Judge rules in favor of Orange County IDA

An Orange County judge has upheld the 15-year PILOT agreement the county Industrial Development Agency granted C&S Wholesale Grocers.

The town and village of Chester as well as its school district earlier this year filed an Article 78 proceeding alleging the IDA had given C&S Wholesale Grocers a 15-year “super enhanced” payment in lieu of taxes or PILOT the company was not entitled to.

In a ruling Nov. 22, Orange County Supreme Court Justice Jeffrey Cohen found no wrongdoing.

C&S, which has a 174,000-square-foot facility Chester”™s Industrial Park, wanted to add an additional 348,000 square feet of refrigerated space.

After holding a public hearing in December 2009, the IDA gave C&S, which projected  the creation and/or retention of an additional 1,000 jobs and an anticipated yearly  annual payroll of  $35 million with its new addition, the 15-year PILOT.

“We knew it was an uphill battle,” said Chester Town Supervisor Steve Neuhaus, “but we didn”™t want the PILOT granted to C&S to set a precedent with other tenants coming into the industrial park.  (IDA Chairman) Jim Petro and I both are working together and have just given Satin Foods, another industrial park tenant, a traditional 10-year PILOT. I”™m glad we are working together now. We are both on each other”™s speed dials, that”™s for sure. Neither of us want any more misunderstandings.”

As for Petro, who predicted the IDA would prevail, said he was glad the case was settled and intends to continue working on the positive relationship formed since the brouhaha over C&S.  “I just want prospective businesses to know that Chester and the Orange County IDA are open for business,” he said.