BY JIMMY LAWTONNorth Country This Week

OGDENSBURG — The city should not entertain a presentation from a developer for the Diamond Site that did not submit a proposal during the required RFP timeline, according to the city attorney.

Likewise the city should use a competitive process to select a developer for the former Shade Roller property, City Manager Fonda Chronis told the City Council.

Legal opinion

Chronis said he sought guidance from the city attorney after questions arose about whether the council could hear from a developer that did not submit a response to the city's request for proposals (RFP), or reach an agreement with a specific developer outside the RFP process.

He said that according to the attorney, the city should not engage with an individual or developer who failed to submit an RFP response by the deadline when other parties submitted responses on time.

Doing so could expose the city to legal action from parties that followed the established process, Chronis said.

The city attorney did not identify a credible reason for the city to be sued over the Diamond National RFP process or decisions that may result from it, according to Chronis. 

Chronis said the attorney's guidance was that an open competitive process, such as an RFP or auction, helps prevent backroom deals and maximize the benefit to the city, whether financially or otherwise.

The city attorney said that  although a parcel acquired by the city for back taxes is not legally required to go through the city's auction process, transferring a large parcel without an RFP or auction carries some legal risk.

The council retains discretion to sell only part of a parcel to an RFP respondent if it determines that doing so is in the city's best interest, Chronis said. He said that the city has taken a similar approach in the past.

“In short, council's advice is that a competitive documented process is both legally sound and one that best protects the city's financial interests,” Chronis said.

Chronis said the guidance is consistent with the process the city has established for the Diamond National property and the process he expects to recommend for Shade Roller.

Shade Roller cleanup 

Chronis also provided an update on environmental work at the former Shade Roller property.

The state Department of Environmental Conservation has approved the city's remedial investigation report, he said.

The state Department of Health also recently issued a negative threat assessment determination for the site. Chronis said that means the city can choose the remediation approach rather than having it dictated by state regulators.

Chronis said he received comments from the state on the city's Alternatives Assessment Report on the day of the council meeting and the project's engineer considered the comments minor and expected a revised draft to be completed quickly.

He said the news has given the city a better idea of what remediation at the property will involve and what it is expected to cost, which will help shape a future RFP or other procurement process for the property.

RFP could be issued later this year

While the environmental work continues, Chronis recommended that the city begin soliciting proposals from developers for the Shade Roller property using a process similar to the one used for Diamond National.

Chronis said identifying a developer in advance would allow the city to add that developer to its Brownfield Opportunity Area application. That could allow tax credits associated with remediation to be conveyed to the preferred developer.

The city does not expect to receive a certificate of completion from DEC until the second quarter of 2027, Chronis said.

That would give the city time to conduct a full RFP process. Chronis said an RFP could potentially be issued in the fourth quarter of 2026, with the selection process continuing into the first quarter of 2027.

Chronis said the redevelopment process is likely to take time.

“There really is no timing pressure that should push anybody or any process towards a shortcut,” he said.

Chronis said developers hoping to leverage public funds would need to wait for awards and opportunities, while a developer with its own financing could potentially move more quickly, Chronis said.

He said the process would be conducted in a manner similar to the Diamond National RFP and would follow the legal guidance provided by the city attorney.