M E M O R A N D U M

		
		June 15, 2011

To:	Members of the Board of Trustees	

From:	Nancy L. Zimpher, Chancellor

Subject: 	Gift of Real Property - Niagara County Community College 


Action Requested

	The proposed resolution approves the site and value of a gift of real property to Niagara County Community College.

Resolution 

	I recommend that the Board of Trustees adopt the following resolution:

Whereas Education Law §6304(1)(c) provides that a local sponsor may provide all or a portion of its share of capital costs of a project by a gift of property, the value of which, for the purpose of determining the amount of State aid for the project, shall be determined by the State University Board, with the approval of the Director of the Budget; and

Whereas Niagara County, local sponsor of Niagara County Community College, will transfer certain real property in trust for the benefit of Niagara County Community College, and seeks a determination by the State University Board that the value of such real property for purposes of Education Law §6304(1)(c) is $5.5 million, as established by appraisal; and 

Whereas the subject real property is a portion of approximately 90,000 sq. ft. of the Rainbow Mall, located at 399 Rainbow Boulevard, Rainbow Boulevard South and Old Falls Street, City of Niagara Falls, Niagara County, New York, which the College intends to develop as a Hospitality and Tourism Center and Culinary Arts Institute (the “Site”); and 





Whereas  regulations of the State University, set forth in 8 NYCRR §603.5(a), provide that real property may be acquired for community college facilities by gift only after the State University Board has approved the selection of the site; now, therefore, be it

Resolved that the value of the Site provided by Niagara County, for purposes of Education Law §6304(1)(c), is determined to be $5.5 million; and, be it further

Resolved that the Site be, and hereby is, approved; and be it further

Resolved that the Chancellor, or designee, be, and hereby is, authorized to transmit such determination as to the value of real property to the State Director of the Budget for appropriate action.

Background

	Niagara County Community College is planning to renovate approximately 90,000 sq. ft. of a portion of Rainbow Mall, owned by Niagara County, the sponsor of the College, for the Hospital and Tourism Center of Niagara County Community College, a primary component of which will be the Culinary Institute of Niagara Falls.  The State’s one-half share of the project will be financed under the State University’s community college financing program.

	Niagara County will make the site available as a gift to the College.  Regulations of the State University (8 NYCRR §603.5(a)) provide that real property may be acquired for community college facilities by gift only after the State University Board has approved the selection of the site.

	As authorized by Education Law §6304(c), the College will provide a portion of its one-half share of project costs based upon the value of the gift of the site, established by appraisal at $5.5 million.  Education Law §6304(c) provides that the value of a gift of property for the purpose of determining capital cost of a community college project shall be determined by the State University Board, with the approval of the Director of the NYS Division of the Budget. 
Board Resolution	-2- 	June 15, 2011