please tell.